ADMINISTRATIVE PLAN
FOR THE
HOLYOKE HOUSING AUTHORITY’S
SECTION 8 HOUSING CHOICE VOUCHER PROGRAM
TABLE OF CONTENTS QUICK SUMMARY
CHAPTER 1: OVERVIEW OF THE PROGRAM AND PLAN ...... 1-1
CHAPTER 2: GENERAL POLICIES ...... 2-5
CHAPTER 3: FAIR HOUSING AND EQUAL OPPORTUNITY ...... 3-1
CHAPTER 4: APPLICATIONS, WAITLIST AND TENANT SELECTION ...... 4-1
CHAPTER 5: ELIGIBILITY ...... 5-1
CHAPTER 6: SUBSIDY STANDARDS ...... 6-1
CHAPTER 7: BRIEFINGS & VOUCHER ISSUANCE ...... 7-5
CHAPTER 8: VERIFICATION ...... 8-12
CHAPTER 9: INCOME AND SUBSIDY DETERMINATIONS ...... 9-1
CHAPTER 10: CALCULATING TOTAL TENANT PAYMENT & RENT ...... 10-1
CHAPTER 11: HOUSING QUALITY STANDARDS & RENT REASONABLENESS .. 11-7
CHAPTER 12: LEASING POLICIES & HAP CONTRACT ...... 12-1
CHAPTER 13: OWNERS ...... 13-1
CHAPTER 14: PAYMENT STANDARDS AND UTILITY ALLOWANCES...... 14-8
CHAPTER 15: CONTINUED OCCUPANCY ...... 15-1
CHAPTER 16: MOVING WITH CONTINUED ASSISTANCE ...... 16-1
CHAPTER 17: PORTABILITY ...... 17-1
CHAPTER 18: INFORMAL REVIEWS AND HEARINGS...... 18-1
CHAPTER 19: TERMINATION OF ASSISTANCE AND TENANCY ...... 19-1
Administrative Plan: TABLE OF CONTENTS 1-1
CHAPTER 20: PROGRAM INTEGRITY ...... 20-1
CHAPTER 21: SPECIAL HOUSING TYPES ...... 21-10
CHAPTER 22: FAMILY SELF-SUFFICIENCY ...... 22-1
CHAPTER 23: RENTAL ASSISTANCE DEMONSTRATION ...... 23-1
CHAPTER 24: PROJECT-BASED VOUCHERS ...... 24-2
CHAPTER 25: GLOSSARY OF SUBSIDIZED HOUSING TERMS ...... 25-1
APPENDIX A: PARTICIPATION AGREEMENT – CENTRALIZED WAITING LISTA-1
APPENDIX B: CHART OF OFFENSES – DENIAL OF ADMISSION ...... B-1
APPENDIX C: FEDERALLY MANDATED INCOME EXCLUSIONS ...... C-1
APPENDIX D: HQS OWNER CERTIFICATIONS ...... D-1
APPENDIX E: HUD DEFINITION OF LIFE-THREATENING CONDITIONS ...... E-1
APPENDIX F: RAD FIRST COMPONENT CONVERSIONS ...... F-1
APPENDIX G: RAD SECOND COMPONENT CONVERSIONS – MOD REHAB ...... G-1
APPENDIX H: RAD SECOND COMPONENT CONVERSIONS – RENT SUPP/RAP .. H-1
Administrative Plan: TABLE OF CONTENTS 1-2
HOLYOKE HOUSING AUTHORITY HOUSING CHOICE VOUCHER PROGRAM ADMINISTRATIVE PLAN
TABLE OF CONTENTS
CHAPTER 1: OVERVIEW OF THE PROGRAM AND PLAN ...... 1-1
1.1 MOVING TO WORK DEMONSTRATION ...... 1-1
1.2 HHA MISSION ...... 1-1
1.3 OVERVIEW AND PURPOSE OF THE PLAN ...... 1-2
1.4 UPDATING AND REVISING THE PLAN ...... 1-2
1.5 APPLICABLE REGULATIONS AND AGREEMENTS...... 1-2
1.6 MTW – SIMPLIFICATION AND STREAMLINING OF PROCESS ...... 1-2 1.6.1 MTW AND NON-MTW POLICIES ...... 1-3 1.6.2 IDENTIFYING MTW POLICIES ...... 1-3
CHAPTER 2: GENERAL POLICIES ...... 2-5
2.1 INTRODUCTION ...... 2-5
2.2 ADMINISTRATIVE FEE RESERVE ...... 2-5
2.3 RECORD KEEPING ...... 2-5 2.3.1 OVERVIEW ...... 2-5 2.3.2 RECORD RETENTION ...... 2-5 2.3.3 RECORDS MANAGEMENT ...... 2-6 2.3.4 ELECTRONIC SIGNATURES & SCANNED DOCUMENTS ...... 2-7
2.4 REPORTING AND RECORD KEEPING FOR CHILDREN WITH ENVIRONMENTAL INTERVENTION BLOOD LEVEL ...... 2-7 2.4.1 OVERVIEW ...... 2-7 2.4.2 REPORTING REQUIREMENTS ...... 2-8 2.4.3 DATA COLLECTION AND RECORD KEEPING...... 2-8
CHAPTER 3: FAIR HOUSING AND EQUAL OPPORTUNITY ...... 3-1
3.1 INTRODUCTION ...... 3-1
3.2 NON-DISCRIMINATION ...... 3-1
3.3 PROVIDING INFORMATION TO FAMILIES AND OWNERS ...... 3-2
3.4 PRIVACY ...... 3-2
3.5 DISCRIMINATION COMPLAINTS ...... 3-3
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-1
3.6 POLICIES RELATED TO PERSONS WITH DISABILITIES ...... 3-3 3.6.1 DEFINITION OF DISABILITY ...... 3-4 3.6.2 PERSON WITH DISABILITIES DOES NOT INCLUDE ...... 3-5 3.6.3 VERIFICATION OF DISABILITY ...... 3-5 3.6.4 DENIAL OR TERMINATION OF ASSISTANCE – FAMILIES WITH DISABLED HOUSEHOLD MEMBERS ...... 3-5
3.7 REASONABLE ACCOMMODATION ...... 3-5 3.7.1 TYPES OF REASONABLE ACCOMMODATIONS ...... 3-6 3.7.2 REQUEST FOR AN ACCOMMODATION ...... 3-6 3.7.3 MODIFICATIONS TO PROVIDE ACCESSIBILITY ...... 3-6 3.7.4 APPROVAL OR DENIAL OF A REQUESTED ACCOMMODATION ...... 3-7 3.7.5 RIGHT TO APPEAL/INFORMAL HEARING PROCESS FOR REASONABLE ACCOMMODATION ...... 3-8
3.8 PROGRAM ACCESSIBILITY FOR PERSONS WITH HEARING OR VISION IMPAIRMENTS .. 3-8
3.9 PHYSICAL ACCESSIBILITY ...... 3-9
3.10 IMPROVING ACCESS FOR PERSONS WITH LIMITED ENGLISH PROFICIENCY ...... 3-10
3.11 OUTREACH ...... 3-11
3.12 VIOLENCE AGAINST WOMEN ACT PROTECTIONS ...... 3-12 3.12.1 DEFINITIONS AS USED IN THE VIOLENCE AGAINST WOMEN ACT ...... 3-12 3.12.2 PROHIBITION AGAINST DENIAL OF ASSISTANCE TO VICTIMS OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT AND STALKING ...... 3-13 3.12.3 PROHIBITION AGAINST TERMINATION OF ASSISTANCE RELATED TO VICTIMS OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT AND STALKING ...... 3-13 3.12.4 VAWA Self-Petitioners ...... 3-14 3.12.5 HHA CONFIDENTIALITY REQUIREMENTS – VAWA ...... 3-15 3.12.6 NOTIFICATION TO APPLICANTS, HOUSEHOLDS & OWNERS REGARDING PROTECTIONS UNDER VAWA ...... 3-15 3.12.7 VICTIM DOCUMENTATION ...... 3-16 3.12.8 TIME FRAME FOR SUBMITTING DOCUMENTATION ...... 3-17 3.12.9 PERPETRATOR DOCUMENTATION...... 3-17 3.12.10 TERMINATING TENANCY OF A DOMESTIC VIOLENCE OFFENDER ...... 3-18 3.12.11 TRANSFERS AND PORTABILITY UNDER VAWA ...... 3-18 3.12.12 RESPONSE TO CONFLICTING CERTIFICATION...... 3-18 3.12.13 REMEDIES AVAILABLE TO VAWA VICTIMS ...... 3-19 3.12.14 VAWA RECORD RETENTION ...... 3-19
CHAPTER 4: APPLICATIONS, WAITLIST AND TENANT SELECTION ...... 4-1
4.1 OVERVIEW ...... 4-1
4.2 APPLYING FOR ASSISTANCE ...... 4-1
4.3 ACCESSIBILITY OF THE APPLICATION PROCESS ...... 4-2
4.4 PLACEMENT ON THE CENTRALIZED WAITING LIST ...... 4-2
4.5 REQUESTS BY LAW ENFORCEMENT ORGANIZATIONS ...... 4-3
4.6 MANAGING THE WAITING LIST ...... 4-3
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-2
4.6.1 OVERVIEW ...... 4-3 4.6.2 ORGANIZATION OF THE WAITING LIST ...... 4-3 4.6.3 OPENING AND CLOSING THE WAITING LIST ...... 4-4
4.7 FAMILY OUTREACH ...... 4-5
4.8 REPORTING CHANGES IN FAMILY CIRCUMSTANCES ...... 4-5
4.9 CHANGE IN THE HEAD OF HOUSEHOLD WHILE ON THE WAITING LIST ...... 4-6
4.10 FAMILY BREAK-UP OR SPLIT HOUSEHOLDS WHILE ON THE WAITING LIST ...... 4-6
4.11 UPDATING THE WAITING LIST ...... 4-7
4.12 SELECTION FOR HCV ASSISTANCE ...... 4-8
4.13 SELECTION METHOD - PREFERENCES ...... 4-8
4.14 NOTIFICATION OF SELECTION ...... 4-10
4.15 THE APPLICATION INTERVIEW ...... 4-11
4.16 COMPLETING THE APPLICATION PROCESS ...... 4-12
CHAPTER 5: ELIGIBILITY ...... 5-1
5.1 OVERVIEW ...... 5-1
5.2 DEFINITIONS ...... 5-1 5.2.1 FAMILY AND HOUSEHOLD ...... 5-1 5.2.2 HEAD OF HOUSEHOLD ...... 5-2 5.2.3 SPOUSE, CO-HEAD AND OTHER ADULT ...... 5-2 5.2.4 INTERDEPENDENT RELATIONSHIP OR DOMESTIC PARTNERSHIP ...... 5-3 5.2.5 DEPENDENT ...... 5-3 5.2.6 FULL-TIME STUDENT ...... 5-4 5.2.7 ELDERLY PERSONS ...... 5-4 5.2.8 NEAR-ELDERLY PERSONS ...... 5-4 5.2.9 ELDERLY FAMILY ...... 5-4 5.2.10 PERSONS WITH DISABILITIES AND DISABLED FAMILY...... 5-4 5.2.11 GUESTS ...... 5-5 5.2.12 MULTIPLE FAMILIES IN THE SAME HOUSEHOLD ...... 5-5 5.2.13 FOSTER CHILDREN AND FOSTER ADULTS ...... 5-5 5.2.14 LIVE-IN AIDE ...... 5-5 5.2.15 VETERAN ...... 5-7
5.3 JOINT CUSTODY OF CHILDREN ...... 5-7
5.4 CARETAKER OF A CHILD...... 5-7
5.5 INCOME ELIGIBILITY ...... 5-8
5.6 CONTINUOUSLY ASSISTED ...... 5-8
5.7 CITIZENSHIP OR ELIGIBLE IMMIGRATION STATUS ...... 5-9
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-3
5.7.1 DECLARATION OF CITIZENSHIP ...... 5-9 5.7.2 U.S. CITIZENS AND NATIONALS ...... 5-9 5.7.3 ELIGIBLE NON-CITIZEN ...... 5-9 5.7.4 INELIGIBLE NON-CITIZENS...... 5-10 5.7.5 MIXED FAMILIES ...... 5-10 5.7.6 TIMEFRAME FOR DETERMINATION OF CITIZENSHIP STATUS ...... 5-10
5.8 SOCIAL SECURITY NUMBERS ...... 5-11 5.8.1 REQUIRED DOCUMENTATION ...... 5-11 5.8.2 PERSONS NOT REQUIRED TO PROVIDE DOCUMENTATION OF A VALID SSN ...... 5-11 5.8.3 TIME FRAME TO SUBMIT DOCUMENTATION OF SSN ...... 5-12 5.8.4 PENALTIES FOR FAILURE TO DISCLOSE SSN ...... 5-13
5.9 PHOTO ID...... 5-13
5.10 REQUIRED DOCUMENTS ...... 5-13
5.11 FAMILY CONSENT TO RELEASE INFORMATION ...... 5-13
5.12 STUDENTS ENROLLED IN INSTITUTIONS OF HIGHER EDUCATION ...... 5-13
5.13 HOUSEHOLD MEMBER TURNING 18 BETWEEN ELIGIBILITY AND LEASE UP ...... 5-16
5.14 ELIGIBILITY INTERVIEW ...... 5-17
5.15 APPLICANT SCREENING ...... 5-18
5.16 EIV EXISTING AND FORMER TENANT SEARCH ...... 5-19
5.17 DEBT SCREENING ...... 5-19 5.17.1 MANDATORY DENIAL...... 5-20
5.18 CRIMINAL BACKGROUND SCREENING ...... 5-21 5.18.1 MANDATORY DENIAL – CRIMINAL BACKGROUND SCREENING ...... 5-22 5.18.2 NON-MANDATORY DENIAL –CRIMINAL BACKGROUND SCREENING ...... 5-23
5.19 SEX OFFENDER SCREENING ...... 5-24 5.19.1 MANDATORY DENIAL...... 5-24
5.20 SCREENING BASED ON PAST OR CURRENT BEHAVIOR ...... 5-24 5.20.1 MANDATORY DENIAL...... 5-25 5.20.2 NON-MANDATORY DENIAL ...... 5-26 5.20.3 REASONABLE ACCOMMODATION ...... 5-27
5.21 FINAL ELIGIBILITY DETERMINATION ...... 5-27
5.22 NOTICE OF ELIGIBILITY OR DENIAL ...... 5-28
CHAPTER 6: SUBSIDY STANDARDS ...... 6-1
6.1 MINIMUM AND MAXIMUM PERSONS IN A UNIT ...... 6-1
6.2 DETERMINING FAMILY VOUCHER SIZE...... 6-1
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-4
6.3 CHANGES IN FAMILY COMPOSITION, VOUCHER SIZE & UA ...... 6-3
6.4 EXCEPTIONS TO OCCUPANCY STANDARD GUIDELINES ...... 6-3
6.5 PROCESSING OF EXCEPTIONS ...... 6-3
6.6 TEMPORARILY AND PERMANENTLY ABSENT FAMILY MEMBERS ...... 6-3
6.7 ABSENCE OF ADULT MEMBER ...... 6-4
6.8 ABSENT STUDENTS ...... 6-4
6.9 ABSENCES DUE TO PLACEMENT IN FOSTER CARE ...... 6-4
6.10 ABSENT ADULTS DUE TO EMPLOYMENT ...... 6-4
6.11 INDIVIDUALS CONFINED FOR MEDICAL REASONS ...... 6-4
6.12 ABSENT FAMILY ...... 6-4
6.13 RETURN OF A PERMANENTLY ABSENT FAMILY MEMBER ...... 6-5
CHAPTER 7: BRIEFINGS & VOUCHER ISSUANCE ...... 7-5
7.1 BRIEFING ...... 7-6
7.2 NOTIFICATION AND ATTENDANCE ...... 7-6
7.3 ORAL BRIEFING ...... 7-6
7.4 BRIEFING PACKET ...... 7-7
7.5 BRIEFING FAMILIES WITH SPECIAL NEEDS ...... 7-9
7.6 VOUCHER ISSUANCE ...... 7-9 7.6.1 VOUCHER TERM ...... 7-10 7.6.2 EXTENSIONS OF VOUCHER TERM ...... 7-10 7.6.3 SUSPENSIONS OF VOUCHER TERM ...... 7-11 7.6.4 EXPIRATION OF VOUCHER TERM ...... 7-11
CHAPTER 8: VERIFICATION ...... 8-12
8.1 INTRODUCTION ...... 8-12
8.2 FAMILY CONSENT TO RELEASE OF INFORMATION ...... 8-12
8.3 VERIFICATION HIERARCHY ...... 8-12
8.4 OVERVIEW OF VERIFICATION REQUIREMENTS ...... 8-13
8.5 FILE DOCUMENTATION ...... 8-14
8.6 SUBSTANTIAL DIFFERENCE ...... 8-15
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-5
8.7 FRAUD ...... 8-15
8.8 UP-FRONT INCOME VERIFICATION (UIV) ...... 8-15
8.9 ENTERPRISE INCOME VERIFICATION (EIV) SYSTEM ...... 8-15 8.9.1 EIV INCOME REPORTS ...... 8-15 8.9.2 EIV IDENTITY VERIFICATION ...... 8-16
8.10 THIRD PARTY WRITTEN VERIFICATION ...... 8-16
8.11 WRITTEN THIRD-PARTY VERIFICATION FORM ...... 8-16
8.12 ORAL THIRD-PARTY VERIFICATION ...... 8-16
8.13 SELF-CERTIFICATION ...... 8-17
8.14 WHEN THIRD-PARTY INFORMATION IS LATE ...... 8-17
8.15 WHEN THIRD-PARTY VERIFICATION IS NOT REQUIRED ...... 8-17
8.16 TENANT FAILS TO RESPOND TO VERIFICATION REQUEST ...... 8-18
8.17 VERIFICATION OF LEGAL IDENTITY ...... 8-18
8.18 VERIFICATION OF SOCIAL SECURITY NUMBERS ...... 8-18
8.19 VERIFICATION OF AGE ...... 8-19
8.20 MARITAL STATUS VERIFICATION ...... 8-19
8.21 SEPARATION OR DIVORCE VERIFICATION ...... 8-19
8.22 FOSTER CHILDREN AND FOSTER ADULT VERIFICATION ...... 8-20
8.23 STUDENT STATUS VERIFICATION ...... 8-20
8.24 INDEPENDENT STUDENT STATUS VERIFICATION ...... 8-20
8.25 VERIFICATION OF DISABILITY ...... 8-20
8.26 VERIFICATION OF U.S. CITIZENSHIP AND OF ELIGIBLE IMMIGRATION STATUS ...... 8-22
8.27 VERIFICATION OF PREFERENCE STATUS ...... 8-22
8.28 VERIFYING INCOME ...... 8-22
8.29 EARNED INCOME VERIFICATION ...... 8-22
8.30 BUSINESS & SELF-EMPLOYMENT INCOME VERIFICATION ...... 8-23
8.31 SOCIAL SECURITY SUPPLEMENTAL SECURITY INCOME VERIFICATION ...... 8-23
8.32 ALIMONY OR CHILD SUPPORT VERIFICATION ...... 8-24
8.33 ASSETS AND INCOME FROM ASSETS VERIFICATION ...... 8-24
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-6
8.33.1 ASSETS DISPOSED OF FOR LESS THAN FAIR MARKET VALUE...... 8-25
8.34 NET INCOME FROM RENTAL PROPERTY VERIFICATION ...... 8-25
8.35 RETIREMENT ACCOUNT VERIFICATION ...... 8-26
8.36 INCOME FROM EXCLUDED SOURCES VERIFICATION ...... 8-26
8.37 ZERO INCOME HOUSEHOLD VERIFICATION ...... 8-26
8.38 VERIFYING DEDUCTIONS ...... 8-27 8.38.1 DEPENDENT AND ELDERLY/DISABLED HOUSEHOLF DEDUCTIONS ...... 8-27 8.38.2 MEDICAL EXPSENSE DEDUCTION ...... 8-27 8.38.3 DISABILITY ASSISTANCE EXPENSES ...... 8-29 8.38.4 CHILD CARE EXPENSE ...... 8-29
CHAPTER 9: INCOME AND SUBSIDY DETERMINATIONS ...... 9-1
9.1 INTRODUCTION ...... 9-1
9.2 ANNUAL INCOME...... 9-1
9.3 ANNUAL INCOME EXCLUSIONS ...... 9-3
9.4 ANTICIPATING ANNUAL INCOME ...... 9-4
9.5 KNOWN CHANGES IN INCOME ...... 9-4
9.6 ROUNDING OF INCOME AND DEDUCTIONS ...... 9-5
9.7 WAGES ...... 9-5
9.8 BUSINESS INCOME ...... 9-5
9.9 MILITARY PAY ...... 9-6
9.10 ALIMONY AND CHILD SUPPORT ...... 9-6
9.11 CHILDREN’S EARNINGS ...... 9-7
9.12 INCOME OF A LIVE-IN AIDE ...... 9-7
9.13 INCOME OF FOSTER CHILDREN AND FOSTER ADULTS ...... 9-7
9.14 SEASONAL INCOME ...... 9-7
9.15 INCOME OF PERSON PERMANENTLY CONFINED TO NURSING HOME ...... 9-7
9.16 INCOME OF A PERSON MOVING INTO HCV FROM A NURSING HOME ...... 9-8
9.17 INCOME OF TEMPORARILY ABSENT FAMILY MEMBERS ...... 9-8
9.18 TEMPORARY AND SPORADIC INCOME ...... 9-8
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-7
9.19 WAGES FROM EMPLOYMENT WITH HHA OR A TENANT ORGANIZATION ...... 9-8
9.20 CONTRIBUTIONS TO RETIREMENT FUNDS ...... 9-9
9.21 INCOME EARNED UNDER CERTAIN FEDERAL PROGRAMS ...... 9-9
9.22 TENANT SERVICE STIPEND ...... 9-9
9.23 STATE AND LOCAL EMPLOYMENT TRAINING PROGRAMS ...... 9-9
9.24 HUD-FUNDED TRAINING PROGRAMS ...... 9-11
9.25 EARNED INCOME TAX CREDIT ...... 9-11
9.26 LUMP-SUM RECEIPTS ...... 9-11
9.27 IMPUTED WELFARE INCOME ...... 9-12
9.28 EARNED INCOME DISALLOWANCE (EID) ...... 9-14
9.29 TREATMENT OF OVERPAYMENT DEDUCTIONS FROM SS BENEFITS ...... 9-16
9.30 ASSET INCOME ...... 9-16
9.31 ASSETS DISPOSED OF FOR LESS THAN FAIR MARKET VALUE ...... 9-16
9.32 CHECKING AND SAVINGS ACCOUNTS ...... 9-17
9.33 INVESTMENT ACCOUNTS SUCH AS STOCKS, BONDS, SAVINGS CERTIFICATES, AND MONEY MARKET FUNDS ...... 9-17
9.34 EQUITY IN REAL PROPERTY OR OTHER CAPITAL INVESTMENTS ...... 9-18
9.35 LIFE INSURANCE ...... 9-20
9.36 PASSBOOK SAVINGS RATE ...... 9-20
9.37 ADJUSTED INCOME...... 9-20
9.38 DEDUCTIONS ...... 9-20
9.39 MEDICAL EXPENSE DEDUCTION...... 9-21
9.40 DISABILITY ASSISTANCE EXPENSE DEDUCTION ...... 9-22
9.41 CHILD CARE EXPENSE DEDUCTION ...... 9-23
CHAPTER 10: CALCULATING TOTAL TENANT PAYMENT & RENT ...... 10-1
10.1 INTRODUCTION ...... 10-1
10.2 TOTAL TENANT PAYMENT FORMULA (TTP) FOR INCOME BASED RENT ...... 10-1
10.3 MINIMUM RENT ...... 10-1
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-8
10.4 FINANCIAL HARDSHIPS AFFECTING MINIMUM RENT ...... 10-1 10.4.1 DETERMINATION OF RENT HARDSHIP EXEMPTION ...... 10-2 10.4.2 NO FINANCIAL HARDSHIP ...... 10-2 10.4.3 TEMPORARY HARDSHIP ...... 10-3 10.4.4 LONG-TERM HARDSHIP ...... 10-3
10.5 TOTAL TENANT PAYMENT FOR MIXED HOUSEHOLDS ...... 10-3
10.6 FAMILY SHARE ...... 10-3
10.7 TENANT RENT TO OWNER...... 10-4
10.8 HHA SUBSIDY (HOUSING ASSISTANCE PAYMENT) ...... 10-4
10.9 APPLYING PAYMENT STANDARDS ...... 10-4 10.9.1 CHANGES IN PAYMENT STANDARDS AT REGULAR RECERTIFICATION ...... 10-5 10.9.2 APPLYING PAYMENT STANDARDS AT INTERIM RECERTIFICATION ...... 10-6
10.10 APPLYING UTILITY ALLOWANCES ...... 10-6 10.10.1 UTILITY ALLOWANCE PAYMENTS ...... 10-6
CHAPTER 11: HOUSING QUALITY STANDARDS & RENT REASONABLENESS .. 11-7
11.1 INTRODUCTION ...... 11-7
11.2 TYPES OF INSPECTIONS ...... 11-7 11.2.1 INITIAL HQS INSPECTION ...... 11-7 11.2.2 REGULAR INSPECTIONS - ANNUAL & BIENNIAL ...... 11-8 11.2.3 SPECIAL INSPECTIONS ...... 11-9 11.2.4 QUALITY CONTROL INSPECTIONS ...... 11-9
11.3 COST OF INSPECTION ...... 11-9
11.4 ALTERNATIVE INSPECTIONS ...... 11-10
11.5 NOTICE AND SCHEDULING OF INSPECTIONS ...... 11-11
11.6 OWNER AND FAMILY INSPECTION ATTENDANCE ...... 11-11
11.7 REGULAR HQS INSPECTION FREQUENCY ...... 11-11
11.8 HQS STANDARDS ...... 11-12 11.8.1 PART I: PHYSICAL STANDARDS ...... 11-12
11.9 ADDITIONAL LOCAL REQUIREMENTS ...... 11-13
11.10 LIFE THREATENING CONDITIONS ...... 11-14
11.11 OWNER RESPONSIBILITIES ...... 11-15
11.12 FAMILY RESPONSIBILITIES ...... 11-15
11.13 SPECIAL REQUIREMENTS FOR CHILDREN WITH ENVIRONMENTAL INTERVENTION BLOOD LEAD LEVEL ...... 11-15
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-9
11.14 VIOLATION OF HQS SPACE STANDARDS ...... 11-15
11.15 MODIFICATIONS TO PROVIDE ACCESSIBILITY ...... 11-16
11.16 EMERGENCY HQS VIOLATIONS ...... 11-16
11.17 NON-EMERGENCY HQS FAILURES ...... 11-17
11.18 TIME STANDARDS FOR REPAIRS ...... 11-17
11.19 EXTENSIONS ...... 11-17
11.20 REINSPECTIONS ...... 11-18
11.21 OWNER CERTIFICATION OF REPAIR ...... 11-18
11.22 ENFORCING OWNER COMPLIANCE ...... 11-19
11.23 HAP ABATEMENT ...... 11-19
11.24 ISSUING VOUCHERS TO MOVE WHEN HAP IS ABATED ...... 11-19
11.25 ENFORCING FAMILY COMPLIANCE ...... 11-19
11.26 RENT REASONABLENESS ...... 11-20 11.26.1 OVERVIEW ...... 11-20 11.26.2 WHEN RENT REASONABLENESS DETERMINATIONS ARE REQUIRED ...... 11-20 11.26.3 HOW REASONABLE RENTS ARE DETERMINED ...... 11-21 11.26.4 HHA RENT REASONABLENESS METHODOLOGY ...... 11-22 11.26.5 UNITS THAT MUST NOT BE USED AS COMPARABLES ...... 11-22 11.26.6 RENTS CHARGED FOR OTHER UNITS ON THE PREMISES ...... 11-22 11.26.7 HHA-OWNED UNITS [24 CFR 982.352[b]] ...... 11-22 11.26.8 REASONABLE ACCOMMODATION – REASONABLE RENT ...... 11-23
11.27 CONTRACT RENT...... 11-23 11.27.1 CONTRACT RENT LIMITATIONS ...... 11-23
11.28 CHANGES IN CONTRACT RENT TO THE OWNER ...... 11-23
CHAPTER 12: LEASING POLICIES & HAP CONTRACT ...... 12-1
12.1 OVERVIEW ...... 12-1
12.2 OWNER SCREENING ...... 12-1
12.3 REQUESTING TENANCY APPROVAL ...... 12-1
12.4 ELIGIBLE UNITS ...... 12-2
12.5 HHA-OWNED UNITS ...... 12-3
12.6 INELIGIBLE UNITS ...... 12-3
12.7 DUPLICATIVE ASSISTANCE...... 12-3
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-10
12.8 HOUSING QUALITY STANDARDS (HQS) ...... 12-4
12.9 UNIT SIZE ...... 12-4
12.10 RENT REASONABLENESS ...... 12-5
12.11 RENT BURDEN ...... 12-5
12.12 LEASE AND TENANCY ADDENDUM ...... 12-5
12.13 TERM OF ASSISTED TENANCY ...... 12-6
12.14 SECURITY DEPOSIT ...... 12-6
12.15 SEPARATE NON-LEASE AGREEMENTS BETWEEN OWNER AND TENANT ...... 12-6 12.15.1 HHA REVIEW OF LEASE ...... 12-7
12.16 TENANCY APPROVAL ...... 12-7
12.17 DISAPPROVAL OF ASSISTED TENANCY ...... 12-8
12.18 LEASE EXECUTION ...... 12-8
12.19 CHANGES IN THE LEASE OR RENT ...... 12-9
12.20 LEASE TERMINATION ...... 12-9
12.21 HAP CONTRACT ...... 12-9
12.22 HAP CONTRACT EXECUTION ...... 12-10
12.23 HAP CONTRACT PAYMENTS ...... 12-10
12.24 LATE HAP PAYMENTS [24 CFR 982.451[A][5]] ...... 12-11
12.25 TERMINATION OF THE HAP CONTRACT ...... 12-12
12.26 BREACH OF HAP CONTRACT ...... 12-13
12.27 INSUFFICIENT FUNDING ...... 12-14 12.27.1 TERMINATION OF CONTRACTS FUNDED FOR SPECIAL PURPOSE VOUCHERS ...... 12-15
CHAPTER 13: OWNERS ...... 13-1
13.1 INTRODUCTION ...... 13-1
13.2 OWNER RECRUITMENT AND RETENTION ...... 13-1
13.3 BASIC OWNER RESPONSIBILITIES ...... 13-2
13.4 OWNER QUALIFICATIONS ...... 13-3 13.4.1 LEGAL OWNERSHIP OF UNIT ...... 13-3
13.5 OWNERS BARRED FROM PARTICIPATION...... 13-3
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-11
13.6 LEASING TO RELATIVES [24 CFR 982.306[d], HCV GB p. 11-2] ...... 13-4
13.7 CONFLICT OF INTEREST [24 CFR 982.161; HCV GB p. 8-19] ...... 13-4
13.8 OWNER ACTIONS THAT MAY RESULT IN DISAPPROVAL OF A TENANCY REQUEST ...... 13-4
13.9 NON-DISCRIMINATION ...... 13-5
13.10 CHANGE IN OWNERSHIP / ASSIGNMENT OF THE HAP CONTRACT ...... 13-6
13.11 OWNER TERMINATION OF TENANCY ...... 13-7
13.12 BASIC HCVP REQUIREMENTS ...... 13-7
CHAPTER 14: PAYMENT STANDARDS AND UTILITY ALLOWANCES...... 14-8
14.1 SETTING PROGRAM STANDARDS AND SCHEDULES ...... 14-8
14.2 PAYMENT STANDARDS ...... 14-8
14.3 UPDATING PAYMENT STANDARDS ...... 14-8
14.4 APPLYING PAYMENT STANDARDS ...... 14-9
14.5 CHANGES IN PAYMENT STANDARDS ...... 14-9
14.6 REASONABLE ACCOMMODATION – PAYMENT STANDARDS ...... 14-9
14.7 EXCEPTION PAYMENT STANDARDS ...... 14-10
14.8 "SUCCESS RATE" PAYMENT STANDARD AMOUNTS ...... 14-10
14.9 PAYMENT STANDARD BELOW THE BASIC RANGE ...... 14-10
14.10 UTILITY ALLOWANCES ...... 14-10
14.11 UTILITY ALLOWANCE SCHEDULES ...... 14-11
14.12 APPLYING UTILITY ALLOWANCES & SCHEDULES ...... 14-11
14.13 UTILITY ALLOWANCE FOR SRO...... 14-11
14.14 AIR CONDITIONING ...... 14-11
CHAPTER 15: CONTINUED OCCUPANCY ...... 15-1
15.1 OVERVIEW ...... 15-1
15.2 REQUIREMENTS FOR CONTINUED OCCUPANCY ...... 15-1
15.3 REGULAR REEXAMINATIONS ...... 15-2
15.4 STREAMLINED INCOME DETERMINATION ...... 15-3
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-12
15.5 NOTIFICATION OF AND PARTICIPATION IN THE REGULAR RECERTIFICATION PROCESS 15-4
15.6 CONDUCTING REGULAR RECERTIFICATIONS ...... 15-4
15.7 REQUIRED INFORMATION ...... 15-5
15.8 SCHEDULING REGULAR REEXAMINATIONS ...... 15-5
15.9 STANDARD FOR TIMELY REPORTING OF CHANGES ...... 15-5
15.10 DETERMING ONGOING ELIGIBILITY OF CERTAIN STUDENTS ...... 15-6
15.11 HOUSEHOLD MEMBER TURNING 18 BETWEEN REEXAMINATION INTERVIEW AND REEXAMINATION EFFECTIVE DATE ...... 15-6
15.12 EFFECTIVE DATES OF RENT CHANGES ...... 15-7 15.12.1 EFFECTIVE DATE OF RENT CHANGES AT REGULAR REEXAMINATION ...... 15-7 15.12.2 EFFECTIVE DATES FOR RENT CHANGES AT INTERIM REEXAMINATIONS ...... 15-8
15.13 NOTIFICATION OF NEW FAMILY SHARE AND HAP AMOUNT...... 15-9
15.14 NOTICE TO INELIGIBLE HOUSEHOLDS ...... 15-9
15.15 UNIT SIZE DETERMINATIONS ...... 15-9
15.16 INTERIM REEXAMINATIONS ...... 15-10 15.16.1 OVERVIEW ...... 15-10 15.16.2 LIMITS ON INTERIM REEXAMINATION ...... 15-11
15.17 OPTIONAL INTERIM REPORTING ...... 15-11
15.18 REQUIRED INTERIM REPORTING ...... 15-12 15.18.1 CHANGES IN FAMILY AND HOUSEHOLD COMPOSITION ...... 15-12 15.18.2 CHANGES AFFECTING INCOME OR EXPENSES ...... 15-13 15.18.3 TEMPORARY AND SPORADIC INCOME ...... 15-14 15.18.4 ZERO INCOME ...... 15-14 15.18.5 EARNED INCOME DISALLOWANCE ...... 15-14 15.18.6 INTERIM RECERTIFICATION – OTHER ...... 15-14 15.18.7 PROCESSING THE INTERIM REEXAMINATION ...... 15-15
15.19 RECALCULATING FAMILY SHARE AND SUBSIDY AMOUNT ...... 15-15
15.20 DISCREPANCIES ...... 15-15
15.21 ABSENCE FROM THE UNIT ...... 15-16
15.22 MILITARY FAMILIES – ABSENCE FROM THE UNIT & CONTINUED OCCUPANCY ...... 15-16
15.23 REMAINING MEMBERS OF THE TENANT FAMILY ...... 15-17
15.24 CAREER ADVANCEMENT PROGRAM (CAP) ...... 15-18
CHAPTER 16: MOVING WITH CONTINUED ASSISTANCE ...... 16-1
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-13
16.1 OVERVIEW ...... 16-1
16.2 RESTRICTION ON MOVES ...... 16-1
16.3 RESTRICTION ON MOVES DUE TO INSUFFICIENT FUNDING ...... 16-1
16.4 NOTIFICATION ...... 16-2
16.5 VOUCHERS AND MOVES ...... 16-2
16.6 RECERTIFICATION OF HOUSEHOLD INCOME AND COMPOSITION DURING MOVES ..... 16-2
16.7 REQUEST TO MOVE & PENDING TERMINATION ...... 16-3
CHAPTER 17: PORTABILITY ...... 17-1
17.1 OVERVIEW ...... 17-1
17.2 PORT-OUTS ...... 17-1 17.2.1 APPLICANT FAMILIES ...... 17-1 17.2.2 PARTICIPANT FAMILIES ...... 17-2 17.2.3 RECERTIFICATION OF HOUSEHOLD INCOME AND COMPOSITION ...... 17-2 17.2.4 BRIEFING ...... 17-2 17.2.5 VOUCHER ISSUANCE AND TERM ...... 17-2 17.2.6 VOUCHER EXTENSIONS AND SUSPENSIONS ...... 17-3 17.2.7 INITIAL CONTACT WITH THE RECEIVING HA ...... 17-3 17.2.8 SENDING DOCUMENTATION TO THE RECEIVING HA ...... 17-3 17.2.9 INITIAL BILLING DEADLINE ...... 17-4 17.2.10 MONTHLY BILLING PAYMENTS ...... 17-4 17.2.11 SUBSEQUENT HOUSEHOLD MOVES ...... 17-5 17.2.12 DENIAL OR TERMINATION OF ASSISTANCE ...... 17-5 17.2.13 REGULAR RECERTIFICATION ...... 17-5 17.2.14 CHANGE IN BILLING AMOUNT ...... 17-5
17.3 PORT-INS ...... 17-6 17.3.1 RECEIVING HA ROLE ...... 17-6 17.3.2 PORT-INS AND MTW ...... 17-6 17.3.3 RESPONDING TO THE INITIAL PHA’S REQUEST ...... 17-6 17.3.4 INITIAL CONTACT WITH HOUSEHOLD ...... 17-6 17.3.5 BRIEFING ...... 17-7 17.3.6 INCOME ELIGIBILITY AND RECERTIFICATION ...... 17-7 17.3.7 VOUCHER ISSUANCE...... 17-7 17.3.8 VOUCHER TERM ...... 17-7 17.3.9 VOUCHER EXTENSIONS& SUSPENSIONS ...... 17-7 17.3.10 NOTIFYING THE INITIAL HA...... 17-8 17.3.11 INITIAL BILLING DEADLINE ...... 17-8 17.3.12 BILLING PROCEDURES ...... 17-8 17.3.13 DENIAL OR TERMINATION OF ASSISTANCE ...... 17-8
17.4 ABSORBING A PORTABLE HOUSEHOLD ...... 17-9
17.5 SPECIAL PURPOSE VOUCHERS AND PORTABILITY ...... 17-9
CHAPTER 18: INFORMAL REVIEWS AND HEARINGS...... 18-1
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-14
18.1 OVERVIEW ...... 18-1
18.2 INFORMAL REVIEWS ...... 18-1 18.2.1 DECISIONS SUBJECT TO INFORMAL REVIEW ...... 18-1 18.2.2 NOTICE TO THE APPLICANT ...... 18-2 18.2.3 SCHEDULING AN INFORMAL REVIEW ...... 18-2 18.2.4 INFORMAL REVIEW PROCEDURES ...... 18-2 18.2.5 INFORMAL REVIEW DECISION – DENIAL OF ASSISTANCE ...... 18-3
18.3 INFORMAL HEARINGS FOR PARTICIPANTS ...... 18-4 18.3.1 CIRCUMSTANCES FOR WHICH AN INFORMAL HEARING IS NOT GRANTED ...... 18-5 18.3.2 NOTICE TO THE HOUSEHOLD – INFORMAL HEARING ...... 18-6 18.3.3 SCHEDULING AN INFORMAL HEARING ...... 18-6 18.3.4 PRE-HEARING RIGHT TO DISCOVERY...... 18-7 18.3.5 PARTICIPANT’S RIGHT TO BRING COUNSEL ...... 18-7 18.3.6 INFORMAL HEARING OFFICER ...... 18-8 18.3.7 ATTENDANCE AT THE INFORMAL HEARING ...... 18-8 18.3.8 CONDUCT AT HEARINGS ...... 18-8 18.3.9 EVIDENCE ...... 18-8 18.3.10 HEARING OFFICER’S DECISION ...... 18-9 18.3.11 PROCEDURES FOR REHEARING OR FURTHER HEARING ...... 18-10 18.3.12 HHA NOTICE OF FINAL DECISION ...... 18-11
18.4 HEARING AND APPEAL PROVISIONS FOR NON-CITIZENS ...... 18-11
18.5 NOTICE OF DENIAL OR TERMINATION OF ASSISTANCE FOR NON-CITIZENS ...... 18-11
18.6 USCIS APPEAL PROCESS ...... 18-12
18.7 INFORMAL HEARING PROCEDURES FOR APPLICANTS - CITIZENSHIP ...... 18-12 18.7.1 EVIDENCE ...... 18-13 18.7.2 REPRESENTATION AND INTERPRETIVE SERVICES ...... 18-13 18.7.3 HEARING DECISION ...... 18-13 18.7.4 RETENTION OF DOCUMENTS ...... 18-13
CHAPTER 19: TERMINATION OF ASSISTANCE AND TENANCY ...... 19-1
19.1 OVERVIEW ...... 19-1
19.2 GROUNDS FOR TERMINATION OF ASSISTANCE ...... 19-1
19.3 REINSTATEMENT AFTER TERMINATION OF ASSISTANCE ...... 19-1
19.4 HOUSEHOLD NO LONGER REQUIRES ASSISTANCE ...... 19-1
19.5 HOUSEHOLD CHOOSES TO TERMINATE ASSISTANCE ...... 19-1
19.6 TERMINATION DUE TO EVICTION ...... 19-1
19.7 TERMINATION DUE TO FAILURE TO PROVIDE CONSENT ...... 19-2
19.8 TERMINATION DUE TO FAILURE TO DOCUMENT CITIZENSHIP ...... 19-2 19.8.1 NOTICE REQUIRMENT FOR TERMINATION DUE TO CITIZENSHIP DOCUMENTATION .... 19-2
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-15
19.9 TERMINATION DUE TO FAILURE TO PROVIDE SOCIAL SECURITY DOCUMENTATION . 19-3
19.10 TERMINATION DUE TO MANUFACTURE OR PRODUCTION OF METHAMPHETAMINE... 19-3
19.11 TERMINATION DUE TO FAILURE OF STUDENTS TO MEET ONGOING ELIGIBILITY REQUIREMENTS ...... 19-3
19.12 TERMINATION DUE TO DRUG AND ALCOHOL ABUSE ...... 19-3
19.13 TERMINATION DUE TO DRUG-RELATED AND VIOLENT CRIMINAL ACTIVITY ...... 19-4
19.14 TERMINATION DUE TO STATE REGISTERED LIFETIME SEX OFFENDER STATUS ...... 19-4
19.15 OTHER AUTHORIZED REASONS FOR TERMINATION OF ASSISTANCE ...... 19-4
19.16 INSUFFICIENT FUNDING ...... 19-5
19.17 FAMILY ABSENCE FROM THE UNIT ...... 19-5
19.18 MISSED APPOINTMENTS AND DEADLINES ...... 19-5
19.19 TERMINATING THE ASSISTANCE OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT OR STALKING VICTIMS AND PERPETRATORS ...... 19-6
19.20 METHOD OF TERMINATION ...... 19-6 19.20.1 CRITERIA FOR DECIDING TO TERMINATE ASSISTANCE ...... 19-7 19.20.2 EVIDENCE ...... 19-7
19.21 ALTERNATIVES TO TERMINATION ...... 19-7 19.21.1 CONSIDERATION OF CIRCUMSTANCES...... 19-7 19.21.2 REASONABLE ACCOMMODATION ...... 19-8 19.21.3 REMOVAL OF HOUSEHOLD MEMBER ...... 19-8
19.22 REPAYMENT OF FAMILY DEBTS ...... 19-8
19.23 TERMINATION NOTICE ...... 19-9 19.23.1 NOTICE REQUIREMENT – FAMILY INITIATED TERMINATION ...... 19-9
19.24 HOW TERMINATION OF ASSISTANCE AFFECTS THE HAP CONTRACT AND LEASE ...... 19-9
19.25 TERMINATION OF TENANCY BY THE OWNER ...... 19-9 19.25.1 OWNER DECISION WHETHER TO TERMINATE TENANCY ...... 19-10 19.25.2 TERMINATION BY THE OWNER DUE TO SERIOUS OR REPEATED LEASE VIOLATIONS 19-11 19.25.3 TERMINATION BY THE OWNER DUE TO VIOLATION OF FEDERAL, STATE, OR LOCAL LAW ...... 19-11 19.25.4 TERMINATION BY THE OWNER DUE TO CRIMINAL ACTIVITY OR ALCOHOL ABUSE ... 19-11
19.26 TERMINATION BY OWNER - EVIDENCE OF CRIMINAL ACTIVITY ...... 19-12
19.27 TERMINATION BY OWNER DUE TO OTHER GOOD CAUSE ...... 19-12
19.28 OWNER INITIATED EVICTION ...... 19-12
19.29 EFFECT OF OWNER TENANCY TERMINATION ON THE HOUSEHOLD’S ASSISTANCE .. 19-13
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-16
CHAPTER 20: PROGRAM INTEGRITY ...... 20-1
20.1 INTRODUCTION ...... 20-1
20.2 PREVENTING AND DETECTING PROGRAM ABUSE AND FRAUD PROGRAM ABUSE ...... 20-1
20.3 INVESTIGATION ...... 20-1 20.3.1 WHEN HHA WILL INVESTIGATE ...... 20-1 20.3.2 CONSENT TO RELEASE OF INFORMATION ...... 20-2 20.3.3 ANALYSIS AND FINDINGS ...... 20-2 20.3.4 CONSIDERATION OF REMEDIES ...... 20-3
20.4 NOTICE AND APPEALS ...... 20-3 20.4.1 HHA CAUSED UNDER OR OVERPAYMENT ...... 20-3
20.5 DEBTS TO HHA ...... 20-4
20.6 REPAYMENT AGREEMENTS ...... 20-5
20.7 FAMILY-CAUSED ERRORS AND PROGRAM ABUSE ...... 20-7 20.7.1 PENALTIES FOR PROGRAM ABUSE BY A FAMILY ...... 20-7
20.8 PROHIBITED OWNER ACTIONS ...... 20-7 20.8.1 REMEDIES AND PENALTIES...... 20-8
20.9 PROHIBITED ACTIVITIES BY HHA STAFF ...... 20-8
20.10 CRIMINAL PROSECUTION ...... 20-9
20.11 FRAUD AND PROGRAM ABUSE RECOVERIES ...... 20-9
CHAPTER 21: SPECIAL HOUSING TYPES ...... 21-10
21.1 SINGLE ROOM OCCUPANCY ...... 21-10 21.1.1 PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP CALCULATION ...... 21-10 21.1.2 HOUSING QUALITY STANDARDS (HQS) ...... 21-11
21.2 CONGREGATE HOUSING ...... 21-12 21.2.1 PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP CALCULATION ...... 21-12 21.2.2 HOUSING QUALITY STANDARDS ...... 21-12
21.3 GROUP HOME ...... 21-13 21.3.1 PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP CALCULATION ...... 21-13 21.3.2 HOUSING QUALITY STANDARDS ...... 21-14
21.4 SHARED HOUSING ...... 21-15 21.4.1 PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION ...... 21-15 21.4.2 HOUSING QUALITY STANDARDS ...... 21-16
21.5 COOPERATIVE HOUSING ...... 21-16 21.5.1 PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION ...... 21-16
21.6 MANUFACTURED HOMES ...... 21-17 21.6.1 SPECIAL POLICIES FOR MANUFACTURED HOME OWNERS WHO LEASE A SPACE ...... 21-17
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-17
21.6.2 PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION ...... 21-17 21.6.3 HOUSING QUALITY STANDARDS ...... 21-18
21.7 HOMEOWNERSHIP ...... 21-18 21.7.1 FAMILY ELIGIBILITY...... 21-19 21.7.2 ELIGIBLE UNITS ...... 21-20 21.7.3 ADDITIONAL HHA REQUIREMENTS FOR SEARCH AND PURCHASE ...... 21-21 21.7.4 HOME INSPECTIONS, CONTRACT OF SALE, AND PHA DISAPPROVAL OF SELLER] ...... 21-22 21.7.5 FINANCING ...... 21-23 21.7.6 CONTINUED ASSISTANCE REQUIREMENTS; FAMILY OBLIGATIONS ...... 21-23 21.7.7 MAXIMUM TERM OF HOMEOWNER ASSISTANCE ...... 21-24 21.7.8 HOMEOWNERSHIP ASSISTANCE PAYMENTS AND HOMEOWNERSHIP EXPENSES ...... 21-24 21.7.9 PORTABILITY ...... 21-26 21.7.10 MOVING WITH CONTINUED ASSISTANCE ...... 21-26 21.7.11 DENIAL OR TERMINATION OF ASSISTANCE ...... 21-27
CHAPTER 22: FAMILY SELF-SUFFICIENCY ...... 22-1
22.1 OVERVIEW ...... 22-1
22.2 PROGRAM BENEFITS AND ROLES AND RESPONSIBILITIES ...... 22-1
22.3 OUTREACH ...... 22-1
22.4 PROGRAM SIZE ...... 22-1
22.5 FSS ACTION PLAN ...... 22-2
22.6 PROGRAM COORDINATING COMMITTEE...... 22-2
22.7 SELECTION OF FSS PARTICIPANTS ...... 22-3
22.8 ELIGIBILITY ...... 22-3
22.9 FSS CONTRACT OF PARTICIPATION ...... 22-4 22.9.1 EXTENSIONS TO THE FSS CONTRACT OF PARTICIPATION ...... 22-5 22.9.2 COMPLETION OF THE CONTRACT ...... 22-6 22.9.3 CONSEQUENCES OF NON-COMPLIANCE WITH THE CONTRACT ...... 22-7 22.9.4 TERMINATION OF THE FSS CONTRACT ...... 22-7
22.10 INDIVIDUAL TRAINING AND SERVICE PLAN ...... 22-7
22.11 CHANGE IN FAMILY COMPOSITION ...... 22-8
22.12 PROVISION OF SERVICES ...... 22-8
22.13 ESCROW ACCOUNTS ...... 22-9 22.13.1 FSS ESCROW CREDIT ...... 22-9 22.13.2 TIMING OF THE ESCROW CREDIT CALCULATIONS ...... 22-10 22.13.3 CREDITING THE ESCROW ACCOUNT ...... 22-10 22.13.4 INVESTING THE FSS ESCROW ACCOUNT ...... 22-11 22.13.5 REPORTING ON THE FSS ESCROW ACCOUNT ...... 22-11 22.13.6 DISBURSING THE FSS ESCROW ACCOUNT ...... 22-12 22.13.7 USE OF FSS ESCROW FUNDS ...... 22-13
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-18
22.13.8 FORFEITING THE ACCOUNT ...... 22-13
22.14 OTHER FSS INCENTIVES ...... 22-14
22.15 AFFIRMATIVELY FURTHERING FAIR HOUSING ...... 22-14
22.16 FSS PORTABILITY ...... 22-14 22.16.1 TRANSFER TO HHA’S FSS PROGRAM UNDER PORTABILITY...... 22-15 22.16.2 ESCROW ACCOUNTS & PORTABILITY ...... 22-15 22.16.3 MONITORING STATUS FOR FSS CLIENTS UNDER PORTABILITY ...... 22-15 22.16.4 TERMINATION & PORTABILITY ...... 22-16
22.17 FSS REPORTING REQUIREMENTS ...... 22-16
CHAPTER 23: RENTAL ASSISTANCE DEMONSTRATION ...... 23-1
CHAPTER 24: PROJECT-BASED VOUCHERS ...... 24-2
24.1 TENANT-BASED VS. PROJECT-BASED VOUCHER ASSISTANCE ...... 24-2
24.2 RELOCATION REQUIREMENTS...... 24-2
24.3 EQUAL OPPORTUNITY REQUIREMENTS ...... 24-2
24.4 OWNER PROPOSAL SELECTION PROCEDURES ...... 24-2
24.5 SOLICITATION AND SELECTION OF PBV PROPOSALS ...... 24-3 24.5.1 HHA REQUEST FOR PROPOSALS FOR REHABILITATED AND NEWLY CONSTRUCTED UNITS ...... 24-3 24.5.2 HHA REQUESTS FOR PROPOSALS FOR EXISTING HOUSING UNITS ...... 24-4 24.5.3 SELECTION OF PROPOSALS SUBJECT TO A PREVIOUS COMPETITION UNDER A FEDERAL, STATE, OR LOCAL HOUSING ASSISTANCE PROGRAM...... 24-4 24.5.4 HHA-OWNED UNITS ...... 24-5 24.5.5 HHA NOTICE OF OWNER SELECTION ...... 24-5 24.5.6 HOUSING TYPE ...... 24-5 24.5.7 PROHIBITION OF ASSISTANCE FOR CERTAIN UNITS ...... 24-6
24.6 SUBSIDY LAYERING REQUIREMENTS ...... 24-6
24.7 CAP ON NUMBER OF PBV UNITS IN EACH PROJECT ...... 24-7
24.8 SITE SELECTION STANDARDS ...... 24-7 24.8.1 EXISTING AND REHABILITATED HOUSING SITE AND NEIGHBORHOOD STANDARDS ... 24-8 24.8.2 NEW CONSTRUCTION SITE AND NEIGHBORHOOD STANDARDS ...... 24-8
24.9 ENVIRONMENTAL REVIEW...... 24-9
24.10 HOUSING QUALITY STANDARDS ...... 24-9
24.11 INSPECTING UNITS ...... 24-9 24.11.1 PRE-SELECTION INSPECTION ...... 24-9 24.11.2 PRE-HAP CONTRACT INSPECTION ...... 24-10 24.11.3 TURNOVER INSPECTIONS ...... 24-10 24.11.4 ANNUAL/BIENNIAL INSPECTIONS ...... 24-10
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-19
24.11.5 OTHER INSPECTIONS...... 24-10 24.11.6 INSPECTING HHA-OWNED UNITS ...... 24-10
24.12 REHABILITATED AND NEWLY CONSTRUCTED UNITS ...... 24-10 24.12.1 AGREEMENT TO ENTER INTO HAP CONTRACT ...... 24-11 24.12.2 CONTENT OF THE AGREEMENT ...... 24-11 24.12.3 EXECUTION OF THE AGREEMENT ...... 24-11 24.12.4 LABOR STANDARDS ...... 24-12 24.12.5 EQUAL OPPORTUNITY ...... 24-12 24.12.6 OWNER DISCLOSURE ...... 24-12 24.12.7 EVIDENCE OF COMPLETION ...... 24-12 24.12.8 HHA ACCEPTANCE OF COMPLETED UNITS ...... 24-13
24.13 HOUSING ASSISTANCE PAYMENTS (HAP) CONTRACT ...... 24-13 24.13.1 HAP CONTRACT REQUIREMENTS ...... 24-13 24.13.2 CONTRACT EXECUTION ...... 24-14 24.13.3 TERM OF THE HAP CONTRACT ...... 24-14 24.13.4 HAP CONTRACT TERMINATION BY HHA ...... 24-14 24.13.5 HAP CONTRACT TERMINATION BY OWNER ...... 24-14 24.13.6 STATUTORY NOTICE REQUIREMENTS: CONTRACT TERMINATION OR EXPIRATION ... 24-15 24.13.7 REMEDIES FOR HQS VIOLATIONS ...... 24-15 24.13.8 AMENDMENTS TO THE HAP CONTRACT ...... 24-15 24.13.9 HAP CONTRACT YEAR, ANNIVERSARY AND EXPIRATION DATES ...... 24-16 24.13.10 OWNER RESPONSIBILITIES UNDER THE HAP ...... 24-16 24.13.11 ADDITIONAL HAP REQUIREMNTS ...... 24-17 24.13.12 HOUSING ASSISTANCE PAYMENTS ...... 24-17 24.13.13 VACANCY PAYMENTS ...... 24-17 24.13.14 REDUCTION IN HAP CONTRACT DUE TO VACANCIES...... 24-18
24.14 ELIGIBILITY FOR PBV ASSISTANCE ...... 24-18 24.14.1 IN-PLACE FAMILIES ...... 24-18
24.15 ORGANIZATION OF THE WAITING LIST ...... 24-19 24.15.1 REQUEST FOR OWNER MANAGED SBWL ...... 24-19
24.16 SELECTION FROM THE WAITING LIST ...... 24-19
24.17 OFFER OF PBV ASSISTANCE ...... 24-19
24.18 FAMILY BRIEFING...... 24-20
24.19 OWNER SELECTION OF TENANTS ...... 24-20
24.20 TENANT SCREENING ...... 24-20
24.21 LEASE ...... 24-20 24.21.1 INITIAL TERM AND LEASE RENEWAL ...... 24-21 24.21.2 CHANGES IN THE LEASE ...... 24-21 24.21.3 OWNER TERMINATION OF TENANCY ...... 24-22
24.22 CONTINUATION OF HOUSING ASSISTANCE PAYMENTS ...... 24-22
24.23 SECURITY DEPOSITS ...... 24-22
24.24 VACANT UNITS ...... 24-23
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-20
24.25 FAMILY RIGHT TO MOVE ...... 24-23
24.26 OVERCROWDED, UNDEROCCUPIED AND ACCESSIBLE UNITS ...... 24-24
24.27 CHANGES TO FAMILY COMPOSITION ...... 24-24
24.28 UNITS WITH REQUIRED SUPPORTIVE SERVICES ...... 24-24
24.29 DETERMINING RENT TO OWNER ...... 24-25 24.29.1 EFFECT OF OTHER SUBSIDY AND RENT CONTROL ...... 24-26 24.29.2 REASONABLE RENT...... 24-26 24.29.3 REASONABLE RENT FOR HHA-OWNED UNITS ...... 24-27 24.29.4 USE OF FMRs, EXCEPTION PAYMENT STANDARDS, and UTILITY ALLOWANCES ...... 24-27 24.29.5 REDETERMINATION OF RENT ...... 24-28 24.29.6 NOTICE OF RENT CHANGE ...... 24-28
24.30 TENANT RENT TO OWNER...... 24-29
24.31 UTILITY REIMBURSEMENTS ...... 24-29
24.32 OTHER FEES AND CHARGES ...... 24-29
24.33 PRESERVATION AFTER CONSERVATION ...... 24-30
CHAPTER 25: GLOSSARY OF SUBSIDIZED HOUSING TERMS ...... 25-1
APPENDIX A: PARTICIPATION AGREEMENT – CENTRALIZED WAITING LISTA-1
APPENDIX B: CHART OF OFFENSES – DENIAL OF ADMISSION ...... B-1
APPENDIX C: FEDERALLY MANDATED INCOME EXCLUSIONS ...... C-1
APPENDIX D: HQS OWNER CERTIFICATIONS ...... D-1
APPENDIX E: HUD DEFINITION OF LIFE-THREATENING CONDITIONS ...... E-1
APPENDIX F: RAD FIRST COMPONENT CONVERSIONS ...... F-1
APPENDIX G: RAD SECOND COMPONENT CONVERSIONS – MOD REHAB ...... G-1
APPENDIX H: RAD SECOND COMPONENT CONVERSIONS – RENT SUPP/RAP .. H-1
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-21
CHAPTER 1: OVERVIEW OF THE PROGRAM AND PLAN
1.1 MOVING TO WORK DEMONSTRATION
The Holyoke Housing Authority (HHA) has been designated a Moving to Work Demonstration site, provided under Section 204(a) of the 1996 Appropriations Act. The Moving to Work Demonstration Agreement was effective September 6, 2013 and is expected to continue until the end of HHA’s 2018 Fiscal Year (FY), unless such term is otherwise extended by HUD.
HHA’s MTW Agreement provides that HHA shall have flexibility to design and test various approaches for providing and administering housing assistance that reduce cost and achieve greater cost effectiveness in federal expenditures; give incentives to households with children whose heads of household are either working, seeking work, or are participating in job training, educational, or other programs that assist in obtaining employment and becoming economically self-sufficient; and increase housing choices for low income households.
HHA is exempt from certain provisions of the U.S. Housing Act of 1937 and it’s implementing regulations. This allows HHA to design and test innovative methods of providing housing and delivering services to low-income households in an efficient and effective manner. HHA may adopt and implement policies for admission and occupancy, eligibility, selection and assignment, hardships, change in income, definition of elderly, recertification’s, establishing rents, lease requirements, and other specific criteria. The policies HHA has implemented pursuant to MTW are included in this Administrative Plan, HHA’s MTW Agreement, and HHA’s Annual Plans.
HHA’s Administrative Plan includes policies which have been developed and implemented under the MTW program. The policies adopted by HHA, under the MTW Agreement, will remain in force through the term of the Agreement and will supersede existing and applicable HUD requirements unless and until amended.
Additionally, this Plan includes policies which govern the units not covered under HHA’s MTW Agreement. These policies have been developed pursuant to applicable federal laws and regulations. Program policies related to the Housing Choice Voucher (HCV) Program and not addressed in this Plan are governed by HHA’s MTW Agreement, Annual Plans and, as applicable, federal statutes and regulations as well as other applicable law.
1.2 HHA MISSION
The Holyoke Housing Authority is committed to providing decent, safe, affordable housing for low-income families and to manage resources efficiently. The mission of the Holyoke Housing Authority is to promote adequate and affordable housing, economic opportunity, and a suitable living environment free from discrimination. The Holyoke Housing Authority shall provide decent, safe and sanitary housing and a suitable living environment for eligible families, elderly and disabled, in a manner that promotes serviceability, economy, efficiency, stability of the project, and promote equal housing opportunities and the economic and social well-being of the families.
Administrative Plan: OVERVIEW OF THE PROGRAM AND PLAN 1-1
1.3 OVERVIEW AND PURPOSE OF THE PLAN
The Holyoke Housing Authority (HHA) is a non-profit, quasi-public corporation which administers the HCV program in conformance with all applicable federal, State and local regulatory requirements.
The Administrative Plan is required by HUD. The purpose of the Administrative Plan is to establish policies for carrying out the programs in a manner consistent with HUD requirements, HHA’s MTW Agreement and local goals and objectives included in HHA’s MTW Plans. This Administrative Plan is available for public review.
1.4 UPDATING AND REVISING THE PLAN
HHA will review and update the Administrative Plan as needed to reflect changes in regulations, MTW initiatives, HHA operations, or when needed to ensure staff consistency in operation. The original plan and any changes are approved by HHA’s Board of Commissioners.
HHA, from time to time, may make non-substantive changes and edits to the Administrative Plan to clarify policy language.
1.5 APPLICABLE REGULATIONS AND AGREEMENTS
This Administrative Plan is governed by the following authorities:
• HHA’s Moving to Work Demonstration Agreement between HHA and the U.S. Department of Housing and Urban Development; and
• HHA Annual Plan.
To the extent not superseded by the above authorities, the following regulations apply:
• 24 CFR Part 5: General Program Requirements;
• 24 CFR Part 8: Nondiscrimination;
• 24 CFR Part 35: Lead-Based Paint; and
• 24 CFR Part 982: Section 8 Tenant Based Assistance: HCV Program.
1.6 MTW – SIMPLIFICATION AND STREAMLINING OF PROCESS
HHA may adopt and implement any reasonable policies for setting rents for public housing, or rents or subsidy levels for tenant-based assistance, notwithstanding the U.S. Housing Act of 1937. HHA will submit the proposed policies to HUD annually and upon any material change. Prior to HHA to submission to HUD, HHA will ensure that:
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• HHA’s Board approves the policies, including related impact analyses;
• HHA will periodically reevaluate its rent and subsidy level policies, including preparing a revised impact analysis;
• HHA has adopted a policy for addressing hardship cases and has included a transition period for rent increases to existing tenants; and
• HHA holds a public hearing regarding the policy.
Rent policies, or any material changes to the rent policies will be effective upon HUD and board approval
1.6.1 MTW AND NON-MTW POLICIES
Policies that are adopted by HHA, under the MTW Agreement, are specifically noted in the Plan as MTW policies. Where a Plan policy relates to MTW and Non-MTW programs, the policy citation will not state MTW or Non-MTW. Finally, where regulatory citations are specifically identified in this Plan, if a corresponding MTW policy is in effect, the MTW policy will supersede the existing and applicable HUD regulatory citation.
1.6.2 IDENTIFYING MTW POLICIES
The following table reflects the MTW policies contained in HHA’s Administrative Plan including the respective effective date for each policy initiative and modification.
Chapter Heading/Topic Effective Date Chapter 1: Overview of the • 1.1 Moving to Work Demonstration Program & Plan • 1.6.1. MTW and Non-MTW Policies Chapter 8: Verification • 8.33 Assets and Income from Assets Verification • 2014
Chapter 10: Calculating • 10.9 Applying Payment Standards • 2017 Total Tenant Payment & Rent Chapter 11: Housing • 11.26.2 When Rent Reasonableness • 2015 Quality Standards & Rent Determinations are Required Reasonableness
Chapter 15: Continued • 15.3 Regular Reexaminations • 2014 Occupancy • 15.16.2 Limits on Interim Reexamination • 2015 • 15.24 Career Advancement Program (CAP) • 2015
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Chapter Heading/Topic Effective Date Chapter 24: Project-Based • 24.4 Owner Proposal Selection Procedures • 2016 Vouchers • 24.7 Cap on Number of PBV Units in Each • 2016 Project • 24.13.8 Amendments to the HAP Contract • 2016 • 24.15 Organization of the Waiting List • 2016 • 24.25 Family Right to Move • 2016 • 24.27 Changes to Family Composition • 2016 • 24.29.2 Reasonable Rent • 2015 • 24.33 Preservation After Conservation • 2015
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CHAPTER 2: GENERAL POLICIES
2.1 INTRODUCTION
This chapter discusses administrative policies and practices that are relevant to the activities covered in this plan.
2.2 ADMINISTRATIVE FEE RESERVE
HHA conforms to the requirements of the MTW Agreement with respect to maintenance of reserves.
2.3 RECORD KEEPING
2.3.1 OVERVIEW
HHA must maintain complete and accurate accounts and other records for the program in accordance with HUD requirements, in a manner that permits a speedy and effective audit. All such records must be made available to HUD or the Comptroller General of the United States upon request.
In addition, HHA must ensure that all applicant and participant files are maintained in a way that protects an individual’s privacy rights.
2.3.2 RECORD RETENTION
During the term of each assisted lease, and for at least three years thereafter, HHA must keep:
• A copy of the executed lease;
• The HAP contract; and
• The application from the family.
In addition, HHA must keep the following records for at least three years:
• Records that provide income, racial, ethnic, gender, and disability status data on program applicants and participants;
• An application from each ineligible family and notice that the applicant is not eligible;
• HUD-required reports;
• Unit inspection reports
• Lead-based paint records as required by 24 CFR 35, Subpart B.
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• Accounts and other records supporting HHA budget and financial statements for the program;
• Records to document the basis for HHA determination that rent to owner is a reasonable rent [initially and during the term of a HAP contract]; and
• Other records specified by HUD.
If an informal hearing to establish a family’s citizenship status is held, longer retention requirements apply for some types of documents.
2.3.3 RECORDS MANAGEMENT
HHA must maintain applicant and participant files and information in accordance with the regulatory requirements.
All applicant and participant information will be kept in a secure location and access will be limited to authorized HHA staff.
HHA staff will not discuss personal family information unless there is a business reason to do so. Inappropriate discussion of family information or improper disclosure of family information by staff will result in disciplinary action.
Privacy Act Requirements The collection, maintenance, use, and dissemination of social security numbers [SSN], employer identification numbers [EIN], any information derived from these numbers, and income information of applicants and participants must be conducted, to the extent applicable, in compliance with the Privacy Act of 1974, and all other provisions of Federal, State, and local law.
Applicants and participants, including all adults in the household, are required to sign a consent form, HUD-9886, Authorization for Release of Information. This form incorporates the Federal Privacy Act Statement and describes how the information collected using the form may be used, and under what conditions HUD or HHA may release the information collected.
Upfront Income Verification [UIV] Records HA’s that access UIV data through HUD’s UIV System are required to adopt and follow specific security procedures to ensure that all UIV data is protected in accordance with Federal laws, regardless of the media on which the data is recorded [e.g. electronic, paper]. These requirements are contained in Upfront Income Verification [UIV] System Security Procedures.
Prior to utilizing HUD’s UIV system, HHA will adopt and implement UIV security procedures required by HUD.
Criminal Records
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HHA may only disclose the criminal conviction records which HHA receives from a law enforcement agency to officers or employees of HHA, or to authorized representatives of HHA who have a job-related need to have access to the information.
HHA will establish and implement a system of records management that ensures that any criminal record received by HHA from a law enforcement agency is maintained confidentially, not misused or improperly disseminated, and destroyed, once the purpose for which the record was requested has been accomplished, including expiration of the period for filing a challenge to HHA action without institution of a challenge or final disposition of any such litigation.
HHA will establish and implement a system of records management that ensures that any sex offender registration information received by HHA from a State or local agency is maintained confidentially, not misused or improperly disseminated, and destroyed, once the purpose for which the record was requested has been accomplished, including expiration of the period for filing a challenge to HHA action without institution of a challenge or final disposition of any such litigation. However, a record of the screening, including the type of screening and the date performed must be retained [Notice PIH 2012-28]. This requirement does not apply to information that is public information, or is obtained by HHA other than under 24 CFR 5.905.
Medical/Disability Records HHA is not permitted to inquire about the nature or extent of a person’s disability. HHA may not inquire about a person’s diagnosis or details of treatment for a disability or medical condition. If HHA receives a verification document that provides such information, HHA should not place this information in the tenant file. HHA should destroy the document.
Documentation of Domestic Violence, Dating Violence, Sexual Assault, or Stalking For requirements and HHA policies related to management of documentation obtained from victims of domestic violence, dating violence, sexual assault, or stalking, see VAWA Record Retention policies.
2.3.4 ELECTRONIC SIGNATURES & SCANNED DOCUMENTS
Electronic records and signatures carry the same weight and legal effect as traditional paper documents and handwritten signatures. HHA will not deny the legal effect or enforceability of a document solely because it is in electronic form. (Electronic Signatures in Global and National Commerce Act (ESIGN, 2000) and the Uniform Electronic Transactions Act (UETA, 1999).
HHA will accept scanned documents to verify program information. If at any time, HHA has reason to believe that documents have been altered or contain fraudulent information, HHA may request additional documentation to verify program information.
2.4 REPORTING AND RECORD KEEPING FOR CHILDREN WITH ENVIRONMENTAL INTERVENTION BLOOD LEVEL
2.4.1 OVERVIEW
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HHA has certain responsibilities relative to children with environmental intervention blood lead levels that are receiving HCV assistance. This part deals with the reporting requirements, and data collection and record keeping responsibilities that HHA is subject to.
2.4.2 REPORTING REQUIREMENTS
HHA will report the name and address of a child identified as having an environmental intervention blood lead level to the public health department within 5 business days of being so notified by any other medical health care professional.
HHA will provide the public health department written notice of the name and address of any child identified as having an environmental intervention blood lead level.
2.4.3 DATA COLLECTION AND RECORD KEEPING
At least quarterly, HHA will attempt to obtain from the public health department(s) with a similar area of jurisdiction, the names and/or addresses of children less than 6 years old with an identified environmental intervention blood lead level.
If HHA obtains names and addresses of environmental intervention blood lead level children from the public health department(s), HHA will match this information with the names and addresses of families receiving HCV assistance, unless the public health department performs such a procedure. If a match occurs, HHA will carry out notification, verification, and hazard reduction requirements as well as the reporting requirement discussed above.
The public health department(s) has stated they do not wish to receive a report of an updated list of the addresses of units receiving assistance under the HCV program, on a quarterly basis. Therefore, HHA is not providing such a report.
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CHAPTER 3: FAIR HOUSING AND EQUAL OPPORTUNITY
3.1 INTRODUCTION
This chapter explains the laws and HUD regulations requiring HHA to affirmatively further civil rights and fair housing in all federally-assisted housing programs. The letter and spirit of these laws are implemented through consistent policies and processes. The responsibility to further nondiscrimination pertains to all areas of HHA’s HCV operations.
3.2 NON-DISCRIMINATION
HHA treats all applicants and clients equally, providing the same quality of service, regardless of household characteristics and background. Federal law prohibits discrimination in housing on the basis of race, color, religion, sex, national origin, age, familial status, and/or disability. In addition, HUD regulations provide for additional protections regarding sexual orientation, gender identity, and marital status. HHA will comply with all applicable federal, State, and local nondiscrimination laws, and with rules and regulations governing fair housing and equal opportunity in housing and employment, including:
• Title VI of the Civil Rights Act of 1964;
• Title VIII of the Civil Rights Act of 1968 (as amended by the Community Development Act of 1974 and the Fair Housing Amendments Act of 1988);
• Executive Order 11063;
• Section 504 of the Rehabilitation Act of 1973;
• The Age Discrimination Act (ADA) of 1975;
• Title II of the Americans with Disabilities Act (to the extent that it applies, otherwise Section 504 and the Fair Housing Amendments govern);
• Violence Against Women Reauthorization Act of 2013(VAWA); and
• The Equal Access to Housing in HUD Programs regardless of Sexual Orientation or Gender Identity Final Rule, published in the Federal Register February 3, 2012.
When more than one civil rights law applies to a situation, the laws will be read and applied together; and any applicable state laws or local ordinances and any legislation protecting individual rights of participating households, applicants, or staff that may subsequently be enacted.
HHA will not discriminate on the basis of gender identity, marital status or sexual orientation.
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HHA will not use any of the household characteristics or background described above to:
• Deny to any household the opportunity to apply for housing, nor deny any qualified applicant the opportunity to participate in the housing choice voucher program;
• Provide housing that is different from that provided to others;
• Subject anyone to segregation or disparate treatment;
• Restrict anyone's access to any benefit enjoyed by others in connection with the housing program;
• Treat a person differently in determining eligibility or other requirements for admission;
• Steer an applicant or client toward or away from a particular area based any of these factors;
• Deny anyone access to the same level of services;
• Deny anyone the opportunity to participate in a planning or advisory group that is an integral part of the housing program;
• Discriminate in the provision of residential real estate transactions;
• Discriminate against someone because they are related to or associated with a member of a protected class; or
• Publish or cause to be published an advertisement or notice indicating the availability of housing that prefers or excludes persons who are members of a protected class.
3.3 PROVIDING INFORMATION TO FAMILIES AND OWNERS
HHA takes steps to ensure that families and owners are fully aware of all applicable civil rights laws. As part of the briefing process, HHA provides information to HCV applicant families about civil rights requirements and the opportunity to rent in a broad range of neighborhoods.
The Housing Assistance Payments (HAP) contract informs owners of the requirement not to discriminate against any person because of race, color, religion, sex, national origin, age, familial status, or disability.
3.4 PRIVACY
Information that is obtained directly from applicants/clients or from those persons authorized by the applicant/client will be used or disclosed only for purposes relating directly to the administration of the HCV program.
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All applicants/clients are required to complete and sign the HUD Authorization for Release of Information or other approved document, which incorporates the Federal Privacy Act Statement and delineates the terms and conditions for release of household information by HUD and/or HHA. HHA’s policy regarding release of information is in accordance with State and local laws that may restrict the release of household information.
Information documenting the need for a reasonable accommodation will be kept in a separate folder and marked "confidential". The personal information in this folder must not be released except on an "as needed" basis in cases where an accommodation is under consideration. Any information received that contains an individual’s specific diagnosis, information regarding the individual’s treatment, and/or information regarding the nature or severity of a person’s disability will be destroyed or returned to the household member. It will not be kept in a separate folder. All requests for access and related review of accommodation requests will be received and determined by HHA staff person assigned to review and make determinations on reasonable accommodations or by the HCV program designee.
HHA's practices and procedures are designed to safeguard the privacy of applicants and participating households. All applicant and household files will be stored in a secure location only accessible by authorized staff.
HHA staff will not discuss household information contained in files unless there is a business reason to do so. Inappropriate discussion of household information or improper disclosure of household information by staff will result in disciplinary action.
3.5 DISCRIMINATION COMPLAINTS
Applicants or households that believe they have been subject to unlawful discrimination may notify HHA in writing. HHA will attempt to remedy discrimination complaints made against HHA.
HHA will provide a copy of a discrimination complaint form to the complainant and provide them with information on how to complete and submit the form to HUD’s Office of Fair Housing and Equal Opportunity (FHEO).
3.6 POLICIES RELATED TO PERSONS WITH DISABILITIES
HHA strives to ensure that persons with disabilities have full access to HHA’s programs and services. This responsibility begins with the first inquiry of an interested household and continues through every programmatic area of the HCV program.
HHA will ask all applicants and clients if they require any type of accommodations, in writing, on the intake application, recertification documents, and notices of adverse action by HHA, by including the following language:
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“If you or anyone in your family is a person with disabilities, and you require a specific accommodation in order to fully utilize our programs and services, please contact the housing authority.”
If a person requests an accommodation, HHA may need to verify that the person is a qualified individual with a disability, and must determine whether an accommodation is necessary to provide the individual with an equal opportunity to participate in the HCV program. A person who does not meet the definition of disability is not entitled to a reasonable accommodation.
3.6.1 DEFINITION OF DISABILITY
A person with a disability is any person who:
• Has a physical or mental impairment that substantially limits one or more of the major life activities of an individual, or
• Has a record of such impairment, or
• Is regarded as having such impairment.
The phrase “physical or mental impairment” includes:
• Any physiological disorder or condition, cosmetic or disfigurement, or anatomical loss affecting one or more of the following body systems: neurological; musculoskeletal; special sense organs; respiratory, including speech organs; cardiovascular; reproductive; digestive; genito-urinary; hemic and lymphatic; skin; and endocrine; or
• Any mental or psychological disorder, such as mental retardation, organic brain syndrome, emotional or mental illness, and specific learning disabilities. The term “physical or mental impairment” includes, but is not limited to: such diseases and conditions as orthopedic, visual, speech and hearing impairments, cerebral palsy, autism, epilepsy, muscular dystrophy, multiple sclerosis, cancer, heart disease, diabetes, mental retardation, emotional illness, drug addiction and alcoholism.
“Major life activities” includes, but is not limited to, caring for oneself, performing manual tasks, walking, seeing, hearing, breathing, learning, and/or working.
“Has a record of such impairment” means has a history of, or has been misclassified as having, a mental or physical impairment that substantially limits one or more major live activities.
