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The City of Chandler Housing and
Redevelopment’s Administrative Plan
20202021
Draft- Effective 07/01/20202021
Attachment B
Contents
Chapter 1
Overview of the Program and Plan....................................................................................................................... 1-1
Introduction ............................................................................................................................................................ 1-2
PART I: THE PHA ................................................................................................................................................... 1-1
1-I.A. Overview .................................................................................................................................................... 1-1
1-I.B. Organization and Structure of the PHA ..................................................................................................... 1-1
1-I.C. PHA Mission .............................................................................................................................................. 1-2
1-I.D. The PHA’S Programs ................................................................................................................................ 1-2
1-I.E. The PHA’s Commitment to Ethics and Service ......................................................................................... 1-3
PART II. THE HOUSING CHOICE VOUCHER (HCV) PROGRAM ................................................................... 1-4
1-II.A. Overview and History of the Program ...................................................................................................... 1-4
1-II.B. HCV Program Basics ................................................................................................................................ 1-5
1-II.C. The HCV Partnerships .............................................................................................................................. 1-5
1-II.D. Applicable Regulations ............................................................................................................................. 1-8
PART III: THE HCV ADMINISTRATIVE PLAN ................................................................................................. 1-9
1-III.A. Overview and Purpose of the Plan .......................................................................................................... 1-9
1-III.B. Contents of the Plan [24 CFR 982.54] .................................................................................................... 1-9
1-III.C. Organization of the Plan ........................................................................................................................ 1-11
1-III.D. Updating and Revising the Plan ............................................................................................................ 1-11
Chapter 2
Fair Housing and Equal Opportunity .................................................................................................................. 2-1
Introduction ............................................................................................................................................................ 2-1
PART I: NONDISCRIMINATION ......................................................................................................................... 2-1
2-I.A. Overview .................................................................................................................................................... 2-1
2-I.B. Nondiscrimination ...................................................................................................................................... 2-2
PART II: POLICIES RELATED TO PERSONS WITH DISABILTIES ................................................................ 2-4
2-II.A. Overview .................................................................................................................................................. 2-4
2-II.B. Definition of Reasonable Accommodation ............................................................................................... 2-5
2-II.C. Request for an Accommodation ................................................................................................................ 2-5
2-II.D. Verification of Disability .......................................................................................................................... 2-6
2-II.E. Approval/Denial of a Requested Accommodation [Joint Statement of the Departments of HUD and
Justice: Reasonable Accommodations under the Fair Housing Act, Notice PIH 2010-26]. ..................... 2-7
2-II.F. Program Accessibility for Persons with Hearing or Vision Impairments ................................................. 2-8
2-II.G. Physical Accessibility ............................................................................................................................... 2-8
2-II.H. Denial or Termination of Assistance ........................................................................................................ 2-9
PART III: IMPROVING ACCESS TO SERVICES FOR PERSONS WITH LIMITED ENGLISH PROFICIENCY
(LEP) ........................................................................................................................................................................ 2-9
2-III.A. Overview ................................................................................................................................................. 2-9
2-III.B. Oral Interpretation ................................................................................................................................. 2-10
2-III.C. Written Translation ................................................................................................................................ 2-10
2-III.D. Implementation Plan.............................................................................................................................. 2-11
EXHIBIT 2-1: Definition of a Person with a Disability Under Federal Civil Rights Laws ........................... 2-11
3-1
Chapter 3
Eligibility ................................................................................................................................................................. 3-1
Introduction ............................................................................................................................................................ 3-1
PART I: DEFINITIONS OF FAMILY AND HOUSEHOLD MEMBERS ............................................................. 3-1
3-I.A. Overview .................................................................................................................................................... 3-1
3-I.B. Family and Household [24 CFR 982.201(c), FR Notice 02/03/12; Notice PIH 2014- 20] ........................ 3-2
3-I.C. Family Break-Up and Remaining Member of Tenant Family ................................................................... 3-2
3-I.D. Head of Household [24 CFR 5.504(b)] ...................................................................................................... 3-4
3-I.E. Spouse, Co-head, and Other Adult ............................................................................................................. 3-4
3-I.F. Dependent [24 CFR 5.603] ......................................................................................................................... 3-4
3-I.G. Full-Time Student [24 CFR 5.603, HVC GB p. 5-29] ............................................................................... 3-5
3-I.H. Elderly and Near-Elderly Persons, and Elderly Family [24 CFR 5.100 and 5.403] .................................. 3-5
3-I.I. Persons with Disabilities and Disabled Family [24 CFR 5.403] ................................................................. 3-6
3-I.J. Guests [24 CFR 5.100] ................................................................................................................................ 3-6
3.I.K. Foster Children and Foster Adults .............................................................................................................. 3-7
3-I.L. Absent Family Members ............................................................................................................................ 3-7
3-I.M. Live-In Aide .............................................................................................................................................. 3-9
PART II: BASIC ELIGIBILITY CRITERIA ........................................................................................................ 3-10
3-II.A. Income Eligibility and Targeting ............................................................................................................ 3-10
3-II.B. Citizenship or Eligible Immigration Status [24 CFR 5, Subpart E] ........................................................ 3-11
3-II.C. Social Security Numbers [24 CFR 5.216 and 5.218Notice PIH 2018-24] ............................................. 3-14
3-II.D. Family Consent to Release of Information [24 CFR 5.230, HCV GB, p. 5-13] ..................................... 3-14
3-II.E. Students Enrolled in Institutions of Higher Education [24 CFR 5.612 and FR Notice 4/10/06 FR Notice
09/21/16] ................................................................................................................................................. 3-14
PART III: DENIAL OF ASSISTANCE ................................................................................................................. 3-18
3-III.A. Overview ............................................................................................................................................... 3-18
3-III.B. Mandatory Denial of Assistance [24 CFR 982.553(a)] ......................................................................... 3-19
3-III.C. Other Permitted Reasons for Denial of Assistance ................................................................................ 3-20
3-III.D. Screening ............................................................................................................................................... 3-23
3-III.E. Criteria for Deciding to Deny Assistance .............................................................................................. 3-25
3-III.F. Notice of Eligibility or Denial ............................................................................................................... 3-27
3-III.G. Prohibition Against Denial of Assistance to Victims of Domestic Violence, Dating Violence, Sexual
Assault, and Stalking .............................................................................................................................. 3-28
EXHIBIT 3-1: Detailed Definitions Related to Disabilities .............................................................................. 3-29
EXHIBIT 3-2: Definition of Institution of Higher Education .......................................................................... 3-31
[20 U.S.C. 1001 and 1002] ..................................................................................................................................... 3-31
Chapter 4
Applications, Waiting List, and Tenant Selection ............................................................................................... 4-1
Introduction ............................................................................................................................................................ 4-1
PART I: THE APPLICATION PROCESS .............................................................................................................. 4-1
4-I.A. Overview .................................................................................................................................................... 4-1
4-I.B. Applying for Assistance [HCV GB, pp. 4-11 – 4-16 Notice PIH 2009-36] .............................................. 4-2
4-I.C. Accessibility of the Application Process .................................................................................................... 4-2
4-I.D. Placement on the Waiting List ................................................................................................................... 4-3
PART II: MANAGING THE WAITING LIST ....................................................................................................... 4-4
4-II.A. Overview .................................................................................................................................................. 4-4
4-II.B. Organization of the Waiting List [24 CFR 982.204 and 205]................................................................... 4-4
4-II.C. Opening and Closing the Waiting List [24 CFR 982.206] ....................................................................... 4-5
4-II.D. Family Outreach [HCV GB, pp. 4-2 to 4-4] ............................................................................................. 4-6
4-II.E. Reporting Changes in Family Circumstances ........................................................................................... 4-7
4-II.F. Updating the Waiting List [24 CFR 982.204] ........................................................................................... 4-7
PART III: SELECTION FOR HCV ASSISTANCE ................................................................................................ 4-9
4-III.A. Overview ................................................................................................................................................. 4-9
4-III.B. Selection and HCV Funding Sources ...................................................................................................... 4-9
4-III.C. Selection Method ..................................................................................................................................... 4-9
4-III.D. Notification of Selection ....................................................................................................................... 4-12
4-III.E. The Application Interview ..................................................................................................................... 4-12
4-III.F. Completing the Application Process ...................................................................................................... 4-14
5-1
Chapter 5
Briefings and Voucher Issuance ............................................................................................................................ 5-1
Introduction ............................................................................................................................................................ 5-1
PART I: BRIEFINGS AND FAMILY OBLIGATIONS ......................................................................................... 5-1
5-I.A. Overview .................................................................................................................................................... 5-1
5-I.B. Briefing [24 CFR 982.301] ........................................................................................................................ 5-1
5-I.C. Family Obligations ..................................................................................................................................... 5-4
PART II: SUBSIDY STANDARDS AND VOUCHER ISSUANCE ...................................................................... 5-7
5-II.A. Overview .................................................................................................................................................. 5-7
5-II.B. Determining Family Unit (Voucher) Size [24 CFR 982.402]................................................................... 5-8
5-II.C. Exceptions to Subsidy Standards .............................................................................................................. 5-9
5-II.D. Voucher Issuance [24 CFR 982.302] ...................................................................................................... 5-10
5-II.E. Voucher Term and Extensions ................................................................................................................ 5-10
Chapter 6
Income and Subsidy Determinations ........................................................................................................................ 6-1
Introduction ............................................................................................................................................................ 6-1
PART I: ANNUAL INCOME .................................................................................................................................. 6-1
6-I.A. Overview .................................................................................................................................................... 6-1
6-I.B. Household Composition and Income ......................................................................................................... 6-2
6-I.C. Anticipating Annual Income ...................................................................................................................... 6-4
6-I.D. Earned Income ........................................................................................................................................... 6-6
6-I.E. Earned Income Disallowance for Persons with Disabilities ...................................................................... 6-9
6-I.F. Business Income [24 CFR 5.609(B)(2)] ................................................................................................... 6-12
6-I.G. Assets [24 CFR 5.609(b)(3); 24 CFR 5.603(b)] ...................................................................................... 6-12
6-I.H. Periodic Payments .................................................................................................................................... 6-22
6-I.I. Payments in Lieu of Earnings .................................................................................................................... 6-24
6-I.J. Welfare Assistance .................................................................................................................................... 6-24
6-I.K. Periodic and Determinable Allowances [24 CFR 5.609(b)(7)] ................................................................ 6-25
6-I.L. Student Financial Assistance [24 CFR 5.609(b)(9); Notice PIH 2015-21] .............................................. 6-26
6-I.M. Additional Exclusions From Annual Income .......................................................................................... 6-27
PART II: ADJUSTED INCOME ........................................................................................................................... 6-32
6-II.A. Introduction ............................................................................................................................................ 6-32
6-II.B. Dependent Deduction.............................................................................................................................. 6-33
6-II.C. Elderly Or Disabled Family Deduction .................................................................................................. 6-35
6-II.D. Medical Expenses Deduction [24 CFR 5.611(a)(3)(i)] .......................................................................... 6-32
6-II.E. Disability Assistance Expenses Deduction [24 CFR 5.603(b) and 24 CFR 5.611(a)(3)(ii)] .................. 6-33
6-II.F. Child Care Expense Deduction ............................................................................................................... 6-35
PART III: CALCULATING FAMILY SHARE AND PHA SUBSIDY ............................................................... 6-38
6-III.A. Overview of Rent and Subsidy Calculations ......................................................................................... 6-38
6-III.B. Financial Hardships Affecting Minimum Rent [24 CFR 5.630] ........................................................... 6-39
6-III.C. Applying Payment Standards [24 CFR 982.505; 982.503(b)] .............................................................. 6-42
6-III.D. Applying Utility Allowances [2014 Appropriations act] ...................................................................... 6-44
6-III.E. Prorated Assistance for Mixed Families [24 CFR 5.520] ...................................................................... 6-45
EXHIBIT 6-1: Annual Income Inclusions.............................................................................................................. 6-45
EXHIBIT 6-2: Annual Income Exclusions ............................................................................................................ 6-49
EXHIBIT 6-3: Treatment of Family Assets ........................................................................................................... 6-51
EXHIBIT 6-4: Earned Income Disallowance for Persons with Disabilities .......................................................... 6-52
EXHIBIT 6-5: The Effect of Welfare Benefit Reduction ...................................................................................... 6-54
Chapter 7
Verification .............................................................................................................................................................. 7-1
Introduction ............................................................................................................................................................ 7-1
PART I. GENERAL VERIFICATION REQUIREMENTS .................................................................................... 7-1
7-I.A. Family Consent to Release of Information [24 CFR 982.516 AND 982.551, 24 ...................................... 7-1
CFR 5.230] ........................................................................................................................................................... 7-1
7-I.B. OVERVIEW OF VERIFICATION REQUIREMENTS ............................................................................ 7-2
7-I.C. Up-Front Income Verification (UIV) ......................................................................................................... 7-3
7-I.D. Third-Party Written and Oral Verification ................................................................................................. 7-5
7-I.E. Self-Certification ........................................................................................................................................ 7-8
PART II. VERIFYING FAMILY INFORMATION ............................................................................................... 7-9
7-II.A. Verification of Legal Identity ................................................................................................................... 7-9
7-II.B. Social Security Numbers [24 CFR 5.216 and Notice PIH2018-18] ......................................................... 7-9
7-II.C. Documentation of Age ............................................................................................................................ 7-11
7-II.D. Family Relationships .............................................................................................................................. 7-12
7-II.E. Verification of Student Status ................................................................................................................. 7-13
7-II.F. Documentation of Disability ................................................................................................................... 7-14
7-II.G. Citizenship or Eligible Immigration Status [24 CFR 5.508] .................................................................. 7-15
7-II.H. Verification of Preference Status ............................................................................................................ 7-16
PART III. VERIFYING INCOME AND ASSETS ................................................................................................ 7-19
7-III.A. Earned Income ....................................................................................................................................... 7-19
7-III.B. Business and Self Employment Income ................................................................................................ 7-19
7-III.C. Periodic Payments and Payments In Lieu of Earnings .......................................................................... 7-20
7-III.D. Alimony or Child Support ..................................................................................................................... 7-20
7-III.E. Assets and Income from Assets ............................................................................................................. 7-21
7-III.F. Net Income From Rental Property ......................................................................................................... 7-22
7-III.G. Retirement Accounts ............................................................................................................................. 7-22
7-III.H. Income From Excluded Sources ............................................................................................................ 7-23
7-III.I. Zero Annual Income Status .................................................................................................................... 7-23
7-III.J. Student Financial Assistance [Notice PIH 2015-21] .............................................................................. 7-24
7-III.K. Parental Income of Students Subject to Eligibility Restrictions............................................................ 7-24
PART IV. VERIFYING MANDATORY DEDUCTIONS .................................................................................... 7-25
7-IV.A. Dependent and Elderly/Disabled Household Deductions ..................................................................... 7-25
7-IV.B. Medical Expense Deduction .................................................................................................................. 7-25
7-IV.C. Disability Assistance Expenses ............................................................................................................. 7-27
7-IV.D. CHILD CARE EXPENSES .................................................................................................................. 7-28
Exhibit 7-1: Summary of Documentation Requirements for Noncitizens ..................................................... 7-31
Chapter 8
Housing Quality Standards/Uniform Physical Condition Standards for Vouchers (UPCS-V) and Rent
Reasonableness Determinations ............................................................................................................................ 8-1
Introduction ............................................................................................................................................................ 8-1
Part I: PHYSICAL STANDARDS ........................................................................................................................... 8-2
8-I.A. General HUD Requirements ..................................................................................................................... 8-2
8-I.B. Additional Local Requirements ................................................................................................................ 8-3
8-I.C. Life Threatening Conditions [ ................................................................................................................... 8-5
8-I.D. Owner and Family Responsibilities [24 Cfr 982.404] ............................................................................... 8-7
8-I-E. Special Requirements For Children With Elevated Blood Lead Level ..................................................... 8-8
8-I-F. Violation of UPCS-V Space Standards [24 CFR 982.401, 24 CFR 982.403] .......................................... 8-8
PART II: THE INSPECTION PROCESS ................................................................................................................ 8-9
8-II.A. Overview [24 CFR 982.405] .................................................................................................................... 8-9
8-II.B. Initial UPCS-V Inspection [24 CFR 982.401(a)] .................................................................................... 8-10
8.II.C. Annual/Biennial UPCS-V Inspections .................................................................................................. 8-12
8-II.D. Special Inspections [24 CFR 982.405(g)] .............................................................................................. 8-13
8-II.E. Quality Control Inspections [24 CFR 982.405(b), HCV GB p. 10-32] .................................................. 8-13
8-II.F. Inspection Results and Reinspections for Units Under HAP Contract ................................................... 8-13
8.II.G. Enforcing Owner Compliance ................................................................................................................ 8-15
Enforcing Family Compliance with UPCS-V [24 CFR 982.404(b)].................................................................. 8-15
PART III: RENT REASONABLENESS [24 CFR 982.507] ................................................................................. 8-16
8-III.A. Overview ............................................................................................................................................... 8-16
8-III.B. When Rent Reasonableness Determinations Are Required ................................................................... 8-16
8-III.C. How Comparability Is Established ........................................................................................................ 8-18
8-III.D. PHA Rent Reasonableness Methodology .............................................................................................. 8-19
EXHIBIT 8-1: Overview of HUD Inspection Standards .................................................................................. 8-21
EXHIBIT 8-2: Summary of Tenant Preference Areas Related to Housing Quality ...................................... 8-24
Chapter 9
General Leasing Policies ........................................................................................................................................ 9-1
Introduction ............................................................................................................................................................ 9-1
9-I.A. Tenant Screening ....................................................................................................................................... 9-1
9-I.B. Requesting Tenancy Approval [Form HUD-52517] .................................................................................. 9-2
9-I.C. Owner Participation ................................................................................................................................... 9-3
9-I.D. Eligible Units ............................................................................................................................................. 9-4
9-I.E. Lease And Tenancy Addendum ................................................................................................................. 9-6
9-I.F. Tenancy Approval [24 CFR 982.305] ........................................................................................................ 9-9
9-I.G. HAP Contract Execution [24 CFR 982.305]............................................................................................ 9-10
9-I.H. Changes in Lease or Rent [24 CFR 982.308] .......................................................................................... 9-11
Chapter 10
Moving with Continued Assistance and Portability .......................................................................................... 10-1
Introduction .......................................................................................................................................................... 10-1
PART I: MOVING WITH CONTINUED ASSISTANCE .................................................................................... 10-1
10-I.A. Allowable Moves ................................................................................................................................... 10-1
10-I.B. Restrictions on Moves ............................................................................................................................ 10-3
10-I.C. Moving Process ...................................................................................................................................... 10-4
PART II: PORTABILITY ...................................................................................................................................... 10-6
10-II.A. Overview .............................................................................................................................................. 10-6
10-II.B. Initial PHA Role ................................................................................................................................... 10-7
10-II.C. Receiving PHA Role ........................................................................................................................... 10-13
Chapter 11
Reexaminations ..................................................................................................................................................... 11-1
Introduction .......................................................................................................................................................... 11-1
PART I: ANNUAL REEXAMINATIONS [24 CFR 982.516] .............................................................................. 11-1
11-I.A. Overview ................................................................................................................................................ 11-1
11-I.B STREAMLINED ANNUAL REEXAMINATIONS (FIXED INCOME) [24 CFR 982.516(b)] .......... 11-1
11-I.C. Scheduling Annual Reexaminations [PIH 2020-32] .............................................................................. 11-2
11-I.D. Conducting Annual Reexaminations [PIH 2020-32] ............................................................................. 11-3
11-I.E. Determining Ongoing Eligibility of Certain Students [24 CFR 982.552(b)(5)]..................................... 11-5
11-I.F. Criminal background screening [PIH Notice 2012-28] .......................................................................... 11-5
11-I.G. Effective Dates ....................................................................................................................................... 11-6
PART II: INTERIM REEXAMINATIONS [24 CFR 982.516] ............................................................................. 11-7
11-II.A. Overview .............................................................................................................................................. 11-7
11-II.B. Changes in Family and Household Composition .................................................................................. 11-7
11-II.C. Changes Affecting Income or Expenses ............................................................................................. 11-10
11-II.D. Processing the Interim Reexamination ............................................................................................... 11-12
PART III: RECALCULATING FAMILY SHARE AND SUBSIDY AMOUNT ............................................... 11-13
11-III.A. Overview ........................................................................................................................................... 11-13
11-III.B. Changes in Payment Standards and Utility Allowances .................................................................... 11-13
11-III.C. Notification of New Family Share and HAP Amount ....................................................................... 11-14
11-III.D. Discrepancies .................................................................................................................................... 11-15
Chapter 12
Termination of Assistance and Tenancy ............................................................................................................ 12-1
PART I: GROUNDS FOR TERMINATION OF ASSISTANCE ......................................................................... 12-1
12-I.A. Overview ................................................................................................................................................ 12-1
12-I.B. Family No Longer Requires Assistance [24 CFR 982.455] ................................................................... 12-1
12-I.C. Family Chooses To Terminate Assistance ............................................................................................. 12-2
12-I.D. Mandatory Termination of Assistance ................................................................................................... 12-2
12-I.E. Mandatory Policies and Other Authorized Terminations ....................................................................... 12-4
PART II: APPROACH TO TERMINATION OF ASSISTANCE......................................................................... 12-8
12-II.A. Overview .............................................................................................................................................. 12-8
12-II.B. Method of Termination [24 CFR 982.552(a)(3)] .................................................................................. 12-8
12-II.C. Alternatives to Termination of Assistance ............................................................................................ 12-9
12-II.D. Criteria for Deciding to Terminate Assistance ..................................................................................... 12-9
12-II.E. Terminating Related to Domestic Violence, Dating Violence, Sexual Assault, or Stalking .............. 12-11
PHA Confidentiality Requirements [24 CFR 5.2007 (a) (1) (v)] ..................................................................... 12-14
12-II.F. Termination Notice [HCV GB, p. 15-7] .............................................................................................. 12-14
PART III: TERMINATION OF TENANCY BY THE OWNER ........................................................................ 12-15