“Is regarded as having an impairment” is defined as having a physical or mental impairment that does not substantially limit one or more major life activities but is treated by a public entity (such as HHA) as constituting such a limitation; has none of the impairments defined in this section but is treated by a public entity as having such an impairment; or has a physical or mental impairment that substantially limits one or more major life activities, only as a result of the attitudes of others toward that impairment.
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3.6.2 PERSON WITH DISABILITIES DOES NOT INCLUDE
The definition of a person with disabilities does not include:
• Current illegal drug users;
• People whose alcohol use interferes with the rights of others; or
• Persons who objectively pose a direct threat or substantial risk of harm to others that cannot be controlled with a reasonable accommodation under the HCV program.
3.6.3 VERIFICATION OF DISABILITY
When verifying a disability, HHA will follow its policies on verification. All information related to a person’s disability will be treated in accordance with the privacy policies in this plan. In addition to the general requirements that govern all verification efforts, additional verification requirements for verifying disability will be followed. See VERIFICATION OF DISABILITY.
3.6.4 DENIAL OR TERMINATION OF ASSISTANCE – FAMILIES WITH DISABLED HOUSEHOLD MEMBERS
HHA’s decision to deny or terminate the assistance to a household that includes a person with disabilities is subject to consideration of reasonable accommodation.
When applicants with disabilities are denied assistance, the notice of denial will inform them of HHA’s informal review process and their right to request a hearing. In addition, the notice will inform applicants with disabilities of their right to request reasonable accommodations to participate in the informal hearing process.
When a household’s assistance is terminated, the notice of termination will inform them of HHA’s informal hearing process and their right to request a hearing and reasonable accommodation.
When reviewing reasonable accommodation requests, HHA will consider whether any mitigating circumstances can be verified to explain and overcome the problem that led to HHA’s decision to deny or terminate assistance. If a reasonable accommodation will allow the household to meet the requirements, HHA may make the accommodation
3.7 REASONABLE ACCOMMODATION
A person with a disability may require special accommodations in order to have equal access to the HCV program. The types of reasonable accommodations HHA can provide include changes, exceptions, or adjustments to a rule, policy, practice, or service.
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Requests for accommodations will be considered reasonable if they do not create an "undue financial and administrative burden" for HHA, or result in a “fundamental alteration” in the nature of the program or service offered. A fundamental alteration is a modification that alters the essential nature of HHA’s operations.
3.7.1 TYPES OF REASONABLE ACCOMMODATIONS
When requested, HHA will make reasonable accommodations to modify normal procedures to accommodate the needs of a person with disabilities. Examples include but are not limited to:
• Permitting applications and recertification’s to be completed by mail;
• Conducting home visits;
• Permitting a higher utility allowance for the unit if a person with disabilities requires the use of specialized equipment related to the disability;
• Using higher payment standards (either within the acceptable range or with HUD approval, if required, of a payment standard outside HHA range) if HHA determines this is necessary to enable a person with disabilities to obtain a suitable housing unit;
• Providing time extensions for locating a unit when necessary because of lack of availability of accessible units or special challenges of the household in seeking a unit;
• Permitting an authorized designee or advocate to participate in the application or certification process and any other meetings with HHA staff; or
• Displaying posters and other housing information in locations throughout HHA's office in such a manner as to be easily readable from a wheelchair.
3.7.2 REQUEST FOR AN ACCOMMODATION
If an applicant or client indicates that an exception, change, or adjustment to a rule, policy, practice, or service is needed because of a disability, HHA will treat the information as a request for a reasonable accommodation, even if no formal request is made.
The household must explain what type of accommodation is needed to provide the person with the disability full access to HHA’s programs and services.
If the need for the accommodation is not readily apparent or known to HHA, the household must explain the relationship between the requested accommodation and the disability. There must be an identifiable relationship, or nexus, between the requested accommodation and the individual’s disability. HHA may request verification necessary to determine the need for or type of accommodation.
3.7.3 MODIFICATIONS TO PROVIDE ACCESSIBILITY
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Under the Fair Housing Act of 1988 an owner must not refuse the request of a family that contains a person with a disability to make necessary and reasonable modifications to the unit. Such modifications are at the family's expense. The owner may require restoration of the unit to its original condition if the modification would interfere with the owner or next occupant's full enjoyment of the premises. The owner may not increase a customarily required security deposit. However, the landlord may negotiate a restoration agreement that requires the family to restore the unit and, if necessary to ensure the likelihood of restoration, may require the tenant to pay a reasonable amount into an interest bearing escrow account over a reasonable period of time. The interest in any such account accrues to the benefit of the tenant. The owner may also require reasonable assurances that the quality of the work will be acceptable and that any required building permits will be obtained [24 CFR 100.203; Notice 2003-31]. Modifications to units to provide access for a person with a disability must meet all applicable HQS requirements and conform to the design, construction, or alteration of facilities contained in the UFAS and the ADA Accessibility Guidelines [ADAAG] [28 CFR 35.151[c] and Notice 2003-31]. Any owner that intends to negotiate a restoration agreement or require an escrow account must submit the agreement[s] to HHA for review.
3.7.4 APPROVAL OR DENIAL OF A REQUESTED ACCOMMODATION
HHA will approve a request for an accommodation if the following three conditions are met:
• The request was made by or on behalf of a person with a disability;
• There is a disability-related need for the accommodation; and
• The requested accommodation is reasonable, meaning it would not impose an undue financial and administrative burden on HHA, or fundamentally alter the nature of HHA’s Public Housing operations (including the obligation to comply with its MTW Agreement and applicable HUD requirements and regulations).
Requested accommodations will not be approved if one of the following would occur as a result:
• A violation of State and/or federal law;
• A fundamental alteration in the nature of HHA housing program;
• An undue financial and administrative burden on HHA;
• A structurally infeasible alteration; or
• An alteration requiring the removal or alteration of a load-bearing structural member.
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Requests for accommodations must be assessed on a case-by-case basis, taking into account factors such as the cost of the requested accommodation, the financial resources of HHA at the time of the request, the benefits that the accommodation would provide to the household , and the availability of alternative accommodations that would effectively meet the household ’s disability-related needs to the extent applicable to HCV (Joint Statement of the Departments of HUD and Justice: Reasonable Accommodations under the Fair Housing Act).
Before making a determination whether to approve the request, HHA may enter into discussion and negotiation with the household, request more information from the household, or may require the household to sign a consent form so that HHA may verify the need for the requested accommodation.
After a request for an accommodation is presented, HHA will respond, in writing, in a timely fashion.
If HHA denies a request for an accommodation because there is no relationship found between the disability and the requested accommodation, the notice will inform the household of the right to appeal HHA’s decision through an informal hearing (if applicable).
If HHA denies a request for an accommodation because it is not reasonable (it would impose an undue financial and administrative burden or fundamentally alter the nature of HHA’s operations), HHA may review with the household alternative accommodations which could effectively address the household’s disability-related needs without a fundamental alteration to the HCV program and without imposing an undue financial and administrative burden.
If HHA believes that the household has failed to identify a reasonable alternative accommodation after interactive discussion and negotiation, HHA will notify the household, in writing, of its determination in a timely fashion. The notice will inform the household of the right to appeal HHA’s decision through an informal hearing.
3.7.5 RIGHT TO APPEAL/INFORMAL HEARING PROCESS FOR REASONABLE ACCOMMODATION
HCV program applicants or clients may file a complaint in accordance with HHA’s Informal Hearing Policy following a formal determination by HHA’s Section 5O4/ADA Coordinator denying a reasonable accommodation. Persons with disabilities may also request reasonable accommodations to participate in HHA Informal Hearing process and HHA will consider such accommodation.
3.8 PROGRAM ACCESSIBILITY FOR PERSONS WITH HEARING OR VISION IMPAIRMENTS
HUD regulations require HHA to ensure that persons with disabilities related to hearing and vision have reasonable access to HHA's programs and services [24 CFR 8.6]. At the initial point of contact with each applicant, HHA shall inform all applicants of alternative forms of communication that can be used other than plain language paperwork.
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3.9 PHYSICAL ACCESSIBILITY
HHA complies with the applicable requirements pertaining to physical accessibility, including the following:
• Notice PIH 2010-26;
• Section 504 of the Rehabilitation Act of 1973;
• The Americans with Disabilities Act of 1990;
• The Architectural Barriers Act of 1968; and
• The Fair Housing Act of 1988.
HHA’s policies concerning physical accessibility are readily available to applicants and households. They can be found in the following documents:
• This policy, the Administrative Plan, describes the key policies that govern HHA’s responsibilities with regard to physical accessibility;
• PIH Notice 2010-26 summarizes information about pertinent laws and implementing regulations related to nondiscrimination and accessibility in federally-funding housing programs; and
• HHA’s MTW Plans.
When issuing a voucher to a household that includes an individual with disabilities, HHA may include a current list of available accessible units known to HHA and may assist the household in locating an available accessible unit, if necessary.
In general, owners must permit the household to make reasonable modifications to the unit. However, the owner is not required to pay for the modification and may require that the unit be restored to its original state at the household’s expense when the household moves.
Reasonable modifications are subject to the following:
• The owner may require restoration of the unit to its original condition if the modification would interfere with the owner or next occupant's full enjoyment of the premises.
• The owner may not increase a customarily required security deposit. However, the owner may negotiate a restoration agreement that requires the household to restore the unit and, if necessary to ensure the likelihood of restoration, may require the household to pay a reasonable amount into an interest-bearing escrow account over a reasonable period of time. The interest in any such account accrues to the benefit of the household.
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• The owner may require reasonable assurances from the household that the quality of the work will be acceptable and that any required building permits will be obtained.
• Modifications to units to provide access for a person with a disability must meet all applicable HQS requirements and conform to the design, construction, or alteration of facilities contained in the Uniform Federal Accessibility Standards (UFAS) and the ADA Accessibility Guidelines (ADAAG)
• Any owner that intends to negotiate a restoration agreement or require an escrow account must submit the agreement(s) to HHA for review.
3.10 IMPROVING ACCESS FOR PERSONS WITH LIMITED ENGLISH PROFICIENCY
Language for Limited English Proficiency Persons (LEP) can be a barrier to accessing important benefits or services, understanding and exercising important rights, complying with applicable responsibilities, or understanding other information provided by the HCV program. In certain circumstances, failure to ensure that LEP persons can effectively participate in or benefit from federally-assisted programs and activities may violate the prohibition under Title VI against discrimination on the basis of national origin. This part incorporates the Notice of Guidance to Federal Assistance Recipients Regarding Title VI Prohibition Affecting Limited English Proficient Persons, published January 22, 2007 in the Federal Register.
HHA will ensure that affirmative steps are taken to communicate with people who need services or information in a language other than English. Individuals may contact HHA for a referral to locally available language resources.
LEP is defined as persons who do not speak English as their primary language and who have a limited ability to read, write, speak or understand English. For the purposes of this Administrative Plan, LEP persons are HCV applicants and clients, and parents and household members of applicants and clients.
In order to determine the level of access needed by LEP persons, HHA will balance the following four factors:
• The number or proportion of LEP persons eligible to be served or likely to be encountered by the HCV program;
• The frequency with which LEP persons come into contact with the program;
• The nature and importance of the program, activity, or service provided by the program to people’s lives; and
• The resources available to HHA and costs.
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Balancing these four factors will ensure meaningful access by LEP persons to critical services while not imposing undue burdens on HHA.
3.11 OUTREACH
It is HHA’s policy to encourage the participation of owners in the HCV program and to make the HCV program known and available to serve the needs of income-eligible families. To ensure the availability of qualified applicants on the waiting list, on an as needed basis, HHA will publicize and disseminate information to make known the availability of housing assistance and related services for income-eligible families. In addition, HHA will make a concerted effort to keep private owners informed of legislative changes in the tenant-based program, which are designed to make the program more attractive to owners.
HHA may undertake the following actions to expand housing choices and reduce concentrations of poverty and assisted units:
• Conduct monthly landlord fairs to recruit new owners to the program, including owners from underrepresented areas with few or no assisted units;
• Provide voucher holders with information on their right to move to any jurisdiction in the country that operates a HCV program. This includes detailed information on how portability works, contact names in other jurisdictions and other relevant information;
• During briefing sessions, HHA will provide maps showing housing opportunity areas outside of concentrations of poverty, minorities and/or assisted housing. This will also include, as available, information on transportation, job opportunities, schools and other services in these areas;
• Provide voucher holders with a list of owners willing to lease properties (including, as available, owners in non-impacted areas) and a list of fair housing and other organizations that can help find suitable housing in non-impacted areas; and
• Monitor lease-up activity and evaluate as appropriate the feasibility of exception payment standards within the jurisdiction to promote housing choice and deconcentration.
HHA will perform outreach to households that qualify for HCV program assistance. Outreach will include print advertising and coordination with service providers such as community-based organizations, private housing owners and public and private homeless shelter operators. Outreach activities will be performed in English and in other languages as deemed necessary by HHA. HHA will publicize the opening of the waiting list in a newspaper of general circulation and in minority media and will provide information to applicants/clients concerning the availability of housing and related services. Briefing sessions for new clients will include the following information related to outreach:
• An explanation of the advantages of moving to areas that do not have a high concentration of poor families for families currently living in high poverty census tracts;
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• An explanation of portability procedures for families that qualify to rent units either inside or outside HHA’s jurisdiction;
• Briefing materials which include portability procedures;
• If the household includes a disabled individual, briefing materials will be available which include a current listing of accessible units which are known to HHA and information related to exception rents for disabled individuals;
• A list of owners or other parties known to HHA who may be willing to lease a units to families, or help families find units; and
• Other information relevant to program requirements.
Owner Outreach: HHA will encourage the owners of housing units in the City to provide safe, decent and sanitary housing to HCV program clients. Special emphasis will be placed on outreach to owners who have units in areas that do not have high poverty concentrations. HHA will provide written materials and conduct outreach activities in an effort to recruit owners outside of areas of low income and minority concentrations. See the chapter on Owners for additional policy information on OWNER RECRUITMENT AND RETENTION.
3.12 VIOLENCE AGAINST WOMEN ACT PROTECTIONS
The Violence against Women Act of 2013 (VAWA) provides special protections for victims of domestic violence, dating violence, sexual assault and stalking who are applying for or receiving assistance under the housing choice voucher (HCV) program. Protections under VAWA are not limited to women but cover victims of domestic violence, dating violence, sexual assault, and stalking, regardless of sex, gender identity, or sexual orientation.
3.12.1 DEFINITIONS AS USED IN THE VIOLENCE AGAINST WOMEN ACT
The definitions applicable to the Violence Against Women Act (VAWA) include the following which can be found in the Glossary of this Plan:
• Actual or Imminent Threat • Affiliated Individual • Bifurcate • Covered Housing Provider • Dating Violence • Domestic Violence • Intimate Partner of the Victim • Sexual Assault • Stalking
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3.12.2 PROHIBITION AGAINST DENIAL OF ASSISTANCE TO VICTIMS OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT AND STALKING
Applicants who otherwise qualify for assistance or admission will not be denied admission on the basis that the applicant is or has been a victim of domestic violence, dating violence, sexual assault, or stalking. VAWA does not limit HHA’s authority to deny assistance to an individual or household that is not otherwise qualified or eligible for assistance.
3.12.3 PROHIBITION AGAINST TERMINATION OF ASSISTANCE RELATED TO VICTIMS OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT AND STALKING
Criminal activity directly relating to domestic violence, dating violence, sexual assault or stalking, engaged in by a member of a tenant’s family or any guest or other person under the tenant’s control will not be the basis for termination of assistance, tenancy, or occupancy rights if the tenant or an immediate member of the tenant’s household is the victim or threatened victim of that domestic violence, dating violence, sexual assault or stalking.
Incidents of actual or threatened domestic violence, dating violence, sexual assault or stalking will not be construed either as serious or repeated violations of the Lease by the victim of such violence or as good cause for terminating the tenancy or occupancy rights of the victim of such violence.
Notwithstanding the foregoing, HHA may exercise its authority to evict, remove, terminate occupancy rights, or terminate assistance to any individual who is a tenant or lawful occupant and who engages in criminal acts of physical violence against household members or others, without evicting, removing, terminating assistance to, or otherwise penalizing the victim of such violence who is also a tenant or lawful occupant.
HHA may exercise its discretion to bifurcate a Lease in order to evict, remove or terminate assistance to tenants or lawful occupants who perpetrate such violence against victims or affiliated individuals.
Further, HHA retains its authority to terminate the tenancy of any tenant if HHA concludes that there is an actual and imminent threat to other tenants or those employed at or providing service to the property if that tenant is not evicted or terminated from assistance. VAWA does not limit HHA’s authority to deny or terminate assistance to an individual or family that is not otherwise qualified or eligible for assistance.
HHA may terminate assistance or evict a tenant for any violation of the Lease not premised on the kinds of violence described above, as long as HHA refrains from subjecting a victim of domestic violence, dating violence, sexual assault, or stalking to a more demanding standard than applied to other tenants facing Lease termination. VAWA does not limit HHA’s authority to deny or terminate assistance to an individual or family that is not otherwise qualified or eligible for assistance.
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Notwithstanding the protections provided to tenants under VAWA, HHA will:
• Comply with court orders that address the rights of access to or control of property, including civil protection orders issued to protect victims of domestic violence, dating violence, sexual assault, and stalking; and
• Comply with court orders that address the distribution or possession of property among members of a household.
In the event HHA evicts, removes or terminates assistance to an individual by bifurcating the Lease, HHA will refrain from penalizing the victim of such criminal activity who is a tenant or lawful occupant. HHA will also provide any remaining family members an opportunity to establish eligibility for continued occupancy, if the individual evicted as a result of the bifurcation of the Lease was the sole tenant eligible for housing assistance. If a tenant is unable to establish eligibility, HHA will provide tenant a reasonable time, not to exceed 60 days, to find new housing.
This policy permits HHA to provide emergency transfers to victims of domestic violence, dating violence, sexual assault and stalking if the tenant expressly requests the transfer and the tenant reasonably believes that he/she is threatened with imminent harm from further violence if the tenant remains in the unit. In the case of a tenant who is the victim of sexual assault, an emergency transfer may be provided if the individual reasonably believes there is a threat of imminent harm from further violence if they remain in their unit or if the individual reasonably believes there is a threat of imminent harm from further violence if they remain in their unit or if the sexual assault occurred on the premises during the 90 day period preceding the request for a transfer.
HHA will maintain the confidentiality of the tenant’s new location in the event the tenant receives an emergency transfer related to VAWA protections.
3.12.4 VAWA SELF-PETITIONERS
HHA will review non-citizen applicant or tenant requests for admission or continued occupancy as a result of being a self-petitioner under the Violence against Women Reauthorization Act of 2013. A VAWA self-petitioner is someone who claims to be a victim of “battery or extreme cruelty,” i.e., victims of domestic violence, dating violence, sexual assault, or stalking and who indicates that they have “satisfactory immigration status; however, HHA has not yet verified that his/her satisfactory immigration status. Satisfactory immigration status means an immigration status which does not make the individual ineligible for financial assistance. A VAWA self- petitioner may submit an I-360 VAWA Self Petition, an I-130 Family-Based VISA Petition or a USCIS Form 1-797 to demonstrate a claim of satisfactory immigration status. When a VAWA self-petitioner uses the Family Based VISA petition to satisfy immigration status, upon verification of the Family Based VISA petition, HHA will require the petitioner to submit evidence of battery or extreme cruelty.
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HHA may provide assistance to a non-citizen, applicant VAWA self-petitioner while HHA verifies his/her eligible immigration status. Additionally, HHA may provide continued assistance to the non-citizen participant VAWA petitioner during the time that HHA verifies his/her eligible immigration status. Housing assistance and all other VAWA protections will be granted to the VAWA self-petitioner throughout the verification process until a final determination of lawful permanent residency can be made.
If HHA later determines that the VAWA self-petitioner does not have eligible immigration status, HHA will notify the individual and take action to terminate assistance.
3.12.5 HHA CONFIDENTIALITY REQUIREMENTS – VAWA
HHA will not disclose or release or enter into any shared database any personally identifying information or individual information collected in connection with VAWA protections requested or denied except to the extent that the disclosure is:
• Requested or consented to by the individual in writing;
• Required for use in an eviction proceeding; or
• Otherwise required by applicable law.
If disclosure is required for use in an eviction proceeding or is otherwise required by applicable law, HHA will make reasonable attempts to provide notice to victims affected by the disclosure of information and will take steps necessary to protect the privacy and safety of the persons affected by the release of the information.
At the time the applicant is denied, HHA may share the following:
• Non-personally identifying data in the aggregate regarding services to their tenants and non- personally identifying demographic information in order to comply with Federal or State reporting, evaluation, or data collection requirements;
• Court-generated information and law enforcement-generated information containing insecure, governmental registries for protection order enforcement purposes; and
• Law enforcement-generated and prosecution-generated information necessary for law enforcement and prosecution purposes.
3.12.6 NOTIFICATION TO APPLICANTS, HOUSEHOLDS & OWNERS REGARDING PROTECTIONS UNDER VAWA
HHA will provide notice to applicants and tenants in assisted housing of protections provided under VAWA, in multiple languages when necessary, at the following junctures:
• At the time the applicant is denied ;
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• At the time the individual is admitted to a unit in an assisting housing program;
• With any notification of eviction or notification of termination of assistance.
HHA acknowledges that a victim of domestic violence, dating violence, stalking, or sexual assault may have an unfavorable history (i.e., a poor credit history, non-payment of rent as a Public Housing tenant, a record of previous damage to an apartment/Public Housing unit, a prior/current conviction) that would warrant denial or termination under HHA’s policies. Therefore, if HHA makes a determination to deny admission to an applicant or to terminate assistance to a resident, HHA will include in its notice of denial/termination:
• A statement of protections provided by VAWA;
• A description of HHA confidentiality requirements; and
• A request that an applicant/head of household wishing to claim this protection submit to HHA documentation meeting the specifications outlined in this Admin Plan or a request for an informal hearing or grievance hearing, whichever is applicable.
HHA will provide VAWA information to owners which will consist of the VAWA notice provided to applicants and participating households and the form HUD-50066.
3.12.7 VICTIM DOCUMENTATION
HHA will require that an applicant claiming that the cause of an unfavorable history is that a member of the applicant family is or has been a victim of domestic violence, dating violence, sexual assault, or stalking provide documentation of such claim, including:
• Demonstrating the connection between the abuse and the unfavorable history; and
• Naming the perpetrator of the abuse if it is safe to provide the name and if it is known to the victim.
When a family is facing assistance termination because of the actions of a tenant, household member, guest, or other person under the tenant’s control and a client or affiliated individual of the tenant’s household claims that she or he is the victim of such actions and that the actions are related to domestic violence, dating violence, sexual assault or stalking, HHA will require the individual to submit documentation affirming that claim.
Tenants may provide one of the following to demonstrate that they should receive protections under VAWA:
• A certification form approved by HHA that states that the applicant or tenant is a victim of domestic violence, dating violence, stalking, or sexual assault, that the incident of domestic violence, dating violence, stalking, or sexual assault is grounds for VAWA protections and
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that includes the name of the individual who committed the domestic violence, dating violence, sexual assault or stalking, if the name is known and safe to provide; or,
• A completed HUD Form 91066 that describes how the Lease or assistance termination relates to the acts of violence defined in this chapter; or,
• A Federal, State, tribal, territorial, local police record, court record or administrative agency record; or,
• Documentation signed by the applicant or tenant AND an employee or representative of a victim services provider, or social services provider, or an attorney, school personnel, or medical professional, from whom the victim has sought assistance as a result of the abuse, in which the professional attests under penalty of perjury that the applicant or tenant believes that the incident/abuse is grounds for protection under VAWA.
Individuals or families claiming that they are a victim of domestic violence, dating violence or stalking may obtain a HUD Form 51066 from designated HHA locations.
3.12.8 TIME FRAME FOR SUBMITTING DOCUMENTATION
If an applicant for, or tenant of, HHA housing represents to HHA that they are entitled to protections under VAWA, HHA may request, either verbally or in writing, that the applicant submit a form of documentation as described above. The tenant must submit the required certification and supporting documentation to HHA within fourteen (14) business days after HHA has requested the documentation from the applicant/tenant. The14-day deadline may be extended at HHA’s discretion. If the individual does not provide the required certification and supporting documentation within fourteen (14) business days of HHA’s request, or within the approved extension period, HHA may proceed with denial or termination of assistance.
If HHA can demonstrate an actual and imminent threat to other tenants or those employed at or providing service to the property if the tenant’s tenancy is not terminated, HHA will bypass the standard process and proceed with the immediate termination of the family’s assistance.
3.12.9 PERPETRATOR DOCUMENTATION
If the perpetrator of the abuse is a member of the applicant/resident household, the applicant/Head of Household must provide additional documentation consisting of one of the following:
• A signed statement requesting that the perpetrator be removed from the application or household and certifying that the perpetrator will not be permitted to visit or to stay as a guest in the assisted unit; or
• Documentation that the perpetrator has successfully completed, or is successfully undergoing, rehabilitation or treatment. The documentation must be signed by an employee or agent of a domestic violence services provider or by a medical or other knowledgeable
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professional from whom the perpetrator has sought or is receiving assistance in addressing the abuse. The signer must attest under penalty of perjury that to his or her belief, the rehabilitation was successfully completed or is progressing successfully. The victim and perpetrator must also sign or attest to the documentation.
Perpetrator documentation must be submitted to HHA within the same timeframe as victim documentation.
3.12.10 TERMINATING TENANCY OF A DOMESTIC VIOLENCE OFFENDER
This section does not provide protection for perpetrators of domestic violence, dating violence, sexual assault or stalking. HHA may terminate assistance to any individual who is a tenant or lawful occupant and who engages in criminal acts of physical violence against household members or others without terminating assistance to, or otherwise penalizing, the victim of such violence who is also a tenant or lawful occupant. This authority supersedes any local, State, or other federal law to the contrary. However, if HHA chooses to exercise this authority, HHA will follow any procedures prescribed by HUD or by applicable local, State, or federal law regarding termination of assistance.
When the actions of a client or other household member result in a decision to terminate the household’s assistance and another household member claims that the actions involve criminal acts of physical violence against household members or others, HHA will request that the victim submit the required certification and supporting documentation in accordance with the stated timeframe. If the certification and supporting documentation are submitted within the required timeframe, or any approved extension period, HHA will terminate the offender’s assistance. If the victim does not provide the certification and supporting documentation, as required, HHA will deny relief for protection under VAWA and proceed with termination of the household’s assistance.
If HHA can demonstrate an actual and imminent threat to other tenants or those employed at or providing service to the property if the client’s tenancy is not terminated, HHA will bypass the standard process and proceed with the immediate termination of the household’s assistance.
3.12.11 TRANSFERS AND PORTABILITY UNDER VAWA
HHA may provide a voucher and allow a household to move in violation of its lease if the household has complied with all other obligations of the voucher program and has moved out of the assisted unit in order to protect the health or safety of an individual who is or has been the victim of domestic violence, dating violence, stalking or sexual assault and who reasonably believes that he or she is imminently threatened by harm from further violence if he or she remains in the assisted unit.
3.12.12 RESPONSE TO CONFLICTING CERTIFICATION
In cases where HHA receives conflicting certification documents from two or more members of a household, each claiming to be a victim and naming one or more of the other petitioning
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household members as the perpetrator, HHA may determine which is the true victim by requiring third-party documentation from each member as described in this Plan. Third-party documentation to substantiate the occurrence of a VAWA-related offense must be submitted within 30 calendar days. HHA shall honor any court orders addressing rights of access or control of the property, including civil protection orders issued to protect the victim or to address the distribution or possession of property among the household.
3.12.13 REMEDIES AVAILABLE TO VAWA VICTIMS
Notwithstanding any federal, State, or local law to the contrary, HHA may bifurcate (divide in two) a lease, or remove a household member from a lease without regard to whether the household member is a signatory to the lease, in order to evict, remove, terminate occupancy rights, or terminate assistance to any tenant or lawful occupant who engages in criminal acts of physical violence against household members or others, without evicting, removing, terminating assistance to, or otherwise penalizing the victim of such violence who is a tenant or lawful occupant. Such eviction, removal, termination of occupancy rights, or termination of assistance shall be effected in accordance with the procedures prescribed by federal, State, or local law for termination of assistance or leases under the relevant Public Housing, Section 8 HCV, and Section 8 Project-Based programs. Tenants who remain in the household after a lease bifurcation, who have not already established eligibility for housing assistance will be given at least 90 days from the date of the bifurcation of the lease in order to establish eligibility for housing assistance or to find alternative housing.
3.12.14 VAWA RECORD RETENTION
HHA will retain a record of all VAWA emergency transfer requests and outcomes for a period not less than three years. HHA will follow HUD reporting requirements regarding VAWA emergency transfer requests and outcomes.
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CHAPTER 4: APPLICATIONS, WAITLIST AND TENANT SELECTION
4.1 OVERVIEW
When a family wishes to receive assistance under the HCV program, the family must submit an application that provides HHA with the information needed to determine the family’s eligibility. When HCV assistance becomes available, HHA will select families from the waiting list in accordance with HUD requirements and HHA policies as stated in the administrative plan and approved MTW plans.
HHA is required to adopt clear policies and procedures for accepting applications, placing families on the waiting list, and selecting families from the waiting list, and must follow these policies and procedures consistently.
HUD regulations require that all families have an equal opportunity to apply for and receive housing assistance, and that HHA affirmatively further fair housing goals in the administration of the program. Adherence to the selection policies described in this chapter ensures that HHA will be in compliance with all relevant fair housing requirements.
This chapter describes HUD and HHA policies for taking applications, managing the waiting list and selecting families for HCV assistance.
In January 2003, HHA began participation in the Centralized Waiting List Program administered by the Massachusetts National Association of Housing & Redevelopment Officials [“Mass NAHRO”]. The Memorandum of Agreement between HHA and Mass NAHRO, as well as the Mass NAHRO Centralized Waiting List Manual, are available upon request to HHA.
4.2 APPLYING FOR ASSISTANCE
To apply to the Centralized Waiting List, an applicant must complete a single, standardized preliminary application (pre-app) that is available at HHA’s Admissions Office and on Mass NAHRO’s website found at www.massnahro.org. The applicant shall return the pre-app to HHA’s Admissions Department or to any other PHA that participates in the Centralized Waiting List Program. HHA shall enter the information from the pre-app into the Mass NAHRO Centralized Waiting List database.
When pre-app s are being accepted, families interested in applying for assistance must complete a pre-app. Pre-apps will be made available, upon request, in an accessible format for persons with disabilities. All pre-apps will be date and time-stamped.
HHA will notify families of the method for submitting pre-apps and how the waiting list will be ordered. Pre-apps must be complete in order to be accepted by HHA for processing. If a pre- app is incomplete, HHA will notify the family of the additional information required.
HHA will require families to provide only the information needed to make an initial assessment of the family’s eligibility, and to determine the family’s placement on the waiting list. The
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family will be required to provide all of the information necessary to establish family eligibility and level of assistance when the family is selected from the waiting list.
Families may obtain pre-app forms from HHA’s Admissions Office during normal business hours. Families may also request – by telephone or by mail – that a form be sent to the family via first class mail. Completed pre-apps must be returned to HHA in the manner prescribed by HHA in the Notice of Opening of the Waiting List and on HHA’s website. Pre-apps must be complete in order to be accepted by HHA for processing. If a pre-app is incomplete, HHA will notify the family of the additional information required.
4.3 ACCESSIBILITY OF THE APPLICATION PROCESS
HHA will take steps to ensure that the application process is accessible to those people who might have difficulty complying with the normal, standard HHA application process. This could include people with disabilities, certain elderly individuals, as well as persons with limited English proficiency [LEP]. See policies on FAIR HOUSING AND EQUAL OPPORTUNITY for a full discussion of HHA’s policies related to providing reasonable accommodations for people with disabilities.
Limited English Proficiency HHA is required to take reasonable steps to ensure meaningful access to their programs and activities by persons with limited English proficiency. Chapter 3 FAIR HOUSING AND EQUAL OPPORTUNITY provides a full discussion on HHA’s policies related to reasonable accommodations and limited English proficiency [LEP].
4.4 PLACEMENT ON THE CENTRALIZED WAITING LIST
HHA shall review each complete application received and ensure that is complete. HHA shall enter all applications received onto the Centralized Waiting List. HHA will accept pre-apps from families for whom the list is open unless there is good cause for not accepting the pre-app (such as denial of assistance) for the grounds stated in the regulations.
No applicant has a right or entitlement to be listed on the waiting list, or to any particular position on the waiting list.
Ineligible for Placement on the Waiting List HHA will not make determinations of ineligibility at the time of receipt of the pre-app.
Eligible for Placement on the Waiting List HHA will send written notification of receipt of the pre-app within 30 business days of receiving a complete application.
Placement on the waiting list does not indicate that the family is, in fact, eligible for assistance. A final determination of eligibility will be made when the family is selected from the waiting list.
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Applicants will be placed on the Centralized Waiting List according to the date and time the completed application is received by HHA within the preference category. Once placed on the Centralized Waiting List, applicant will be considered an applicant to all Massachusetts PHAs that participate in the Centralized Waiting List Program.
4.5 REQUESTS BY LAW ENFORCEMENT ORGANIZATIONS
On the rare occasion when a local, state and/or federal law enforcement organization requests that HHA issue a voucher to a witness or other person [“applicant”] involved in an investigation or pending criminal action, HHA will place the applicant above all others on its existing waiting list and issue a voucher provided that the law enforcement organization provides compelling written justification for the request. These special circumstances would also include verified victims of hate crimes. The request shall be reviewed and approved by the Executive Director. The Executive Director shall document the request and provide written authorization for the applicant’s placement on the waiting list. The Executive Director shall provide a copy of this documentation to HHA’s Performance Auditor. The Executive Director may approve up to ten (10) requests per fiscal year.
If the existing waiting list has been exhausted, HHA shall enter the applicant’s information directly onto its system before issuing the voucher.
4.6 MANAGING THE WAITING LIST
4.6.1 OVERVIEW
HHA must have policies regarding various aspects of organizing and managing the waiting list of applicant families. This includes opening the list to new applicants, closing the list to new applicants, notifying the public of waiting list openings and closings, updating waiting list information, purging the list of families that are no longer interested in or eligible for assistance, as well as conducting outreach to ensure a sufficient number of applicants. In addition, HUD imposes requirements on how HHA may structure its waiting list and how families must be treated if they apply for assistance from a PHA that administers more than one assisted housing program.
4.6.2 ORGANIZATION OF THE WAITING LIST
The waiting list shall contain the following information for each applicant listed:
• Applicant name;
• Family unit size;
• Date and time of application;
• Qualification for any local preference;
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• Racial or ethnic designation of the head of household.
HHA will maintain a single waiting list for the HCVP.
HUD directs that a family that applies for assistance from the HCVP must be offered the opportunity to be placed on the waiting list for any public housing, project-based voucher or moderate rehabilitation program HHA operates if 1] the other programs’ waiting lists are open, and 2] the family is qualified for the other programs.
HHA will not merge the HCV waiting list with the waiting list for any other program HHA operates.
4.6.3 OPENING AND CLOSING THE WAITING LIST
Closing the Waiting List HHA is permitted to close the waiting list if it has an adequate pool of families to use its available HCV assistance. Alternatively, HHA may elect to continue to accept applications only from certain categories of families that meet particular preferences or funding criteria. In January 2003, HHA began participation in the Massachusetts NAHRO Centralized Waiting List. The terms of participation require that the list remain open indefinitely. Therefore, HHA shall not close its list and will continue to accept applications indefinitely. However, if at any time the terms of participation in the Massachusetts NAHRO Centralized Waiting List Program change, HHA may elect to modify this policy based upon the estimated waiting period for housing assistance.
Reopening the Waiting List If the waiting list has been closed, it will not be reopened until HHA publishes a notice in local newspapers of general circulation, minority media, and other suitable media outlets. The notice shall comply with HUD fair housing requirements and must specify who may apply, and where and when applications will be received.
HHA will announce the reopening of the waiting list at least 10 business days prior to the date applications will first be accepted. If the list is only being reopened for certain categories of families, this information will be contained in the notice.
HHA will give public notice by publishing the relevant information in suitable media outlets including, but not limited to:
• Springfield Republican
• Springfield Sunday Republican.
• Mass NAHRO Website http//:www.massnahro.org
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In addition, HHA will notify social service organizations such as the Department of Transitional Assistance, Council on Aging, and Neighborhood Councils. Bilingual materials will be provided as needed and where practical and feasible.
4.7 FAMILY OUTREACH
HHA must conduct outreach as necessary to ensure that HHA has a sufficient number of applicants on the waiting list to use the HCV resources it has been allotted. Because HUD requires HHA to serve a specified percentage of extremely low income families, HHA may need to conduct special outreach to ensure that an adequate number of such families apply for assistance. HHA outreach efforts must comply with fair housing requirements. This includes:
• Analyzing the housing market area and the populations currently being served to identify underserved populations
• Ensuring that outreach efforts are targeted to media outlets that reach eligible populations that are underrepresented in the program
• Avoiding outreach efforts that prefer or exclude people who are members of a protected class
HHA outreach efforts will be designed to inform qualified families about the availability of assistance under the program. These efforts may include, as needed, any of the following activities:
• Submitting press releases to local newspapers, including minority newspapers
• Developing informational materials and flyers to distribute to other agencies
• Providing application forms to other public and private agencies that serve the low income population
• Developing partnerships with other organizations that serve similar populations, including agencies that provide services for persons with disabilities
HHA will monitor the characteristics of the population being served and the characteristics of the population as a whole in HHA’s jurisdiction. Targeted outreach efforts will be undertaken if a comparison suggests that certain populations are being underserved.
4.8 REPORTING CHANGES IN FAMILY CIRCUMSTANCES
While the family is on a waiting list(s), the family must inform HHA of changes in income, family composition, and/or contact information, including current residence, mailing address, and phone number. Changes to family income, composition, contact information and/or other
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If HHA is unable to reach a family based on the contact information provided, the family’s application for housing assistance will be withdrawn from the waiting list(s).
4.9 CHANGE IN THE HEAD OF HOUSEHOLD WHILE ON THE WAITING LIST
If the original head of household changes (i.e. the HOH leaves the family or there is a switch in HOH) while the family is on the waiting list, the family must complete an update to the pre- application and identify the new head of household. HHA will allow the family to keep their initial date and time of application if the new head of household is the spouse or co-head identified in the initial pre-application. If the new head of household is anyone other than the spouse or co-head listed on the initial pre-application, the family must submit a new pre- application - if the waiting list is open, and they will be given a new date and time of application. HHA may make exceptions to this policy and will evaluate exceptions on a case by case basis.
The head of household and/or co-head may not be removed from the application without each other’s mutual consent. Both the head of household and co-head may add or remove household members from the application. If there is no agreement between the head of household and co- head regarding removal of one of their names from the application, HHA will determine who retains the pre-application based on policies on FAMILY BREAK-UP OR SPLIT HOUSEHOLDS WHILE ON THE WAITING LIST.
4.10 FAMILY BREAK-UP OR SPLIT HOUSEHOLDS WHILE ON THE WAITING LIST
When a family on the waiting list breaks up into two otherwise eligible families, only one of the new families may retain the original application date. Other former family members may make a new application with a new application date, if the waiting list is open.
In the absence of a judicial decision, or an agreement among the original family members, the original head of household will retain the application date. Exceptions to the policy will be made on a case-by-case basis and may include consideration of the following factors:
• The interest of any minor children, including custody arrangements,
• The interest of any ill, elderly, or disabled family members,
• The interest of a family member who is the victim of domestic violence, dating violence, sexual assault, or stalking, including a family member who was forced to leave an assisted unit as a result of such actual or threatened abuse;
• Any possible risks to family members as a result of criminal activity; and
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• The recommendations of social service professionals.
4.11 UPDATING THE WAITING LIST
HUD requires HHA to establish policies to use when removing applicant names from the waiting list.
Purging the Waiting List The decision to withdraw an applicant family that includes a person with disabilities from the waiting list is subject to reasonable accommodation. If the applicant did not respond to a HHA request for information or updates because of the family member’s disability, HHA must reinstate the applicant family to their former position on the waiting list.
The Massachusetts NAHRO Centralized Waiting List will be updated annually to ensure that all applicants and applicant information is current and timely.
The annual update will be conducted by Massachusetts NAHRO centralized waiting list in accordance with the terms of the Participation Agreement attached hereto as Appendix A. HHA will send an update request via first class mail to each family on the waiting list to determine whether the family continues to be interested in, and to qualify for, the program. This update request will be sent to the last address that HHA has on record for the family. The update request will provide a deadline by which the family must respond and will state that failure to respond will result in the applicant’s name being removed from the waiting list.
The family’s response must be in writing and may be delivered in person, by mail, or by fax. Responses should be postmarked or received by HHA not later than 15 business days from the date of HHA letter.
If the family fails to respond within 15 business days, the family will be removed from the waiting list without further notice.
If the notice is returned by the post office with no forwarding address, the applicant will be removed from the waiting list without further notice.
If the notice is returned by the post office with a forwarding address, the notice will be re-sent to the address indicated. The family will have 15 business days to respond from the date the letter was re-sent.
If a family is removed from the waiting list for failure to respond, the Executive Director may reinstate the family if s/he determines the lack of response was due to HHA error, or to circumstances beyond the family’s control. Removal from the Waiting List If at any time an applicant family is on the waiting list, HHA determines that the family is not eligible for assistance, the family will be removed from the waiting list.
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If a family is removed from the waiting list because HHA has determined the family is not eligible for assistance, a notice will be sent to the family’s address of record as well as to any alternate address provided on the initial application. The notice will state the reasons the family was removed from the waiting and will inform the family how to request an informal review of HHA’s decision, see chapter on INFORMAL REVIEWS AND HEARINGS.
4.12 SELECTION FOR HCV ASSISTANCE
Overview As vouchers become available, families on the waiting list must be selected for assistance in accordance with the policies described in this part.
The order in which families receive assistance from the waiting list depends on the selection method chosen by HHA and is impacted in part by any selection preferences that the family qualifies for. The source of HCV funding also may affect the order in which families are selected from the waiting list.
HHA must maintain a clear record of all information required to verify that the family is selected from the waiting list according to HHA’s selection policies [24 CFR 982.204[b] and 982.207[e]].
Special Admissions HUD may award funding for specifically-named families living in specified types of units [e.g., a family that is displaced by demolition of public housing; a non-purchasing family residing in a HOPE 1 or 2 projects]. In these cases, HHA may admit families that are not on the waiting list, or without considering the family’s position on the waiting list. HHA must maintain records showing that such families were admitted with special program funding.
HHA may admit a family to the HCV Program when a law enforcement organization presents compelling written justification for the admission, see policies on REQUESTS BY LAW ENFORCEMENT ORGANIZATIONS.
Targeted Funding HUD may award HHA funding for a specified category of families on the waiting list. HHA must use this funding only to assist the families within the specified category. Within this category of families, the order in which such families are assisted is determined according to the policies in this Plan.
Family Unification Program [“FUP”] The Holyoke Housing Authority does not participate in the Family Unification Program.
Mainstream Program/Disabled The Holyoke Housing Authority does not participate in the Mainstream Program.
4.13 SELECTION METHOD - PREFERENCES
Local Preferences
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HUD specifically authorizes and places restrictions on certain types of local preferences. HUD also permits HHA to establish other local preferences, at its discretion.
HHA will require that the claimed preference for which an applicant is chosen from the waiting list be verified to confirm the preference existed on the date of the pre-application, the date of screening, and on the date of final eligibility.
Where a working preference is applied, working is defined as employment of at least 20 hours per week by the head of household, spouse or sole household member.
Where a resident preference is applied, a resident is a family that resides anywhere in the City of Holyoke including families with a member who works or has been hired to work in the City of Holyoke.
Where a veteran preference is applied, a veteran is a person who has served in the active military or naval service of the United States at any time and who shall have been discharged or released therefrom under conditions other than dishonorable.
HHA offers the following preferences:
1. Holyoke Victim of Extreme Emergency or Natural Disaster HHA may provide an emergency voucher preference in cases of extreme emergency or natural disaster certified by the Mayor’s office of the City of Holyoke in conjunction with the City of Holyoke Fire Department, Health Department or other city agency. As funding allows, the Executive Director of HHA will certify that emergency vouchers are available to households impacted by the declared extreme emergency and/or natural disaster. HHA may make up to fifteen (15) housing choice vouchers available each year. HHA may modify this voucher total as emergency needs and voucher availability dictate. Applicants must meet the applicable program eligibility requirements as well as qualify under the specific guidelines for the program(s). Requests for assistance under this preference must be made within thirty (30) days of the City’s certification of the extreme emergency or natural disaster as determined by any combination of the following: the Mayor’s Office, the Fire Department, the Building Department and/or Codes Department.
2. Holyoke Resident Working Veteran
3. Holyoke Resident Working – includes Elderly and Disabled
4. Holyoke Resident Veteran
5. Holyoke Resident
6. Non-Resident Working Veteran
7. Non-Resident Working – includes Non-Resident Elderly and Disabled
8. Non-Resident Veteran
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9. Non-Resident
Income Targeting Requirement HUD requires that very low-income (VLI) families make up at least 75% of the families admitted to the HCVP during HHA’s fiscal year.
Low income families admitted to the program that are “continuously assisted” under the 1937 Housing Act, as well as low-income or moderate-income families admitted to the program that are displaced as a result of the prepayment of the mortgage or voluntary termination of an insurance contract on eligible low-income housing, are not counted for income targeting purposes.
HHA will monitor progress in meeting the VLI requirement throughout the fiscal year.
Order of Selection HHA will select applicants by the date and time of receipt of the application within the local preference category. All applicants who are not eligible for the local preference will be considered standard applicants and will be selected from the existing waiting list/Centralized Waiting list by the date and time of receipt of the application.
Families that qualify for a specified category of program funding [targeted funding] may be selected from the waiting list ahead of higher placed families that do not qualify for the targeted funding. However, for any targeted funding category, an applicant will be selected according to the date and time that the completed application is received within the local preference category. Documentation will be maintained by HHA as to whether families on the list qualify for and are interested in targeted funding. HHA will document when a person on the waiting list is not qualified or is not interested in targeted funding. In such cases that HHA is not required to screen that applicant for the targeted funding again.
4.14 NOTIFICATION OF SELECTION
When a family has been selected from the waiting list, HHA must notify the family
HHA will notify the family by first class mail when it is selected from the waiting list. The notice will inform the family of the following:
• Date, time, and location of the scheduled application interview, including any procedures for rescheduling the interview;
• Who is required to attend the interview;
• Documents that must be provided at the interview to document the legal identity of household members, including information about what constitutes acceptable documentation;
• Other documents and information that should be brought to the interview;
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If a notification letter is returned to HHA with no forwarding address, the family will be removed from the waiting list. A notice of denial will be sent to the family’s address of record, as well as to any known alternate address.
4.15 THE APPLICATION INTERVIEW
HUD recommends that HHA obtain the information and documentation needed to make an eligibility determination though a face-to-face interview with an HHA representative. Being invited to attend an interview does not constitute admission to the program.
Assistance cannot be provided to the family until all SSN documentation requirements are met. However, if HHA determines that an applicant family is otherwise eligible to participate in the program, the family may retain its place on the waiting list for a period of time determined by HHA. See policies on TIME FRAME TO SUBMIT DOCUMENTATION OF SSN.
Reasonable accommodation must be made for persons with disabilities who are unable to attend an interview due to their disability.
Families selected from the waiting list are required to participate in an eligibility interview. The head of household and the spouse/co-head will be strongly encouraged to attend the interview together. However, either the head of household or the spouse/co-head may attend the interview on behalf of the family. Verification of information pertaining to adult members of the household not present at the interview will not begin until signed release forms are returned to HHA.
The interview will be conducted only if the head of household or spouse/co-head provides appropriate documentation of legal identity. If the family representative does not provide the required documentation, the appointment may be rescheduled when the proper documents have been obtained.
The family must provide the information necessary to establish the family’s eligibility and determine the appropriate level of assistance, as well as completing required forms, providing required signatures, and submitting required documentation. If any materials are missing, HHA will provide the family with a written list of items that must be submitted.
Any required documents or information that the family is unable to provide at the interview must be provided within 5 business days of the interview provides. If the family is unable to obtain the information or materials within the required time frame, the family may request an extension. If the required documents and information are not provided within the required time frame [plus any extensions], the family will be sent a notice of denial.
An advocate, interpreter, or other assistant may assist the family with the application and the interview process. Where an advocate, interpreter or other third party is used to assist the family, the family and HHA will execute a certification attesting to the role and assistance of the third- party.
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Interviews will be conducted in English. For limited English proficient [LEP] applicants, HHA will provide translation services in accordance with HHA’s LEP plan.
If the family is unable to attend a scheduled interview, the family should contact HHA in advance of the interview to schedule a new appointment. If a family does not attend a scheduled interview, HHA will send another notification letter with a new interview appointment time. Applicants who fail to attend two scheduled interviews without HHA approval will be denied assistance based on the family’s failure to supply information needed to determine eligibility. A notice of denial will be issued.
4.16 COMPLETING THE APPLICATION PROCESS
HHA must verify all information provided by the family Based on verified information, HHA must make a final determination of eligibility and must confirm that the family qualified for any special admission, targeted admission, or selection preference that affected the order in which the family was selected from the waiting list.
If HHA determines that the family is ineligible, HHA will send written notification of the ineligibility determination within 10 business days of the determination. The notice will specify the reasons for ineligibility, and will inform the family of its right to request an informal review.
If a family fails to qualify for any criteria that affected the order in which it was selected from the waiting list [e.g. targeted funding, extremely low-income], the family will be returned to its original position on the waiting list. HHA will notify the family in writing that it has been returned to the waiting list, and will specify the reasons for it.
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CHAPTER 5: ELIGIBILITY
5.1 OVERVIEW
Every individual and family admitted to the HCV program must meet all program eligibility requirements. This includes any individual approved to join a family after the family has been admitted to the program. Families must provide any information needed by HHA to confirm eligibility and determine the level of the family’s assistance.
HHA will consider the following when determining eligibility and suitability for the HCV program:
The applicant family must:
• Qualify as a family as defined by HHA;
• Have income at or below specified income limits;
• Qualify on the basis of citizenship or the eligible immigrant status of family members;
• Provide Social Security Number information for all family members as required;
• Consent to HHA’s collection and use of family information as provided for in HHA-provided consent forms; and
• Provide all required documents.
HHA will determine that the current or past behavior of household members does not include activities that are prohibited by HHA.
If a family is deemed ineligible or unsuitable for admission, the family will be removed from the waiting list.
5.2 DEFINITIONS
5.2.1 FAMILY AND HOUSEHOLD
Family - Applicants must qualify as a “Family” as defined in 24 CFR part 5.403. Family includes, but is not limited to, the following, regardless of actual or perceived sexual orientation, gender identity, or marital status:
• A single person, who may be an elderly person, displaced person, disabled person, near- elderly; or
• person, or any other single person; or
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• A group of persons residing together, and such group includes, but is not limited to:
• A family with or without children (a child who is temporarily away from the home because of placement in foster care is considered a member of the family);
• An elderly family;
• A near-elderly family;
• A disabled family;
• A displaced family; and
• The remaining member of a tenant family.
Gender Identity means actual or perceived gender characteristics.
Sexual Orientation means homosexuality, heterosexuality, or bisexuality.
Each family must identify the individuals to be included in the household at the time of application, and must update this information if the family’s composition changes.
Household Household is a broader term that includes additional people who, with HHA’s permission, live in an assisted unit, such as live-in aides, foster children, and foster adults.
5.2.2 HEAD OF HOUSEHOLD
Head of household means the adult member of the family who is considered the head for purposes of determining income eligibility and rent. The head of household is responsible for ensuring that the family fulfills all of its responsibilities under the program, alone or in conjunction with a co-head.
The family may designate any qualified family member as the head of household. The head of household must have the legal capacity to enter into a lease under state and local law. A minor who is emancipated under state law may be designated as head of household.
5.2.3 SPOUSE, CO-HEAD AND OTHER ADULT
A family may have a spouse or co-head, but not both. Spouse means the marriage partner of the head of household.
• A marriage partner includes the partner in a "common law" marriage as defined in state law. The term “spouse” does not apply to friends, roommates, or significant others who are not marriage partners. A minor who is emancipated under state law may be designated as a spouse.
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• A co-head is an individual in the household who is equally responsible with the head of household for ensuring that the family fulfills all of its responsibilities under the program, but who is not a spouse. A family can have only one co-head. Minors who are emancipated under state law may be designated as a co-head.
• Other adult means a family member, other than the head, spouse, or co-head, who is 18 years of age or older. Foster adults and live-in aides are not considered other adults.
5.2.4 INTERDEPENDENT RELATIONSHIP OR DOMESTIC PARTNERSHIP
To claim an interdependent relationship or domestic partnership, individuals must demonstrate and certify that each individual’s income and other resources will be available to meet the needs of the family and that the family otherwise comprises a "housekeeping unit," meaning the individuals share expenses, household chores, household shopping responsibilities, and other common household activities. An interdependent relationship/domestic partnership may exist regardless of actual or perceived sexual orientation, gender identity, or marital status.
An interdependent relationship or domestic partnership is defined as a committed relationship between two adults, in which the partners:
• Maintain a common residence, and intend to continue to do so (or would maintain a common residence but for an assignment abroad or other employment-related, financial, or similar obstacle);
• Are at least 18 years of age and mentally competent to consent to contract;
• Share responsibility for a significant measure of each other’s financial obligations;
• Are not the domestic partner of anyone else;
• Are willing to certify, if required by the agency, that they understand that willful falsification of any documentation required to establish that an individual is in a domestic partnership may lead to disciplinary action and the recovery of the cost of benefits received related to such falsification,
5.2.5 DEPENDENT
A dependent is a family member who is:
• Either under 18 years of age;
• A person of any age who is a person with a disability; or
• A full-time student.
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The following persons can never be dependents:
• The head of household;
• Spouse;
• Co-head;
• Foster children;
• Foster adults; and
• Live-in aides.
5.2.6 FULL-TIME STUDENT
A full-time student (FTS) is a person who is attending school or vocational training on a full- time basis (carrying a subject load that is considered full-time for day students under the standards and practices of the educational institution attended).
5.2.7 ELDERLY PERSONS
An elderly person is a person who is at least 62 years of age.
5.2.8 NEAR-ELDERLY PERSONS
A near-elderly person is a person who is at least 50 years of age but below the age of 62.
5.2.9 ELDERLY FAMILY
An elderly family is one in which the head, spouse, co-head, or sole member is an elderly person. Identifying elderly families is important because these families qualify for special deductions from income.
5.2.10 PERSONS WITH DISABILITIES AND DISABLED FAMILY
• Persons with Disabilities: Under the HCV program, special accommodations are available to persons with disabilities and to any family whose head, spouse, or co-head is a person with disabilities. A person with disabilities is someone who has a mental or physical impairment that substantially limits one or more major life activities; has a record of such impairment, or is regarded as having such impairment. The term does not include any individual who is an alcohol or drug user whose current use of alcohol or drugs prevents the individual from participating in the HCV program, or whose participation, by reason of the current alcohol or drug abuse, would constitute a threat to property or the safety of others.
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• Disabled Family: A disabled family is one in which the head, spouse, or co-head is a person with disabilities.
5.2.11 GUESTS
A guest is a person temporarily staying in the unit with the consent of a member of the household who has express or implied authority to so consent. A guest may remain in the assisted unit no longer than 30 consecutive days or a total of 90 cumulative calendar days during any 12 month period.
A child who is subject to a joint custody arrangement or for whom a family has visitation privileges, who is not included as a family member because he/she lives outside of the assisted household more than 50 percent of the time, are not subject to the time limitations of guests as described above.
A family may request an exception to this policy for valid reasons [e.g., care of a relative recovering from a medical procedure that is expected to last 40 consecutive days]. An exception will not be made unless the family can identify and provide documentation of the residence to which the guest will return.
5.2.12 MULTIPLE FAMILIES IN THE SAME HOUSEHOLD
When a family that consists of two families living together applies, such as a mother and father, and a daughter with her own husband or children, if they apply as a family unit, they will be treated as a family unit.
5.2.13 FOSTER CHILDREN AND FOSTER ADULTS
• A foster child is a child who is in the legal guardianship or custody of a State, county, or private adoption or foster care agency, yet is cared for by foster parents in their own homes, under some kind of short- or long-term foster care arrangement with the custodial agency.
• A foster adult is usually a person with disabilities, unrelated to the tenant family, who is unable to live alone.
• Foster children and foster adults who are living with an applicant or assisted family are considered household members, but not family members. Foster children/adults do not qualify for a dependent deduction. (See polices on INCOME OF FOSTER CHILDREN AND FOSTER ADULTS in the chapter on Income.)
• HHA will not approve the addition of a foster child or foster adult if it will result in the need for a larger unit, according to HHA occupancy standards or a violation of HQS space standards.
5.2.14 LIVE-IN AIDE
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Live-in aide means a person who resides with one or more elderly persons or persons with disabilities, and who:
• Is determined to be essential to the care and well-being of the persons;
• Is not obligated for the support of the persons; and
• Would not be living in the unit except to provide the necessary supportive services.
HHA will approve a live-in aide if needed as a reasonable accommodation, to make the program accessible to and usable by the family member with disabilities.
A live-in aide is a member of the household, not the family, and the income of the aide is not considered in income calculations. Relatives may be approved as live-in aides if they meet all of the criteria defining a live-in aide. However, a relative who serves as a live-in aide is not considered a family member and would not be considered a remaining member of a tenant family.
A family’s request for a live-in aide must be made in writing. Written verification will be required from a reliable, knowledgeable professional, such as a doctor, social worker, or case worker, that the live-in aide is essential for the care and well-being of the elderly or disabled family member. HHA may request additional documentation from the knowledgeable provider in order to determine the outcome of the request for a live-in aide.
The family and live-in aide will be required to submit a certification stating that the live-in aide is (1) not obligated for the support of the person(s) needing the care, and (2) would not be living in the unit except to provide the necessary supportive services.
If approved as part of a reasonable accommodation, HHA will only allow family members of live-in aides to reside in the unit if the addition of the live-in aide’s family members does not result in an under housed situation as determined by HHA’s subsidy standards. For example if a live-in aide has a daughter, the live-in aide’s daughter may reside in the unit, provided the daughter shares the bedroom with her mother or another household member.
HHA will apply the same screening criteria used for determining initial and continued eligibility/suitability for applicants and tenants when determining approval/disapproval of a particular person as a live-in aide. These criteria include, but are not limited to, disapproval of admission if the person:
• Committed fraud, bribery or any other corrupt or criminal act in connection with any federal housing program;
• Is subject to a lifetime registration requirement under a State Sex offender registration program;
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• Committed drug-related criminal activity or violent criminal activity; or
• Currently owes rent or other amounts to HHA or to another HHA in connection with Section 8 or public housing assistance under the 1937 Act.
Live-in aides who are unauthorized occupants in the unit will not be considered. HHA will review and approve a request for a live-in aide but will not allow an unauthorized occupant in the unit to be the live-in aide.
5.2.15 VETERAN
A veteran is a person who served in the active military (Army, Navy, Air Force, Marines or Coast Guard, Reservists and/or National Guard) and who was discharged or released from such service under conditions other than dishonorable. HHA may request discharge documentation to verify honorable discharge.
5.3 JOINT CUSTODY OF CHILDREN
See policies on DETERMINING FAMILY VOUCHER SIZE to determining family member status when joint custody arrangements exist.
Dependents that are subject to a joint custody arrangement will be considered a member of the family if the dependent lives with the applicant or client family 50 percent (at least 183 days/year) or more of the time. When more than one applicant or assisted family (regardless of program) are claiming the same dependents as family members, the family with primary custody at the time of the admission or recertification will be able to claim the dependents. If there is a dispute about which family should claim them, HHA will make the determination based on available documents which may include but are not limited to court orders, school records and tax returns.
5.4 CARETAKER OF A CHILD
If neither a parent nor a designated guardian of a child residing in an HCV unit remains in a unit that is receiving assistance, HHA will take the following actions:
• If a responsible agency has determined that another adult is to be brought into the apartment to care for a child for an indefinite period, the designated caretaker will not be considered a family member until a determination of custody or legal guardianship is made.
• If a caretaker has assumed responsibility for a child without the involvement of a responsible agency or formal assignment of custody or legal guardianship, the caretaker will be treated as a visitor for 90 days. After the 90 days has elapsed, the caretaker must provide documentation of a temporary or permanent custody arrangement. If the caretaker will have permanent custody and wishes to be considered a family member, the caretaker will be subject to HHA screening requirements, unless information is provided that would confirm
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that the caretaker’s role is temporary. In such cases, HHA may in its reasonable discretion extend the caretaker’s status as an eligible visitor.
• At any time that custody or guardianship has been legally awarded to a caretaker, the voucher will be transferred to the caretaker, as head of household, subject to meeting HHA’s eligibility and suitability requirements. The caretaker must provide legal custody papers to verify legal guardianship.
• During any period that a caretaker is considered a visitor, the income of the caretaker is not counted in annual income and the caretaker does not qualify the family for any deductions from income.
5.5 INCOME ELIGIBILITY
Income limits are used for eligibility only at admission. Eligibility is established by comparing a family's annual income with HUD’s published income limits. To be income-eligible, a family must be one of the following:
• An extremely low-income family – A very low–income family whose income does not exceed the higher of 30 percent of AMI or the poverty level, adjusted for family size.
• A very low-income family - a family whose annual income does not exceed 50 percent of the median income for the area, adjusted for family size.
• A low-income family that has been "continuously assisted" under the 1937 Housing Act. A family is considered to be continuously assisted if the family is already receiving assistance under any 1937 Housing Act program at the time the family is admitted to the HCV program
• A low-income family that qualifies for voucher assistance as a non-purchasing household living in HOPE 1 (public housing homeownership), HOPE 2 (multi-family housing homeownership) developments, or other HUD-assisted multi-family homeownership programs covered by 24 C.F.R. 248.173; or
• A low-income or moderate-income family that is displaced as a result of the prepayment of a mortgage or voluntary termination of a mortgage insurance contract on eligible low-income housing as defined in 24 C.F.R. 248.101.
5.6 CONTINUOUSLY ASSISTED
HHA will consider a family to be continuously assisted if the family was leasing a unit under any MTW or 1937 Housing Act program at the time they were issued a voucher by HHA or if there is a break in assistance under any MTW or 1937 Housing Act program for a period of less than 30 days from the date of the screening appointment with HHA. This policy assumes that the break in assistance is not due to adverse termination and that the applicant has left the prior program in good standing.
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5.7 CITIZENSHIP OR ELIGIBLE IMMIGRATION STATUS
Housing assistance is available only to individuals who are U.S. citizens, U.S. nationals (herein referred to as citizens and nationals), or non-citizens that have eligible immigration status. At least one family member must be a citizen, national, or non-citizen with eligible immigration status in order for the family to qualify for any level of assistance.
5.7.1 DECLARATION OF CITIZENSHIP
Each family member must declare whether he/she is a citizen, a national, eligible non-citizen, or an individual who elects not to contend that they have eligible immigration status.
Those who elect not to contend their status are considered to be ineligible non-citizens.
The family must identify in writing any family members who elect not to contend their immigration status.
No declaration is required for live-in aides, foster children, or foster adults.
See VERIFICATION OF U.S. CITIZENSHIP AND OF ELIGIBLE IMMIGRATION STATUS policies in the Verification chapter.
5.7.2 U.S. CITIZENS AND NATIONALS
Citizens and nationals are required to submit only a signed declaration as verification of their status. Family members who declare citizenship or national status will not be required to provide additional documentation unless HHA receives information indicating that an individual’s declaration may not be accurate.
For citizens, the declaration must be signed personally by the head, spouse, co-head, and any other family member 18 or older, and by a parent or guardian for minors.
5.7.3 ELIGIBLE NON-CITIZEN
In addition to providing a signed declaration, those declaring eligible noncitizen status must provide documentation to confirm the claimed citizenship status and cooperate with HHA efforts to verify their immigration status.
The documentation required for establishing eligible noncitizen status varies depending upon factors such as the date the person entered the U.S., the conditions under which eligible immigration status has been granted, the person’s age, and the date on which the family began receiving HUD-funded assistance.
Lawful residents of the Marshall Islands, the Federated States of Micronesia, and Palau, together known as the Freely Associated States, or FAS, are eligible for housing assistance under section
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141 of the Compacts of Free Association between the U.S. Government and the Governments of the FAS [Public Law 106-504].
5.7.4 INELIGIBLE NON-CITIZENS
Ineligible non-citizens are those non-citizens who do not wish to contend their immigration status. HHA requires that non-citizens sign a certification attesting to their ineligible immigration status. HHA will not verify a family member’s ineligible status and is not required to report an individual’s unlawful presence in the U.S. to the United States Citizenship and Immigration Services (USCIS).
Providing housing assistance to non-citizen students is prohibited. This prohibition extends to the non-citizen spouse of a non-citizen student as well as to minor children who accompany or follow to join the non-citizen student. Such prohibition does not extend to the citizen spouse of a non-citizen student or to the children of the citizen spouse and non-citizen student. Such a family is eligible for prorated assistance as a mixed family.
5.7.5 MIXED FAMILIES
A family is eligible for assistance as long as at least one member is a citizen, national, or eligible non-citizen. Families that include eligible and ineligible individuals are considered mixed families. Assistance to mixed families shall be prorated. Families will receive notice of determination as a mixed family. The notice will include the fact that assistance will be prorated and that the family may request a hearing if they contest this determination.
HHA will not provide assistance to a family before the verification of at least one family member as a citizen, national or non-citizen with eligible immigration status.
When HHA determines that an applicant family does not include any citizens, nationals, or eligible non-citizens, following the verification process, the family will be sent a written notice of ineligibility. The notice will explain the reasons for the denial of assistance, that the family may be eligible for proration of assistance, and will advise the family of its right to request an appeal to the United States Citizenship and Immigration Services (USCIS), or to request an informal hearing with HHA. The informal hearing with HHA may be requested in lieu of the USCIS appeal, or at the conclusion of the USCIS appeal process. The notice will also inform the applicant family that assistance may not be delayed until the conclusion of the USCIS appeal process, but that it may be delayed pending the completion of the informal hearing process.
5.7.6 TIMEFRAME FOR DETERMINATION OF CITIZENSHIP STATUS
For new applicants, HHA will ensure that evidence of eligible citizenship status is submitted no later than the date that HHA completes verification of other aspects of eligibility for assistance.
For new occupants joining the assisted family, HHA will verify citizenship status at the time of the request to add the household member.
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Each family member is required to submit evidence of eligible status only one time during continuous occupancy, unless that status changes, at which time evidence of citizenship status will need to be re-submitted. HHA will verify the status of applicants at the time when other eligibility factors are determined.
5.8 SOCIAL SECURITY NUMBERS
• The applicant and all members of the applicant’s household who are eligible to receive a SSN (those who contend eligible immigration status and US Citizens), must provide documentation of a valid Social Security Number (SSN) as part of the eligibility determination process.
• Tenants and all tenant household members who are eligible to receive a SSN (those who contend eligible immigration status and US Citizens), must provide documentation of a valid SSN if the tenant/member has:
• Not previously disclosed a SSN;
• Previously disclosed a SSN that HUD or the SSA determined was invalid; or
• Been issued a new SSN.
• New household members are required to provide documentation of a valid SSN before approval for occupancy in an existing PH household. See policies on TIME FRAME TO SUBMIT DOCUMENTATION OF SSN
5.8.1 REQUIRED DOCUMENTATION
See policies on verification of SOCIAL SECURITY NUMBERS.
5.8.2 PERSONS NOT REQUIRED TO PROVIDE DOCUMENTATION OF A VALID SSN
• Individuals who do not contend eligible immigration status will NOT have a SSN to disclose. If otherwise eligible to participate in the program, the family should be admitted into the program or continue receiving assistance if at least one family member is a US Citizen or has eligible immigration status. HHA will request an alternate HUD ID number for the household members who do not contend to have eligible immigration status and who are not US citizens/nationals.
• Individuals who have previously disclosed a valid SSN; and
• Tenants who are 62 years old or older as of January 31, 2010 and who have not previously disclosed a SS number, will not be required to provide documentation of a valid SSN. Exemption applies even upon a move within the program.
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5.8.3 TIME FRAME TO SUBMIT DOCUMENTATION OF SSN
• Applicants will be required to provide a SSN on the pre-application form. Alternate arrangements will be made for applicants, during the pre-application process, who are not US Citizens or who do not have eligible immigration status.
• HHA will request verification of the SS number during screening for eligibility. HHA will defer the eligibility determination for a period of 60 days from the date of the screening appointment for families with members who are eligible to receive a SSN but who have not yet provided verification of their SSN. If after 60 days, required SS number documentation is not provided, HHA will deny assistance. See policy exception below on SS numbers for children under the age of 6.
• An applicant family with a child under the age of 6 years may become a participant family, even if the SSN for the child has not been verified at the time of admission. If the SSN has still not been verified at the end of the initial 90-day period, HHA will determine whether a 90-day extension is merited. If it is not merited, the family will be subject to the penalties for failure to disclose a SSN. If a 90-day extension is merited, HHA will verify the SSN for the child by the end of the 90-day extension period or follow the policies related to penalties for failure to disclose a SSN.
• HHA will provide alternate ID numbers for eligible families that include members who are not US Citizen or do not have eligible immigration status.
• Participants who contend eligible immigration status and who have not previously disclosed a valid SSN must do so at their next scheduled or interim recertification within 90 days of HHA’s request. HHA may grant an additional 90-day period, if there are unforeseen circumstances beyond the family’s control that prevent the family from complying with the SSN requirements or there is a reasonable likelihood that the participant will be able to disclose a SSN by the deadline.
• If a proposed new household member is an adult, HHA will not approve addition of the adult to the household until SSN documentation has been provided.
• If the proposed new member of an existing household is a minor child under the age of 6 and has no SSN documentation, HHA will allow the child to be added to the household; however SSN documentation must be provided within 90 days of the child being added to the household. HHA, at its own discretion, may give an additional 90 days if HHA determines that the participant’s failure to comply was due to circumstances that could not have reasonably been foreseen and were outside the control of the participant. During the period that HHA is awaiting documentation; the child shall be included as part of the tenant household and the child shall be entitled to all the benefits of being a household member. If upon expiration of the provided time period, including any extensions, the tenant fails to produce a SSN for the child, the family will be subject to the penalties for failure to disclose a SSN.
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5.8.4 PENALTIES FOR FAILURE TO DISCLOSE SSN
Applicants: • Denial of placement on the waiting list.
• Denial of eligibility
• Termination of assistance (for households who were admitted and failed to provide SSN documentation for a family member under 6 years of age)
Participants: • Termination of assistance and tenancy
5.9 PHOTO ID
To ensure HHA has the ability to identify all persons 18 years of age or older (not just the head of household), all adult household members will be required to provide a current, government issued identification at admission, upon addition to a HCV household or upon turning 18. For example, if a household member turns 18 between regular recertifications, he or she must provide a government issued photo identification at the household’s next regular recertification.
HHA reserves the right to request an updated photo ID after admission to the program to confirm legal identity.
As an accommodation for individuals with disabilities and elderly individuals, as well as for individuals with religious considerations, with prior HHA approval, HHA may accept other forms of identification to establish identity.
5.10 REQUIRED DOCUMENTS
Applicants must provide birth certificates/proof of age/proof of birth for all household members. The family must supply any other information that HHA or HUD determines necessary to the administration of the program.
5.11 FAMILY CONSENT TO RELEASE INFORMATION
HUD requires each adult family member and the head of household, spouse, or co-head, regardless of age, to sign form HUD-9886, Authorization for the Release of Information/Privacy Act Notice or comparable form authorized by HUD. Additionally, family are required to sign other HHA consent forms as needed to collect information relevant to the family’s eligibility and level of assistance. HHA will deny admission to the program if any member of the applicant family fails to sign and submit the consent forms which allow HHA to obtain information that HHA has determined necessary in the administration of the HCV program.
5.12 STUDENTS ENROLLED IN INSTITUTIONS OF HIGHER EDUCATION
Administrative Plan: ELIGIBILITY 5-13
Section 327 of Public Law 109-115 and the implementing regulation at 24 CFR 5.612 established new restrictions on the eligibility of certain students (both part- and full-time) who are enrolled in institutions of higher education.
If a student enrolled at an institution of higher education and does not meet the definition of independent student, the student’s eligibility must be examined along with the income eligibility of the student’s parents. In these cases, both the student and the student’s parents must be income eligible for the student to receive HCV assistance. If, however, a student in these circumstances is determined independent from his/her parents in accordance with HHA policy, the income of the student’s parents will not be considered in determining the student’s eligibility.
The new law does not apply to students who reside with parents who are applying to receive HCV assistance. It is limited to students who are seeking assistance on their own, separately from their parents.
Determining Student Eligibility If a student is applying for assistance on his/her own, apart from his/her parents, HHA must determine whether the student is subject to the eligibility restrictions contained in 24 CFR 5.612. If the student is subject to those restrictions, HHA must ensure that: (1) the student is individually eligible for the program, (2) either the student is independent from his/her parents or the student’s parents are income eligible for the program, and (3) the “family” with which the student is applying is collectively eligible for the program.
• For any student who is subject to the 5.612 restrictions, HHA will:
• Follow its usual policies in determining whether the student individually and the student’s “family” collectively are eligible for the program
• Determine whether the student is independent from his/her parents in accordance with the definition of independent student in this section.
• Follow the policies below, if applicable, in determining whether the student’s parents are income eligible for the program
If HHA determines that the student, the student’s parents (if applicable), or the student’s “family” is not eligible, HHA will send a notice of denial in accordance with the policies in this Chapter, and the applicant family will have the right to request an informal review in accordance with the policies in
In determining whether and how the new eligibility restrictions apply to a student, HHA will rely on the following definitions:
Dependent Child In the context of the student eligibility restrictions, dependent child means a dependent child of a student enrolled in an institution of higher education. The dependent child must also meet the definition of dependent in 24 CFR 5.603, which states that the dependent must be a member of the assisted family, other than the head of household or spouse, who is under 18 years of age, or
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is a person with a disability, or is a full-time student. Foster children and foster adults are not considered dependents.
Independent Student The definition of independent student includes the following criteria. To be considered an independent student, the individual must meet one or more of the following criteria: (FR 9-21- 16):
• The individual is 24 years of age or older by December 31 of the award year;
• The individual is an orphan, in foster care, or a ward of the court or was an orphan, in foster care, or a ward of the court at any time when the individual was 13 years of age of older;
• The individual is, or was immediately prior to attaining the age of majority, an emancipated minor or in legal guardianship as determined by a court of competent jurisdiction in the individual’s State of legal residence;
• The individual is a veteran of the Armed Forces of the United States (as defined in subsection (c)(1) of HEA) or is currently serving on active duty in the Armed Forces for other than training purposes;
• The individual is a graduate or professional student; The individual is a married individual;
• The individual has legal dependents other than a spouse;
• The individual has been verified during the school year in which the application is submitted as either an unaccompanied youth who is a homeless child or youth (as such terms are defined in section 725 of the McKinney-Vento Homeless Assistance Act) (42 U.S.C. 11431 et seq.), or as unaccompanied, at risk of homelessness, and self-supporting, by
o A local educational agency homeless liaison, designated pursuant to section 722(g)(1)(J)(ii) of the McKinney-Vento Homeless Assistance Act; o The director of a program funded under the Runaway and Homeless Youth Act or a designee of the director; o The director of a program funded under subtitle B of title IV of the McKinney-Vento Homeless Assistance Act (relating to emergency shelter grants) or a designee of the director; or o A financial aid administrator; or
• The individual is a student for whom a financial aid administrator makes a documented determination of independence by reason of other unusual circumstances
HHA will verify that the student meets the definition of Independent Student per the policies. See VERIFICATION OF INDEPENDENT STUDENT STATUS policies.
Institution of Higher Education
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HHA will use the statutory definition under section 102 of the Higher Education Act of 1965 to determine whether a student is attending an institution of higher education. https://www.gpo.gov/fdsys/pkg/USCODE-2011-title20/pdf/USCODE-2011-title20-chap28- subchapI-partA.pdf
Parents For purposes of student eligibility restrictions, the definition of parents includes biological or adoptive parents, stepparents (as long as they are currently married to the biological or adoptive parent), and guardians (e.g., grandparents, aunt/uncle, godparents, etc.).
Person with Disabilities HHA will use the statutory definition under of the 1937 Act to determine whether a student is a person with disabilities.
Veteran A veteran is a person who served in the active military, naval, or air service and who was discharged or released from such service under conditions other than dishonorable.
Determining Parental Income Eligibility For any student who is subject to the 5.612 restrictions and who does not satisfy the definition of independent student above, HHA will determine the income eligibility of the student’s parents as follows:
• If the student’s parents are married and living together, HHA will obtain a joint income declaration and certification of joint income from the parents.
• If the student’s parent is widowed or single, HHA will obtain an income declaration and certification of income from that parent.
• If the student’s parents are divorced or separated, HHA will obtain an income declaration and certification of income from each parent.
• If the student has been living with one of his/her parents and has not had contact with or does not know where to contact his/her other parent, HHA will require the student to submit a certification under penalty of perjury describing the circumstances and stating that the student does not receive financial assistance from the other parent. HHA will then obtain an income declaration and certification of income from the parent with whom the student has been living or had contact.
In determining the income eligibility of the student’s parents, HHA will use the income limits for the jurisdiction in which the parents live.
5.13 HOUSEHOLD MEMBER TURNING 18 BETWEEN ELIGIBILITY AND LEASE UP
Income & Deductions
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When a family member will turn 18 between the date of eligibility and on or before the effective date of initial lease-up, HHA will include the family member’s income in the calculation of annual income. For example, HHA completes an eligibility determination on November 1st. One of the family members is 17 at the time of screening and eligibility determination; however, the family finds a unit with a lease effective date of December 15th and this individual turns 18 on November 17th. HHA will then calculate the income of that family member as if he/she was an adult, since the family member will be 18 by the effective date of the lease. Deductions will also be applied as if the family member was an adult. For example, a family member who is 17 at the time of eligibility determination, but 18 on the lease effective date, will NOT be given a dependent deduction unless that family member is a full time student or disabled.
Release Forms When a household member will turn 18 between the date of eligibility determination, but on or before the effective date of lease-up, HHA will have a parent/legal guardian sign any consent/release forms on behalf of that household member in order to authorize HHA to obtain their income verification and count applicable income.
Criminal Background Check When a household member will turn 18 between the date of eligibility determination, but on or before the effective date of lease-up, HHA will have a parent/legal guardian sign the consent for criminal background check on behalf of that household member in order to authorize HHA’s criminal background check.
5.14 ELIGIBILITY INTERVIEW
Families selected from a waiting list(s) are required to participate in an eligibility interview which includes the completion of a full application.