12-III.A. Overview ........................................................................................................................................... 12-15
12-III.B. Grounds for Owner Termination of Tenancy ................................................................................... 12-16
12-III.C. Eviction ............................................................................................................................................. 12-17
12-III.D. Deciding Whether to Terminate Tenancy ........................................................................................ 12-18
12-III.E. Effect of Termination of Tenancy on the Family’s Assistance ......................................................... 12-19
EXHIBIT 12-1: Statement of Family Obligations ........................................................................................... 12-20
Chapter 13
Owners ................................................................................................................................................................... 13-1
Introduction .......................................................................................................................................................... 13-1
PART I. OWNERS IN THE HCV PROGRAM ..................................................................................................... 13-1
13-I.A. Owner Recruitment and Retention ......................................................................................................... 13-1
13-I.B. Basic HCV Program Requirements ........................................................................................................ 13-3
13-I.C. Owner Responsibilities [24 CFR 982.452] ............................................................................................ 13-4
13-I.D. Owner Qualifications ............................................................................................................................. 13-5
13-I.E. Non-Discrimination [HAP Contract – Form HUD-52641] .................................................................... 13-8
PART II. HAP CONTRACTS ............................................................................................................................... 13-8
13-II.A. Overview .............................................................................................................................................. 13-8
13-II.B. HAP Contract Contents......................................................................................................................... 13-9
13-II.C. HAP Contract Payments ..................................................................................................................... 13-10
13-II.D. Breach of HAP Contract [24 CFR 982.453] ....................................................................................... 13-12
13-II.E. HAP Contract Term and Terminations ............................................................................................... 13-13
13-II.F. Change in Ownership / Assignment of the HAP Contract [HUD-52641] .......................................... 13-14
13-II.G. FORECLOSURE [Notice PIH 2010-49] [42 U.S.C. 1437(f)(o)(7)(c) ............................................... 13-15
Chapter 14
Program Integrity ................................................................................................................................................. 14-1
Introduction .......................................................................................................................................................... 14-1
PART I: PREVENTING, DETECTING, AND INVESTIGATING ERRORS AND ....................................... 14-1
PROGRAM ABUSE .......................................................................................................................................... 14-1
14-I.A. Preventing Errors and Program Abuse ................................................................................................... 14-1
14-I.B. Detecting Errors and Program Abuse ..................................................................................................... 14-2
14-I.C. Investigating Errors and Program Abuse ............................................................................................... 14-3
PART II: CORRECTIVE MEASURES AND PENALTIES ................................................................................. 14-5
14-II.A. Subsidy Under- Or Overpayments ........................................................................................................ 14-5
14-II.B. Family-Caused Errors and Program Abuse .......................................................................................... 14-5
14-II.C. Owner-Caused Error or Program Abuse ............................................................................................... 14-7
14-II.D. PHA-Caused Errors or Program Abuse ................................................................................................ 14-8
14-II.E. Criminal Prosecution ............................................................................................................................. 14-9
14-II.F. Fraud And Program Abuse Recoveries ................................................................................................. 14-9
Chapter 15
Special Housing Types ......................................................................................................................................... 15-1
Introduction .......................................................................................................................................................... 15-1
PART I. SINGLE ROOM OCCUPANCY ............................................................................................................. 15-1
15-I.A. Overview ................................................................................................................................................ 15-1
15-I.B. Payment Standard, Utility Allowance, and HAP Calculation ................................................................ 15-2
15-I.C. Housing Quality Standards (HQS) ......................................................................................................... 15-2
PART II. CONGREGATE HOUSING .................................................................................................................. 15-3
15-II.A. Overview .............................................................................................................................................. 15-3
15-II.B. Payment Standard, Utility Allowance, and HAP Calculation .............................................................. 15-3
15-II.C. Housing Quality Standards . ................................................................................................................. 15-3
PART III. GROUP HOME ..................................................................................................................................... 15-4
15-III.A. Overview ............................................................................................................................................. 15-4
15-III.B. Payment Standard, Utility Allowance, and HAP Calculation ............................................................. 15-4
15-III.C. Housing Quality Standards . .............................................................................................................. 15-5
PART IV: SHARED HOUSING ............................................................................................................................ 15-6
15-IV.A. Overview ............................................................................................................................................. 15-6
15-IV.B. Payment Standard, Utility Allowance and HAP Calculation .............................................................. 15-6
15-IV.C. Housing Quality Standards UPCS-V Protocol. .................................................................................. 15-6
PART V. COOPERATIVE HOUSING ................................................................................................................. 15-7
15-V.A. Overview .............................................................................................................................................. 15-7
15-V.B. Payment Standard, Utility Allowance and HAP Calculation ............................................................... 15-7
15-V.C. Housing Quality Standards - All inspection requirements will be conducted in alignment with HUD’s
UPCS-V Protocol. ................................................................................................................................... 15-7
PART VI. MANUFACTURED HOMES .............................................................................................................. 15-8
15-VI.A. Overview ............................................................................................................................................. 15-8
15-VI.B. Special Policies For Manufactured Home Owners Who Lease A Space ............................................ 15-8
15-VI.C. Payment Standard, Utility Allowance and HAP Calculation [FR Notice 1/18/17] ............................. 15-8
15-VI.D. Housing Quality Standards - All inspection requirements will be conducted in alignment with HUD’s
UPCS-V Protocol. ................................................................................................................................. 15-10
PART VII. HOMEOWNERSHIP ........................................................................................................................ 15-10
15-VII.A. Overview [24 CFR 982.625] ........................................................................................................... 15-10
15-VII.B. Family Eligibility [24 CFR 982.627] ............................................................................................... 15-11
15-VII.C. Selection of Families [24 CFR 982.626].......................................................................................... 15-11
15-VII.D. Eligible Units [24 CFR 982.628] ..................................................................................................... 15-12
15-VII.E. Additional PHA Requirements for Search and Purchase [24 CFR 982.629] .................................... 15-12
15-VII.F. Homeownership Counseling [24 CFR 982.630] .............................................................................. 15-12
15-VII.G. Home Inspections, Contract of Sale, and PHA Disapproval of Seller [24 CFR 982.631] ............... 15-13
15-VII.H. Financing [24 CFR 982.632] ........................................................................................................... 15-14
15-VII.I. Continued Assistance Requirements; Family Obligations [24 CFR 982.633] .................................. 15-14
15-VII.J. Maximum Term of Homeowner Assistance [24 CFR 982.634] ........................................................ 15-15
15-VII.K. Homeownership Assistance Payments and Homeownership Expenses [24 CFR 982.635] ............ 15-16
15-VII.L. Portability [24 CFR 982.636, 982.637, 982.353(b) and (c), 982.552, 982.553] .............................. 15-17
15-VII.M. Moving With Continued Assistance [24 CFR 982.637] ................................................................. 15-18
15-VII.N. Denial or Termination of Assistance [24 CFR 982.638] ................................................................. 15-18
Chapter 16
Program Administration ...................................................................................................................................... 16-1
Introduction .......................................................................................................................................................... 16-1
PART I: ADMINISTRATIVE FEE RESERVE [24 CFR 982.155] ...................................................................... 16-2
PART II: SETTING PROGRAM STANDARDS AND SCHEDULES ................................................................ 16-2
16-II.A. Overview .............................................................................................................................................. 16-2
16-II.B. PAYMENT STANDARDS [24 CFR 982.503; HCV GB, Chapter 7] ................................................. 16-3
16-II.C. Utility Allowances [24 CFR 982.517] .................................................................................................. 16-6
PART III: INFORMAL REVIEWS AND HEARINGS ........................................................................................ 16-7
16-III.A. Overview ............................................................................................................................................. 16-7
16-III.B. Informal Reviews ................................................................................................................................ 16-7
16-III.C. Remote Informal Reviews for Applicants [PIH 2020-32] ................................................................... 16-9
16-III.D. Informal Hearings For Participants [24 CFR 982.555, Pub. L. 109-162] ......................................... 16-10
16-III.E Remote Informal Hearings [PIH 2020-32] ......................................................................................... 16-12
16-III.F. Hearing and Appeal Provisions for Non-Citizens [24 CFR 5.514].................................................... 16-19
PART IV: OWNER OR FAMILY DEBTS TO THE PHA ................................................................................. 16-22
16-IV.A. Overview ........................................................................................................................................... 16-22
16-IV.B. Repayment Policy ............................................................................................................................. 16-23
16-V.A. Overview ............................................................................................................................................ 16-25
16-V.B. SEMAP Certification [24 CFR 985.101] ............................................................................................ 16-26
16-V.C. SEMAP Indicators [24 CFR 985.3 and form HUD-52648] ............................................................... 16-26
PART VI: RECORD KEEPING .......................................................................................................................... 16-29
16-VI.A. Overview ........................................................................................................................................... 16-29
16-VI.B. Record Retention [24 CFR 982.158] ................................................................................................. 16-30
16-VI.C. Records Management and Safeguarding Sensitive Personally Identifiable Information [PIH Notice
2014-10] ................................................................................................................................................ 16-30
PART VII: REPORTING AND RECORD KEEPING FOR CHILDREN WITH ELEVATED BLOOD LEAD
LEVEL ................................................................................................................................................................. 16-33
16-VII.A. Overview .......................................................................................................................................... 16-33
16-VII.B. Reporting Requirement [24 CFR 35.1225(e); PIH Notice 2017-13] ............................................... 16-33
16-VII.C. Data Collection And Record Keeping [24 CFR 35.1225(f)] ........................................................... 16-33
PART VIII: DETERMINATION OF INSUFFICIENT FUNDING .................................................................... 16-34
16-VIII.A. Overview ........................................................................................................................................ 16-34
16-VIII.B. Methodology ................................................................................................................................... 16-34
PART IX: VIOLENCE AGAINST WOMEN ACT (VAWA): NOTIFICATION, DOCUMENTATION,
CONFIDENTIALITY .......................................................................................................................................... 16-35
16-IX.A. Overview ........................................................................................................................................... 16-35
16-IX.B. Definitions [24 CFR 5.2003, 42 USC 13925] ................................................................................... 16-35
16-IX.D. Documentation [24 CFR 5.2007] ...................................................................................................... 16-38
16-IX.E. Confidentiality [24 CFR 5.2007(b)(4)].............................................................................................. 16-41
Exhibit 16-1: Notice of Occupancy Rights Under the Violence Against Women Act ..................................... 16-42
Exhibit 16-2: Certification of Domestic Violence, Dating Violence, Sexual Assault, or Stalking and Alternate
Documentation, Form HUD-5382 ........................................................................................................ 16-47
Exhibit 16-3: Emergency Transfer Plan for Victims of Domestic Violence, Dating Violence, Sexual Assault, or
Stalking ................................................................................................................................................. 16-50
Exhibit 16-4: Emergency Transfer Plan for Certain Victims of Domestic Violence, Dating Violence, Sexual
Assault, or Stalking, Form HUD-5383 ................................................................................................. 16-54
Chapter 17
Addendum to the HCV Administrative Plan Statement Regarding the Steps the PHA will Take to
Affirmatively Further Fair Housing. .................................................................................................................. 17-1
Chapter 18
GLOSSARY .......................................................................................................................................................... 18-1
A. ACRONYMS USED IN HOUSING CHOICE VOUCHER (HCV) PROGRAM ........................................ 18-1
B. GLOSSARY OF SUBSIDIZED HOUSING TERMS ................................................................................... 18-4
Chapter 1
Overview of the Program and Plan
Introduction
The PHA receives its funding for the Housing Choice Voucher (HCV) program from the
Department of Housing and Urban Development. The PHA is not a federal department or agency. A
public housing agency (PHA) is a governmental or public body, created and authorized by state law
to develop and operate housing and housing programs for low-income families. The PHA enters into
an Annual Contributions Contract with HUD to administer the program requirements on behalf of
HUD. The PHA must ensure compliance with federal laws, regulations, and notices and must
establish policy and procedures to clarify federal requirements and to ensure consistency in program
operation.