If the family is unable to attend a scheduled interview, the family should contact HHA in advance of the interview to schedule a new appointment. If a family does not attend a scheduled interview, HHA will schedule a second (2nd) interview. If the family does not attend the 2nd scheduled interview, the family will be withdrawn from the waiting list(s). HHA will send a withdrawal notice. Such failure to act on the part of the applicant prevents HHA from making an eligibility determination; therefore, HHA will not offer an informal hearing.
All family members aged 18 and older are required to attend the application interview. Verification of information pertaining to adult members of the family not present at the interview will not begin until signed release forms are returned to HHA.
HHA must have documentation that substantiates why an applicant has been selected for eligibility determination. For example, for Special Housing Initiatives, HHA would need a copy of an MOU and transmittal identifying the applicant family as being eligible for referral by the agency/organization making the referral. Another example is that HHA would need proof of age for elderly families being screened for designated housing.
When applicable, selection criteria will be verified in accordance with the verification policy of this Admin Plan. If the basis for selection cannot be verified, the applicant will be returned to
Administrative Plan: ELIGIBILITY 5-17 the waiting list, without the claimed selection criteria, retaining the same date and time of application.
The family must provide the information necessary to establish the family’s eligibility, including suitability, and to determine the appropriate amount of rent the family will pay. The family must also complete required forms, provide required signatures, and submit required documentation. All members of the household who are 18 years or older are required to sign the HUD Release of Information form or other release form acceptable to HUD, HHA’s release of information form related to Police Record Check, the Declaration of Citizenship form and any other documents or forms required by HHA. In addition, applicants will be required to sign verification forms necessary to solicit income, family information, and utilities information. When a household member will turn 18 between the date of eligibility determination, but on or before the effective date of lease-up, HHA will have a parent/legal guardian sign any consent/release forms on behalf of that family member in order to authorize HHA to obtain their income verification and count applicable income.
Any required documents or information that the family is unable to provide at the time of the interview must be provided within five (5) business days from the date of the request. If the family is unable to obtain the information or materials within the required time frame, HHA may provide a reasonable extension as necessary. Applicants who fail to provide the required information within HHA established time frames (including any allowed extensions) will be withdrawn from the waiting list(s) based on the family’s failure to supply information needed to determine eligibility. HHA will send the applicant a withdrawal notice. Such failure to act on the part of the applicant prevents HHA from making an eligibility determination; therefore, HHA will not offer an informal hearing.
An advocate, interpreter, or other assistant may assist the family with the application and the interview process.
Interviews will be conducted in English. For Limited English Proficiency (LEP) applicants, HHA will provide translation services in accordance with HHA’s LEP plan as found in this ACOP.
5.15 APPLICANT SCREENING
HHA conducts applicant screening to evaluate the eligibility and suitability of families who apply to the HCV program. HHA may deny assistance to an applicant based on the screening of applicants for family behavior or suitability for tenancy.
Debt, criminal background, sex offender and past and current behavior screening policies include basic screening information, reasons for mandatory and non-mandatory denial and mitigating factors. Mitigating factors will be considered for certain screening outcomes. Upon consideration of mitigating factors, HHA may, on a case-by-case basis, decide not to deny assistance. Director/Manager review and approval is required when admission is based on mitigating factors. Where mandatory and non-mandatory denials are discussed in this chapter, the denial is related to admission to the HCV Program.
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Families are provided an opportunity to explain circumstances and/or provide additional information when appropriate. HHA provides applicants an explanation of the basis for any decision made by HHA pertaining to the applicant’s eligibility and or suitability.
If a tenant is terminated and re-applies, the applicant (former tenant) will be subject to all HHA required screening elements to determine eligibility and suitability for the program.
5.16 EIV EXISTING AND FORMER TENANT SEARCH
HHA will conduct EIV screening for new applicants. An EIV Existing Tenant Search will be conducted on minor and adult members of an applicant household and when adding an adult or minor to an existing household.
HHA will discuss with the applicant if the EIV Existing Tenant Search identifies that the applicant or a member of the applicant’s household is residing at another federally subsidized housing location, giving the applicant the opportunity to explain any circumstances relative to his/her being assisted at another location.
HHA will follow up with the respective public housing agency or owner to confirm the individual’s program participation status before admission, if necessary, depending on the outcome of the discussion with the applicant.
HHA will retain the search results with the application along with any documentation obtained as a result of contact with the applicant and HHA and/or owner at the other location.
An EIV Former Tenant Search will be conducted on adult members of an applicant household and when adding an adult to an existing household. HHA will follow its policies on denial and termination of assistance when reviewing and acting on results of the EIV Former Tenant Search.
5.17 DEBT SCREENING
HHA will conduct debt screening on all members 18 years old or older, including EIV and HHA debt screening.
EIV debt screening for prior debts incurred during previous participation in a federally assisted housing program will be conducted at the time of eligibility screening. HHA may also use the EIV Former Tenant Search to identify outstanding debts.
For purposes of this section, “current” means amounts owed to HHA during the last 4 years or such other period for which the statute of limitations has not tolled in Holyoke or other applicable jurisdiction. For example, if an applicant’s participation in an assisted program was ended in 2007 due to debts owed, and the applicant never repaid such amounts and applies for the HCV program in 2011, then a “current” debt is owed. If the applicant’s participation in an assisted program ended in 1985 for the same reason, that debt could not be considered “current” unless applicable law permitted.
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HHA will consider debt that is not “current” (as defined above) as part of a history of non- payment and may deny admission to a household if there is other evidence of a history of non- payment and/or other eligibility factors, when taken as whole, that render a household ineligible for admission.
Debt that is considered “current” must be paid in full within 15 days of screening.
HHA will not conduct debt screening on VASH households.
5.17.1 MANDATORY DENIAL
HHA will deny assistance to a family:
• If the family has current debt to HHA for amounts paid to an owner under a HAP contract for rent, amounts owed under the lease, damages to the unit or other amounts owed by the family to HHA and the amount is not fully repaid within 90 calendar days from the date the pre- application was submitted. The applicant will be denied and the family will not be entered on the waiting list;
• If the family has current debt to another HHA or judgment against them in connection with Section 8 or public housing assistance under the 1937 Act for amounts paid to an owner under a HAP contract for rent, damages to the unit or other amounts owed by the family under the lease and the amount is not fully repaid within 90 calendar days from the date of the screening appointment;
• If the family has breached a repayment agreement with HHA or another PHA in connection with Section 8 or public housing assistance under the 1937 Act, and the amount is not fully repaid within 90 calendar days from the date of the screening appointment.
Mitigating Factors Manager/Director review and approval is required when admission is based on mitigating factors. HHA may consider the following factors when considering denial of assistance related to debt screening:
• The seriousness of the case, especially with respect to how it would affect other residents.
• The effects that denial of assistance may have on other members of the family who were not involved in the action or failure.
• Circumstances which led to the creation of the debt, i.e. death of a household member, economy-related layoff.
• Current financial circumstances.
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• The extent of participation or culpability of individual family members, including whether the culpable family member is a minor or a person with disabilities, or a victim of domestic violence, dating violence, or stalking.
• The length of time since the debt was incurred, the family’s recent history and the likelihood of favorable conduct in the future.
• Evidence of the family’s participation in or willingness to participate in social service or other appropriate counseling service programs.
• Removal of the culpable family member from the application. In such instances, the head of household must certify that the family member will not be permitted to visit or to stay as a guest in the assisted unit.
5.18 CRIMINAL BACKGROUND SCREENING
It is HHA’s policy to conduct screening for drug abuse and other criminal activity in an effort to prevent future drug-related and other criminal activity, as well as other patterns of behavior that pose a threat to the health, safety or right to peaceful enjoyment of the premises by other residents, and as required by HUD. In conducting screening, HHA will comply with all applicable civil rights requirements contained in the Fair Housing Act, Title VI of the Civil Rights Act of 1964, Section 504 of the Rehabilitation Act and Titles II and II of the Americans with Disabilities Act of 1990 and other equal opportunity provisions listed in 24 CFR 5.105. Such screening will apply to any member of the household who is 18 years of age or older, including live-in aides.
HHA will ensure that adverse housing decisions based upon criminal activity are supported by sufficient evidence that the individual engaged in such activity. HHA uses convictions, not arrest records, to determine that an individual has engaged in criminal activity. HHA may deny admission based upon the conduct underlying an arrest if the conduct indicates that the individual is not suitable for tenancy and HHA has sufficient evidence other than the fact of arrest that the individual engaged in the conduct. The conduct, not the arrest, will be the relevant factor for admissions and tenancy determination. Reliable evidence of a conviction may be the basis for determining that disqualifying conduct occurred.
HHA may use other evidence such as police reports detailing the circumstances of the arrest, witness statements and other relevant documentation to assist in making a determination that disqualifying conduct occurred.
HHA will conduct criminal background checks at admission, when an adult is proposed to be added to the household, and when an existing minor household member turns 18. Additionally, HHA reserves the right to conduct criminal background checks at other times to ensure that clients are not engaging in or have engaged in certain criminal activities.
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When an existing household member turns 18 during the recertification period, HHA will conduct a criminal background check at the next regular recertification after the household member turns 18.
The criminal background check may be made through state and/or local law enforcement agencies, or through an on-line service. In cases where a family has lived outside HHA’s jurisdiction for the last three years, the applicant must provide HHA with a criminal background check supplied by the local police department in the applicant’s former jurisdiction.
Families are provided an opportunity to dispute the accuracy and relevance of a criminal record before admission or assistance is denied on the basis of such record. HHA provides applicants an explanation of the basis for any decision made by HHA pertaining to the applicant’s eligibility. Applicants are provided with an opportunity to request an informal hearing or review after an application of housing assistance is denied.
If HHA proposes to deny assistance based on criminal record information, HHA will notify the household of the proposed action and will make the record available upon request to the applicant. The applicant will have an opportunity to dispute the accuracy and relevance of the information through the informal review process.
If the criminal record check (CRC) identifies a pending criminal investigation, HHA will suspend the eligibility determination until the criminal investigation is completed. HHA will notify the applicant concerning their suspended eligibility status and request that the applicant notify HHA when the investigation is complete, at which time HHA will apply its eligibility and screening policies in making a final eligibility determination. Applicants deemed ineligible as the result of a CRC will have ten (10) business days from receipt of a letter of ineligibility to request an informal review.
Criminal record checks will be considered current for a period of one year. If lease up (for new applicants) is not effective within one year from the date the CRC was run, a new CRC will be required.
APPENDIX B: CHART OF OFFENSES – DENIAL OF ADMISSION includes a chart detailing specific drug and criminal offenses and HHA’s time frame for denial based on the timeframe between conviction and screening. In making determinations related to eligibility for admission to the program, HHA will use the criminal background screening policies in concert with the Chart of Offenses in Appendix B
5.18.1 MANDATORY DENIAL – CRIMINAL BACKGROUND SCREENING
HHA will deny assistance related to criminal background screening as a result of one of the following.
• Any household member has been convicted of drug-related criminal activity for the production or manufacture of methamphetamine on the premises of federally assisted
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housing. Drug-related criminal activity is defined as the illegal manufacture, sale, distribution, or use of a drug, or the possession of a drug with intent to manufacture, sell, distribute or use the drug.
• Any household member has been convicted of a homicide-related offense, i.e. the killing of one human being by another. This includes murder, manslaughter (voluntary or involuntary), and conspiracy to commit murder. Mandatory denial is required if the homicide related conviction is within the time frames, as described in Appendix B.
Mitigating Factors Manager/Director review and approval is required when admission is based on mitigating factors. HHA may consider the following when considering denial of assistance related to criminal background screening:
• Removal of the culpable family member from the application. In such instances, the head of household must certify that the family member will not be permitted to visit or to stay as a guest in the assisted unit.
5.18.2 NON-MANDATORY DENIAL –CRIMINAL BACKGROUND SCREENING
Prior to making a final determination on denial of assistance related to criminal background screening, HHA may consider the mitigating factors.
Mitigating Factors Manager/Director review and approval is required when admission is based on mitigating factors. HHA may consider the following factors when considering non-mandatory denial of assistance related to criminal background screening:
• If the applicant is an active tenant or graduate in good standing in a HHA approved city, state or federal re-entry program for ex-offenders and is meeting or has met and continues to meet the good standing requirements set forth in the re-entry program.
• The seriousness of the case, especially with respect to how it would affect other residents.
• The effects that denial of assistance may have on other members of the family who were not involved in the action or failure.
• The extent of participation or culpability of individual family members, including whether the culpable family member is a minor or a person with disabilities, or a victim of domestic violence, dating violence, or stalking.
• The length of time since the violation occurred, the family’s recent history and the likelihood of favorable conduct in the future.
• The level of violence, if any, of the offense for which the applicant was convicted.
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• Evidence of the family’s participation in or willingness to participate in social service or other appropriate counseling or rehabilitation service programs.
• Evidence of work history or history of community volunteer work.
• Satisfactory completion of probation.
• Removal of the culpable family member from the application. In such instances, the head of household must certify that the family member will not be permitted to visit or to stay as a guest in the assisted unit.
5.19 SEX OFFENDER SCREENING
HHA will perform criminal background checks necessary to determine whether any household member is subject to a lifetime registration requirement under a state sex offender program in Massachusetts, as well as in any other state where a household member is known to have resided.
5.19.1 MANDATORY DENIAL
HHA will deny admission to a family if:
• A member of the household is subject to a lifetime registration requirement under a State Sex Offender Registration Program.
Mitigating Factors Manager/Director review and approval is required when admission is based on mitigating factors. HHA may consider the following when considering mandatory denial of assistance related to criminal background sex offender screening:
• Removal of the culpable family member from the application. In such instances, the head of household must certify that the family member will not be permitted to visit or to stay as a guest in the assisted unit.
5.20 SCREENING BASED ON PAST OR CURRENT BEHAVIOR
Arrest records alone will not be used to make a determination of unsuitability. In addition to the criminal background check. HHA may also use the following as evidence of patterns of current and past unsuitable behavior:
• Police reports detailing the circumstances of the arrest;
• Witness statements;
• Criminal background checks for drug-related or violent criminal activity of household members within the past three years;
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• Any record of evictions for suspected drug-related or violent criminal activity of household members within the past three years; and/or
• Other relevant documentation to assist HHA in making a determination that disqualifying conduct occurred.
5.20.1 MANDATORY DENIAL
HHA will deny assistance to a family when:
• Any member of the household has been evicted from federally-assisted housing in the last 3 years for drug-related criminal activity.
• Any household member is currently engaged in the use of illegal drugs or HHA has reasonable cause to believe that any household member's current use or pattern of use of illegal drugs, or current abuse or pattern of abuse of alcohol, may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. Currently engaged in, current use of or current abuse is defined as within the previous six months from the date of screening. HHA may obtain information from drug abuse or other treatment entities to determine whether a household member is currently engaging in illegal drug activity or criminal behavior.
Mitigating Factors Manager/Director review and approval is required when admission is based on mitigating factors. HHA may consider the following when considering denial of assistance related to screening for past or current behavior:
• The seriousness of the case, especially with respect to how it would affect other residents.
• The effects that denial of assistance may have on other members of the family who were not involved in the action or failure.
• The extent of participation or culpability of individual family members, including whether the culpable family member is a minor or a person with disabilities, or a victim of domestic violence, dating violence, or stalking.
• The length of time since the violation occurred, the family’s recent history and the likelihood of favorable conduct in the future.
• Evidence of the family’s participation in or willingness to participate in social service or other appropriate counseling service programs.
• Evidence of work history or history of community volunteer work
• In the case of drug or alcohol abuse, whether the culpable household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program or has
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otherwise been rehabilitated successfully. HHA will require the applicant to submit evidence of the household member’s current participation in or successful completion of a supervised drug or alcohol rehabilitation program, or evidence of the household member having been rehabilitated successfully.
• The circumstances that led to eviction no longer exist, i.e. the criminal household member has died or is imprisoned.
• Removal of the culpable family member from the application. In such instances, the head of household must certify that the family member will not be permitted to visit or to stay as a guest in the assisted unit.
5.20.2 NON-MANDATORY DENIAL
HHA may deny assistance if:
• A HHA has ever terminated assistance under the program for any member of the family.
• Any family member has been evicted from federally-assisted housing in the last three (3) years for reasons outside of drug related criminal activity.
• Any member of the family has committed fraud or bribery or other corrupt or criminal act in connection with any federal housing program.
• A family member has engaged in or threatened violent or abusive behavior toward HHA personnel, an owner, contractor, subcontractor or agent of HHA. Abusive or violent behavior includes verbal as well as physical abuse or violence. Use of racial epithets, or other language, written or oral, that is customarily used to intimidate may be considered abusive or violent behavior. Threatening refers to oral or written threats or physical gestures that communicate intent to abuse or commit violence.
• A family member has engaged in or threatened the health, safety, or right to peaceful enjoyment of the premises by other residents or persons residing in the immediate vicinity. Immediate vicinity means within a three-block radius of the premises.
Mitigating Factors Manager/Director review and approval is required when admission is based on mitigating factors. HHA may consider the following factors when considering non-mandatory denial of assistance related to screening on past and current behavior:
• The seriousness of the case, especially with respect to how it would affect other residents.
• The effects that denial of assistance may have on other members of the family who were not involved in the action or failure.
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• The extent of participation or culpability of individual family members, including whether the culpable family member is a minor or a person with disabilities, or a victim of domestic violence, dating violence, or stalking.
• The length of time since the violation occurred, the family’s recent history and the likelihood of favorable conduct in the future.
• Evidence of work history or history of community volunteer work.
• Evidence of the family’s participation in or willingness to participate in social service or other appropriate counseling service programs.
• The circumstances that led to eviction no longer exist, i.e. the criminal household member has died or is imprisoned.
• In the case of drug or alcohol abuse, whether the culpable household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program or has otherwise been rehabilitated successfully. HHA will require the applicant to submit evidence of the household member’s current participation in or successful completion of a supervised drug or alcohol rehabilitation program, or evidence of the household member having been rehabilitated successfully
• Removal of the culpable family member from the application. In such instances, the head of household must certify that the family member will not be permitted to visit or to stay as a guest in the assisted unit.
5.20.3 REASONABLE ACCOMMODATION
If the family indicates that the behavior of a family member with a disability is the reason for the proposed denial of admission, HHA may determine whether the behavior is related to the disability. If so, upon the family’s request, HHA will determine whether alternative measures are appropriate as a reasonable accommodation. HHA will only consider accommodations that can reasonably be expected to address the behavior that is the basis of the proposed denial of assistance. See discussion of HHA consideration of reasonable accommodations as outlined in this Plan.
5.21 FINAL ELIGIBILITY DETERMINATION
Based on verified information, HHA will make a final determination of eligibility and will confirm that the family qualified for any special admission, targeted admission, or selection preference, where applicable, that affected the order in which the family was selected from the waiting list.
If HHA determines that the family is ineligible, HHA will send written notification of the ineligibility determination. The notice will specify the reasons for ineligibility, and will inform the family of their right to request an informal review.
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If a family fails to qualify for any criteria that affected the order in which it was selected from the waiting list (i.e., targeted funding, extremely low-income), the family will be returned to its original position on the waiting list. HHA will notify the family in writing that it has been returned to the waiting list, and will specify the reasons for returning the family to the waiting list.
If HHA determines that the family is eligible to receive assistance, HHA will place the family’s name in the Ready Pool according to date and time of application.
5.22 NOTICE OF ELIGIBILITY OR DENIAL
If HHA determines that a family is not eligible for the program for any reason, the family will be notified promptly. The notice will describe:
• The reasons for which assistance has been denied;
• A statement that if the applicant is an individual with disabilities, they may request a Reasonable Accommodation as the disability may relate to participation in the informal review process or affect HHA’s decision to deny admission;
• Notification of applicant protections against denial, confidentiality requirements and request for documentation as provided by VAWA. Detailed policy concerning VAWA and denial of admission is included in the Fair Housing and Equal Opportunity chapter;
• The family’s right to an informal review; and
• The process for obtaining the informal review.
If based on a criminal record or lifetime registration information, an applicant family appears to be ineligible, HHA will notify the family in writing of the proposed denial and provide access to the record to the head of household (applicant) and to the subject of the record. The family will be given ten (10) business days to dispute the accuracy and relevance of the information. If the family does not contact HHA to dispute the information within ten (10) business days, HHA will proceed with the denial of admission. A family that does not exercise their right to dispute the accuracy of the information prior to issuance of the official denial letter will still be given the opportunity to do so as part of the informal review process. A Reasonable Accommodation will be considered in the acceptance of disputes, notices, scheduling and conducting hearings, and any decisions made by HHA.
Applicants who are denied admission are prohibited from applying and/or receiving housing assistance for one year from the date of the denial.
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CHAPTER 6: SUBSIDY STANDARDS
Subsidy standards are established by HHA to ensure that vouchers are issued to families for the appropriate size. Subsidy standards describe the methodology and factors HHA uses to determine the voucher size for which a family qualifies, and includes the identification of the minimum and maximum number of household members for each unit size. This section also identifies circumstances under which an exception to the subsidy standards may be approved as well as other circumstances which dictate the voucher size for which a family qualifies.
Applicants who pass screening and are qualified for housing will be issued vouchers based on the policies established in this chapter. Units will be occupied by families of the appropriate size; however, the unit must meet the applicable HQS space requirements.
6.1 MINIMUM AND MAXIMUM PERSONS IN A UNIT
This table below provides general subsidy standard guidelines. This table must be used in conjunction with the narrative policies in section DETERMINING FAMILY VOUCHER SIZE.
Number of Bedrooms Min. Persons/Unit Max. Persons/Unit 0 BR 1 1 1 BR 1 2 2 BR 2 4 3 BR 3 6 4 BR 4 8 5 BR 5 10 6 BR 6 12
HHA will follow HUD’s maximum HQS space standards in determining exceptions to the maximum allowable persons in a unit.
6.2 DETERMINING FAMILY VOUCHER SIZE
For each family, HHA determines the appropriate voucher size under HHA Subsidy standards and enters the family unit size on the voucher that is issued to the family.
HHA will apply subsidy standards consistent with the stated gender provided by the tenant. HHA may make exceptions to this subsidy standard policy where cases of gender identity and other household members are concerned. Exceptions will be made on a case by case basis.
The following principles govern the voucher size for which a family may qualify.
• Two (2) persons per bedroom will be the standard for the unit a family may be offered;
• Two children of the same sex share a bedroom regardless of age;
Administrative Plan: SUBSIDY STANDARDS 6-1
• An adult and a child of the same sex who are not more than 10 years apart in age will be required to share a bedroom. For example a 25 year old female adult would have to share a bedroom with a 16 year old female child.
• Two adults of the same sex, other than same sex couples in an inter-dependent relationship or domestic partnership, who are more than 10 years apart are not required to share a bedroom; however, they may share a bedroom at the family’s request.
• Persons of the opposite sex will not be required to share a bedroom, (see exceptions below); however, they may share a bedroom at the family’s request;
• A husband and wife will be allocated one bedroom;
• A same or opposite sex couple that has an interdependent relationship or domestic partnership will be allocated one bedroom;
• An SRO will only be assigned to a one person household;
• A family that consists of a pregnant woman (with no other persons) will be treated as a two- person family, however the family will be provided with a 1 BR voucher.
• HHA will count a child who is temporarily away from the home because the child has been placed in foster care, kinship care or in the custody of the Dept. of Human Services as long as the family can document that the child will be living with the family.
• A live-in attendant may be assigned his/her own bedroom. Single elderly or disabled clients with live-in attendants will be assigned two bedroom units.
• HHA will allow family members of live-in aides to reside in the unit provided the addition of such family members does not produce an under-housed situation as determined by HHA subsidy standards. For example if a live-in aide has a daughter, the live in aide’s daughter may reside in the unit, provided the daughter shares the bedroom with her mother or another household member.
• Children specified in joint custody agreements will be considered family members if the agreement specifies that they live with the parent for 50% or more of the time (at least 183 days a year) HHA will require verification of the custody agreement which may include school records and or court orders. When more than one applicant or client family is claiming the same dependents as family members, the family with primary custody at the time of the initial examination or reexamination will be able to claim the dependents. If there is a dispute about which family should claim them, HHA will make the determination based on available documents such as court orders, or an IRS return showing which family has claimed the child for income tax purposes
• Space may be provided for a family member who is away at school but who lives with the family during school recesses. See policy on ABSENT STUDENTS.
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• Unless a live-in aide resides with the family, the family voucher size for any family consisting of a single person must be a one bedroom voucher.
• At the discretion of HHA, a household member may be assigned a separate bedroom if required for documented medical reasons.
6.3 CHANGES IN FAMILY COMPOSITION, VOUCHER SIZE & UA
When a family reports a change in family composition, HHA will process approved family composition changes and update the voucher size at the time of the change. Utility allowances will be updated at the time of the change in family composition. Payment standards will not be updated until the effective date of the next regular recertification.
6.4 EXCEPTIONS TO OCCUPANCY STANDARD GUIDELINES
HHA will grant exceptions to occupancy guidelines in cases where it is the family’s request and HHA determines the exceptions are justified by the relationships, age, sex, health or disability of family members, or other individual circumstances. HHA will not grant an exception that is in violation of local housing or occupancy codes, regulations or laws. HHA may require the HOH’s signature acknowledging and agreeing with the approved subsidy standard exceptions.
For a single person who is not elderly or disabled, an exception cannot override the regulatory limit of a zero or one bedroom voucher.
6.5 PROCESSING OF EXCEPTIONS
All requests for exceptions to the occupancy guidelines must be submitted in writing.
In the case of a request for exception as a reasonable accommodation, HHA will ask the tenant to make the request in writing using a reasonable accommodation request form. However, HHA will consider the exception request any time the tenant indicates that an accommodation is needed whether or not a formal written request is submitted.
Requests for a larger voucher size must explain the need or justification for the larger sized unit, and must include appropriate documentation. Requests based on health-related reasons must be verified by a knowledgeable professional source.
HHA will promptly notify the family, in writing, of its decision.
6.6 TEMPORARILY AND PERMANENTLY ABSENT FAMILY MEMBERS
An individual who is or is expected to be absent from the assisted apartment for up to 180 consecutive days is considered temporarily absent and continues to be considered a family member. HHA will require that temporarily absent family members complete and submit required recertification documents on a timely basis. An individual who is or is expected to be
Administrative Plan: SUBSIDY STANDARDS 6-3 absent from the assisted apartment for more than 180 consecutive days is considered permanently absent and is no longer a family member. Exceptions to this policy are reviewed on a case by case basis.
6.7 ABSENCE OF ADULT MEMBER
If an adult member who was formerly a member of the household is reported to be permanently absent, the family must provide evidence to support that the person is no longer a member of the family (e.g., documentation of another address at which the person resides such as a lease or utility bill).
6.8 ABSENT STUDENTS
When someone who has been considered a family member attends school away from home, the person will continue to be considered a family member unless information becomes available to HHA indicating that the student has established a separate household or the family declares that the student has established a separate household.
6.9 ABSENCES DUE TO PLACEMENT IN FOSTER CARE
Children temporarily absent from the home as a result of placement in foster care are considered members of the family. If a child has been placed in foster care, HHA will verify with the appropriate agency whether and when the child is expected to be returned to the home. Unless the agency confirms that the child has been permanently removed from the home, the child will be counted as a family member for subsidy standards.
6.10 ABSENT ADULTS DUE TO EMPLOYMENT
An adult family member absent from the apartment more than 180 consecutive days due to employment or active military service will continue to be considered a family member provided that their income is included in the calculation of household income (excludes hostile fire income). Families will be required to provide proof of employment.
6.11 INDIVIDUALS CONFINED FOR MEDICAL REASONS
An individual confined to a nursing home or hospital on a permanent basis is not considered a family member.
If there is a question about the status of a family member, HHA will request verification from a responsible medical professional. If the responsible medical professional cannot provide a determination, the person generally will be considered temporarily absent. The family may present evidence that the family member is confined on a permanent basis and request that the person not be considered a family member.
6.12 ABSENT FAMILY
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If all family members are absent from a unit for more than 180 consecutive days, housing assistance payments will cease and the HAP contract and lease will terminate.
6.13 RETURN OF A PERMANENTLY ABSENT FAMILY MEMBER
The family must request HHA approval for the return of any adult family members that HHA previously determined to be permanently absent. The individual is subject to HHA’s eligibility and screening requirements and HHA policies on changes in household composition.
CHAPTER 7: BRIEFINGS & VOUCHER ISSUANCE
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This chapter explains the briefing and voucher issuance process. When a family is determined to be eligible for the Housing Choice Voucher (HCV) program, HHA must ensure that the family fully understands the way the program operates and the family’s obligations under the program. This is accomplished through both an oral briefing and provision of a briefing packet containing written documentation of information the family needs to know. Once the family is fully informed of the program’s requirements, HHA issues the family a voucher. The voucher includes the unit size for which the family qualifies based on HHA’s subsidy standards, as well as the dates of issuance and expiration of the voucher. The voucher is the document that permits the family to begin its search for a unit, and limits the amount of time the family has to successfully locate an acceptable unit.
7.1 BRIEFING
The briefing provides a broad description of owner and family responsibilities, explains HHA’s procedures, and includes instructions on how to lease a unit.
HHA will give the family an oral briefing and provide the family with a briefing packet containing written information about the program. Families may be briefed individually or in groups.
Generally, the head of household is required to attend the briefing. If the head of household is unable to attend, HHA may approve another adult family member to attend the briefing.
Briefings will be conducted in English. For limited English proficient [LEP] applicants, HHA will provide translation services.
7.2 NOTIFICATION AND ATTENDANCE
HHA will contact families to invite them to the briefing. If a family cannot be reached over the phone, HHA will send a written notice. The notice will identify who is required to attend the briefing, as well as the date and time of the scheduled briefing.
If the notice is returned by the post office with no forwarding address, the applicant will be withdrawn and their name will not be placed back on the waiting list. If the notice is returned by the post office with a forwarding address, the notice will be re-sent to the address indicated.
Applicants who fail to attend a scheduled briefing will automatically be scheduled for another briefing. HHA will notify the family of the date and time of the second scheduled briefing. Applicants, who fail to attend two scheduled briefings without HHA approval, will be withdrawn from the waiting list. If an applicant does not attend two scheduled briefings because of a family member’s disability, HHA will reschedule the family for another briefing as a reasonable accommodation.
7.3 ORAL BRIEFING
Each briefing will include information on the following subjects:
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• How the HCV program works;
• Family and owner responsibilities;
• Where the family can lease a unit, including renting a unit inside or outside HHA’s jurisdiction;
• An explanation of how portability works, including HHA’s MTW policy on portability. An explanation of how portability may affect the family’s assistance through screening, subsidy standards, payment standards and any other elements of the portability process which may affect the family’s assistance. HHA cannot discourage families from choosing to live anywhere in HHA’s jurisdiction, or outside HHA’s jurisdiction under portability procedures, unless otherwise expressly authorized by statute, regulation, PIH Notice, the MTW Agreement or court order.
• An explanation of the advantages of living in areas that do not have a high concentration of low income families;
• Applicable MTW program information
7.4 BRIEFING PACKET
Documents and information provided in the briefing packet will include the following. This information is provided to the applicant either at the time of formal application or at the Briefing session.
• The term of the voucher, and HHA’s policies on any extensions or suspensions of the term including how to request an extension to the term of the voucher;
• A description of the method used to calculate the housing assistance payment for a household, including how HHA determines the payment standard for a household, how HHA determines total tenant payment for a household, and information on the payment standard and utility allowance schedule;
• An explanation of how HHA determines the maximum allowable rent for an assisted unit;
• Where the family may lease a unit;
• The advantages of areas that do not have a high concentration of low-income households;
• Restrictions on the number and timing of moves by a household;
• An explanation of how portability works, including HHA’s MTW policy on portability. An explanation of how portability may affect the family’s assistance through screening, subsidy
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standards, payment standards and any other elements of the portability process which may affect the family’s assistance;
• A list of portability contact persons for neighboring HHAs including names, addresses, and telephone numbers;
• The HUD-required tenancy addendum, which must be included in the lease;
• The form the family must use to request approval of tenancy, and a description of the procedure for requesting approval for a tenancy;
• A statement of HHA policy on providing information about households to prospective owners;
• HHA’s subsidy standards including when and how exceptions are made;
• Materials on how to select a unit and any additional information on selecting a unit that HUD provides;
• The HUD pamphlet on lead-based paint entitled Protect Your Family from Lead in Your Home;
• Information on federal, state and local equal opportunity laws and a copy of the housing discrimination complaint form;
• A list of landlords known to HHA who may be willing to lease a unit to the household or other resources such as newspapers, organization and on-line search tools, known to HHA that may assist the family in locating a unit. HHA will try to ensure that the list of landlords or other resources covers areas outside of poverty or minority concentration;
• Notice that if the household includes a person with disabilities, the household may request a list of available accessible units known to HHA;
• The family obligations under the program;
• The grounds on which HHA may terminate assistance for a household because of household action or failure to act;
• HHA’s informal hearing procedures including when HHA is required to offer a household the opportunity for an informal hearing, and how to request the hearing; and
• Information related to requirements under the MTW Demonstration.
• Maps showing areas with housing opportunities outside areas of poverty or minority concentration, both within its jurisdiction and its neighboring jurisdiction
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7.5 BRIEFING FAMILIES WITH SPECIAL NEEDS
In a briefing that includes any person with disabilities, HHA will take appropriate steps to ensure effective communication and an accessible location. Spoken word and American Sign Language interpreters will be made available as needed. HHA will advise applicants that interpreters must be requested two days prior to the scheduled meeting. Applicants may also bring their own interpreters. Family members, representatives and service providers who assist families with special needs are encouraged to attend
7.6 VOUCHER ISSUANCE
The voucher is the family’s authorization to search for housing. It specifies the unit size for which the family qualifies, and includes both the date of voucher issuance and date of expiration. It contains a brief description of how the program works and explains the family obligations under the program. The voucher serves as evidence that HHA has determined the family to be eligible for the program, and that HHA expects to have money available to subsidize the family if the family finds an approvable unit.
A voucher can be issued to an applicant family only after HHA has determined that the family is eligible for the program based on information received within the 60 days prior to issuance and after the family has attended a mandatory briefing.
If funds are insufficient to house the family at the top of the waiting list, HHA will wait until it has adequate funding before issuing additional vouchers. If HHA determines that there is insufficient funding after a voucher has been issued, HHA may rescind the voucher and place the affected family back on the waiting list.
For families within the same category who were previously terminated or who had vouchers recalled due to insufficient funding, vouchers will be issued to those terminated or with vouchers recalled first. In these cases, vouchers will be issued as follows:
• Families with special purpose vouchers (NEDs, FUP, VASH) that were previously terminated or who had vouchers recalled due to insufficient funding.
• Once HHA resumes issuing vouchers after a funding shortfall, if HHA is not assisting the required number of NEDs, VASH, and FUP vouchers, HHA will issue vouchers to special purpose voucher categories of families on its WL until HHA is assisting its required number of special purpose vouchers.
• Families without special purpose vouchers who were previously terminated or who had vouchers recalled due to insufficient funding.
• Families who requested moves that were denied due to insufficient funding.
Issuance after Cessation of Issuance of Vouchers
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If HHA Housing Authority does have a funding shortfall and is not serving the required number of Family Unification (FUP), Non-elderly Disabled (NED) or Veterans Affairs Supportive Housing (VASH) families, HHA will first issue vouchers to FUP, NED and VASH families on the waiting list when it resumes issuing new vouchers. This shall be the case until the HHA is utilizing all its required number of SPVs. HHA shall issue to FUP, NED and VASH by date and time of application at such time as funding become available for reissuance of SPVs.
See REQUEST TO MOVE & PENDING TERMINATION for policies related to moves and voucher issuance when a termination is pending.
7.6.1 VOUCHER TERM
The initial voucher term will be 60 calendar days. The family must submit a Request for Tenancy Approval and proposed lease within the 60-day period unless HHA grants an extension.
7.6.2 EXTENSIONS OF VOUCHER TERM
HHA will automatically approve one 30-day extension upon written request from the family.
HHA will approve additional extensions only in the following circumstances:
• It is necessary as a reasonable accommodation for a person with disabilities.
• It is necessary due to reasons beyond the family’s control, as determined by HHA.
Following is a list of extenuating circumstances that HHA may consider in making its decision. The presence of these circumstances does not guarantee that an extension will be granted:
• Serious illness or death in the family
• Other family emergency
• Obstacles due to employment
• Whether the family has already submitted requests for tenancy approval that were not approved by HHA
• Whether family size or other special requirements make finding a unit difficult
Any request for an additional extension must include the reason[s] an additional extension is necessary. HHA may require the family to provide documentation to support the request.
All requests for extensions to the voucher term must be made in writing and submitted to HHA prior to the expiration date of the voucher [or extended term of the voucher].
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HHA will decide whether to approve or deny an extension request will provide the family written notice of its decision.
7.6.3 SUSPENSIONS OF VOUCHER TERM
When a Request for Tenancy Approval is received by HHA, the term of any initial or extended voucher will be suspended from the date the family submits a request for tenancy approval until the date HHA notifies the family, in writing, whether the request has been approved or denied. HHA’s determination not to suspend a voucher term is not subject to informal review
7.6.4 EXPIRATION OF VOUCHER TERM
If an applicant family’s voucher term or extension expires before the family has submitted a Request for Tenancy Approval [RTA], HHA will require the family to reapply for assistance in accord with HHA’s policies on applying for assistance.
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CHAPTER 8: VERIFICATION
8.1 INTRODUCTION
HHA verifies all information that is used to establish the family’s eligibility and level of assistance. Applicants and tenants must cooperate with the verification process as a condition of receiving assistance. All information obtained through the verification process will be handled in accordance with the records management policies established by HHA.
HHA will follow verification guidance in its approved MTW Plans and where not specifically stated in an MTW Plan, HHA will follow verification guidance provided by HUD in Notice PIH 2010-19 and any successor notices issued by HUD. This chapter describes the general verification process and summarizes the verification policies on income, assets, mandatory deductions and other family information used by HHA.
8.2 FAMILY CONSENT TO RELEASE OF INFORMATION
Applicants and tenants must supply any information that HHA or HUD determines is necessary for the administration of the program and must consent to verification of that information by HHA.
It is required that all adult applicants and tenants sign form HUD-9886, Authorization for Release of Information, any other HUD required form and other forms required by HHA as part of the application process and as part of the re-certification process. The purpose of form HUD- 9886 is to facilitate automated data collection and computer matching from specific sources and to provide the family's consent only for the specific purposes listed on the forms.
If any family member who is required to sign a consent form fails to do so, HHA will deny admission to applicants or terminate assistance of tenants. The family may request a hearing in accordance with HHA’s grievance procedures.
8.3 VERIFICATION HIERARCHY
HHA will use the most reliable form of verification that is available. In order of priority, the forms of verification that HHA will use are:
• Up-front Income Verification using HUD’s Enterprise Income Verification system
• Up-front Income Verification using a non-HUD system
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• Written Third Party Verification (may be provided by applicant or tenant)
• Written Third-Party Verification Form
• Oral Third-party Verification
• Self-certification
8.4 OVERVIEW OF VERIFICATION REQUIREMENTS
The following are HHA’s general verification requirements:
• Any documents used for verification(both income and household information documents) must be the original (not photocopies) and generally must be dated within 60 calendar days of the date they are provided to HHA, including documents verified prior to voucher issuance. HHA may accept scanned documents from third parties.
• HHA may accept electronic signatures for verification of program information.
• HHA will generally wait five business days for receipt of verification information from third party verifiers before moving on to the next level of verification.
• Before issuing a voucher for admission to the program, HHA will re-verify income if the household’s income has changed or any income verification is more than 60 days old.
• The documents must not be damaged, altered or in any way illegible.
• Generally, HHA will maintain the validity of verification documents for 150 days from the date of receipt.
• If 150 or more days have elapsed since the verification information was received by HHA for any recertification and the 50058 is about to be validated, HHA will request updated income information from the household, including but not limited to, current pay stubs and benefits letters. If the difference between the updated income information and the previously calculated information is greater than $200 per month, HHA will recalculate income and TTP using the updated tenant provided income. If the difference is less than $200/month, no changes will be made. If the tenant cannot provide updated documentation of income, HHA will follow the hierarchy of verification and attempt to receive updated verification from the third party source.
• In an effort to lease families as quickly as possible and to reduce staff workload, HHA will not re-verify household composition and information related to income and allowances during the leasing process even if the 150 day threshold has been exceeded.
• Unless otherwise stated, HHA will accept documents dated more than 6 months before the processing date of the household's recertification if the document represents the most recent
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scheduled report from a source. For example, if the holder of a pension annuity provides annual reports, HHA would accept the most recent report. However, a SS benefit letter can be obtained more than once per year, so that HHA would not accept a benefit letter that was more than 60 days old.
• Print-outs from web pages are considered original documents.
• Generally, HHA staff member who views verification documents must make a photocopy and date stamp the copy with the date the document was received. Birth certificates, photo IDs and SS cards will not require a date stamp.
• Any household self-certifications must be made in a format acceptable to HHA and must be signed in the presence of a HHA representative or Notary Public.
• The cost of verification will not be passed on to the household.
• For verification of wages using review of household provided documents, HHA requires
Pay Frequency Number of Consecutive Pay Stubs Weekly 4 Bi-weekly or 2 Twice/Month Monthly 2
• If an applicant/household provides more than the minimum required pay stubs for verification, HHA will use only the minimum number of paystubs required and will ensure that the pay stubs used reflect the most current paystubs provided.
• If a verifier provides a range of hours worked, HHA will use the average of the range to calculate income.
• HHA will determine that third-party verification is not available if the asset or expense involves an insignificant amount, making it not cost-effective or reasonable to obtain third- party verification
8.5 FILE DOCUMENTATION
HHA must document in the file how the figures used in income and rent calculations were determined. All verification attempts, information obtained, and decisions reached during the verification process will be recorded in the family’s file in sufficient detail to demonstrate that HHA has followed all of the verification policies set forth in this plan. The record should be sufficient to enable a staff member or HUD reviewer to understand the process followed and conclusions reached.
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8.6 SUBSTANTIAL DIFFERENCE
HHA will use the $200 per month as the threshold for a substantial difference.
If UIV/third party information differs substantially from household provided information HHA reserves the right to request additional verification information and use any other verification method in priority order to reconcile the difference.
8.7 FRAUD
Information provided by the applicant/household that proves to be untrue may be used to disqualify the applicant for admission or terminate the household on the basis of attempted fraud. HHA considers false information concerning the following to be grounds for rejecting an applicant or terminating assistance:
• Income, assets, household composition;
• Social Security Numbers;
• Preferences;
• Allowances; and
• Previous household history or criminal history
The applicant/household shall be notified in writing of such determination by HHA and will be given the opportunity for an informal review /hearing of the matter.
8.8 UP-FRONT INCOME VERIFICATION (UIV)
UIV refers to HHA’s use of the verification tools available from independent sources that maintain computerized information about earnings and benefits. UIV will be used to the extent that these systems are available to HHA.
8.9 ENTERPRISE INCOME VERIFICATION (EIV) SYSTEM
HHA will use HUD’s EIV system as a third-party source to identify tenant employment and certain income information during regular and interim reexaminations. The following policies apply to the use of HUD’s EIV system.
8.9.1 EIV INCOME REPORTS
The data shown on income reports is updated quarterly. However, data may be between three and six months old at the time reports are generated.
Administrative Plan: VERIFICATION 8-15
EIV reports will be compared to family-provided information as part of the regular and interim reexamination process. EIV reports will be used as necessary to identify earned income and unemployment benefits, and to verify and calculate Social Security and/or Supplemental Security Income benefits. EIV will also be used to verify that families claiming zero income are not receiving income from any of these sources.
Income reports will be retained in tenant files with the applicable regular or interim reexamination documents. When HHA determines through EIV reports and third-party verification that a family has concealed or under-reported income, corrective action will be taken pursuant to the policies this Admin Plan.
8.9.2 EIV IDENTITY VERIFICATION
The EIV system verifies tenant identities against Social Security Administration (SSA) records. These records are compared to Public and Indian Housing Information Center (PIC) data for a match on Social Security number, name, and date of birth. When identity verification for a tenant fails, a message will be displayed within the EIV system and no income information will be displayed.
HHA will identify tenants whose identity verification has failed. HHA will attempt to resolve PIC/SSA discrepancies by obtaining appropriate documentation from the tenant. When HHA determines that discrepancies exist as a result of errors by HHA, such as spelling errors or incorrect birth dates, HHA will correct the errors.
8.10 THIRD PARTY WRITTEN VERIFICATION
Written third-party verification is an original or authentic document generated by a third party source dated either within the 60 calendar day period preceding the reexamination or HHA request date. Such documentation may be in the possession of the tenant or the applicant. HHA may, at its discretion, reject any tenant-provided or applicant- provided documents and follow up directly with the source to obtain necessary verification of information.
Examples of acceptable applicant-provided and tenant-provided documents include, but are not limited to: pay stubs, payroll summary reports, employer notice or letters of hire and termination, SSA benefit verification letters, bank statements, child support payment stubs, welfare benefit letters and/or printouts, and unemployment monetary benefit notices.
8.11 WRITTEN THIRD-PARTY VERIFICATION FORM
When upfront verification is not available and the family is unable to provide written third-party documents, or the documents provided by the family are rejected by HHA, HHA will request a written third-party verification form. HHA may mail, fax, or e-mail third-party written verification form requests to third-party sources.
8.12 ORAL THIRD-PARTY VERIFICATION
Administrative Plan: VERIFICATION 8-16
Oral third-party verification is mandatory if no form of written third-party verification is available. Third-party oral verification may be used when requests for written third-party verification forms have not been returned within five business days. HHA will document oral verification attempts in the tenant file.
8.13 SELF-CERTIFICATION
Self-certification, or “tenant declaration,” is used as a last resort when HHA is unable to obtain third-party verification. When information cannot be verified by a third party or by review of documents, family members will be required to submit self-certifications attesting to the accuracy of the information they have provided to HHA. HHA will document the file with attempts to obtain higher forms of verification before relying on self-certification.
The self-certification must be made in a format acceptable to HHA and must be signed by the family member whose information or status is being verified. All self-certifications must be signed in the presence of an HHA representative or notary public.
Self-certification may not be used to verify the following benefits:
• Social Security Benefits;
• Unemployment
• Court Ordered Child Support
• Supplemental Security Benefits; or
• Public Assistance
• Veterans Benefits
• Government Pensions
• Unreimbursed medical expenses
8.14 WHEN THIRD-PARTY INFORMATION IS LATE
When third-party verification has been requested and the timeframes for submission have been exceeded, HHA will use the information from documents on a provisional basis. If HHA later receives third-party verification that differs from the amounts used in income and rent determinations and it is past the deadline for processing the reexamination, HHA will conduct an interim reexamination to adjust the figures used for the reexamination, regardless of HHA’s interim reexamination policy.
8.15 WHEN THIRD-PARTY VERIFICATION IS NOT REQUIRED Third party verification will not be required under the following circumstances:
Administrative Plan: VERIFICATION 8-17
Verification Service Charge If there is a service charge for third party verification, HHA will assume that third party verification is not available and use the next level of verification according to the verification hierarchy.
Primary Documents Third-party verification is not required when legal documents are the primary source, such as a birth certificate or other legal documentation of birth.
Imputed Assets HHA will accept a self-certification from the family as verification of assets disposed of for less than fair market value. See policy related to ASSETS DISPOSED OF FOR LESS THAN FAIR MARKET VALUE.
8.16 TENANT FAILS TO RESPOND TO VERIFICATION REQUEST
Tenants are required to respond to requests by HHA for verification of family, income and/or expense information. HHA will take the following actions when a family fails to respond to the request for verification:
• Five (5) business days after the request for verification, HHA will send a letter to the head of household, warning of the consequences if the family fails to contact HHA within the time frame set forth in the letter.
• If at the end of the time frame set forth in the letter, the family has not provided the requested information, HHA will send the family a termination letter.
8.17 VERIFICATION OF LEGAL IDENTITY
HHA will require families to furnish verification of legal identity for each household member.
Verification of Legal Identity for Adults Verification of Legal Identity for Children • Certificate of birth, naturalization papers • Certificate of birth • Church issued baptismal certificate • Adoption papers • Current, valid driver's license or • Custody agreement Department of Motor Vehicles • Health and Human Services ID identification card • School records • U.S. military discharge [DD 214] • U.S. passport • Employer identification card
8.18 VERIFICATION OF SOCIAL SECURITY NUMBERS
Administrative Plan: VERIFICATION 8-18
Applicants and tenants must provide documentation of a valid Social Security number for each member of the household, with the exception of individuals who do not contend eligible immigration status. An exemption is also provided to existing tenants who were at least 62 years of age as of January 31, 2010, and had not previously disclosed a Social Security number.
HHA will accept the following documentation as acceptable evidence of the social security number: • An original Social Security number card issued by the Social Security Administration (SSA)
• An original SSA-issued document, which contains the name and Social Security number of the individual
• An original document issued by a federal, state, or local government agency, which contains the name and Social Security number of the individual including but not limited to the following:
o Driver’s license o Other identification card issued by a federal, state, or local agency, a medical insurance company or provider, or employer or trade union o Payroll stubs o Benefit award letters from government agencies; retirement benefit letters; life insurance policies o Court records [real estate, tax notices, marriage and divorce, judgment or bankruptcy records
Verification of the Social Security number of a child under the age of 6 must be provided to HHA within 90 calendar days from the date of admission to the program or within 90 days of the date of the request to add the child to the household. A 90 day extension may be granted if HHA determines that the tenant’s failure to comply was due to unforeseen circumstances and was outside of the tenant’s control.
8.19 VERIFICATION OF AGE
If an official record of birth or evidence of Social Security retirement benefits cannot be provided, HHA will require the family to submit other documents that support the reported age of the family member (e.g., school records, driver's license if birth year is recorded) and to provide a self-certification.
8.20 MARITAL STATUS VERIFICATION
Certification by the head of household is normally sufficient verification of marriage. If HHA has reasonable doubts about a marital relationship, HHA will require the family to document the marriage.
8.21 SEPARATION OR DIVORCE VERIFICATION
Administrative Plan: VERIFICATION 8-19
HHA may require the family to provide documentation of the divorce or separation with a certified copy of a divorce decree, signed by a court officer; a copy of a court-ordered maintenance or other court record; or other documentation that shows a couple is divorced or separated.
8.22 FOSTER CHILDREN AND FOSTER ADULT VERIFICATION
Third-party verification from the state or local government agency responsible for the placement of the foster child or foster adult with the family is required.
8.23 STUDENT STATUS VERIFICATION
HHA require families to provide information about the student status of all students who are 18 years of age or older. This information will be verified only if:
• The family claims full-time student status for an adult other than the head, spouse, or co- head, or
• The family claims a child care deduction to enable a family member to further his or her education.
8.24 INDEPENDENT STUDENT STATUS VERIFICATION
To verify independent student status and determine a student’s eligibility for assistance, all of the following will be completed:
• Review and verify previous address information to determine evidence of a separate household or verify the student meets the U.S. Department of Education’s definition of independent student.
• Review a student’s prior year income tax returns to verify the student is independent or verify the student meets the U.S. Department of Education’s definition of independent student.
• Verify income provided by a parent by requiring a written certification from the individual providing the support. Certification is also required if the parent is providing no support to the student. Financial assistance that is provided by persons not living in the unit is part of annual income, except if the student meets the Department of Education’s definition of independent student as described in paragraphs b, c or h under the definition of independent student. Students who meet the definition of independent student under paragraph b, c, or h are considered “vulnerable youth.” Such determination is all that is necessary to determine a person is an independent student for purposes of using only the student’s income for determining eligibility for Section 8 assistance
8.25 VERIFICATION OF DISABILITY
Administrative Plan: VERIFICATION 8-20
HHA will verify the existence of a disability in order to verify applicable preferences, to verify the need for a reasonable accommodation and to allow certain income disallowances and deductions from income. HHA will use HUD’s definition of disability in 24 CFR 5.403, as may be amended, to verify a disability for these purposes
Before providing an accommodation, HHA must determine that the person meets the definition of a person with a disability, and that the accommodation will enhance the family’s access to HHA’s programs and services.
If a person’s disability is obvious or otherwise known to HHA, and if the need for the requested accommodation is also readily apparent or known, no further verification will be required [Joint Statement of the Departments of HUD and Justice: Reasonable Accommodations under the Fair Housing Act].
If a family indicates that an accommodation is required for a disability that is not obvious or otherwise known to HHA, HHA will verify that the person meets the definition of a person with a disability, and that the limitations imposed by the disability require the requested accommodation.
All information related to a person’s disability will be treated in accordance with the confidentiality policies. In addition to the general requirements that govern all verification efforts, the following requirements apply when verifying a disability:
• Third-party verification must be obtained from an individual identified by the family who is competent to make the determination. A doctor or other medical professional, a peer support group, a non-medical service agency, or a reliable third party who is in a position to know about the individual’s disability may provide verification of a disability [Joint Statement of the Departments of HUD and Justice: Reasonable Accommodations under the Fair Housing Act]
• HHA will request only information that is necessary to evaluate the disability-related need for the accommodation. HHA will not inquire about the nature or extent of any disability
• Medical records will not be accepted or retained in the participant file.
• In the event that HHA does receive confidential information about a person’s specific diagnosis, treatment, or the nature or severity of the disability, HHA will dispose of it. In place of the information, HHA will note in the file that the disability and other requested information have been verified, the date the verification was received, and the name and address of the knowledgeable professional who sent the information [Notice PIH 2010-26].
HHA will accept receipt of Social Security Administration disability benefits or other benefits awarded exclusively to persons with disabilities as verification of disability and to entitle a tenant to the household deduction for persons with disabilities.
Administrative Plan: VERIFICATION 8-21
For family members claiming disability who do not receive SSI or other disability payments from the SSA, a knowledgeable professional must provide third-party verification that the family member meets the HUD definition of disability. The knowledgeable professional will verify whether the family member does or does not meet the HUD definition of disabled.
8.26 VERIFICATION OF U.S. CITIZENSHIP AND OF ELIGIBLE IMMIGRATION STATUS
HUD requires a declaration for each family member who claims to be a U.S. citizen or national or to have eligible immigration status. The declaration must be signed personally by any family member 18 or older and by a guardian for minors.
Family members who claim U.S. citizenship or national status will not be required to provide additional documentation unless HHA receives information indicating that an individual’s declaration may not be accurate.
The documentation required for eligible non-citizens varies depending upon factors such as the date the person entered the U.S., the conditions under which eligible immigration status has been granted, age, and the date on which the family began receiving HUD-funded assistance.
For family members age 62 or older who claim to be eligible immigrants, proof of age is required; however, no further verification of eligible immigration status is required.
For family members under the age of 62 who claim to be eligible immigrants, HHA will verify immigration status with the U.S. Citizenship and Immigration Services (USCIS). HHA will follow all USCIS protocols for verification of eligible immigration status.
8.27 VERIFICATION OF PREFERENCE STATUS
HHA will verify any preferences claimed by an applicant. Outlined below are examples of documents which may be used to verify a HHA admission preference.
• Holyoke residency: mail, driver’s license, utility bill, existing lease
• Veteran: discharge papers, letter from the applicable branch of government
• Working: paystubs, letter from the employer, Work Number
• Disability: see VERIFICATION OF DISABILITY
8.28 VERIFYING INCOME
Policies in this section cover verification of commonly applied sources of income.
8.29 EARNED INCOME VERIFICATION
Administrative Plan: VERIFICATION 8-22
For verification of wages using pay-stubs (written third party verification), HHA requires:
• 4 pays stubs for weekly pay,
• 2 pay stubs for bi-weekly or bi-monthly pay and
• 2 pay stubs for monthly pay.
The pay stubs must be consecutive.
If an applicant/tenant provides more than the minimum required pay stubs for verification, HHA will use only the minimum number of paystubs required and will ensure that the pay stubs used reflect the most current paystubs provided.
Unless tip income is included in a family member’s W-2 by the employer, persons who work in industries where tips are standard will be required to sign a certified estimate of tips received for the prior year and tips anticipated to be received in the coming year.
8.30 BUSINESS & SELF-EMPLOYMENT INCOME VERIFICATION
Business owners and self-employed persons will be required to provide one or more of the following:
• An audited financial statement for the previous fiscal year if an audit was conducted.
• If an audit was not conducted, a statement of income and expenses must be submitted and the business owner or self-employed person must certify to its accuracy.
• All IRS schedules completed for filing federal and local taxes in the preceding year. If accelerated depreciation was used on the tax return or financial statement, an accountant's calculation of depreciation expense, computed using straight-line depreciation rules.
At any reexamination HHA may request documents that support submitted financial statements such as manifests, appointment books, cash books, or bank statements.
If a family member has been self-employed for less than three (3) months, HHA will accept the family member’s certified estimate of income and schedule an interim reexamination in three (3) months.
If the family member has been self-employed for only three (3) to twelve (12) months HHA will require the family to provide documentation of income and expenses for this period and use that information to project income.
8.31 SOCIAL SECURITY SUPPLEMENTAL SECURITY INCOME VERIFICATION
Administrative Plan: VERIFICATION 8-23
To verify the SS/SSI benefits of applicants, HHA will request a current (dated within the last 60 calendar days) SSA benefit verification letter from each family member who receives social security benefits. If a family member is unable to provide the document, HHA will help the applicant request a benefit verification letter from SSA’s Web site at www.socialsecurity.gov or ask the family to request one by calling SSA at 1-800-772-1213. The family will be required to provide the benefit verification letter to HHA upon receiving it.
To verify the SS/SSI benefits of tenants, HHA will obtain information about SS/SSI benefits through HUD’s EIV system and confirm with the tenant(s) that the current listed benefit amount is correct. If the tenant disputes the EIV-reported benefit amount, or if benefit information is not available in HUD systems, HHA will request a current SSA benefit verification letter from each family member who receives Social Security benefits. If a family member is unable to provide the document, HHA will advise the tenant that he or she may request a benefit verification letter from SSA’s Web site at www.socialsecurity.gov or ask the family to request one by calling SSA at 1-800-772-1213. The family will be required to provide the benefit verification letter to HHA upon receiving it.
8.32 ALIMONY OR CHILD SUPPORT VERIFICATION
The methods HHA will use to verify alimony and child support payments will differ depending on whether the family declares that it receives regular payments. If the family declares that it receives irregular payments, HHA will verify payments using a disbursement history provided by the child support enforcement agency. If the family declares that payments are regular, HHA will use one or more of the following:
• Copy of the court order for child support payments;
• Copies of the receipts and/or payment stubs;
• Third-party verification form from the state or local child support enforcement agency
• Third-party verification form from the person paying the support
• Family's self-certification of amount received (only for non-court ordered child support)
8.33 ASSETS AND INCOME FROM ASSETS VERIFICATION
MTW Policy Clients are permitted to self-certify asset value and income when the family’s combined market asset value is less than or equal to $50,000. For families whose market value of their assets is greater than $50,000, asset verification is subject to standard HUD verification requirements.
Where third party verification of assets is required, HHA will obtain the information necessary to determine the current market (face) value of the family’s assets
Where applicable, acceptable verification of assets may include any of the following:
Administrative Plan: VERIFICATION 8-24
• Verification forms, letters, or documents from a financial institution or broker;
• Passbooks, checking account statements, certificates of deposit, bonds, or financial statements completed by a financial institution or broker;
• Quotes from a stockbroker or realty agent as to net amount family would receive if they liquidated security or real estate;
• Real estate tax statements if the approximate current market value can be declared from assessment;
• Financial statements for business assets;
• Copies of closing documents showing the selling price and the distribution of the sales proceeds;
• Appraisals of personal property.
8.33.1 ASSETS DISPOSED OF FOR LESS THAN FAIR MARKET VALUE
HHA will obtain a self-certification from applicants and tenants as to whether any member has disposed of assets for less than fair market value during the two years preceding the effective date of the applicant’s eligibility certification or the tenant’s reexamination. If the family certifies that it has disposed of assets, as defined by HUD, for less than fair market value, verification is required that shows:
• All assets disposed of for less than fair market value;
• The date they were disposed of;
• The amount the family received; and
• The market value of the assets at the time of disposition. Third party verification will be obtained wherever possible.
8.34 NET INCOME FROM RENTAL PROPERTY VERIFICATION
To verify net income from a rental property, the family must provide:
• A current executed lease for the property that shows the rental amount or certification from the current tenant; or
• A self-certification from the family members engaged in the rental of property providing an estimate of expenses for the coming year; and
Administrative Plan: VERIFICATION 8-25
• The most recent IRS Form 1040 with Schedule E (Rental Income). If a Schedule E was not prepared, HHA will require the family members involved in the rental of property to provide a self-certification of income and expenses for the previous year and may request documentation to support the statement including: tax statements, insurance invoices, bills for reasonable maintenance and utilities, and bank statements or amortization schedules showing monthly interest expense.
8.35 RETIREMENT ACCOUNT VERIFICATION
HHA will accept written third-party documents supplied by applicants and tenants as evidence of the status of retirement accounts. The type of original document that will be accepted depends upon the family member’s retirement status.
• Before retirement, HHA will accept an original document from the entity holding the account with a date that shows it is the most recently scheduled statement for the account but in no case earlier than 6 months from the effective date of the reexamination.
• Upon retirement, HHA will accept an original document from the entity holding the account that reflects any distributions of the account balance, any lump sums taken and any regular payments.
• After retirement, HHA will accept an original document from the entity holding the account dated no earlier than 12 months before the date of the applicant’s eligibility interview or the tenant’s reexamination that reflects any distributions of the account balance, any lump sums taken and any regular distributions.
8.36 INCOME FROM EXCLUDED SOURCES VERIFICATION
For fully excluded income, HHA is not required to follow the verification hierarchy, document why third-party verification is not available, or report the income on the 50058. Fully excluded income is defined in 24 C.F.R 5.609 (c1 –c17), as may be amended, and is income that is entirely excluded from the annual income determination (for example, food stamps, earned income of a minor, or foster care funds). HHA will accept the family’s self-certification as verification of fully excluded income. HHA may request additional documentation if necessary to document the income source.
Partially excluded income is defined as income where only a certain portion of what is reported by the family qualifies to be excluded and the remainder is included in annual income (for example, the income of an adult full-time student, or income excluded under the earned income disallowance). HHA will verify the source and amount of partially excluded income.
8.37 ZERO INCOME HOUSEHOLD VERIFICATION
A zero income household is one where no household member receives any income, contributions and/or benefits on his/her own behalf or on behalf of another individual in the household. See
Administrative Plan: VERIFICATION 8-26
ZERO INCOME for zero income reexamination policy on reexamination frequency requirements for zero income households.
Households that report zero income may be required to provide information regarding their means of basic subsistence, such as food, utilities, transportation, etc. If the family’s expenses exceed their known income, HHA may make inquiry as to the nature of the family’s accessible resources.
HHA may also review the family information to evaluate possible participation in programs such as TANF or unemployment compensation, and to provide information on social service agencies and other organizations that may be of assistance to families.
HHA may question the family to determine if there is unreported income and to clarify any discrepancies.
HHA will require the following when the household claims zero income and at each successive zero income reexamination:
• Head or co-head of household must complete a Personal Declaration an Application for Continued Occupancy
• Completion of a zero income self-certification by each adult household member;
• EIV check to confirm that no household member has any income;
• Verification of any income source received at the certification prior to the claim of zero income. For example, if one household member, at the certification prior to the claim of zero income, had wage income, HHA will verify termination of employment.
• 3rd party verification to the Family Court to confirm that no child support is paid, (only if there are minors in the household and both parent/legal guardians do not reside in the household).
8.38 VERIFYING DEDUCTIONS
Policies in this section cover verification of mandatory deductions.
8.38.1 DEPENDENT AND ELDERLY/DISABLED HOUSEHOLF DEDUCTIONS
HHA will verify that the family members identified as dependents or elderly/disabled persons meet the statutory definitions. No further verifications are required.
8.38.2 MEDICAL EXPSENSE DEDUCTION
Administrative Plan: VERIFICATION 8-27
The medical expense deduction is permitted only for households in which the head, spouse, or co-head is at least 62, or a person with disabilities. HHA will verify that the family meets the definition of an elderly or disabled family. To be eligible for the medical expenses deduction, the costs must not be reimbursed by another source. Unreimbursed medical expenses will be verified through written third-party documents provided by the family, such as pharmacy printouts or receipts. See policies related to adjusted income MEDICAL EXPENSE DEDUCTION. HHA will verify that:
• The household is eligible for the deduction.
• The costs to be deducted are qualified medical expenses.
• The expenses are not paid for or reimbursed by any other source.
• Costs incurred in past years are counted only once.
The most current IRS Publication 502, Medical and Dental Expenses, will be used to determine the costs that qualify as medical expenses. Over-the-count products will not be eligible for deductions as medical expenses unless they are accompanied by a doctor’s prescription.
Summary of Allowable Medical Expenses from IRS Publication 502 • Services of medical professionals • Substance abuse treatment programs • Surgery and medical procedures that • Psychiatric treatment are necessary, legal, non-cosmetic • Ambulance services and some costs • Services of medical facilities of transportation related to medical • Hospitalization, long-term care, and expenses in-home nursing services • The cost and care of necessary • Prescription medicines and insulin, equipment related to a medical but not nonprescription medicines condition (i.e., eyeglasses/lenses, even if recommended by a doctor hearing aids, crutches, and artificial • Improvements to housing directly teeth) related to medical needs (i.e., ramps • Cost and continuing care of for a wheel chair, handrails) necessary service animals • Medical insurance premiums or the cost of a health maintenance organization (HMO) Note: This chart provides a summary of eligible medical expenses only. Detailed information is provided in IRS Publication 502. Medical expenses are considered only to the extent they are not reimbursed by insurance or some other source.
Medical expenses will be verified through:
• Printouts or paid receipts from the source.
• Third-party verification form signed by the provider
Administrative Plan: VERIFICATION 8-28
8.38.3 DISABILITY ASSISTANCE EXPENSES
To be eligible for the disability assistance expense deduction, the costs must be incurred for attendant care or auxiliary apparatus expense associated with a person with disabilities, and the costs must not be reimbursed by another source.
HHA must verify that the expenses claimed actually enable a family member, or members, [including the person with disabilities] to work. HHA will allow a family to deduct unreimbursed disability assistance expenses after verifying that:
• The family member for whom the expense is incurred is a person with disabilities
• The expense permits a family member, or members, to work
• The expense is not reimbursed from another source
Attendant Care HHA will accept written third-party documents provided by the family. If family-provided documents are not available, HHA will send a third-party verification form directly to the care provider requesting the needed information. See policies related to DISABILITY ASSISTANCE EXPENSE DEDUCTION. Expenses for attendant care will be verified through:
• Written third-party documents provided by the family, such as receipts or cancelled checks.
• Third-party verification form signed by the provider, if family-provided documents are not available.
• If third-party verification is not possible, written family certification as to costs anticipated to be incurred for the upcoming 12 months.
Auxiliary Apparatus Expenses for auxiliary apparatus will be verified through:
• Written third-party documents provided by the family, such as billing statements for purchase of auxiliary apparatus, or other evidence of monthly payments or total payments that will be due for the apparatus during the upcoming 12 months.
• Third-party verification form signed by the provider, if family-provided documents are not available.
• If third-party or document review is not possible, written family certification of estimated apparatus costs for the upcoming 12 months.
8.38.4 CHILD CARE EXPENSE
Administrative Plan: VERIFICATION 8-29
The amount of the child care expense deduction will be verified following the standard verification procedures. HHA will verify that the household is eligible to deduct unreimbursed child care expenses by verifying the following:
• The child is eligible for care (under 13 years of age).
• The costs claimed are not reimbursed.
• The costs enable a family member to work, actively seek work, or further their education.
• The costs are for an allowable type of child care.
• The costs are reasonable.
Seeking Work Whenever possible HHA will use documentation from a state or local agency that monitors work-related requirements [e.g., welfare or unemployment]. In such cases HHA will request verification from the agency of the member’s job seeking efforts to date and require the family to submit to HHA any reports provided to the other agency. In the event third-party verification is not available, HHA will provide the family with a form on which the family member must record job search efforts. HHA will review this information at each subsequent reexamination for which this deduction is claimed.
Furthering Education HHA will ask that the academic or vocational educational institution verify that the person permitted to further his or her education by the child care is enrolled and provide information about the timing of classes for which the person is registered.
Gainful Employment HHA will seek verification from the employer of the work schedule of the person who is permitted to work by the child care. In cases in which two or more family members could be permitted to work, the work schedules for all relevant family members may be verified.
Reasonableness of Expenses The actual costs the family incurs will be compared with standards of reasonableness for the type of care in the locality to ensure that the costs are reasonable. If the family presents a justification for costs that exceed typical costs in the area, HHA will request additional documentation, as required, to support a determination that the higher cost is appropriate.
Administrative Plan: VERIFICATION 8-30
CHAPTER 9: INCOME AND SUBSIDY DETERMINATIONS
9.1 INTRODUCTION
A family’s income determines eligibility for assistance and is also used to calculate the family’s rent payment. HHA will use the policies and methods described in this chapter to ensure that only income eligible families receive assistance and that families pay the appropriate amount as set forth in this policy and in the MTW Plan, as applicable. Once annual income has been established HHA will subtract from annual income the deductions for which a family qualifies in order to determine adjusted income.
9.2 ANNUAL INCOME
Annual income means all amounts, monetary or not, which:
• Goes to, or is on behalf of, the family head or spouse (even if temporarily absent) or to any other family member;
• Is anticipated to be received from a source outside the family during the 12-month period following admission or annual reexamination effective date;
• Is not specifically excluded under 24 C.F.R. 5.609 or the MTW Plan, where applicable.
• Annual income also covers amounts derived during the 12-month period from assets to which any member of the family has access, except where otherwise excluded under the MTW Plan, as applicable.
Annual income includes, but is not limited to:
• The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services. The employment income of an emancipated minor is included if the emancipated minor is the head of household, co-head or spouse.
• The net income from operation of a business or profession
• Expenditures for business expansion or amortization of capital indebtedness shall not be used as deductions in determining the net income from a business. An allowance for the straight line depreciation of assets used in a business or profession may be deducted as provided in IRS regulations. Withdrawals of cash or assets will not be considered income when used to reimburse the family for cash or assets invested in the business. Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the family;
Administrative Plan: INCOME AND SUBSIDY DETERMINATIONS 9-1
• Interest, dividends, and other net income of any kind from real or personal property
• Expenditures for amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for the straight line depreciation of real or personal property is permitted. Withdrawals of cash or assets will be considered income when used to reimburse the family for cash or assets invested in the property.
• If the family has net family assets less than $5,000, annual income shall include the actual income from those assets except as superseded by MTW policy;
• If the family has net family assets in excess of $5,000, annual income shall include the greater of the actual income derived from all net family assets or a percentage of the value of such assets based on the current passbook savings rate, except as superseded by MTW policy;;
• The full amount of periodic payments received from Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, see ANNUAL INCOME EXCLUSIONS for treatment of delayed or deferred periodic payment of Social Security or Supplemental Security Income benefits);
• Payments in lieu of earnings, such as unemployment and disability compensation, worker’s compensation, and severance pay (See ANNUAL INCOME EXCLUSIONS concerning treatment of lump-sum additions as family assets);
• All welfare assistance payments (Temporary Assistance to Needy Families, General Assistance) received by or on behalf of any family member;
• Periodic and determinable allowances, such as alimony and child support payments, and regular cash and non-cash contributions or gifts received from agencies or persons not residing in the dwelling made to or on behalf of family members
• Any contribution or gift received every 2 months or more frequently will be considered a "regular" contribution or gift, unless the amount is less than $600.00 per year;
• Imputed Welfare Income: Such amounts that involve a reduction of welfare benefits by the welfare agency, in whole or in part, for a tenant family member, because of fraud by a family member in connection with the welfare program or because of a welfare agency sanction against a family member for non-compliance with a welfare agency requirement to participate in an economic self-sufficiency program shall be included in annual income. This limitation does not apply to the loss of welfare benefits resulting from the expiration of a lifetime limit on benefits or a durational time limit on benefits;
• All regular payments to the head of the household for support of a minor, or payments nominally to a minor for his/her support, but controlled for his/her benefit by the head of the household or a tenant family member other than the head, who is responsible for his or her support;
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• All regular pay, special payments and allowances (such as longevity, overseas duty, rental allowances, allowances for dependents, etc.), received by a member of the Armed Forces (whether or not living in the dwelling) who is head of the family, spouse, or other family member whose dependents are residing in the unit.
9.3 ANNUAL INCOME EXCLUSIONS
Annual Income does not include the following: • Income from employment of children (including foster children) under the age of 18 years;
• Payments received for the care of foster children or foster adults (usually persons with disabilities, unrelated to the tenant family, who are unable to live alone);
• Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker's compensation), capital gains and settlement for personal or property losses (except as provided in paragraph (b)(5) of this section);
• Amounts received by the family that are specifically for, or in reimbursement of, the cost of medical expenses for any family member;
• Income of a live-in aide, as defined in §5.403
• Subject to policies in annual income inclusions, the full amount of student financial assistance paid directly to the student or to the educational institution;
• The special pay to a family member serving in the Armed Forces who is exposed to hostile fire;
• Amounts received under training programs funded by HUD;
• Amounts received by a person with a disability that are disregarded for a limited time for purposes of Supplemental Security Income eligibility and benefits because they are set aside for use under a Plan to Attain Self-Sufficiency (PASS);
• Amounts received by a participant in other publicly assisted programs which are specifically for or in reimbursement of out-of-pocket expenses incurred (special equipment, clothing, transportation, child care, etc.) and which are made solely to allow participation in a specific program;
• Amounts received under a tenant service stipend. A tenant service stipend is a modest amount (not to exceed $200 per month) received by a tenant for performing a service for HHA or owner, on a part-time basis, that enhances the quality of life in the development. Such services may include, but are not limited to, fire patrol, hall monitoring, lawn maintenance, tenant initiatives coordination, and serving as a member of HHA's governing board. No tenant may receive more than one such stipend during the same period of time;
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• Incremental earnings and benefits resulting to any family member from participation in qualifying State or local employment training programs (including training programs not affiliated with a local government) and training of a family member as tenant management staff. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives, and are excluded only for the period during which the family member participates in the employment training program;
• Temporary, nonrecurring or sporadic income (including gifts);
• Reparation payments paid by a foreign government pursuant to claims filed under the laws of that government by persons who were persecuted during the Nazi era;
• Earnings in excess of $480 for each full-time student 18 years old or older (excluding the head of household and spouse);
• Adoption assistance payments in excess of $480 per adopted child;
• Deferred periodic amounts from supplemental security income and Social Security benefits that are received in a lump sum amount or in prospective monthly amounts, or any deferred Department of Veterans Affairs disability benefits that are received in a lump sum amount or in prospective monthly amounts.
• Amounts received by the family in the form of refunds or rebates under State or local law for property taxes paid on the dwelling unit;
• Amounts paid by a State agency to a family with a member who has a developmental disability and is living at home to offset the cost of services and equipment needed to keep the developmentally disabled family member at home; or • Amounts specifically excluded by any other Federal statute from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under any program to which the exclusions set forth in 24 CFR 5.609(c) apply. See APPENDIX C: FEDERALLY MANDATED INCOME EXCLUSIONS
9.4 ANTICIPATING ANNUAL INCOME
HHA will calculate anticipated annual income by adding the income the family expects to receive during the 12-month period following the family’s admission or regular reexamination effective date. Accordingly, annual income is calculated by projecting current income forward for a 12-month period.
9.5 KNOWN CHANGES IN INCOME
If HHA verifies an upcoming increase or decrease in income, annual income will be calculated by applying each income amount to the appropriate part of the 12-month period.
Example:
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An employer reports that a full-time employee who has been receiving $8/hour will begin to receive $8.25/hour in the eighth week after the effective date of the reexamination.
HHA would calculate annual income as follows: ($8/hour × 40 hours × 7 weeks) + ($8.25/hr. × 40 hours × 45 weeks = $2,240.00 + $14,850.00 = $17,090.00)
9.6 ROUNDING OF INCOME AND DEDUCTIONS
Generally, HHA will round to the nearest whole dollar at the annual calculation for each income/deduction source.
HHA will round as follows for the following income and deductions:
• Social Security Income
• When the Social Security benefit letter states that the monthly benefit is rounded down to the whole dollar, HHA will calculate annual income by using the full monthly (not rounded down) benefit before any deductions and round at the final annual calculation. The benefit letter is only to be used when Enterprise Income Verification (EIV) is not available or the tenant disputes EIV.
• Applying the Cost of Living Adjustment (COLA) to Social Security and Supplemental Security Income
• When the EIV report does not yet contain the benefit for the upcoming year and where HHA is required to apply the COLA for the upcoming year, HHA will apply the COLA to the current monthly benefit and will use the full monthly benefit to calculate income. For example if the current Social Security benefit is $560/month and the COLA is 1.7%, HHA would increase the monthly benefit of $560/month benefit by 1.7% to $569.52 and would then multiply $569.52 times 12 to get the annual income. The rounding would occur at the annual calculation $6834.
• With respect to other income/deduction verification sources, HHA will follow the instructions for rounding set forth in the verification document to calculate annual income and/or deductions.
9.7 WAGES
The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services is included in annual income.
For persons who regularly receive bonuses or commissions, HHA will average amounts received for the year preceding admission or reexamination
9.8 BUSINESS INCOME
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Annual income includes the net income from the operation of a business or profession. Expenditures for business expansion or amortization of capital indebtedness shall not be used as deductions in determining net income.
An allowance for depreciation of assets used in a business or profession may be deducted, based on straight line depreciation, as provided in Internal Revenue Service regulations.
Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the family.
Business Expenses Net income is “gross income less business expense.” To determine business expenses that may be deducted from gross income, HHA will use current applicable Internal Revenue Service (IRS) rules for determining allowable business expenses [see IRS Publication 535], unless a topic is addressed by HUD regulations or guidance.
Business Expansion HUD regulations do not permit HHA to deduct from gross income expenses for business expansion.
Business expansion is defined as any capital expenditures made to add new business activities, to expand current facilities, or to operate the business in additional locations. For example, purchase of a street sweeper by a construction business for the purpose of adding street cleaning to the services offered by the business would be considered a business expansion. Similarly, the purchase of a property by a hair care business to open at a second location would be considered a business expansion.
9.9 MILITARY PAY
All regular pay, special pay and allowances of a member of the Armed Forces are considered income except for the special pay to a family member serving in the Armed Forces who is exposed to hostile fire.
9.10 ALIMONY AND CHILD SUPPORT
If the amount of child support or alimony received is less than the amount awarded by the court, HHA will use the amount awarded by the court unless the family can verify that they are not receiving the full amount.
HHA will accept as verification that the family is receiving an amount less than the award if HHA receives verification from the agency responsible for enforcement or collection.
It is the family's responsibility to supply a certified copy of the divorce decree or other court documents reflecting alimony awarded by the court or verification from the court or agency
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responsible for enforcing child support payments reflecting the amount of child support payments awarded.
9.11 CHILDREN’S EARNINGS
Employment income earned by children (including foster children) under the age of 18 years is not included in annual income.
9.12 INCOME OF A LIVE-IN AIDE
Income earned by a live-in aide, as defined in 24 CFR 5.403, is not included in annual income
9.13 INCOME OF FOSTER CHILDREN AND FOSTER ADULTS
• Earned income of foster children is excluded from annual income.
• Earned income of foster adults is included in annual income.
• Payments received for the care of foster children or foster adults (usually persons with disabilities, unrelated to the tenant family, who are unable to live alone) is excluded from annual income.
• All other income received on behalf of a foster child or a foster adult is included in annual income. For example, if a foster adult receives Supplemental Security Income payments those payments are included in annual income.
9.14 SEASONAL INCOME
People in some occupations regularly work less than 12 months per year, i.e., school employees, agricultural workers and construction workers. To determine annual income for individuals who have seasonal income, HHA will use past actual income received or earned within the last 12 months of the determination date. Therefore, interim reexaminations will not be completed when circumstances change. Documentation may include, but is not limited to UIV, EIV, W-2 forms and tax returns.
Example: Mary is a teacher with the ABC school district, earning $2,000 per month. She works for nine months a year. At the time of her regular reexamination Mary is not working. HHA runs an EIV income report which has the actual income earned for the prior year. The EIV income report shows income of $24,053 for the prior year. Mary received $20,000 for her job as a teacher and collected $4,053 in unemployment the prior year. HHA would use $24,053 as her income for the upcoming certification.
9.15 INCOME OF PERSON PERMANENTLY CONFINED TO NURSING HOME
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If a family member is permanently living in a hospital or nursing home and there is a family member left in the household, HHA will conduct an interim reexamination, remove the permanently absent household member, remove his/her related income and expenses and re- calculate the Total Tenant Payment.
9.16 INCOME OF A PERSON MOVING INTO HCV FROM A NURSING HOME
If a family member is admitted to the HCV program upon release from a nursing home, rehabilitation center or other healthcare or assisted living facility, and verifies a reduced Supplemental Security Income or Old Age Survivors Disability Income (OASDI) income from Social Security; HHA will annualize the current income and conduct an interim reexamination within 90 calendar days of the date of admission. If within the 90 calendar days, the tenant experiences an increase in income from the Social Security Administration, HHA will process an increase in rent between the regularly scheduled reexaminations.
9.17 INCOME OF TEMPORARILY ABSENT FAMILY MEMBERS
The income of family members approved to live in the apartment will be counted, even if the family member is temporarily absent from the apartment. See policies on TEMPORARILY AND PERMANENTLY ABSENT FAMILY MEMBERS for definition of Temporarily Absent.
9.18 TEMPORARY AND SPORADIC INCOME
Temporary and sporadic income is excluded from the calculation of annual income. (See TEMPORARY AND SPORADIC INCOME for interim reexamination policies related to temporary and sporadic income).
Sporadic income is income that cannot be reliably predicted. For example, the income of an individual who works occasionally as a handyman would be considered sporadic if future work could not be anticipated and no historic, stable pattern of income existed.
Example: Daniel works occasionally as a handyman. He claims to have worked only a couple of times last year and he has no documentation to support this claim. His earnings are neither reliable (he cannot depend on them) nor do they recur at regular intervals. Daniel’s handyman earnings are not included in annual income. If Daniel is the sole household member and has no other sources of income or benefits, he would fall under the zero income verification and reexamination requirements.
9.19 WAGES FROM EMPLOYMENT WITH HHA OR A TENANT ORGANIZATION
Upon employment with HHA, or an officially recognized tenant organization, the full amount of employment income received by the person is counted. There is no exclusion of income for wages funded under the 1937 Housing Act Programs, which includes public housing and Section 8.
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9.20 CONTRIBUTIONS TO RETIREMENT FUNDS
Contributions to company retirement/pension funds are handled as follows:
• While an individual is employed, only amounts the family can withdraw without retiring or terminating employment are counted as assets;
• After retirement or termination of employment, any amount the employee elects to receive as a lump sum is counted as an asset. Regular withdrawals from retirement accounts are treated as income; however, do not count any remaining amounts in the account as an asset.
9.21 INCOME EARNED UNDER CERTAIN FEDERAL PROGRAMS
Income from some federal programs is specifically excluded from consideration as income, including:
• Payments to volunteers under the Domestic Volunteer Services Act of 1973 (42 U.S.C. 5044(g), 505
• Awards under the federal work-study program (20 U.S.C. 1087 uu)
• Payments received from programs funded under Title V of the Older Americans Act of 1985 (42 U.S.C. 3056(f))
• Allowances, earnings, and payments to AmeriCorps participants under the National and Community Service Act of 1990 (42 U.S.C. 12637(d))
• Allowances, earnings, and payments to participants in programs funded under the Workforce Investment Act of 1998 (29 U.S.C. 2931)
9.22 TENANT SERVICE STIPEND
Amounts received under a tenant service stipend are not included in annual income. A tenant service stipend is a modest amount (not to exceed $200 per individual per month) received by a tenant for performing a service for HHA or owner, on a part-time basis, that enhances the quality of life in the development. Such services may include, but are not limited to, fire patrol, hall monitoring, lawn maintenance, tenant initiatives coordination, and serving as a member of HHA’s governing board. No tenant may receive more than one such stipend during the same period of time.
9.23 STATE AND LOCAL EMPLOYMENT TRAINING PROGRAMS
Incremental earnings and benefits to any family member resulting from participation in qualifying state or local employment training programs (including training programs not affiliated with a local government) and the training of a family member as a tenant management
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staff are excluded from annual income. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives and are excluded only for the period during which the family member participates in the employment training programs.
HHA defines training program as “a learning process with goals and objectives, generally having a variety of components, and taking place in a series of sessions over a period of time. It is designed to lead to a higher level of proficiency, and it enhances the individual’s ability to obtain employment. It may have performance standards to measure proficiency. Training may include, but is not limited to:
• Classroom training in a specific occupational skill,
• On-the-job training with wages subsidized by the program, or
• Basic education.
HHA defines incremental earnings and benefits as the difference between the total amount of welfare assistance and earnings of a family member prior to enrollment in a training program and the total amount of welfare assistance and earnings of the family member after enrollment in the program.
In calculating the incremental difference, HHA will use as the pre-enrollment income the total annualized amount of the family member’s welfare assistance and earnings reported on the family’s most recently completed HUD-50058.
End of participation in a training program must be reported in accordance with HHA’s interim reporting requirements.
All other amounts (such as child support and alimony) are treated in the usual manner in determining annual income. Child support, or other income that is not earnings or benefits, is not a factor and will not be considered in regard to training income exclusions, regardless of whether they have increased or decreased.
If a family has members who enroll in training programs at different times, the exclusion may be taken at different periods. The rules will be applied individually to each member based on in which type of program they are enrolled.
Employment Before Completion of Training Program A tenant who has substantially completed a training program in order to accept a job offer will be eligible for the 18-month exclusion of income.
"Substantial completion" of a training program will be completion of 75% of the program.
If a tenant has completed that portion of the training program necessary to get a job and continues simultaneously with the training program, the 18-month exclusion period will begin
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on the date the tenant started the new job, not the date the tenant completes the training program.
The tenant is not required to get a job that is directly related to the training program to be eligible for the exclusion.
Other Factors to Be Considered For self-employed tenants, HHA will exclude only the net income of a tenant when factoring the earnings.
The tenant is required to notify HHA within 10 business days of enrolling in a qualifying training program.
Tenants who have a decrease in income as a result of enrolling in a training program may request an interim examination. HHA will determine the decrease in incremental income as a result of the training program and adjust the tenant’s rent accordingly.
Tenants who do not notify HHA within 10 business days of starting a training program, and have a decrease in income, will not have their rent adjusted retroactively.
9.24 HUD-FUNDED TRAINING PROGRAMS
Amounts received under training programs funded in whole or in part by HUD are excluded from annual income. Eligible sources of funding for the training include operating subsidy, Section 8 administrative fees, and modernization, Community Development Block Grant (CDBG), HOME program, and other grant funds received from HUD.
To qualify as a training program, the program must meet the definition of training program provided above for state and local employment training programs.
9.25 EARNED INCOME TAX CREDIT
Earned income tax credit (EITC) refund payments received on or after January 1, 1991 (26 U.S.C. 32(j)), are excluded from annual income. Although many families receive the EITC annually when they file taxes, an EITC can also be received throughout the year. The prorated share of the annual EITC is included in the employee’s payroll check.
9.26 LUMP-SUM RECEIPTS
Lump-sum additions to family assets (i.e. inheritances, insurance payments inclusive of payments under health and accident insurance and worker's compensation), capital gains, and settlement for personal or property losses) are not included in income but may be included in assets.
Lump-sum payments caused by delays in processing periodic payments (unemployment or welfare assistance) are counted as income. Lump sum payments from Social Security or Supplemental Security Income are excluded from income, but any amount remaining will be
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considered an asset. Deferred periodic payments, which have accumulated due to a dispute, will be treated the same as periodic payments which are deferred due to delays in processing.
In order to determine the amount of retroactive tenant rent that the family owes as a result of the lump sum receipt, HHA will always calculate retroactively to date of receipt.
Retroactive Calculation Methodology HHA will go back to the date the lump-sum payment was received, or to the date of admission, whichever is closer.
HHA will determine the amount of income for each certification period, including the lump sum, and recalculate the tenant rent for each certification period to determine the amount due to HHA
The family may pay this "retroactive" amount to HHA in a lump sum or, at HHA’s option, HHA may enter into a Repayment Agreement with the family. The amount owed by the family is a collectible debt even if the family becomes unassisted.
Attorney Fees The family's attorney’s fees may be deducted from lump-sum payments when computing annual income if the attorney's efforts have recovered a lump-sum compensation, and the recovery paid to the family does not include an additional amount in full satisfaction of the attorney’s fees.
9.27 IMPUTED WELFARE INCOME
HHA will not reduce the rent for families whose welfare assistance is reduced due to a "specified welfare benefit reduction," which is a reduction in welfare benefits due to:
• Fraud by a family member in connection with the welfare program; or
• Noncompliance with a welfare agency requirement to participate in an economic self- sufficiency program.
A "specified welfare benefit reduction" does not include a reduction of welfare benefits due to:
• The expiration of a lifetime time limit on receiving benefits;
• A situation where the family has complied with welfare program requirements but cannot or has not obtained employment (an example: the family has complied with welfare program requirements, but the durational time limit, such as a cap on the length of time a family can receive benefits, causes the family to lose their welfare benefits);
• Noncompliance with other welfare agency requirements.
Definition of "Covered Family"
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A household that receives benefits for welfare or public assistance from a State or public agency program which requires, as a condition of eligibility to receive assistance, the participation of a family member in an economic self-sufficiency program.
Definition of Imputed Welfare Income The amount of annual income, not actually received by a family, as a result of a specified welfare benefit reduction, that is included in the family’s income for purposes of determining rent is considered imputed welfare income.
The amount of imputed welfare income is determined by HHA, based on written information supplied to HHA by the welfare agency, including:
• The amount of the benefit reduction
• The term of the benefit reduction
• The reason for the reduction
• Subsequent changes in the term or amount of benefit reduction.
Imputed welfare income will be included at regular and interim reexaminations during the term of reduction of welfare benefits.
The amount of imputed welfare income will be offset by the amount of additional income a family receives that begins after the sanction was imposed. When additional income is at least equal to the imputed welfare income, the imputed income will be reduced to zero.
If the family was not an assisted tenant of public housing when the welfare sanction began, imputed welfare income will not be included in annual income.
Verification Before Denying a Request to Reduce Rent HHA will obtain written verification from the welfare agency stating that the family's benefits have been reduced because of fraud or noncompliance before denying the family's request for rent reduction. HHA will rely on the welfare agency’s written notice to HHA regarding welfare sanctions.
Family Dispute of Amount of Imputed Welfare Income If the family disputes the amount of imputed income and HHA denies the family’s request to modify the amount, HHA will provide the tenant with a notice of denial, which will include:
• An explanation for HHA’s determination of the amount of imputed welfare income.
• A statement that the tenant may request a grievance hearing.
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• A statement that the information received from the welfare agency cannot be disputed at the grievance hearing, and the issue to be examined at the grievance hearing will be HHA’s determination of the amount of imputed welfare income, not the welfare agency’s determination to sanction the welfare benefits.
If the tenant requests a grievance hearing, the tenant is not required to pay an escrow deposit for the portion of tenant rent attributable to the imputed welfare income.
9.28 EARNED INCOME DISALLOWANCE (EID)
Effective April 7, 2016, HUD implemented revised guidance and regulation on the Earned Income Disregard. The policies below represent the revised EID requirements. Families eligible for and participating in the disallowance of earned income under this section prior to May 9, 2016 will continue to be governed by the EID at it existed immediately prior to that date.
Eligibility This disallowance applies only to individuals in families already participating in the HCVP and therefore does not apply for purposes of admission.
A qualified individual is an individual who is participating in the HCV program and:
• Whose annual income increases as a result of employment of a family member who is a person with disabilities and who was previously unemployed for one or more years prior to employment;
• (Whose annual income increases as a result of increased earnings by a family member who is a person with disabilities during participation in any economic self-sufficiency or other job training program; or
• Whose annual income increases, as a result of new employment or increased earnings of a family member who is a person with disabilities, during or within six months after receiving assistance, benefits or services under any state program for temporary assistance for needy families funded under Part A of Title IV of the Social Security Act, as determined by the responsible entity in consultation with the local agencies administering temporary assistance for needy families (TANF) and Welfare-to-Work (WTW) programs. The TANF program is not limited to monthly income maintenance, but also includes such benefits and services as one-time payments, wage subsidies and transportation assistance—provided that the total amount over a six-month period is at least $500.
Description of the EID Once a family member is determined to be eligible for the EID, the 24–calendar month period starts;
• If the family member discontinues the employment that initially qualified the family for the EID, the 24–calendar month period continues;
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• During the 24–calendar month period, EID benefits are recalculated based on changes to family member income and employment (no change from current practice);
• During the first 12 months of the 24-calendar month period, HHA will exclude all increased income resulting from the qualifying employment of the family member. After the first 12- calendar month period, HHA must exclude from annual income of the family at least 50 percent of any increase in income of such family member as a result of employment over the family member’s income before the qualifying event (i.e., the family member’s baseline income);
• The EID benefit is limited to a lifetime 24-month period for the qualifying family member;
• At the end of the 24 months, the EID ends regardless of how many months were “used.”
Example of How the EID Works
Time Frame EID Under this Regulation January 2017 • Carl begins working and is eligible for EID. Month 1 • 100% of Carl’s increase in earned income is excluded
July 2017 • Carl is laid off. Month 7 • EID “clock” continues to run.
February 2018 • Carl begins working again. Month 14 • 100% of the increase in earned income due to Carl’s employment is excluded. December 2018 • This is the final month during which Carl Month 24 receives his EID benefit.
Applicability to Training Income Exclusions If a tenant meets the criteria for the mandatory earned income disallowance as outlined in 24 CFR 5,617, and as amended, HHA shall not deny a tenant the disallowance based on the tenant’s receipt of any prior training income exclusion.
Applicability to Child Care and Disability Assistance Expense Deductions The amount deducted for child care and disability assistance expenses necessary to permit employment shall not exceed the amount of employment income that is included in annual income. Therefore, for families entitled to the earned income disallowance, the amounts of the
Administrative Plan: INCOME AND SUBSIDY DETERMINATIONS 9-15 full and phase-in exclusions from income shall not be used in determining the cap for child care and disability assistance expense deductions.
Applicability to Training Income Exclusions If a tenant meets the criteria for the mandatory earned income disallowance as outlined in 24 CFR 960.255, and as amended, HHA shall not deny a tenant the disallowance based on the tenant’s receipt of any prior training income exclusion.
9.29 TREATMENT OF OVERPAYMENT DEDUCTIONS FROM SS BENEFITS
When the Social Security Administration overpays an individual, resulting in a withholding or deduction from his or her benefit amount, HHA will perform an interim rent calculation until the overpayment is paid in full. The amount and duration of the withholding will vary depending on the amount of the overpayment and the percent of the benefit rate withheld.
Regardless of the amount withheld or the length of the withholding period, HHA will use the reduced benefit amount after deducting only the amount of the overpayment withholding from the gross benefit amount.
9.30 ASSET INCOME
There are two terms that are important in calculating asset income – Market Value and Cash Value.
Market Value is the face value of an asset (i.e. the value of a Certificate of Deposit).
The Cash Value of an asset is the Market Value less reasonable expenses that would be incurred in selling or converting the asset to cash, such as the following:
• Penalties for premature withdrawal;
• Broker and legal fees; and
• Settlement costs for real estate transactions
If the total Cash Value of a family’s assets is $5,000 or less, annual income shall include the actual income from those assets.
If the total Cash Value of a family’s assets is in excess of $5,000, annual income shall include the greater of the actual income derived from all family assets or a percentage of the value of such assets based on HHA’s current passbook savings rate.
9.31 ASSETS DISPOSED OF FOR LESS THAN FAIR MARKET VALUE
HHA will count assets disposed of for less than fair market value during the two years preceding certification or reexamination. HHA will count the difference between the market
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value and the actual payment received in calculating total assets. The difference will be included in calculating total assets for two years.
Assets disposed of as a result of foreclosure or bankruptcy are not considered to be assets disposed of for less than fair market value. Assets disposed of as a result of a divorce or separation are not considered to be assets disposed of for less than fair market value.
HHA’s minimum threshold for counting assets disposed of for less than Fair Market value is $5,000.00. If the total value of assets disposed of within the two-year period is less than $5,000.00, they will not be considered an asset.
The HVC Guidebook permits HHA to set a threshold below which assets disposed of for less than fair market value will not be counted [HCV GB, p. 5-27].
HHA will not include the value of assets disposed of for less than fair market value unless the cumulative fair market value of all assets disposed of during the past two years exceeds the gross amount received for the assets by more than $1,000. When the two-year period expires, the income assigned to the disposed asset[s] also expires. If the two-year period ends between regular recertifications, the family may request an interim recertification to eliminate consideration of the asset[s]. Assets placed by the family in non-revocable trusts are considered assets disposed of for less than fair market value except when the assets placed in trust were received through settlements or judgments.
9.32 CHECKING AND SAVINGS ACCOUNTS
For regular checking accounts and savings accounts, cash value has the same meaning as market value. If a checking/savings account does not bear interest, the anticipated income from the account is zero.
• In determining the value of a checking account, HHA will use the average monthly balance for the last six months.
• In determining the value of a savings account, HHA will use the current balance.
• In determining the anticipated income from an interest-bearing checking or savings account, HHA will multiply the value of the account by the current rate of interest paid on the account.
9.33 INVESTMENT ACCOUNTS SUCH AS STOCKS, BONDS, SAVINGS CERTIFICATES, AND MONEY MARKET FUNDS
Interest or dividends earned by investment accounts are counted as actual income from assets even when the earnings are reinvested. The cash value of such an asset is determined by deducting from the market value any broker fees, penalties for early withdrawal, or other costs of converting the asset to cash.
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In determining the market value of an investment account, HHA will use the value of the account on the most recent investment report.
How anticipated income from an investment account will be calculated depends on whether the rate of return is known.
For assets that are held in an investment account with a known rate of return (e.g., savings certificates), asset income will be calculated based on that known rate (market value multiplied by rate of earnings). When the anticipated rate of return is not known (e.g., stocks), HHA will calculate asset income based on the earnings for the most recent reporting period.
9.34 EQUITY IN REAL PROPERTY OR OTHER CAPITAL INVESTMENTS
Equity [cash value] in a property or other capital asset is the estimated current market value of the asset less the unpaid balance on all loans secured by the asset and reasonable costs [such as broker fees] that would be incurred in selling the asset [HCV GB, p. 5-25].
Equity in real property and other capital investments is considered in the calculation of asset income except for the following types of assets:
• Equity accounts in HUD homeownership programs [24 CFR5.603[b]]
• The value of a home currently being purchased with assistance under the HCVP Homeownership Option for the first 10 years after the purchase date of the home [24 CFR 5.603[b]]
• Equity in owner-occupied cooperatives and manufactured homes in which the family lives [HCV GB, p. 5-25]
• Equity in real property when a family member’s main occupation is real estate [HCV GB, p. 5-25]. This real estate is considered a business asset, and income related to this asset will be calculated as described in section 6-I.F.
• Interests in Indian Trust lands [24 CFR 5.603[b]]
• Real property and capital assets that are part of an active business or farming operation [HCV GB, p. 5-25]
A family may have real property as an asset in two ways: [1] owning the property itself and [2] holding a mortgage or deed of trust on the property. In the case of a property owned by a family member, the anticipated asset income generally will be in the form of rent or other payment for the use of the property. If the property generates no income, actual anticipated income from the asset will be zero.
In the case of a mortgage or deed of trust held by a family member, the outstanding balance [unpaid principal] is the cash value of the asset. The interest portion only of payments made to
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the family in accordance with the terms of the mortgage or deed of trust is counted as anticipated asset income.
In the case of capital investments owned jointly with others not living in a family’s unit, a prorated share of the property’s cash value will be counted as an asset unless HHA determines that the family receives no income from the property and is unable to sell or otherwise convert the asset to cash.
Trusts A trust is a legal arrangement generally regulated by state law in which one party [the creator or grantor] transfers property to a second party [the trustee] who holds the property for the benefit of one or more third parties [the beneficiaries].
Revocable Trusts If any member of a family has the right to withdraw the funds in a trust, the value of the trust is considered an asset [HCV GB, p. 5-25]. Any income earned as a result of investment of trust funds is counted as actual asset income, whether the income is paid to the family or deposited in the trust.
Non-revocable Trusts In cases where a trust is not revocable by, or under the control of, any member of a family, the value of the trust fund is not considered an asset. However, any income distributed to the family from such a trust is counted as a periodic payment or a lump-sum receipt, as appropriate [24 CFR 5.603[b]]. Lump-sum receipts are discussed earlier in this section.
Retirement Accounts Company Retirement/Pension Accounts In order to correctly include or exclude as an asset any amount held in a company retirement or pension account by an employed person, HHA must know whether the money is accessible before retirement [HCV GB, p. 5-26].
While a family member is employed, only the amount the family member can withdraw without retiring or terminating employment is counted as an asset [HCV GB, p. 5-26].
After a family member retires or terminates employment, any amount distributed to the family member is counted as a periodic payment or a lump-sum receipt, as appropriate [HCV GB, p. 5- 26], except to the extent that it represents funds invested in the account by the family member. The balance in the account is counted as an asset only if it remains accessible to the family member.
IRA, Keogh, and Similar Retirement Savings Accounts IRA, Keogh, and similar retirement savings accounts are counted as assets even though early withdrawal would result in a penalty [HCV GB, p. 5-25].
Personal Property
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Personal property held as an investment, such as gems, jewelry, coin collections, antique cars, etc., is considered an asset [HCV GB, p. 5-25].
In determining the value of personal property held as an investment, HHA will use the family’s estimate of the value. However, HHA also may obtain an appraisal if appropriate to confirm the value of the asset. The family must cooperate with the appraiser but cannot be charged any costs related to the appraisal.
Generally, personal property held as an investment generates no income until it is disposed of. If regular income is generated [e.g., income from renting the personal property], the amount that is expected to be earned in the coming year is counted as actual income from the asset. Necessary items of personal property are not considered assets [24 CFR 5.603[b]].
Necessary personal property consists of items such as clothing, furniture, household furnishings, jewelry that is not held as an investment, and vehicles, including those specially equipped for persons with disabilities.
9.35 LIFE INSURANCE
The cash value of a life insurance policy available to a family member before death, such as a whole life or universal life policy, is included in the calculation of the value of the family’s assets.
The cash value is the surrender value. If such a policy earns dividends or interest that the family could elect to receive, the anticipated amount of dividends or interest is counted as income from the asset whether or not the family actually receives it.
9.36 PASSBOOK SAVINGS RATE
HHA will establish a passbook rate within 75 basis points (plus or minus .75 percent) of the Savings National Rate in effect at the time HHA establishes the passbook rate. The passbook rate may not be less than 0 percent. HHA will apply this policy to calculate asset income for applicants and tenants. For example, if the published FDIC Savings National Rate is .12% HHA might add 75 basis points (.75 percent) for a passbook savings rate of .87%.
9.37 ADJUSTED INCOME
Adjusted income is calculated by subtracting allowable deductions and allowances from annual income
9.38 DEDUCTIONS
In determining adjusted income, HHA will deduct the following amounts from annual income:
• Dependent allowance: A deduction of $480 is taken for each dependent, which is defined as any family member other than the head, spouse, or co-head who is under the age of 18 or
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who is 18 or older and is a person with disabilities or a full-time student. Foster children, foster adults, and live-in aides are never considered dependents.
• "Elderly" allowance: $400 per household for families whose head, co-head or spouse is 62 or over or are persons with disabilities. A single deduction of $400 is taken for the family.
• Allowable medical expenses for all family members are deducted for elderly families and families whose head, spouse or co-head is a person with a disability. Medical deductions will only be allowed to the extent that the sum exceeds three percent of the annual income.
• Childcare expenses for children under 13 are deducted when child care is necessary to allow an adult family member to work, actively seek work, or attend school (including vocational training).
• Expenses for attendant care or auxiliary apparatus for persons with disabilities if needed to enable the individual or an adult family member to work, actively seek work, or attend school (including vocational training).
9.39 MEDICAL EXPENSE DEDUCTION
Unreimbursed medical expenses may be deducted to the extent that, in combination with any disability assistance expenses, they exceed three percent of annual income.
The medical expense deduction is permitted only for families in which the head, spouse, or co- head is elderly or is a person with a disability. If a family is eligible for a medical expense deduction, the medical expenses of all family members are counted.
“Medical expenses” include medical insurance premiums, and medical expenses that are anticipated during the period for which annual income is computed, and which is not covered by insurance.
The most current IRS Publication 502, Medical and Dental Expenses, will be used to determine the costs that qualify as medical expenses. Over-the-counter products will not be eligible for deductions as medical expenses unless they are accompanied by a doctor’s prescription.
Summary of Allowable Medical Expenses from IRS Publication 502
• Services of medical professionals • Substance abuse treatment programs • Surgery and medical procedures that • Psychiatric treatment are necessary, legal, non-cosmetic • Ambulance services and some costs • Services of medical facilities of transportation related to medical • Hospitalization, long-term care, and expenses in-home nursing services • The cost and care of necessary • Prescription medicines and insulin, equipment related to a medical but not nonprescription medicines condition (i.e., eyeglasses/lenses,
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even if recommended by a doctor hearing aids, crutches, and artificial • Improvements to housing directly teeth) related to medical needs (i.e., ramps • Cost and continuing care of for a wheel chair, handrails) necessary service animals • Medical insurance premiums or the cost of a health maintenance organization (HMO) Note: This chart provides a summary of eligible medical expenses only. Detailed information is provided in IRS Publication 502. Medical expenses are considered only to the extent they are not reimbursed by insurance or some other source.
9.40 DISABILITY ASSISTANCE EXPENSE DEDUCTION
Reasonable expenses for attendant care and auxiliary apparatus for a family member with a disability may be deducted if they:
• Are necessary to enable a family member 18 years or older to work, actively seek work, or attend school (including vocational training);
• Are not paid to a family member or reimbursed by an outside source;
• In combination with any medical expenses, exceed three percent of annual income; and
• Do not exceed the earned income received by the family member who is enabled to work.
Earned Income Limit on the Disability Assistance Expense Deduction A family can qualify for the disability assistance expense deduction only if at least one family member (who may be the person with disabilities) is enabled to work, actively seek work, or attend school (including vocational training).
The disability expense deduction is capped by the amount of “earned income received by family members who are 18 years of age or older and who are able to work” because of the expense. The earned income used for this purpose is the amount verified before any earned income disallowances or income exclusions are applied.
The family must identify the family member enabled to work, actively seek work, or attend school (including vocational training) as a result of the disability assistance expenses. In evaluating the family’s request, HHA will consider factors such as how the work schedule of the relevant family members relates to the hours of care provided, the time required for transportation, the relationship of the family members to the person with disabilities, and any special needs of the person with disabilities that might determine which family members are enabled to work, actively seek work, or attend school (including vocational training).
When HHA determines that the disability assistance expenses enable more than one family member to work, the disability assistance expenses will be capped by the sum of the family members’ incomes.
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Eligible Disability Expenses Expenses incurred for maintaining or repairing an auxiliary apparatus are eligible. In the case of an apparatus that is specially adapted to accommodate a person with disabilities (e.g., a vehicle or computer), the cost to maintain the special adaptations (but not maintenance of the apparatus itself) is an eligible expense. The cost of service animals trained to give assistance to persons with disabilities, including the cost of acquiring the animal, veterinary care, food, grooming, and other continuing costs of care, will be included as an eligible expense.
Eligible Attendant Care The family identifies and HHA verifies the type of attendant care that is appropriate for the person with disabilities. Attendant care includes, but is not limited to, reasonable costs for home medical care, nursing services, in-home or center-based care services, interpreters for persons with hearing impairments, and readers for persons with visual disabilities.
Attendant care expenses will be included for the period that the person enabled to work is employed plus reasonable transportation time. The cost of general housekeeping and personal services is not an eligible attendant care expense. However, if the person enabled to work is the person with disabilities, the cost of personal services necessary to enable the person with disabilities to work is an eligible expense.
Disability Expense Payments to Family Members No disability expenses may be deducted for payments to a member of an assisted family. However, expenses paid to a relative who is not a member of the tenant family may be deducted if they are not reimbursed by an outside source.
Necessary and Reasonable Expenses The family identifies and HHA verifies the type of care or auxiliary apparatus to be provided. The family must describe how the expenses enable a family member to work. The family must certify that the disability assistance expenses are necessary and are not paid for or reimbursed by any other source.
9.41 CHILD CARE EXPENSE DEDUCTION
Child care expenses are amounts anticipated to be paid by the family for the care of children under 13 years of age during the period for which annual income is computed, but only where such care is necessary to enable a family member to actively seek employment, be gainfully employed, or to further his or her education and only to the extent such amounts are not reimbursed. The amount deducted shall reflect reasonable charges for child care. In the case of child care necessary to permit employment, the amount deducted shall not exceed the amount of employment income that is included in annual income.
Child care expenses do not include child support payments made to another on behalf of a minor who is not living in an assisted family’s household. However, child care expenses for foster children that are living in the assisted family’s household are included when determining the family’s child care expenses.
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Determining Who Is Enabled to Pursue an Eligible Activity The family must identify the family member(s) enabled to pursue an eligible activity in order to receive the child care deduction. The term eligible activity in this section means any of the activities that may make the family eligible for a child care deduction (seeking work, pursuing an education, or being gainfully employed).
In evaluating the family’s request, HHA will consider factors such as how the schedule for the claimed activity relates to the hours of care provided, the time required for transportation, the relationship of the family member(s) to the child, and any special needs of the child that might help determine which family member is enabled to pursue an eligible activity.
Seeking Work If the child care expense being claimed is to enable a family member to seek employment, the family must provide evidence of the family member’s efforts to obtain employment at each reexamination. The deduction may be reduced or denied if the family member’s job search efforts are not commensurate with the child care expense being claimed.
Furthering Education If the child care expense being claimed is to enable a family member to further his or her education, the member must be enrolled in school (academic or vocational) or participating in a formal training program. The family member is not required to be a full-time student, but the time spent in educational activities must be commensurate with the child care claimed.
Being Gainfully Employed If the child care expense being claimed is to enable a family member to be gainfully employed, the family must provide evidence of the family member’s employment during the time that child care is being provided. Gainful employment is any legal work activity (full- or part-time) for which a family member is compensated.
Earned Income Limit on Child Care Expense Deduction When a family member looks for work or furthers his or her education, the amount that may be deducted for child care will be based on Department of Social Services purchase of care rates. However, when child care enables a family member to work, the deduction is capped by the amount of employment income that is included in annual income. The earned income used for this purpose is the amount of earned income verified after any earned income disallowances or income exclusions are applied.
When the person who is enabled to work is a person who receives the earned income disallowance (EID) or a full-time student whose earned income above $480 is excluded, child care costs related to enabling a family member to work may not exceed the portion of the person’s earned income that actually is included in annual income. For example, if a family member who qualifies for the EID makes $15,000 but because of the EID only $5,000 is included in annual income, child care expenses are limited to $5,000.
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When the child care expense being claimed is to enable a family member to work, only one family member’s income will be considered at a time.
Eligible Child Care Expenses The type of care to be provided is determined by the tenant family. HHA will not refuse to give a family the child care expense deduction because there is an adult family member in the household that may be available to provide child care.
Allowable Child Care Activities For school-age children, costs attributable to public or private school activities during standard school hours are not considered. Expenses incurred for supervised activities after school or during school holidays (i.e., summer day camp, after-school sports league) are allowable forms of child care.
The costs of general housekeeping and personal services are not eligible. Likewise, child care expenses paid to a family member who lives in the family’s apartment are not eligible; however, payments for child care to relatives who do not live in the apartment are eligible.
Necessary and Reasonable Costs Child care expenses will be considered necessary if: (1) a family adequately explains how the care enables a family member to work, actively seek employment, or further his or her education, and (2) the family certifies, and the child care provider verifies, that the expenses are not paid or reimbursed by any other source. Child care expenses will be considered for the time required for the eligible activity plus reasonable transportation time.
To establish the reasonableness of child care costs, HHA will use the schedule of child care costs from the Department of Social Services. Families may present, and HHA will consider, justification for costs that exceed typical costs that exceed typical costs in the area.
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CHAPTER 10: CALCULATING TOTAL TENANT PAYMENT & RENT
10.1 INTRODUCTION
The accurate calculation of annual income and adjusted income will ensure that families are paying the correct amount of rent pursuant to applicable regulations and the MTW Plan. This chapter defines the allowable deductions from annual income and how the presence or absence of household members may affect the total tenant payment (TTP) and tenant rent.
10.2 TOTAL TENANT PAYMENT FORMULA (TTP) FOR INCOME BASED RENT
TTP is the highest of the following amounts:
• 30 percent of the family’s monthly adjusted income
• 10 percent of the family’s monthly gross income
• The minimum rent
Welfare Rent Welfare rent does not apply in this locality.
10.3 MINIMUM RENT
HHA may establish a minimum rent. HHA has a minimum rent of $25.00. Where a minimum rent is established, tenants will be required to pay at least the amount established as the minimum rent. HHA may grant an exemption due to financial hardship, see FINANCIAL HARDSHIPS AFFECTING MINIMUM RENT.
10.4 FINANCIAL HARDSHIPS AFFECTING MINIMUM RENT
If HHA establishes a minimum rent greater than zero, HHA will grant an exemption from the minimum rent if a household can document that they are unable to pay the minimum rent because of a long term hardship (over 90 days). The minimum rent financial hardship exemption applies only to families required to pay the minimum rent. If a household’s TTP is higher than the minimum rent, the household is not eligible for a minimum rent hardship exemption.
Situations under which households would qualify for the hardship exemption from minimum rent are limited to the following:
• The household has lost eligibility for or is applying for an eligibility determination for a federal, State or local assistance program;
• The household would be evicted as result of the imposition of the minimum rent requirements;
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• The income of the household has decreased because of changed circumstances, including loss of employment; or
• A death in the household has occurred. In order to qualify under this provision, a household must describe how the death has created a financial hardship (i.e., because of funeral-related expenses or the loss of the household member’s income).
To qualify for a minimum rent hardship exemption, a household must submit a request for a hardship exemption in writing. The request must explain the nature of the hardship and how the hardship has affected the household’s ability to pay the minimum rent.
10.4.1 DETERMINATION OF RENT HARDSHIP EXEMPTION
When a family requests a minimum rent hardship exemption, HHA will suspend the minimum rent requirement beginning the first of the month following the family’s request. HHA will then determine whether the financial hardship exists and whether the hardship is temporary or long- term.
HHA defines temporary hardship as a hardship expected to last 90 days or less. Long term hardship is defined as a hardship expected to last more than 90 days.
When the minimum rent is suspended, the family share reverts to the highest of the remaining components of the calculated TTP. The example below demonstrates the effect of the minimum rent exemption.
Example: Impact of Minimum Rent Exemption HHA has established a minimum rent of $50. Description Amount 30% of monthly adjusted $0 income 10% of monthly gross income $15 Welfare Rent N/A Minimum Rent $50 Hardship exemption granted TTP = $15 Family received an exemption from the minimum rent due to a financial hardship
10.4.2 NO FINANCIAL HARDSHIP
If HHA determines there is no minimum rent financial hardship, HHA will reinstate the minimum rent and require the family to repay the amounts suspended.
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HHA will require the family to repay the suspended amount within 30 calendar days of HHA’s notice that a hardship exemption has not been granted.
10.4.3 TEMPORARY HARDSHIP
If HHA determines that a qualifying minimum rent financial hardship is temporary, HHA will not impose the minimum rent during the 90-day suspension period. At the end of the 90-day suspension period, HHA will reinstate the minimum rent from the beginning of the first of the month following the date of the family’s request for a hardship exemption.
The family must resume payment of the minimum rent and must repay HHA the amounts suspended in accordance with HHA’s repayment agreement policy.
10.4.4 LONG-TERM HARDSHIP
If HHA determines that the minimum rent financial hardship is long-term, HHA will exempt the family from the minimum rent requirement for so long as the hardship continues. The minimum rent hardship exemption will apply from the first of the month following the family’s request until the end of the qualifying hardship. When the minimum rent financial hardship has been determined to be long-term, the family is not required to repay the minimum rent. Families approved for the exemption from minimum rent are required to re-verify the financial hardship every 120 days.
The minimum rent hardship period ends when the family’s calculated TTP is greater than the minimum rent.
For minimum rent hardship conditions based on loss of income, the minimum rent hardship condition will continue to be recognized until new sources of income are received to enable the family to pay at least the minimum rent.
• For hardship conditions based upon hardship-related expenses, the minimum rent exemption will continue to be recognized until the cumulative amount exempted is equal to the expense incurred.
When the minimum rent is suspended, the tenant rent reverts to the highest of the remaining components of the calculated TTP.
10.5 TOTAL TENANT PAYMENT FOR MIXED HOUSEHOLDS
A mixed household is one that includes at least one U.S. citizen or eligible immigrant and any number of ineligible household members. HHA will prorate the assistance provided to a mixed household. HHA will first determine assistance as if all household members were eligible and then prorate the assistance according to the regulatory requirement at 24 CFR 5.520.
10.6 FAMILY SHARE
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The family share is the family’s contribution toward the gross rent.
For a family selecting a unit where the gross rent is at or below the payment standard for the family, the family share will be the same as the TTP.
For a family selecting a unit where the gross rent exceeds the payment standard for the family, the family share is the TTP plus any amount by which the gross rent exceeds the payment standard.
• At initial occupancy and upon transfer to a new unit, HHA will not approve the tenancy if the gross rent is above the payment standard resulting in a family share that exceeds the maximum initial rent burden, which is 40% of adjusted monthly income, even if the rent is reasonable.
• HHA may approve a unit if the gross rent is above the payment standard, but does not result in a tenant portion that exceeds the 40% of monthly adjusted income.
10.7 TENANT RENT TO OWNER
When the household is directly paying for some or all of the utilities, the household rent to owner is determined by subtracting the contract rent to the owner from the HAP to the owner.
10.8 HHA SUBSIDY (HOUSING ASSISTANCE PAYMENT)
HHA will pay a monthly housing assistance payment (HAP) for a household that is equal to the lower of:
• The applicable payment standard for the household minus the household’s TTP; or
• The gross rent for the household’s unit minus the TTP.
If during the term of the HAP contract for a household’s unit, the owner lowers the rent, HHA will recalculate the HAP using the lower of the initial payment standard or the gross rent for the unit.
10.9 APPLYING PAYMENT STANDARDS
Decreases – Non-MTW Policy If the amount on the payment standard schedule is decreased during the term of the HAP contract, the application of the lower payment standard amount will generally be deferred until the second regular reexamination following the effective date of the decrease in the payment standard amount.
For example, if according to the payment standard schedule, the payment standards in effect are as follows:
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• At admission: $964
• At first reexamination: $931
• At second reexamination: $881
Then the payment standards applied would be as follows:
• At admission: $964
• At first reexamination: $964
• At second reexamination: $931
• At following reexamination: $881 (unless the payment standard increases)
Increases
If the payment standard is increased during the term of the HAP contract, the increased payment standard will be used to calculate the monthly housing assistance payment for the household beginning on the effective date of the household’s first regular recertification on or after the effective date of the increase in the payment standard.
Households requiring or requesting interim recertifications will not have their HAP payments calculated using the higher payment standard until their next scheduled recertification.
MTW Policy HHA will apply the current applicable payment standard at each regular recertification regardless of the fluctuations in the payment standards from the last regular recertifications.
For example, if the payment standard in effect at the last recertification was $900 and the payment standard in effect at the current recertification is $890, HHA will use $890 as the payment standard for the current recertification. If the payment standard in effect at the last recertification was $700 and the payment standard in effect at the current recertification is $750, HHA will use $750 as the payment standard for the current recertification.
10.9.1 CHANGES IN PAYMENT STANDARDS AT REGULAR RECERTIFICATION
The payment standard for the household must be changed at the time of regular recertification if one of the following occurs:
• HHA’s payment standard applicable to the household has changed;
• New subsidy standards have been adopted by HHA that change the unit size for which the household qualifies;
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• The household’s size or composition has changed, requiring a different unit size; or
• The household moves, and the new unit has a different payment standard.
The tenant rent to owner may change if the payment standard change results in a gross rent that exceeds the payment standard.
10.9.2 APPLYING PAYMENT STANDARDS AT INTERIM RECERTIFICATION
During an interim recertification, HHA will apply the payment standard which was in effect at the last regular recertification. If the payment standard applied at the last regular recertification was incorrect, HHA will apply the corrected payment standard at the interim recertification.
10.10 APPLYING UTILITY ALLOWANCES
During any regular or interim reexamination, HHA will use HHA’s current utility allowance schedule to calculate the applicable utility allowance.
10.10.1 UTILITY ALLOWANCE PAYMENTS
If the amount of the utility allowance exceeds the total tenant payment, HHA will pay the amount of such excess to the tenant as a reimbursement for tenant-paid utilities, and the tenant rent to the owner must be zero.
HHA may pay the utility reimbursement directly to the household or to the utility supplier on behalf of the household. If HHA chooses to pay the utility supplier directly, HHA will notify the household of the amount paid to the utility supplier.
HHA may elect to make utility payments on a quarterly basis if and when the utility payment totals $45 or less per quarter. In the event HHA adopts such a policy and if the family leaves the program in advance of its next quarterly utility payment, HHA will reimburse the family for a pro-rated share of the applicable utility payment.
Where HHA elects to exercise the quarterly utility payment option, families may submit a written request for a hardship if receipt of quarterly utility payments would pose a financial hardship on the family. HHA will review such requests on a case by case basis and provide a written determination on the outcome within a reasonable time period.
Financial hardship for the utility payment policy may be granted when and if a family demonstrates a situation in which the family cannot stay current with utility bills unless utility payments are received monthly. Verification of such hardship will include review of utility bills and related arrearages totaling more than two month’s average cost.
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CHAPTER 11: HOUSING QUALITY STANDARDS & RENT REASONABLENESS
11.1 INTRODUCTION
HHA will inspect each unit in accordance with established policies to determine if the unit meets the Housing Quality Standards (“HQS”). HHA will maintain a history of each inspection.
11.2 TYPES OF INSPECTIONS
HHA conducts the following types of inspections as needed. Each type of inspection is discussed in more detail in the paragraphs that follow.
• Initial Inspections • Regular Inspections – Annual and Biennial • Special Inspections • Quality Control Inspections
11.2.1 INITIAL HQS INSPECTION
HHA will complete the initial inspection, determine whether the unit satisfies HQS, and notify the owner and the family of the determination within a reasonable time from submission of the Request for Tenancy Approval (RFTA). The unit must pass the HQS inspection before the effective date of the HAP Contract.
If any HQS violations are identified, the owner will be notified of the deficiencies and be given a time frame in which to correct them. Generally, HHA will provide owners 15 business days from the date of the failed initial inspection to correct identified deficiencies. If requested by the owner, the time frame for correcting the deficiencies may be extended by HHA for good cause. HHA will reinspect the unit within a reasonable time after the owner notifies HHA that the required corrections have been made.
If the time period for correcting the deficiencies (or any HHA-approved extension) has elapsed, and the unit fails HQS at the time of the reinspection, HHA will notify the owner and the family that the unit has been rejected and that the family must search for another unit. HHA may agree to conduct a second reinspection, for good cause, at the request of the family and owner.
Following a unit disapproval, the family may submit a new Request for Tenancy Approval for the unit if the family has not found another unit by the time the owner completes all repairs and the family continues to wish to live in the unit.
Occupancy Prior to Meeting HQS
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HHA may approve tenancy, execute the HAP contract and commence HAP payments when any unit fails initial HQS, but only if it has non-life-threatening deficiencies. HUD is defining a non- life-threatening condition as any condition that would fail to meet the housing quality standards under 24 CFR 982.401 and is not a life-threatening condition. For purposes of implementation of this policy, HHA will follow HUD’s definition of life-threatening conditions, which is attached to this plan as Appendix E. This definition applies to all HQS inspections.
The only exception to this uniformity requirement, is the presence of deteriorated paint in units built before 1978 to be occupied by a family with a child under the age of 6. The presence of such hazards during the initial HQS inspection means HHA may not approve the tenancy, execute the HAP contract and make assistance payments until lead hazard reduction is complete. However, in the case where the deficiency is identified for a unit under HAP contract during a regular or interim HQS inspection, lead hazard reduction need not be completed within 24 hours. Instead, HHAs and owners must follow the requirements in 24 CFR part 35.
If the initial inspection on the unit identifies one or more non-life-threatening deficiencies, HHA will provide the family a list of the deficiencies and offer the family the opportunity to decline to enter into the assisted lease without losing the voucher. HHA will also notify the family that if the owner fails to correct the non-life-threatening deficiencies within 90 days, HHA will terminate the HAP contract, which in turn terminates the assisted lease, and the family will have to move to another unit in order to receive voucher assistance.
Utilities at Initial Inspection Generally, at initial lease-up the owner is responsible for demonstrating that all utilities are in working order including those utilities that the family will be responsible for paying. If utility service is not available for testing at the time of the initial inspection, HHA will allow the utilities to be placed in service after the unit has met all other HQS requirements. HHA will reinspect the unit to confirm that utilities are operational before the HAP contract is executed by HHA.
Appliances at Initial Inspection If the family is responsible for supplying the stove and/or refrigerator, HHA will allow the stove and refrigerator to be placed in the unit after the unit has met all other HQS requirements. The required appliances must be in place before the HAP contract is executed by HHA. HHA will execute the HAP contract based upon a certification from the family that the appliances have been installed and are working. A confirmatory inspection will be scheduled within 30 days of HAP contract approval.
Initial Inspection Time Frame HHA will use the results of an initial approved inspection for a period of 60 calendar days. If the lease and HAP contract are not effective within 30 calendar days from the date of the approved inspection, the unit will be reinspected.
11.2.2 REGULAR INSPECTIONS - ANNUAL & BIENNIAL
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HHA will inspect each unit under lease at least biennially to confirm the unit continues to meet HQS. Biennial inspection frequency means that the unit must be inspected at least once in a 24 month period. Annual inspection means that the unit must be inspected at least once in a 12 month period. When the term regular inspection is used it may refer to annual or biennial inspections.
11.2.3 SPECIAL INSPECTIONS
A special inspection may be requested by the owner, the family, or a third party as a result of problems identified between annual inspections.
HHA will conduct a special inspection if the owner, family, or a third party reports possible HQS violations in the unit.
During a special inspection, HHA generally will inspect only those deficiencies that were reported; however, the inspector may record any additional HQS deficiencies that are observed and may require the responsible party to make the necessary repairs.
If the regular inspection has been scheduled or is due within 90 days of the date the special inspection is scheduled, HHA may elect to conduct a full regular inspection.
11.2.4 QUALITY CONTROL INSPECTIONS
Quality control inspections are re-Inspections completed by a supervisor or other qualified individual on a sample of HCV program units to ensure that HQS are being enforced correctly and uniformly by all inspectors.
The unit sample will generally include units that have been inspected within the preceding 3 months. The selected sample will include:
• Each type of inspection (initial, annual, and special);
• Inspections completed by each inspector; and
• Units from a cross-section of neighborhoods
11.3 COST OF INSPECTION
HHA will not charge the family for unit inspections.
HHA may establish a reasonable fee to owners for reinspection of a unit if an owner notifies HHA that a repair has been made or the allotted time for repairs has elapsed and a reinspection reveals that any deficiency cited in the previous inspection that the owner is responsible for repairing was not corrected.
The owner may not pass this fee along to the family.
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HHA will not reinspect the unit again until payment for the cost of the reinspection has been received from the owner. For example, if a unit failed inspection, HHA will reinspect the unit within 15 days from the date the owner notified HHA that the repair was completed or within 15 days from the time period allotted for the repair. If the unit failed reinspection, HHA will not reinspect the unit again until the cost of the reinspection has been received from the owner.
11.4 ALTERNATIVE INSPECTIONS
HHA may comply with the HQS inspection requirement through reliance upon an inspection conducted for another housing assistance program. Compliance with the inspection requirement may be met by reliance upon an inspection of housing assisted under:
• The HOME Investment Partnerships (HOME) program (under Title II of the Cranston- Gonzalez National Affordable Housing Act;
• Housing financed via the Treasury Department's Low-Income Housing Tax Credit program (LIHTC), taking into account the standards employed by those programs;
• An inspection performed by HUD.
If HHA relies on an alternate inspection method other than one of the methods above, then, prior to implementation, HHA will submit to the Real Estate Assessment Center (REAC) a copy of the inspection method it wishes to use, along with its analysis of the inspection method that shows that the method “provides the same or greater protection to occupants of dwelling units” as would HQS. HHA may rely upon such alternative inspection method upon receiving approval from REAC to do so.
If HHA uses an alternative inspection method approved by REAC, HHA will monitor changes to the standards and requirements applicable to such method. If any change is made to the alternative inspection method, HHA will submit to REAC a copy of the revised standards and requirements, along with a revised comparison to HQS. If HHA or REAC determines that the revision would cause the alternative inspection to no longer meet or exceed HQS, then HHA will no longer rely upon the alternative inspection method to comply with the inspection requirement. The following apply under the alternative inspection policy:
• If a property is inspected under an alternative inspection method, and the property receives a “pass” score, HHA may rely on that inspection to demonstrate compliance with the inspection requirement.
• If a property is inspected under an alternative inspection method, and the property receives a “fail” score, then HHA may not rely on that inspection to demonstrate compliance with the inspection requirement.
• If a property is inspected under an alternative inspection method that does not employ a pass/fail determination—for example, in the case of the LIHTC program, where
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deficiencies are simply noted—HHA will review the list of deficiencies to determine whether any cited deficiency would have resulted in a “fail” score under HQS. If no such deficiency exists, then HHA may rely on the inspection to demonstrate compliance with the inspection requirements; if such a deficiency does exist, HHA may not rely on the inspection to demonstrate such compliance.
In any instance where HHA cannot rely on an alternative inspection method for a property, HHA will, within a reasonable period of time, conduct an HQS inspection of any units in the property occupied by voucher program participants and follow HQS procedures to remedy any identified deficiencies.
11.5 NOTICE AND SCHEDULING OF INSPECTIONS
The family must allow HHA to inspect the unit at reasonable times and with reasonable notice.
Both the family and the owner will be given reasonable notice of all inspections. Except in the case of a life threatening emergency, reasonable notice is considered to be no less than 48 hours. In the case of a life threatening emergency, HHA will give as much notice as possible, given the nature of the emergency.
If an authorized adult cannot be present on the scheduled date, the family must request that HHA reschedule the inspection. HHA will schedule a new inspection date.
If the family misses the first scheduled appointment without requesting a new inspection date, HHA will automatically schedule a second inspection. If the family misses two scheduled inspections without HHA approval, HHA will consider the family to be in violation of program obligations.
11.6 OWNER AND FAMILY INSPECTION ATTENDANCE
When a family occupies the unit at the time of inspection, an authorized adult must be present for the inspection. The presence of the owner or the owner's representative is encouraged but is not required.
At initial inspection of a vacant unit, HHA will inspect the unit in the presence of the owner or owner's representative. The presence of a family representative is permitted, but is not required.
11.7 REGULAR HQS INSPECTION FREQUENCY
Each unit under HAP contract will have an HQS inspection at least once in a 24-month period. HHA reserves the right to change any HQS unit inspection frequency based solely upon management discretion. For example, if a unit routinely fails HQS inspections, HHA may inspect the unit on an annual instead of biennial basis.
Upon full implementation of the biennial HQS policy, a portion of the applicable units may undergo inspection in Year One and the remaining units on biennial inspection may be inspected
Administrative Plan: HOUSING QUALITY STANDARDS & RENT REASONABLENESS 11-11 in Year 2. In subsequent years, HHA reserves the right to change inspection frequencies to achieve load balancing and/or if the owner/tenant/unit history dictates.
In the case of mixed finance properties assisted with project-based vouchers (authorized at 42 U.S.C. 1437f(o)(13)) that is subject to an alternative inspection, HHA may rely upon inspections conducted at least triennially pursuant to 24 CFR 983.103.
Tenants cannot opt for their unit to remain on an annual inspection schedule; however, either the tenant or the owner may request a complaint inspection at any time. Complaint inspections should not be requested until the owner/tenant has been contacted and given the opportunity to respond to the HQS issue.
11.8 HQS STANDARDS
HHA conforms to the performance and acceptability requirements at 24 C.F.R. 982.401 when conducting HQS. Also, HHA inspectors are expected to rely on their professional judgment in discriminating between a pass or fail condition.
HUD's performance and acceptability requirements for HCV-assisted housing cover the following areas:
• Sanitary facilities;
• Food preparation and refuse disposal;
• Space and security;
• Thermal environment;
• Illumination and electricity;
• Structure and materials;
• Interior air quality;
• Water supply;
• Lead-based paint;
• Access;
• Site and neighborhood;
• Sanitary condition; and
• Smoke detectors.
11.8.1 PART I: PHYSICAL STANDARDS
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HUD Performance and Acceptability Standards HUD's performance and acceptability standards for HCV-assisted housing are provided in 24 CFR 982.401. These standards cover the following areas:
• Sanitary facilities
• Food preparation and refuse disposal
• Space and Security
• Thermal Environment
• Illumination and electricity
• Structure and materials
• Interior Air Quality
• Water Supply
• Lead-based paint
• Access
• Site and neighborhood
• Sanitary condition
• Smoke Detectors
11.9 ADDITIONAL LOCAL REQUIREMENTS
HHA may impose additional quality standards as long as the additional criteria are not likely to adversely affect the health or safety of participant families or severely restrict housing choice. HUD approval is required if more stringent standards are imposed. HUD approval is not required if HHA additions are clarifications of HUD's acceptability criteria or performance standards [24 CFR 982.401[a][4]].
Thermal Environment [HCV GB p.10-7] HHA’s definition of a “healthy living environment” for the local climate is as follows:
• The heating system must be capable of maintaining an interior temperature of 65 degrees Fahrenheit between October 1 and May 1.
Clarifications of HUD Requirements
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HHA has adopted the following specific requirements that elaborate on HUD standards.
Walls In areas where plaster or drywall is sagging, severely cracked, or otherwise damaged, it must be repaired or replaced.
Windows • Window sashes must be in good condition, solid and intact, and properly fitted to the window frame. Damaged or deteriorated sashes must be replaced. • Windows must be weather-stripped as needed to ensure a weather-tight seal. • Window screens must be in good condition [applies only if screens are present].
Doors • All exterior doors must be weather-tight to avoid any air or water infiltration, be lockable, have no holes, have all trim intact, and have a threshold. • All interior doors must have no holes, have all trim intact, and must open without the use of a key.
Floors • All wood floors must be sanded to a smooth surface and sealed. Any loose or warped boards must be re-secured and made level. If they cannot be leveled, they must be replaced. • All floors must be in a finished state. Raw wood or unsealed concrete is not permitted. • All floors should have some type of base-shoe, trim, or sealing for a "finished look." Vinyl base-shoe is permitted.
Sinks • All sinks and commode water lines must have shut off valves, unless faucets are wall mounted. • All worn or cracked toilet seats and tank lids must be replaced and toilet tank lid must fit properly. • All sinks must have functioning stoppers.
Security If window security bars or security screens are present on emergency exit windows, they must be equipped with a quick release system. The owner is responsible for ensuring that the family is instructed on the use of the quick release system.
11.10 LIFE THREATENING CONDITIONS
HHA has adopted HUD’s definition of life-threatening conditions, which is attached to this plan as Appendix E.
If an owner fails to correct life threatening conditions as required by HHA, the housing assistance payment will be abated and the HAP contract will be terminated.
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If a family fails to correct a family caused life threatening condition as required by HHA, HHA may terminate the family’s assistance. The owner will be required to repair an inoperable smoke detector unless HHA determines that the family has intentionally disconnected it [by removing batteries or other means]. In this case, the family will be required to repair the smoke detector within 24 hours.
11.11 OWNER RESPONSIBILITIES
The owner must maintain the unit in accordance with HQS. If the owner fails to maintain the dwelling unit in accordance with HQS, HHA will take action to enforce the owner obligations, which may include abatement or reduction of HAP payments and termination of the HAP contract. The owner is not responsible for breaches in HQS not caused by the owner and for which the family is responsible, as listed below.
11.12 FAMILY RESPONSIBILITIES
The family is responsible for correcting the following HQS deficiencies:
• Tenant-paid utilities not in service;
• Failure to provide or maintain family-supplied appliances; and
• Damage to the unit or premises caused by a household member or guest beyond normal wear and tear.
HHA may terminate assistance to a family because of an HQS breach caused by the family.
11.13 SPECIAL REQUIREMENTS FOR CHILDREN WITH ENVIRONMENTAL INTERVENTION BLOOD LEAD LEVEL The risk assessment must be completed in accordance with program requirements, and the result of the risk assessment must be immediately provided to the owner of the dwelling unit. In cases where the public health department has already completed an evaluation of the unit, this information must be provided to the owner. Within 30 days after receiving the risk assessment report from HHA, or the evaluation from the public health department, the owner is required to complete the reduction of identified lead- based paint hazards in accordance with the lead-based paint regulations [24 CFR 35.1325 and 35.1330]. If the owner does not complete the “hazard reduction” as required, the dwelling unit is in violation of HQS and HHA will take action in accordance with its policies on HQS failures. HHA reporting requirements, and data collection and record keeping responsibilities related to children with an environmental intervention blood lead level are discussed in the section on REPORTING AND RECORD KEEPING FOR CHILDREN WITH ENVIRONMENTAL INTERVENTION BLOOD LEVEL
11.14 VIOLATION OF HQS SPACE STANDARDS
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If HHA determines that a unit does not meet the HQS space standards because of an increase in family size or a change in family composition, HHA will issue the family a new voucher. If an acceptable unit is available for rental by the family, HHA will terminate the existing HAP contract in accordance with its terms and execute a new HAP contract for the new unit.
11.15 MODIFICATIONS TO PROVIDE ACCESSIBILITY
An owner must not refuse the request of a family that contains a person with a disability to make necessary and reasonable modifications to the unit, at the family’s expense. All such modifications must meet all applicable HQS requirements.
11.16 EMERGENCY HQS VIOLATIONS
“Emergency” HQS violations will cover only those situations that are determined to be urgent health and safety issues, i.e. those situations that pose an immediate threat to the life, health or safety of tenants or that are related to fire safety hazards. When emergency HQS violations are identified, HHA will immediately notify both the owner and household. The notice will specify who is responsible for correcting the violation. The corrective actions must be taken within the required time period per HHA’s notice.
Emergency violations include but are not limited to:
• Major plumbing leaks or flooding, waterlogged ceiling or floor in imminent danger of falling;
• Natural or LP gas or fuel oil leaks;
• Any electrical problem or condition that could result in shock or fire;
• Absence of a working heating system when outside temperature is below 60 degrees Fahrenheit;
• Utilities not in service, including no running hot water;
• Obstacles that prevent safe entrance or exit from the unit;
• Absence of a functioning toilet in the unit; and
• Inoperable smoke detectors. If an owner fails to correct emergency conditions as required, the housing assistance payment will be abated.
If a family fails to correct a family-caused emergency condition as required, HHA may terminate the family’s assistance.
The owner will be required to repair an inoperable smoke detector unless HHA determines that the family has intentionally disconnected it (by removing batteries or other means).
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11.17 NON-EMERGENCY HQS FAILURES
When failures that are not life-threatening are identified, HHA will send the owner and the family a written notification of the inspection results following the inspection.
The written notice will specify who is responsible for correcting the violation, and the time frame within which the failure must be corrected. The notice of inspection results will inform the owner that if non-life threatening conditions are not corrected within the specified time frame, the owner’s HAP will be abated. Likewise, in the case of family-caused deficiencies, the notice will inform the family that if corrections are not made within the specified time frame, the family’s assistance may be terminated.
11.18 TIME STANDARDS FOR REPAIRS
• If an owner fails to correct HQS deficiencies by the time specified, HHA will abate housing assistance payments on the first of the month following the failed reinspection.
• Emergency Repairs: Items which endanger family health and well-being, such as the emergency conditions listed above, must be abated (subsided/stopped) or repaired within 24 hours after notification. HHA will not grant an extension to this time frame. Once an HQS emergency has been abated (subsided/stopped), if further repair is still needed, the repair item will be treated as a non-emergency repair. If the emergency conditions are not abated or repaired within 24 hours or any HHA-approved extension, HHA will stop Housing Assistance Payments no later than the first of the month following the specified correction period or terminate the HAP contract, or in the case of family-caused HQS failures, take prompt and vigorous action to enforce the family’s obligations.
• All Repairs - Initial Inspection: HHA generally requires non-emergency repairs for initial inspection to be made within 15 business days, unless HHA has approved an extension to this time frame.
• Non-Emergency Repairs – All other inspections: HHA generally requires non-emergency repairs for to be completed within 30 days after notification, unless HHA has approved an extension to this time frame.
11.19 EXTENSIONS
For conditions that are life-threatening, HHA will not grant an extension to the 24 hour corrective action period.
For conditions that are not life-threatening, HHA may grant an exception to the required time frames for correcting the violation, if HHA determines that an extension is appropriate.
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Extensions may be granted in cases where HHA has determined that the owner has made a good faith effort to correct the deficiencies but has been unable to for reasons beyond the owner’s control. Reasons may include but are not limited to:
• A repair cannot be completed because required parts or services are not available; and
• A repair cannot be completed because of weather conditions.
• A reasonable accommodation is needed because the family includes a person with disabilities.
The length of the extension will be determined on a case-by-case basis, but will not exceed 60 days, except in the case of delays caused by weather conditions. In the case of weather conditions, extensions may be continued until the weather has improved sufficiently to make repairs possible. The necessary repairs must be made within 15 business days, once the weather conditions have subsided.
An extension may also be granted where a reasonable accommodation is needed because the family includes a person with disabilities.
11.20 REINSPECTIONS
HHA will conduct a reinspection following the end of the corrective period, or any HHA- approved extension, except as provided in the policies in Owner Certification of Repair.
HHA will re-inspect the unit within 15 days of receipt of the notification from the owner that the repairs have been made and the unit is ready for reinspection.
The family and owner will be given reasonable notice of the reinspection appointment. If the deficiencies have not been corrected by the time of the reinspection, HHA will send a notice of abatement to the owner, or in the case of family caused violations, a notice of termination to the family, in accordance with HHA policies. If HHA is unable to gain entry to the unit in order to conduct the scheduled reinspection, HHA will consider the family to have violated its obligation to make the unit available for inspection. This may result in termination of the family’s assistance.
11.21 OWNER CERTIFICATION OF REPAIR
HHA inspectors will document on the appropriate form all defects that may cause the unit to fail to meet HQS standards, and will indicate whether those failures are deemed to be the owner or the tenant’s responsibility to repair.
HUD regulations require HHA verify that HQS failure items have been repaired. HHA will require re-inspections for tenant caused failure items. At HHA’s discretion, HHA will verify repair of certain non-emergency failure items that the owner is responsible to correct through certifications signed by the owner and tenant. HHA reserves the right to require re-inspection or
Administrative Plan: HOUSING QUALITY STANDARDS & RENT REASONABLENESS 11-18 to accept self-certification for HQS failure items that are the owner’s responsibility to repair. APPENDIX D: HQS OWNER CERTIFICATIONS contains the HQS failure items for which HHA will accept owner and tenant certification of repair.
11.22 ENFORCING OWNER COMPLIANCE
If the owner fails to maintain the dwelling unit in accordance with HQS, HHA will take prompt and vigorous action to enforce the owner obligations.
11.23 HAP ABATEMENT If an owner fails to correct HQS deficiencies by the time specified (including any extension) by HHA, HHA will abate housing assistance payments no later than the first of the month following the specified correction period. No retroactive payments will be made to the owner for the period of time the rent was abated. Owner rents are not abated as a result of HQS failures that are the family's responsibility. HHA will inspect abated units within 15 business days of the owner's notification that the work has been completed. Payment will resume effective on the day the unit passes inspection.
During any abatement period the family continues to be responsible for its share of the rent. The owner must not seek payment from the family for abated amounts and may not use the abatement as cause for eviction.
HAP Contract Termination
The maximum length of time that a HAP may be abated is 90 days. However, if the owner completes corrections and notifies HHA before the termination date of the HAP contract, HHA may rescind the termination notice if [1] the family still resides in the unit and wishes to remain in the unit and [2] the unit passes inspection.
HHA will not terminate the HAP contract until the family finds another unit, provided the family does so in a reasonable time [HCV GB p. 10-29. Reasonable notice of HAP contract termination by HHA is 30 days.
11.24 ISSUING VOUCHERS TO MOVE WHEN HAP IS ABATED
HHA will issue a transfer voucher when the unit has been in abatement for thirty days or sooner if the owner communicates his intention not to make the repairs. Once a transfer request has been initiated, HHA will contact the household and issue a transfer voucher to move. Where the HAP is abated and emergency HQS violations exists, HHA will evaluate the emergency HQS condition on a case-by-case basis and initiate the transfer consistent with the safety and well- being of the family.
11.25 ENFORCING FAMILY COMPLIANCE
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HHA will pursue prompt and vigorous action against the family for family-caused HQS violations.
Families are responsible for correcting any family caused HQS violations. If the family fails to correct a violation within the period allowed by HHA (and any extensions), HHA may terminate the family’s assistance.
HHA will not reimburse owners for the cost of damages or other unpaid amounts owed by the tenants under the lease. The owner must collect damage payments from the tenant.
If the owner carries out a repair for which the family is responsible under the lease, the owner may bill the family for the cost of the repair.
11.26 RENT REASONABLENESS 11.26.1 OVERVIEW
A HAP contract and lease will not be approved until HHA has determined that the rent for the unit is reasonable. The purpose of the rent reasonableness test is to ensure that a fair rent is paid for each unit rented under the HCVP.
HUD regulations define a reasonable rent as one that does not exceed the rent charged for comparable, unassisted units in the same market area. HUD also requires that owners not charge more for assisted units than for comparable units on the premises.
At all times during assisted tenancy, HHA will ensure that the rent to the owner does not exceed the reasonable rent as most recently determined or re-determined by HHA.
11.26.2 WHEN RENT REASONABLENESS DETERMINATIONS ARE REQUIRED
Owner-initiated Rent Determinations HHA must make a rent reasonableness determination at initial occupancy and whenever the owner requests a rent adjustment.
The owner and family first negotiate the rent for a unit. HHA (or independent agency in the case of HHA-owned units – see the glossary for definition of HHA-owned units) will assist the family with the negotiations upon request. At initial occupancy HHA must determine whether the proposed rent is reasonable before a HAP contract is signed. The owner must not change the rent during the initial lease term. Subsequent requests for rent adjustments must be consistent with the lease between the owner and the family. Rent increases will not be approved unless any failed items identified by the most recent HQS inspection have been corrected.
After the initial occupancy period, the owner may request a rent adjustment in accordance with the owner’s lease. For rent increase requests after initial lease-up, HHA may request owners to provide information about the rents charged for other units on the premises, if the premises include more than 4 units. In evaluating the proposed rents in comparison to other units on the premises HHA will consider unit size and length of tenancy in the other units.
Administrative Plan: HOUSING QUALITY STANDARDS & RENT REASONABLENESS 11-20
HHA will determine whether the requested increase is reasonable within a reasonable time after receiving the request from the owner. The owner will be notified of the determination in writing. All rents adjustments will be effective the first of the month following 60 days after HHA’s receipt of the owner’s request or on the date specified by the owner, whichever is later.
Non-MTW Policy HUD requires HHA to make a determination of rent reasonableness (even if the owner has not requested a change) if there is a 5 percent decrease in the Fair Market Rent that goes into effect at least 60 days before the contract anniversary date. HUD also may direct HHA to make a determination at any other time. HHA may decide that a new determination of rent reasonableness is needed at any time.
In addition to the instances described above, HHA will make a determination of rent reasonableness at any time after the initial occupancy period if: (1) HHA determines that the initial rent reasonableness determination was in error or (2) HHA determines that the information provided by the owner about the unit or other units on the same premises was incorrect.
MTW Policy HHA eliminated the requirement to re-determine reasonable rent if there is a 5% decrease in the published Fair Market Rent (FMR) in effect 60 days before the contract anniversary date as compared to the FMR in effect 1 year before the contract anniversary.
HHA continues to complete a reasonable rent determination:
• When a unit is placed under HAP contract for the first time;
• When an owner requests a contract rent adjustment; and
• At any other time HHA deems it necessary.
As rent increases will continue to be allowed during the lease-prescribed time periods, HHA assumes that owners will request a rent increase within market fluctuations as warranted.
11.26.3 HOW REASONABLE RENTS ARE DETERMINED
The reasonable rent must be determined by comparison to the rent for other comparable unassisted units. When making this determination, HHA will consider factors that affect market rent. Such factors include the location, quality, size, type and age of the unit, as well as the amenities, housing services maintenance, and utilities to be provided by the owner.
HHA will make a determination whether the rent to owner is a reasonable rent in comparison to rent for other comparable unassisted units. In making this determination, HHA will consider:
• The amount of rent being charged for comparable, standard, unassisted units in the neighborhood;
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• The quality, location, size, unit type and age of the contract unit;
• The amenities, housing services, maintenance and utilities to be provided by the owner in accordance with the lease;
• On-site facilities;
• Management and maintenance of the building and unit; and
• The amount of rent charged by the owner for similar units in the same structure.
11.26.4 HHA RENT REASONABLENESS METHODOLOGY
HHA will use data on market rents in HHA's jurisdiction to determine reasonable rents. The rent for a unit proposed for HCV assistance will be compared to the rent charged for comparable unassisted units in the same market area. Because units may be similar, but not exactly like the unit proposed for HCV assistance, HHA may make adjustments to the range of prices to account for these differences.
HHA will notify the owner of the rent HHA can approve based upon its analysis of rents for comparable units. The owner may submit information about other comparable units in the market area. HHA will confirm the accuracy of the information provided and consider this additional information when making rent determinations.
11.26.5 UNITS THAT MUST NOT BE USED AS COMPARABLES
Comparable units must represent unrestricted market rents. Therefore, units that receive some form of federal, state, or local assistance that imposes rent restrictions cannot be considered comparable units. These include units assisted by HUD through any of the following programs: Section 8 project-based assistance, Section 236 and Section 221(d)(3) Below Market Interest Rate (BMIR) projects, HOME or Community Development Block Grant (CDBG) program- assisted units in which the rents are subsidized; units subsidized through federal, state, or local tax credits; units subsidized by the Department of Agriculture rural housing programs, and units that are rent-controlled by local ordinance.
11.26.6 RENTS CHARGED FOR OTHER UNITS ON THE PREMISES
The Request for Tenancy Approval (HUD-52517) requires owners to provide information, on the form itself, about the rent charged for other unassisted comparable units on the premises if the premises include more than 4 units.
By accepting HHA payment each month the owner certifies that the rent is not more than the rent charged for comparable unassisted units on the premises. If asked to do so, the owner must give HHA information regarding rents charged for other units on the premises.
11.26.7 HHA-OWNED UNITS [24 CFR 982.352[B]]
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In cases where an HCV family is receiving assistance in a HHA-owned unit, HHA must obtain the services of an independent entity to determine rent reasonableness in accordance with program requirements, and to assist the family in negotiating the contract rent when the family requests assistance. See the glossary for a definition of HHA-owned units.
11.26.8 REASONABLE ACCOMMODATION – REASONABLE RENT
HHA may make a reasonable accommodation in the rules and polices related to reasonable rent when such accommodation is necessary to afford a disabled person equal opportunity to use and enjoy a dwelling unit. HHA may require a 504 Inspection of a unit prior to approving a reasonable accommodation for exception rent.
11.27 CONTRACT RENT
Contract rent is the total amount of rent an owner charges for a unit occupied by a family being assisted in the HCV program. HHA will list this initial amount on the Housing Assistance Payment contract (HAP) and the HCV program lease agreement. HHA will notify owners of changes in the contract rent in writing.
11.27.1 CONTRACT RENT LIMITATIONS
See policy on FAMILY SHARE for contract rent limitations at initial lease up.
HHA will allow a subsequent rent increase during a family’s occupancy of the unit that causes the family share to exceed 40% of monthly adjusted income as long as the new rent to owner is determined to be reasonable. The maximum initial rent burden applies only at the commencement of an assisted occupancy in a particular unit.
11.28 CHANGES IN CONTRACT RENT TO THE OWNER
Where the owner is requesting a change in the amount of the contract rent, the owner must notify HHA at least 60 days before any such changes go into effect. HHA will notify the owner of the determination in writing.
HHA will agree to such an increase only if the amount of the rent to owner is considered reasonable according to the rent reasonableness standards. During subsequent lease terms, if a dwelling unit does not meet the test of Rent Reasonableness (RR), the landlord has to renegotiate a reasonable rent or the HAP contract will be terminated.
Rent increases will go into effect on the first of the month following the 60 day period after the owner notifies HHA of the rent change or on the date specified by the owner whichever is later.
No rent increase is permitted during the initial term of the lease.
Administrative Plan: HOUSING QUALITY STANDARDS & RENT REASONABLENESS 11-23
CHAPTER 12: LEASING POLICIES & HAP CONTRACT
12.1 OVERVIEW
It is an applicant’s responsibility to find a unit that is owned by an individual or entity that is willing to participate in the HCV program. The unit must meet three requirements in order to be approved by HHA for leasing:
• Subsidy Standards: The unit must be suitable for the family size, meeting HHA’s Subsidy Standards;
• HQS: The unit must be decent, safe and sanitary and meet HCV Housing Quality Standards; and
• Rent Reasonableness: The unit rent must be reasonable given the market area and amenities. Exception rents may apply where accessible units are concerned.
12.2 OWNER SCREENING
HHA has no liability or responsibility to the owner or other persons for the family’s behavior or to determine suitability for tenancy. HHA does not screen applicants for family behavior or suitability for tenancy and does not provide additional screening information to the owner.
The owner is responsible for screening and selection of the family to occupy the owner's unit. HHA informs owners that screening and selection for tenancy is the responsibility of the owner. HHA also informs owners and/or managers of their responsibility to comply with VAWA.
HHA provides the owner with the family's current and prior address (as shown in HHA records) and the name and address (if known to HHA) of the landlord at the family's current and prior address.
12.3 REQUESTING TENANCY APPROVAL
After the family is issued a voucher, the family must locate an eligible unit, with an owner or landlord willing to participate in the voucher program. Once a family finds a suitable unit and the owner is willing to lease the unit under the program, the owner and the family must request HHA to approve the assisted tenancy in the selected unit.
The owner and the family must submit a completed Request for Tenancy Approval (RFTA) – Form HUD-52517 and a copy of the proposed lease, including the HUD-prescribed Tenancy Addendum – Form HUD-52641-A
The RFTA contains important information about the rental unit selected by the family, including the unit address, number of bedrooms, structure type, year constructed, utilities included in the
Administrative Plan: LEASING POLICIES & HAP CONTRACT 12-1 rent, and the requested beginning date of the lease, necessary for HHA to determine whether to approve the assisted tenancy in this unit.
Owners must certify to the most recent amount of rent charged for the unit and provide an explanation for any difference between the prior rent and the proposed rent.
• Owners must certify that they are not the spouse, parent, child, grandparent, grandchild, sister or brother of any member of the family, unless HHA has granted a request for reasonable accommodation for a person with disabilities who is a member of the tenant household.
• For units constructed prior to 1978, owners must either 1) certify that the unit, common areas, and exterior have been found to be free of lead-based paint by a certified inspector; or 2) attach a lead-based paint disclosure statement.
Both the RFTA and the proposed lease must be submitted no later than the expiration date stated on the voucher.
• The RFTA must be signed by both the family and the owner.
• The owner may submit the RFTA on behalf of the family.
• Completed RFTA (including the proposed dwelling lease) must be submitted as hard copies, in-person, by mail, or by fax.
• The family may not submit, and HHA will not process, more than one (1) RFTA at a time.
• When the family submits the RFTA HHA will review the RFTA for completeness. If the RFTA is incomplete (including lack of signatures by family, owner, or both), or if the dwelling lease is not submitted with the RFTA, HHA will notify the family and the owner of the deficiencies.
Missing information and/or missing documents will only be accepted as hard copies, in-person, by mail, or by fax. HHA will not accept missing information over the phone.
When the family submits the RTA and proposed lease, HHA will also review the terms of the RFTA for consistency with the terms of the proposed lease. If the terms of the RFTA are not consistent with the terms of the proposed lease, HHA will notify the family and the owner of the discrepancies. Corrections to the terms of the RFTA and/or the proposed lease will only be accepted as hard copies, in-person, by mail or by fax. HHA will not accept corrections by phone.
12.4 ELIGIBLE UNITS
HHA may permit families to use voucher assistance in a number of special housing types in accordance with the specific requirements applicable to those programs. These special housing types include:
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• Single room occupancy (SRO) housing;
• Congregate housing;
• Group home;
• Shared housing;
• Manufactured home space (where the family owns the manufactured home and leases only the space);
• Cooperative housing; and
• Homeownership option.