This chapter contains information about the PHA and its programs with emphasis on the HCV
program. It also contains information about the purpose, intent and use of the plan and guide.
There are three parts to this chapter:
Part I: The Public Housing Agency (PHA). This part includes a description of the PHA, its
jurisdiction, its programs, and its mission and intent.
Part II: The HCV Program. This part contains information about the Housing Choice
Voucher program operation, roles and responsibilities, and partnerships.
Part III: The HCV Administrative Plan. This part discusses the purpose and organization of
the plan and its revision requirements.
PART I: THE PHA
1-I.A. Overview
This part explains the origin of the PHA’s creation and authorization, the general structure of the
organization, and the relationship between the PHA Board and staff.
1-I.B. Organization and Structure of the PHA
The Section 8 tenant-based Housing Choice Voucher (HCV) assistance program is funded by the
federal government and administered by the City of Chandler Housing and Redevelopment Division
for the jurisdiction of the City of Chandler.
The officials of a PHA are known as commissioners or, collectively, as the board of commissioners.
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Commissioners are appointed in accordance with state housing law and generally serve in the same
capacity as the directors of a corporation, establishing policies under which the PHA conducts
business, ensuring that policies are followed by PHA staff and ensuring that the PHA is successful in
its mission. The board is responsible for preserving and expanding the agency’s resources and assuring
the agency’s continued viability.
Formal actions of the PHA are taken through written resolutions, adopted by the board of
commissioners and entered into the official records of the PHA.
The principal staff member of the PHA is the housing manager (ED), hired and appointed by the
board of commissioners. The housing manager is directly responsible for carrying out the policies
established by the board and is delegated the responsibility for hiring, training and supervising the
PHA staff in order to manage the day-to-day operations of the PHA. The housing manager is
responsible for ensuring compliance with federal and state laws and directives for the programs
managed. In addition, the housing manager’s duties include budgeting and financial planning for the
agency.
1-I.C. PHA Mission
The purpose of a mission statement is to communicate the purpose of the agency to people inside
and outside of the agency. It provides guiding direction for developing strategy, defining critical
success factors, searching out key opportunities, making resource allocation choices, satisfying
clients and stakeholders, and making decisions.
PHA Policy
Vision Statement: The City of Chandler, Housing and Redevelopment Division, together with
our community partners dedicate ourselves to creating and sustaining healthy, diverse
neighborhood housing opportunities that promote individual responsibility, economic growth,
human dignity and hope for the future.
Having a quality living environment in a sustainable neighborhood is the foundation
of society and our community. Providing the structural foundation for a quality
home life fosters hope and facilitates a pathway to meeting other needs and goals.
Responsible and respectful people deserve the opportunity to contribute to attaining
an efficient, functional, quality home and neighborhood in which we can all have
pride.
Mission Statement: It is the mission of the City of Chandler Housing and
Redevelopment Division, together with our community partners to work in
ensuring affordable and other housing opportunities are available for those
families that are in need within our community.
1-I.D. The PHA’S Programs
The following programs are included under this administrative plan:
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PHA Policy
The PHA’s administrative plan is applicable to the operation of the Housing Choice Voucher
program.
1-I.E. The PHA’s Commitment to Ethics and Service
As a public service agency, the PHA is committed to providing excellent service to HCV program
participants , owners, and to the community. The PHA’s standards include:
• Administer applicable federal and state laws and regulations to achieve high
ratings in performance measurement indicators while maintaining efficiency in
program operation to ensure fair and consistent treatment of clients served.
• Provide decent, safe, and sanitary housing – in compliance with program
inspection standards (UPCS-V)– for very low-income families while ensuring
that family rents are fair, reasonable, and affordable.
• Encourage self-sufficiency of participant families and assist in the expansion of
family opportunities which address educational, socio-economic, recreational and
other human service needs.
• Promote fair housing and the equal opportunity for very low-income families of
all ethnic backgrounds to experience freedom of housing choice.
• Promote a housing program, which maintains quality service and integrity while
providing an incentive to private property owners to rent to very low-income
families.
• Promote a market-driven housing program that will help qualified low-income
families be successful in obtaining affordable housing and increase the supply of
housing choices for such families.
• Create positive public awareness and expand the level of family, owner, and
community support in accomplishing the PHA’s mission.
• Attain and maintain a high level of standards and professionalism in day-to-day
management of all program components.
• Administer an efficient, high-performing agency through continuous
improvement of the PHA’s support systems and a high level of commitment to
our employees and their development.
The PHA will make every effort to keep program participants informed of HCV program rules and
regulations, and to advise participants of how the program rules affect them
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PART II. THE HOUSING CHOICE VOUCHER (HCV) PROGRAM
1-II.A. Overview and History of the Program
The intent of this section is to provide the public and staff with information related to the overall
operation of the program. There have been many changes to the program since its inception in 1974
and a brief history of the program will assist the reader to better understand the program.
The United States Housing Act of 1937 (the “Act”) is responsible for the birth of federal housing
program initiatives. The Act was intended to provide financial assistance to states and cities for
public works projects, slum clearance and the development of affordable housing developments for
low-income residents.
The Housing and Community Development (HCD) Act of 1974 created a new federally assisted
housing program – the Section 8 Existing program (also known as the Section 8 Certificate
program). The HCD Act represented a significant shift in federal housing strategy from locally
owned public housing to privately owned rental housing.
Under the Certificate program, federal housing assistance payments were made directly to private
owners of rental housing, where this housing was made available to lower-income families. Eligible
families were able to select housing in the private rental market. Assuming that the housing met
certain basic physical standards of quality and was within certain HUD-established rent limitations
(“fair market rents”), the family would be able to receive rental assistance in the housing unit.
Family contribution to rent was generally set at 30 percent of the family’s adjusted income, with the
remainder of the rent paid by the program.
Another unique feature of the Certificate program was that the rental assistance remained with the
eligible family, if the family chose to move to another privately-owned rental unit that met program
requirements (in contrast to the public housing program where the rental assistance remains with the
unit, should the family decide to move). Consequently, the Certificate program was characterized as
tenant-based assistance, rather than unit-based assistance.
The Housing and Community Development (HCD) Act of 1987 authorized a new version of tenant-
based assistance – the Section 8 Voucher program. The Voucher program was very similar to the
Certificate program in that eligible families were able to select housing in the private rental market
and receive assistance in that housing unit.
However, the Voucher program permitted families more options in housing selection. Rental
housing still had to meet the basic housing quality standards, but there was no fair market rent
limitation on rent. In addition, family contribution to rent was not set at a limit of 30 percent of
adjusted income. Consequently, depending on the actual rental cost of the unit selected, a family
might pay more or less than 30 percent of their adjusted income for rent.
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From 1987 through 1999, public housing agencies managed both the Certificate and Voucher tenant-
based assistance programs, with separate rules and requirements for each. From 1994 through 1998,
HUD published a series of new rules, known as “conforming” rules, to more closely combine and
align the two similar housing programs, to the extent permitted by the law.
In 1998, the Quality Housing and Work Responsibility Act (QHWRA) – also known as the Public
Housing Reform Act – was signed into law. QHWRA eliminated all statutory differences between
the Certificate and Voucher tenant-based programs and required that the two programs be merged
into a single tenant-based assistance program, now known as the Housing Choice Voucher (HCV)
program.
The HCV program was modeled closely on the pre-merger Voucher program. However, unlike the
pre-merger Voucher program, the HCV program requires an assisted family to pay at least 30
percent of adjusted income for rent.
The transition of assistance from the Certificate and Voucher programs to the new HCV program
began in October 1999. By October 2001, all families receiving tenant-based assistance were
converted to the HCV program.
1-II.B. HCV Program Basics
The purpose of the HCV program is to provide rental assistance to eligible families. The rules and
regulations of the HCV program are determined by the U.S. Department of Housing and Urban
Development. The PHA is afforded choices in the operation of the program, which are included in
the PHA’s administrative plan, a document approved by the board of commissioners of the PHA.
The HCV program offers mobility to eligible families because they may search for suitable housing
anywhere in the PHA’s jurisdiction and may also be eligible to move under portability to other
PHAs’ jurisdictions.
When a family is determined to be eligible for the program and funding is available, the PHA issues
the family a housing voucher. When the family finds a suitable housing unit and funding is
available, the PHA will enter into a contract with the owner and the family will enter into a lease
with the owner. Each party makes their respective payment to the owner so that the owner receives
full rent.
Even though the family is determined to be eligible for the program, the owner has the responsibility
of approving the family as a suitable renter. The PHA continues to make payments to the owner as
long as the family is eligible and the housing unit continues to qualify under the program.
1-II.C. The HCV Partnerships
To administer the HCV program, the PHA enters into a contractual relationship with HUD
(Consolidated Annual Contribution Contract). The PHA also enters into contractual relationships
with the assisted family and the owner or landlord of the housing unit.
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For the HCV program to work and be successful, all parties involved – HUD, the PHA, the owner,
and the family – have important roles to play. The roles and responsibilities of all parties are defined
in federal regulations and in legal documents that parties execute to participate in the program. The
following chart illustrates key aspects of these relationships.
The HCV Relationships:
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Congress Appropriates Funding
HUD Provides Funding to PHA
Program Regulations and ACC specifies
PHA Obligations and Voucher Funding
PHA Administers Program
Voucher specifies Family Obligations
Housing Assistance Payments (HAP)
Contract specifies Owner and PHA
Obligations
Family
(Program
Participant)
Lease specifies
Tenant and
Landlord
Obligations
Owner/Landlord
(Property
Management)
What Does HUD Do?
HUD has the following major responsibilities:
• Develop regulations, requirements, handbooks, notices and other guidance to
implement HCV housing program legislation passed by Congress;
• Allocate HCV program funds to PHAs;
• Provide technical assistance to PHAs on interpreting and applying HCV program
requirements;
• Monitor PHA compliance with HCV program requirements and PHA performance in
program administration.
What Does the PHA Do?
The PHA administers the HCV program under contract with HUD and has the following major
responsibilities:
• Establish local policies to administer the program;
• Review applications from interested applicant to determine whether they are eligible
for the program;
• Maintain a waiting list and select families for admission;
• Issue voucher to eligible families and provide information on how to lease a unit;
• Conduct outreach to owners, with special attention to owners outside areas of poverty
or minority concentration;
• Approve the rental unit (including assuring compliance with housing quality
standards and rent reasonableness), the owner, and the tenancy;
• Make housing assistance payments to the owner in a timely manner;
• Recertify families for continued eligibility under the program;
• Ensure that owners and families comply with their contractual obligations;
• Provide families and owners with prompt, professional service;
• Comply with all fair housing and equal opportunity requirements, HUD regulations
and requirements, the Annual Contributions Contract, HUD-approved applications
for funding, the PHA’s administrative plan, and other applicable federal, state and
local laws.
What Does the Owner Do?
The owner has the following major responsibilities:
• Screen families who apply for tenancy, to determine suitability as renters.
• The PHA can provide some information to the owner, but the primary responsibility
for tenant screening rests with the owner.
• The owner should consider family background factors such as rent and bill-paying
history, history of caring for property, respecting the rights of others to peaceful
enjoyment of the property, compliance with essential conditions of tenancy, whether
the family is engaging in drug-related criminal activity or other criminal activity that
might threaten others.