12.5 HHA-OWNED UNITS [24 CFR 982.352[b]]
Otherwise eligible units that are owned or substantially controlled by HHA may also be leased in the voucher program. In order for a HHA-owned unit to be leased under the voucher program, the unit must not be ineligible housing and HHA must inform the family, both orally and in writing, that the family has the right to select any eligible unit available for lease and that the family is free to select a HHA-owned unit without any pressure or steering by HHA. See the glossary for a definition of HHA-owned units.
12.6 INELIGIBLE UNITS
The following types of housing may not be assisted by HHA in the tenant-based program:
• A public housing or Indian housing unit;
• A unit receiving project-based assistance under section 8 of the 1937 Act;
• Nursing homes, board and care homes, or facilities providing continual psychiatric, medical, or nursing services;
• College or other school dormitories;
• Units on the grounds of penal, reformatory, medical, mental, and similar public or private institutions; and
• A unit occupied by its owner or by a person with any interest in the unit.
12.7 DUPLICATIVE ASSISTANCE
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A family may not receive the benefit of HCV tenant-based assistance while receiving the benefit of any of the following forms of other housing subsidy, for the same unit or for a different unit:
• Public or Indian housing assistance;
• Other Section 8 assistance (including other tenant-based assistance);
• Assistance under former Section 23 of the United States Housing Act of 1937 (before amendment by the Housing and Community Development Act of 1974);
• Section 101 rent supplements;
• Section 236 rental assistance payments;
• Tenant-based assistance under the HOME Program;
• Rental assistance payments under Section 521 of the Housing Act of 1949 (a program of the Rural Development Administration);
• Any local or State rent subsidy;
• Section 202 supportive housing for the elderly;
• Section 811 supportive housing for persons with disabilities;
• Section 202 projects for non-elderly persons with disabilities (Section 162 assistance); or
• Any other duplicative federal, State, or local housing subsidy, as determined by HUD. For this purpose, “housing subsidy” does not include the housing component of a welfare payment, a social security payment received by the family, or a rent reduction because of a tax credit.
12.8 HOUSING QUALITY STANDARDS (HQS)
In order to be eligible, the dwelling unit must be in decent, safe and sanitary condition. This determination is made using HUD’s Housing Quality Standards (HQS) and/or equivalent state or local standards approved by HUD. See the chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS for a full discussion of the HQS standards.
12.9 UNIT SIZE
In order to be eligible, the dwelling unit must be appropriate for the number of persons in the household. A family must be allowed to lease an otherwise acceptable dwelling unit with fewer bedrooms than the number of bedrooms stated on the voucher issued to the family, provided the unit meets the applicable HQS space requirements. The family must be allowed to lease an
Administrative Plan: LEASING POLICIES & HAP CONTRACT 12-4 otherwise acceptable dwelling unit with more bedrooms than the number of bedrooms stated on the voucher issued to the family. See the chapter on SUBSIDY STANDARDS for a full discussion of voucher size requirements.
12.10 RENT REASONABLENESS
In order to be eligible, the dwelling unit must have a reasonable rent. The rent must be reasonable in relation to comparable unassisted units in the area and must not be in excess of rents charged by the owner for comparable, unassisted units on the premises. See HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS for a full discussion of rent reasonableness policies.
12.11 RENT BURDEN
Where a family is initially leasing a unit and the gross rent of the unit exceeds the applicable payment standard for the family, the dwelling unit rent must be at a level where the family’s share of rent does not exceed 40 percent of the family’s monthly adjusted income.
12.12 LEASE AND TENANCY ADDENDUM
The family and the owner must execute and enter into a written dwelling lease for the assisted unit. This written lease is a contract between the tenant family and the owner; HHA is not a party to this contract.
The tenant must have legal capacity to enter a lease under State and local law. “Legal capacity” means that the tenant is bound by the terms of the lease and may enforce the terms of the lease against the owner. HHA does not provide a model or standard dwelling lease for owners to use in the HCVP.
If the owner uses a standard lease form for rental to unassisted tenants in the locality or the premises, the lease must be in such standard form. If the owner does not use a standard lease form for rental to unassisted tenants, the owner may use another form of lease. The HAP contract prescribed by HUD contains the owner's certification that if the owner uses a standard lease form for rental to unassisted tenants, the lease is in such standard form.
All provisions in the HUD-required Tenancy Addendum must also be added word-for-word to the owner's standard lease form, for use with the assisted family. The Tenancy Addendum includes the tenancy requirements for the program and the composition of the household as approved by HHA. As a part of the lease, the tenant shall have the right to enforce the Tenancy Addendum against the owner and the terms of the Tenancy Addendum shall prevail over any other provisions of the lease.
The assisted dwelling lease must contain all of the required information as listed below:
• The names of the owner and the tenant;
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• The unit rented (address, apartment number, and any other information needed to identify the contract unit);
• The term of the lease (initial term and any provisions for renewal);
• The amount of the monthly rent to owner; and
• A specification of what utilities and appliances are to be supplied by the owner, and what utilities and appliances are to be supplied by the family.
12.13 TERM OF ASSISTED TENANCY
The initial term of the assisted dwelling lease must be for at least one year; HHA will not approve an initial lease term of less than one (1) year. The initial lease term is also stated in the HAP contract.
HHA may approve a shorter initial lease term if such shorter term would improve housing opportunities for the tenant and such shorter term is the prevailing local market practice
Any provisions for renewal of the dwelling lease will be stated in the lease. There are no HUD requirements regarding any renewal extension terms, except that they must be in the dwelling lease if they exist.
HHA may execute the HAP contract even if there is less than one year remaining from the beginning of the initial lease term to the end of the last expiring funding increment under the consolidated ACC.
12.14 SECURITY DEPOSIT
HHA will allow the owner to collect any security deposit amount the owner determines is appropriate and is not in excess of amounts charged by the owner to unassisted tenants. Further, the security deposit collected must be in accordance with local and state laws. Therefore, no modifications to the HAP contract will be necessary.
When the tenant moves out of the dwelling unit, the owner, subject to State and local law, may use the security deposit, including interest on the deposit, in accordance with the lease, as reimbursement for any unpaid rent payable by the tenant, damages to the unit or for other amounts the tenant owes under the lease.
The owner must give the family a written list of all items charged against the security deposit and the amount of each item. After deducting the amount, if any, used to reimburse the owner, the owner must refund the full amount of the unused balance to the tenant.
12.15 SEPARATE NON-LEASE AGREEMENTS BETWEEN OWNER AND TENANT
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Owners may not demand or accept any rent payment from the family in excess of the rent to the owner minus HHA’s housing assistance payments to the owner.
The owner may not charge the tenant extra amounts for items customarily included in rent in the locality, or provided at no additional cost to unsubsidized tenants in the premises.
HHA permits owners and families to execute separate, non-lease agreements for services, appliances [other than range and refrigerator] and other items that are not included in the lease.
Any items, appliances, or other services that are customarily provided to unassisted families as part of the dwelling lease with those families, or are permanently installed in the dwelling unit must be included in the dwelling lease for the assisted family. These items, appliances or services cannot be placed under a separate non-lease agreement between the owner and family. Side payments for additional rent, or for items, appliances or services customarily provided to unassisted families as part of the dwelling lease for those families, are prohibited.
Any items, appliances, or other services that are not customarily provided to unassisted families as part of the dwelling lease with those families, are not permanently installed in the dwelling unit and where the family has the sole option of not utilizing the item, appliance or service, may be included in a separate non-lease agreement between the owner and the family.
The family is not liable and cannot be held responsible under the terms of the assisted dwelling lease for any charges pursuant to a separate non-lease agreement between the owner and the family. Non-payment of any charges pursuant to a separate non-lease agreement between the owner and the family cannot be a cause for eviction or termination of tenancy under the terms of the assisted dwelling lease.
Separate non-lease agreements that involve additional items, appliances or other services may be considered amenities offered by the owner and may be taken into consideration when determining the reasonableness of the rent for the property.
12.15.1 HHA REVIEW OF LEASE
HHA will review the dwelling lease for compliance with all program requirements; however HHA will not review the owner’s lease for compliance with state/local law.
If the dwelling lease is incomplete or incorrect, HHA will notify the family and the owner of the deficiencies. Missing and corrected lease information will only be accepted as hard copies, in- person, by mail, or by fax. HHA will not accept missing and corrected information over the phone.
12.16 TENANCY APPROVAL
After receiving the family's Request for Tenancy Approval, with proposed dwelling lease, the unit passing inspection and the rent being approved by HHA, HHA will notify the family and owner as to whether the assisted tenancy is approved.
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Prior to approving the assisted tenancy and execution of a HAP contract, HHA will ensure that all required actions and determinations are completed, including ensuring that:
• The unit is eligible;
• The unit has been inspected by HHA and meets the Housing Quality Standards (HQS);
• The lease offered by the owner is approvable and includes the required Tenancy Addendum;
• The rent to be charged by the owner for the unit must is reasonable;
• Where the family is initially leasing a unit and the gross rent of the unit exceeds the applicable payment standard for the family, the share of rent to be paid by the family does not exceed 40 percent of the family’s monthly adjusted income;
• The owner is an eligible owner, not disapproved by HHA, with no conflicts of interest; and
• The family and the owner have executed the lease, including the Tenancy Addendum, and the lead-based paint disclosure information.
If the terms of the RFTA/proposed lease are changed for any reason, including but not limited to negotiation with HHA, HHA will obtain corrected copies of the RFTA and proposed lease, signed by the family and the owner.
Corrections to the RFTA/proposed lease will only be accepted as hard copies, in-person, by mail, or by fax. HHA will not accept corrections over the phone.
12.17 DISAPPROVAL OF ASSISTED TENANCY
If HHA determines that the tenancy cannot be approved for any reason, the owner and the family will be notified and given the opportunity to address any reasons for disapproval. HHA will instruct the owner and family of the steps that are necessary to approve the tenancy.
Where the tenancy is not approvable because the unit is not approvable, the family must continue to search for eligible housing within the timeframe of the issued voucher.
If the tenancy is not approvable due to rent affordability (including rent burden and rent reasonableness), HHA will attempt to negotiate the rent with the owner. If a new, approvable rent is negotiated, the tenancy will be approved. If the owner is not willing to negotiate an approvable rent, the family must continue to search for eligible housing within the timeframe of the issued voucher.
12.18 LEASE EXECUTION
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The owner and tenant will execute the lease, including the HUD prescribed tenancy addendum and the lead based paint disclosure information. The owner must provide a copy of the executed lease to HHA and the assisted family.
The tenant must have legal capacity to enter a lease under the State and local law and both the tenant and owner must enter into and sign a written lease for the unit,
12.19 CHANGES IN THE LEASE OR RENT
If the tenant and the owner agree to any changes in the lease, such changes must be in writing, and the owner must immediately give HHA a copy of such changes. The lease, including any changes, must remain in accordance with the requirements of this chapter.
Generally, HHA approval of tenancy and execution of a new HAP contract are not required for changes in the lease. However, under certain circumstances, voucher assistance in the unit shall not be continued unless HHA has approved a new tenancy in accordance with program requirements and has executed a new HAP contract with the owner. These circumstances include:
• Changes in lease requirements governing tenant or owner responsibilities for utilities or appliances;
• Changes in lease provisions governing the term of the lease; and
• The family moves to a new unit, even if the unit is in the same building or complex.
In these cases, if the HCV assistance is to continue, the family must submit a new Request for Tenancy Approval (RFTA) along with a new lease containing the modified terms. A new tenancy must then be approved in accordance with this chapter.
See policies on CHANGES IN CONTRACT RENT TO THE OWNER for information on changes to the contract rent.
12.20 LEASE TERMINATION
The lease may be terminated by any of the following actions:
• The owner and/or tenant terminate the lease;
• HHA terminates the HAP contract; or
• HHA terminates assistance for the family.
12.21 HAP CONTRACT
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The HAP contract represents a written agreement between HHA and the owner of the dwelling unit occupied by a HCV-assisted family. The contract spells out the owner’s responsibilities under the program, as well as HHA’s obligations. Under the HAP contract, HHA agrees to make housing assistance payments to the owner on behalf of a specific family occupying a specific unit and obliges the owner to comply with all program requirements.
The HAP contract is used for all HCVP tenancies except for assistance under the Section 8 Homeownership Program and assistance to families that own a manufactured home and lease the space.
The term of the HAP contract runs concurrently with the term of the dwelling lease, beginning on the first day of the initial term of the lease and terminating on the last day of the term of the lease, including any lease term extensions.
12.22 HAP CONTRACT EXECUTION
If HHA has given approval for the family of the assisted tenancy, HHA will execute a HAP contract with the owner. HHA will not execute the HAP contract until the owner has submitted IRS form W-9. HHA will ensure that the owner receives a copy of the executed HAP contract.
The term of the HAP contract must be the same as the term of the lease. HHA is permitted to execute a HAP contract even if the funding currently available does not extend for the full term of the HAP contract.
HHA must make a best effort to ensure that the HAP contract is executed before the beginning of the lease term. Regardless, the HAP contract must be executed no later than 60 calendar days from the beginning of the lease term.
12.23 HAP CONTRACT PAYMENTS
During the term of the HAP contract, and subject to the provisions of the HAP contract, HHA will monthly HAP payments to the owner on behalf of the family, at the beginning of each month. If a lease term begins after the first of the month, the HAP payment for the first month is prorated for a partial month.
HHA will not pay any housing assistance payment to the owner until the HAP contract has been executed. If the HAP contract is executed during the period of 60 calendar days from the beginning of the lease term, HHA will pay housing assistance payments after execution of the HAP contract (in accordance with the terms of the HAP contract), to cover the portion of the lease term before execution of the HAP contract (a maximum of 60 days).
Any HAP contract executed after the 60 day period is void, and HHA may not pay any housing assistance payment to the owner.
Administrative Plan: LEASING POLICIES & HAP CONTRACT 12-10
The amount of the HAP payment is determined according to the policies described in this Plan and is subject to change during the term of the HAP contract. HHA must notify the owner and the family in writing of any changes in the HAP payment.
• HAP payments can be made only during the lease term, and only while the family is residing in the unit.
• The monthly HAP payment by HHA is credited toward the monthly rent to owner under the family’s lease. The total of the rent paid by the tenant, plus HHA HAP payment, should be equal to the rent specified in the lease (the rent to owner).
• The family is not responsible for payment of the HAP payment and HHA is not responsible for payment of the family share of rent.
• The family’s share of the rent cannot be more than the difference between the total rent to the owner and the HAP payment. The owner may not demand or accept any rent payment from the tenant in excess of this maximum.
• The owner may not charge the tenant extra amounts for items customarily included in rent in the locality, or provided at no additional cost to unsubsidized tenants in the premises.
• If the owner receives any excess HAP from HHA, the excess amount must be returned immediately. If HHA determines that the owner is not entitled to all or a portion of the HAP, HHA may deduct the amount of overpayment from any amounts due to the owner, including amounts due under any other Section 8 HCV contract.
• When the family moves from an assisted unit into a new unit, the term of the HAP contract for the new unit may begin in the same month in which the family moves out of its old unit. This is not considered a duplicative subsidy.
• Unless the owner complies with all provisions of the HAP contract, the owner is not entitled to receive housing assistance payments under the HAP contract.
By endorsing the monthly check from HHA, the owner certifies to compliance with the terms of the HAP contract. This includes certification that the owner is maintaining the unit and premises in accordance with HQS; that the contract unit is leased to the tenant family and, to the best of the owner’s knowledge, the family resides in the unit as the family’s only residence; the rent to owner does not exceed rents charged by the owner for comparable unassisted units on the premises; and that the owner does not receive (other than rent to owner) any additional payments or other consideration for rent of the contract unit during the HAP term.
12.24 LATE HAP PAYMENTS [24 CFR 982.451[A][5]]
HHA is responsible for making HAP payments promptly when due to the owner, in accordance with the terms of the HAP contract. After the first two calendar months of the HAP contract term, the HAP contract provides for penalties if HHA fails to make the HAP payment on time.
Administrative Plan: LEASING POLICIES & HAP CONTRACT 12-11
HHA shall pay the owner penalties if:
• Such penalties are in accordance with generally accepted local rental market practices and law, as applicable in the local housing market governing penalties for late payment by tenants;
• It is the owner’s normal business practice to charge late payment penalties for both assisted and unassisted families; and
• The owner also charges the assisted family for late payment of the family’s share of the rent.
HHA is not required to pay a late payment penalty if HUD determines that the payment is late for reasons beyond HHA’s control. In addition, late payment penalties are not required if HHA intentionally delays or denies payment as a remedy to an owner breach of the HAP contract
12.25 TERMINATION OF THE HAP CONTRACT
HHA may elect to terminate the HAP contract in each of the following situations:
• Available program funding is not sufficient to support continued assistance for families in the program; • The unit does not meet HQS size requirements due to a change in family composition;
• The unit does not meet HQS;
• The family breaks up;
• The owner breaches the HAP contract.
• The owner or the family terminates the lease;
• The lease expires;
• HHA terminates assistance for the family;
• The family moves from the assisted unit;
• 180 calendar days have elapsed since HHA made the last housing assistance payment to the owner;
• The family is absent from the unit for longer than the maximum period permitted by HHA;
• The Annual Contributions Contract (ACC) between HHA and HUD expires.
Administrative Plan: LEASING POLICIES & HAP CONTRACT 12-12
If HHA terminates the HAP contract, HHA will give the owner and the family written notice. The notice will specify the reasons for the termination and the effective date of the termination. Once a HAP contract is terminated, no further HAP payments may be made under that contract.
If the family moves from the assisted unit into a new unit, even if the new unit is in the same building or complex as the assisted unit, the HAP contract for the assisted unit terminates. A new HAP contract would be required.
HAP Termination & HAP Payments In all cases, the HAP contract terminates at the end of the calendar month that follows the calendar month in which HHA gives written notice to the owner. The owner is not entitled to any housing assistance payment after this period, and must return to HHA any housing assistance payment received after this period.
HHA must continue making housing assistance payments to the owner in accordance with the HAP contract as long as the tenant continues to occupy the unit and the HAP contract is not violated.
If the owner has commenced the process to evict the tenant and the family continues to reside in the unit, HHA must continue to make Housing Assistance Payments to the owner in accordance with the Housing Assistance Payment Contract until the owner has obtained a court judgment or other process allowing the owner to evict the tenant. HHA may continue such payments until the family moves from, or is evicted from the unit, whichever is earlier. The owner must inform HHA when the owner has obtained a court judgment or other process allowing the owner to evict the tenant, and provide HHA with a copy of such judgment or determination. The owner must inform HHA of the date when the family actually moves from the unit or the family is physically evicted from the unit
If a participant family moves from an assisted unit with continued tenant-based assistance, the term of the assisted lease for the new assisted unit may begin during the month the family moves out of the first assisted unit. Overlap of the last housing assistance payment [for the month when the family moves out of the old unit] and the first assistance payment for the new unit, is not considered to constitute a duplicative housing subsidy.
12.26 BREACH OF HAP CONTRACT
Any of the following actions by the owner constitutes a breach of the HAP contract:
• The owner violates any obligations under the HAP contract including failure to maintain the unit in accordance with HQS;
• The owner violates any obligation under any other HAP contract under Section 8 of the U.S. Housing Act of 1937;
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• The owner commits fraud, bribery or any other corrupt or criminal act in connection with any federal housing program;
• For projects with mortgages insured by HUD or loans made by HUD, if the owner has failed to comply with the regulations for the applicable program; or if the owner commits fraud, bribery or any other corrupt or criminal act in connection with the mortgage or loan;
• The owner engages in drug-related criminal activity; or
• The owner commits any violent criminal activity.
If HHA determines that a breach of the HAP contract has occurred, it may exercise any of its rights and remedies under the HAP contract.
HHA rights and remedies against the owner under the HAP contract include:
• Recovery of any HAP overpayment;
• Suspension of housing assistance payments;
• Abatement of the housing assistance payments;
• Reduction of housing assistance payments;
• Termination of the payment; or
• Termination the HAP contract.
HHA may also obtain additional relief by judicial order or action.
HHA will notify the owner of its determination and provide in writing the reasons for the determination. The notice may require the owner to take corrective action by an established deadline. HHA will provide the owner with written notice of any reduction in housing assistance payments or the termination of the HAP contract.
Before HHA invokes a remedy against an owner, HHA will evaluate all information and documents available to determine if the contract has been breached. If relevant, HHA will conduct an audit of the owner’s records pertaining to the tenancy or unit. If it is determined that the owner has breached the contract, HHA will consider all of the relevant factors including the seriousness of the breach, the effect on the family, the owner’s record of compliance and the number and seriousness of any prior HAP contract violations.
12.27 INSUFFICIENT FUNDING
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HHA may terminate a family’s HAP contract if HHA determines that HCV funding under the consolidated ACC is insufficient to support continued assistance for families in the program. (24 CFR 982.454)
In the event that HHA’s Annual HAP Budget Authority is insufficient to support the number of families currently under contract in the Section 8 program, HHA will analyze data to determine the number of Section 8 contracts that must be terminated due to the lack of sufficient funding. HHA will employ the following guidelines when terminating assistance due to insufficient funding. Vouchers with special purpose funding will receive special attention in accordance with PIH 2012-09 and are addressed specifically within this policy.
HHA will notify the HUD field office and its financial analyst at the Financial Management Center (FMC) prior to issuing notices of termination actions due to insufficient funding. The notice will be in writing and must include all measures taken to date to reduce or eliminate the shortfall and the number and date(s) of proposed termination.
HHA will determine whether there is adequate funding to issue vouchers, approve moves to higher cost units and areas, and continue subsidizing all current participants by comparing the HHA’s annual budget authority to the annual total HAP needs on a monthly basis. The total HAP needs for the calendar year will be projected by establishing the actual HAP costs year to date. To that figure, the HHA will add anticipated HAP expenditures for the remainder of the calendar year. Projected HAP expenditures will be calculated by multiplying the projected number of units leased per remaining months by the most current month’s average HAP. The projected number of units leased per month will take into account the average monthly turnover of participant families. If the total annual HAP needs equal or exceed the annual budget authority, or if HHA cannot support the cost of the proposed subsidy commitment (voucher issuance or move) based on the funding analysis, HHA will be considered to have insufficient funding.
12.27.1 TERMINATION OF CONTRACTS FUNDED FOR SPECIAL PURPOSE VOUCHERS
To the extent that HHA experiences a shortfall, HUD VASH, NED and FUP families that comprise the required number of families served will be the last to be terminated. In the event that termination becomes necessary in accordance with the procedures outlined within this Administrative Plan and HUD VASH, NED or FUP families require termination, the termination would occur in the order outlined for the generic non special purpose vouchers (based upon lease date with exemptions for elderly and disabled). Further resumption of assistance for these families would be set forth in the manner set forth in this Administrative Plan. (Placed upon resumption waiting list for the SPV program based upon order of termination) Again, as required under PIH 2012-09, vouchers would be re-issued first to HUD VASH, NED of FUP families that comprise the required number to be served.
Administrative Plan: LEASING POLICIES & HAP CONTRACT 12-15
CHAPTER 13: OWNERS
13.1 INTRODUCTION
Owners play a central role in the HCVP by supplying decent, safe, and sanitary housing for participating families.
The term “owner” refers to any person or entity with the legal right to lease or sublease a unit to a participant in the HCVP. The term “owner” includes a principal or other interested party such as a designated agent of the owner.
Owners have numerous responsibilities under the program, including screening and leasing to families, maintaining the dwelling unit, enforcing the lease, and complying with various contractual obligations.
HHA is responsible for ensuring that owners are qualified to operate units assisted under HHA’s housing programs. Qualified includes but is not limited to the owner’s current and past history of renting units. Past and current history may include obligations under HAP contracts, commission of fraud, bribery or other criminal activity or if the owner has a history or practice of failure to terminate tenancy of participants for activity engaged in by the participant, any member of the household, guest or another person under the control of any member of the household that threatens the healthy, safety or peaceful enjoyment of other residents or by persons residing in the immediate vicinity of the premises.
13.2 OWNER RECRUITMENT AND RETENTION
HHA is responsible for ensuring that very low income families have access to all types and ranges of affordable housing in HHA’s jurisdiction, particularly housing outside areas of poverty or minority concentration. A critical element in fulfilling this responsibility is for HHA to ensure that a sufficient number of owners, representing all types and ranges of affordable housing in HHA’s jurisdiction, are willing to participate in the HCVP. To accomplish this objective, HHA must identify and recruit new owners to participate in the program.
HHA will conduct owner outreach to ensure that owners are familiar with the program and its advantages. HHA will actively recruit property owners with property located outside areas of poverty and minority concentration. These outreach strategies will include:
• Distributing printed material about the program to property owners and managers;
• Contacting property owners and managers by phone or in-person;
• Holding owner recruitment/information meetings at least once a year;
• Participating in community based organizations comprised of private property and apartment owners and managers; and
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• Developing working relationships with owners and real estate brokers associations.
In addition to recruiting owners to participate in the HCVP, HHA will also provide the kind of customer service that will encourage participating owners to remain active in the program.
HHA activities that may affect an owner’s ability to lease a unit will be processed as rapidly as possible, in order to minimize vacancy losses for owners.
HHA will provide owners with information that explains the program, including HUD and HHA policies and procedures, in easy-to-understand language.
HHA will give attention to helping new owners succeed through activities such as:
• Providing the owner with a designated HHA contact person;
• Coordinating inspection and leasing activities between HHA, the owner, and the family;
• Initiating telephone contact with the owner to explain the inspection process, and providing an inspection booklet and other resource materials about HUD housing quality standards;
• Providing other written information about how the program operates; and
• Additional services may be undertaken on an as-needed basis, and as resources permit.
Owners who have not previously participated in the HCVP must attend a meeting with HHA in which the terms of the Tenancy Addendum and the HAP contract will be explained. HHA may waive this requirement on a case-by-case basis, if it determines that the owner is sufficiently familiar with the requirements and responsibilities under the HCVP.
13.3 BASIC OWNER RESPONSIBILITIES
The basic owner responsibilities in the HCVP according to HUD regulations are as follows:
• Perform all of the owner's obligations under the Housing Assistance Payments (HAP) contract and the lease;
• Perform all management and rental functions for the assisted unit, including selecting a voucher-holder to lease the unit, and deciding if the family is suitable for tenancy of the unit;
• Maintain the unit in accordance with the Housing Quality Standards (HQS), including performance of ordinary and extraordinary maintenance;
• Comply with equal opportunity requirements;
• Prepare and furnish to HHA information required under the HAP contract;
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• Collect from the family any security deposit, the tenant’s contribution to rent (that part of rent to owner not covered by the housing assistance payment from HHA), and any charges for unit damage by the family;
• Enforce tenant obligations under the dwelling lease;
• Pay for utilities and services (unless paid by the family under the lease);
• Make modifications to a dwelling unit occupied or to be occupied by a disabled person; and
• Comply with the Violence Against Women Reauthorization Act of 2013 (VAWA) when screening and terminating tenants.
13.4 OWNER QUALIFICATIONS
HHA does not formally approve an owner to participate in the HCVP. However, there are a number of criteria where HHA may deny approval of an assisted tenancy based on past owner behavior, conflict of interest, or other owner-related issues. No owner has a right to participate in the HCVP.
In addition to complying with all HUD requirements for participation in the HCV program, HHA requires owners to provide:
• A verified Employer Identification Number or verified Social Security Number;
• A document which verifies legal ownership of the unit;
• A current government issued photo identification; and
• A property management agreement if a property management company, agent or representative is used to oversee the property;
13.4.1 LEGAL OWNERSHIP OF UNIT
HHA will only enter into a contractual relationship with the legal owner or contracted agent/representative of a qualified unit. No tenancy will be approved without acceptable documentation of legal ownership (e.g., deed of trust, proof of taxes for most recent year).
13.5 OWNERS BARRED FROM PARTICIPATION
HHA will not approve the assisted tenancy if HHA has been informed that the owner has been debarred, suspended, or subject to a limited denial of participation under 24 CFR part 24. HUD may direct HHA not to approve a tenancy request if a court or administrative agency has determined that the owner violated the Fair Housing Act or other federal equal opportunity requirements, or if such an action is pending.
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13.6 LEASING TO RELATIVES [24 CFR 982.306[d], HCV GB p. 11-2]
HHA will not approve an RFTA if the owner is the spouse, parent, child, grandparent, grandchild, sister, or brother of any member of the family. HHA may make an exception as a reasonable accommodation for a family member with a disability. The owner is required to certify that no such relationship exists. This restriction does not apply to the Section 8 Homeownership Program and only applies at the time that the family receives assistance under the HCVP for occupancy of a particular unit. Current contracts on behalf of owners and families that are related may continue, but any new leases or contracts for these families may not be approved. HHA may request certification that the owner is not the spouse, parent, child, grandparent, grandchild, sister, or brother of any member of the voucher holder’s family.
13.7 CONFLICT OF INTEREST [24 CFR 982.161; HCV GB p. 8-19]
HHA will not approve a tenancy in which any of the following classes of persons has any interest, direct or indirect, during tenure or for one year thereafter:
• Any present or former member or officer of HHA (except a participant commissioner);
• Any employee of HHA, or any contractor, subcontractor or agent of HHA, who formulates policy or who influences decisions with respect to the programs;
• Any public official, member of a governing body, or state or local legislator, who exercises functions or responsibilities with respect to the programs; or
• Any member of the Congress of the United States.
HUD may waive the conflict of interest requirements, except for members of Congress, for good cause. HHA must submit a waiver request to the appropriate HUD Field Office for determination.
Where HHA has requested a conflict of interest waiver, HHA may not execute the HAP contract until HUD has made a decision on the waiver request.
In considering whether to request a conflict of interest waiver from HUD, HHA will consider factors, such as the reasons for waiving the requirement; consistency with state and local laws; the existence of alternative housing available to families; the individual circumstances of a particular family; the specific duties of individuals whose positions present a possible conflict of interest; the nature of any financial investment in the property and plans for disclosure/divestiture; and the possible appearance of impropriety.
13.8 OWNER ACTIONS THAT MAY RESULT IN DISAPPROVAL OF A TENANCY REQUEST
HUD regulations permit HHA, at HHA’s discretion, to refuse to approve a request for tenancy if the owner has committed any of a number of different actions.
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If HHA disapproves a request for tenancy because an owner is not qualified, it may not terminate the HAP contract for any assisted families that are already living in the owner’s properties unless the owner has violated the HAP contract for those units.
HHA will refuse to approve a request for tenancy if HHA becomes aware that any of the following are true:
• The owner has violated obligations under a HAP contract under Section 8 of the 1937 Act;
• The owner has committed fraud, bribery or any other corrupt or criminal act in connection with any federal housing program;
• The owner has engaged in any drug-related criminal activity or any violent criminal activity;
• The owner has a history or practice of non-compliance with HQS for units leased under the tenant-based programs, or with applicable housing standards for units leased with project- based Section 8 assistance or leased under any other federal housing program;
• The owner has a history or practice of failing to terminate tenancy of tenants of units assisted under Section 8 or any other federally assisted housing program for activity engaged in by the tenant, any member of the household, a guest or another person under the control of any member of the household that: (i) Threatens the right to peaceful enjoyment of the premises by other residents; (ii) Threatens the health or safety of other residents, of employees of HHA, or of owner employees or other persons engaged in management of the housing; (iii) Threatens the health or safety of, or the right to peaceful enjoyment of their residences, by persons residing in the immediate vicinity of the premises; or (iv) Is drug-related criminal activity or violent criminal activity;
• The owner has a history or practice of renting units that fail to meet state or local housing codes; or
• The owner has not paid state or local real estate taxes, fines, or assessment
In considering whether to disapprove a request for tenancy for any of the discretionary reasons listed above, HHA will consider any mitigating factors. Such factors may include, but are not limited to, the seriousness of the violation in relation to program requirements, the impact on the ability of families to lease units under the program, health and safety of participating families, among others. Upon consideration of such circumstances, HHA may, on a case-by-case basis, choose to approve a tenancy.
13.9 NON-DISCRIMINATION
The owner must not discriminate against any person because of race, color, religion, sex, national origin, age, familial status, or disability, in connection with any actions or responsibilities under the HCVP and the HAP contract with HHA.
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The owner must cooperate with HHA and with HUD in conducting any equal opportunity compliance reviews and complaint investigations in connection with the HCVP and the HAP contract with HHA.
13.10 CHANGE IN OWNERSHIP / ASSIGNMENT OF THE HAP CONTRACT
The HAP contract cannot be assigned to a new owner without the prior written consent of HHA.
An owner under a HAP contract must notify HHA in writing prior to a change in the legal ownership of the unit. The owner must supply all information as requested by HHA.
HHA must receive a signed, written request from the existing owner stating the name and address of the new HAP payee and the effective date of the assignment in order to change the HAP payee under an outstanding HAP contract.
Prior to approval of assignment to a new owner, the new owner must agree to be bound by and comply with the HAP contract. The agreement between the new owner and the former owner must be in writing and in a form that HHA finds acceptable. The new owner must provide HHA with a copy of the executed agreement.
The assignment will be approved only if the new owner is qualified to become an owner under the HCVP according to the policies in this chapter. HHA will evaluate the request and inform the current owner in writing whether the change is approved by HHA.
HHA will inform the current owner in writing whether the assignment may take place
The new owner must provide a written certification to HHA that includes:
• A copy of the escrow statement or other document showing the transfer of title and recorded deed;
• A copy of the owner’s IRS Form W-9, Request for Taxpayer Identification Number and Certification, or the social security number of the new owner;
• The effective date of the HAP contract assignment;
• A written agreement to comply with the terms of the HAP contract; and
• Confirmation that the new owner is not a prohibited relative.
If the new owner does not agree to an assignment of the HAP contract, or fails to provide the necessary documents, HHA will terminate the HAP contract with the old owner. If the new owner wants to offer the family a new lease, and the family elects to stay with continued assistance, HHA will process the leasing in accordance with the policies in the chapter on LEASING POLICIES & HAP CONTRACT.
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13.11 OWNER TERMINATION OF TENANCY
During the lease term an owner shall not terminate the tenancy of an assisted household except for specific reasons. See policies on TERMINATION OF TENANCY BY THE OWNER for specific policies on owner termination of tenancy.
13.12 BASIC HCVP REQUIREMENTS
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CHAPTER 14: PAYMENT STANDARDS AND UTILITY ALLOWANCES
14.1 SETTING PROGRAM STANDARDS AND SCHEDULES
This part discusses how HHA establishes and updates certain schedules and standards that are used to administer the program locally. Details about how these schedules are applied to individual families are provided in other chapters. The schedules and standards discussed here include:
• Payment Standards, which dictate the maximum subsidy a family can receive [application of the payment standards is discussed in Chapter 6]; and
• Utility Allowances, which specify how a family’s payment should be adjusted to account for tenant-paid utilities [application of utility allowances is discussed in Chapter 6].
Copies of the payment standard and utility allowance schedules are available for review in HHA’s offices during normal business hours. HHA will maintain documentation to support its review of payment standards and utility allowance schedules. This documentation will be retained for at least 3 years.
14.2 PAYMENT STANDARDS
The payment standard sets the maximum subsidy payment a family can receive from HHA each month [24 CFR 982.505[a]]. Payment standards are based on fair market rents [FMRs] published annually by HUD. HHA has established a payment standard schedule with payment standard amounts for each unit size.
14.3 UPDATING PAYMENT STANDARDS
HHA must establish a payment standard schedule that establishes payment standard amounts for each FMR area within HHA’s jurisdiction, and for each unit size within each of the FMR areas. HHA updates its payment standards in concert with the updates in fair market rent (FMR) or at other times in order to ensure payment standards are consistent with market conditions. Unless HUD grants an exception, HHA is required to establish a payment standard within a “basic range” established by HUD – between 90 and 110 percent of the published FMR for each unit size.
Changes to payment standard amounts will be effective on December 1st of every year unless, based on the proposed FMRs, it appears that one or more of HHA’s current payment standard amounts will be outside the basic range when the final FMRs are published. In that case, HHA’s payment standards will be effective October 1st instead of December 1st.
If HHA has already processed reexaminations that will be effective on or after October 1st, and the effective date of the payment standards is October 1st, HHA will make retroactive adjustments to any such reexaminations if the new payment standard amount is higher than the one used by HHA at the time the reexamination was originally processed.
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14.4 APPLYING PAYMENT STANDARDS
HHA’s schedule of payment standards is used to calculate housing assistance payments for HCV households. The payment standard is the maximum monthly assistance payment for a household assisted in the voucher program.
The payment standard for a household is the lower of:
• The payment standard for the household unit size, which is defined as the appropriate number of bedrooms for the household under HHA’s subsidy standards; or
• The payment standard for the size of the dwelling unit rented by the household.
The payment standard for a Single Room Occupancy (SRO) unit is 75% of the zero bedroom payment standard.
The payment standard that applies to a household at initial lease up is the payment standard in effect on the lease effective date.
The payment standard that applies to a household when a scheduled recertification occurs is the payment standard in effect when all recertification documents have been received and the recertification information is entered into the computer system.
The payment standard that applies to a household when an interim recertification occurs is the payment standard in effect at the last regular recertification.
HHA will review the appropriateness of the payment standards on an annual basis when the new FMR is published.
14.5 CHANGES IN PAYMENT STANDARDS
When HHA revises its payment standards during the term of the HAP contract for a household’s unit, it will apply the new payment standards in accordance with applicable MTW policies and HUD regulations. See policies on APPLYING PAYMENT STANDARDS for guidance on applying payment standards at recertification.
14.6 REASONABLE ACCOMMODATION – PAYMENT STANDARDS
Unit-by-unit exceptions to HHA’s payment standards generally are not permitted. However, an exception may be made as a reasonable accommodation for a family that includes a person with disabilities, see REASONABLE ACCOMMODATION policies. This type of exception does not affect HHA’s payment standard schedule.
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When needed as a reasonable accommodation, HHA may make an exception to the payment standard without HUD approval if the exception amount does not exceed 120 percent of the applicable FMR for the unit size. A family that requires a reasonable accommodation may request a higher payment standard at the time the Request for Tenancy Approval [RFTA] is submitted. The family must document the need for the exception. In order to approve an exception, or request an exception from HUD, HHA must determine that:
• There is a shortage of affordable units that would be appropriate for the family;
• The family's TTP would otherwise exceed 40 percent of adjusted monthly income; and
• The rent for the unit is reasonable.
14.7 EXCEPTION PAYMENT STANDARDS
HHA must request HUD approval to establish payment standards that are higher than the basic range (90% to 110% of the FMR). At HUD’s sole discretion, HUD may approve a payment standard amount that is higher than the basic range for a designated part of the FMR area. HUD may approve an exception payment standard amount [in accordance with program requirements] for all units, or for all units of a given size, leased by program families in the exception area. The total population of all HUD-approved exception areas in an FMR area may not include more than 50 percent of the population of the FMR area.
14.8 "SUCCESS RATE" PAYMENT STANDARD AMOUNTS
If a substantial percentage of families have difficulty finding a suitable unit, HHA may request a “success rate payment standard” that applies to the entire jurisdiction. If approved by HUD, a success rate payment standard allows HHA to set its payment standards at 90-110 percent of a higher FMR [the 50th, rather than the 40th percentile FMR]. To support the request, HHA must provide required information to HUD to support the request for a success rate payment standard.
14.9 PAYMENT STANDARD BELOW THE BASIC RANGE
HHA must request HUD approval to establish a payment standard amount that is lower than the basic range. At HUD’s sole discretion, HUD may approve establishment of a payment standard lower than the basic range. HUD will not approve a lower payment standard if the family share for more than 40 percent of program participants exceeds 30 percent of adjusted monthly income.
14.10 UTILITY ALLOWANCES
A Utility Allowance (UA) is paid to households to help defray the cost of utilities not included in the rent. If utilities, or a portion of them, are not included in the rent or paid directly to the utility company on the household’s behalf after notice to the household, the appropriate utility allowances are subtracted from the Total Tenant Payment (TTP) to determine the actual Family
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Rent to Owner. The household is responsible for paying the cost of utilities directly to the service providers.
The UA includes electricity, gas, water, sewer and charges for other services such as garbage removal and is determined by the size of the unit, type of building and type of utility.
14.11 UTILITY ALLOWANCE SCHEDULES
The utility allowance schedule is determined based on the typical cost of utilities and services paid by energy-conservative households that occupy housing of similar size and type in the same locality. In developing the schedule, HHA used normal patterns of consumption for the community as a whole, and current utility rates.
A HHA-established utility allowance schedule is used in determining family share and HHA subsidy. The utility allowance for a household shall be the lower of: (1) The utility allowance amount for the authorized voucher size under HHA’s occupancy standards; or (2) the utility allowance amount for the unit size of the unit rented by the household.
Costs for telephone, cable/satellite television, and internet services are not included in the utility allowance schedule.
In the utility allowance schedule, HHA must classify utilities and other housing services according to the following general categories: space heating; air conditioning; cooking; water heating; water; sewer; trash collection; other electric; cost of tenant-supplied refrigerator; cost of tenant-supplied range; and other specified housing services.
The cost of each utility and housing service must be stated separately by unit size and type.
14.12 APPLYING UTILITY ALLOWANCES & SCHEDULES
The utility allowance schedule that applies to a household at initial lease up is the utility allowance schedule in effect on the lease effective date.
The utility allowance schedule that applies to a household when any certification transaction (i.e. interim or regular recertification) occurs is the utility allowance schedule in effect on the certification effective date.
14.13 UTILITY ALLOWANCE FOR SRO
The utility allowance for an assisted person residing in SRO housing is 75 percent of the zero bedroom utility allowance
14.14 AIR CONDITIONING
HHA has not included an allowance for air-conditioning in its schedule.
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Reasonable Accommodation HCVP regulations require a HHA to approve a utility allowance amount higher than shown on HHA’s schedule if a higher allowance is needed as a reasonable accommodation for a family member with a disability. For example, if a family member with a disability requires such an accommodation, HHA will approve an allowance for air-conditioning, even if HHA has determined that an allowance for air-conditioning generally is not needed, see REASONABLE ACCOMMODATION policies regarding the request and approval of reasonable accommodations utility allowances.
Utility Allowance Revisions HHA must review its schedule of utility allowances each year, and must revise the schedule if there has been a change of 10 percent or more in any utility rate since the last time the allowance for that utility was revised.
Revised utility allowance schedules will be applied to a household’s rent calculations at the next certification (regular or interim) after the allowance is adopted or at one time across all affected households. The approach taken will be at the discretion of HHA.
HHA must maintain information supporting its annual review of utility allowance and any revisions made in its utility allowance schedule.
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CHAPTER 15: CONTINUED OCCUPANCY
15.1 OVERVIEW
HHA is required to reexamine each family’s income and composition at least annually for non- MTW clients and biennially for MTW clients, and to adjust the family’s level of assistance accordingly. Interim reexaminations are also needed in certain situations. This chapter discusses both regular and interim reexaminations, and the recalculation of family share and subsidy that occurs as a result. Regular reexaminations refer to both biennial and annual reexaminations.
Policies governing reasonable accommodation, family privacy, required family cooperation, and program abuse, as described elsewhere in this plan, apply to both regular and interim reexaminations.
HHA is required to obtain information needed to conduct reexaminations. Households are required to provide current and accurate information on income, assets, allowances and deductions, and household composition as part of the reexamination process.
15.2 REQUIREMENTS FOR CONTINUED OCCUPANCY
Tenants who meet the following criteria will be eligible for continued occupancy:
• Qualify as a household as defined in this policy;
• Maintain full compliance with the family obligations and responsibilities as described in the dwelling lease;
• Meet HUD standards on citizenship or immigration status or pay a prorated rent;
• Supply true and complete information that HHA or HUD determines to be necessary to determine continued eligibility;
• Disclose and verify social security numbers and sign and submit consent forms for obtaining information or have certifications on file indicating that they are not eligible to receive a Social Security number;
• Use the assisted unit for residence by the family;
• Use the assisted unit as the family's only residence;
• Allow HHA to inspect the unit at reasonable times and after reasonable notice;
• Request HHA approval to add household members as occupants of the unit. HHA’s approval of such additions is subject to the household composition requirements;
• Pay utility bills and provide and maintain any appliances that the owner is not required to
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provide under the lease;
• Comply with lease requirements regarding notification to HHA and the owner before moving out of the unit or terminating the lease;
• Never sub-lease or sub-let the unit;
• Promptly give HHA a copy of any owner eviction notice;
• Never commit fraud, bribery or any other corrupt or criminal act in connection with the programs.
• Never engage in drug-related criminal activity or violent criminal activity or other criminal activity that threatens the health, safety or right to peaceful enjoyment of other residents and persons residing in the immediate vicinity of the premises;
• Not abuse alcohol in a way that threatens the health, safety or right to peaceful enjoyment of other residents and persons residing in the immediate vicinity of the premises;
• Not receive HCV assistance while receiving another housing subsidy, for the same or a different unit under any other federal, state or local housing assistance program;
• Not own or have any interest in the unit (other than in a cooperative and owners of a manufactured home leasing a manufactured home space); and
• Not receive HCV program assistance while residing in a unit owned by a spouse, parent, child, grandparent, grandchild, sister or brother of any member of the family, unless HHA has determined (and has notified the owner and the household of such determination) that approving rental of the unit, notwithstanding such relationship, would provide a reasonable accommodation for a household member who is a person with a disability.
15.3 REGULAR REEXAMINATIONS
Annual Cycle: Non-MTW Policy HHA must conduct a recertification of family income and composition at least annually. This includes gathering and verifying current information about household composition, income, and expenses. Based on this updated information, the household’s income and rent must be recalculated.
Households assisted under the programs outlined below will have reexaminations conducted annually.
• Mod-Rehab
• Mod-Rehab SRO
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• MRVP
• Mass Public Housing
• Enhanced vouchers
• RAD
• Port-Out vouchers
Biennial Cycle: MTW
HHA Policy – MTW Households assisted under HHA’s MTW program will have reexaminations conducted biennially. This includes gathering and verifying current information about household composition, income, and expenses. The biennial reexamination policy applies to families in the following programs:
• Tenant Based Vouchers
• Project Based Vouchers
If a household believes that they would benefit from an annual reexamination, the household may request annual reexaminations.
15.4 STREAMLINED INCOME DETERMINATION
For households where all family members have only fixed sources of income, HHA may elect to determine that household’s income by means of a streamlined income determination. A streamlined income determination is conducted by applying, for each fixed-income source, the verified cost of living adjustment (COLA) or current rate of interest to the previously verified or adjusted income amount.
Family member with a fixed source of income is defined as a family member whose income includes periodic payments at reasonably predictable levels from one or more of the following sources:
• Social Security, Supplemental Security Income (SSI), Supplemental Disability Insurance (SSDI); and/or
• Federal, state, local, or private pension plans.
HHA will use a COLA or current rate of interest specific to the fixed source of income in order to adjust the income amount. HHA will verify the appropriate COLA or current rate of interest from a public source or through tenant-provided, third party-generated documentation. If no
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such verification is available, then HHA will obtain third-party verification of income amounts in order to calculate the change in income for the source.
For any household whose income is determined pursuant to a streamlined income determination, HHA will obtain third-party verification of all income amounts every 3 years.
15.5 NOTIFICATION OF AND PARTICIPATION IN THE REGULAR RECERTIFICATION PROCESS
Families generally are required to participate in a regular reexamination interview, which must be attended by the head of household, spouse, or co-head. If participation in an in-person interview poses a hardship because of a family member’s disability, the family should contact HHA to request a reasonable accommodation (see REQUEST FOR AN ACCOMMODATION).
Notification of regular reexamination interviews will be sent by first-class mail and will contain the date, time, and location of the interview. In addition, it will inform the family of the information and documentation that must be brought to the interview.
If the family is unable to attend a scheduled interview, the family should contact HHA in advance of the interview to schedule a new appointment. If a family does not attend the scheduled interview, HHA will send a second notification with a new interview appointment time.
If a family fails to attend two scheduled interviews without HHA approval, or if the notice is returned by the post office with no forwarding address, a notice of termination (see TERMINATION NOTICE) will be sent to the family’s address of record, and to any alternate address provided in the family’s file.
An advocate, interpreter, or other assistant may assist the family in the interview process. The family and HHA must execute a certification attesting to the role and assistance of any such third party.
15.6 CONDUCTING REGULAR RECERTIFICATIONS
As part of the regular reexamination process, families are required to provide updated information to HHA regarding the family’s income, expenses, and composition.
Families will be asked to bring all required information (as described in the reexamination notice) to the reexamination appointment. The required information will include a HHA- designated reexamination form, an Authorization for the Release of Information/Privacy Act Notice, as well as supporting documentation related to the family’s income, expenses, and family composition.
The information provided by the family generally must be verified in accordance with the policies in this Plan. Unless the family reports a change, or the Agency has reason to believe a
Administrative Plan: CONTINUED OCCUPANCY 15-4 change has occurred in information previously reported by the family, certain types of information that are verified at admission typically do not need to be re-verified on an regular basis. These include:
• Legal identity
• Age
• Social security numbers
• A person’s disability status
• Citizenship or immigration status
If adding a new family member to the unit causes overcrowding according to the Housing Quality Standards (HQS), HHA must issue the family a new voucher, and the family and HHA must try to find an acceptable unit as soon as possible. If an acceptable unit is available for rental by the family, HHA must terminate the HAP contract in accordance with its terms.
15.7 REQUIRED INFORMATION
HHA is required to obtain information needed to conduct recertifications. Households are required to provide current and accurate information on income, assets, allowances and deductions and household composition as part of the recertification process. Any required documents or information that the family is unable to provide at the time of the interview must be provided within 5 business days of the interview.
If the family is unable to obtain the information or materials within the required time frame, the family may request an extension. If the family does not provide the required documents or information within the required time frame, plus any extensions, the family will be sent a notice of termination (see TERMINATION NOTICE).
15.8 SCHEDULING REGULAR REEXAMINATIONS
HHA begins the regular reexamination process 120 days in advance of the scheduled effective date. Generally, HHA will schedule regular reexamination effective dates to coincide with the family’s lease anniversary date. If the family moves to a new unit, HHA will perform a new regular reexamination. HHA also may schedule a regular reexamination for completion prior to the anniversary date for administrative purposes.
Anniversary date is defined as 12 or 24 months from the effective date of the family’s last regular reexamination or, during a family’s first year in the program, from the effective date of the family’s initial examination [admission].
15.9 STANDARD FOR TIMELY REPORTING OF CHANGES
Administrative Plan: CONTINUED OCCUPANCY 15-5
For households reporting changes in income, expenses, and compositions HHA requires that households report changes in the household’s income, expenses, and composition as described in this Administrative Plan to HHA within 30 calendar days from the date the change took effect. For example, if a resident loses his job on April 1st, timely reporting of the job loss will be 30 calendar days from April 1st. See the policies on effective dates of interim rent changes when reporting is or is not timely.
Any information, document or signature needed from the household to verify the change must also be provided within 30 calendar days from the date the change took effect, unless another time frame is specified in the specific policy.
If the change is not reported within the required time period, or if the household fails to provide signatures, certifications or documentation, in the time period required by HHA, it will be considered program non-compliance and may subject the household to termination from the program.
15.10 DETERMING ONGOING ELIGIBILITY OF CERTAIN STUDENTS
Students who reside with parents in an HCV assisted unit are not subject to this provision. It is limited to students who are receiving assistance on their own, separately from their parents.
If a student enrolled in an institution of higher education meets the qualifications outlined in the policies on STUDENTS ENROLLED IN INSTITUTIONS OF HIGHER EDUCATION, the student’s income eligibility is examined alone; however if the student does not meet the qualifications of the policies identified above, the students eligibility must be reexamined along with the income eligibility of the student’s parents at the time of regular recertification
If the student is no longer income eligible based on his/her own income or the income of his/her parents, the student’s assistance will be terminated.
15.11 HOUSEHOLD MEMBER TURNING 18 BETWEEN REEXAMINATION INTERVIEW AND REEXAMINATION EFFECTIVE DATE
Income & Deductions When a household member will turn 18 between the date of the reexamination interview and on or before the effective date of the reexamination, HHA will include the household member’s income in the calculation of annual income. For example, a household has a reexamination effective date of November 1st. One of the household members, at the reexamination interview on September 1st is still 17, but will turn 18 on September 30th. HHA will calculate the income of that household member as if he/she was an adult, since the household member will be 18 by the effective date of the reexamination. Deductions will also be applied as if the household member was an adult. For example, the household with a member who is 17 at the reexamination interview, but 18 on the reexamination effective date will NOT be given a dependent deduction for the household member who is turning 18 unless that household member is a full time student or disabled.
Administrative Plan: CONTINUED OCCUPANCY 15-6
Release Forms When a household member will turn 18 between the date of the interview, but on or before the effective date of the recertification, HHA will have a parent/legal guardian sign any consent/release forms on behalf of that household member in order to authorize HHA to obtain their income verification.
Criminal Background Check When a household member will turn 18 between the date of the interview, but on or before the effective date of the reexamination, HHA will have a parent/legal guardian sign the consent for criminal background check on behalf of that household member in order to authorize HHA’s criminal background check. HHA will conduct a criminal background check as part of the reexamination process.
Subsequent Recertifications and Background Checks After the reexamination effective date, if HHA wishes to complete verifications or background checks on a household member who was not 18 at the reexamination interview, but who subsequently turned 18, HHA will obtain that household member’s signature on any required release form before conducting any type of verification or background check. If no other verifications or background checks are completed between regularly scheduled reexamination, HHA will wait until the next regular reexamination to obtain the executed release forms from the household member who had turned 18 between the regularly scheduled reexamination.
15.12 EFFECTIVE DATES OF RENT CHANGES
As part of the recertification process, HHA must make appropriate adjustments in the rent after consultation with the household and upon verification of applicable information.
15.12.1 EFFECTIVE DATE OF RENT CHANGES AT REGULAR REEXAMINATION
Increases in Rent In general, an increase in the family share of the rent that results from a regular reexamination will take effect on the family’s anniversary date, and the family will be notified at least 30 days in advance.
• If less than 30 days remain before the scheduled effective date, the increase will take effect on the first of the month following the end of the 30-day notice period.
• If a family moves to a new unit, the increase will take effect on the effective date of the new lease and HAP contract, and no 30-day notice is required.
• If HHA chooses to schedule a regular reexamination for completion prior to the family’s anniversary date for administrative purposes, the effective date will be determined by HHA, but will always allow for the 30-day notice period.
Administrative Plan: CONTINUED OCCUPANCY 15-7
• If the family causes a delay in processing the regular reexamination, increases in the family share of the rent will be applied retroactively, to the scheduled effective date of the regular reexamination. The family will be responsible for any overpaid subsidy and may be offered a repayment agreement in accordance with the policies in this Plan (see DEBTS TO HHA) at the discretion of HHA. When a household causes a delay in processing the recertification, HHA will not provide the household with 30-day advance notice of the rent increase.
Decreases in Rent In general, a decrease in the family share of the rent that results from a regular reexamination will take effect on the family’s anniversary date.
• If a family moves to a new unit, the decrease will take effect on the effective date of the new lease and HAP contract.
• If HHA chooses to schedule a regular reexamination for completion prior to the family’s anniversary date for administrative purposes, the effective date will be determined by HHA.
• If the family causes a delay in processing the regular reexamination, decreases in the family share of the rent will be applied prospectively, from the first day of the month following completion of the reexamination processing.
Delays in Recertification Processing A delay in reexamination processing is defined as delays considered to be caused by the household if the household fails to provide information requested by HHA by the date specified and/or fails to attend scheduled recertification interviews without good cause, and these delays prevent HHA from completing the recertification as scheduled.
15.12.2 EFFECTIVE DATES FOR RENT CHANGES AT INTERIM REEXAMINATIONS
Increases in Rent An increase in family share of the rent at the time of an interim recertification will generally be effective on the first of the month following 30 days’ notice to the family.
If a family fails to report a required change within the required time frames, or fails to provide all required information within the required time frames, the increase will be applied retroactively to the date it would have been effective had the information been provided on a timely basis. The family will be responsible for any overpaid subsidy and may be offered a repayment agreement in accordance with the policies in this Plan (see DEBTS TO HHA) at the discretion of HHA.
Decreases in Rent A decrease in family share of the rent at the time of an interim recertification will be effective on the first day of the month following the month in which the change was reported and all required documentation was submitted. In cases where the change cannot be verified, through no fault of the tenant, until after the date the change would have become effective, the change will be made
Administrative Plan: CONTINUED OCCUPANCY 15-8 retroactively. If a household fails to report a decrease in income timely, HHA will NOT apply the decrease in rent retroactively.
15.13 NOTIFICATION OF NEW FAMILY SHARE AND HAP AMOUNT
HHA must notify the owner and family of any changes in the amount of the HAP payment and family share. The family must be given an opportunity for an informal hearing regarding HHA’s determination of their annual or adjusted income, and the use of such income to compute the housing assistance payment (see INFORMAL HEARINGS FOR PARTICIPANTS).
The notice will include the following information:
• The amount and effective date of the new HAP payment;
• The amount and effective date of the new family share of the rent;
• The amount and effective date of the new tenant rent to owner;
• The annual and adjusted income amounts that were used to calculate the family share of the rent and the housing assistance payment; and
• The procedures for requesting an informal hearing.
15.14 NOTICE TO INELIGIBLE HOUSEHOLDS
HHA will provide prompt written notice of a decision that the household has been determined to be ineligible for continued program participation. The written notice will contain a statement on the reason for the ineligible decision. The notice will include information related to requesting an informal hearing in the event that the tenant does not agree with the determination.
15.15 UNIT SIZE DETERMINATIONS
During regularly scheduled and interim reexaminations, the household composition will be evaluated to determine the voucher size appropriate to their needs, using HHA’s occupancy standards.
If a change in household size causes a violation of HQS space standards, HHA will issue the household a new voucher and the household must try to find an acceptable unit as soon as possible. See MOVING WITH CONTINUED ASSISTANCE for policies for moves related to a violation of HQS space standards.
If the household authorized voucher size increases or decreases during the HAP contract term, the new voucher size must be used to determine the payment standard amount for the household beginning at the household's first regular reexamination following the change in voucher size. What this means is that HHA will apply the payment standard for the smaller of the actual unit
Administrative Plan: CONTINUED OCCUPANCY 15-9 size or authorized voucher size at the household’s first regular reexamination following the change.
Example 1: A household has a 2 BR voucher and is occupying a 2 BR unit. Due to an interim reexamination to add a child to the household, the household is now eligible for a 3 BR voucher. The household decides to remain in their existing 2BR unit as they are not exceeding the maximum HQS space standards. HHA will increase the voucher size at the interim reexamination when adding the household member and will use the new voucher size to determine the payment standard at the first regular reexamination following the change. In the case of this household, the payment standard applied would be the smaller of the voucher size or actual unit size. Since the household stayed in the 2 BR unit, HHA would use the 2 BR payment standard.
Example 2: A household has a 2 BR voucher and is occupying a 3 BR unit. Due to an interim reexamination to add a child to the household, the household is now eligible for a 3 BR voucher. The household decides to remain in their existing 3 BR unit. HHA will increase the voucher size at the interim reexamination when adding the household member and will use the new voucher size to determine the payment standard at the first regular reexamination following the change. In the case of this household, the payment standard applied would be the smaller of the voucher size or actual unit size. Since the household lives in a 3 BR unit and they now have a 3 BR voucher, HHA would use the 3 BR payment standard at the first regular reexamination after the change in household composition. If the household had reported the change at their regular reexamination, HHA would apply the new voucher size and payment standard at that regular reexamination.
15.16 INTERIM REEXAMINATIONS
15.16.1 OVERVIEW Family circumstances may change throughout the period between regular reexaminations. HUD and HHA policies dictate what kinds of information about changes in family circumstances must be reported, and under what circumstances HHA must process interim reexaminations to reflect those changes. HUD regulations also permit HHA to conduct interim reexaminations of income or family composition at any time. An interim recertification does not affect the date of the regular recertification. When an interim reexamination is conducted, only those factors that have changed are verified and adjusted.
In addition to specifying what information the family must report, HUD regulations permit the family to request an interim determination if other aspects of the family’s income or composition changes. HHA must complete the interim reexamination within a reasonable time after the family’s request.
This chapter includes policies describing what changes families are required to report, what changes families may choose to report, and how HHA will process both HHA- and family- initiated interim reexaminations. HHA will require completion of a Form HUD 9886 at each interim reexamination.
Administrative Plan: CONTINUED OCCUPANCY 15-10
Interim reexaminations can be scheduled either because HHA has reason to believe that changes in income or expenses may have occurred, or because the family reports a change. When a family reports a change, HHA may take different actions depending on whether the family reported the change voluntarily, or because it was required to do so.
15.16.2 LIMITS ON INTERIM REEXAMINATION
Non-MTW Policy: At any time, HHA may conduct an interim reexamination of family income and composition. At any time, the family may request an interim determination of family income or composition because of any changes since the last determination. HHA will make the interim determination within a reasonable time after the family request.
MTW Policy Tenants may request no more than two (2) voluntary interim reexaminations between biennial reexaminations. Required interim reexaminations (i.e. for changes in family composition or otherwise required by HHA) do not count toward the limit on interim reexaminations.
Elderly/disabled are exempt from the limit on voluntary interim reexaminations.
Notwithstanding the limit on interim recertifications, HHA will process a voluntary interim rent reduction if and when the reduction in income is expected to last for more than 30 days.
Zero income households, households reporting only temporary or sporadic income and households on minimum rent are subject to annual or more frequent reexamination requirements.
Households participating in the Career Advancement Program may be subject to additional interim reporting requirements.
Required interim recertifications do not count toward the limit on voluntary interim recertifications.
HHA may approve an additional interim rent adjustment, beyond the limit, if the tenant adequately demonstrates to HHA that they have suffered a financial hardship that necessitates an additional interim rent adjustment.
15.17 OPTIONAL INTERIM REPORTING
The family may request an interim reexamination any time the family has experienced a change in circumstances since the last determination. HHA must process the request if the family reports a change that will result in a reduced family income. For MTW households, limits apply as noted in LIMITS ON INTERIM REEXAMINATION.
If a family reports a decrease in income from the loss of welfare benefits due to fraud or non- compliance with a welfare agency requirement to participate in an economic self-sufficiency
Administrative Plan: CONTINUED OCCUPANCY 15-11 program, the family’s share of the rent will not be reduced. For more information regarding the requirement to impute welfare income see IMPUTED WELFARE INCOME.
If a family reports a change that it was not required to report and that would result in an increase in the family share of the rent, HHA will note the information in the tenant file, but will not conduct an interim reexamination.
If a family reports a change that it was not required to report and that would result in a decrease in the family share of rent, HHA will conduct an interim reexamination. See EFFECTIVE DATES OF RENT CHANGES for effective dates.
15.18 REQUIRED INTERIM REPORTING
HHA determines the circumstances under which households will be required to report changes in circumstances between regular reexamination.
15.18.1 CHANGES IN FAMILY AND HOUSEHOLD COMPOSITION
Interim reexaminations for changes in household composition are required. The addition of a household member as a result of birth, adoption, or court-awarded custody does not require prior HHA approval. All other changes in household composition require prior approval from HHA.
Households must report all changes in household composition within 30 calendar days of the occurrence.
Household composition changes include increases in the number of dependents, addition of new household members, addition of a live-in aide, or loss of a household member (deceased or moved out). If an individual is added to the household between scheduled recertifications, only the new member’s income will be verified as part of the interim recertification. For the loss of a household member, HHA will remove the household member’s income/deductions/expenses as applicable, but will not verify or update the income of the other household members; however, HHA will reverify public assistance benefits at any interim recertification when a household currently receiving public assistance benefits adds or removes members from the household.
Changes in household composition may make it appropriate to downsize the voucher to comply with occupancy standards. See for applicable policies.
Requests to accommodate additional household members based on health-related reasons must be verified by a doctor/medical professional and/or social service professional.
New Family and Household Members Requiring Approval With the exception of children who join the family as a result of birth, adoption, or court- awarded custody, a family must request HHA approval to add a new family member or other household member (live-in aide or foster child). This includes any person not on the lease who is expected to stay in the unit for more than 30 consecutive days, or 90 cumulative days, within a twelve month period, and therefore no longer qualifies as a “guest,” (see policies on GUESTS).
Administrative Plan: CONTINUED OCCUPANCY 15-12
Requests must be made in writing and approved by HHA prior to the individual moving in the unit.
HHA will not approve the addition of a new family or household member unless the individual meets HHA’s eligibility criteria.
• HHA will not approve the addition of a foster child or foster adult if it will result in the need for a larger unit, according to HHA occupancy standards or a violation of HQS space standards.
If HHA determines an individual meets HHA’s eligibility criteria as defined in the chapter on ELIGIBILITY, HHA will provide written approval to the family. If the approval of a new family member or live-in aide will cause overcrowding according to HQS standards, the approval letter will explain that the family will be issued another voucher and will be required to move.
If HHA determines that an individual does not meet HHA’s eligibility criteria as defined in the chapter on ELIGIBILITY, HHA will notify the family in writing of its decision to deny approval of the new family or household member and the reasons for the denial.
HHA will make its determination within 10 business days of receiving all information required to verify the individual’s eligibility.
When any new family member is added, HHA must conduct a reexamination to determine any new income or deductions associated with the additional family member, and to make appropriate adjustments in the family share of the rent and the HAP payment.
If a change in family size causes a violation of Housing Quality Standards (HQS) space standards HHA must issue the family a new voucher, and the family and HHA must try to find an acceptable unit as soon as possible. If an acceptable unit is available for rental by the family, HHA must terminate the HAP contract in accordance with its terms.
Departure of a Family or Household Member If a household member ceases to reside in the unit, the family must inform HHA within 30 calendar days. This requirement also applies to a family member who has been considered temporarily absent at the point that the family concludes the individual is permanently absent.
If a live-in aide, foster child, or foster adult ceases to reside in the unit, the family must inform HHA within 10 business days.
15.18.2 CHANGES AFFECTING INCOME OR EXPENSES
Households reporting zero income, households reporting only temporary or sporadic income and households who are on minimum rent are required to report increases in income within 30 calendar days of the date the change takes effect. HHA will conduct interim reexaminations for these families when increases in income are reported.
Administrative Plan: CONTINUED OCCUPANCY 15-13
Except as required by HHA, households are not required to report increases in income between regular reexaminations. When a family reports an increase in income to HHA that it is not required to report, HHA will note the increase in income in the tenant file, but will not conduct an interim reexamination.
15.18.3 TEMPORARY AND SPORADIC INCOME
Households reporting only temporary or sporadic income are required to report increases in income between regular recertifications. Temporary and sporadic income is excluded from the calculation of annual income. Households/household members reporting only temporary or sporadic income will be subject to policies set forth in TEMPORARY AND SPORADIC INCOME. HHA will conduct an interim recertification when a household member with temporary or sporadic income reports income.
15.18.4 ZERO INCOME
Zero income households and zero income individuals are required to report monetary and/or non-monetary changes in income or benefits between regular recertification periods. HHA will conduct an interim recertification when a zero income household or individual reports income.
Once income or benefits are reported, the household is no longer required to report increases in income/benefits until the next regular recertification. ZERO INCOME HOUSEHOLD VERIFICATION includes specific verification policy guidance on this subject.
Households/household members are required to report monetary and/or non-monetary changes in income within 30 calendar days from the date the change occurred.
Every 180 days, HHA will run an EIV check on zero income households and take action as required for unreported income. HHA will not conduct EIV checks every 180 days for zero income individuals; however, HHA reserves the right to run an EIV check to ensure program integrity.
15.18.5 EARNED INCOME DISALLOWANCE
HHA will conduct an interim reexamination for families receiving the Earned Income Disallowance (EID). HHA will conduct an interim reexamination at the start, after one year, and at the conclusion of the 24 month exclusion period. See EARNED INCOME DISALLOWANCE (EID) for EID policies.
15.18.6 INTERIM RECERTIFICATION – OTHER
If at the time of the regular reexamination, tenant-provided documents were used on a provisional basis due to the lack of third-party verification, and third-party verification becomes available, HHA will conduct an interim reexamination.
Administrative Plan: CONTINUED OCCUPANCY 15-14
HHA may conduct an interim reexamination at any time in order to correct an error in a previous reexamination, or to investigate a tenant fraud complaint.
If at the time of the regular reexamination, it is not feasible to anticipate a level of income for the next 12 months (e.g. seasonal or cyclic income), HHA will schedule an interim reexamination to coincide with the end of the period for which it is feasible to project income.
15.18.7 PROCESSING THE INTERIM REEXAMINATION
The family may notify HHA of changes either orally or in writing. If the family provides oral notice, HHA may also require the family to submit the changes in writing.
Generally, the family will not be required to attend an interview for an interim reexamination. However, if HHA determines that an interview is warranted, the family may be required to attend.
Based on the type of change reported, HHA will determine the documentation the family will be required to submit. The family must submit any required information or documents within 5 business days of receiving a request from HHA. This time frame may be extended for good cause with HHA approval. HHA will accept required documentation by mail, by fax, or in person.
15.19 RECALCULATING FAMILY SHARE AND SUBSIDY AMOUNT
After gathering and verifying required information for a regular or interim reexamination, HHA must recalculate the family share of the rent and the subsidy amount, and notify the family and owner of the changes.
Utility Allowances and Payment Standards In order to calculate the family share of the rent and HAP amount correctly, changes in payment standards, subsidy standards, or utility allowances may need to be updated and included in HHA’s calculations. See the policies on APPLYING PAYMENT STANDARDS and APPLYING UTILITY ALLOWANCES for applicable policies at regular and interim recertifications.
Subsidy Standards If there is a change in the family unit size that would apply to a family during the HAP contract term, either due to a change in family composition, or a change in HHA’s subsidy standards, see policies on CHANGES IN FAMILY COMPOSITION, VOUCHER SIZE & UA. The new family unit size must be used to determine the payment standard amount for the family at the family’s first regular reexamination following the change in family unit size.
15.20 DISCREPANCIES
During a regular or interim reexamination, HHA may discover that information previously reported by the family was in error, or that the family intentionally misrepresented information.
Administrative Plan: CONTINUED OCCUPANCY 15-15
In addition, HHA may discover errors made by HHA. When errors resulting in the overpayment or underpayment of subsidy are discovered, corrections will be made in accordance with the policies in the chapter on PROGRAM INTEGRITY.
15.21 ABSENCE FROM THE UNIT
The tenant must supply any information or certification requested by HHA to verify that the family is living in the unit, or relating to family absence from the unit, including any HHA- requested information or certification on the purposes of family absences. HHA may review on a case-by-case basis, circumstances which dictate a household’s absence from the unit. HHA’s established policies on absence from the unit include the following:
• The family may be absent from the unit for brief periods (30 days or less). If the family will be absent from the unit for more than 30 days, the family must notify HHA, in writing, at the start of the absence.
• The family may not be absent from the unit for a period of more than 180 consecutive calendar days for any reason.
• Housing Assistance Payments terminate if the family is absent for longer than 180 consecutive calendar days. The HAP contract and assisted lease also terminate (the owner must reimburse HHA for any Housing Assistance Payments received for the period after the termination).
• Absence means that no member of the family is residing in the unit.
• To verify family occupancy or absence, HHA may send request letters to the family at the unit, make phone calls or visits and/or conduct other appropriate inquiries.
• The family must remain in compliance with the terms of the HCV Program and their assisted lease during any absence from the unit.
15.22 MILITARY FAMILIES – ABSENCE FROM THE UNIT & CONTINUED OCCUPANCY
PIH Notice 2003-5 encourages PHAs and private owners to be as lenient as responsibly possible to support military families. In accordance with this Notice, on a case by case basis, HHA will make reasonable exceptions to program requirements with respect to program requirements for active duty military families, to the extent HHA can do so while responsibly administering the HCV program.
These exceptions will be granted at HHA’s sole discretion, and should be primarily granted with respect to program requirements impacted by household members who are temporarily absent from the assisted unit due to their active duty.
Administrative Plan: CONTINUED OCCUPANCY 15-16
Exceptions must be approved by the Executive Vice President for Leased Housing or his/her designee. Households who cannot adhere to basic program requirements without the active military person present will not be granted exceptions.
Exceptions related to military families may include, but are not limited to:
• Allowing a suitable guardian to move into the assisted unit on a temporary basis to care for any dependents that the military person leaves in the unit. Income of the guardian temporarily living in the unit solely for this purpose is not to be counted in determining household income and rent;
• Carefully considering the circumstances of any case involving delayed payment of rent by the household;
• Granting exceptions to the Administrative Plan policies concerning family absences from the unit to continue HAPs to the owner on behalf of the military family even though all members of the family are temporarily absent from the assisted unit;
• Using provisional documents and income information to complete a recertification and then conducting an interim recertification when the military personnel’s information is available.
15.23 REMAINING MEMBERS OF THE TENANT FAMILY
Tenant families who separate while being assisted under the tenant-based programs will be assessed on a case-by-case basis to determine which family members remain assisted under the program. HHA policy is as follows:
• The head of household, co-head or remaining family member of the household who has full legal custody of any minor children in the unit will retain the use of the tenant-based voucher.
• In cases where the head of household and co-head have a joint custody arrangement for minor children, the original Head of Household will retain the use of the tenant-based voucher.
• In cases where the head of household dies, leaving minor children, the new head of household will be subject to all HHA eligibility and admission requirements.
• In cases where there is a head of household and a co-head with no minor children, the original head of household will retain the use of the tenant-based voucher.
• In the event that the head of household moves out of the assisted unit or dies, a remaining adult household member (with or without children in the unit) may retain use of the tenant- based voucher if that adult has been part of the household for at least one year, is in compliance with all program rules and regulations and meets all other program eligibility and continued occupancy requirements.
Administrative Plan: CONTINUED OCCUPANCY 15-17
• In cases where a live-in aide is added to a household as a result of a care situation for an elderly or disabled household member, the live-in aide is not considered to be a remaining family member and is not eligible to retain the use of the tenant-based voucher.
• Foster children and foster adults are never considered remaining family members and have no rights to the voucher or unit when and if the head of household or co-head moves out of the unit, is evicted or is deceased.
• If a separation is the result of a divorce or separation under a settlement or judicial decree, HHA will follow any court determination of which family members keep the voucher assistance.
• In order for a minor to continue to receive assistance as a remaining family member, the court has to have awarded emancipated minor status to the minor or HHA has to verify that Social Services and/or the Juvenile Court has arranged for another adult to be brought into the assisted unit to care for the child(ren) for an indefinite period of time.
• If the family break-up results from an occurrence of domestic violence, dating violence, sexual assault, or stalking, HHA will ensure that the victim remains on the program.
• If exceptional circumstances exist concerning the remaining member of a tenant family, a discretionary administrative determination may be made by the HCV program designee on a case-by-case basis.
15.24 CAREER ADVANCEMENT PROGRAM (CAP)
MTW Policy HHA has used its MTW Authority to partner with local non-profit and educational institutions to develop the Career Advancement Program (CAP). CAP participants can participate in a number of programs, including HiSET prep, job readiness, job training, certificate programs, and college. Additionally, the participants receive case management support and self-sufficiency support from HHA. The goal of this program is to encourage HHA clients to improve their long-term employment prospects, to increase the number of HHA clients with earned income, and to increase the savings of program participants.
Upon implementation of CAP, HHA will offer an incremental income disregard for all clients who have graduated from an approved professional development program and who have obtained employment. This disregard will be open to any HHA HCV client who participates in the CAP initiative and completes all of the requirements. To be eligible for participation, the head of household must be capable of working and household income must be below 30% of Area Median Income (AMI). All clients must meet eligibility requirements of the partner program they choose, which in some cases may limit participation to clients who are currently unemployed.
Administrative Plan: CONTINUED OCCUPANCY 15-18
Once HHA has verified that the client participating in CAP successfully completed an approved job training program, the individual’s income disregard will be structured as follows:
• 100% of the individual’s earned income less the client’s prequalifying earned income will be disregarded for the first twelve months following graduation from the program.
• 75% of the individual’s earned income less the client’s prequalifying earned income will be disregarded for the second twelve months following graduation from the program.
• 50% of the individual’s earned income less the client’s prequalifying earned income will be disregarded for the third twelve months following graduation from the program.
• 25% of the individual’s earned income less the client’s prequalifying earned income will be disregarded for the fourth twelve months following graduation from the program.
• After the final twelve months at the 25% disregard level, the individual’s rent and income calculation will be in accordance with standard HHA rent and income calculation policies. There will be no earned income disregard.
Administrative Plan: CONTINUED OCCUPANCY 15-19
CHAPTER 16: MOVING WITH CONTINUED ASSISTANCE
16.1 OVERVIEW
Freedom of choice is a hallmark of the housing choice voucher [HCV] program. In general, therefore, HUD regulations impose few restrictions on where families may live or move with HCV assistance. This chapter sets forth HUD regulations and HHA policies governing moves.
Households may seek a move to another unit within HHA’s jurisdiction. HHA’s policies describe when a household may move to a new unit with continued tenant-based assistance.
Upon receipt of a family’s notification that it wishes to move, HHA will determine whether the move is approvable in accordance with the regulations and policies set forth in this Plan. HHA will notify the family in writing of its determination following receipt of the family’s notification.
16.2 RESTRICTION ON MOVES
Unless the owner agrees to a mutual dissolution of the lease, HHA will not approve a move during the initial lease term. Elective moves, outside of the initial lease term, may be made once within a twelve month period.
HHA may approve a move during the initial lease term and may approve an additional move within a twelve month period under the circumstances outlined below.
• Housing Quality Standards or Other Owner Breach
• Owner Termination of Tenancy
• Eviction
• Personal Safety/VAWA
• Reasonable Accommodation
• The lease for the family’s unit has been terminated by mutual agreement of the owner and the family [24 CFR 982.314].
If a family requests permission to move with continued assistance based on a claim that the move is necessary to protect the health or safety of a family member who is or has been the victim of domestic violence, dating violence sexual assault, or stalking, HHA will request documentation in accordance with VICTIM DOCUMENTATION policies in this Plan.
16.3 RESTRICTION ON MOVES DUE TO INSUFFICIENT FUNDING
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HHA will deny a family permission to move on grounds that HHA does not have sufficient funding for continued assistance if:
• The move is initiated by the family, not the owner or HHA;
• HHA can demonstrate that the move will, in fact, result in higher subsidy costs; and
• HHA can demonstrate, through a detailed cost-reduction plan based on reasonable assumptions, that it does not have sufficient funding in its annual budget to accommodate the higher subsidy costs.
This policy applies to moves within HHA’s jurisdiction as well as to moves outside it under portability.
HHA will provide written notification to the local HUD office within 10 business days of determining it is necessary to deny moves to a higher-cost area based on insufficient funding.[24 CFR 982 Final Rule 2015]
16.4 NOTIFICATION
A tenant is required to give notice to the owner consistent with the terms of the lease. If a household terminates their lease with notice to the owner, the household must give HHA a copy of the notice to owner at the same time.
If a household wants to move to a new unit, the household must notify HHA and the owner before moving from the old unit.
If a household wants to move to a new unit that is located outside HHA’s jurisdiction, the notice to HHA must specify the areas where the household wants to move. See policies in the chapter on PORTABILITY.
The owner must give the family a notice to vacate when and if the owner has commenced an action to evict the family, or has obtained a court judgment or other process allowing the owner to evict the family [24 CFR 982.314[b][2]]. The family must give HHA a copy of any owner eviction notice [24 CFR 982.551[g]].
16.5 VOUCHERS AND MOVES
For families approved to move to a new unit within HHA’s jurisdiction, HHA will issue a new Voucher. HHA will follow the policies set forth in this Plan on VOUCHER ISSUANCE. If a family does not locate a new unit within the term of the voucher and any extensions, the family may remain in its current unit with continued voucher assistance if the owner agrees and HHA approves. Otherwise, the family will lose its assistance.
16.6 RECERTIFICATION OF HOUSEHOLD INCOME AND COMPOSITION DURING MOVES
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For households approved to move to a new unit within HHA’s jurisdiction, HHA will perform a new recertification. The next recertification due date will be changed to coincide with the new lease-up date.
If the effective date of the last recertification is within 180 days of the request to move, HHA will not re-verify income and/or expense information, unless the household reports a chance in income and/or household composition.
16.7 REQUEST TO MOVE & PENDING TERMINATION
If a household with a pending termination requests a move and the period for requesting a hearing has expired, HHA will not issue the household a voucher to move.
If a household with a pending termination requests a move and the period for requesting a hearing has not expired or if a hearing is pending, HHA will issue the household a voucher to move.
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CHAPTER 17: PORTABILITY
17.1 OVERVIEW
Within the limitations of the regulations and this plan, a participant family or an applicant family that has been issued a voucher has the right to use tenant-based voucher assistance to lease a unit anywhere in the United States providing that the unit is located within the jurisdiction of a PHA administering a tenant-based voucher program [24 CFR 982.353(b)]. When a family decides to use the voucher outside of HHA’s jurisdiction, the family must notify HHA of its desire to relocate and must specify the location where it wants to live. The process by which a family obtains a voucher from one PHA and uses it to lease a unit in the jurisdiction of another PHA is known as portability. The first PHA is called the initial PHA. The second is called the receiving PHA.
The receiving PHA has the option of administering the family’s voucher for the initial PHA or absorbing the family into its own program. Under the first option, the receiving PHA bills the initial PHA for the family’s housing assistance payments and the fees for administering the family’s voucher. Under the second option, the receiving PHA pays for the family’s assistance out of its own program funds, and the initial PHA has no further relationship with the family.
The same PHA commonly acts as the initial PHA for some families and as the receiving PHA for others. Each role involves different responsibilities. HHA will follow the rules and policies outlined in this chapter when it is acting as the initial PHA or receiving PHA.
17.2 PORT-OUTS
A family may move with voucher assistance only to an area where there is at least one HA administering a voucher program and in accord with the portability policies in this plan. The family must notify HHA of its desire to relocate and must specify the location where it wants to live. If there is more than one HA in the area, HHA will provide the family with the contact information for the receiving HAs and the family will select the receiving HA. In cases where the family prefers not to select, HHA will select the receiving HA on behalf of the family.
Section 8 Moderate Rehabilitation and Project-Based assistance is not portable.
17.2.1 APPLICANT FAMILIES
A family that has not leased a unit under the HCV program is eligible for portability if the head of family or spouse was a resident in HHA’s jurisdiction at the time the application for assistance was submitted.
If neither the head of household nor the spouse/co-head of an applicant family had a domicile (legal residence) in HHA’s jurisdiction at the time the family’s application for assistance was submitted, the family must live in HHA’s jurisdiction with voucher assistance for the initial lease term before requesting portability. HHA will consider exceptions to this policy for purposes of
Administrative Plan: PORTABILITY 17-1 reasonable accommodation. HHA may deny a portability move by an applicant family for insufficient funding or if grounds for denial of assistance are present.
An applicant family may lease a unit in a particular area under portability only if the family is income eligible for admission to the voucher program in that area. The family must specify the area to which the family wishes to move.
HHA will determine whether the family is income eligible in the area to which the family wishes to move. If the applicant family is not income eligible in that area, HHA will inform the family that it may not move there and receive voucher assistance.
17.2.2 PARTICIPANT FAMILIES
HHA will not provide portable assistance for a tenant if a family has moved out of its assisted unit in violation of the lease.
A family; however, is exempt from this prohibition if the family is otherwise in compliance with program obligations, but has moved to protect the health or safety of an individual in the family who is or has been a victim of domestic violence, dating violence, sexual assault or stalking and who reasonably believed he or she was imminently threatened by harm from further violence if they remained in the unit.
HHA will not re-determine income eligibility when a tenant family ports out of HHA’s jurisdiction.
17.2.3 RECERTIFICATION OF HOUSEHOLD INCOME AND COMPOSITION
A new recertification of family income and composition is not required for a tenant family who is approved to move out of HHA’s jurisdiction under portability. However, for a tenant family approved to move out of HHA’s jurisdiction under portability, HHA generally will conduct a recertification of family income and composition if the family’s regular recertification is due to be completed within the next 120 days.
17.2.4 BRIEFING
No formal briefing will be required for a tenant family wishing to move outside of HHA’s jurisdiction under portability. However, HHA will provide the family with the same oral and written explanation of portability that it provides to applicant households selected for admission to the program. See BRIEFING policies.
17.2.5 VOUCHER ISSUANCE AND TERM
Generally, when a tenant requests to port out, HHA will first conduct screening for eligibility for a move and then issue a Voucher. See policies on VOUCHER ISSUANCE. An applicant family has no right to portability until after the family has been issued a voucher
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17.2.6 VOUCHER EXTENSIONS AND SUSPENSIONS
HHA may approve extensions to a voucher issued to an applicant or tenant family porting out of HHA’s jurisdiction under the following circumstances:
• The initial term of the voucher will expire before the portable family will be issued a voucher by the receiving HA;
• The family decides to return to the HHA’s jurisdiction and search for a unit; or
• The family decides to search for a unit in a third HA’s jurisdiction.
In the cases above, HHA’s policies on voucher extension and suspensions will apply, including the requirement that the family apply for an extension in writing prior to the expiration of the initial voucher term. See policies on EXTENSIONS OF VOUCHER TERM, SUSPENSIONS OF VOUCHER TERM and EXPIRATION OF VOUCHER TERM [24 CFR 982.303[c]] [24 CFR 982.303[b]]
Once the receiving HA issues the family a voucher, the receiving HA’s policies on extensions of the voucher term apply. The receiving HA must notify HHA of any extensions granted to the term of the voucher.
17.2.7 INITIAL CONTACT WITH THE RECEIVING HA
After approving a family’s request to move under portability, HHA will notify the receiving HA to expect the family. HHA will also advise the family on how to contact and request assistance from the receiving HA.
Because the portability process is time-sensitive, HHA will notify the receiving HA by phone, fax, or e-mail to expect the family and to determine if the receiving HA will absorb or administer the voucher. The receiving HA must notify HHA, in writing, via e-mail or other confirmed delivery method, of its decision.
If the receiving HA notifies HHA that it will absorb the voucher, the receiving HA may not reverse its decision at a later date without HHA’s consent.
If the receiving HA will bill HHA for the portability voucher and the cost of the HAP will increase due to the move, the initial HA may deny the move if it does not have sufficient funding for continued assistance in accordance with the regulatory requirements set forth in 24 CFR § 982.354 (e)(1).
HHA will advise the family that they must promptly contact the receiving HA in order to be informed of the receiving HA’s procedures for incoming portable households and comply with these procedures.
17.2.8 SENDING DOCUMENTATION TO THE RECEIVING HA
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HHA will send the receiving HA the following documents:
• Form HUD-52665, Family Portability Information, with Part I filled out;
• A copy of the family’s voucher;
• A copy of the family’s most recent form HUD-50058, Family Report, or, if necessary in the case of an applicant family, family and income information in a format similar to that of form HUD-50058; and
• A copy of the most recent EIV report (if available).
In addition to these documents, HHA will provide the following information, if available, to the receiving HA:
• Social security numbers (SSNs);
• Documentation of legal identity;
• Documentation of date of birth; and
• HHA’s Direct Deposit Form.
17.2.9 INITIAL BILLING DEADLINE
If HHA has not received an initial billing notice from the receiving HA by the deadline specified on form HUD-52665, it will contact the receiving HA by phone, fax, or e-mail. If the receiving HA reports that the family is not yet under HAP contract, HHA will inform the receiving HA whether it will honor a late billing submission. HHA will send the receiving HA a written confirmation of its decision.
The initial billing submission must be completed and mailed by the receiving HA within 10 working days of the HAP contract execution but with sufficient time so that it is received by the initial HA no later than 90 days following the expiration of the initial HA’s voucher.
HHA will allow an exception to this policy if the family includes a person with disabilities and the late billing is a result of a reasonable accommodation granted to the family by the receiving HA.
17.2.10 MONTHLY BILLING PAYMENTS
If the receiving HA is administering the family’s voucher, HHA will make billing payments in a timely manner. The first billing amount is due within 30 days after HHA receives Part II of form HUD-52665 from the receiving HA. Subsequent payments must be received by the receiving HA no later than the fifth business day of each month.
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HHA will reimburse the receiving HA for the full amount of the housing assistance payments made by the receiving HA for the portable family. Additionally, HHA will reimburse the receiving HA for the lesser of 80% of HHA’s prorated column B administrative fee rate or 100% of the receiving HA’s prorated column B administrative fee rate for each program unit under HAP contract on the first day of the month for which the receiving HA is billing HHA. If administrative fees are prorated, the proration will apply to the amount of the administrative fee for which the receiving HA may bill. If both PHAs agree, the PHAs may negotiate a different amount of reimbursement.
HHA will utilize direct deposit to ensure that the payment is received by the deadline.
17.2.11 SUBSEQUENT HOUSEHOLD MOVES
If a receiving HA is administering an HHA voucher family and the family subsequently decides to move out of the receiving HA’s jurisdiction, HHA will issue the family a voucher to move and will send form HUD-52665 and supporting documentation to the new receiving HA.
17.2.12 DENIAL OR TERMINATION OF ASSISTANCE
If HHA has grounds for denying or terminating assistance for a portable family that has not been absorbed by the receiving HA, HHA may act on those grounds at any time.
17.2.13 REGULAR RECERTIFICATION
The receiving HA must send to HHA a copy of a portable family’s updated form HUD-50058 after each regular recertification for the duration of time the receiving HA is billing HHA on behalf of the family, regardless of whether there is a change in the billing amount. The recertification and updated billing are due to HHA within ten days of the recertification effective date.
17.2.14 CHANGE IN BILLING AMOUNT
The receiving HA is required to notify HHA, using form HUD-52665, of any change in the billing amount for the family as a result of:
• A change in the HAP amount (because of a recertification, a change in the applicable payment standard, a move to another unit, etc.);
• An abatement or subsequent resumption of the HAP payments;
• Termination of the HAP contract;
• Payment of a damage/vacancy loss claim for the family; or
• Termination of the family from the program.
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The timing of the notice of the change in the billing amount should correspond with the notification to the owner and the family in order to provide HHA with advance notice of the change. Under no circumstances should the notification be later than 10 business days following the effective date of the change in the billing amount.
17.3 PORT-INS
When a family, which is issued a voucher from another HA, uses that voucher to lease a unit in HHA’s jurisdiction that process is referred to as porting-in. In the case of a port-in, HHA is the receiving HA and the housing authority from which the family came is the initial HA.
17.3.1 RECEIVING HA ROLE
For households that port-in to HHA’s jurisdiction, the family’s unit size or voucher size is determined in accordance with HHA’s subsidy standards and the amount of the family’s housing assistance payment is determined in the same manner as for other HAs.
If a family has a right to lease a unit in HHA’s jurisdiction under portability, HHA will provide assistance for the family. HHA’s procedures and preferences for selection among eligible applicants do not apply, and HHA’s waiting list is not used. However, the family’s unit, or voucher, size is determined in accordance with HHA’s subsidy standards, and the amount of the family’s housing assistance payment is determined in the same manner as for other non-MTW households in HHA’s Voucher Program
17.3.2 PORT-INS AND MTW
Tenants who port-in to HHA and, whose vouchers are administered by HHA, are NOT subject to HHA’s two-year recertification requirements or rent simplification. If HHA absorbs a port-in voucher, the family is subject to all of HHA’s MTW policies.
17.3.3 RESPONDING TO THE INITIAL PHA’S REQUEST
HHA will respond via e-mail or other confirmed delivery method to the initial HA’s inquiry to determine whether the family’s voucher will be billed or absorbed.
17.3.4 INITIAL CONTACT WITH HOUSEHOLD
When a family moves into HHA’s jurisdiction under portability, the family is responsible for promptly contacting HHA and complying with HHA’s procedures for incoming portable households.
If the voucher issued to the family by the initial HA has expired, HHA will not process the family’s paperwork, but will instead refer the family back to the initial HA.
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Although HHA may initially bill the initial HA for the family’s assistance, it may later decide to absorb the family into its own program.
17.3.5 BRIEFING
HHA will provide the port-in family with a briefing packet and will verbally inform the family about HHA’s payment and subsidy standards, procedures for requesting approval of a unit, the unit inspection process, and the leasing process.
17.3.6 INCOME ELIGIBILITY AND RECERTIFICATION
For any family moving into its jurisdiction under portability, HHA will conduct a new recertification of family income and composition. HHA will not delay issuing the family a voucher for this reason, nor will HHA delay approving a unit for the family until the recertification process is complete unless the family is an applicant and HHA cannot otherwise confirm that the family is income eligible for admission to the program in the area where the unit is located.
In conducting its own recertification, HHA will rely upon any verifications provided by the initial HA to the extent that they (a) accurately reflect the family’s current circumstances and (b) were obtained within the last 120 days. Any new information may be verified by documents provided by the family and adjusted, if necessary, when third party verification is received.
Port-in households are recertified on an annual basis.
17.3.7 VOUCHER ISSUANCE
When a family ports in to HHA’s jurisdiction, HHA will issue the family a voucher. Generally, HHA will issue the voucher within two weeks after receiving the family’s paperwork from the initial HA if the information is in order, the family has contacted HHA, and the family complies with the HHA’s procedures
17.3.8 VOUCHER TERM
If the initial HA’s voucher expires before HHA issues the portable family a voucher, HHA will contact the initial HA to determine if it will extend the voucher term. HHA will not issue a voucher to the portable family if the initial HA voucher term is expired and no extension is authorized by the initial HA.
Under no circumstances, will the term of HHA’s voucher expire before 30 calendar days from the expiration date of the initial HA voucher term. For example, if the initial HA voucher term expires on 7/12/15, HHA’s voucher term, as the receiving HA, will not expire before 8/12/15.
17.3.9 VOUCHER EXTENSIONS& SUSPENSIONS
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HHA may provide additional search time to the family beyond the expiration date of the initial HA’s voucher. HHA will only extend the term of the voucher for a port-in tenant if the initial HA extends their voucher expiration date as well. In this way HHA can better ensure that any voucher expiration date would leave sufficient time to process a request for tenancy approval, execute a HAP contract, and deliver the initial billing to the initial HA. See policies on EXTENSIONS OF VOUCHER TERM
17.3.10 NOTIFYING THE INITIAL HA
HHA will notify the initial HA if the family has leased an eligible unit under the program or if the family fails to submit a request for tenancy approval for an eligible unit within the term of HHA’s voucher. HHA will use Part II of form HUD-52665, Family Portability Information, for this purpose.
If an incoming portable family ultimately decides not to lease in HHA’s jurisdiction, but instead wishes to return to the initial HA’s jurisdiction or to search in another jurisdiction, HHA will refer the family back to the initial HA. In such a case the voucher of record for the family is once again the voucher originally issued by the initial HA. Any extension of search time provided by the receiving HA’s voucher is only valid for the family’s search in the receiving HA’s jurisdiction.
17.3.11 INITIAL BILLING DEADLINE
If a portable family’s search for a unit is successful and HHA intends to administer the family’s voucher, HHA’s initial billing notice (Part II of form HUD-52665) must be completed and mailed within 10 working days of the HAP contract execution but with sufficient time so that it is received by the initial HA no later than 90 days following the expiration of the initial HA’s voucher. A copy of the family’s form HUD-50058, Family Report, completed by HHA will be attached to the initial billing notice. HHA may send these documents either by mail, fax, or e- mail.
17.3.12 BILLING PROCEDURES
If administering the port-in voucher, HHA will bill the initial HA once a month for Housing Assistance Payments. The billing cycle for other amounts, including administrative fees and special claims will be once a month. HHA will bill 100% of the Housing Assistance Payment and the lesser of 80% of the initial HA prorated column B administrative fee rate or 100% of HHA’s prorated column B administrative fee rate for each unit under HAP contract on the first day of the month for which HHA is billing the initial HA. Additionally, as provided by HUD, HHA will prorate administrative fees in accordance with any HUD prorations.
HHA will notify the initial HA of changes in subsidy amounts within ten days of any change in the monthly payment. HHA will update Administrative Fees when and if HUD revises the fees and/or related prorations.
17.3.13 DENIAL OR TERMINATION OF ASSISTANCE
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At any time, HHA may make a determination to deny or terminate assistance to a portable family for family action or inaction.
If HHA elects to deny or terminate assistance for a portable family, HHA will notify the initial HA after the informal review or hearing if the denial or termination is upheld. HHA will base its denial or termination decision on the policies set forth in this Plan.
17.4 ABSORBING A PORTABLE HOUSEHOLD
Absorption is the point at which a receiving HA starts making assistance payments with funding under its consolidated ACC. HHA may absorb a voucher providing that (a) HHA has funding available under its Annual Contributions Contract (ACC) and (b) absorbing the family will not result in over-leasing.
If HHA notifies an initial HA that it will absorb the voucher, HHA will not reverse its decision at a later date without consent of the initial HA. If HHA decides to absorb a family, after administering the voucher, HHA will provide the initial HA with 30 days advance notice.
When a portable family is absorbed by HHA, the family will be subject to HHA policies, including MTW policies.
17.5 SPECIAL PURPOSE VOUCHERS AND PORTABILITY
HHA will administer special purpose vouchers, i.e. VASH Vouchers, in accordance with HUD- established policy in cases where HUD has established alternative program requirements of such special purpose vouchers. For example, under VASH, HHA will follow the VASH screening requirements when a VASH family ports to HHA.
HHA will use the codes for the special purpose vouchers on the 50058 and continue to use such codes while HHA is administering a portable voucher.
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CHAPTER 18: INFORMAL REVIEWS AND HEARINGS
18.1 OVERVIEW
When HHA makes a decision that has a negative impact on a family, the family is often entitled to appeal the decision. For applicants, the appeal takes the form of an informal review; for participants or for applicants denied admission because of citizenship issues, the appeal takes the form of an informal hearing.
18.2 INFORMAL REVIEWS
Informal reviews are provided for program applicants. An applicant is someone who has applied for admission to the program, but is not yet a participant in the program. Informal reviews are intended to provide a minimum hearing requirement and need not be as elaborate as the informal hearing requirements.
HHA will offer informal reviews to applicants for the purpose of disputing denials of admission. HHA will not offer informal reviews to applicants who have been withdrawn from the waiting list, i.e. as a result of failure to attend screening interviews or not responding to a waiting list update. Such failure to act on the part of the applicant prevents HHA from making an eligibility determination; therefore, HHA will not offer an informal hearing.
18.2.1 DECISIONS SUBJECT TO INFORMAL REVIEW
HHA will give an applicant the opportunity for an informal review of a decision denying assistance. Denial of assistance may include any or all of the following:
• Denying listing on the HHA waiting list
• Denying or withdrawing a voucher
• Refusing to enter into a HAP contract or approve a lease
• Refusing to process or provide assistance under portability procedures
An applicant is not entitled to informal review for any of the following decisions by HHA:
• Discretionary administrative determinations by HHA;
• General policy issues or class grievances;
• A determination of the household unit size under HHA subsidy standards;
• A HHA determination not to approve an extension of a voucher term;
• A HHA determination not to approve a unit or tenancy;
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• A HHA determination that a unit selected by the applicant is not in compliance with the HQS;
• A HHA determination that the unit is not in accordance with HQS because of household size or composition;
• Establishment of the HHA schedule of utility allowances for households in the program; or
• A determination by HHA to exercise or not to exercise any right or remedy against an owner under a HAP contract.
18.2.2 NOTICE TO THE APPLICANT
HHA will give an applicant prompt notice of a decision denying assistance. The notice will contain a brief statement of the reasons for HHA’s decision, and will also state that the applicant may request an informal review of the decision. The notice will describe how to obtain the informal review.
18.2.3 SCHEDULING AN INFORMAL REVIEW
A request for an informal review must be made in writing and delivered to HHA either in person or by first class mail, by the close of the business day, no later than 10 business days from the date of HHA’s denial of assistance.
18.2.4 INFORMAL REVIEW PROCEDURES
The informal review will be conducted by a person other than the one who made or approved the decision under review, or a subordinate of this person. This person is known as a Hearing Officer.
Upon receipt of the written request for a review, the complainant will be notified, in writing, of the date, time and location of the review. A copy of the procedures governing the review will be made available to the applicant.
• HHA will present its reasons and evidence supporting the denial of assistance to the applicant.
• The complainant will have the opportunity to present written or oral objections to HHA’s decision, along with other factual or mitigating information that might lead the Hearing Officer to reconsider the determination of ineligibility and reverse the determination.
• The review will be conducted informally by the Hearing Officer. The Hearing Officer will require that HHA, the complainant and other participants or witnesses conduct themselves in an orderly fashion. Failure to comply with the directives of the Hearing Officer to maintain
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order may result in expulsion from the proceeding or in a decision adverse to the interests of the disorderly party.
• The complainant may:
o Retain counsel or other representation if desired, at his/her own expense (i.e., an attorney);
o Examine before the review all HHA’s documents and regulations that are relevant to the review and may copy such documents at his/her own expense;
o Question any witness or witnesses; and o Present testimony and evidence in his/her favor. • The complainant is entitled to a decision made by the Hearing Officer that is based solely on the evidence presented at the review.
• If the complainant or HHA fails to appear at the scheduled review, the Hearing Officer may make a determination to postpone and reschedule the review, or may make a determination that the party has waived his/her right to a hearing and will be withdrawn from the waiting list. Both the complainant and HHA will be notified of the Hearing Officer’s determination.
• If the complainant does not request a review in accordance with HHA’s established procedures, then HHA determination of ineligibility will become final. Failure to request a review will not constitute a waiver by the complainant of his/her right to contest HHA determination in an appropriate judicial proceeding.
• All requests for a review, along with the supporting documentation and a copy of the final decision will be retained in the complainant’s file.
• HHA will notify the complainant, in writing, of its final decision after the informal review, including a brief statement of the reasons for the final decision.
18.2.5 INFORMAL REVIEW DECISION – DENIAL OF ASSISTANCE
In rendering a decision, HHA will evaluate the following matters:
• Whether or not the grounds for denial were stated factually in the notice denying assistance;
• The validity of grounds for denial of assistance. If the grounds for denial are not specified in the regulations, then the decision to deny assistance will be overturned;
• The validity of the evidence. HHA will evaluate whether the facts presented prove the grounds for denial of assistance. If the facts prove that there are grounds for denial, and the denial is required under applicable legal requirements, HHA will uphold the decision to deny assistance; and
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• If the facts prove the grounds for denial, and the denial is discretionary, HHA will consider the recommendation of the person conducting the informal review in making the final decision whether to deny assistance.
HHA will notify the applicant of the final decision, including a statement explaining the reason(s) for the decision. The notice will be mailed within 10 business days of the informal review, to the applicant and his or her representative, if any, along with proof of mailing.
If the decision to deny is overturned as a result of the informal review, processing for admission will resume.
If the complainant or HHA fails to appear at the scheduled hearing, the Hearing Officer may make a determination to postpone and reschedule the hearing, or may make a determination that the party has waived his/her right to a hearing and will be withdrawn from the waiting list. Both the complainant and HHA will be notified of the Hearing Officer’s determination
18.3 INFORMAL HEARINGS FOR PARTICIPANTS
HHA offers an informal hearing for certain HHA determinations relating to the individual circumstances of a participant. A participant is defined as a family that has been admitted to the HHA’s HCVP and is currently assisted in the program. The purpose of the informal hearing is to consider whether HHA’s decisions related to the family’s circumstances are in accordance with applicable requirements.
HHA will not terminate a family’s assistance until the time allowed for the family to request an informal hearing has elapsed, and any requested hearing has been completed.
Termination of assistance for a participant may include any or all of the following:
• Refusing to enter into a HAP contract or approve a lease;
• Terminating housing assistance payments under an outstanding HAP contract; and
• Refusing to process or provide assistance under portability procedures.
Circumstances for which HHA must give a participant an opportunity for an informal hearing are as follows:
• A determination of the family’s annual or adjusted income, and the use of such income to compute the housing assistance payment;
• A determination of the appropriate utility allowance (if any) for participant-paid utilities from the HHA utility allowance schedule;
• A determination of the household unit size under HHA’s subsidy standards;
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• A determination that a family is residing in a unit with a larger number of bedrooms than appropriate for the household unit size under HHA’s subsidy standards, or HHA determination to deny the family’s request for exception from the standards;
• A determination to terminate assistance for a participant because of the family’s actions or failure to act;
• A determination to terminate assistance because the participant has been absent from the assisted unit for longer than the maximum period permitted under HHA policy and HUD rules;
• A determination to terminate a family’s Family Self Sufficiency contract, withhold supportive services, or propose forfeiture of the family’s escrow account; and
• A determination to deny admission of a new household member based on an unfavorable history that may be the result of domestic violence, dating violence, sexual assault or stalking.
18.3.1 CIRCUMSTANCES FOR WHICH AN INFORMAL HEARING IS NOT GRANTED
HHA will not grant an informal hearing for the following:
• Discretionary administrative determinations by HHA;
• General policy issues or class grievances;
• Establishment of the HHA schedule of utility allowances for households in the program;
• A HHA determination not to approve an extension of a voucher term;
• A HHA determination not to approve a unit or tenancy;
• A HHA determination that a unit selected by the applicant is not in compliance with the HQS;
• A HHA determination that the unit is not in accordance with HQS because of household size or composition;
• A determination of the household size under HHA’s subsidy standards;
• A determination by HHA to exercise or not to exercise any right or remedy against an owner under a HAP contract; and
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• Restrictions on assistance for non-citizens. The informal hearing provisions for the denial of assistance on the basis of ineligible immigration status are contained at 24 CFR Part 5, subpart E.
18.3.2 NOTICE TO THE HOUSEHOLD – INFORMAL HEARING
When HHA makes a decision that is subject to informal hearing procedures, HHA will inform the family of its right to an informal hearing at the same time that it informs the family of the decision.
For decisions related to the family’s annual or adjusted income, the determination of the appropriate utility allowance, and the determination of the household unit size, HHA will notify the family that they may ask for an explanation of the basis of the determination, and that if they do not agree with the decision, they may request an informal hearing on the decision, and a statement of the deadline for the family to request an informal hearing.
For decisions related to the termination of the family’s assistance, or the denial of a family’s request for an exception to HHA’s subsidy standards, the notice will contain a brief statement of the reasons for the decision, a statement that if the family does not agree with the decision, the family may request an informal hearing on the decision, and a statement of the deadline for the family to request an informal hearing.
In cases where HHA makes a decision for which an informal hearing is offered, the notice to the family will include all of the following:
• HHA’s proposed action or decision;
• A brief statement of the reasons for the decision;
• The date the proposed action will take place;
• A statement of the family’s right to an explanation of the basis for HHA’s decision;
• A statement that if the family does not agree with the decision the family may request an informal hearing of the decision;
• A deadline for the family to request the informal hearing;
• To whom the hearing request should be addressed; and
• A copy of the HHA’s hearing procedures.
18.3.3 SCHEDULING AN INFORMAL HEARING
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A participant must submit a written request for an informal hearing to the HCV Program designee within 10 business days from the date of HHA’s letter of determination sent to the participant.
Upon receipt of the written request for a hearing, HHA will timely notify the complainant of the hearing date. The notification will be in writing and will include the date, time and location of the hearing. The informal hearing will be held before a Hearing Officer. A copy of the procedures governing the hearing will be included with the written notification.
If the participant does not request a hearing in accordance with HHA’s procedures, HHA’s determination will become final.
The family may request to reschedule a hearing for good cause, or if it is needed as a reasonable accommodation for a person with disabilities. Good cause is defined as an unavoidable conflict which seriously affects the health, safety or welfare of the family. Requests to reschedule a hearing must be made orally or in writing prior to the hearing date. At its discretion, HHA may request documentation of the “good cause” prior to rescheduling the hearing.
If the family does not appear at the scheduled time, and was unable to reschedule the hearing in advance due to the nature of the conflict, the family must contact HHA within 24 hours of the scheduled hearing date, excluding weekends and holidays. HHA will reschedule the hearing only if the family can show good cause for the failure to appear, or if it is needed as a reasonable accommodation for a person with disabilities.
18.3.4 PRE-HEARING RIGHT TO DISCOVERY
Before the Informal Hearing the family may examine any HHA documents that are directly relevant to the hearing. The family will be allowed to copy any such documents at their own expense. If the HHA does not make the document available for examination on request of the family, the HHA may not rely on the document at the hearing. The family must request discovery of HHA documents no later than 12:00 p.m. on the business day prior to the scheduled hearing date
HHA must be given the opportunity to examine at HHA offices before the hearing, any family documents that are directly relevant to the hearing. HHA will be allowed to copy any such document at HHA’s expense. Whenever a participant requests an informal hearing, the HA will automatically mail a letter to the participant requesting a copy of all documents that the participant intends to present or utilize at the hearing. The participant must make the documents available no later than 12:00 pm on the business day prior to the scheduled hearing date. If the family does not make the document available for examination on request of the HHA, the family may not rely on the document at the hearing.
For the purpose of informal hearings, documents include records and regulations.
18.3.5 PARTICIPANT’S RIGHT TO BRING COUNSEL
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At its own expense, the family may be represented by a lawyer or other representative at the informal hearing.
18.3.6 INFORMAL HEARING OFFICER
Informal hearings will be conducted by a Hearing Officer who is not the person who made or approved the decision or a subordinate of the person who made or approved the decision.
18.3.7 ATTENDANCE AT THE INFORMAL HEARING
Hearings may be attended by a Hearing Officer and the following applicable persons:
• An HHA representative(s) and any witnesses for HHA;
• The participant and any witnesses for the participant;
• The participant’s counsel or other representative; and
• Any other person approved by HHA as a reasonable accommodation for a person with a disability.
18.3.8 CONDUCT AT HEARINGS
The Hearing Officer is responsible for managing the order of business and ensuring that hearings are conducted in a professional and businesslike manner. Attendees are expected to comply with all hearing procedures established by the Hearing Officer and guidelines for conduct. Any person demonstrating disruptive, abusive or otherwise inappropriate behavior will be excused from the hearing at the discretion of the Hearing Officer.
18.3.9 EVIDENCE
The HHA and the family will be given the opportunity to present evidence and question any witnesses. In general, all types of evidence are admissible at an informal hearing. Evidence may be considered without regard to admissibility under the rules of evidence applicable to judicial proceedings.
• Oral evidence: the testimony of witnesses
• Documentary evidence: a writing which is relevant to the case, for example, a letter written to the HHA. Writings include all forms of recorded communication or representation, including letters, words, pictures, sounds, videotapes or symbols or combinations thereof.
• Demonstrative evidence: Evidence created specifically for the hearing and presented as an illustrative aid to assist the hearing officer, such as a model, a chart or other diagram.
• Real evidence: A tangible item relating directly to the case.
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18.3.10 HEARING OFFICER’S DECISION
The person who conducts the hearing will issue a written decision, stating briefly the reasons for the decision. Factual determinations relating to the individual circumstances of the family must be based on a preponderance of evidence presented at the hearing. A copy of the hearing will be furnished to the family.
Generally, the Hearing Officer will issue a written decision to the family and HHA within 10 business days after the hearing.
HHA shall abide by the determination of the Hearing Officer, provided that such determination is not contrary to applicable federal, State or local laws, HUD regulations, or the requirements of the Annual Contributions Contract between HUD and HHA, or that the Hearing Officer is not acting in excess of his/her authority.
A decision by the Hearing Officer in favor of HHA, or which denies the relief requested by the complainant or participant in whole or in part, shall not constitute a waiver of, nor affect any rights the complainant or participant may have to contest HHA’s determination in an appropriate judicial proceeding.
In rendering a decision, the hearing officer will consider the following matters:
• HHA Notice to the Family: The hearing officer will determine if the reasons for the HHA’s decision are factually stated in the Notice.
• Discovery: The hearing officer will determine if the HHA and the family were given the opportunity to examine any relevant documents in accordance with HHA policy.
• HHA Evidence to Support the HHA Decision: The evidence consists of the facts presented. Evidence is not conclusion and it is not argument. The hearing officer will evaluate the facts to determine if they support the HHA’s conclusion.
• Validity of Grounds for Termination of Assistance [when applicable]: The hearing officer will determine if the termination of assistance is for one of the grounds specified in the HUD regulations and HHA policies. If the grounds for termination are not specified in the regulations or in compliance with HHA policies, then the decision of the HHA will be overturned.
The hearing officer will issue a written decision to the family and the HHA no later than 10 business days after the hearing. The report will contain the following information:
• Hearing information:
o Name of the participant;
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o Date, time and place of the hearing;
o Name of the hearing officer;
o Name of the HHA representative; and
o Name of family representative [if any].
• Background: A brief, impartial statement of the reason for the hearing.
• Summary of the Evidence: The hearing officer will summarize the testimony of each witness and identify any documents that a witness produced in support of his/her testimony and that are admitted into evidence.
• Findings of Fact: The hearing officer will include all findings of fact, based on a preponderance of the evidence. Preponderance of the evidence is defined as evidence which is of greater weight or more convincing than the evidence which is offered in opposition to it; that is, evidence which as a whole shows that the fact sought to be proved is more probable than not. Preponderance of the evidence may not be determined by the number of witnesses, but by the greater weight of all evidence.
• Conclusions: The hearing officer will render a conclusion derived from the facts that were found to be true by a preponderance of the evidence. The conclusion will result in a determination of whether these facts uphold the HHA’s decision.
• Order: The hearing report will include a statement of whether the HHA’s decision is upheld or overturned. If it is overturned, the hearing officer will instruct the HHA to change the decision in accordance with the hearing officer’s determination. In the case of termination of assistance, the hearing officer will instruct the HHA to restore the participant’s program status.
18.3.11 PROCEDURES FOR REHEARING OR FURTHER HEARING
The Hearing Officer may ask the family for additional information and/or might adjourn the hearing in order to reconvene at a later date, before reaching a decision. If the family misses an appointment or deadline ordered by the Hearing Officer, the action of HHA will take effect and another hearing will not be granted.
In addition, within 10 business days after the date the hearing officer’s report is mailed to the HHA and the participant, the HHA or the participant may request a rehearing or a further hearing. Such request must be made in writing and postmarked or hand-delivered to the hearing officer and to the other party within the 10 business day period. The request must demonstrate cause, supported by specific references to the hearing officer’s report, why the request should be granted
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A rehearing or a further hearing may be requested for the purpose of rectifying any obvious mistake of law made during the hearing or any obvious injustice not known at the time of the hearing.
It shall be within the sole discretion of HHA to grant or deny the request for further hearing or rehearing. A further hearing may be limited to written submissions by the parties, in the manner specified by the Hearing Officer.
18.3.12 HHA NOTICE OF FINAL DECISION
The HHA is not bound by the decision of the hearing officer for matters in which the HHA is not required to provide an opportunity for a hearing, decisions that exceed the authority of the hearing officer, decisions that conflict with or contradict HUD regulations, requirements, or are otherwise contrary to Federal, State or local laws.
If the HHA determines it is not bound by the hearing officer’s decision in accordance with HUD regulations, the HHA must promptly notify the family of the determination and the reason for the determination.
HHA will mail a “Notice of Final Decision” including the Hearing Officer’s report, to the family and their representative. This Notice will be sent by first-class mail. The family will be mailed the original “Notice of Final Decision”. A copy of the “Notice of Final Decision” will be maintained in HHA’s file.
18.4 HEARING AND APPEAL PROVISIONS FOR NON-CITIZENS
Denial or termination of assistance based on immigration status is subject to special hearing and notice rules. Applicants who are denied assistance due to immigration status are entitled to an informal hearing, not an informal review.
Assistance to a family may not be delayed, denied, or terminated on the basis of immigration status at any time prior to a decision under the United States Citizenship and Immigration Services (USCIS) appeal process. Assistance to a family may not be terminated or denied while a HHA hearing is pending, but assistance to an applicant may be delayed pending the completion of the informal hearing.
A decision against a family member, issued in accordance with the USCIS appeal process or HHA informal hearing process, does not preclude the family from exercising the right, that may otherwise be available, to seek redress directly through judicial procedures.
18.5 NOTICE OF DENIAL OR TERMINATION OF ASSISTANCE FOR NON- CITIZENS
The notice of denial or termination of assistance for non-citizens will inform the family of the following:
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• That financial assistance will be denied or terminated, and provide a brief explanation of the reasons for the proposed denial or termination of assistance;
• The family may be eligible for proration of assistance;
• In the case of a participant, the criteria and procedures for obtaining relief under the provisions for preservation of households;
• That the family has a right to request an appeal to the USCIS of the results of secondary verification of immigration status and to submit additional documentation or explanation in support of the appeal; and
• That the family has a right to request an informal hearing with HHA either upon completion of the USCIS appeal or in lieu of the USCIS appeal.
• For applicants, assistance may not be delayed until the conclusion of the USCIS appeal process, but assistance may be delayed during the period of the informal hearing process.
18.6 USCIS APPEAL PROCESS
When HHA receives notification that the USCIS secondary verification failed to confirm eligible immigration status, HHA will notify the family of the results of the USCIS verification. The family will have 30 days from the date of the notification to request an appeal of the USCIS results. The request for appeal must be made by the family in writing directly to the USCIS. The family must provide HHA with a copy of the written request for appeal and the proof of mailing.
HHA will notify the family in writing of the results of the USCIS secondary verification within 10 business days of receiving the results.
The family must provide HHA with a copy of the written request for appeal and proof of mailing within 10 business days of sending the request to the USCIS.
The family must forward to the designated USCIS office any additional documentation or written explanation in support of the appeal. This material must include a copy of the USCIS document verification request (used to process the secondary request) or such other form specified by the USCIS, and a letter indicating that the family is requesting an appeal of the USCIS immigration status verification results.
The USCIS will notify the family, with a copy to HHA, of its decision. When the USCIS notifies HHA of the decision, HHA will notify the family of its right to request an informal hearing.
HHA will send written notice to the family of its right to request an informal hearing within 10 business days of receiving notice of the USCIS decision regarding the family’s immigration status.
18.7 INFORMAL HEARING PROCEDURES FOR APPLICANTS - CITIZENSHIP
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After notification of the USCIS decision on appeal, or in lieu of an appeal to the USCIS, the family may request that HHA provide a hearing. The request for a hearing must be made either within 30 days of receipt of HHA’s notice of denial, or within 30 days of receipt of the USCIS appeal decision.
18.7.1 EVIDENCE
The family must be provided the opportunity to examine and copy at the family’s expense, at a reasonable time in advance of the hearing, any documents in the possession of HHA pertaining to the family’s eligibility status, or in the possession of the USCIS (as permitted by USCIS requirements), including any records and regulations that may be relevant to the hearing.
The family will be allowed to copy any documents related to the hearing at its own cost. The family must request discovery of HHA documents no later than 12:00 p.m. on the business day prior to the hearing.
The family will be provided the opportunity to present evidence and arguments in support of eligible status. Evidence may be considered without regard to admissibility under the rules of evidence applicable to judicial proceedings.
The family will also be provided the opportunity to refute evidence relied upon by HHA, and to confront and cross-examine all witnesses on whose testimony or information HHA relies.
18.7.2 REPRESENTATION AND INTERPRETIVE SERVICES
The family is entitled to be represented by an attorney or other designee, at the family’s expense, and to have such person make statements on the family’s behalf.
The family is entitled to arrange for an interpreter to attend the hearing, at the expense of the family, or HHA, as may be agreed upon by the two parties.
The family is entitled to have the hearing recorded by audiotape. The HHA may, but is not required to provide a transcript of the hearing. The HHA will not provide a transcript of an audio taped hearing.
18.7.3 HEARING DECISION
HHA will provide the family with a written final decision, based solely on the facts presented at the hearing. The written decision will state the basis for the final decision.
18.7.4 RETENTION OF DOCUMENTS
HHA will retain for a minimum of 5 years the following documents that may have been submitted to HHA by the family, or provided to HHA as part of the USCIS appeal or the HHA informal hearing process:
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• The application for assistance;
• The form completed by the family for income recertification;
• Photocopies of any original documents, including original USCIS documents;
• The signed verification consent form;
• The USCIS verification results;
• The request for a USCIS appeal;
• The final USCIS determination;
• The request for an informal hearing; and
• The final informal hearing decision.
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CHAPTER 19: TERMINATION OF ASSISTANCE AND TENANCY
19.1 OVERVIEW
HUD regulations specify the reasons for which a HHA can terminate a family’s assistance, and the ways in which such terminations must take place. They also dictate the circumstances under which an owner may terminate the tenancy of an assisted family. This chapter presents the policies that govern voluntary and involuntary terminations of assistance, and termination of tenancy by the owner.
19.2 GROUNDS FOR TERMINATION OF ASSISTANCE
HUD requires the HHA to terminate assistance for certain offenses and when the family no longer requires assistance. HUD permits the HHA to terminate assistance for certain other actions family members take or fail to take. In addition, a family may decide to stop receiving HCV assistance at any time by notifying the HHA.
19.3 REINSTATEMENT AFTER TERMINATION OF ASSISTANCE
HHA may reinstate a family who was terminated and who did not request a hearing within the required time frame if the termination is confirmed to be a wrongful termination.
19.4 HOUSEHOLD NO LONGER REQUIRES ASSISTANCE
As a family’s income increases, the amount of HHA subsidy goes down. If the amount of HCV assistance provided by HHA drops to zero and remains at zero for 180 consecutive calendar days the family's assistance terminates automatically.
If a participating family receiving zero assistance experiences a change in circumstances that would cause the HAP payment to rise above zero, the family must notify HHA of the changed circumstances and request an interim recertification before the expiration of the 180-day period.
19.5 HOUSEHOLD CHOOSES TO TERMINATE ASSISTANCE
The request to terminate assistance should be made in writing and signed by the head of household, spouse, or co-head. Before terminating the family’s assistance, HHA will follow its policies on Notice requirements.
19.6 TERMINATION DUE TO EVICTION
HHA will terminate assistance whenever a family is evicted from a unit assisted under the HCV program for a serious or repeated violation of the lease. In the case of victims or threatened victims of violence or stalking, incidents of actual or threatened violence, dating violence, sexual assault or stalking may not be construed as serious or repeated violations of the lease by the victim/threatened victim.
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A family will be considered evicted if the family moves after a legal eviction order has been issued, whether or not physical enforcement of the order was necessary. If a family moves after the owner has given the family an eviction notice for serious or repeated lease violations but before a legal eviction order has been issued, termination of assistance is not mandatory. However, HHA will determine whether the family has committed serious or repeated violations of the lease based on available evidence and may terminate assistance.
Serious and repeated lease violations will include, but not be limited to:
• Nonpayment of rent;
• Disturbance of neighbors;
• Destruction of property;
• Living or housekeeping habits that cause damage to the unit or premises; and
• Criminal activity.
Generally, the criteria to be used are whether the reason for the eviction was through no fault of the tenant or guests.
19.7 TERMINATION DUE TO FAILURE TO PROVIDE CONSENT
HHA will terminate assistance if any household member fails to sign and submit any consent form they are required to sign for a recertification.
19.8 TERMINATION DUE TO FAILURE TO DOCUMENT CITIZENSHIP
HHA will terminate assistance if:
• A family fails to submit required documentation within the required timeframe concerning any family member’s citizenship or immigration status;
• A family submits evidence of citizenship and eligible immigration status in a timely manner, but United States Citizenship and Immigration Services (USCIS) primary and secondary verification does not verify eligible immigration status of the family; or
• A family member, as determined by HHA, has knowingly permitted another individual who is not eligible for assistance to reside (on a permanent basis) in the unit. Such termination will be for a period of at least 24 months. This does not apply to ineligible non-citizens already in the family where the family’s assistance has been prorated.
19.8.1 NOTICE REQUIRMENT FOR TERMINATION DUE TO CITIZENSHIP DOCUMENTATION
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The notice of termination must advise the family of the reasons their assistance is being terminated, that they may be eligible for proration of assistance, the criteria and procedures for obtaining relief under the provisions for preservation of families, that they have the right to request an appeal to the USCIS of the results of secondary verification of immigration status and to submit additional documentation or a written explanation in support of the appeal, and that they have the right to request an informal hearing with the HHA either upon completion of the USCIS appeal or in lieu of the USCIS appeal. Informal hearing procedures are contained in the section on HEARING AND APPEAL PROVISIONS FOR NON-CITIZENS.
19.9 TERMINATION DUE TO FAILURE TO PROVIDE SOCIAL SECURITY DOCUMENTATION
HHA will terminate assistance if a household fails to provide the documentation or certification required for any household member who obtains a social security number or joins the household.
19.10 TERMINATION DUE TO MANUFACTURE OR PRODUCTION OF METHAMPHETAMINE
HHA will terminate assistance if any household member has ever been convicted of the manufacture or production of methamphetamine on the premises of federally-assisted housing.
19.11 TERMINATION DUE TO FAILURE OF STUDENTS TO MEET ONGOING ELIGIBILITY REQUIREMENTS
See policies on DETERMING ONGOING ELIGIBILITY OF CERTAIN STUDENTS for policies related to Student continued eligibility requirements.
19.12 TERMINATION DUE TO DRUG AND ALCOHOL ABUSE
HHA will terminate a household’s assistance if:
• Any household member is currently engaged in any illegal use of a drug, or has a pattern of illegal drug use that interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents;
• Any household member’s abuse or pattern of abuse of alcohol may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents;
• Any household member has violated the family’s obligation not to engage in any drug- related criminal activity; or
• Any household member has violated the family’s obligation not to engage in violent criminal activity.
“Currently engaged in” is defined as any use of illegal drugs during the previous six months.
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19.13 TERMINATION DUE TO DRUG-RELATED AND VIOLENT CRIMINAL ACTIVITY
Drug means a controlled substance as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802).
Drug-related criminal activity is defined by HUD as the illegal manufacture, sale, distribution, or use of a drug, or the possession of a drug with intent to manufacture, sell, distribute or use the drug.
Violent criminal activity means any criminal activity that has as one of its elements the use, attempted use, or threatened use of physical force substantial enough to cause, or be reasonably likely to cause, serious bodily injury or property damage.
HHA will terminate a family’s assistance if any household member has violated the household’s obligation not to engage in any drug-related or violent criminal activity during participation in the HCV program.
19.14 TERMINATION DUE TO STATE REGISTERED LIFETIME SEX OFFENDER STATUS
HUD regulations at 24 CFR § 5.856 and § 982.553(a)(2) prohibit admission after June 25, 2001, if any member of a household is subject to a state lifetime sex offender registration requirement. This regulation reflects a statutory prohibition. A family receiving assistance with such a member is receiving assistance in violation of federal law.
If HHA discovers that a household member was erroneously admitted (the household member was subject to a lifetime registration requirement at admission and was admitted after June 25, 2001), HHA will immediately pursue termination of assistance for the household member. Regulations for hearings for the HCV program at 24 CFR § 982.555 continue to apply. If HHA erroneously admitted a lifetime sex offender, HHA will give the family the opportunity to remove the ineligible household member from the family. If the family is unwilling to remove that individual from the household, HHA will terminate assistance for the family.
For admissions before June 25, 2001, there is currently no HUD statutory or regulatory basis to evict or terminate the assistance of the family solely on the basis of a household member’s sex offender registration status.
19.15 OTHER AUTHORIZED REASONS FOR TERMINATION OF ASSISTANCE
HHA may terminate a family’s assistance if:
• The family has failed to comply with any family obligations under the program;
• Any household member has been evicted from federally-assisted housing in the last three five years;
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• Any HA has ever terminated assistance under the program for any member of the household;
• Any household member has committed fraud, bribery, or any other corrupt or criminal act in connection with any federal housing program;
• The family currently owes rent or other amounts to any HA in connection with the HCV, Certificate, Moderate Rehabilitation or PH programs;
• The family has not reimbursed any HHA for amounts the HHA paid to an owner under a HAP contract for rent, damages to the unit, or other amounts owed by the family under the lease;
• The family underreported or did not report income;
• The family has breached the terms of a repayment agreement entered into with HHA;
• A household member has engaged in or threatened violent or abusive behavior toward HHA personnel. “Abusive or violent behavior towards HHA personnel” includes verbal as well as physical abuse or violence. Use of racial epithets, or other language, written or oral, that is customarily used to intimidate may be considered abusive or violent behavior. “Threatening” refers to oral or written threats or physical gestures that communicate intent to abuse or commit violence.
In making its decision to terminate assistance, HHA may consider alternatives as and specific circumstances as described in chapter. Upon consideration of such alternatives and factors, the HHA may, on a case-by-case basis, choose not to terminate assistance.
19.16 INSUFFICIENT FUNDING
HHA may terminate a family’s HAP contract if HHA determines that HCV funding is insufficient to support continued assistance for households in the program.
19.17 FAMILY ABSENCE FROM THE UNIT
If the family is absent from the unit for more than 180 consecutive calendar days, the family’s assistance will be terminated. Notice of termination will be sent in accordance with TERMINATION NOTICE policies. See policies on ABSENT FAMILY for additional information on family absence from the unit.
19.18 MISSED APPOINTMENTS AND DEADLINES
It is a family obligation to supply information, documentation, and certification as needed for HHA to fulfill its responsibilities. HHA schedules appointments and sets deadlines in order to obtain required information. The obligations also require that the family allow HHA to inspect the unit. Appointments are made for this purpose.
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An applicant or tenant who fails to keep an appointment, or to supply information required by a deadline without notifying HHA, may be sent a Notice of Denial or Termination of Assistance.
Appointments will be scheduled and time requirements will be imposed for the following events and circumstances:
• Eligibility for Admissions;
• Verification Procedures;
• Voucher Issuance and Briefings;
• Housing Quality Standards and Inspections;
• Recertifications; and
• Appeals.
The family will be given two opportunities before being issued a notice of termination or denial for breach of a family obligation. After issuance of the termination notice, if the family offers to correct the breach within the time allowed to request a hearing, the notice will be rescinded if the family offers to cure and the family does not have a history of non-compliance. Termination is subject to a request for reasonable accommodations. Where a family notified HHA on a timely basis of the need to reschedule an appointment, the appointment is not considered a missed appointment or deadline.
Acceptable reasons for missing appointments or failing to provide information by deadlines include, but are not limited the reasons outlined below. HHA will require 3rd party verification to confirm the events below.
• Medical emergency;
• Incarceration; and
• Family emergency.
19.19 TERMINATING THE ASSISTANCE OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT OR STALKING VICTIMS AND PERPETRATORS
See VIOLENCE AGAINST WOMEN ACT PROTECTIONS for policies related to VAWA.
19.20 METHOD OF TERMINATION
Termination of assistance may include any or all of the following:
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• Terminating housing assistance payments under a current HAP contract;
• Refusing to approve a request for tenancy or to enter into a new HAP contract; or
• Refusing to process a request for or refusing to provide assistance under portability procedures.
19.20.1 CRITERIA FOR DECIDING TO TERMINATE ASSISTANCE
HHA will consider all credible evidence, including but not limited to, any record of arrests and/or convictions of household members related to drug-related or violent criminal activity, and any eviction or notice to evict based on drug-related or violent criminal activity.
HHA will use the concept of preponderance of the evidence as the standard for making all termination decisions.
“Preponderance of the evidence” is defined as evidence which is of greater weight or more convincing than the evidence which is offered in opposition to it; that is, evidence which as a whole shows that the fact sought to be proved is more probable than not. Preponderance of the evidence may not be determined by the number of witnesses, but by the greater weight of all evidence.
19.20.2 EVIDENCE
HHA will terminate assistance if a preponderance of the evidence indicates that a household member has engaged in the activity, regardless of whether the household member has been arrested or convicted.
Credible evidence may be obtained from police and/or court records. Testimony from neighbors, when combined with other factual evidence can be considered credible evidence. Other credible evidence includes documentation of drug raids or arrest warrants. HHA will pursue fact-finding efforts as needed to obtain credible evidence.
19.21 ALTERNATIVES TO TERMINATION
In making its decision to terminate assistance, HHA may consider alternatives and specific circumstances as described in this chapter. Upon consideration of such alternatives and factors, HHA may, on a case-by-case basis, choose not to terminate assistance
19.21.1 CONSIDERATION OF CIRCUMSTANCES
HHA may consider the following factors when making its decision to terminate assistance:
• The seriousness of the case, especially with respect to how it would affect other tenants;
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• The effects that termination of assistance may have on other members of the family who were not involved in the action or failure;
• The extent of participation or culpability of individual household members, including whether the culpable household member is a minor or a person with disabilities or a victim of domestic violence, dating violence, sexual assault or stalking;
• The length of time since the violation occurred, the household’s recent history and the likelihood of favorable conduct in the future;
• In the case of drug or alcohol abuse, whether the culpable household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program or has otherwise been rehabilitated successfully ; and
• In the case of program abuse, the dollar amount of the overpaid assistance and whether or not a false certification was signed by the family.
HHA will require the tenant to submit evidence of the household member’s current participation in or successful completion of a supervised drug or alcohol rehabilitation program, or evidence of otherwise having been rehabilitated successfully.
19.21.2 REASONABLE ACCOMMODATION
If the family includes a person with disabilities, the HHA’s decision to terminate the family’s assistance is subject to consideration of reasonable accommodation in accordance with 24 CFR Part 8.
If a family indicates that the behavior of a family member with a disability is the reason for a proposed termination of assistance, HHA will determine whether the behavior is related to the disability. If so, upon the family’s request, HHA will determine whether alternative measures are appropriate as a reasonable accommodation. HHA will only consider accommodations that can reasonably be expected to address the behavior that is the basis of the proposed termination of assistance. See the policies on REASONABLE ACCOMMODATION for a full discussion of reasonable accommodation.
19.21.3 REMOVAL OF HOUSEHOLD MEMBER
As a condition of continued assistance, HHA may require that any family member who participated in or was responsible for an offense no longer resides in the unit.
As a condition of continued assistance, the head of household must certify that the culpable household member has vacated the unit and will not be permitted to visit or to stay as a guest in the assisted unit. The household must present evidence of the former household member’s current address upon HHA request.
19.22 REPAYMENT OF FAMILY DEBTS
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If a family owes amounts to HHA, as a condition of continued assistance, HHA will require the family to repay the full amount or to enter into a repayment agreement, within 30 days of receiving notice from HHA of the amount owed. See REPAYMENT POLICY for policies on repayment agreements.
19.23 TERMINATION NOTICE
If a family’s assistance is to be terminated, whether voluntarily or involuntarily, HHA will give the family and the owner written notice that specifies:
• The reasons for which assistance has been terminated ;
• The effective date of the termination;
• The family’s right to an informal hearing as described in the chapter on INFORMAL REVIEWS AND HEARINGS; and
• Rights under VAWA 2013 notice of VAWA. HHA will also provide with the termination notice, the HUD VAWA Certification form.
If a criminal record is the basis of the termination, a copy of the record will accompany the notice. A copy of the criminal record also must be provided to the subject of the record.
When termination is initiated by HHA, the notice to terminate will be sent to the family and the owner at least 30 calendar days prior to the effective date of the termination. However, if a family vacates the unit without informing HHA, 30 days’ notice will not be given. In these cases, the notice to terminate will be sent at the time HHA learns the family has vacated the unit.
19.23.1 NOTICE REQUIREMENT – FAMILY INITIATED TERMINATION
When a family requests to be terminated from the program they must do so in writing. HHA will then send a confirmation notice to the family and the owner no later than the termination effective date (as requested by the family).
19.24 HOW TERMINATION OF ASSISTANCE AFFECTS THE HAP CONTRACT AND LEASE
When the family’s assistance is terminated, the lease and HAP contract terminate automatically. The owner may offer the family a separate unassisted lease.
19.25 TERMINATION OF TENANCY BY THE OWNER
Termination of an assisted tenancy is a matter between the owner and the family; HHA is not directly involved. However, the owner is under some constraints when terminating an assisted
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tenancy, and the reasons for which a tenancy is terminated dictate whether assistance also will be terminated.
During the term of the lease, the owner is not permitted to terminate the tenancy except for serious or repeated violations of the lease, certain violations of state or local law, or other good cause.
19.25.1 OWNER DECISION WHETHER TO TERMINATE TENANCY
An owner who has grounds to terminate a tenancy is not required to do so, and may consider all of the circumstances relevant to a particular case before making a decision. These might include:
• The nature of the offending action;
• The seriousness of the offending action;
• The effect on the community of the termination, or of the owner’s failure to terminate the tenancy;
• The extent of participation by the leaseholder in the offending action;
• The effect of termination of tenancy on family members not involved in the offending activity;
• The demand for assisted housing by households who will adhere to lease responsibilities;
• The extent to which the leaseholder has shown personal responsibility and taken all reasonable steps to prevent or mitigate the offending action; and
• The effect of the owner's action on the integrity of the program.
The owner may require a tenant to exclude a household member in order to continue to reside in the assisted unit, where that household member has participated in or been culpable for action or failure to act that warrants termination.
In determining whether to terminate tenancy for illegal use of drugs or alcohol abuse by a household member who is no longer engaged in such behavior, the owner may consider whether such household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program, or has otherwise been rehabilitated successfully. For this purpose, the owner may require the tenant to submit evidence of the household member's current participation in, or successful completion of, a supervised drug or alcohol rehabilitation program or evidence of otherwise having been rehabilitated successfully.
The owner's termination of tenancy actions must be consistent with the fair housing and equal opportunity provisions in 24 C.F.R. § 5.105.
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An owner’s decision to terminate tenancy for incidents related to domestic violence, dating violence, stalking or sexual assault is limited by the Violence Against Women Reauthorization Act of 2013 (VAWA).
19.25.2 TERMINATION BY THE OWNER DUE TO SERIOUS OR REPEATED LEASE VIOLATIONS
The owner is permitted to terminate the family’s tenancy for serious or repeated violations of the terms and conditions of the lease, including failure to pay rent or other amounts due under the lease, except when the violations are related to incidents of actual or threatened domestic violence, dating violence, sexual assault or stalking against that tenant.
HHA’s failure to make a HAP payment to the owner is not a violation of the lease between the family and the owner.
19.25.3 TERMINATION BY THE OWNER DUE TO VIOLATION OF FEDERAL, STATE, OR LOCAL LAW
The owner is permitted to terminate the tenancy if a family member violates federal, State, or local law that imposes obligations in connection with the occupancy or use of the premises.
19.25.4 TERMINATION BY THE OWNER DUE TO CRIMINAL ACTIVITY OR ALCOHOL ABUSE
The owner may terminate tenancy during the term of the lease if any covered person, meaning any member of the household, a guest or another person under the tenant’s control commits any of the following types of criminal activity:
• Any criminal activity that threatens the health or safety of, or the right to peaceful enjoyment of the premises by, other residents (including property management staff residing on the premises);
• Any criminal activity that threatens the health or safety of, or the right to peaceful enjoyment of their residences by, persons residing in the immediate vicinity of the premises;
• Any violent criminal activity on or near the premises; or
• Any drug-related criminal activity on or near the premises.
The owner may terminate tenancy during the term of the lease if any member of the household is:
• Fleeing to avoid prosecution, custody, or confinement after conviction for a crime or an attempt to commit a crime that is a felony under the laws of the place from which the individual flees, or that, in the case of the State of Massachusetts, is a high misdemeanor; or
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• Violating a condition of probation or parole imposed under federal or state law.
The owner may terminate tenancy for criminal activity by a household member if the owner determines that the household member has committed the criminal activity, regardless of whether the household member has been arrested or convicted for such activity.
The owner may terminate tenancy during the term of the lease if any member of the household has engaged in abuse of alcohol that threatens the health, safety, or right to peaceful enjoyment of the premises by other residents.
19.26 TERMINATION BY OWNER - EVIDENCE OF CRIMINAL ACTIVITY
The owner may terminate tenancy and evict by judicial action a household for criminal activity by a covered person if the owner determines they have engaged in the criminal activity, regardless of arrest or conviction and without satisfying the standard of proof used for a criminal conviction, except in certain incidents where the criminal activity directly relates to domestic violence, dating violence, sexual assault or stalking and the tenant or an immediate member of the tenant’s family is the victim or threatened victim of the domestic violence, dating violence, sexual assault or stalking.
19.27 TERMINATION BY OWNER DUE TO OTHER GOOD CAUSE
During the initial lease term, the owner may not terminate the tenancy for “other good cause” unless the owner is terminating the tenancy because of something the household did or failed to do. During the initial lease term or during any extension term, other good cause includes the disturbance of neighbors, destruction of property, or living or housekeeping habits that cause damage to the unit or premises.
After the initial lease term, “other good cause” for termination of tenancy by the owner includes:
• Failure by the family to accept the offer of a new lease or revision;
• The owner's desire to use the unit for personal or family use, or for a purpose other than as a residential rental unit; or
• A business or economic reason for termination of the tenancy (such as sale of the property, renovation of the unit, or desire to lease the unit at a higher rent).
After the initial lease term, the owner may give the family notice at any time, in accordance with the terms of the lease.
19.28 OWNER INITIATED EVICTION
The owner must give the tenant a written notice that specifies the grounds for termination of tenancy during the term of the lease. The tenancy does not terminate before the owner has given this notice, and the notice must be given at or before commencement of the eviction action.
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The notice of grounds for termination may be included in, or may be combined with, any owner eviction notice to the tenant.
Owner eviction notice means a notice to vacate, or a complaint or other initial pleading used under state or local law to commence an eviction action. The owner may only evict the family from the unit by instituting a court action.
The owner must give HHA a copy of any eviction notice at the same time the owner notifies the family. The family is also required to give HHA a copy of any eviction notice.
If the eviction action is finalized in court, the owner must provide HHA with documentation related to the eviction, including notice of the eviction date, as soon as possible, but no later than 5 business days following the court-ordered eviction.
19.29 EFFECT OF OWNER TENANCY TERMINATION ON THE HOUSEHOLD’S ASSISTANCE
If a termination is not due to a serious or repeated violation of the lease, and if HHA has no other grounds for termination of assistance, HHA may issue a new voucher so that the family can move with continued assistance.
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CHAPTER 20: PROGRAM INTEGRITY
20.1 INTRODUCTION
HHA is committed to ensuring that the proper level of benefits is paid to all participating households and that housing resources reach only income-eligible households so that program integrity can be maintained. Further, HHA will take all steps necessary to prevent fraud, waste, and mismanagement so that program resources are utilized judiciously. This chapter outlines HHA's policies for the prevention, detection, and investigation of program abuse and fraud.
20.2 PREVENTING AND DETECTING PROGRAM ABUSE AND FRAUD PROGRAM ABUSE
HHA management and staff will utilize various methods and practices to prevent program abuse, noncompliance, and willful violations of program rules by applicants and tenants. This policy objective is to establish confidence and trust in the management by emphasizing education as the primary means to obtain compliance by tenants.
HHA will work to increase tenant awareness of the importance of program integrity using a variety of methods, including but not limited to, distribution of informational brochures, orientation, tenant counseling and use of instructive signs and warnings.
In addition to taking steps to prevent errors and program abuse, HHA will use a variety of activities to detect errors and program abuse.
HHA will use the results of monitoring reports to identify potential program abuses as well as to assess the effectiveness of HHA’s error detection and abuse prevention efforts. HHA will encourage staff, program participants, and the public to report possible program abuse.
20.3 INVESTIGATION
20.3.1 WHEN HHA WILL INVESTIGATE
HHA will review referrals, specific allegations, complaints, and tips from any source, including other agencies, companies, and individuals, to determine if they warrant investigation. In order for HHA to investigate, the allegation must contain at least one independently-verifiable item of information, such as the name of an employer or the name of an unauthorized household member.
HHA will investigate inconsistent information related to the family that is identified through file reviews and the verification process.
Investigated complaints include, but are not limited to, the following:
• Illegal drug activity;
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• Fraud;
• Violent criminal activity;
• Unauthorized occupancy;
• Subletting;
• Failure to report a change in household composition;
• Participant vacating without notice;
• Unreported income;
• Housing Quality Standards violations;
• Owner overcharging participants;
• Activities that threaten the right to peaceful enjoyment of the premises by other residents; and
• Nuisance.
HHA cooperates with local police and other appropriate agencies when complaints are received from individuals regarding units that are not owned or operated by HHA, but are owned by landlords participating in one of HHA’s assisted housing programs. This cooperation includes sharing pertinent information and acting as liaison between the local police or other agencies and the owner. However, HHA does not itself investigate complaints regarding units that are not assisted by HHA. The foregoing does not preclude HHA from gathering general data regarding units in neighborhoods with HHA-assisted properties.
20.3.2 CONSENT TO RELEASE OF INFORMATION
HHA may investigate possible instances of error or abuse using all available HHA and public records. If necessary, HHA will require HCV families to give consent to the release of additional information.
20.3.3 ANALYSIS AND FINDINGS
HHA will base its evaluation on a preponderance of the evidence collected during its investigation. See definition of preponderance of evidence in the section on CRITERIA FOR DECIDING TO TERMINATE ASSISTANCE
For each investigation HHA will determine:
• Whether an error or program abuse has occurred;
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• Whether any amount of money is owed HHA; and
• What corrective measures or penalties will be assessed.
20.3.4 CONSIDERATION OF REMEDIES
All errors and instances of program abuse must be corrected prospectively. Whether HHA will enforce other corrective actions and penalties depends upon the nature of the error or program abuse.
In the case of family-caused errors or program abuse, HHA will take into consideration:
• The seriousness of the offense and the extent of participation or culpability of individual family members;
• Any special circumstances surrounding the case;
• Any mitigating circumstances related to the disability of a family member; and
• The effects of a particular remedy on family members who were not involved in the offense.
In the case of owner-caused errors or program abuse, HHA will take into consideration:
• The seriousness of the offense;
• The length of time since the violation has occurred, and
• The effects of a particular remedy on family members who were not involved in the offense.
20.4 NOTICE AND APPEALS
HHA will inform the relevant party in writing of its findings and remedies within 10 business days of the conclusion of the investigation. The notice will include:
• A description of the error or program abuse;
• The basis on which HHA determined the error or program abuses;
• The remedies to be employed; and
• The family’s right to appeal the results through the informal review or hearing process, if applicable (See the chapter on INFORMAL REVIEWS AND HEARINGS).
20.4.1 HHA CAUSED UNDER OR OVERPAYMENT
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HHA-caused incorrect subsidy determinations include:
• Failing to correctly apply HCV rules regarding family composition, income, assets, and expenses;
• An incorrect housing assistance payment to the owner;
• An incorrect family share established for the family; and
• An incorrect utility reimbursement to a family
• Assigning the incorrect voucher size to a family; and
• Errors in calculation.
An under or overpayment includes an incorrect tenant rent payment by the family, or an incorrect utility reimbursement to a family.
Corrections Whether the incorrect subsidy determination is an overpayment or underpayment due to a HHA error, HHA must promptly correct the tenant rent and any utility reimbursement.
Increases in the family share will be implemented only after the family has received 30 days’ notice. Any decreases in the family share will become effective the first of the month following the discovery of the error.
The family is not required to repay an underpayment of rent resulting from errors caused by HHA staff or program abuse by HHA staff.
20.5 DEBTS TO HHA
When an action or inaction of an owner or participant results in the overpayment of housing assistance, HHA holds the owner or participant liable to return any overpayments to HHA. HHA will enter into repayment agreements in accordance with the policies contained in this part as a means to recover overpayments.
When an owner or participant refuses to repay monies owed to HHA, HHA will utilize other available collection alternatives including, but not limited to, the following:
• Collection agencies
• Small claims court
• Civil law suit
• State income tax set-off program
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Owner Debts to HHA An incorrect subsidy determination caused by an owner generally would be the result of an incorrect owner statement about the characteristics of the assisted unit (e.g., the number of bedrooms, which utilities are paid by the family). Owner error or abuse also includes accepting duplicate housing assistance payments for the same unit in the same month, or after a family no longer resides in the unit.
Any amount due to HHA by an owner must be repaid by the owner within 30 days of HHA determination of the debt. If the owner fails to repay the debt within the required time frame and is entitled to future HAP payments, HHA will reduce the future HAP payments by the amount owed until the debt is paid in full.
If the owner is not entitled to future HAP payments HHA may, in its sole discretion, offer to enter into a repayment agreement on terms prescribed by HHA.
If the owner refuses to repay the debt, does not enter into a repayment agreement, or breaches a repayment agreement, HHA will ban the owner from future participation in the program and pursue other modes of collection.
Family Debts to HHA An incorrect rent determination caused by a family generally would be the result of incorrect reporting of household composition, income, assets, or expenses, but also would include instances in which the family knowingly allows HHA to use incorrect information provided by a third party. HHA will not reimburse the family for any overpayment of rent when the family causes the overpayment.
Any amount owed to HHA by the family must be repaid by the family. If the family is unable to repay the debt within 30 days, HHA may offer to enter into a repayment agreement in accordance with the policies in this Plan.
If the family refuses to repay the debt, does not enter into a repayment agreement, or breaches a repayment agreement, HHA will terminate assistance in accordance with the policies in this Plan and pursue other modes of collection.
20.6 REPAYMENT AGREEMENTS
The term repayment agreement refers to a formal written document signed by a tenant or owner and provided to HHA in which a tenant or owner acknowledges a debt in a specific amount and agrees to repay the amount due at specific time periods. HHA may, but is not required to enter into a repayment agreement.
Down Payment Requirement Prior to the execution of a repayment agreement, the owner or family must pay 10 percent of the balance owed to HHA.
Payment Thresholds
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• Amounts between $3,000 and the Federal or State threshold for criminal prosecution must be repaid within 36 months.
• Amounts between $2,000 and $2,999 must be repaid within 30 months.
• Amounts between $1,000 and $1,999 must be repaid within 24 months.
• Amounts under $1,000 must be repaid within 12 months.
Execution of the Agreement The head of household and spouse/co-head [if applicable] must sign the repayment agreement.
Due Dates All payments are due by the close of business on the 15th day of the month or on a mutually agreed upon due date reflected in the repayment agreement. If the 15th does not fall on a business day, the due date is the close of business on the first business day after the 15th, unless other arrangements have been agreed upon by both the debtor and HHA in writing.
Late or Missed Payments If a payment is not received by the end of the business day on the date due, and prior approval for the missed payment has not been given by HHA, HHA will send the family a delinquency notice giving the family 10 business days to make the late payment. If the payment is not received by the due date of the delinquency notice, it will be considered a breach of the agreement and HHA will terminate assistance upon written notification to the family.
If a family receives 3 delinquency notices for unexcused late payments in a 12 month period, the repayment agreement will be considered in default, and HHA will terminate assistance upon written notification to the family.
No Offer of Repayment Agreement HHA will not enter into a repayment agreement if there is already a repayment agreement in place with the family or owner, or the amounts owed by the family or owner exceed the Federal or State threshold for criminal prosecution.
Repayment Agreements Involving Improper Payments Notice PIH 2010-19 requires certain provisions to be included in any repayment agreement involving amounts owed by a family because it underreported or failed to report income:
• A reference to the items in the family briefing packet that state the family’s obligation to provide true and complete information at every reexamination and the grounds on which HHA may terminate assistance because of a family’s action or failure to act;
• A statement clarifying that each month the family not only must pay to HHA the monthly payment amount specified in the agreement but must also pay to the owner the family’s monthly share of the rent to owner;
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• A statement that the terms of the repayment agreement may be renegotiated if the family’s income decreases or increases; and
• A statement that late or missed payments constitute default of the repayment agreement and may result in termination of assistance.
20.7 FAMILY-CAUSED ERRORS AND PROGRAM ABUSE
In the case of family-caused errors or program abuse, HHA will take into consideration:
• The seriousness of the offense and the extent of participation or culpability of individual family members;
• Any special circumstances surrounding the case;
• Any mitigating circumstances related to the disability of a family member; and
• The effects of a particular remedy on family members who were not involved in the offense.
In the case of family-caused errors or program abuse, the family will be required to repay any excess subsidy received. HHA may, but is not required to, offer the family a repayment agreement. If the family fails to repay the excess subsidy, HHA will terminate the family’s assistance.
20.7.1 PENALTIES FOR PROGRAM ABUSE BY A FAMILY
In the case of program abuse caused by a family, HHA may, at its discretion, impose any of the following remedies:
• HHA may require the family to repay excess subsidy amounts paid by HHA, as described earlier in this section.
• HHA may require, as a condition of receiving or continuing assistance, that a culpable family member not reside in the unit.
• HHA may deny or terminate the family’s assistance
• HHA may refer the family for state or federal criminal prosecution.
20.8 PROHIBITED OWNER ACTIONS
An owner participating in the HCVP must not make any false statement to HHA and/or commit fraud, bribery, or any other corrupt or criminal act in connection with any federal housing program, including:
• Charging the family rent above or below the amount specified by HHA;
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• Charging a security deposit other than that specified in the family’s lease;
• Charging the family for services that are provided to unassisted tenants at no extra charge;
• Knowingly accepting housing assistance payments for any month(s) after the family has vacated the unit;
• Knowingly accepting incorrect or excess housing assistance payments;
• Offering bribes or illegal gratuities to HHA’s Board of Commissioners, employees, contractors, or other HHA representatives;
• Offering payments or other incentives to an HCV family as an inducement for the family to make false or misleading statements to HHA; and
• Residing in the unit with an assisted family.
20.8.1 REMEDIES AND PENALTIES
When HHA determines that the owner has committed program abuse, HHA may take any of the following actions:
• Require the owner to repay excess housing assistance payments;
• Terminate the HAP contract;
• Bar the owner from future participation in any HHA programs; and
• Refer the case to state or federal officials for criminal prosecution.
20.9 PROHIBITED ACTIVITIES BY HHA STAFF
HHA will take prompt action to address program abuse by HHA staff. Any of the following will be considered evidence of program abuse by HHA staff:
• Failing to comply with any HCVP requirements for personal gain;
• Failing to comply with any HCVP requirements as a result of a conflict of interest relationship with any applicant, participant, or owner;
• Seeking or accepting anything of material value from applicants, participating families, vendors, owners, contractors, or other persons who provide services or materials to HHA;
• Disclosing confidential or proprietary information to outside parties;
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• Gaining profit as a result of insider knowledge of HHA activities, policies, or practices;
• Misappropriating or misusing HCV funds;
• Destroying, concealing, removing, or inappropriately using any records related to the HCVP; and
• Committing any other corrupt or criminal act in connection with any federal housing program.
20.10 CRIMINAL PROSECUTION
When HHA determines that program abuse by an owner, family, or HHA staff member has occurred and the amount of overpaid subsidy meets or exceeds the threshold for prosecution under local or state law, HHA will refer the matter to the appropriate entity for prosecution.
When the amount of overpaid assistance meets or exceeds the federal threshold, the case will also be referred to the HUD Office of Inspector General (OIG).
Other criminal violations related to the HCVP will be referred to the appropriate local, state, or federal entity.
20.11 FRAUD AND PROGRAM ABUSE RECOVERIES
HHA may retain a portion of program fraud losses that HHA recovers from a family or owner through litigation, court order, or a repayment agreement in accordance with applicable requirements included in this Plan.
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CHAPTER 21: SPECIAL HOUSING TYPES
INTRODUCTION HHA may permit a family to use any of the special housing types discussed in this chapter. However, HHA is not required to permit families receiving assistance in its jurisdiction to use these housing types, except that HHA will permit use of any special housing type if needed as a reasonable accommodation for a person with a disability. HHA also may limit the number of families who receive HCV assistance in these housing types and cannot require families to use a particular housing type. No special funding is provided for special housing types. Special housing types include single room occupancy (SRO), congregate housing, group homes, shared housing, cooperative housing, manufactured homes where the family owns the home and leases the space, and homeownership This chapter consists of the following seven parts. Each part contains a description of the housing type and any special requirements associated with it. Except as modified by this chapter, the general requirements of the HCV program apply to special housing types.
• Single Room Occupancy
• Congregate Housing
• Group Homes
• Shared Housing
• Cooperative Housing
• Manufactured Homes (including manufactured home space rental)
• Homeownership
21.1 SINGLE ROOM OCCUPANCY
A single room occupancy (SRO) unit provides living and sleeping space for the exclusive use of the occupant but requires the occupant to share sanitary and/or food preparation facilities with others. More than one person may not occupy an SRO unit. HCV regulations do not limit the number of units in an SRO facility, but the size of a facility may be limited by local ordinances. When providing HCV assistance in an SRO unit, a separate lease and HAP contract are executed for each assisted person, and the standard form of the HAP contract is used.
21.1.1 PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP CALCULATION
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The payment standard for SRO housing is 75 percent of the zero-bedroom payment standard amount on HHA’s payment standard schedule.
The utility allowance for an assisted person residing in SRO housing is 75 percent of the zero- bedroom utility allowance. The HAP for an assisted occupant in an SRO facility is the lower of the SRO payment standard amount minus the TTP or the gross rent for the unit minus the TTP.
21.1.2 HOUSING QUALITY STANDARDS (HQS)
HQS requirements described in the chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS apply to SRO housing except as modified below.
• Access: Access doors to the SRO unit must have working locks for privacy. The occupant must be able to access the unit without going through any other unit. Each unit must have immediate access to two or more approved means of exit from the building, appropriately marked and leading to safe and open space at ground level. The SRO unit must also have any other means of exit required by State or local law.
• Fire Safety: All SRO facilities must have a sprinkler system that protects major spaces. “Major spaces” are defined as hallways, common areas, and any other areas specified in local fire, building, or safety codes. SROs must also have hard-wired smoke detectors, and any other fire and safety equipment required by state or local law.
Sanitary facilities and space and security standards must meet local code requirements for SRO housing. In the absence of local code standards the requirements discussed below apply [24 CFR 982.605].