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• Comply with the terms of the Housing Assistance Payments contract, executed with
the PHA;
• Comply with all applicable fair housing laws and do not discriminate against anyone;
• Maintain the housing unit in accordance with Housing Quality Standards (HQS) and
make necessary repairs in a timely manner;
• Collect rent due from the assisted family and otherwise comply with and enforce
provisions of the dwelling lease.
The City of Chandler Housing and Redevelopment became part of the Uniform Physical Conditions
Standards
What Does the Family Do?
The family has the following responsibilities:
• Provide the PHA with complete and accurate information, determined by the PHA to
be necessary for administration of the program;
• Make their best and most timely efforts to locate qualified and suitable housing ;
• Cooperate in attending all appointments scheduled by the PHA;
• Allow the PHA to inspect the unit at reasonable times and after reasonable notice;
• Take responsibility for care of the housing unit, including any violations of
inspection standards caused by the family;
• Comply with the terms of the lease with the owner;
• Comply with the family obligations of the voucher;
• Not commit serious or repeated violations of the lease;
• Not engage in drug-related or violent criminal activity;
• Notify the PHA and the owner before moving or termination the lease;
• Use the assisted unit only for residence and as the sole residence of the family. Not
sublet the unit, assign the lease, or have any interest in the unit;
• Promptly notify the PHA of any changes in family composition;
• Not commit fraud, bribery, or any other corrupt or criminal act in connection with
any housing programs.
1-II.D. Applicable Regulations
Applicable regulations include:
• 24 CFR Part 5: General Program Requirements
• 24 CFR Part 8: Nondiscrimination
• 24 CFR Part 982: Section 8 Tenant-Based Assistance: Housing Choice Voucher Program
• 24 CFR Part 8: Nondiscrimination
• 24 CFR Part 35: Lead-Based Paint
• 24 CFR Part 100: The Fair Housing Act
• 24 CFR Part 982: Section 8 Tenant-Based Assistance: Housing Choice Voucher Program
• 24 CFR Part 983: Project-Based Vouchers
• 24 CFR Part 985: The Section 8 Management Assessment Program (SEMAP)
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• Uniform Physical Conditions Standards (UPCS-V) Protocol Ver. 2.5
PART III: THE HCV ADMINISTRATIVE PLAN
1-III.A. Overview and Purpose of the Plan
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 and local
goals and objectives contained in the PHA’s agency plan. This administrative plan is a supporting
document to the PHA agency plan, and is available for public review as required by CFR 24 Part
903.
This administrative plan is set forth to define the PHA's local policies for operation of the housing
programs in accordance with federal laws and regulations. All issues related to the HCV program
not addressed in this document are governed by such federal regulations, HUD handbooks and
guidebooks, notices and other applicable law. The policies in this administrative plan have been
designed to ensure compliance with the consolidated ACC and all HUD-approved applications for
program funding.
The PHA is responsible for complying with all changes in HUD regulations pertaining to the HCV
program. If such changes conflict with this plan, HUD regulations will have precedence.
Administration of the HCV program and the functions and responsibilities of PHA staff shall be in
compliance with the PHA's personnel policy and HUD regulations as well as all federal, state and
local fair housing laws and regulations.
1-III.B. Contents of the Plan [24 CFR 982.54]
The HUD regulations at 24 CFR 982.54 define the policies that must be included in the
administrative plan. They are as follow:
• Selection and admission of applicants from the PHA waiting list, including any PHA
admission preferences, procedures for removing applicant names from the waiting list, and
procedures for closing and reopening the PHA waiting list (Chapter 4);
• Issuing or denying vouchers, including PHA policy governing the voucher term and any
extensions of the voucher term. If the PHA decides to allow extensions of the voucher term,
the PHA administrative plan must describe how the PHA determines whether to grant
extensions and how the PHA determines the length of any extension (Chapter 5);
• Any special rules for use of available funds when HUD provides funding to the PHA for a
special purpose (e.g., desegregation), including funding for specified families or a specified
category of families (Chapter 4);
1-9
• Occupancy policies, including definition of what group of persons may qualify as a 'family',
definition of when a family is considered to be 'continuously assisted'; standards for denying
admission or terminating assistance based on criminal activity or alcohol abuse in accordance
with 982.553 (Chapters 3 and 12);
• Encouraging participation by owners of suitable units located outside areas of low income or
minority concentration (Chapter 13);
• Assisting a family that claims that illegal discrimination has prevented the family from
leasing a suitable unit (Chapter 2);
• Providing information about a family to prospective owners (Chapters 3 and 9);
• Disapproval of owners (Chapter 13);
• Subsidy standards (Chapter 5);
• Family absence from the dwelling unit (Chapter 12) ;
• How to determine who remains in the program if a family breaks up (Chapter 3);
• Informal review procedures for applicants (Chapter 16);
• Informal hearing procedures for participants (Chapter 16);
• The process for establishing and revising voucher payment standards including policies on
administering decreases in the payment standard during the HAP contract term (Chapter 16);
• The method of determining that rent to owner is a reasonable rent (initially and during the
term of a HAP contract) (Chapter 8);
• Special policies concerning special housing types in the program (e.g., use of shared
housing) (Chapter 15);
• Policies concerning payment by a family to the PHA of amounts the family owes the PHA
(Chapter 16);
• Interim re-determinations of family income and composition (Chapter 11);
• Restrictions, if any, on the number of moves by a participant family (Chapter 10);
• Approval by the board of commissioners or other authorized officials to charge the
administrative fee reserve (Chapter 16);
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• Procedural guidelines and performance standards for conducting required housing quality
standards inspections (Chapter 8); and
• PHA screening of applicants for family behavior or suitability for tenancy (Chapter 3).
Mandatory vs. Discretionary Policy
HUD makes a distinction between:
• Mandatory policies: those driven by legislation, regulations, current handbooks,
notices, and legal opinions, and
• Optional, non-binding guidance, including guidebooks, notices that have expired
and recommendations from individual HUD staff.
HUD expects PHAs to adopt local policies and procedures that are consistent with mandatory
policies in the areas where HUD gives the PHA discretion. The PHA's administrative plan is the
foundation of those policies and procedures. HUD’s directions require PHAs to make policy choices
that provide sufficient guidance to staff and ensure consistency to program applicants
and participants.
Creating policies based upon HUD guidance is not mandatory, but provides a PHA with a “safe
harbor.” HUD has already determined that the recommendations and suggestions it makes are
consistent with mandatory policies. If a PHA adopts an alternative strategy, it must make its own
determination that the alternative approach is consistent with legislation, regulations, and other
mandatory requirements. There may be very good reasons for adopting a policy or procedure that is
different than HUD’s safe harbor, but PHAs should carefully think through those decisions.
1-III.C. Organization of the Plan
The plan is organized to provide information to users in particular areas of operation.
1-III.D. Updating and Revising the Plan
The PHA will revise this administrative plan as needed to comply with changes in HUD regulations.
The original plan and any changes must be approved by the board of commissioners of the agency,
the pertinent sections included in the Agency Plan, and a copy provided to HUD.
PHA Policy
The PHA will review and update the plan at least once a year, and more often if as needed, to
reflect changes in regulations, PHA operations, or when needed to ensure staff consistency in
operation.
1-11
2-1
Chapter 2
Fair Housing and Equal Opportunity
Introduction
This chapter explains the laws and HUD regulations requiring PHAs 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 policy and processes. The responsibility to further
nondiscrimination pertains to all areas of the PHA’s housing choice voucher (HCV) operations.
This chapter describes HUD regulations and PHA policies related to these topics in three parts:
Part I: Nondiscrimination. This part presents the body of laws and regulations governing the
responsibilities of the PHA regarding nondiscrimination.
Part II: Policies Related to Persons with Disabilities. This part discusses the rules and
policies of the housing choice voucher program related to reasonable accommodation for
persons with disabilities. These rules and policies are based on the Fair Housing Act
(42.U.S.C.) and Section 504 of the Rehabilitation Act of 1973, and incorporate guidance
from the Joint Statement of The Department of Housing and Urban Development and the
Department of Justice (DOJ), issued May 17, 2004.
Part III: Prohibition of Discrimination Against Limited English Proficiency Persons. This part
details the obligations of the PHA to ensure meaningful access to the HCV program and its
activities by persons with limited English proficiency (LEP). This part incorporates the Final
Guidance to Federal Financial Assistance Recipients Regarding Title VI Prohibition against
National Origin Discrimination Affecting Limited English Proficient Persons published January
22, 2007, in the Federal Register.
PART I: NONDISCRIMINATION
2-I.A. Overview
Federal laws require PHAs to treat all applicants and participants equally, providing the same quality
of services, regardless of family characteristics and background. Federal law prohibits discrimination
in housing on the basis of race, color, religion, sex, national origin, age, familial status, and
disability. The PHA will comply fully with all 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)
2-2
•
Executive Order 11063
•
Section 504 of the Rehabilitation Act of 1973
•
The Age Discrimination Act 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)
•
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 and
further clarified in Notice PIH 2014-20.
•
Violence Against Women Reauthorization Act of 2013 (VAWA)
When more than one civil rights law applies to a situation, the laws will be read and applied
together.
Any applicable state laws or local ordinances and any legislation protecting individual rights of
tenants, applicants, or staff that may subsequently be enacted
PHA Policy
No state or local nondiscrimination laws or ordinances apply.
2-I.B. Nondiscrimination
A reasonable accommodation is an adjustment made to a rule, policy, practice, or service that allows
a person with a disability to have equal access to the HCV program. For example, reasonable
accommodations may include making home visits, extending the voucher term, or approving an
exception payment standard in order for a participant to lease an accessible dwelling unit.
Federal regulations prohibit discrimination against certain protected classes. State and local
requirements, as well as PHA policies, can prohibit discrimination based on other factors.
The PHA shall not discriminate because of race, color, sex, religion, familial status, age, disability or
national origin (called “protected classes”)
Familial status includes children under the age of 18 living with parents or legal custodians, pregnant
women, and people securing custody of children under the age of 18.
PHA Policy
The PHA will not discriminate on the basis of marital status or sexual orientation.
The PHA will not use any of these factors to:
•
Deny to any family the opportunity to apply for housing, nor deny to 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
•
Subject anyone to sexual harassment
•
Restrict anyone's access to any benefit enjoyed by others in connection with the
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housing program
•
Treat a person differently in determining eligibility or other requirements for
admission
•
Steer an applicant or participant 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
•
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.
Providing Information to Families and Owners
The PHA must take steps to ensure that families and owners are fully aware of all applicable civil
rights laws. As part of the briefing process, the PHA must provide information to HCV applicant
families about civil rights requirements and the opportunity to rent in a broad range of
neighborhoods [24 CFR 982.301]. 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 in connection with the contract.
Discrimination Complaints
If an applicant or participant believes that any family member has been discriminated against by the
PHA or an owner, the family should advise the PHA. The PHA should make every reasonable
attempt to determine whether the applicant’s or participant’s assertions have merit and take any
warranted corrective action. In addition, the PHA is required to provide the applicant or participant
with information about how to file a discrimination complaint [24 CFR 982.304].
Upon receipt of a housing discrimination complaint, the PHA is required to:
• Provide written notice of the complaint to those alleged and inform the complainant
that such notice was made;
• Investigate the allegations and provide the complainant and those alleged with
findings and either a proposed corrective action or an explanation of why corrective
action is not warranted; and
• Keep records of all complaints, investigations, notices, and corrective actions [Notice
PIH 2014-20]
PHA Policy
Applicants or participants who believe that they have been subject to unlawful discrimination
may notify the PHA either orally or in writing.
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Within 10 business days of receiving the complaint, the PHA will provide a written notice to
those alleged to have violated the rule. The PHA will also send a written notice to the
complainant informing them that notice was sent to those alleged to have violated the rule, as
well as information on how to complete and submit a housing discrimination complaint form
to HUD's Office of Fair Housing and Equal Opportunity (FHEO).
The PHA will attempt to remedy discrimination complaints made against the PHA and will
conduct an investigation into all allegations or discrimination.
Within 10 business days following the conclusion of the PHA's investigation, the PHA will
provide the complainant and those alleged to have violated the rule with findings and either a
proposed corrective action plan or an explanation of why corrective action is not warranted.
The PHA will keep a record of all complaints, investigations, notices, and corrective actions.
(See Chapter 16.)
PART II: POLICIES RELATED TO PERSONS WITH DISABILTIES
2-II.A. Overview
One type of disability discrimination prohibited by the Fair Housing Act is the refusal to make
reasonable accommodation in rules, policies, practices, or services when such accommodation may
be necessary to afford a person with a disability the equal opportunity to use and enjoy a program or
dwelling under the program.
The PHA must ensure that persons with disabilities have full access to the PHA’s programs and
services. This responsibility begins with the first contact by an interested family and continues
through every aspect of the program.
PHA Policy
The PHA will provide for alternate format applications for persons requiring a reasonable
accommodation in the online application process.
The PHA will ask all applicants and participants if they require any type of accommodations,
in writing, on the intake application, reexamination documents, and notices of adverse action
by the PHA, by including the following language:
For applicants:
The City of Chandler Housing and Redevelopment Division is committed to fully
complying with all state, federal and local laws involving non-discrimination and
equal opportunity. Any person who believes he/she needs a reasonable
accommodation to participate in any program for the City of Chandler Housing
and Redevelopment Division should notify our office at least 24 hours prior to
the date of the accommodation will be required.
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For Reexamination documents and notices of adverse action by the PHA:
The City of Chandler Housing and Redevelopment Division is committed to fully
complying with all state, federal and local laws involving non-discrimination and
equal opportunity. Any person who believes he/she needs a reasonable
accommodation to participate in any program for the City of Chandler Housing and
Redevelopment Division should notify their housing specialist at least 24 hours prior
to the date of the accommodation will be required.
2-II.B. Definition of Reasonable Accommodation
A person with a disability may require certain types of accommodations in order to have equal
access to the HCV program. The types of reasonable accommodations the PHA can provide include
changes, exceptions, or adjustments to a rule, policy, practice, or service.
Federal regulations stipulate that requests for accommodations will be considered reasonable if they
do not create an "undue financial and administrative burden" for the PHA, 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 a provider’s operations.
Types of Reasonable Accommodations
When needed, the PHA will modify normal procedures to accommodate the needs of a person with
disabilities. Examples include:
• Permitting applications and reexaminations to be completed by mail, telephone, or
walk-in. Reexaminations must be by appointment only. Walk-in applicants will be
directed to the online process only during times the waitlist is open.
• Providing “large-print” forms
• Conducting home visits
• Using higher payment standards (either within the acceptable range or with HUD
approval of a payment standard outside the PHA range) if the PHA 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 family in seeking a unit
• Permitting an authorized designee or advocate to participate in the application or
certification process and any other meetings with PHA staff
2-II.C. Request for an Accommodation
If an applicant or participant indicates that an exception, change, or adjustment to a rule, policy, practice,
or service is needed because of a disability, HUD requires that the PHA treat the information as a request
for a reasonable accommodation, even if no formal request is made [Joint Statement of the Departments
of HUD and Justice: Reasonable Accommodations under the Fair Housing Act].
The family must explain what type of accommodation is needed to provide the person with the
disability full access to the PHA’s programs and services.
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If the need for the accommodation is not readily apparent or known to the PHA, the family must
explain the relationship between the requested accommodation and the disability. There must be an
identifiable connection, or nexus, between the requested accommodation and the individual’s
disability.
PHA Policy
The PHA will encourage the family to make its request in writing using a reasonable
accommodation request form. However, the PHA will consider the accommodation any time
the family indicates that an accommodation is needed whether or not a formal written request
is submitted.
2-II.D. Verification of Disability
The regulatory civil rights definition for persons with disabilities is provided in Exhibit 2-1 at the
end of this chapter. The definition of a person with a disability for the purpose of obtaining a
reasonable accommodation is much broader than the HUD definition of disability, which is used for
waiting list preferences and income allowances.
Before providing an accommodation, the PHA 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 the
PHA’s programs and services.
If a person’s disability is obvious, or otherwise known to the PHA, 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 the PHA, the PHA must 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.
When verifying a disability, the PHA will follow the verification policies provided in Chapter 7. All
information related to a person’s disability will be treated in accordance with the confidentiality
policies provided in Chapter 16. 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]
• The PHA must request only information that is necessary to evaluate the disability-
related need for the accommodation. The PHA will not inquire about the nature or extent
of any disability.
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• Medical records will not be accepted or retained in the participant file.
• In the event that the PHA does receive confidential information about a person’s specific
diagnosis, treatment, or the nature or severity of the disability, the PHA will dispose of
it. If the information needs to be disposed, the PHA 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].
2-II.E. Approval/Denial of a Requested Accommodation [Joint Statement of the
Departments of HUD and Justice: Reasonable Accommodations under the Fair
Housing Act, Notice PIH 2010-26].
The PHA must 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.
• The requested accommodation is reasonable, meaning it would not impose an undue
financial and administrative burden on the PHA, or fundamentally alter the nature of the
PHA’s HCV operations (including the obligation to comply with HUD requirements and
regulations).
Requests for accommodations must be assessed on a case-by-case basis, taking into account factors
such as the cost of the overall size of the PHA’s program with respect to the number of employees,
type of facilities and size of budget, type of operation including composition and structure of
workforce, the nature and cost of the requested accommodation, , and the availability of alternative
accommodations that would effectively meet the family’s disability-related needs.
Before making a determination whether to approve the request, the PHA may enter into discussion
and negotiation with the family, request more information from the family, or may require the family
to sign a consent form so that the PHA may verify the need for the requested accommodation.
PHA Policy
After a request for an accommodation is presented, the PHA will respond, in writing, within
10 business days.
If the PHA 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 the
PHA’s operations), the PHA will discuss with the family whether an alternative
accommodation could effectively address the family’s disability-related needs without a
fundamental alteration to the HCV program and without imposing an undue financial and
administrative burden.
If the PHA believes that the family has failed to identify a reasonable alternative
accommodation after interactive discussion and negotiation, the PHA will notify the family,
in writing, of its determination within 10 business days from the date of the most recent
discussion or communication with the family.
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2-II.F. Program Accessibility for Persons with Hearing or Vision Impairments
HUD regulations require the PHA to ensure that persons with disabilities related to hearing and
vision have reasonable access to the PHA's programs and services [24 CFR 8.6].
At the initial point of contact with each applicant, the PHA shall inform all applicants of alternative
forms of communication that can be used other than plain language paperwork.
PHA Policy
To meet the needs of persons with hearing impairments, TTD/TTY (text telephone display /
teletype) communication will be available.
To meet the needs of persons with vision impairments, large-print and if possible, audio
versions of key program documents will be made available upon request. When visual aids
are used in public meetings or presentations, or in meetings with PHA staff, one-on-one
assistance will be provided upon request.
Additional examples of alternative forms of communication are sign language interpretation;
having material explained orally by staff; or having a third party representative (a friend,
relative or advocate, named by the applicant) to receive, interpret and explain housing
materials and be present at all meetings.
2-II.G. Physical Accessibility
The PHA must comply with a variety of regulations 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
• The Fair Housing Act of 1988
The PHA’s policies concerning physical accessibility must be readily available to applicants and
participants. They can be found in three key documents:
• This plan describes the key policies that govern the PHA’s responsibilities with regard to
physical accessibility.
• Notice PIH 2010-26 summarizes information about pertinent laws and implementing
regulations related to non-discrimination and accessibility in federally-funded housing
programs.
• The PHA Plan provides information about self-evaluation, needs assessment, and
transition plans.
The design, construction, or alteration of PHA facilities must conform to the Uniform Federal
Accessibility Standards (UFAS). Newly-constructed facilities must be designed to be readily
accessible to and usable by persons with disabilities. Alterations to existing facilities must be
accessible to the maximum extent feasible, defined as not imposing an undue financial and
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administrative burden on the operations of the HCV program.
When issuing a voucher to a family that includes an individual with disabilities, the PHA will
include a current list of available accessible units known to the PHA and will assist the family in
locating an available accessible unit, if necessary.
In general, owners must permit the family 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 family’s expense when the family moves.
2-II.H. Denial or Termination of Assistance
A PHA’s decision to deny or terminate the assistance of a family that includes a person with
disabilities is subject to consideration of reasonable accommodation [24 CFR 982.552 (2)(iv)].
When applicants with disabilities are denied assistance, the notice of denial must inform them of the
PHA’s informal review process and their right to request an informal review. In addition, the notice
must inform applicants with disabilities of their right to request reasonable accommodations to
participate in the informal review process.
When a participant family’s assistance is terminated, the notice of termination must inform them of
the PHA’s informal hearing process and their right to request a hearing and reasonable
accommodation.
When reviewing reasonable accommodation requests, the PHA must consider whether any
mitigating circumstances can be verified to explain and overcome the problem that led to the PHA’s
decision to deny or terminate assistance. If a reasonable accommodation will allow the family to
meet the requirements, the PHA must make the accommodation.
PART III: IMPROVING ACCESS TO SERVICES FOR PERSONS WITH LIMITED ENGLISH
PROFICIENCY (LEP)
2-III.A. Overview
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 Final Guidance to Federal
Assistance Recipients Regarding Title VI Prohibition against National Origin Discrimination
Affecting Limited English Proficient Persons, published January 22, 2007 in the Federal Register.
The PHA will take affirmative steps to communicate with people who need services or information
in a language other than English. These persons will be referred to as Persons with Limited English
Proficiency (LEP).
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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 participants, and parents and family members of
applicants and participants.
In order to determine the level of access needed by LEP persons, the PHA will balance the following
four factors: (1) the number or proportion of LEP persons eligible to be served or likely to be
encountered by the Housing Choice Voucher program; (2) the frequency with which LEP persons
come into contact with the program; (3) the nature and importance of the program, activity, or
service provided by the program to people’s lives; and (4) the resources available to the PHA and
costs. Balancing these four factors will ensure meaningful access by LEP persons to critical services
while not imposing undue burdens on the PHA.
2-III.B. Oral Interpretation
The PHA will offer competent interpretation services free of charge, upon request, to the LEP person.
PHA Policy
The PHA will utilize a language line for telephone interpreter services.
Where LEP persons desire, they will be permitted to use, at their own expense, an interpreter
of their own choosing, in place of or as a supplement to the free language services offered by
the PHA. The interpreter may be a family member or friend.
The PHA will analyze the various kinds of contacts it has with the public, to assess language
needs and decide what reasonable steps should be taken. “Reasonable steps” may not be
reasonable where the costs imposed substantially exceed the benefits.
Where feasible and possible, according to its language assistance plan (LAP), the PHA will
train and hire bilingual staff to be available to act as interpreters and translators, will pool
resources with other PHAs, and will standardize documents.
2-III.C. Written Translation
Translation is the replacement of a written text from one language into an equivalent written text in
another language.