Sanitary Facilities: At least one flush toilet that can be used in privacy, a lavatory basin, and a bathtub or shower in proper operating condition must be provided for each six persons (or fewer) residing in the SRO facility. If the SRO units are leased only to men, flush urinals may be substituted for up to one half of the required number of toilets. Sanitary facilities must be reasonably accessible from a common hall or passageway, and may not be located more than one floor above or below the SRO unit. They may not be located below grade unless the SRO units are located on that level.
Space and Security: An SRO unit must contain at least 110 square feet of floor space, and at least four square feet of closet space with an unobstructed height of at least five feet, for use by the occupant. If the closet space is less than four square feet, the habitable floor space in the SRO unit must be increased by the amount of the deficiency. Exterior doors and windows accessible from outside the SRO unit must be lockable.
Because no children live in SRO housing, the housing quality standards applicable to lead-based paint do not apply.
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21.2 CONGREGATE HOUSING
Congregate housing is intended for use by elderly persons or persons with disabilities. A congregate housing facility contains a shared central kitchen and dining area and a private living area for the individual household that includes at least a living room, bedroom and bathroom. Food service for residents must be provided.
If approved by HHA, a family member or live-in aide may reside with the elderly person or person with disabilities. HHA must approve a live-in aide if needed as a reasonable accommodation so that the program is readily accessible to and usable by persons with disabilities.
When providing HCV assistance in congregate housing, a separate lease and HAP contract are executed for each assisted family, and the standard form of the HAP contract is used.
21.2.1 PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP CALCULATION
The payment standard for an individual unit in a congregate housing facility is based on the number of rooms in the private living area. If there is only one room in the unit (not including the bathroom or the kitchen, if a kitchen is provided), HHA must use the payment standard for a zero-bedroom unit. If the unit has two or more rooms (other than the bathroom and the kitchen), HHA must use the one-bedroom payment standard.
The HAP for an assisted occupant in a congregate housing facility is the lower of the applicable payment standard minus the TTP or the gross rent for the unit minus the TTP.
The gross rent for the unit for the purpose of calculating HCV assistance is the shelter portion (including utilities) of the resident’s monthly housing expense only. The residents’ costs for food service should not be included in the rent for a congregate housing unit.
21.2.2 HOUSING QUALITY STANDARDS
HQS requirements as described in described in the chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS apply to congregate housing except for the requirements stated below.
Congregate housing must have:
• A refrigerator of appropriate size in the private living area of each resident;
• A central kitchen and dining facilities located within the premises and accessible to the residents, and
• Food service for the residents that is not provided by the residents themselves.
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The housing quality standards applicable to lead-based paint do not apply.
21.3 GROUP HOME
A group home is a state-licensed facility intended for occupancy by elderly persons and/or persons with disabilities. Except for live-in aides, all persons living in a group home, whether assisted or not, must be elderly persons or persons with disabilities. Persons living in a group home must not require continuous medical or nursing care.
A group home consists of bedrooms for residents, which can be shared by no more than two people, and a living room, kitchen, dining area, bathroom, and other appropriate social, recreational, or community space that may be shared with other residents.
No more than 12 persons may reside in a group home including assisted and unassisted residents and any live-in aides.
If approved by HHA, a live-in aide may live in the group home with a person with disabilities. HHA must approve a live-in aide if needed as a reasonable accommodation so that the program is readily accessible to and usable by persons with disabilities.
When providing HCV assistance in a group home, a separate lease and HAP contract is executed for each assisted family, and the standard form of the HAP contract is used.
21.3.1 PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP CALCULATION
Unless there is a live-in aide, the family unit size for an assisted occupant of a group home must be zero- or one-bedroom, depending on HHA’s subsidy standard. If there is a live-in aide, the aide must be counted in determining the household’s unit size.
The payment standard used to calculate the HAP is the lower of the payment standard for the family unit size or the prorata share of the payment standard for the group home size. The prorata share is calculated by dividing the number of persons in the assisted household by the number of persons (assisted and unassisted) living in the group home.
The HAP for an assisted occupant in a group home is the lower of the payment standard minus the TTP or the gross rent minus the TTP.
The utility allowance for an assisted occupant in a group home is the prorata share of the utility allowance for the group home.
The rents paid for participants residing in group homes are subject to generally applicable standards for rent reasonableness. The rent for an assisted person must not exceed the prorata portion of the reasonable rent for the group home. In determining reasonable rent, HHA should consider whether sanitary facilities and facilities for food preparation and service are common facilities or private facilities.
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21.3.2 HOUSING QUALITY STANDARDS
HQS requirements described in described in the chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS apply to group homes except for the requirements stated below.
• Sanitary Facilities: A group home must have at least one bathroom in the facility, with a flush toilet that can be used in privacy, a fixed basin with hot and cold running water, and a shower or bathtub with hot and cold running water. A group home may contain private or common bathrooms. However, no more than four residents can be required to share a bathroom.
• Food Preparation and Service: Group home units must contain a kitchen and dining area with adequate space to store, prepare, and serve food. The facilities for food preparation and service may be private or may be shared by the residents. The kitchen must contain a range, an oven, a refrigerator, and a sink with hot and cold running water. The sink must drain into an approvable public or private disposal system.
• Space and Security: Group homes must contain at least one bedroom of appropriate size for every two people, and a living room, kitchen, dining area, bathroom, and other appropriate social, recreational, or community space that may be shared with other residents.
• Structure and Material: To avoid any threat to the health and safety of the residents, group homes must be structurally sound. Elevators must be in good condition. Group homes must be accessible to and usable by residents with disabilities.
• Site and Neighborhood: Group homes must be located in a residential setting. The site and neighborhood should be reasonably free from hazards to the health, safety, and general welfare of the residents, and should not be subject to serious adverse conditions, such as:
o Dangerous walks or steps
o Instability
o Flooding, poor drainage
o Septic tank back-ups
o Sewage hazards
o Mud slides
o Abnormal air pollution
o Smoke or dust
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o Excessive noise
o Vibrations or vehicular traffic
o Excessive accumulations of trash
o Vermin or rodent infestation, and
o Fire hazards.
The housing quality standards applicable to lead-based paint do not apply.
21.4 SHARED HOUSING
Shared housing is a single housing unit occupied by an assisted family and another resident or residents. The shared unit consists of both common space for use by the occupants of the unit and separate private space for each assisted family.
An assisted family may share a unit with other persons assisted under the HCV program or with other unassisted persons. The owner of a shared housing unit may reside in the unit, but housing assistance may not be paid on behalf of the owner. The resident owner may not be related by blood or marriage to the assisted family.
If approved by HHA, a live-in aide may reside with the family to care for a person with disabilities. HHA must approve a live-in aide if needed as a reasonable accommodation so that the program is readily accessible to and usable by persons with disabilities.
When providing HCV assistance in shared housing, a separate lease and HAP contract are executed for each assisted family, and the standard form of the HAP contract is used.
21.4.1 PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION
The payment standard for a family in shared housing is the lower of the payment standard for the family unit size or the prorata share of the payment standard for the shared housing unit size.
The prorata share is calculated by dividing the number of bedrooms available for occupancy by the assisted family in the private space by the total number of bedrooms in the unit.
The HAP for a family in shared housing is the lower of the payment standard minus the TTP or the gross rent minus the TTP. The utility allowance for an assisted family living in shared housing is the prorata share of the utility allowance for the shared housing unit.
The rents paid for families living in shared housing are subject to generally applicable standards for rent reasonableness. The rent paid to the owner for the assisted family must not exceed the
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pro-rata portion of the reasonable rent for the shared unit. In determining reasonable rent, HHA should consider whether sanitary and food preparation areas are private or shared.
21.4.2 HOUSING QUALITY STANDARDS
HHA may not give approval to reside in shared housing unless the entire unit, including the portion of the unit available for use by the assisted family under its lease, meets the housing quality standards.
HQS requirements described in the chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS apply to shared housing except for the requirements stated below. • Facilities Available for the Family: Facilities available to the assisted family, whether shared or private, must include a living room, a bathroom, and food preparation and refuse disposal facilities.
• Space and Security: The entire unit must provide adequate space and security for all assisted and unassisted residents. The private space for each assisted family must contain at least one bedroom for each two persons in the family. The number of bedrooms in the private space of an assisted family must not be less than the family unit size. A zero-bedroom or one-bedroom unit may not be used for shared housing.
21.5 COOPERATIVE HOUSING
This part applies to rental assistance for a cooperative member residing in cooperative housing. It does not apply to assistance for a cooperative member who has purchased membership under the HCV homeownership option, or to rental assistance for a family that leases a cooperative housing unit from a cooperative member.
A cooperative is a form of ownership (nonprofit corporation or association) in which the residents purchase memberships in the ownership entity. Rather than being charged “rent” a cooperative member is charged a “carrying charge.”
When providing HCV assistance in cooperative housing, the standard form of the HAP contract is used.
21.5.1 PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION
The payment standard and utility allowance are determined according to regular HCV program requirements.
The HAP for a cooperative housing unit is the lower of the payment standard minus the TTP or the monthly carrying charge for the unit, plus any utility allowance, minus the TTP. The monthly carrying charge includes the member’s share of the cooperative debt service, operating expenses, and necessary payments to cooperative reserve funds. The carrying charge does not include
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HOUSING QUALITY STANDARDS All standard HQS requirements apply to cooperative housing units. There are no additional HQS requirements.
21.6 MANUFACTURED HOMES
A manufactured home is a manufactured structure, transportable in one or more parts that is built on a permanent chassis, and designed for use as a principal place of residence. HCV-assisted families may occupy manufactured homes in two different ways.
• A family can choose to rent a manufactured home already installed on a space and HHA must permit it. In this instance program rules are the same as when a family rents any other residential housing, except that there are special HQS requirements.
• HUD also permits an otherwise eligible family that owns a manufactured home to rent a space for the manufactured home and receive HCV assistance with the rent for the space. PHAs may, but are not required to, provide assistance for such families.
21.6.1 SPECIAL POLICIES FOR MANUFACTURED HOME OWNERS WHO LEASE A SPACE
Family Income In determining the annual income of families leasing manufactured home spaces, the value of the family’s equity in the manufactured home in which the family resides is not counted as a family asset.
Lease and HAP Contract There is a separate Tenancy Addendum (Form 52642-a) and separate HAP Contract (Form 52642) for this special housing type.
21.6.2 PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION
Payment Standards The FMR for a manufactured home space is generally 40 percent of the published FMR for a two-bedroom unit or, where approved by HUD, the 40th percentile of the rental distribution of manufactured home spaces for the FMR area. HHA may establish a payment standard for manufactured home spaces that is between 90-110 percent of the FMR for manufactured home spaces.
Utility Allowance HHA must establish utility allowances for manufactured home space rental. For the first 12 months of the initial lease term only, the allowance must include an amount for a utility hook-up
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charge if the family actually incurred a hook-up charge because of a move. This allowance will not be given to a family that leases in place. Utility allowances for manufactured home space must not include the costs of digging a well or installing a septic system.
Space Rent The space rent is the sum of the rent to the owner for the manufactured home space, any charges for maintenance and management provided by the owner, and the utility allowance for tenant- paid utilities.
Housing Assistance Payment The HAP for a manufactured home space under the housing choice voucher program is the lower of the payment standard minus the TTP or the (gross) manufactured home space rent minus the TTP.
Rent Reasonableness Initially, and annually thereafter HHA must determine that the rent for the manufactured home space is reasonable based on rents for comparable manufactured home spaces. HHA must consider the location and size of the space, and any services and maintenance to be provided by the owner. By accepting the monthly HAP check, the owner certifies that the rent does not exceed rents charged by the owner for comparable unassisted spaces in the manufactured home park or elsewhere.
21.6.3 HOUSING QUALITY STANDARDS
Whether the family rents the manufactured home or owns the manufactured home and leases the space for the home, the home must meet all HQS performance requirements and acceptability criteria described in the chapter in the chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS. In addition, the following requirement applies:
Manufactured Home Tie-Down A manufactured home must be placed on the site in a stable manner, and must be free from hazards such as sliding or wind damage. The home must be securely anchored by a tie-down device that distributes and transfers the loads imposed by the unit to appropriate ground anchors to resist overturning and sliding.
21.7 HOMEOWNERSHIP
The homeownership option is used to assist a family residing in a home purchased and owned by one or more members of the family. A family assisted under this option may be newly admitted or an existing participant in the HCV program. HHA must have the capacity to operate a successful HCV homeownership program as defined by the regulations.
There are two forms of homeownership assistance a PHA may offer under this option: monthly homeownership assistance payments, or a single down payment assistance grant. PHAs may
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choose to offer either or both forms of homeownership assistance, or choose not to offer either. If a PHA offers both forms of assistance, a family must choose which form of assistance to receive.
HHA must offer either form of homeownership assistance if needed as a reasonable accommodation so that the program is readily accessible to and usable by persons with disabilities. It is the sole responsibility of HHA to determine whether it is reasonable to implement a homeownership program as a reasonable accommodation. HHA must determine what is reasonable based on the specific circumstances and individual needs of the person with a disability. HHA may determine that it is not reasonable to offer homeownership assistance as a reasonable accommodation in cases where HHA has otherwise opted not to implement a homeownership program.
HHA must approve a live-in aide if needed as a reasonable accommodation so that the program is readily accessible to and usable by persons with disabilities.
21.7.1 FAMILY ELIGIBILITY
The family must meet all of the requirements listed below before the commencement of homeownership assistance. HHA may also establish additional initial requirements as long as they are described in HHA administrative plan.
• The family must have been admitted to the Housing Choice Voucher program.
• The family must qualify as a first-time homeowner, or may be a cooperative member.
• The family must meet the Federal minimum income requirement. The family must have a gross annual income equal to the Federal minimum wage multiplied by 2000, based on the income of adult family members who will own the home. HHA may establish a higher income standard for families. However, a family that meets the federal minimum income requirement (but not HHA's requirement) will be considered to meet the minimum income requirement if it can demonstrate that it has been pre-qualified or pre-approved for financing that is sufficient to purchase an eligible unit.
• For disabled families, the minimum income requirement is equal to the current SSI monthly payment for an individual living alone, multiplied by 12.
• For elderly or disabled families, welfare assistance payments for adult family members who will own the home will be included in determining whether the family meets the minimum income requirement. It will not be included for other families.
• The family must satisfy the employment requirements by demonstrating that one or more adult members of the family who will own the home at commencement of homeownership assistance is currently employed on a full-time basis (the term 'full-time employment' means not less than an average of 30 hours per week); and has been continuously so employed during the year before commencement of homeownership assistance for the family.
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• The employment requirement does not apply to elderly and disabled families. In addition, if a family, other than an elderly or disabled family includes a person with disabilities, HHA must grant an exemption from the employment requirement if HHA determines that it is needed as a reasonable accommodation.
• The family has not defaulted on a mortgage securing debt to purchase a home under the homeownership option
• Except for cooperative members who have acquired cooperative membership shares prior to commencement of homeownership assistance, no family member has a present ownership interest in a residence at the commencement of homeownership assistance for the purchase of any home.
• Except for cooperative members who have acquired cooperative membership shares prior to the commencement of homeownership assistance, the family has entered a contract of sale in accordance with 24 CFR 982.631(c).
21.7.2 ELIGIBLE UNITS
In order for a unit to be eligible, HHA must determine that the unit satisfies all of the following requirements:
• The unit must meet HUD’s “eligible housing” requirements. The unit may not be any of the following:
o A public housing or Indian housing unit;
o A unit receiving Section 8 project-based assistance;
o A nursing home, board and care home, or facility providing continual psychiatric, medical or nursing services;
o A college or other school dormitory;
o On the grounds of penal, reformatory, medical, mental, or similar public or private institutions.
• The unit must be under construction or already exist at the time the family enters into the contract of sale.
• The unit must be a one-unit property or a single dwelling unit in a cooperative or condominium.
• The unit must have been inspected by HHA and by an independent inspector designated by the family.
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• The unit must meet Housing Quality Standards as described in chapter on HOUSING QUALITY STANDARDS AND RENT REASONABLENESS DETERMINATIONS
• For a unit where the family will not own fee title to the real property (such as a manufactured home), the home must have a permanent foundation and the family must have the right to occupy the site for at least 40 years.
• For HHA-owned units all of the following conditions must be satisfied:
o HHA informs the family, both orally and in writing, that the family has the right to purchase any eligible unit and a HHA-owned unit is freely selected by the family without HHA pressure or steering;
o The unit is not ineligible housing;
o HHA obtains the services of an independent agency to inspect the unit for compliance with HQS, review the independent inspection report, review the contract of sale, determine the reasonableness of the sales price and any HHA provided financing. All of these actions must be completed in accordance with program requirements.
HHA must not approve the unit if HHA has been informed that the seller is debarred, suspended, or subject to a limited denial of participation.
21.7.3 ADDITIONAL HHA REQUIREMENTS FOR SEARCH AND PURCHASE
It is the family’s responsibility to find a home that meets the criteria for voucher homeownership assistance. Homeownership vouchers are time-limited at 15 years for non-disabled households. Homeownership vouchers for disabled households have lifelong retention. HHA may establish the maximum time that will be allowed for a family to locate and purchase a home. If the family is unable to purchase a home within the maximum time established by HHA, HHA may issue the family a voucher to lease a unit or place the family’s name on the waiting list for a voucher.
HOMEOWNERSHIP COUNSELING
Before commencement of homeownership assistance for a family, the family must attend and satisfactorily complete the pre-assistance homeownership and housing counseling program required by HHA. Such topics may include, but are not limited to:
• Home maintenance (including care of the grounds);
• Budgeting and money management;
• Credit counseling;
• How to negotiate the purchase price of a home;
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• How to obtain homeownership financing and loan pre-approvals, including a description of types of financing that may be available, and the pros and cons of different types of financing;
• How to find a home, including information about homeownership opportunities, schools, and transportation in HHA jurisdiction;
• Advantages of purchasing a home in an area that does not have a high concentration of low- income families and how to locate homes in such areas;
• Information on fair housing, including fair housing lending and local fair housing enforcement agencies; and
• Information about the Real Estate Settlement Procedures Act (12 U.S.C. 2601 et seq.) (RESPA), state and Federal truth-in-lending laws, and how to identify and avoid loans with oppressive terms and conditions.
21.7.4 HOME INSPECTIONS, CONTRACT OF SALE, AND PHA DISAPPROVAL OF SELLER]
Home Inspections HHA will not commence monthly homeownership assistance payments or provide down payment assistance grants for a family until HHA has inspected the unit and has determined that the unit passes HQS.
An independent professional inspector selected by and paid for by the family must also inspect the unit. The independent inspection must cover major building systems and components, including foundation and structure, housing interior and exterior, and the roofing, plumbing, electrical, and heating systems. The independent inspector must be qualified to report on property conditions, including major building systems and components.
HHA will not require the family to use an independent inspector selected by HHA. The independent inspector may not be an HHA employee or contractor, or other person under control of HHA.
HHA may disapprove a unit for assistance based on information in the independent inspector’s report, even if the unit was found to comply with HQS.
Contract of Sale Before commencement of monthly homeownership assistance payments or receipt of a down payment assistance grant, a member or members of the family must enter into a contract of sale with the seller of the unit to be acquired by the family. The family must give HHA a copy of the contract of sale. The contract of sale must:
• Specify the price and other terms of sale by the seller to the purchaser;
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• Provide that the purchaser will arrange for a pre-purchase inspection of the dwelling unit by an independent inspector selected by the purchaser;
• Provide that the purchaser is not obligated to purchase the unit unless the inspection is satisfactory to the purchaser;
• Provide that the purchaser is not obligated to pay for any necessary repairs; and
• Contain a certification from the seller that the seller has not been debarred, suspended, or subject to a limited denial of participation under CFR part 24.
Disapproval of a Seller In its administrative discretion, HHA may deny approval of a seller for the same reasons HHA may disapprove an owner under the regular HCV program.
21.7.5 FINANCING
HHA will not require that families acquire financing from one or more specified lenders, thereby restricting the family’s ability to secure favorable financing terms.
21.7.6 CONTINUED ASSISTANCE REQUIREMENTS; FAMILY OBLIGATIONS
Homeownership assistance may only be paid while the family is residing in the home. If the family moves out of the home, HHA will not continue homeownership assistance after the month when the family moves out. The family or lender is not required to refund to HHA the homeownership assistance for the month when the family moves out.
Before commencement of homeownership assistance, the family must execute a statement in which the family agrees to comply with all family obligations under the homeownership option. The family must comply with the following obligations:
• The family must comply with the terms of the mortgage securing debt incurred to purchase the home, or any refinancing of such debt.
• The family may not convey or transfer ownership of the home, except for purposes of financing, refinancing, or pending settlement of the estate of a deceased family member. Use and occupancy of the home are subject to 24 CFR 982.551 (h) and (i).
• The family must supply information to HHA or HUD as specified in 24 CFR 982.551(b). The family must further supply any information required by HHA or HUD concerning mortgage financing or refinancing, sale or transfer of any interest in the home, or homeownership expenses.
• The family must notify HHA before moving out of the home.
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• The family must notify HHA if the family defaults on the mortgage used to purchase the home.
• No family member may have any ownership interest in any other residential property.
• The family must comply with the obligations of a participant family described in 24 CFR 982.551, except for the following provisions which do not apply to assistance under the homeownership option: 24 CFR 982.551(c), (d), (e), (f), (g) and (j).
21.7.7 MAXIMUM TERM OF HOMEOWNER ASSISTANCE
Except in the case of a family that qualifies as an elderly or disabled family, other family members (described below) shall not receive homeownership assistance for more than:
• Fifteen years, if the initial mortgage incurred to finance purchase of the home has a term of 20 years or longer; or
• Ten years, in all other cases.
The maximum term described above applies to any member of the family who:
• Has an ownership interest in the unit during the time that homeownership payments are made; or
• Is the spouse of any member of the household who has an ownership interest in the unit during the time homeownership payments are made.
In the case of an elderly family, the exception only applies if the family qualifies as an elderly family at the start of homeownership assistance. In the case of a disabled family, the exception applies if at any time during receipt of homeownership assistance the family qualifies as a disabled family.
If, during the course of homeownership assistance, the family ceases to qualify as a disabled or elderly family, the maximum term becomes applicable from the date homeownership assistance commenced. However, such a family must be provided at least 6 months of homeownership assistance after the maximum term becomes applicable (provided the family is otherwise eligible to receive homeownership assistance).
If the family has received such assistance for different homes, or from different PHAs, the total of such assistance terms is subject to the maximum term described in this part.
21.7.8 HOMEOWNERSHIP ASSISTANCE PAYMENTS AND HOMEOWNERSHIP EXPENSES
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The monthly homeownership assistance payment is the lower of: the voucher payment standard minus the total tenant payment, or the monthly homeownership expenses minus the total tenant payment.
In determining the amount of the homeownership assistance payment, HHA will use the same payment standard schedule, payment standard amounts, and subsidy standards as those described elsewhere in this plan for the Housing Choice Voucher program. The payment standard for a family is the greater of:
• The payment standard as determined at the commencement of homeownership assistance for occupancy of the home, or
• The payment standard at the most recent regular reexamination of family income and composition since the commencement of homeownership assistance for occupancy of the home.
HHA may pay the homeownership assistance payments directly to the family, or at HHA’s discretion, to a lender on behalf of the family. If the assistance payment exceeds the amount due to the lender, HHA must pay the excess directly to the family.
Homeownership assistance for a family terminates automatically 180 calendar days after the last homeownership assistance payment on behalf of the family. However, HHA may grant relief from this requirement in those cases where automatic termination would result in extreme hardship for the family.
Homeownership expenses (not including cooperatives) only include amounts allowed by HHA to cover:
• Principal and interest on initial mortgage debt, any refinancing of such debt, and any mortgage insurance premium incurred to finance purchase or refinancing of the home;
• Real estate taxes and public assessments on the home;
• Home insurance;
• HHA allowance for maintenance expenses ($50/month);
• HHA allowance for costs of major repairs and replacements ($100/month);
• HHA utility allowance for the home;
• Principal and interest on mortgage debt incurred to finance costs for major repairs, replacements or improvements for the home. If a member of the family is a person with disabilities, such debt may include debt incurred by the family to finance costs needed to make the home accessible for such person, if HHA determines that allowance of such costs
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as homeownership expenses is needed as a reasonable accommodation so that the homeownership option is readily accessible to and usable by such person;
• For a condominium unit, condominium operating charges or maintenance fees assessed by the condominium homeowner association.
Homeownership expenses for a cooperative member may only include amounts allowed by HHA to cover:
• The cooperative charge under the cooperative occupancy agreement including payment for real estate taxes and public assessments on the home; • Principal and interest on initial debt incurred to finance purchase of cooperative membership shares and any refinancing of such debt;
• Home insurance;
• HHA allowance for maintenance expenses ($50/month);
• HHA allowance for costs of major repairs and replacements ($100/month);
• HHA utility allowance for the home; and
• Principal and interest on debt incurred to finance major repairs, replacements or improvements for the home. If a member of the family is a person with disabilities, such debt may include debt incurred by the family to finance costs needed to make the home accessible for such person, if HHA determines that allowance of such costs as homeownership expenses is needed as a reasonable accommodation so that the homeownership option is readily accessible to and usable by such person.
• Cooperative operating charges or maintenance fees assessed by the cooperative homeowner association.
21.7.9 PORTABILITY
Subject to the restrictions on portability included in HUD regulations and HHA policies, a family may exercise portability if the receiving PHA is administering a voucher homeownership program and accepting new homeownership families. The receiving PHA may absorb the family into its voucher program, or bill the initial PHA.
The family must attend the briefing and counseling sessions required by the receiving PHA. The receiving PHA will determine whether the financing for, and the physical condition of the unit, are acceptable. The receiving PHA must promptly notify the initial PHA if the family has purchased an eligible unit under the program, or if the family is unable to purchase a home within the maximum time established by HHA.
21.7.10 MOVING WITH CONTINUED ASSISTANCE
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A family receiving homeownership assistance may move with continued tenant-based assistance. The family may move with voucher rental assistance or with voucher homeownership assistance. Continued tenant-based assistance for a new unit cannot begin so long as any family member holds title to the prior home.
HHA may deny permission to move to a new unit with continued voucher assistance:
• If HHA has insufficient funding to provide continued assistance.
• In accordance with 24 CFR 982.638, regarding denial or termination of assistance.
• In accordance with HHA’s policy regarding number of moves within a 12-month period.
HHA must deny the family permission to move to a new unit with continued voucher rental assistance if:
• The family defaulted on an FHA-insured mortgage; and
• The family fails to demonstrate that the family has conveyed, or will convey, title to the home, as required by HUD, to HUD or HUD's designee; and the family has moved, or will move, from the home within the period established or approved by HUD.
21.7.11 DENIAL OR TERMINATION OF ASSISTANCE
At any time, HHA may deny or terminate homeownership assistance in accordance with HCV program requirements in 24 CFR 982.552 (Grounds for denial or termination of assistance) or 24 CFR 982.553 (Crime by family members).
HHA may also deny or terminate assistance for violation of participant obligations described in 24 CFR Parts 982.551 or 982.633 and in accordance with its own policy.
HHA will terminate voucher homeownership assistance for any member of family receiving homeownership assistance that is dispossessed from the home pursuant to a judgment or order of foreclosure on any mortgage (whether FHA insured or non-FHA) securing debt incurred to purchase the home, or any refinancing of such debt.
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CHAPTER 22: FAMILY SELF-SUFFICIENCY
22.1 OVERVIEW
The mission of the FSS program is to assist enrolled families by maintaining an FSS Program which provides case management and peer support, coordinates with local resources and services needed by FSS participants, and offers concrete incentives, such as the FSS escrow account, to encourage families to set and achieve their short and long term goals toward employment and economic self-sufficiency. Additionally, among the goals of the FSS program are the elimination of participants’ needs for public assistance and enhancement of participants’ abilities to achieve homeownership, if desired.
The Family Self Sufficiency Program (FSS) helps eligible families achieve economic independence and self-sufficiency over a five year period. HHA works with the public and private sectors to create a workforce enhancement program where participants receive training and counseling such as skill building, job training and educational opportunities, and referrals to other ancillary supports such as child care and transportation providers.
A five-year “Contract of Family Participation” (COP) is tailored for each participant. This contract outlines the participant’s goals and describes the various work-related activities in which the participant agrees to participate. The participant is allowed to modify their goals as they gain both work experience and more perspective on their future. As the participant’s income and rent share increases, an escrow account is established by HHA to set aside funds for the participant’s use at the end of the program
22.2 PROGRAM BENEFITS AND ROLES AND RESPONSIBILITIES
FSS staff will provide technical assistance and support, information and referral, and program activities (such as workshops, peer groups meetings, recreational events, etc.) to participants throughout their FSS participation in order to assist the family in meeting their goals. It is to be expected that the types and level of assistance will vary over time, depending on each family’s situation. The FSS Coordinator will establish program expectations around communication methods and frequency in order to maintain regular contact with participating families; beyond this, it is the role of the family to initiate contact if they feel that they need additional services, resources, or support.
22.3 OUTREACH
HHA will establish procedures to ensure that eligible families are informed about the program, offered the opportunity to enroll on a voluntary basis, offered a thorough family and employment development assessment, and assisted in identifying employment and other self-sufficiency goals for the five-year participation period.
22.4 PROGRAM SIZE
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HHA will operate its FSS program adhering to the minimum program size requirements. HHA may choose to operate an FSS program of a larger size than the minimum. HHA will reduce the minimum program size by one slot for each family that graduates. If an FSS slot is vacated by a family that has not completed its FSS contract of participation obligations, the slot will be filled by a replacement family selected in accordance with the policies in the Plan.
22.5 FSS ACTION PLAN
HHA will prepare and obtain HUD approval on an FSS Action Plan that complies with the requirements of the FSS program prior to implementation of the FSS program. The Action plan will be developed by HHA in consultation with the Chief Executive officer of general local government and the Program Coordinating Committee (PCC).
HHA will submit any Action Plan policy changes and/or changes regarding program size to HUD for approval.
The FSS Action Plan will contain information on:
• Family demographics;
• Estimate of participating families;
• Eligible families from other self-sufficiency programs;
• FSS family selection procedures;
• Incentives to encourage participation;
• Outreach efforts;
• FSS activities and supportive services;
• Method for identification of family support needs;
• Program termination, withholding of services and available grievance procedures;
• Assurances of non-interference with the rights of participating families;
• Timetable for program implementation; and
• Certification of coordination.
22.6 PROGRAM COORDINATING COMMITTEE
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HHA will establish a PCC to assist HHA in securing commitments of public and private resources for the operation of the FSS program within HHA’s jurisdiction, including assistance in developing the Action Pan and in implementing the program.
The PMC will consist of HHA representatives and Section 8 participants and may also include representatives:
• Local government served by HHA;
• Local agencies responsible for carrying out JOBS training programs or programs under the JTPA;
• State , local or tribal welfare and employment agencies;
• Public or private training institutions
• Child care providers
• Non-profit service program providers;
• Private business; and
• Any other public and private service providers with resources to assist the FSS program
HHA may, in consultation with the Chief Executive Officer of local government, utilize an existing entity as the PCC if the membership is consistent with the PMC requirements and includes individuals from the same or similar organizations as identified above.
22.7 SELECTION OF FSS PARTICIPANTS
FSS participants will be selected from the universe of current HCV and PH participants. Participation is on a voluntary basis. If there are more participants than program slots, a lottery will be held with those not initially selected being placed on a waiting list. Thereafter, HHA will use the date the family expressed an interest in participating in FSS as the means to select and order selection of FSS participants. There are no selection preferences for participation in HHA’s FSS program.
22.8 ELIGIBILITY
All families participating in HHA’s Section 8 Housing Choice Voucher program are eligible to enroll in the FSS program.
HHA use the following criteria to determine eligibility for participation in the FSS program:
• May be a current tenant of HCV or PB programs;
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• Must not owe HHA money related to their participation in the HCV or PBV programs;
• Must be in compliance with the lease and other program requirements. Receipt of two or more proposed termination letters in a twelve month period will be deemed “not in compliance with program requirements”;
• Must complete the specified tasks, or attend required meetings; and
• Must demonstrate interest and motivation to participate in the FSS program. Such screening will measure the family’s interest and motivation, not their qualifications or ability. Examples of motivational screening tasks which HHA may require include:
o Attendance at FSS orientation session or pre-selection interviews;
o Completion of certain tasks that indicate the family’s willingness to undertake the FSS contract obligations such as:
. Contacting a job training program
. Contacting an educational program
The head of household must be a participant in FSS before any other family members will be considered.
22.9 FSS CONTRACT OF PARTICIPATION
A family enrolls in the FSS Program, with all rights and responsibilities, by entering into an FSS COP and signing the COP with HHA. FSS participants are subject to all applicable regulations and MTW policies which are stipulated in the COP.
Prior to enrollment in the FSS Program, the family will set personal achievable goals and specific interim goals as a means to measure the family’s progress toward achieving economic independence. The designated head of each family participating in the FSS Program must execute an FSS COP.
The FSS COP will contain information related to:
• Individual Training and Service Plan (ITSP);
• Interim goals;
• Compliance with the lease terms;
• Employment obligation;
• Consequences of non-compliance with the contract;
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• Contract term;
• Contract extension;
• Unavailability of supportive services;
• Contract modifications;
• Completion of the contract;
• Termination of the contract;
• Option to terminate; and
• Transitional supportive service assistance.
HHA will use the income and rent numbers taken from the amounts on the last reexamination or interim determination before the family’s initial participation in the FSS program, unless more than 120 days will pass between the effective date of the reexamination and the effective date of the contract of participation. If it has been more than 120 days, HHA will conduct a new reexamination or interim redetermination.
The initial term of the Contract is five years. The effective date of the COP is the first day of the month following the date the contract was signed by the family and HHA’s representative. The expiration date of the COP is five years from the effective date.
In order to maintain good standing in the FSS Program, with all attending program benefits, the participating family must remain in compliance with all terms of the FSS COP, which includes the ITSP and, as outlined in the FSS COP. HHA will establish procedures for addressing situations in which a family is not in compliance with the FSS COP. Corrective actions may include termination of the family’s FSS participation (including forfeiture of any escrow account).
A family’s participation in the Section 8 Housing Choice Voucher Program will not be terminated solely for failure to comply with the FSS COP or FSS program requirements.
22.9.1 EXTENSIONS TO THE FSS CONTRACT OF PARTICIPATION
The following are HHA policies regarding extensions to the FSS COP.
• A request for extension must be made in writing and include the need for the extension. Good cause for extensions may include circumstances beyond the control of the FSS family such as serious illness or involuntary loss of employment;
• All contract extensions will be for six months or less;
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• No more than a two year extension will be allowed;
• No contract extensions should be given solely to allow for participant to earn more escrow;
• No contract extensions should be given to enable the HoH time to find a job if all escrow was the result of another wage earner (this issue should be identified and corrected 12-18 months before graduation);
• No contract extensions should be longer than the time needed to reach the goal of the extension – if a household needs 8 months to be free of cash assistance, the first extension is six months, and the second (assuming approval of an extension) can only be for two months.
• Families granted extensions will continue to have amounts credited to the family’s FSS account.
22.9.2 COMPLETION OF THE CONTRACT
An FSS family will successfully complete its participation, and be eligible to receive the amount in its FSS Escrow Account, less any amounts owed to HHA, when it has met the conditions established in FSS Program regulations. In most cases this will occur when the family is in good program standing, has come to the end of the contract period, and has met all goals outlined in the original or revised ITSP (including independence from welfare assistance for the prior twelve months).
The family’s contract will be considered completed if:
• The FSS family has fulfilled all obligations under the contract on or before the expiration of the contract term (or extension), or
• Thirty percent of the family’s adjusted income equals or exceeds the published existing housing Fair Market Rent for the size unit for which the family qualifies based on HHA occupancy standards. The contract of participation will be considered completed and the family's participation in the FSS program concluded on this basis even though the contract term, including any extension thereof, has not expired, and the family members who have individual training and services plans have not completed all the activities set forth in their plans.
A family may request to be determined to have successfully completed their FSS participation prior to the end of their contract period, and HHA determines that they have met the requirements for successful completion they will be eligible to graduate and receive their escrow account funds. The family does not have to be free of housing assistance to have completed the contract.
In keeping with the FSS Program’s goal to assist families over time, a family may receive post- graduation support from the FSS program if requested, subject to staff capacity and availability.
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22.9.3 CONSEQUENCES OF NON-COMPLIANCE WITH THE CONTRACT
If the family does not comply with the contract, HHA may:
• Withhold the supportive services; or
• Terminate the family's participation in the FSS program.
If the head of the FSS family does not seek and maintain employment or never becomes employed during the contract’s five-year term, the family has not met its FSS obligations. Any escrow generated by the increase in earned income of other household members will be forfeited.
Families may request an Informal Hearing after being notified of a corrective action by HHA.
22.9.4 TERMINATION OF THE FSS CONTRACT
The FSS contract is automatically terminated if HCV assistance is terminated. The contract may also be terminated by:
• Mutual consent;
• Failure of family to meet contract obligations without good cause;
• Family withdrawal from FSS program; and/or
• Other act deemed inconsistent with the purpose of the FSS program Operation of law
HHA will terminate participation in the FSS program and require forfeiture of the FSS escrow without terminating HCV program assistance as a consequence of not completing the obligations of the ITSP or FSS COP. HHA will review the circumstances of the non-compliance to determine the appropriate remedy. HHA may also consider renegotiating or revising the ITSP with the family.
If HHA decides to withhold escrow, terminate FSS supportive services or terminate the FSS contract because the family failed to comply with its ITSP or FSS contract, HHA will offer the family the opportunity for an informal hearing.
22.10 INDIVIDUAL TRAINING AND SERVICE PLAN
As a required attachment to the FSS COP, the family head of household also signs the FSS Individual Training and Service Plan (ITSP. The ITSP outlines the steps that the participant will take during the contract period to meet their goals and the program requirements of working toward, obtaining, and maintaining suitable employment and becoming independent of all forms of welfare assistance at least twelve months prior to the end of their contract period.
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The FSS ITSP may by amended by mutual agreement between the participant and the FSS program, with such changes made in writing and signed, then becoming the required attachment to the FSS COP.
The ITSP includes:
• The supportive services to be provided to the family member;
• The activities to be completed by that family member;
• The agreed upon completion dates for the services and activities;
• A mandatory interim goal for families on welfare to be free of welfare assistance for at least 12 consecutive months prior to the expiration of the Contract. This language must be included in all COPs regardless of whether the household is receiving public assistance at enrollment; and
• A final goal to maintain suitable employment. Only the FSS head is required to obtain employment as a condition of completing the contract goals.
The ITSP is mandatory for the FSS head, and optional for other family members.
22.11 CHANGE IN FAMILY COMPOSITION
If the FSS family head leaves the family during the term of the contract, and the remaining family members want to continue participation in the FSS program, the new head of household will be designated as the FSS head. The contract will have to be revised to reflect the new head of the FSS family.
If the head of the FSS family leaves the family prior the expiration of the COP, the contract provides for the remaining family members to designate a family member to receive the escrow.
If any family member with an individual training and services plan leaves the assisted family during the term of the FSS contract, HHA will delete the individual training and services plan (ITSP) for that family member.
HHA will determine whether new or revised ITSPs need to be established for the family to continue its participation in the FSS program.
If the initially designated head of the FSS family or any other family member with an ITSP did not meet the obligations under the contract, HHA may terminate the FSS contract or terminate assistance under the program.
22.12 PROVISION OF SERVICES
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HHA is responsible to ensure that the services provided to the family are adequate. If a social service agency fails to deliver the supportive services identified in the ITSP or a supportive service is not available, HHA will make a good faith effort to obtain the services from another agency. If HHA is unable to obtain the services, they will decide whether another available service would achieve the same purpose. If the unavailable services are not key to the family's ability to achieve self-sufficiency, HHA will revise the ITSP to delete the services and modify the contract accordingly. If the services are integral, HHA will declare the contract null and void and provide the family with a preference for future participation in FSS once a resource for the missing service has been identified.
22.13 ESCROW ACCOUNTS
Generally, as the family’s earnings increase over time, the escrow account is credited with a portion of the amount of increased rent they pay due to increases in earned income. HHA will establish an FSS Escrow Account; with subsidiary ledgers to track FSS Escrow Account balances applicable to each participating family.
The family’s annual income, earned income, and family rent are inserted into the COP at execution. These become the baseline figures for future escrow calculations. Escrow credits are based on increase of earned income. Other escrow account features include:
• Increases in income other than earned income do not contribute to the escrow credit.
• For the baseline and all subsequent escrow calculations, HHA will use the calculated TTP for use in determining escrow even if the participant is on minimum rent. For example, if the calculated TTP is $30 and the minimum rent paid by the family is $50, HHA will use $30 when calculating escrow.
• If additional family members are approved by HHA, their earned income is counted when computing the escrow regardless of whether they have an individual training and services plan.
• No credits will be made to the family’s FSS escrow account after the FSS family has completed the COP or when the contract is terminated or otherwise nullified.
Earned Income is income from wages, tips, salaries, other employee compensation, military pay that is normally included in the annual income definition and any earnings from self- employment. Earned income does not include pensions, annuity payments, transfer payments, cash or in-kind benefits, or funds deposited in or accrued interest on the escrow account established by HHA or the Initial Housing Authority on behalf of a participating family.
22.13.1 FSS ESCROW CREDIT
FSS families are eligible for escrow account credits when the family’s income increases due to increases in earned income that result in an increase in Total Tenant Payment (or, for voucher holders, an increase in the amount which is 30% of monthly adjusted income). Each annual or
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interim reexamination for an enrolled family will be examined to determine if the family will receive escrow credit.
• For FSS families who are very low-income families, the FSS credit shall be the amount which is the lesser of:
o Thirty percent of current monthly adjusted income less the family rent, which is obtained by disregarding any increases in earned income (as defined in §984.103) from the effective date of the contract of participation; or
o The current family rent less the family rent at the time of the effective date of the contract of participation.
• For FSS families who are low-income families but not very low-income families, the FSS credit shall be the amount determined according to paragraph (b)(1)(i) of this section, but which shall not exceed the amount computed for 50 percent of median income
• Ineligibility for FSS credit. FSS families who are not low-income families shall not be entitled to any FSS credit.
Family rent, for purposes of escrow calculation is 30 percent of adjusted monthly income.
22.13.2 TIMING OF THE ESCROW CREDIT CALCULATIONS
• When the family is selected for the FSS program and executes a COP, HHA will enter the baseline income data into the contract.
• There will not be an escrow calculation until the family has a qualifying increase in earned income after the date of the contract.
• Thereafter, whenever HHA conducts a regular or interim recertification during the contract, HHA will also calculate the monthly escrow credit.
• HHA will follow the Administrative Plan to determine whether an interim recertification should be conducted, and when increases will go into effect.
• If the family has one or more interim recertifications during the year, the monthly escrow amount may change during the year. Otherwise, the monthly escrow credit will be the same for the entire period between regular recertifications.
• Interim recertifications for families in the FSS program will not count toward the limit on voluntary interim recertifications.
22.13.3 CREDITING THE ESCROW ACCOUNT
• HHA will deposit all escrowed credits into a single depository account.
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• The IRS does not count the funds or interest on the funds in the escrow account as income for purposes of income taxes, either before or when the family actually receives the escrow.
• The total of the combined FSS account funds for families will be supported in HHA’s accounting records by a subsidiary ledger. This ledger will show the balance applicable to each FSS family.
• HHA should credit the account monthly, since interim adjustments may change the amount of the credit.
• If HHA finds that a family did not report income they were required to report, HHA will not credit the family’s escrow account retroactively with any portion of the unreported income.
• In addition, if the family committed program fraud, it is grounds for termination from the HCV program, as well as the FSS program.
22.13.4 INVESTING THE FSS ESCROW ACCOUNT
HHA will invest funds in the FSS account in HUD-approved investments specified in HUD Handbook 7475.1 REV. The investment income for funds in the FSS account will be prorated and credited to each family’s FSS account. The credit will be based on the balance in each family’s FSS account at the end of the investment income credit period.
Before applying the interest, HHA will check to see whether:
• The owner has reported that the family has not paid rent or other amounts due under the lease.
• HHA will not submit IRS form 1099 to FSS families with escrow account balances or who receive final disbursements. This is not required by the IRS.
22.13.5 REPORTING ON THE FSS ESCROW ACCOUNT
• HHA will make a report each year to each FSS family on the status of the family’s FSS account.
• At a minimum, the report must include:
o The balance at the beginning of the reporting period;
o The amount of the family's rent payment that was credited to the FSS account during the reporting period;
o Any deductions made from the account for amounts due HHA before interest is distributed;
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o The amount of interest earned on the account during the year (interest will be reported annually); and
o The total in the account at the end of the reporting period.
22.13.6 DISBURSING THE FSS ESCROW ACCOUNT
The amount in an FSS account, in excess of any amount owed to HHA by the FSS family, is paid to the head of the FSS family:
• When the COP has been completed (even if the contract term has not expired); or
• Whenever the family's monthly adjusted income equals or exceeds the FMR for the unit size for which the family qualifies, based on HHA's occupancy standards (even if the five years is not up); and
• When, at contract completion, the head of the family certifies that, to the best of his/her knowledge and belief, no family member receives federal or State welfare assistance.
Even if the family is welfare free for 12 consecutive months before the contract expiration date, if the family has not met its other FSS obligations (obtained employment) the family is not eligible for the escrow.
An intergenerational family whose head becomes independent of welfare assistance but whose adult daughter with a child continues to receive TANF is not eligible for the escrow because ALL family members must be free of federal and State welfare assistance.
HHA may, at its sole discretion, disburse a portion of the funds from the family’s escrow account during the contract period for contract-related expenses if the family:
• Has fulfilled certain interim contract goals; and
• Needs a portion of the FSS account funds for purposes consistent with the contract such as:
o School tuition (or other school costs);
o Job training expenses;
o Business start-up expenses;
o Car (when public transportation is unavailable or inaccessible to the family); or
o Other approved self-sufficiency activities.
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Interim disbursements can only be made for a participant twice in a six month period, and cannot exceed 30% of the account’s balance. Exceptions to this interim disbursement requirement will be considered on a case by case basis and must be approved by HHA prior to releasing funds. HHA recognizes there may be extraordinary circumstances that require an exception to this guideline, and will base their decisions on what is in the best interest of the FSS participants. The following is an exception to the interim disbursement restriction.
22.13.7 USE OF FSS ESCROW FUNDS
The family may use the final disbursement of escrow account funds without restriction.
An FSS family may use its FSS escrow account funds for the purchase of a home, including a home:
• Under one of HUD's homeownership programs; or
• Under other federal, State, or local homeownership programs.
Before disbursing the funds, HHA will verify that the family is no longer receiving welfare assistance by:
• Requesting copies of documents; and
• Contacting the welfare agency.
If a family receives an advance payment from their escrow account prior to completing the contract, the advance payment does not have to be repaid to HHA if they drop out of the FSS program, unless the payment was based on fraud or misinformation by the family.
22.13.8 FORFEITING THE ACCOUNT
Amounts in the FSS account will be forfeited if:
• The COP is terminated; or
• The COP is completed but the family is receiving welfare assistance when the contract expires, including extensions.
If the head of the FSS family ceases to reside with other family members in the Section 8 assisted unit, the remaining family of the FSS family, after consultation with HHA, shall have the right to designate another family member to receive funds.
If families do not pay their rents to the HCV owner, the funds may be forfeited because:
• Compliance with the applicable HCV lease is a family obligation under the contract; and
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• Non-payment of rent is grounds for terminating a family's FSS participation and forfeiture of the escrow.
FSS account funds forfeited by the family will be treated as program receipts for payment of program expenses under HHA’s HCV budget.
22.14 OTHER FSS INCENTIVES
HHA may offer incentives to families to encourage participation in the FSSP. While non- participating families will retain their rights to Section 8 assistance and Public Housing, HHA will seek to reward those that do participate by providing them with access to social services such as child care, job counseling, and educational and enrichment programs.
22.15 AFFIRMATIVELY FURTHERING FAIR HOUSING
HHA will administer its HUD Family Self-Sufficiency Program in accordance with all applicable Fair Housing and Equal Opportunity laws, HUD’s Limited English Proficiency (LEP) guidelines, and in such a manner as to affirmatively further fair housing.
22.16 FSS PORTABILITY
As established in the FSS COP, the family must live in HHA’s jurisdiction for at least twelve months from the effective date of the Contract.
• After the first 12 months of the FSS contract of participation in HHA’s jurisdiction, the FSS family move outside of HHA’s jurisdiction under portability procedures. A relocating family may be eligible to transfer their FSS participation to the housing authority/agency in the new location, subject to the receiving authority’s policies and in keeping with HUD regulations governing FSS participation transfers. FSS staff will assist the family in investigating their FSS options when considering a portability move in order that they family may make an informed choice at the time.
• FSS families will not be penalized in exercising their right to portability.
• HHA will not terminate a family’s assistance solely because they cannot participate in the FSS program in their new location.
• If a family is subject to termination in the FSS program because of failure to meet a contract obligation, the family will not able to use a portability move to avoid the consequences. In this case, HHA may exercise its authority to terminate the family’s HCV assistance.
• When an HCV FSS family moves outside of HHA’s jurisdiction under portability, HHA may take one of the following actions:
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o HHA may permit the family to continue to participate in its FSS program with HHA if the family demonstrates that it can meet its FSS responsibilities in the new location, or
o The receiving HA may allow the family to participate in its FSS program, or
o HHA may terminate the contract in cases where the family cannot fulfill its obligations in the new location, or if the receiving HA does not allow the family to participate in its FSS program. In either of these cases, the family would forfeit the funds in the escrow account.
22.16.1 TRANSFER TO HHA’S FSS PROGRAM UNDER PORTABILITY
• A relocating family may participate in HHA’s FSS if approved by HHA.
• HHA is not obligated to accept a relocating FSS family in its FSS program.
• If HHA allows the family to participate, HHA enters into a new contract with the family for the term remaining on the initial HA’s FSS contract. The initial HA will terminate its FSS contract with the family. The family is subject to HHA’s FSS program rules and requirements.
• The effective date of the contract between the family and HAA is the first day of the month following the date the contract was signed by the family and HHA’s representative.
• The expiration date of the contract between HHA and the family MUST be the same as the expiration date of the contract between the initial PHA and the family.
• HHA will use the amounts listed for Annual Income, Earned Income, and Family Rent (TTP) on the original COP between the initial PHA and the family.
22.16.2 ESCROW ACCOUNTS & PORTABILITY
• Regardless of whether the relocating FSS family is in the initial or HHA’s program, there will be a single FSS account maintained by the initial HA.
• If HHA absorbs the family into its voucher program, the initial PHA must transfer the family’s FSS account to HHA, whether or HHA has an existing FSS program.
22.16.3 MONITORING STATUS FOR FSS CLIENTS UNDER PORTABILITY
HHA which is party to the FSS contract will be responsible for monitoring the family’s FSS goal attainment, resource needs, and status. This will be HHA if the family remains in HHA FSS
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program. It will be the receiving HA if the family becomes a client in the receiving HA’s FSS program.
22.16.4 TERMINATION & PORTABILITY
• HHA that is a party to the contract and is monitoring the FSS status is responsible for determining whether the family has violated the FSS contract and whether the family’s HCV assistance should be terminated, in accordance with its FSS Action Plan policies.
• Where the family is not absorbed by the receiving HA, but is participating in the receiving HA’s FSS program, the initial PHA will abide by the termination decision of the receiving HA.
• If a relocating FSS family is unable to fulfill its obligations under the FSS contract, HHA which is party to the FSS COP may
o Terminate the family from the FSS program and the family’s FSS account will be forfeited, and
o Terminate the family’s HCV assistance since the family failed to meet its obligations under the FSS contract.
• If the family’s FSS account is forfeited, the funds in the account will revert to HHA maintaining the FSS account for the family and will be treated as program receipts.
22.17 FSS REPORTING REQUIREMENTS
At least annually, HHA will complete an evaluation of the FSSP operations. The evaluation will not only satisfy the prevailing HUD reporting requirements, but also serve as an assessment of accomplishments relative to the goals and objectives established for the FSSP. It will also provide the basis for any adjustments that may be identified to adjust policies and procedures, as well as the implementation plan and schedule
The evaluation will, at a minimum, address the following matters:
• All HUD reporting requirements
• An assessment of progress measured against the established goals and objectives of the FSSP
• An assessment of the implementation plan and schedule
• A report on obstacles to self-sufficiency based on the circumstances and participant needs
• Recommendations for changes and adjustments based on the information gathered
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The annual report to HUD will, at a minimum, address the following issues:
• A description of the activities carried out under the FSSP
• A description of the effectiveness of the FSSP in helping participants achieve economic independence and self-sufficiency
• An assessment of the effectiveness of FSSP in coordinating the necessary resources and services
• Legislative and/or administrative recommendations by the PCC that would help to improve the FSSP and increase its effectiveness
• Racial and ethnic data concerning families who:
o Declined to participate;
o Elected to participate, but did not execute a Contract of Participation;
o Executed a Contract, signed a lease, and then voluntarily left the FSSP;
o Executed a Contract, signed a lease, and were asked to leave the FSSP;
o Executed a Contract, signed a lease, and completed the FSSP; or
o Executed a Contract, signed a lease, and remain in the FSSP.
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CHAPTER 23: RENTAL ASSISTANCE DEMONSTRATION
HUD established the Rental Assistance Demonstration (RAD) program to allow for the conversion of certain HUD assisted developments, including Public Housing developments, to long-term project based assistance. HHA shall administer its RAD program activities in accordance with relevant HUD regulations, notices and published guidance including PIH Notice 2012-32(HA)H-2017-03, REV-3 and any successor notices (collectively referred to as “HUD RAD Notice”). The HUD RAD Notice defines those areas where HHA may apply MTW policies to RAD converted developments.
RAD First Component Conversions
Under the first component of the RAD program and subject to HUD’s approval, Public Housing developments owned by HHA may be converted to long-term, project-based Section 8 rental assistance contracts through either the Project Based Voucher (PBV) or Project Based Rental Assistance (PBRA) programs. Where HHA elects to convert a Public Housing program under RAD to PBV, HHA may administer the PBV HAP contract.
The PBV policies described in the PROJECT-BASED VOUCHERS chapter of the Administrative Plan shall apply to first component RAD conversions except where HUD has defined regulatory waivers or other program changes in the HUD RAD Notice. The Special Provisions applicable to first component RAD PBV conversions as defined in the HUD RAD Notice are included in APPENDIX F.
RAD Second Component Conversions
Under the second component of RAD and subject to HUD’s approval, projects funded under the Mod Rehab, Mod Rehab SRO, Rent Supplement (Rent Supp) and Rental Assistance Payment (RAP) programs may convert to long-term, project-based Section 8 rental assistance through either the PBV or PBRA programs. Under RAD second component conversions, HHA may elect to administer the PBV HAP contract subject to HUD approval.
The PBV policies described in the PROJECT-BASED VOUCHERS chapter of the Administrative Plan shall apply to second component RAD conversions except where HUD has defined regulatory waivers or other program changes in the HUD RAD Notice. The Special Provisions applicable to second component RAD PBV conversions of Mod Rehab and Mod Rehab SRO projects as defined in the HUD RAD Notice are included in APPENDIX G. The Special Provisions applicable to second component RAD PBV conversions of Rent Supp and RAP projects as defined in the HUD RAD Notice are included in APPENDIX H.
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CHAPTER 24: PROJECT-BASED VOUCHERS
Project-based vouchers are a component of HHA’s housing choice voucher program. Under the project-based voucher program, HHA enters into assistance contracts with owners for specified units and for a specified term. HHA refers families from its waiting list to the project owner to fill vacancies. Because the assistance is tied to the unit, a family who moves from the project- based unit does not have any right to continued housing assistance. However, under certain circumstances they may be eligible for a tenant based voucher when one becomes available.
24.1 TENANT-BASED VS. PROJECT-BASED VOUCHER ASSISTANCE
Except as otherwise noted in this chapter, or unless specifically prohibited by PBV program regulations, HHA policies for the tenant-based voucher program contained in this administrative plan also apply to the PBV program and its participants.
24.2 RELOCATION REQUIREMENTS
HHA will provide relocation assistance to any persons displaced as a result of the implementation of the PBV program.
24.3 EQUAL OPPORTUNITY REQUIREMENTS
HHA will comply will all equal opportunity requirements under federal law and regulations in its implementation of the PBV program.
24.4 OWNER PROPOSAL SELECTION PROCEDURES
HHA will select PBV proposals by either of the following two methods.
• Selection Method 1: HHA request for PBV Proposals. HHA may solicit proposals by using a request for proposals to select proposals on a competitive basis in response to HHA request. HHA may not limit proposals to a single site or impose restrictions that explicitly or practically preclude owner submission of proposals for PBV housing on different sites.
• Selection Method 2: HHA may select proposal that were previously selected based on a competition. This may include selection of a proposal for housing assisted under a federal, state, or local government housing assistance program that was subject to a competition in accordance with the requirements of the applicable program, community development program, or supportive services program that requires competitive selection of proposals (e.g., HOME, and units for which competitively awarded LIHTCs have been provided), where the proposal has been selected in accordance with such program's competitive selection requirements within three years of the PBV proposal selection date, and the earlier competitive selection proposal did not involve any consideration that the project would receive PBV assistance. HHA need not conduct another competition.
Administrative Plan: PROJECT-BASED VOUCHERS 24-2
MTW Policy Selection Method 3: Pursuant to its MTW authority, HHA may select its own units to receive project-based assistance without a competitive process. Such units will be subject to subsidy layering requirements. HHA may project-base assistance at properties other than public housing properties owned directly or indirectly by HHA, including those owned by HHA affiliates or instrumentalities. HHA acknowledges the guidance provided by HUD in PIH Notice 2015- 15(HA) and will continue to adhere to the requirements set forth in the Notice unless or until HHA receives HUD approval to waive said requirements.
24.5 SOLICITATION AND SELECTION OF PBV PROPOSALS
24.5.1 HHA REQUEST FOR PROPOSALS FOR REHABILITATED AND NEWLY CONSTRUCTED UNITS
• HHA will advertise its request for proposals (RFP) for rehabilitated and newly constructed housing in newspapers and trade journals for at least one day per week for three3 consecutive weeks. The advertisement will specify the number of units HHA estimates that it will be able to assist under the funding HHA is making available.
• HHA will post the RFP and proposal submission and rating and ranking procedures on its electronic web site.
• Proposals will be due in HHA office by close of business 30 calendar days from the date of the last publication.
• In order for the proposal to be considered, the owner must submit the proposal to HHA by the published deadline date, and the proposal must respond to all requirements as outlined in the RFP. Incomplete proposals will not be reviewed.
• HHA will rate and rank proposals for rehabilitated and newly constructed housing using the following criteria:
o Owner experience and capability to build or rehabilitate housing as identified in the RFP;
o Extent to which the project furthers HHA goal of deconcentrating poverty and expanding housing and economic opportunities;
o If applicable, the extent to which services for special populations are provided on site or in the immediate area for occupants of the property; and
o Projects with less than 25 percent of the units assisted will be rated higher than projects with 25 percent of the units assisted. In the case of projects for occupancy by the elderly, persons with disabilities or families needing other services, HHA will rate partially assisted projects on the percent of units assisted. Projects with the lowest percent of assisted units will receive the highest score.
Administrative Plan: PROJECT-BASED VOUCHERS 24-3
24.5.2 HHA REQUESTS FOR PROPOSALS FOR EXISTING HOUSING UNITS
• HHA will advertise its request for proposals (RFP) for existing housing in newspapers and trade journals. The advertisement will specify the number of units HHA estimates that it will be able to assist under the funding HHA is making available.
• HHA will post the notice inviting such proposal submission and the rating and ranking procedures on its electronic web site.
• Owner proposals will be accepted on a first-come first-served basis and will be evaluated using the following criteria:
o Experience as an owner in the tenant-based voucher program and owner compliance with the owner’s obligations under the tenant-based program;
o Extent to which the project furthers HHA goal of deconcentrating poverty and expanding housing and economic opportunities;
o If applicable, extent to which services for special populations are provided on site or in the immediate area for occupants of the property; and
o Extent to which units are occupied by families that are eligible to participate in the PBV program.
24.5.3 SELECTION OF PROPOSALS SUBJECT TO A PREVIOUS COMPETITION UNDER A FEDERAL, STATE, OR LOCAL HOUSING ASSISTANCE PROGRAM
• HHA will accept proposals for PBV assistance from owners that were competitively selected under another federal, state or local housing assistance program, including projects that were competitively awarded Low-Income Housing Tax Credits on an ongoing basis.
• HHA may periodically advertise that it is accepting proposals, in newspapers and trade journals.
• In addition to, or in place of advertising, HHA may also directly contact specific owners that have already been selected for Federal, state, or local housing assistance based on a previously held competition, to inform them of available PBV assistance.
• Proposals will be reviewed on a first-come first-served basis. HHA will evaluate each proposal on its merits using the following factors:
o Extent to which the project furthers HHA goal of deconcentrating poverty and expanding housing and economic opportunities; and
Administrative Plan: PROJECT-BASED VOUCHERS 24-4
o Extent to which the proposal complements other local activities such as the redevelopment of a public housing site under the HOPE VI program, the HOME program, CDBG activities, other development activities in a HUD-designated Enterprise Zone, Economic Community, or Renewal Community.
24.5.4 HHA-OWNED UNITS
• HHA may submit a proposal for project-based housing that is owned or controlled by the HHA. If the proposal for HHA-owned housing is selected, HHA will use an independent entity to review the HHA selection and to administer the PBV program. HHA will obtain HUD approval of the independent entity prior to selecting the proposal for HHA-owned housing.
• HHA may only compensate the independent entity from HHA ongoing administrative fee income (including amounts credited to the administrative fee reserve). HHA may not use other program receipts to compensate the independent entity for its services. HHA and independent entity may not charge the family any fee for the appraisal or the services provided by the independent entity.
• See the glossary for a definition of HHA-owned units.
24.5.5 HHA NOTICE OF OWNER SELECTION
• HHA will notify the selected owner in writing of the owner’s selection for the PBV program. HHA will also notify in writing all owners that submitted proposals that were not selected and advise such owners of the name of the selected owner.
• In addition, HHA will publish its notice for selection of PBV proposals in the same newspapers and trade journals HHA used to solicit the proposals. The announcement will include the name of the owner that was selected for the PBV program. HHA will also post the notice of owner selection on its electronic web site.
• HHA will make available to any interested party its rating and ranking sheets and documents that identify HHA basis for selecting the proposal. These documents will be available for review by the public and other interested parties for one month after publication of the notice of owner selection. HHA will not make available sensitive owner information that is privileged, such as financial statements and similar information about the owner.
• HHA will make these documents available for review at HHA during normal business hours. The cost for reproduction of will be covered by the requester.
24.5.6 HOUSING TYPE
HHA may attach PBV assistance for units in existing housing or for newly constructed or rehabilitated housing developed under and in accordance with an agreement to enter into a housing assistance payments contract that is executed prior to the start of construction.
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A housing unit is considered an existing unit for purposes of the PBV program, if, at the time of notice of HHA selection, the units substantially comply with HQS. Units for which new construction or rehabilitation begins after the owner’s proposal submission but prior to the execution of the HAP do not subsequently qualify as existing housing. Units that are newly constructed or rehabilitated in violation of program requirements also do not qualify as existing housing.
24.5.7 PROHIBITION OF ASSISTANCE FOR CERTAIN UNITS
HHA may not attach or pay PBV assistance to:
• Shared housing units;
• Units on the grounds of a penal reformatory, medical, mental, or similar public or private institution;
• Nursing homes or facilities providing continuous psychiatric, medical, nursing services, board and care, or intermediate care (except that assistance may be provided in assisted living facilities);
• Units that are owned or controlled by an educational institution or its affiliate and are designated for occupancy by students;
• Manufactured homes; and
• Transitional housing.
In addition, HHA may not attach or pay PBV assistance for a unit occupied by an owner and HHA may not select or enter into an agreement to enter into a HAP contract or HAP contract for a unit occupied by a family ineligible for participation in the PBV program.
A member of a cooperative who owns shares in the project assisted under the PBV program is not considered an owner for purposes of participation in the PBV program. Finally, PBV assistance may not be attached to units for which construction or rehabilitation has started after the proposal submission and prior to the execution of an AHAP.
24.6 SUBSIDY LAYERING REQUIREMENTS
HHA may provide PBV assistance only in accordance with HUD subsidy layering regulations and other requirements.
Subsidy layering requirements do not apply to existing housing. A further subsidy layering review is not required for new construction or rehabilitation if HUD's designee has conducted a review that included a review of PBV assistance in accordance with the PBV subsidy layering guidelines.
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HHA will submit the necessary documentation to HUD for a subsidy layering review. Except in cases noted above, HHA may not enter into an agreement to enter into a HAP contract or a HAP contract until HUD, or a HUD-approved housing credit agency (HCA), has conducted any required subsidy layering review and determined that the PBV assistance is in accordance with HUD subsidy layering requirements. However, in order to satisfy applicable requirements, HCAs must conduct subsidy layering reviews in compliance with the guidelines set forth in the Federal Register notice published July 9, 2010.
The HAP contract must contain the owner's certification that the project has not received and will not receive (before or during the term of the HAP contract) any public assistance for acquisition, development, or operation of the housing other than assistance disclosed in the subsidy layering review in accordance with HUD requirements.
24.7 CAP ON NUMBER OF PBV UNITS IN EACH PROJECT
MTW Policy HHA may elect to unit-base 100 percent (100%) of the dwelling units in any PBV project or development provided that the development meets the applicable MTW Site and Neighborhood Standards.
24.8 SITE SELECTION STANDARDS
It is HHA’s goal to select sites for PBV housing that provide for deconcentrating poverty and expanding housing and economic opportunities. In complying with this goal HHA will limit approval of sites for PBV housing in census tracts that have poverty concentrations of 20 percent or less.
However, HHA will grant exceptions to the 20 percent standard where HHA determines that the PBV assistance will complement other local redevelopment activities designed to deconcentrate poverty and expand housing and economic opportunities in census tracts with poverty concentrations greater than 20 percent, such as sites in:
• A census tract in which the proposed PBV development will be located in a HUD-designated Enterprise Zone, Economic Community, or Renewal Community;
• A census tract where the concentration of assisted units will be or has decreased as a result of public housing demolition and HOPE VI redevelopment;
• A census tract in which the proposed PBV development will be located is undergoing significant revitalization as a result of state, local, or federal dollars invested in the area;
• A census tract where new market rate units are being developed where such market rate units will positively impact the poverty rate in the area;
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• A census tract where there has been an overall decline in the poverty rate within the past five years; or
• A census tract where there are meaningful opportunities for educational and economic advancement.
24.8.1 EXISTING AND REHABILITATED HOUSING SITE AND NEIGHBORHOOD STANDARDS
HHA will not enter into an agreement to enter into a HAP contract nor enter into a HAP contract for existing or rehabilitated housing until it has determined that the site complies with the HUD required site and neighborhood standards. The site must:
• Be adequate in size, exposure, and contour to accommodate the number and type of units proposed;
• Have adequate utilities and streets available to service the site;
• Promote a greater choice of housing opportunities and avoid undue concentration of assisted persons in areas containing a high proportion of low-income persons;
• Be accessible to social, recreational, educational, commercial, and health facilities and services and other municipal facilities and services equivalent to those found in neighborhoods consisting largely of unassisted similar units; and
• Be located so that travel time and cost via public transportation or private automobile from the neighborhood to places of employment is not excessive.
24.8.2 NEW CONSTRUCTION SITE AND NEIGHBORHOOD STANDARDS
In order to be selected for PBV assistance, a site for newly constructed housing must meet the following HUD required site and neighborhood standards:
• The site must be adequate in size, exposure, and contour to accommodate the number and type of units proposed;
• The site must have adequate utilities and streets available to service the site;
• The site must not be located in an area of minority concentration unless HHA determines that sufficient, comparable opportunities exist for housing for minority families in the income range to be served by the proposed project outside areas of minority concentration or that the project is necessary to meet overriding housing needs that cannot be met in that housing market area;
• The site must not be located in a racially mixed area if the project will cause a significant increase in the proportion of minority to non-minority residents in the area.
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• The site must promote a greater choice of housing opportunities and avoid undue concentration of assisted persons in areas containing a high proportion of low-income persons;
• The neighborhood must not be one that is seriously detrimental to family life or in which substandard dwellings or other undesirable conditions predominate;
• The housing must be accessible to social, recreational, educational, commercial, and health facilities and services and other municipal facilities and services equivalent to those found in neighborhoods consisting largely of unassisted similar units; and
• Except for housing designed for elderly persons, the housing must be located so that travel time and cost via public transportation or private automobile from the neighborhood to places of employment is not excessive.
24.9 ENVIRONMENTAL REVIEW
HHA will not enter into an agreement to enter into a HAP contract nor enter into a HAP contract until it has complied with the environmental review requirements.
HHA will not enter into an agreement to enter into a HAP contract or a HAP contract with an owner, and HHA, the owner, and its contractors will not acquire, rehabilitate, convert, lease, repair, dispose of, demolish, or construct real property or commit or expend program or local funds for PBV activities under this part, until the environmental review is completed.
HHA will supply all available, relevant information necessary for the responsible entity to perform any required environmental review for any site. HHA will require the owner to carry out mitigating measures required by the responsible entity (or HUD, if applicable) as a result of the environmental review.
24.10 HOUSING QUALITY STANDARDS
The housing quality standards (HQS) for the tenant-based program, including those for special housing types, generally apply to the PBV program. The Lead-based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846), the Residential Lead-based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4851-4856), and implementing regulations at 24 CFR part 35, subparts A, B, H, and R, apply to the PBV program.
HHA will abate and terminate PBV HAP contracts for non-compliance with HQS in accordance with the policies used in the tenant-based voucher program. These policies are contained in the chapter on HAP ABATEMENT.
24.11 INSPECTING UNITS
24.11.1 PRE-SELECTION INSPECTION
Administrative Plan: PROJECT-BASED VOUCHERS 24-9
HHA will examine the proposed site before the proposal selection date. If the units to be assisted already exist, HHA will inspect all the units before the proposal selection date, and will determine whether the units substantially comply with HQS. To qualify as existing housing, units must substantially comply with HQS on the proposal selection date. However, HHA may not execute the HAP contract until the units fully comply with HQS.
24.11.2 PRE-HAP CONTRACT INSPECTION
HHA will inspect each contract unit before execution of the HAP contract. HHA will not enter into a HAP contract covering a unit until the unit fully complies with HQS.
24.11.3 TURNOVER INSPECTIONS
Before providing assistance to a new family in a contract unit, HHA will inspect the unit. HHA may not provide assistance on behalf of the family until the unit fully complies with HQS.
24.11.4 ANNUAL/BIENNIAL INSPECTIONS
HHA will inspect PB units at least once in a 24 month period to determine if the contract units and the premises are maintained in accordance with HQS. HHA reserves the right to change any HQS unit inspection frequency based solely upon management discretion. For example, if a unit routinely fails HQS inspections, HHA may inspect the unit on an annual instead of biennial basis.
24.11.5 OTHER INSPECTIONS
HHA will inspect contract units whenever needed to determine that the contract units comply with HQS and that the owner is providing maintenance, utilities, and other services in accordance with the HAP contract. HHA will take into account complaints and any other information coming to its attention in scheduling inspections.
HHA will conduct follow-up inspections needed to determine if the owner (or, if applicable, the family) has corrected an HQS violation, and will conduct inspections to determine the basis for exercise of contractual and other remedies for owner or family violation of HQS.
24.11.6 INSPECTING HHA-OWNED UNITS
In the case of HHA-owned units, the inspections must be performed by an independent agency designated by HHA and approved by HUD. The independent entity must furnish a copy of each inspection report to HHA and to the HUD field office where the project is located. HHA will take all necessary actions in response to inspection reports from the independent agency, including exercise of contractual remedies for violation of the HAP contract by HHA-owner.
24.12 REHABILITATED AND NEWLY CONSTRUCTED UNITS
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24.12.1 AGREEMENT TO ENTER INTO HAP CONTRACT
In order to offer PBV assistance in rehabilitated or newly constructed units, HHA will enter into an agreement to enter into a HAP contract (Agreement) with the owner of the property. HHA may not enter into an Agreement if commencement of construction or rehabilitation has commenced after proposal submission. Construction begins when excavation or site preparation (including clearing of the land) begins for the housing. Rehabilitation begins with the physical commencement of rehabilitation activity on the housing.
In the Agreement, the owner agrees to develop the PBV contract units to comply with HQS, and the HHA agrees that upon timely completion of such development in accordance with the terms of the Agreement, HHA will enter into a HAP contract with the owner for the contract units.
24.12.2 CONTENT OF THE AGREEMENT
The Agreement will describe the following features of the housing to be developed and assisted under the PBV program:
• Site and location of the contract units;
• Number of contract units by area (size) and number of bedrooms and bathrooms;
• Services, maintenance, or equipment to be supplied by the owner without charges in addition to the rent;
• Utilities available to the contract units, including a specification of utility services to be paid by the owner and utility services to be paid by the tenant;
• An indication of whether or not the design and construction requirements of the Fair Housing Act and section 504 of the Rehabilitation Act of 1973 apply to units under the Agreement. If applicable, any required work item resulting from these requirements must be included in the description of work to be performed under the Agreement;
• Estimated initial rents to owner for the contract units;
• Description of the work to be performed under the Agreement. For rehabilitated units, the description must include the rehabilitation work write up and, where determined necessary by HHA, specifications and plans. For new construction units, the description must include the working drawings and specifications.
• Any additional requirements for quality, architecture, or design over and above HQS.
24.12.3 EXECUTION OF THE AGREEMENT
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HHA will enter into the Agreement with the owner within 10 business days of receiving both environmental approval and notice that subsidy layering requirements have been met, and before construction or rehabilitation work is started.
24.12.4 LABOR STANDARDS
If an Agreement covers the development of nine or more contract units (whether or not completed in stages), the owner and the owner’s contractors and subcontractors must pay Davis- Bacon wages to laborers and mechanics employed in the development of housing. The HUD- prescribed form of the Agreement will include the labor standards clauses required by HUD, such as those involving Davis-Bacon wage rates.
The owner, contractors, and subcontractors must also comply with the Contract Work Hours and Safety Standards Act, Department of Labor regulations in 29 CFR part 5, and other applicable federal labor relations laws and regulations. HHA will monitor compliance with labor standards.
24.12.5 EQUAL OPPORTUNITY
The owner must comply with Section 3 of the Housing and Urban Development Act of 1968 and the implementing regulations at 24 CFR Part 135. The owner must also comply with federal equal employment opportunity requirements.
24.12.6 OWNER DISCLOSURE
The Agreement and HAP contract must include a certification by the owner that the owner and other project principals are not on the U.S. General Services Administration list of parties excluded from federal procurement and non-procurement programs.
The owner must also disclose any possible conflict of interest that would be a violation of the Agreement, the HAP contract, or HUD regulations.
24.12.7 EVIDENCE OF COMPLETION
At a minimum, the owner must submit the following evidence of completion to HHA: • Owner certification that the work has been completed in accordance with HQS and all requirements of the Agreement; and • Owner certification that the owner has complied with labor standards and equal opportunity requirements in development of the housing.
HHA will determine the need for the owner to submit additional documentation as evidence of housing completion on a case-by-case basis depending on the nature of the PBV project.
HHA will specify any additional documentation requirements in the Agreement to enter into HAP contract.
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24.12.8 HHA ACCEPTANCE OF COMPLETED UNITS
Upon notice from the owner that the housing is completed, HHA will inspect to determine if the housing has been completed in accordance with the Agreement, including compliance with HQS and any additional requirements imposed under the Agreement. HHA will also determine if the owner has submitted all required evidence of completion.
If the work has not been completed in accordance with the Agreement, HHA will not enter into the HAP contract.
If HHA determines the work has been completed in accordance with the Agreement and that the owner has submitted all required evidence of completion, HHA will submit the HAP contract for execution by the owner and must then execute the HAP contract.
24.13 HOUSING ASSISTANCE PAYMENTS (HAP) CONTRACT
HHA will enter into a HAP contract with an owner for units that are receiving PBV assistance. The purpose of the HAP contract is to provide housing assistance payments for eligible families. Housing assistance is paid for contract units leased and occupied by eligible families during the HAP contract term. With the exception of single-family scattered-site projects, a HAP contract shall cover a single project. If multiple projects exist, each project is covered by a separate HAP contract. The HAP contract must be in the form required by HUD.
24.13.1 HAP CONTRACT REQUIREMENTS
The HAP contract must specify the following information:
• The total number of contract units by number of bedrooms;
• The project’s name, street address, city or county, state and zip code, block and lot number (if known), and any other information necessary to clearly identify the site and the building;
• The number of contract units in each building, the location of each contract unit, the area of each contract unit, and the number of bedrooms and bathrooms in each contract unit;
• Services, maintenance, and equipment to be supplied by the owner and included in the rent to owner;
• Utilities available to the contract units, including a specification of utility services to be paid by the owner (included in rent) and utility services to be paid by the tenant;
• Features provided to comply with program accessibility requirements of Section 504 of the Rehabilitation Act of 1973 and implementing regulations at 24 CFR part 8;
• The HAP contract term; and
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• The initial rent to owner for the first 12 months of the HAP contract term.
24.13.2 CONTRACT EXECUTION
For existing housing, the HAP contract will be executed upon HHA determination that all units pass HQS.
For rehabilitated or newly constructed housing, the HAP contract will be executed upon HHA determination that the units have been completed in accordance with the agreement to enter into HAP, all units meet HQS, and the owner has submitted all required evidence of completion.
24.13.3 TERM OF THE HAP CONTRACT
The term of all PBV HAP contracts will be negotiated with the owner on a case-by-case basis.
At the time of the initial HAP contract term or any time before expiration of the HAP contract, HHA may extend the term of the contract for an additional term of up to 20 years if HHA determines an extension is appropriate to continue providing affordable housing for low-income families. A HAP contract extension may not exceed 20 years. HHA may provide for multiple extensions; however, in no circumstances may such extensions exceed 40 years, cumulatively.
When determining whether or not to extend an expiring PBV contract, HHA will consider several factors including, but not limited to:
• The cost of extending the contract and the amount of available budget authority;
• The condition of the contract units;
• The owner’s record of compliance with obligations under the HAP contract and lease(s);
• Whether the location of the units continues to support the goals of deconcentrating poverty and expanding housing opportunities; and
• Whether the funding could be used more appropriately for tenant-based assistance.
24.13.4 HAP CONTRACT TERMINATION BY HHA
If it is determined that there may not be sufficient funding to continue housing assistance payments for all contract units and for the full term of the HAP contract, HHA may terminate the HAP contract by notice to the owner. The termination must be implemented in accordance with HUD instructions.