PHA Policy
In order to comply with written-translation obligations, the PHA will take the following
steps:
•
The PHA will provide written translations of vital documents for each eligible LEP
language group that constitutes 5 percent or 1,000 persons, whichever is less, of the
population of persons eligible to be served or likely to be affected or encountered.
•
Translation of other documents, if needed, can be provided orally; or
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•
If there are fewer than 50 persons in a language group that reaches the 5 percent trigger,
the PHA does not translate vital written materials, but provides written notice in the
primary language of the LEP language group of the right to receive competent oral
interpretation of those written materials, free of cost.
2-III.D. Implementation Plan
After completing the four-factor analysis and deciding what language assistance services are
appropriate, the PHA shall determine whether it is necessary to develop a written implementation
plan to address the identified needs of the LEP populations it serves.
If the PHA determines that it is not necessary to develop a written implementation plan, the absence
of a written plan does not obviate the underlying obligation to ensure meaningful access by LEP
persons to the PHA’s Housing Choice Voucher program and services.
PHA Policy
If it is determined that the PHA serves very few LEP persons, and the PHA has very limited
resources, the PHA will not develop a written LEP plan, but will consider alternative ways to
articulate in a reasonable manner a plan for providing meaningful access. Entities having
significant contact with LEP persons, such as schools, grassroots and faith-based
organizations, community groups, and groups working with new immigrants will be
contacted for input into the process.
If the PHA determines it is appropriate to develop a written LEP plan, the following five
steps will be taken: (1) Identifying LEP individuals who need language assistance; (2)
identifying language assistance measures; (3) training staff; (4) providing notice to LEP
persons; and (5) monitoring and updating the LEP plan.
EXHIBIT 2-1: Definition of a Person with a Disability Under Federal Civil Rights Laws
[24 CFR Parts 8.3, 25.104, and 100.201]
A person with a disability, as defined under federal civil rights laws, 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,
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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
the PHA) 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.
The definition of a person with disabilities does not include:
• Current illegal drug users
• People whose alcohol use interferes with the rights of others
• 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
The above definition of disability determines whether an applicant or participant is entitled to any of
the protections of federal disability civil rights laws. Thus, a person who does not meet this disability
is not entitled to a reasonable accommodation under federal civil rights and fair housing laws and
regulations.
The HUD definition of a person with a disability is much narrower than the civil rights definition of
disability. The HUD definition of a person with a disability is used for purposes of receiving the
disabled family preference, the $400 elderly/disabled household deduction, the $480 dependent
deduction, the allowance for medical expenses, or the allowance for disability assistance expenses.
The definition of a person with a disability for purposes of granting a reasonable accommodation
request is much broader than the HUD definition of disability. Many people will not qualify as a
disabled person under the HCV program, yet an accommodation is needed to provide equal
opportunity.
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Chapter 3
Eligibility
Introduction
The PHA is responsible for ensuring that every individual and family admitted to the HCV program
meets all program eligibility requirements. This includes any individual approved to join the family
after the family has been admitted to the program. The family must provide any information needed
by the PHA to confirm eligibility and determine the level of the family’s assistance.
To be eligible for the HCV program:
• The applicant family must:
Qualify as a family as defined by HUD and the PHA.
Have income at or below HUD-specified income limits.
Qualify on the basis of citizenship or the eligible immigrant status of family members.
Provide social security number information for household members as required.
Consent to the PHA’s collection and use of family information as provided for in
PHA-provided consent forms.
• The PHA must determine that the current or past behavior of household members does not
include activities that are prohibited by HUD or the PHA.
This chapter contains three parts:
Part I: Definitions of Family and Household Members. This part contains HUD and PHA
definitions of family and household members and explains initial and ongoing eligibility
issues related to these members.
Part II: Basic Eligibility Criteria. This part discusses income eligibility, and rules regarding
citizenship, social security numbers, and family consent.
Part III: Denial of Assistance. This part covers factors related to an applicant’s past or current
conduct (e.g. criminal activity) that can cause the PHA to deny assistance.
PART I: DEFINITIONS OF FAMILY AND HOUSEHOLD MEMBERS
3-I.A. Overview
Some eligibility criteria and program rules vary depending upon the composition of the family
requesting assistance. In addition, some requirements apply to the family as a whole and others
apply to individual persons who will live in the assisted unit. This part provides information that is
needed to correctly identify family and household members, and to apply HUD's eligibility rules.
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3-I.B. Family and Household [24 CFR 982.201(c), FR Notice 02/03/12; Notice PIH 2014- 20]
The terms family and household have different meanings in the HCV program.
Family
To be eligible for assistance, an applicant must qualify as a family. Family is defined by HUD
includes, but is not limited to the following, regardless actual or perceived sexual orientation, gender
identity, or marital status, a single person, who may be an elderly person, disabled person, near-
elderly person, or any other single person; or a group of persons residing together. 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, or the remaining member of a
tenant family. The PHA has the discretion to determine if any other group of persons qualifies as a
family.
Gender Identity means actual or perceived gender characteristics.
Sexual orientation means homosexuality, heterosexuality, or bisexuality.
PHA Policy
Each family must identify the individuals to be included in the family at the time of
application, and must notify the PHA if the family’s composition changes.
A family also includes two or more individuals who not related by blood, marriage, adoption,
or other operation of law but who either can demonstrate that the individuals have lived
together previously, or certify that each individual’s income and other resources will be
available to meet the needs of the family.
Household
Household is a broader term that includes additional people who, with the PHA’s permission, live in
an assisted unit, such as live-in aides, foster children, and foster adults.
3-I.C. Family Break-Up and Remaining Member of Tenant Family
Family Break-up [24 CFR 982.315; Notice PIH 2017-08]
Except under the following conditions, the PHA has discretion to determine which members of an
assisted family continue to receive assistance if the family breaks up:
• If the family breakup results from an occurrence of domestic violence, dating violence,
sexual assault, or stalking, the PHA must ensure that the victim retains assistance. (For
documentation requirements and policies related to domestic violence, dating violence, sexual
assault, and stalking, see section 16-IX.D of this plan.)
• In accordance with Notice PIH 2017-08, for HUD–Veterans Affairs Supportive Housing
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(HUD–VASH) vouchers, when the veteran is the perpetrator of domestic violence, dating
violence, sexual assault, or stalking, the victim must continue to be assisted. Upon termination
of the perpetrator’s HUD–VASH voucher, the victim should be given a regular HCV if one is
available, and the perpetrator’s HUD–VASH voucher should be used to serve another eligible
family. If a regular HCV is not available, the victim will continue to use the HUD–VASH
voucher, which must be issued to another eligible family upon the voucher’s turnover.
• If a court determines the disposition of property between members of the assisted family,
the PHA is bound by the court’s determination of which family members continue to
receive assistance.
PHA Policy
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 submit a new application with a new application date if the waiting list is
open.
If a family breaks up into two otherwise eligible families while receiving assistance,
only one of the new families will continue to be assisted.
In the absence of a judicial decision, or an agreement among the original family
members, the PHA will determine which family retains their placement on the waiting
list, or will continue to receive assistance. In making its determination, the PHA will
take into consideration the following factors:
(1) the interest of any minor children, including custody arrangements,
(2) the interest of any ill, elderly, or disabled family members,
(3) the interest of any 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;
(4) any possible risks to family members as a result of domestic violence or criminal
activity; and
(5) the recommendations of social service professionals.
Remaining Member of a Tenant Family [24 CFR 5.403]
The HUD definition of family includes the remaining member of a tenant family, which is a member
of an assisted family who remains in the unit when other members of the family have left the unit.
Household members such as live-in aides, foster children, and foster adults do not qualify as
remaining members of a family.
If dependents are the only “remaining members of a tenant family” and there is no family member
able to assume the responsibilities of the head of household, see Chapter 6, Section 6-I.B, for the
policy on “Caretakers for a Child.”
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3-I.D. Head of Household [24 CFR 5.504(b)]
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 cohead or
spouse.
PHA Policy
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.
3-I.E. Spouse, Co-head, and Other Adult
A family may have a spouse or cohead, but not both [HUD-50058 IB, p. 13].
Spouse means the marriage partner of the head of household.
PHA Policy
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.
A cohead 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.
PHA Policy
The PHA does not acknowledge coheads as a household member relation type. Instead, the
term “other adult” is used.
A family can have only one cohead.
PHA Policy
Minors who are emancipated under state law may be designated as a cohead.
Other adult means a family member, other than the head, spouse, or cohead, who is 18 years of age
or older. Foster adults and live-in aides are not considered other adults.
3-I.F. Dependent [24 CFR 5.603]
A dependent is a family member who is under 18 years of age or a person of any age who is a person
with a disability or a full-time student, except that the following persons can never be dependents:
the head of household, spouse, cohead, foster children/adults and live-in aides. Identifying each
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dependent in the family is important because each dependent qualifies the family for a dependent
allowance as described in Chapter 6.
Joint Custody of Dependents
PHA Policy
Dependents that are subject to a joint custody arrangement will be considered a member of
the family, if they live with the applicant or participant family 50 percent or more of the time.
When more than one applicant or participant 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, the PHA 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, school records, or other credible documentation acceptable to the PHA
3-I.G. Full-Time Student [24 CFR 5.603, HVC GB p. 5-29]
A full-time student (FTS) is a person who is attending school or vocational training on a full-time
basis. The time commitment or subject load that is needed to be full-time is defined by the
educational institution.
Identifying each FTS is important because (1) each family member that is an FTS, other than the
head, spouse, or cohead, qualifies the family for a dependent allowance and (2) the earned income of
such an FTS is treated differently from the income of other family members.
3-I.H. Elderly and Near-Elderly Persons, and Elderly Family [24 CFR 5.100 and 5.403]
Elderly Persons
An elderly person is a person who is at least 62 years of age.
Near-Elderly Persons
A near-elderly person is a person who is at least 50-61 years of age.
Elderly Family
An elderly family is one in which the head, spouse, cohead, or sole member is an elderly person.
Identifying elderly families is important because elderly families qualify for the elderly family
allowance as described in Chapter 6.
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3-I.I. Persons with Disabilities and Disabled Family [24 CFR 5.403]
Persons with Disabilities
Under the HCV program, special rules apply to persons with disabilities and to any family whose
head, spouse, or cohead is a person with disabilities. The technical definitions of individual with
handicaps and persons with disabilities are provided in Exhibit 3-1 at the end of this chapter. These
definitions are used for a number of purposes including ensuring that persons with disabilities are
not discriminated against based upon disability.
As discussed in Chapter 2, the PHA must make all aspects of the HCV program accessible to
persons with disabilities and consider reasonable accommodations when a person’s disability limits
their full access to the program or the PHA’s services.
Disabled Family
A disabled family is one in which the head, spouse, or cohead is a person with disabilities.
Identifying disabled families is important because these families qualify for the disabled family
allowance as described in Chapter 6.
Even though persons with drug or alcohol dependencies are considered persons with disabilities ,
this does not prevent the PHA from denying assistance for reasons related to alcohol and drug abuse
in accordance with the policies found in Part III of this chapter, or from terminating assistance in
accordance with the policies in Chapter 12.
3-I.J. Guests [24 CFR 5.100]
A guest is a person temporarily staying in the unit with the consent of a member of the household
who has expressed or implied authority to so consent on behalf of the tenant .
PHA Policy
The participant must receive written permission from the landlord to have any guest
temporarily stay in the unit. A copy of the written permission will be provided to the PHA.