24.13.5 HAP CONTRACT TERMINATION BY OWNER
If in accordance with program requirements the amount of rent to an owner for any contract unit is reduced below the amount of the rent to owner at the beginning of the HAP contract term, the
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owner may terminate the HAP contract by giving notice to HHA. In this case, families living in the contract units must be offered tenant-based assistance.
Not less than one year before the HAP contract terminates, or if the owner refuses to renew the HAP contract, the owner must notify HHA and assisted tenants of the termination. The notice must be provided in the form prescribed by HUD.
If the owner does not give timely notice, the owner must permit the tenants in assisted units to remain in their units for the required notice period with no increase in the tenant portion of their rent, and with no eviction as a result of the owner's inability to collect an increased tenant portion of rent. An owner may renew the terminating contract for a period of time sufficient to give tenants one-year advance notice under such terms as HUD may require.
24.13.6 STATUTORY NOTICE REQUIREMENTS: CONTRACT TERMINATION OR EXPIRATION
Not less than one year before the HAP contract terminates, or if the owner refuses to renew the HAP contract, the owner must notify HHA and assisted tenants of the termination. The notice must be provided in the form prescribed by HUD. If the owner does not give timely notice, the owner must permit the tenants in assisted units to remain in their units for the required notice period with no increase in the tenant portion of their rent, and with no eviction as a result of the owner's inability to collect an increased tenant portion of rent. An owner may renew the terminating contract for a period of time sufficient to give tenants one-year advance notice under such terms as HUD may require.
24.13.7 REMEDIES FOR HQS VIOLATIONS
HHA may not make any HAP payment to the owner for a contract unit during any period in which the unit does not comply with HQS. If HHA determines that a contract does not comply with HQS, HHA may exercise any of its remedies under the HAP contract, for any or all of the contract units. Available remedies include termination of housing assistance payments, abatement or reduction of housing assistance payments, reduction of contract units, and termination of the HAP contract.
24.13.8 AMENDMENTS TO THE HAP CONTRACT
HHA will consider adding contract units to the HAP contract when HHA determines that additional housing is needed to serve eligible low-income families. Circumstances may include, but are not limited to:
• The local housing inventory is reduced due to a disaster (either due to loss of housing units, or an influx of displaced families); and
• Voucher holders are having difficulty finding units that meet program requirements.
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MTW Policy HHA will allow for units to be added to a PBV HAP Contract at any time during the term of the HAP Contract if HHA determines that such addition will support the goals of promoting neighborhood revitalization, avoiding tenant displacement and/or ensuring long-term affordability. The anniversary and expiration dates of the HAP Contract term for the PBV units originally placed under contract and the new units added to the contract will remain consistent. HHA envisions that this flexibility will be applied infrequently and only as necessary to support the above-listed goals. HHA will follow any applicable non-MTW provisions related to subsidy layering, Field Office approval or other applicable HD requirements.
24.13.9 HAP CONTRACT YEAR, ANNIVERSARY AND EXPIRATION DATES
The HAP contract year is the period of 12 calendar months preceding each annual anniversary of the HAP contract during the HAP contract term. The initial contract year is calculated from the first day of the first calendar month of the HAP contract term.
The annual anniversary of the HAP contract is the first day of the first calendar month after the end of the preceding contract year.
There is a single annual anniversary and expiration date for all units under a particular HAP contract, even in cases where contract units are placed under the HAP contract in stages (on different dates) or units are added by amendment. The anniversary and expiration dates for all units coincide with the dates for the contract units that were originally placed under contract.
24.13.10 OWNER RESPONSIBILITIES UNDER THE HAP
When the owner executes the HAP contract s/he certifies that at such execution and at all times during the term of the HAP contract:
• All contract units are in good condition and the owner is maintaining the premises and contract units in accordance with HQS;
• The owner is providing all services, maintenance, equipment and utilities as agreed to under the HAP contract and the leases;
• Each contract unit for which the owner is receiving HAP, is leased to an eligible family referred by HHA, and the lease is in accordance with the HAP contract and HUD requirements;
• To the best of the owner’s knowledge the family resides in the contract unit for which the owner is receiving HAP, and the unit is the family’s only residence;
• The owner (including a principal or other interested party) is not the spouse, parent, child, grandparent, grandchild, sister, or brother of any member of a family residing in a contract unit;
Administrative Plan: PROJECT-BASED VOUCHERS 24-16
• The amount of the HAP the owner is receiving is correct under the HAP contract;
• The rent for contract units does not exceed rents charged by the owner for comparable unassisted units;
• Except for HAP and tenant rent, the owner has not received and will not receive any other payment or consideration for rental of the contract unit;
• The family does not own or have any interest in the contract unit (does not apply to family's membership in a cooperative); and
• Repair work on the project selected as an existing project that is performed after HAP execution within such post-execution period as specified by HUD may constitute development activity, and if determined to be development activity, the repair work undertaken shall be in compliance with Davis-Bacon wage requirements.
24.13.11 ADDITIONAL HAP REQUIREMNTS
HHA will identify the need for any special features on a case-by-case basis depending on the intended occupancy of the PBV project. HHA will specify any special design standards or additional requirements in the invitation for PBV proposals, the agreement to enter into HAP contract, and the HAP contract.
24.13.12 HOUSING ASSISTANCE PAYMENTS
During the term of the HAP contract, HHA will make housing assistance payments to the owner in accordance with the terms of the HAP contract. During the term of the HAP contract, payments will be made for each month that a contract unit complies with HQS and is leased to and occupied by an eligible family. The housing assistance payment will be paid to the owner on or about the first day of the month for which payment is due, unless the owner and HHA agree on a later date.
Except for discretionary vacancy payments, HHA will not make any housing assistance payment to the owner for any month after the month when the family moves out of the unit (even if household goods or property are left in the unit).
The amount of the housing assistance payment by HHA is the rent to owner minus the tenant rent (total tenant payment minus the utility allowance).
In order to receive housing assistance payments, the owner must comply with all provisions of the HAP contract. Unless the owner complies with all provisions of the HAP contract, the owner does not have a right to receive housing assistance payments.
24.13.13 VACANCY PAYMENTS
Administrative Plan: PROJECT-BASED VOUCHERS 24-17
HHA will decide on a case-by-case basis if HHA will provide vacancy payments to the owner. The HAP contract with the owner will contain any such agreement, including the amount of the vacancy payment and the period for which the owner will qualify for these payments.
If an owner’s HAP contract calls for vacancy payments to be made, and the owner wishes to receive vacancy payments, the owner must have properly notified HHA of the vacancy in accordance with the policy on VACANT UNITS.
In order for a vacancy payment request to be considered, it must be made within 10 business days of the end of the period for which the owner is requesting the vacancy payment. The request must include the required owner certifications and HHA may require the owner to provide documentation to support the request. If the owner does not provide the information requested by HHA within 10 business days of HHA’s request, no vacancy payments will be made.
If HHA determines that the owner is responsible for a vacancy and, as a result, is not entitled to the keep the housing assistance payment, HHA will notify the landlord of the amount of housing assistance payment that the owner must repay. HHA will require the owner to repay the amount owed in accordance with the REPAYMENT AGREEMENTS policy.
24.13.14 REDUCTION IN HAP CONTRACT DUE TO VACANCIES
If any contract units have been vacant for 120 days, HHA will give notice to the owner that the HAP contract will be amended to reduce the number of contract units that have been vacant for this period. The amendment to the HAP contract will be effective the 1st day of the month following the date of HHA’s notice.
24.14 ELIGIBILITY FOR PBV ASSISTANCE
HHA will determine an applicant family’s eligibility for the PBV program in accordance with the policies in the chapter on ELIGIBILITY.
24.14.1 IN-PLACE FAMILIES
An eligible family residing in a proposed PBV contract unit on the date the proposal is selected by HHA is considered an “in-place family.” These families are afforded protection from displacement under the PBV rule. If a unit to be placed under contract (either an existing unit or a unit requiring rehabilitation) is occupied by an eligible family on the date the proposal is selected, the in-place family must be placed on HHA’s waiting list.
Once the family’s continued eligibility is determined, the family must be given an absolute selection preference and HHA will refer these families to the project owner for an appropriately sized PBV unit in the project. Admission of eligible in-place families is not subject to income targeting requirements.
This regulatory protection from displacement does not apply to families that are not eligible to participate in the program on the proposal selection date.
Administrative Plan: PROJECT-BASED VOUCHERS 24-18
24.15 ORGANIZATION OF THE WAITING LIST
Each individual project and building receiving PBV assistance manages a site-based waiting list. Owners submit tenant selection plans to HHA for approval.
24.15.1 REQUEST FOR OWNER MANAGED SBWL
Owners must prepare and submit a written request to operate an owner managed PBV SBWL. As part of the SBWL request, owners must submit their proposed Tenant Selection Plan. HHA will review all requests and provide a written response regarding the outcome of their request to operate a PBV SBWL.
24.16 SELECTION FROM THE WAITING LIST
• Income targeting: At least 75 percent of the families admitted to HHA’s tenant-based and project-based voucher programs during HHA fiscal year from the waiting list must be very- low income families. The income targeting requirement applies to the total of admissions to both programs.
• Units with Accessibility Features: When selecting families to occupy PBV units that have special accessibility features for persons with disabilities, HHA will first refer families who require such features to the owner.
• Preferences: HHA will provide a selection preference when required by the regulation (e.g., eligible in-place families,” mobility impaired persons for accessible units). HHA will not offer any additional preferences for the PBV program or for particular PBV projects or units.
24.17 OFFER OF PBV ASSISTANCE
Refusal of Offer HHA will not take any of the following actions against a family who has applied for, received, or refused an offer of PBV assistance:
• Refuse to list the applicant on the waiting list for tenant-based voucher assistance;
• Deny any admission preference for which the applicant qualifies;
• Change the applicant’s place on the waiting list based on preference, date, and time of application, or other factors affecting selection under HHA’s selection policy;
• Remove the applicant from the tenant-based voucher waiting list.
Disapproval by Landlord If a PBV owner rejects a family for admission to the owner’s units, such rejection will not affect the family’s position on the tenant-based voucher waiting list.
Administrative Plan: PROJECT-BASED VOUCHERS 24-19
24.18 FAMILY BRIEFING When a family accepts an offer for PBV assistance, HHA will give the family an oral briefing. The briefing will include information on how the program works and the responsibilities of the family and owner. In addition to the oral briefing, HHA will provide a briefing packet that explains how HHA determines the total tenant payment for a family, the family obligations under the program, and applicable fair housing information.
24.19 OWNER SELECTION OF TENANTS
Prior to execution of the HAP contract and as part of the approval process for owner management of SBWL, HHA will review approve the owner’s Tenant Selection Plan for the project. The Tenant Selection Plan must include the following:
• Owner acknowledgement of the requirement to follow applicable policies in HHA’s Administrative Plan. HHA will provide owners with a list of policies which may be modified by the owner.
• Procedures for accepting applications and selecting applicants from the waiting list including acknowledgement that HHA policies for opening and closing the waiting list, accepting applications and selecting applicants from the waiting list must be followed.
• Policies on site specific preferences, screening, security deposits, unit transfers and modification of the Tenant Selection Plan.
• Statement of non-discrimination including the owner’s policy to promote equal opportunity and non-discrimination in accordance with the federal and state constitutions and legislative enactments addressing discrimination in housing.
24.20 TENANT SCREENING
HHA will not conduct screening to determine a PBV applicant family’s suitability for tenancy.
HHA will inform owners of their responsibility to screen prospective tenants, and will provide owners with the required known name and address information, at the time of the turnover HQS inspection or before. HHA will not provide any additional information to the owner, such as tenancy history, criminal history, etc.
24.21 LEASE
HHA will not review the owner’s lease for compliance with state or local law.
The lease for a PBV unit must specify all of the following information:
• The names of the owner and the tenant;
Administrative Plan: PROJECT-BASED VOUCHERS 24-20
• The unit rented (address, apartment number, if any, and any other information needed to identify the leased contract unit);
• The term of the lease (initial term and any provision for renewal);
• The amount of the tenant rent to owner, which is subject to change during the term of the lease in accordance with HUD requirements;
• A specification of the services, maintenance, equipment, and utilities that will be provide by the owner; and
• The amount of any charges for food, furniture, or supportive services.
The tenancy addendum in the lease must state:
• The program tenancy requirements;
• The composition of the household as approved by HHA (the names of family members and any HHA-approved live-in aide);
• All provisions in the HUD-required tenancy addendum must be included in the lease. The terms of the tenancy addendum prevail over other provisions of the lease.
24.21.1 INITIAL TERM AND LEASE RENEWAL
The initial lease term will be for at least one year. The lease will provide for automatic renewal after the initial term of the lease in either successive definitive terms (e.g. month-to-month or year-to-year) or an automatic indefinite extension of the lease term. For automatic indefinite extension of the lease term, the lease terminates if any of the following occur:
• The owner terminates the lease for good cause;
• The tenant terminates the lease;
• The owner and tenant agree to terminate the lease;
• HHA terminates the HAP contract; or
• HHA terminates assistance for the family.
24.21.2 CHANGES IN THE LEASE
If the tenant and owner agree to any change in the lease, the change must be in writing, and the owner must immediately give HHA a copy of all changes.
Administrative Plan: PROJECT-BASED VOUCHERS 24-21
The owner must notify HHA in advance of any proposed change in the lease regarding the allocation of tenant and owner responsibilities for utilities. Such changes may only be made if approved by HHA and in accordance with the terms of the lease relating to its amendment. HHA will re-determine reasonable rent, in accordance with MTW policies and applicable program requirements, based on any change in the allocation of the responsibility for utilities between the owner and the tenant. The redetermined reasonable rent will be used in calculation of the rent to owner from the effective date of the change.
24.21.3 OWNER TERMINATION OF TENANCY
With two exceptions, the owner of a PBV unit may terminate tenancy for the same reasons an owner may terminate tenancy in the tenant-based voucher program (see TERMINATION OF TENANCY BY THE OWNER. In the PBV program, terminating tenancy for “good cause” does not include doing so for a business or economic reason, or a desire to use the unit for personal or family use or other non-residential purpose.
• Tenant Absence from the Unit: The lease may specify a maximum period of family absence from the unit that may be shorter than the maximum period permitted by HHA policy. According to program requirements, the family’s assistance must be terminated if they are absent from the unit for more than 180 consecutive calendar days. HHA termination of assistance actions due to family absence from the unit are subject to 24 CFR 981.312, except that the unit is not terminated from the HAP contract if the family is absent for longer than the maximum period permitted.
24.22 CONTINUATION OF HOUSING ASSISTANCE PAYMENTS
Housing assistance payments shall continue until the tenant rent equals the rent to owner. The cessation of housing assistance payments at such point will not affect the family's other rights under its lease, nor will such cessation preclude the resumption of payments as a result of later changes in income, rents, or other relevant circumstances if such changes occur within 180 days following the date of the last housing assistance payment by HHA. After the 180-day period, the unit shall be removed from the HAP contract pursuant to 24 CFR 983.211.
If a participating family receiving zero assistance experiences a change in circumstances that would result in a HAP payment to the owner, the family must notify HHA of the change and request an interim reexamination before the expiration of the 180-day period.
24.23 SECURITY DEPOSITS
HHA will allow the owner to collect a security deposit amount the owner determines is appropriate.
The owner may collect a security deposit from the tenant; however, HHA will prohibit security deposits in excess of private market practice, or in excess of amounts charged by the owner to unassisted tenants.
Administrative Plan: PROJECT-BASED VOUCHERS 24-22
When the tenant moves out of a contract unit, the owner, subject to state and local law, may use the security deposit, including any interest on the deposit, in accordance with the lease, as reimbursement for any unpaid tenant rent, damages to the unit, or other amounts owed by the tenant under the lease.
The owner must give the tenant a written list of all items charged against the security deposit and the amount of each item. After deducting the amount used to reimburse the owner, the owner must promptly refund the full amount of the balance to the tenant.
If the security deposit does not cover the amount owed by the tenant under the lease, the owner may seek to collect the balance from the tenant. HHA has no liability or responsibility for payment of any amount owed by the family to the owner.
24.24 VACANT UNITS
The owner must notify HHA in writing (mail, fax, or e-mail) within 5 business days of learning about any vacancy or expected vacancy.
HHA will make every reasonable effort to refer families to the owner within 10 business days of receiving such notice from the owner.
24.25 FAMILY RIGHT TO MOVE
The family may terminate the lease at any time after the first year of occupancy. The family must give advance written notice to the owner in accordance with the lease and provide a copy of such notice to HHA.
Non-MTW Policy If the family wishes to move with continued tenant-based assistance, the family must contact HHA to request the rental assistance prior to providing notice to terminate the lease.
If the family terminates the lease in accordance with these requirements, HHA will offer the family the opportunity for continued tenant-based assistance, in the form of a voucher or other comparable tenant-based rental assistance. If voucher or other comparable tenant-based assistance is not immediately available upon termination of the family’s lease in the PBV unit, HHA will give the family priority to receive the next available opportunity for continued tenant- based assistance.
If the family terminates the assisted lease before the end of the first year, the family relinquishes the opportunity for continued tenant-based assistance.
MTW Policy HHA will not provide a mobile tenant-based voucher to PBV participants except as indicated in the policy on OVERCROWDED, UNDEROCCUPIED AND ACCESSIBLE UNITS and when the participant has requested and been granted:
Administrative Plan: PROJECT-BASED VOUCHERS 24-23
• A reasonable accommodation transfer; or, • A VAWA transfer; or, • An emergency transfer.
24.26 OVERCROWDED, UNDEROCCUPIED AND ACCESSIBLE UNITS
When HHA determines that a family is occupying a wrong size unit, based on HHA’s subsidy standards, or a unit with accessibility features that the family does not require, and the unit is needed by a family that does require the features, HHA will promptly notify the family and the owner of this determination. HHA will offer the family the following types of continued assistance in the following order, based on the availability of assistance:
• PBV assistance in the same building or project;
• PBV assistance in another project; and
• Tenant-based voucher assistance.
If HHA offers the family a tenant-based voucher, HHA will terminate the housing assistance payments for a wrong-sized or accessible unit at the earlier of the expiration of the term of the family’s voucher (including any extension granted by HHA) or the date upon which the family vacates the unit. If the family does not move out of the wrong-sized unit or accessible unit by the expiration of the term of the family's voucher, HHA will remove the unit from the HAP contract.
If HHA offers the family another form of assistance that is not a tenant-based voucher, and the family does not accept the offer or does not move out of the PBV unit within 30 calendar days from the date of the offer, HHA will terminate the housing assistance payments for the unit at the expiration of the 30-day period and remove the unit from the HAP contract. HHA may make exceptions to this 30-day period if needed for reasons beyond the family’s control such as death, serious illness, or other medical emergency of a family member.
24.27 CHANGES TO FAMILY COMPOSITION
MTW Policy
HHA will not permit a family member to be added to a PBV household if the new member would result in the family being under-housed except in the case of birth, court-ordered custody, marriage or live-in aides.
24.28 UNITS WITH REQUIRED SUPPORTIVE SERVICES
HHA will allow families who initially qualified to live in a unit with required supportive services to remain when circumstances change due to circumstances beyond the remaining family members’ control. Examples of qualified families include, but may not be limited to, active FSS families, families with supportive services requirements or an elderly or disabled family.
Administrative Plan: PROJECT-BASED VOUCHERS 24-24
In all other cases, when HHA determines that a family no longer meets the criteria for a “qualifying family”, HHA will provide written notice to the family and owner after making the determination. The family will be given 30 days from the date of the notice to move out of the PBV unit. If the family does not move out within this 30-day time frame, HHA will terminate the housing assistance payments at the expiration of this 30-day period.
HHA may make exceptions to this 30-day period if needed for reasons beyond the family’s control such as death, serious illness, or other medical emergency of a family member.
HHA will refer other eligible and qualified families to units with required supportive services. However, if there are no eligible families on the waiting list and the owner does not refer eligible families to HHA, HHA will amend the HAP contract to reduce the total number of units under contract.
24.29 DETERMINING RENT TO OWNER
Except for certain tax credit units (discussed below), the rent to owner must not exceed the lowest of the following amounts:
• An amount determined by HHA, not to exceed 110 percent of the applicable fair market rent (or any HUD-approved exception payment standard) for the unit bedroom size minus any utility allowance;
• The reasonable rent; or
• The rent requested by the owner.
Certain Tax Credit Units The rent limits are determined differently than for other PBV units. Different limits apply to contract units that meet all of the following criteria:
• The contract unit receives a low-income housing tax credit under the Internal Revenue Code of 1986;
• The contract unit is not located in a qualified census tract;
• There are comparable tax credit units of the same bedroom size as the contract unit in the same project, and the comparable tax credit units do not have any form of rental assistance other than the tax credit; and
• The tax credit rent exceeds 110 percent of the fair market rent or any approved exception payment standard;
For contract units that meet all of these criteria, the rent to owner must not exceed the lowest of:
• The tax credit rent minus any utility allowance;
Administrative Plan: PROJECT-BASED VOUCHERS 24-25
• The reasonable rent; or
• The rent requested by the owner.
24.29.1 EFFECT OF OTHER SUBSIDY AND RENT CONTROL
In addition to the rent limits discussed in the policies on DETERMINING RENT TO OWNER, other restrictions may limit the amount of rent to owner in a PBV unit.
Other Subsidy To comply with HUD subsidy layering requirements, at the discretion of HUD or its designee, HHA shall reduce the rent to owner because of other governmental subsidies, including tax credits or tax exemptions, grants, or other subsidized funding.
For units receiving assistance under the HOME program, rents may not exceed rent limits as required by that program.
For units in any of the following types of federally subsidized projects, the rent to owner may not exceed the subsidized rent (basic rent) or tax credit rent as determined in accordance with requirements for the applicable federal program:
• An insured or non-insured Section 236 project;
• A formerly insured or non-insured Section 236 project that continues to receive Interest Reduction Payment following a decoupling action;
• A Section 221(d)(3) below market interest rate (BMIR) project;
• A Section 515 project of the Rural Housing Service;
• Any other type of federally subsidized project specified by HUD.
Combining Subsidy Rent to owner may not exceed any limitation required to comply with HUD subsidy layering requirements.
Rent Control In addition to the rent limits set by PBV program regulations, the amount of rent to owner may also be subject to rent control or other limits under local, state, or federal law.
24.29.2 REASONABLE RENT
HHA will determine reasonable rent in accordance with the RENT REASONABLENESS policies in this Plan. In addition, HHA will also determine reasonable rent:
Administrative Plan: PROJECT-BASED VOUCHERS 24-26
• Anytime the HAP contract is amended to substitute a different contract unit in the same building or project;
• Whenever HHA approves a change in the allocation of responsibility for utilities between the owner and the tenant; and
• There is any other change that may substantially affect the reasonable rent.
The rent to owner for each contract unit may at no time exceed the reasonable rent, except in cases where HHA has elected within the HAP contract not to reduce rents below the initial rent to owner and, upon redetermination of the rent to owner, the reasonable rent would result in a rent below the initial rent. However, the rent to owner must be reduced in the following cases:
• To correct errors in calculations in accordable with HUD requirements
• If additional housing assistance has been combined with PBV assistance after the execution of the initial HAP contract and a rent decrease is required pursuant to 24 CFR 983.55
• If a decrease in rent to owner is required based on changes in the allocation of the responsibility for utilities between owner and tenant
MTW Policy Re-determined rents to owners of PBV units, except for certain tax credit units, shall not exceed the lowest of the reasonable rent or the rent requested by owner. HHA has eliminated the requirements to re-determine the reasonable rents for PBV units whenever there is a five percent or greater decrease in the published FMR in effect sixty days before the contract anniversary as compared with the FMR in effect one year before the contract anniversary.
24.29.3 REASONABLE RENT FOR HHA-OWNED UNITS
For HHA-owned units, the amount of the reasonable rent must be determined by an independent agency approved by HUD in accordance with PBV program requirements. The independent entity must provide a copy of the determination of reasonable rent for HHA-owned units to HHA and to the HUD field office where the project is located. See the glossary for a definition of HHA-owned units.
24.29.4 USE OF FMRS, EXCEPTION PAYMENT STANDARDS, AND UTILITY ALLOWANCES
When determining the initial rent to owner, HHA will the most recently published FMR in effect and the utility allowance schedule in effect at execution of the HAP contract.
When redetermining the rent to owner, HHA will use the most recently published FMR and the utility allowance schedule in effect at the time of redetermination.
Administrative Plan: PROJECT-BASED VOUCHERS 24-27
At its discretion, HHA may for initial rent, use the amounts in effect at any time during the 30- day period immediately before the beginning date of the HAP contract, or for redeterminations of rent, the 30-day period immediately before the redetermination date. . HHA will review and make a decision based on the circumstances and merit of each request. In addition to considering a written request from an owner, HHA may decide to use the FMR or utility allowances in effect during the 30-day period before the start date of the HAP, or redetermination of rent, if HHA determines it is necessary due to HHA budgetary constraints.
Any HUD-approved exception payment standard amount under the tenant-based voucher program also applies to the project-based voucher program.
HHA will not establish or apply different utility allowance amounts for the PBV program. The same utility allowance schedule applies to both the tenant-based and project-based voucher programs.
24.29.5 REDETERMINATION OF RENT
Rent Increase If an owner wishes to request an increase in the rent to owner from HHA, it must be requested at least 60 days prior to the annual anniversary of the HAP contract and must include the new rent proposed by the owner. HHA will only make rent increases in accordance with the rent limits described previously.
There are no provisions in the PBV program for special adjustments (e.g., adjustments that reflect increases in the actual and necessary expenses of owning and maintaining the units which have resulted from substantial general increases in real property taxes, utility rates, or similar costs).
HHA will not approve and the owner may not receive any increase of rent to owner until and unless the owner has complied with requirements of the HAP contract, including compliance with HQS. The owner may not receive any retroactive increase of rent for any period of noncompliance.
Rent Decrease If there is a decrease in the rent to owner, as established in accordance with program requirements such as a change in the FMR or exception payment standard, or reasonable rent amount, the rent to owner must be decreased regardless of whether the owner requested a rent adjustment, except where HHA has elected within the HAP contract to not reduce rents below the initial rent under the initial HAP contract.
HHA-Owned Units For HHA-owned PBV units, the initial rent to owner and the annual redetermination of rent at the anniversary of the HAP contract are determined by the independent entity approved by HUD. HHA will use the rent to owner established by the independent entity.
24.29.6 NOTICE OF RENT CHANGE
Administrative Plan: PROJECT-BASED VOUCHERS 24-28
The rent to owner is redetermined by written notice by HHA to the owner specifying the amount of the redetermined rent. The HHA notice of rent adjustment constitutes an amendment of the rent to owner specified in the HAP contract.
HHA will provide the owner with at least 30 days written notice of any change in the amount of rent to owner. The adjusted amount of rent to owner applies for the period of 12 calendar months from the annual anniversary of the HAP contract
24.30 TENANT RENT TO OWNER
The tenant rent is the portion of the rent to owner paid by the family. The amount of tenant rent is determined by HHA in accordance with applicable HHA, MTW and HUD requirements. Any changes in the amount of tenant rent will be effective on the date stated in the HHA notice to the family and owner.
The family is responsible for paying the tenant rent (total tenant payment minus the utility allowance). The amount of the tenant rent determined by HHA is the maximum amount the owner may charge the family for rental of a contract unit. The tenant rent covers all housing services, maintenance, equipment, and utilities to be provided by the owner. The owner may not demand or accept any rent payment from the tenant in excess of the tenant rent as determined by HHA. The owner must immediately return any excess payment to the tenant.
Tenant and HHA Responsibilities The family is not responsible for the portion of rent to owner that is covered by the housing assistance payment and the owner may not terminate the tenancy of an assisted family for Non-payment by HHA. Likewise, HHA is responsible only for making the housing assistance payment to the owner in accordance with the HAP contract.
HHA is not responsible for paying tenant rent, or any other claim by the owner, including damage to the unit.
HHA will not use housing assistance payments or other program funds (including administrative fee reserves) to pay any part of the tenant rent or other claim by the owner.
24.31 UTILITY REIMBURSEMENTS
If the amount of the utility allowance exceeds the total tenant payment, HHA will pay the amount of such excess to the tenant as a reimbursement for tenant-paid utilities, and the tenant rent to the owner must be zero.
HHA may pay the utility reimbursement directly to the utility supplier on behalf of the family. If HHA chooses to pay the utility supplier directly, HHA will notify the family of the amount paid to the utility supplier.
24.32 OTHER FEES AND CHARGES
Administrative Plan: PROJECT-BASED VOUCHERS 24-29
Meals and Supportive Services With the exception of PBV assistance in assisted living developments, the owner may not require the tenant to pay charges for meals or supportive services. Non-payment of such charges is not grounds for termination of tenancy.
In assisted living developments receiving PBV assistance, the owner may charge for meals or supportive services. These charges may not be included in the rent to owner, nor may the value of meals and supportive services be included in the calculation of the reasonable rent. However, non-payment of such charges is grounds for termination of the lease by the owner in an assisted living development.
Other Charges by Owner The owner may not charge extra amounts for items customarily included in rent in the locality or provided at no additional cost to unsubsidized tenants in the premises.
24.33 PRESERVATION AFTER CONSERVATION
MTW Policy
HHA is preserving the long term affordability of expiring use properties by project-basing Enhanced and Tenant Protection vouchers for up to a 15 year extendable term. Households residing in a preservation eligible project as of the conversation date are given the choice between an Enhanced or Tenant Protection voucher and a Project-Based Voucher. The initial income eligibility requirement will apply to tenants selecting the Project-Based option.
For tenants that are over-housed as of the conversion date and elect to receive a Project-Based Voucher, HHA may waive the subsidy policy provided there is at least one household member per bedroom. Tenants may also request a reasonable accommodation if applicable.
HHA may waive 24 CFR 983.56 in its entirety including the 25% per building/project which will allow for every eligible household in a preservation eligible project to elect to receive a Project- Based Voucher. Additionally, should a household that elects to receive an Enhanced or Tenant Protection Voucher move from the property, HHA may add the unit to the Project-Based HAP Contract at any time during the term of the HAP Contract.
Administrative Plan: PROJECT-BASED VOUCHERS 24-30
CHAPTER 25: GLOSSARY OF SUBSIDIZED HOUSING TERMS
1. Absorption. In portability (under subpart H of this part 982): the point at which a receiving PHA stops billing the initial PHA for assistance on behalf of a portability family. The receiving PHA uses funds available under the receiving PHA consolidated ACC.
2. Accessible. The facility or portion of the facility can be approached, entered, and used by persons with disabilities.
3. Actual and imminent threat. Refers to a physical danger that is real, would occur within an immediate time frame and could result in death or serious bodily harm. In determining whether an individual would pose an actual and imminent threat, the factors to be considered include: The duration of the risk, the nature and severity of the potential harm, the likelihood that the potential harm will occur, and the length of time before the potential harm would occur.
4. Adjusted income. Annual income, less allowable HUD deductions and allowances.
5. Administrative fee. Fee paid by HUD to HHA for administration of the program. See §982.152.
6. Administrative plan. The plan that describes HHA’s policies for administration of the tenant-based programs. The Administrative Plan and any revisions must be approved by HHA’s board and included as a supporting document to the HHA Plan. See §982.54.
7. Admission. The point when the family becomes a participant in the program. The date used for this purpose is the effective date of the first HAP contract for a family (first day of initial lease term) in a tenant-based program.
8. Affiliated individual. With respect to an individual, a spouse, parent, brother, sister, or child of that individual, or a person to whom that individual stands in loco parentis (in the place of a parent), or any individual, tenant, or lawful occupant living in the household of that individual
9. Amortization payment. In a manufactured home space rental: The monthly debt service payment by the family to amortize the purchase price of the manufactured home.
10. Annual. Happening once a year.
11. Annual contributions contract (ACC). The written contract between HUD and a PHA under which HUD agrees to provide funding for a program under the 1937 Act, and the PHA agrees to comply with HUD requirements for the program.
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12. Annual income. The anticipated total income of an eligible family from all sources for the 12-month period following the date of determination of income, computed in accordance with the regulations.
13. Applicant (applicant family). A family that has applied for admission to a program but is not yet a participant in the program.
14. Area exception rent. An amount that exceeds the published FMR. See 24 CFR 982.504(b).
15. As-paid states. States where the welfare agency adjusts the shelter and utility component of the welfare grant in accordance with actual housing costs.
16. Assets. (See net family assets.)
17. Auxiliary aids. Services or devices that enable persons with impaired sensory, manual, or speaking skills to have an equal opportunity to participate in, and enjoy the benefits of, programs or activities receiving federal financial assistance.
18. Biennial. Happening every two years.
19. Bifurcate. With respect to a public housing or Section 8 lease, to divide a lease as a matter of law such that certain tenants can be evicted or removed while the remaining family members’ lease and occupancy rights are allowed to remain intact.
20. Budget authority. An amount authorized and appropriated by the Congress for payment to PHAs under the program. For each funding increment in a PHA program, budget authority is the maximum amount that may be paid by HUD to the PHA over the ACC term of the funding increment.
21. Child. A member of the family other than the family head or spouse who is under 18 years of age.
22. Child care expenses. Amounts anticipated to be paid by the family for the care of children under13 years of age during the period for which annual income is computed, but only where such care is necessary to enable a family member to actively seek employment, be gainfully employed, or to further his or her education and only to the extent such amounts are not reimbursed. The amount deducted shall reflect reasonable charges for child care. In the case of child care necessary to permit employment, the amount deducted shall not exceed the amount of employment income that is included in annual income.
23. Citizen. A citizen or national of the United States.
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24. Co-head. An individual in the household who is equally responsible for the lease with the head of household. A family may have a co-head or spouse but not both. A co-head never qualifies as a dependent. The co-head must have legal capacity to enter into a lease.
25. Common space. In shared housing, the space available for use by the assisted family and other occupants of the unit.
26. Computer match. The automated comparison of databases containing records about individuals.
27. Confirmatory review. An on-site review performed by HUD to verify the management performance of a PHA.
28. Consent form. Any consent form approved by HUD to be signed by assistance applicants and participants to obtain income information from employers and SWICAs; return information from the Social Security Administration (including wages, net earnings from self-employment and retirement income); and return information for unearned income from the IRS. Consent forms expire after a certain time and may authorize the collection of other information to determine eligibility or level of benefits.
29. Congregate housing. Housing for elderly persons or persons with disabilities that meets the HQS for congregate housing. A special housing type: see 24 CFR 982.606–609.
30. Contiguous MSA. In portability (under subpart H of part 982): An MSA that shares a common boundary with the MSA in which the jurisdiction of the initial PHA is located.
31. Continuously assisted. An applicant is continuously assisted under the 1937 Act if the family is already receiving assistance under any 1937 Housing Act program when the family is admitted to the voucher program.
32. Contract authority. The maximum annual payment by HUD to a PHA for a funding increment.
33. Cooperative (term includes mutual housing). Housing owned by a nonprofit corporation or association, and where a member of the corporation or association has the right to reside in a particular apartment, and to participate in management of the housing. A special housing type (see 24 CFR 982.619).
34. Covered families. Statutory term for families who are required to participate in a welfare agency economic self-sufficiency program and who may be subject to a welfare benefit sanction for noncompliance with this obligation. Includes families who receive welfare assistance or other public assistance under a program for which federal, state or local law requires that a member of the family must participate in an economic self-sufficiency program as a condition for the assistance.
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35. Covered Housing Provider. The individual or entity under a covered housing program, i.e. HUD programs assisted under the US Housing Act of 1937 that has responsibility for the administration and/or oversight of VAWA protections.
36. Dating violence. Violence committed by a person who is or has been in a social relationship of a romantic or intimate nature with the victim; and where the existence of such a relationship shall be determined based on a consideration of the following factors: - The length of the relationship - The type of relationship - The frequency of interaction between the persons involved in the relationship
37. Dependent. A member of the family (except foster children and foster adults) other than the family head or spouse, who is under 18 years of age, or is a person with a disability, or is a full-time student.
38. Dependent child. In the context of the student eligibility restrictions, a dependent child of a student enrolled in an institution of higher education. The dependent child must also meet the definition of dependent as specified above.
39. Disability assistance expenses. Reasonable expenses that are anticipated, during the period for which annual income is computed, for attendant care and auxiliary apparatus for a disabled family member, and that are necessary to enable a family member (including the disabled member) to be employed, provided that the expenses are neither paid to a member of the family nor reimbursed by an outside source.
40. Disabled family. A family whose head, co-head, spouse, or sole member is a person with disabilities; two or more persons with disabilities living together; or one or more persons with disabilities living with one or more live-in aides.
41. Disabled person. See person with disabilities.
42. Disallowance. Exclusion from annual income.
43. Displaced family. A family in which each member, or whose sole member, is a person displaced by governmental action, or a person whose dwelling has been extensively damaged or destroyed as a result of a disaster declared or otherwise formally recognized pursuant to federal disaster relief laws.
44. Domestic violence. Felony or misdemeanor crimes of violence committed by a current or former spouse of the victim, by a person with whom the victim shares a child in common, by a person who is cohabitating with or has cohabitated with the victim as a spouse or intimate partner, by a person similarly situated to a spouse of the victim under the domestic or family violence laws of the jurisdiction receiving grant monies, or by any other person against an adult or youth victim who is protected from that person’s acts under the domestic or family violence laws of the jurisdiction.
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45. Domicile. The legal residence of the household head or spouse as determined in accordance with state and local law.
46. Drug-related criminal activity. The illegal manufacture, sale, distribution, or use of a drug, or the possession of a drug with intent to manufacture, sell, distribute, or use the drug.
47. Economic self-sufficiency program. Any program designed to encourage, assist, train or facilitate the economic independence of assisted families, or to provide work for such families. Can include job training, employment counseling, work placement, basic skills training, education, English proficiency, Workfare, financial or household management, apprenticeship, or any other program necessary to ready a participant to work (such as treatment for drug abuse or mental health treatment). Includes any work activities as defined in the Social Security Act (42 U.S.C. 607(d)). Also see 24 CFR 5.603(c).
48. Elderly family. A family whose head, co-head, spouse, or sole member is a person who is at least 62 years of age; two or more persons who are at least 62 years of age living together; or one or more persons who are at least 62 years of age living with one or more live-in aides.
49. Elderly person. An individual who is at least 62 years of age.
50. Eligible family A family that is income eligible and meets the other requirements of the 1937 Act and Part 5 of 24 CFR. See also family.
51. Employer identification number (EIN). The nine-digit taxpayer identifying number that is assigned to an individual, trust, estate, partnership, association, company, or corporation.
52. Evidence of citizenship or eligible status. The documents which must be submitted as evidence of citizenship or eligible immigration status. See 24 CFR 5.508(b).
53. Extremely low-income family. A family whose annual income does not exceed the federal poverty level or 30 percent of the median income for the area, whichever number is higher. Area median income is determined by HUD, with adjustments for smaller and larger families. HUD may establish income ceilings higher or lower than 30 percent of median income if HUD finds such variations are necessary due to unusually high or low family incomes. See 24 CFR 5.603.
54. Facility. All or any portion of buildings, structures, equipment, roads, walks, parking lots, rolling stock, or other real or personal property or interest in the property.
55. Fair Housing Act. Title VIII of the Civil Rights Act of 1968, as amended by the Fair Housing Amendments Act of 1988.
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56. Fair market rent (FMR). The rent, including the cost of utilities (except telephone), as established by HUD for units of varying sizes (by number of bedrooms), that must be paid in the housing market area to rent privately owned, existing, decent, safe, and sanitary rental housing of modest (non-luxury) nature with suitable amenities. See periodic publications in the Federal Register in accordance with 24 CFR Part 888.
57. Family. Includes but is not limited to the following, regardless of actual or perceived sexual orientation, gender identity, or marital status, and can be further defined in PHA policy. - A family with or without children (the temporary absence of a child from the home due to placement in foster care is not considered in determining family composition and family size) - An elderly family or a near-elderly family - A displaced family - The remaining member of a tenant family - A single person who is not an elderly or displaced person, or a person with disabilities, or the remaining member of a tenant family.
58. Family rent to owner. In the voucher program, the portion of rent to owner paid by the family.
59. Family self-sufficiency program (FSS program). The program established by a PHA in accordance with 24 CFR part 984 to promote self-sufficiency of assisted families, including the coordination of supportive services (42 U.S.C. 1437u).
60. Family share. The portion of rent and utilities paid by the family. For calculation of family share, see 24 CFR 982.515(a).
61. Family unit size. The appropriate number of bedrooms for a family, as determined by the PHA under the PHA subsidy standards.
62. Federal agency. A department of the executive branch of the federal government.
63. Foster child care payment. A payment to eligible households by state, local, or private agencies appointed by the state to administer payments for the care of foster children.
64. Full-time student. A person who is attending school or vocational training on a full-time basis (carrying a subject load that is considered full-time for day students under the standards and practices of the educational institution attended). See 24 CFR 5.603.
65. Funding increment. Each commitment of budget authority by HUD to a PHA under the consolidated annual contributions contract for the PHA program.
66. Gender identity. Actual or perceived gender-related characteristics.
67. Gross rent. The sum of the rent to owner plus any utility allowance.
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68. Group home. A dwelling unit that is licensed by a state as a group home for the exclusive residential use of two to twelve persons who are elderly or persons with disabilities (including any live-in aide). (A special housing type: see 24 CFR 982.610– 614.)
69. Handicap. Any condition or characteristic that renders a person an individual with handicaps. (See person with disabilities.)
70. HAP contract. The housing assistance payments contract. A written contract between the PHA and an owner for the purpose of providing housing assistance payments to the owner on behalf of an eligible family.
71. Head of household. The adult member of the family who is the head of the household for purposes of determining income eligibility and rent.
72. HHA-owned unit. A HHA-owned unit is defined as a unit that is either owned by HHA, owned by an entity wholly controlled by HHA, owned by a limited liability company or limited partnership in which HHA (or an entity wholly controlled by HHA) holds a controlling interest in the managing member or general partner.
73. Household. A household includes additional people other than the family who, with the PHA’s permission, live in an assisted unit, such as live-in aides, foster children, and foster adults.
74. Housing assistance payment. The monthly assistance payment by a PHA, which includes: (1) A payment to the owner for rent to the owner under the family's lease; and (2) An additional payment to the family if the total assistance payment exceeds the rent to owner.
75. Housing agency (HA). See public housing agency.
76. Housing quality standards (HQS). The HUD minimum quality standards for housing assisted under the voucher program.
77. HUD. The U.S. Department of Housing and Urban Development.
78. Imputed asset. An asset disposed of for less than fair market value during the two years preceding examination or reexamination.
79. Imputed asset income. HHA-established passbook rate multiplied by the total cash value of assets. The calculation is used when net family assets exceed $5,000.
80. Imputed welfare income. An amount of annual income that is not actually received by a family as a result of a specified welfare benefit reduction, but is included in the family’s annual income and therefore reflected in the family’s rental contribution.
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81. Income. Income from all sources of each member of the household, as determined in accordance with criteria established by HUD.
82. Income for eligibility. Annual income.
83. Income information means information relating to an individual’s income, including: - All employment income information known to current or previous employers or other income sources - All information about wages, as defined in the state's unemployment compensation law, including any social security number; name of the employee; quarterly wages of the employee; and the name, full address, telephone number, and, when known, employer identification number of an employer reporting wages under a state unemployment compensation law - Whether an individual is receiving, has received, or has applied for unemployment compensation, and the amount and the period received - Unearned IRS income and self-employment, wages, and retirement income - Wage, social security, and supplemental security income data obtained from the Social Security Administration.
84. Individual with handicaps. See person with disabilities.
85. Initial PHA. In portability, the term refers to both: (1) A PHA that originally selected a family that later decides to move out of the jurisdiction of the selecting PHA; and (2) A PHA that absorbed a family that later decides to move out of the jurisdiction of the absorbing PHA.
86. Initial payment standard. The payment standard at the beginning of the HAP contract term.
87. Initial rent to owner. The rent to owner at the beginning of the HAP contract term.
88. Institution of higher education. An institution of higher education as defined in 20 U.S.C. 1001 and 1002. https://www.gpo.gov/fdsys/pkg/USCODE-2011- title20/pdf/USCODE-2011-title20-chap28-subchapI-partA.pdf
89. Intimate Partner of the Victim. Under VAWA, includes a person who is or has been in a social relationship of a romantic or intimate nature with the victim, as determined by the length of the relationship, the type of the relationship, and the frequency of interaction between the personal involved in the relationship.
90. Jurisdiction. The area in which the PHA has authority under state and local law to administer the program.
91. Landlord. Either the owner of the property or his/her representative, or the managing agent or his/her representative, as shall be designated by the owner.
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92. Lease. A written agreement between an owner and a tenant for the leasing of a dwelling unit to the tenant. The lease establishes the conditions for occupancy of the dwelling unit by a family with housing assistance payments under a HAP contract between the owner and the PHA.
93. Live-in aide. A person who resides with one or more elderly persons, or near-elderly persons, or persons with disabilities, and who: - Is determined to be essential to the care and well-being of the persons; - Is not obligated for the support of the persons; and - Would not be living in the unit except to provide the necessary supportive services.
94. Living/sleeping room. A living room may be used as sleeping (bedroom) space, but no more than two persons may occupy the space. A bedroom or living/sleeping room must have at least one window and two electrical outlets in proper operating condition. See HCV GB p. 10-6 and 24 CFR 982.401.
95. Local preference. A preference used by the PHA to select among applicant families.
96. Low-income family. A family whose income does not exceed 80 percent of the median income for the area as determined by HUD with adjustments for smaller or larger families, except that HUD may establish income limits higher or lower than 80 percent for areas with unusually high or low incomes.
97. Manufactured home. A manufactured structure that is built on a permanent chassis, is designed for use as a principal place of residence, and meets the HQS. (A special housing type: see 24 CFR 982.620 and 982.621.)
98. Manufactured home space. In manufactured home space rental: A space leased by an owner to a family. A manufactured home owned and occupied by the family is located on the space. See 24 CFR 982.622 to 982.624.
99. Medical expenses. Medical expenses, including medical insurance premiums that are anticipated during the period for which annual income is computed, and that are not covered by insurance (a deduction for elderly or disabled families only). These allowances are given when calculating adjusted income for medical expenses in excess of 3 percent of annual income.
100. Minor. A member of the family household other than the family head or spouse, who is under 18 years of age.
101. Mixed family. A family whose members include those with citizenship or eligible immigration status, and those without citizenship or eligible immigration status.
102. Monthly adjusted income. One twelfth of adjusted income.
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103. Monthly income. One twelfth of annual income.
104. Mutual housing. Included in the definition of cooperative.
105. National. A person who owes permanent allegiance to the United States, for example, a result of birth in a United States territory or possession.
106. Near-elderly family. A family whose head, spouse, or sole member is a person who is at least 50 years of age but below the age of 62; or two or more persons, who are at least 50 years of age but below the age of 62, living together; or one or more persons who are at least 50 years of age but below the age of 62 living with one or more live-in aides.
107. Net family assets. (1) Net cash value after deducting reasonable costs that would be incurred in disposing of real property, savings, stocks, bonds, and other forms of capital investment, excluding interests in Indian trust land and excluding equity accounts in HUD homeownership programs. The value of necessary items of personal property such as furniture and automobiles shall be excluded. - In cases where a trust fund has been established and the trust is not revocable by, or under the control of, any member of the family or household, the value of the trust fund will not be considered an asset so long as the fund continues to be held in trust. Any income distributed from the trust fund shall be counted when determining annual income under §5.609.
- In determining net family assets, PHAs or owners, as applicable, shall include the value of any business or family assets disposed of by an applicant or tenant for less than fair market value (including a disposition in trust, but not in a foreclosure or bankruptcy sale) during the two years preceding the date of application for the program or reexamination, as applicable, in excess of the consideration received therefore. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be for less than fair market value if the applicant or tenant receives important consideration not measurable in dollar terms.
108. Noncitizen. A person who is neither a citizen nor national of the United States.
109. Notice of funding availability (NOFA). For budget authority that HUD distributes by competitive process, the Federal Register document that invites applications for funding. This document explains how to apply for assistance and the criteria for awarding the funding.
110. Office of General Counsel (OGC). The General Counsel of HUD.
111. Overcrowded. A unit that does not meet the following HQS space standards: (1) Provide adequate space and security for the family; and (2) Have at least one bedroom or living/sleeping room for each two persons.
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112. Owner. Any person or entity with the legal right to lease or sublease a unit to a participant.
113. PHA Plan. The annual plan and the 5-year plan as adopted by the PHA and approved by HUD.
114. PHA’s quality control sample. An annual sample of files or records drawn in an unbiased manner and reviewed by a PHA supervisor (or by another qualified person other than the person who performed the original work) to determine if the work documented in the files or records conforms to program requirements. For minimum sample size see CFR 985.3.
115. Participant (participant family). A family that has been admitted to the PHA program and is currently assisted in the program. The family becomes a participant on the effective date of the first HAP contract executed by the PHA for the family (first day of initial lease term).
116. Payment standard. The maximum monthly assistance payment for a family assisted in the voucher program (before deducting the total tenant payment by the family).
117. Person with disabilities. For the purposes of program eligibility. A person who has a disability as defined under the Social Security Act or Developmental Disabilities Care Act, or a person who has a physical or mental impairment expected to be of long and indefinite duration and whose ability to live independently is substantially impeded by that impairment but could be improved by more suitable housing conditions. This includes persons with AIDS or conditions arising from AIDS but excludes persons whose disability is based solely on drug or alcohol dependence. For the purposes of reasonable accommodation. A person with a physical or mental impairment that substantially limits one or more major life activities, a person regarded as having such impairment, or a person with a record of such an impairment.
118. Portability. Renting a dwelling unit with a Section 8 housing choice voucher outside the jurisdiction of the initial PHA.
119. Premises. The building or complex in which the dwelling unit is located, including common areas and grounds. 120. Previously unemployed. With regard to the earned income disallowance, a person with disabilities who has earned, in the 12 months previous to employment, no more than would be received for 10 hours of work per week for 50 weeks at the established minimum wage.
121. Private space. In shared housing, the portion of a contract unit that is for the exclusive use of an assisted family.
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122. Processing entity. The person or entity that, under any of the programs covered is responsible for making eligibility and related determinations and any income reexamination. In the HCV program, the “processing entity” is the “responsible entity.”
123. Project owner. The person or entity that owns the housing project containing the assisted dwelling unit.
124. Public assistance. Welfare or other payments to families or individuals, based on need, which are made under programs funded, separately or jointly, by federal, state, or local governments.
125. Public housing agency (PHA). Any state, county, municipality, or other governmental entity or public body, or agency or instrumentality of these entities, that is authorized to engage or assist in the development or operation of low-income housing under the 1937 Act.
126. Qualified family (under the earned income disallowance). A family participating in an applicable assisted housing program or receiving HCV assistance: o Whose annual income increases as a result of employment of a family member who is a person with disabilities and who was previously unemployed for one or more years prior to employment; o Whose annual income increases as a result of increased earnings by a family member who is a person with disabilities during participation in any economic self-sufficiency or other job training program; or o Whose annual income increases, as a result of new employment or increased earnings of a family member who is a person with disabilities, during or within six months after receiving assistance, benefits or services under any state program for temporary assistance for needy families funded under Part A of Title IV of the Social Security Act, as determined by the responsible entity in consultation with the local agencies administering temporary assistance for needy families (TANF) and Welfare-to-Work (WTW) programs. The TANF program is not limited to monthly income maintenance, but also includes such benefits and services as one- time payments, wage subsidies and transportation assistance-- provided that the total amount over a six-month period is at least $500.
127. Qualified census tract. With regard to certain tax credit units, any census tract (or equivalent geographic area defined by the Bureau of the Census) in which at least 50 percent of households have an income of less than 60 percent of Area Median Gross Income (AMGI), or where the poverty rate is at least 25 percent, and where the census tract is designated as a qualified census tract by HUD. 128. Reasonable rent. A rent to owner that is not more than rent charged: (1) For comparable units in the private unassisted market; and (2) For comparable unassisted units in the premises.
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129. Reasonable accommodation. A change, exception, or adjustment to a rule, policy, practice, or service to allow a person with disabilities to fully access the PHA’s programs or services.
130. Receiving PHA. In portability: A PHA that receives a family selected for participation in the tenant-based program of another PHA. The receiving PHA issues a voucher and provides program assistance to the family.
131. Recertification. Sometimes called reexamination. The process of securing documentation of total family income used to determine the rent the tenant will pay for the next 12 months if there are no additional changes to be reported.
132. Remaining member of the tenant family. The person left in assisted housing who may or may not normally qualify for assistance on their own circumstances (i.e., an elderly spouse dies, leaving widow age 47 who is not disabled).
133. Rent to owner. The total monthly rent payable to the owner under the lease for the unit (also known as contract rent). Rent to owner covers payment for any housing services, maintenance, and utilities that the owner is required to provide and pay for.
134. Residency preference. A PHA preference for admission of families that reside anywhere in a specified area, including families with a member who works or has been hired to work in the area (See residency preference area).
135. Residency preference area. The specified area where families must reside to qualify for a residency preference.
136. Responsible entity. For the public housing and the Section 8 tenant-based assistance, project-based voucher assistance, and moderate rehabilitation programs, the responsible entity means the PHA administering the program under an ACC with HUD. For all other Section 8 programs, the responsible entity means the Section 8 owner.
137. Secretary. The Secretary of Housing and Urban Development.
138. Section 8. Section 8 of the United States Housing Act of 1937.
139. Section 8 covered programs. All HUD programs which assist housing under Section 8 of the 1937 Act, including Section 8 assisted housing for which loans are made under Section 202 of the Housing Act of 1959.
140. Section 214. Section 214 of the Housing and Community Development Act of 1980, as amended.
141. Section 214 covered programs. The collective term for the HUD programs to which the restrictions imposed by Section 214 apply. These programs are set forth in 24 CFR 5.500.
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142. Security deposit. A dollar amount (maximum set according to the regulations) which can be used for unpaid rent or damages to the owner upon termination of the lease.
143. Set-up charges. In a manufactured home space rental, charges payable by the family for assembling, skirting, and anchoring the manufactured home.
144. Sexual assault. Any nonconsensual sexual act proscribed by federal, tribal, or state law, including when the victim lacks capacity to consent (42 U.S.C. 13925(a)).
145. Sexual orientation. Homosexuality, heterosexuality or bisexuality.
146. Shared housing. A unit occupied by two or more families. The unit consists of both common space for shared use by the occupants of the unit and separate private space for each assisted family. (A special housing type: see 24 CFR 982.615–982.618.)
147. Single person. A person living alone or intending to live alone.
148. Single room occupancy housing (SRO). A unit that contains no sanitary facilities or food preparation facilities, or contains either, but not both, types of facilities. (A special housing type: see 24 CFR 982.602–982.605.)
149. Social security number (SSN). The nine-digit number that is assigned to a person by the Social Security Administration and that identifies the record of the person’s earnings reported to the Social Security Administration. The term does not include a number with a letter as a suffix that is used to identify an auxiliary beneficiary.
150. Special admission. Admission of an applicant that is not on the PHA waiting list or without considering the applicant’s waiting list position.
151. Special housing types. See subpart M of part 982. Subpart M states the special regulatory requirements for: SRO housing, congregate housing, group homes, shared housing, cooperatives (including mutual housing), and manufactured homes (including manufactured home space rental).
152. Specified welfare benefit reduction. Those reductions of welfare benefits (for a covered family) that may not result in a reduction of the family rental contribution. A reduction of welfare benefits because of fraud in connection with the welfare program, or because of welfare sanction due to noncompliance with a welfare agency requirement to participate in an economic self-sufficiency program.
153. Spouse. The marriage partner of the head of household.
154. Stalking. Engaging in a course of conduct directed at a specific person that would cause a reasonable person to: (1) fear for the person’s individual safety or the safety of others; or (2) suffer substantial emotional distress.
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155. State wage information collection agency (SWICA). The state agency, including any Indian tribal agency, receiving quarterly wage reports from employers in the state, or an alternative system that has been determined by the Secretary of Labor to be as effective and timely in providing employment-related income and eligibility information.
156. Subsidy standards. Standards established by a PHA to determine the appropriate number of bedrooms and amount of subsidy for families of different sizes and compositions.
157. Suspension. The term on the family’s voucher stops from the date the family submits a request for PHA approval of the tenancy, until the date the PHA notifies the family in writing whether the request has been approved or denied. This practice is also called tolling.
158. Tax credit rent. With regard to certain tax credit units, the rent charged for comparable units of the same bedroom size in the building that also receive the low-income housing tax credit but do not have any additional rental assistance (e.g., tenant-based voucher assistance).
159. Tenancy addendum. For the housing choice voucher program, the lease language required by HUD in the lease between the tenant and the owner.
160. Tenant. The person or persons (other than a live-in aide) who executes the lease as lessee of the dwelling unit.
161. Tenant rent to owner. See family rent to owner.
162. Term of lease. The amount of time a tenant agrees in writing to live in a dwelling unit.
163. Total tenant payment (TTP). The total amount the HUD rent formula requires the tenant to pay toward rent and utilities.
164. Unit. Residential space for the private use of a family. The size of a unit is based on the number of bedrooms contained within the unit and generally ranges from zero (0) bedrooms to six (6) bedrooms.
165. Utilities. Water, electricity, gas, other heating, refrigeration, cooking fuels, trash collection, and sewage services. Telephone service is not included.
166. Utility allowance. If the cost of utilities (except telephone) and other housing services for an assisted unit is not included in the tenant rent but is the responsibility of the family occupying the unit, an amount equal to the estimate made or approved by a PHA or HUD of the monthly cost of a reasonable consumption of such utilities and other services for the unit by an energy-conservative household of modest circumstances consistent with the requirements of a safe, sanitary, and healthful living environment.
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167. Utility reimbursement. In the voucher program, the portion of the housing assistance payment which exceeds the amount of rent to owner.
168. Utility hook-up charge. In a manufactured home space rental: Costs payable by a family for connecting the manufactured home to utilities such as water, gas, electrical and sewer lines.
169. VAWA. Violence Against Women Act of 1194 as amended.
170. Very low-income family. A low-income family whose annual income does not exceed 50 percent of the median income for the area, as determined by HUD, with adjustments for smaller and larger families. HUD may establish income limits higher or lower than 50 percent of the median income for the area on the basis of its finding that such variations are necessary because of unusually high or low family incomes. This is the income limit for the housing choice voucher program.
171. Veteran. A person who has served in the active military or naval service of the United States at any time and who shall have been discharged or released therefrom under conditions other than dishonorable.
172. Violence Against Women Reauthorization Act (VAWA) of 2013. Prohibits denying admission to the program to an otherwise qualified applicant or terminating assistance on the basis that the applicant or program participant is or has been a victim of domestic violence, dating violence, sexual assault, or stalking.
173. Violent criminal activity. Any illegal criminal activity that has as one of its elements the use, attempted use, or threatened use of physical force against the person or property of another.
174. Voucher (housing choice voucher). A document issued by a PHA to a family selected for admission to the housing choice voucher program. This document describes the program and the procedures for PHA approval of a unit selected by the family. The voucher also states obligations of the family under the program.
175. Voucher holder. A family holding a voucher with an unexpired term (search time).
176. Voucher program. The housing choice voucher program.
177. Waiting list. A list of families organized according to HUD regulations and PHA policy who are waiting for a unit to become available.
178. Waiting list admission. An admission from the PHA waiting list.
179. Welfare assistance. Income assistance from federal or state welfare programs, including assistance provided under TANF and general assistance. Does not include assistance directed solely to meeting housing expenses, nor programs that provide health care, child
Administrative Plan: GLOSSARY OF SUBSIDIZED HOUSING TERMS 25-16
care or other services for working families. For the FSS program (984.103(b)), welfare assistance includes only cash maintenance payments from federal or state programs designed to meet a family’s ongoing basic needs, but does not include food stamps, emergency rental and utilities assistance, SSI, SSDI, or social security.
Administrative Plan: GLOSSARY OF SUBSIDIZED HOUSING TERMS 25-17
APPENDIX A: PARTICIPATION AGREEMENT – CENTRALIZED WAITING LIST
Administrative Plan: PARTICIPATION AGREEMENT – CENTRALIZED WAITING LIST A-1
Administrative Plan: PARTICIPATION AGREEMENT – CENTRALIZED WAITING LIST A-2
APPENDIX B: CHART OF OFFENSES – DENIAL OF ADMISSION
CRIMINAL BACKGROUND SCREENING CRITERIA FOR PUBLIC HOUSING AND HCV ADMISSION
Felony Other OFFENSE Conviction Conviction (Years) (Years) Crimes Against Persons Assault-Related Offenses General Definition: An unlawful attack by one person upon 10 3 another. Family-Related Offenses, Nonviolent General Definition: Unlawful, non-violent acts by a family member (or legal guardian) that threatens the physical, mental, or 5 3 economic well-being morals of another family member that are not classifiable as other offenses, such as Assault, Incest and Statutory Rape etc. Homicide-Related Offenses General Definition: The killing of one human being by another.
1st Degree Murder 20 Vehicular Homicide, 2nd or 3rd degree manslaughter 10 Kidnapping/Abduction-Related Offenses General Definition: The unlawful seizure, transportation, and/or 10 3 detention of a person against his/her will or of a minor without the consent of his/her custodial parent(s) or legal guardian. Sex-Related Offenses, Forcible General Definition: Any sexual act directed against another person, forcibly and/or against that person’s will, or not forcibly or 10 3 against the person’s will in instances where the victim is incapable of giving consent. (See below for lifetime sex offender registration requirements.) Sex-Related Offenses, Non-forcible General Definition: Unlawful, non-forcible sexual intercourse, 5 3 excluding prostitution offenses. All Other Person-Related Offenses General Definition: Any offense committed against another 5 3 person which causes harm to a person which does not meet specific categories previously outlined as person-related offenses. Crimes Against Property Arson-Related Offenses General Definition: To unlawfully and intentionally damage or 10 3 attempt to damage any real or personal property by fire or incendiary device.
Administrative Plan: CHART OF OFFENSES – DENIAL OF ADMISSION B-1
Felony Other OFFENSE Conviction Conviction (Years) (Years) Burglary/Breaking And Entering-Related Offenses General Definition: The unlawful entry into a building or other 5 3 structure with the intent to commit a felony or a theft. Motor Vehicle Theft-Related Offenses 3 General Definition: The theft of a motor vehicle Counterfeiting/Forgery-Related Offenses General Definition: The altering, copying, or imitation of something, without authority or right, with the intent to deceive or defraud by passing the copy or thing altered or imitated as that 5 3 which is original or genuine or the selling, buying, or possession of an altered, copied, or imitated thing with the intent to deceive or defraud. Embezzlement/Bribery-Related Offenses General Definition: The unlawful misappropriation by an offender 5 3 to his/her own use or purpose of money, property, or some other thing of value entrusted to his/her care, custody, or control. Extortion/Blackmail-Related Offenses General Definition: To unlawfully obtain money, property or any other thing of value, either tangible or intangible, through the use 10 3 or threat of force, misuse of authority, threat of criminal prosecution, threat of destruction of reputation or social standing or through other coercive means. Fraud-Related Offenses General Definition: The intentional perversion of the truth for the purpose of inducing another person or other entity in reliance upon 5 3 it to part with something of value or to surrender a legal right, excluding Counterfeiting/Forgery and Bad Check offenses. Robbery-Related Offenses General Definition: The taking or attempting to take anything of value under confrontational circumstances from the control, 10 3 custody, or care of another person by force or threat of force or violence and/or by putting the victim in fear of immediate harm. Stolen Property-Related Offenses General Definition: Receiving, buying, selling, possessing, concealing, or transporting any property with the knowledge that it 5 3 has been unlawfully taken, as by Burglary, Embezzlement, Fraud, Larceny, Robbery, etc. Larceny/Theft-Related Offenses General Definition: The unlawful taking, carrying, leading, or 5 3 riding away of property from the possession or constructive possession of another person. Destruction / Damage / Vandalism Of Property Offenses 5 3 General Definition: To willfully or maliciously destroy, damage,
Administrative Plan: CHART OF OFFENSES – DENIAL OF ADMISSION B-2
Felony Other OFFENSE Conviction Conviction (Years) (Years) deface, or otherwise injure real or personal property without the consent of the owner or the person having the custody or control of it, excluding arson offenses. All Other Property-Related Offenses General Definition: Any offenses that cause property or monetary 5 3 damage to another that do not fit into specific categories previously outlined as property-related offenses. Crimes Against Society Purposely Obstructs, Impairs Or Perverts The Law General Definition: A person who purposely obstructs, impairs or 5 3 perverts the administration of law or discharge of government duties or the carrying out of other governmental functions. Disorderly Conduct-Related Offenses General Definition: Any behavior that tends to disturb the public 3 peace or decorum, scandalize the community, or shock the public sense of morality. Drug/Narcotic-Related Offenses General Definition: The violation of laws prohibiting the product, distribution, and/or use of certain controlled substances and the 10 3 equipment or devices utilized in their preparation and/or use, excluding DUI offenses. Drunkenness-Related Offenses General Definition: To drink alcoholic beverages to the extent that 3 3 one’s mental faculties and physical coordination are substantially impaired, excluding DUI offenses. Driving Under The Influence-Related Offenses General Definition: Driving or operating a motor vehicle or 3 3 common carrier while mentally or physically impaired as the result of consuming an alcoholic beverage or using a drug or narcotic. Liquor Law-Related Offenses General Definition: The violation of laws or ordinances prohibiting the manufacture, sale, purchase, transportation, 3 3 possession, or use of alcoholic beverages, excluding DUI and drunkenness offenses. Manufacturing Methamphetamine in Federally Assisted Housing* Lifetime General definition: Conviction for drug-related criminal activity Lifetime ban ban for the production or manufacture of methamphetamine on the premises of Federally-assisted housing. Pornography/Obscene Material-Related Offenses General Definition: The violation of laws or ordinances 5 3 prohibiting the manufacture, publishing, sale, purchase, or
Administrative Plan: CHART OF OFFENSES – DENIAL OF ADMISSION B-3
Felony Other OFFENSE Conviction Conviction (Years) (Years) possession of sexually explicit material, e.g. literature or photographs. Prostitution-Related Offenses General Definition: To unlawfully engage in or promote sexual 3 3 activities for profit. Lifetime Sex Offender Registrant* General Definition: Identification of a lifetime registration requirement for the applicant as a registered sex offender in one or more jurisdictions covered by the search. (Note that requirements Lifetime Lifetime ban for registration vary by locale and may require the individual to ban actively register themselves by law in some states. Some states prohibit discrimination on the basis of lifetime registration as a sex offender.). Trespass of Real Property-Related Offenses General Definition: To unlawfully enter land, a dwelling, or other 3 3 real property. Weapons Law-Related Offenses General Definition: The violation of laws or ordinances prohibiting the manufacture, sale, purchase, transportation, 10 3 possession, concealment, or use of firearms, cutting instruments, explosives, incendiary devices, or other deadly weapons.
Drug/Narcotic-Related Offenses: Manufacture or Distribution Indicated General Definition: The violation of laws prohibiting the production, distribution, or trafficking of certain controlled 10 3 substances and the equipment or devices utilized in their preparation and/or use. Offenses contained in this category specifically indicate manufacture or distribution.
* Unless a person can demonstrate that his/her record is incorrect (e.g., the person was never convicted of the manufacture of methamphetamine or is not subject to lifetime registration requirements, as applicable), mitigating factors will not be considered for a person whose records indicate this offense. A household with a member whose record indicates an offense with an asterisk (“*”) may only be admitted to the HCV program if the member whose record indicates the offense is no longer a member of the household.
Administrative Plan: CHART OF OFFENSES – DENIAL OF ADMISSION B-4
APPENDIX C: FEDERALLY MANDATED INCOME EXCLUSIONS
77 FEDERAL REGISTER 43347: Published May 20, 2014
HUD's regulations provide for HUD to periodically publish in the Federal Register a notice that lists amounts specifically excluded by any federal statute from consideration as income for purposes of determining eligibility or benefits in a HUD program.
1. The value of the allotment provided to an eligible household under the Food Stamp Act of 1977 (7 U.S.C. 2017(b)); 2. Payments to volunteers under the Domestic Volunteer Service Act of 1973 (42 U.S.C. 5044(f)(1), 5058); 3. Certain payments received under the Alaska Native Claims Settlement Act (43 U.S.C. 1626(c)); 4. Income derived from certain sub-marginal land of the United States that is held in trust for certain Indian tribes (25 U.S.C. 459e); 5. Payments or allowances made under the Department of Health and Human Services' Low- Income Home Energy Assistance Program (42 U.S.C. 8624(f)); 6. Income derived from the disposition of funds to the Grand River Band of Ottawa Indians (Pub. L. 94-540, section 6); 7. The first $2000 of per capita shares received from judgment funds awarded by the National Indian Gaming Commission or the U.S. Claims Court, the interests of individual Indians in trust or restricted lands, and the first $2000 per year of income received by individual Indians from funds derived from interests held in such trust or restricted lands (25 U.S.C. 1407- 1408). This exclusion does not include proceeds of gaming operations regulated by the Commission; 8. Amounts of scholarships funded under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070), including awards under federal work-study programs or under the Bureau of Indian Affairs student assistance programs (20 U.S.C. 1087uu). For section 8 programs only (42 U.S.C. 1437f), any financial assistance in excess of amounts received by an individual for tuition and any other required fees and charges under the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.), from private sources, or an institution of higher education (as defined under the Higher Education Act of 1965 (20 U.S.C. 1002)), shall not be considered income to that individual if the individual is over the age of 23 with dependent children (Pub. L. 109-115, section 327) (as amended); 9. Payments received from programs funded under title V of the Older Americans Act of 1965 (42 U.S.C. 3056g);
Administrative Plan: FEDERALLY MANDATED INCOME EXCLUSIONS C-1
10. Payments received on or after January 1, 1989, from the Agent Orange Settlement Fund (Pub. L. 101-201) or any other fund established pursuant to the settlement in In Re Agent Orange Liability Litigation, M.D.L. No. 381 (E.D.N.Y.); 11. Payments received under the Maine Indian Claims Settlement Act of 1980 (Pub. L. 96-420, 25 U.S.C. 1728); 12. The value of any child care provided or arranged (or any amount received as payment for such care or reimbursement for costs incurred for such care) under the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858q); 13. Earned income tax credit (EITC) refund payments received on or after January 1, 1991, for programs administered under the United States Housing Act of 1937, title V of the Housing Act of 1949, section 101 of the Housing and Urban Development Act of 1965, and sections 221(d)(3), 235, and 236 of the National Housing Act (26 U.S.C. 32(l)); 14. Payments by the Indian Claims Commission to the Confederated Tribes and Bands of Yakima Indian Nation or the Apache Tribe of Mescalero Reservation (Pub. L. 95-433); 15. Allowances, earnings and payments to AmeriCorps clients under the National and Community Service Act of 1990 (42 U.S.C. 12637(d)); 16. Any allowance paid under the provisions of 38 U.S.C. 1833(c) to children of Vietnam veterans born with spina bifida (38 U.S.C. 1802- 05), children of women Vietnam veterans born with certain birth defects (38 U.S.C. 1811-16), and children of certain Korean service veterans born with spina bifida (38 U.S.C. 1821). 17. Any amount of crime victim compensation (under the Victims of Crime Act) received through crime victim assistance (or payment or reimbursement of the cost of such assistance) as determined under the Victims of Crime Act because of the commission of a crime against the applicant under the Victims of Crime Act (42 U.S.C. 10602(c)); 18. Allowances, earnings, and payments to individuals participating in programs under the Workforce Investment Act of 1998 (29 U.S.C. 2931(a)(2)); 19. Any amount received under the Richard B. Russell School Lunch Act (42 U.S.C. 1760(e)) and the Child Nutrition Act of 1966 (42 U.S.C. 1780(b)), including reduced-price lunches and food under the Special Supplemental Food Program for Women, Infants, and Children (WIC); 20. Payments, funds, or distributions authorized, established, or directed by the Seneca Nation Settlement Act of 1990 (25 U.S.C. 1774f(b)); 21. Payments from any deferred U.S. Department of Veterans Affairs disability benefits that are received in a lump sum amount or in prospective monthly amounts (42 U.S.C. Sec. 1437a(b)(4)); 22. Compensation received by or on behalf of a veteran for service-connected disability, death, dependency, or indemnity compensation as provided by an amendment by the Indian Veterans Housing Opportunity Act of 2010 (Pub. L. 111-269; 25 U.S.C. 4103(9)) to the definition of income applicable to programs authorized under the Native American Housing
Administrative Plan: FEDERALLY MANDATED INCOME EXCLUSIONS C-2
Assistance and Self-Determination Act (NAHASDA) (25 U.S.C. 4101 et seq.) and administered by the Office of Native American Programs; 23. A lump sum or a periodic payment received by an individual Indian pursuant to the Class Action Settlement Agreement in the case entitled Elouise Cobell et al. v. Ken Salazar et al., 816 F.Supp.2d 10 (Oct. 5, 2011 D.D.C.), for a period of one year from the time of receipt of that payment as provided in the Claims Resolution Act of 2010 (Pub. L. 111-291); 24. Any amounts in an ``individual development account'' as provided by the Assets for Independence Act, as amended in 2002 (Pub. L. 107-110, 42 U.S.C. 604(h)(4)); 25. Per capita payments made from the proceeds of Indian Tribal Trust Cases as described in PIH Notice 2013-30 ``Exclusion from Income of Payments under Recent Tribal Trust Settlements'' (25 U.S.C. 117b(a)); and 26. Major disaster and emergency assistance received by individuals and families under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (Pub. L. 93-288, as amended) and comparable disaster assistance provided by States, local governments, and disaster assistance organizations (42 U.S.C. 5155(d)).
Administrative Plan: FEDERALLY MANDATED INCOME EXCLUSIONS C-3
APPENDIX D: HQS OWNER CERTIFICATIONS
HHA will verify repair of certain non-emergency HQS failure items that the owner is responsible to correct through certifications signed by the owner and tenant. HHA reserves the right to require re-inspection or to accept self-certification for HQS failure items that are the owner’s responsibility to repair. The following is a list of HQS deficiencies for which HHA will accept owner and tenant certification of repair.
1. Replacement of a missing drain cap 2. Unclogging of an exterior drain 3. Bed Bug Extermination: Certification must be accompanied by a receipt from a licensed exterminator 4. Replacement of missing light bulbs 5. Providing/replacing a refrigerator 6. Replacement of a tie or lock on electrical box 7. Removal of garbage/debris
Administrative Plan: HQS OWNER CERTIFICATIONS D-1
APPENDIX E: HUD DEFINITION OF LIFE-THREATENING CONDITIONS
HUD is defining life-threatening conditions as follows: (1) Gas (natural or liquid petroleum) leak or fumes. A life-threatening condition under this standard is one of the following: (a) A fuel storage vessel, fluid line, valve, or connection that supplies fuel to a HVAC unit is leaking; or (b) a strong gas odor detected with potential for explosion or fire, or that results in health risk if inhaled. (2) Electrical hazards that could result in shock or fire. A life-threatening condition under this standard is one of the following: (a) A light fixture is readily accessible, is not securely mounted to the ceiling or wall, and electrical connections or wires are exposed; (b) a light fixture is hanging by its wires; (c) a light fixture has a missing or broken bulb, and the open socket is readily accessible to the tenant during the day to day use of the unit; (d) a receptacle (outlet) or switch is missing or broken and electrical connections or wires are exposed; (e) a receptacle (outlet) or switch has a missing or damaged cover plate and electrical connections or wires are exposed; (f) an open circuit breaker position is not appropriately blanked off in a panel board, main panel board, or other electrical box that contains circuit breakers or fuses; (g) a cover is missing from any electrical device box, panel box, switch gear box, control panel, etc., and there are exposed electrical connections; (h) any nicks, abrasions, or fraying of the insulation that expose conducting wire; (i) exposed bare wires or electrical connections; (j) any condition that results in openings in electrical panels or electrical control device enclosures; (k) water leaking or ponding near any electrical device; or (l) any condition that poses a serious risk of electrocution or fire and poses an immediate life-threatening condition. (3) Inoperable or missing smoke detector. A life-threatening condition under this standard is one of the following: (a) the smoke detector is missing; or (b) the smoke detector does not function as it should. (4) Interior air quality. A life-threatening condition under this standard is one of the following: (a) the carbon monoxide detector is missing; or (b) the carbon monoxide detector does not function as it should. (5) Gas/oil fired water heater or heating, ventilation, or cooling system with missing, damaged, improper, or misaligned chimney or venting. A life-threatening condition under this standard is one of the following: (a) The chimney or venting system on a fuel fired water heater is misaligned, negatively pitched, or damaged, which may cause improper or dangerous venting of gases; (b) a gas dryer vent is missing, damaged, or is visually determined to be inoperable, or the dryer exhaust is not vented to the outside; (c) a fuel fired space heater is not properly vented or lacks available combustion air; (d) a non-vented space heater is present; (e) safety devices on a fuel fired space heater are missing or damaged; or (f) the chimney or venting system on a fuel fired heating, ventilation, or cooling system is misaligned, negatively pitched, or damaged which may cause improper or dangerous venting of gases. (6) Lack of alternative means of exit in case of fire or blocked egress. A life- threatening condition under this standard is one of the following: (a) Any of the components that affect the
Administrative Plan: HUD DEFINITION OF LIFE-THREATENING CONDITIONS E-1
function of the fire escape are missing or damaged; (b) stored items or other barriers restrict or prevent the use of the fire escape in the event of an emergency; or (c) the building’s emergency exit is blocked or impeded, thus limiting the ability of occupants to exit in a fire or other emergency. (7) Other interior hazards. A life-threatening condition under this standard is a fire extinguisher (where required) that is missing, damaged, discharged, overcharged, or expired. (8) Deteriorated paint, as defined by 24 CFR 35.110, in a unit built before 1978 that is to be occupied by a family with a child under 6 years of age. This is a life-threatening condition only for the purpose of a condition that would prevent a family from moving into the unit. All lead hazard reduction requirements in 24 CFR part 35, including the timeline for lead hazard reduction procedures, still apply. (9) Any other condition subsequently identified by HUD as life threatening in a notice published in the Federal Register. HUD will notify PHAs if such changes are made.
Administrative Plan: HUD DEFINITION OF LIFE-THREATENING CONDITIONS E-2
APPENDIX F: RAD FIRST COMPONENT CONVERSIONS
APPENDIX G: RAD SECOND COMPONENT CONVERSIONS – MOD REHAB
APPENDIX H: RAD SECOND COMPONENT CONVERSIONS – RENT SUPP/RAP