With the landlord’s consent, a guest can remain in the assisted unit no longer than a total of
14 days in any 12-month period. Children who are subject to a joint custody arrangement or
for whom a family has visitation privileges, that are not included as a family member because
they live 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 in writing to this policy for valid reasons (e.g., care of a
relative recovering from a medical procedure is expected to last 30 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.
The family in tenancy that allows an unauthorized occupant to reside in their unit is not in
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compliance will be subject to termination of tenancy. Some examples of unauthorized
occupants include:
• Use of the unit address as the guest’s current residence for any purpose that is not
explicitly temporary or has the landlord’s consent shall be construed as permanent
residence.
• Persons that have joined the household without undergoing screening;
• Persons that stay in the unit beyond an authorized period; and
• A person (often a relative) that came to the unit as an extended visitor because the
resident needed support, for example, after a medical procedure but stayed on in the
unit beyond the time needed by the resident.
The burden of proof that the individual is a guest rests on the family. In the absence of such
proof, the individual will be considered an unauthorized member of the household and the
PHA will terminate assistance since prior approval was not requested for the addition.
3.I.K. Foster Children and Foster Adults
Foster adults are usually persons with disabilities, unrelated to the tenant family, who are unable to
live alone [24 CFR 5.609(c)(2)].
The term foster child is not specifically defined by the regulations.
Foster children and foster adults that are living with an applicant or who have been approved by the
PHA to live with a participant family are considered household members but not family members.
The income of foster children/adults is not counted in family annual income and foster
children/adults do not qualify for a dependent deduction [24 CFR 5.603 and HUD-50058 IB, p. 13].
PHA Policy
A foster child is a child that 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-term or long-term foster care arrangement with the custodial
agency.
A foster child or foster adult may be allowed to reside in the unit if their presence would not
result in a violation of HQS/UPCS-V space standards according to 24 CFR 982.401.
Children that are temporarily absent from the home as a result of placement in foster care are
discussed in Section 3-I.L.
3-I.L. Absent Family Members
Individuals may be absent from the family, either temporarily or permanently, for a variety of
reasons including educational activities, placement in foster care, employment, illness, incarceration,
and court order.
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Definitions of Temporarily and Permanently Absent
PHA Policy
Generally an individual who is or is expected to be absent from the assisted unit for less than
30 consecutive days or less is considered temporarily absent and continues to be considered a
family member. Generally an individual who is or is expected to be absent from the assisted
unit for more than 30 consecutive days is considered permanently absent and no longer a
family member. Exceptions to this general policy are discussed below.
Absent Students
PHA Policy
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 the PHA indicating that the student has established a separate household or the
family declares that the student has established a separate household.
Absences Due to Placement in Foster Care [24 CFR 5.403]
Children temporarily absent from the home as a result of placement in foster care are considered
members of the family.
PHA Policy
If a child has been placed in foster care, the PHA 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.
Absent Head, Spouse, or Cohead
PHA Policy
An employed head, spouse, or cohead absent from the unit up to a maximum of 180
consecutive days due to employment will continue to be considered a family member.
A head, spouse, or cohead who is absent from the unit because of a military deployment or
active service will continue to be considered a family member.
Family Members Permanently Confined for Medical Reasons [HCV GB, p. 5-22]
If a family member is confined to a nursing home or hospital on a permanent basis, that person is no
longer considered a family member and the income of that person is not counted [HCV GB, p. 5-22].
PHA Policy
The PHA will request verification of the family member’s permanent absence from a
responsible medical professional . If the responsible medical professional cannot provide a
determination, the person will be considered temporarily absent. If the family certifies that
the family member is confined on a permanent basis, they may present, and the PHA will
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consider, any additional documentation or evidence.
Return of Permanently Absent Family Members
PHA Policy
The family must request PHA approval for the return of any adult family members that the
PHA previously determined to be permanently absent. The individual is subject to the
eligibility and screening requirements discussed elsewhere in this chapter.
3-I.M. Live-In Aide
A live-in aide is a person who resides with one or more elderly persons, or near-elderly persons, or
persons with disabilities, and who: (1) is determined to be essential to the care and well-being of the
persons, (2) is not obligated for the support of the persons, and (3) would not be living in the unit
except to provide the necessary supportive services [24 CFR 5.403].
The PHA must approve a live-in aide if needed as a reasonable accommodation in accordance with
24 CFR 8, to make the program accessible to and usable by the family member with disabilities.
The live-in aide is not a family member.
The income of a live-in aide is not counted in the calculation of annual income for the family [24
CFR 5.609(c)(5)]. Relatives may be approved as live-in aides if they meet all of the criteria defining
a live-in aide. Because live-in aides are not family members, a relative who serves as a live-in aide
would not be considered a remaining member of a tenant family.
PHA Policy
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, near-
elderly, or disabled family member. For continued approval, the family must submit a new,
written request subject to PHA verification at each annual reexamination.
In addition, 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.
The PHA will not approve a particular person as a live-in aide, and may withdraw such approval
if [24 CFR 982.316(b)]:
(1) The person commits fraud, bribery or any other corrupt or criminal act in connection
with any federal housing program;
(2) The person commits drug-related criminal activity or violent criminal activity; or
(3) The person currently owes rent or other amounts to the PHA or to another PHA in
connection with Section 8 or public housing assistance under the 1937 Act.
The PHA will notify the family of its decision in writing within 10 business days of receiving
a request for a live-in aide, including all required documentation related to the request.
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Occasional, intermittent, multiple or rotating care givers typically do not reside in the unit and would
not qualify as live-in aides. Therefore, an additional bedroom should not be approved for a live-in
aide under these circumstances [PIH 2014-25].
PART II: BASIC ELIGIBILITY CRITERIA
3-II.A. Income Eligibility and Targeting
Income Limits
HUD Establishes income limits for all areas of the country and publishes them annually in the
Federal Register. They are based upon estimates of median family income with adjustments for
family size. The income limits are used to determine eligibility for the program and for income
targeting purposes as discussed in this section.
Definitions of the Income Limit [24 CFR 5.603(b)]
Low-income family. A family whose annual income does not exceed 80 percent of the median
income for the area, adjusted for family size.
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.
Extremely low-income family. A family whose annual income does not exceed the higher of 30
percent of the median income or the federal poverty level.
Area median income is determined by HUD, with adjustments for smaller and larger families.
HUD may establish income ceilings higher or lower than 30, 50, or 80 percent of the median
income for an area if HUD finds that such variations are necessary because of unusually high or
low family incomes.
HUD also publishes over-income limits annually, but these are not used at admission. Over-income
limits will be discussed in Chapter 13.
Using Income Limits for Eligibility [24 CFR 982.201]
Income limits are used for eligibility only at admission. Income eligibility is determined by
comparing the annual income of an applicant to the applicable income limit for their family size. In
order to be income eligible, an applicant family must be one of the following:
• A very low-income family
• A low-income family that has been "continuously assisted" under the 1937 Housing Act. A
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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
[24 CFR 982.4]
PHA Policy
The PHA will consider a family to be continuously assisted if the family was leasing a unit
under any 1937 Housing Act program at the time they were selected from the PHA’s waiting
list.
• A low-income family that qualifies for voucher assistance as a non-purchasing household
living in HOPE 1 (public housing homeownership), HOPE 2 (multifamily housing
homeownership) developments, or other HUD-assisted multifamily homeownership
programs covered by 24 CFR 248.173
• 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 CFR 248.101
HUD permits the PHA to establish additional categories of low-income families that may be
determined eligible. The additional categories must be consistent with the PHA plan and the
consolidated plans for local governments within the PHA’s jurisdiction.
PHA Policy
The PHA has not established any additional categories of eligible low-income families.
Using Income Limits for Targeting [24 CFR 982.201]
At least 75 percent of the families admitted to the PHA's program during a PHA fiscal year must be
extremely low-income families. HUD may approve exceptions to this requirement if the PHA
demonstrates that it has made all required efforts, but has been unable to attract an adequate number
of qualified extremely low-income families.
Families continuously assisted under the 1937 Housing Act and families living in eligible low-
income housing that are displaced as a result of prepayment of a mortgage or voluntary termination
of a mortgage insurance contract are not counted for income targeting purposes.
3-II.B. Citizenship or Eligible Immigration Status [24 CFR 5, Subpart E]
Housing assistance is available only to individuals who are U.S. citizens, U.S. nationals (herein
referred to as citizens and nationals), or noncitizens that have eligible immigration status. At least
one family member must be a citizen, national, or noncitizen with eligible immigration status in
order for the family to qualify for any level of assistance.
All applicant families must be notified of the requirement to submit evidence of their citizenship
status when they apply. Where feasible, and in accordance with the PHA’s Limited English
Proficiency Plan, the notice must be in a language that is understood by the individual if the
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individual is not proficient in English.
Declaration [24 CFR 5.508]
HUD requires each family member to declare whether the individual is a citizen, a national, or an
eligible noncitizen, except those members who elect not to contend that they have eligible
immigration status. Those who elect not to contend their status are considered to be ineligible
noncitizens. For citizens, nationals and eligible noncitizens the declaration must be signed personally
by the head, spouse, cohead, and any other family member 18 or older, and by a parent or guardian
for minors. The family must identify in writing any family members who elect not to contend their
immigration status (see Ineligible Noncitizens below). No declaration is required for live-in aides,
foster children, or foster adults.
U.S. Citizens and Nationals
In general, citizens and nationals are required to submit only a signed declaration as verification of
their status. However, HUD regulations permit the PHA to request additional documentation of their
status, such as a passport.
PHA Policy
Family members who declare citizenship or national status will not be required to provide
additional documentation unless the PHA receives information indicating that an individual’s
declaration may not be accurate.
Eligible Noncitizens
In addition to providing a signed declaration, those declaring eligible noncitizen status must sign a
verification consent form and cooperate with PHA efforts to verify their immigration status as
described in Chapter 7. 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 141 of the
Compacts of Free Association between the U.S. Government and the Governments of the FAS [Public
Law 106-504].
Ineligible Noncitizens
Those noncitizens who do not wish to contend their immigration status are required to have their
names listed on a non-contending family members listing, signed by the head, spouse, or cohead
(regardless of citizenship status), indicating their ineligible immigration status. The PHA is not
required to 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 noncitizen students is prohibited [24 CFR 5.522]. This prohibition
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extends to the noncitizen spouse of a noncitizen student as well as to minor children who accompany
or follow to join the noncitizen student. Such prohibition does not extend to the citizen spouse of a
noncitizen student or to the children of the citizen spouse and noncitizen student. Such a family is
eligible for prorated assistance as a mixed family.
Mixed Families
A family is eligible for assistance as long as at least one member is a citizen, national, or eligible
noncitizen. Families that include eligible and ineligible individuals are considered mixed families.
Such families will be given notice that their assistance will be prorated, and that they may request a
hearing if they contest this determination. See Chapter 6 for a discussion of how rents are prorated,
and Chapter 16 for a discussion of informal hearing procedures.
Ineligible Families [24 CFR 5.514(d), (e), and (f)]
A PHA may elect to provide assistance to a family before the verification of the eligibility of the
individual or one family member [24 CFR 5.512(b)]. Otherwise, no individual or family may be
assisted prior to the affirmative establishment by the PHA that the individual or at least one family
member is eligible [24 CFR 5.512(a)].
PHA Policy
The PHA will not provide assistance to a family before the verification of at least one family
member.
When a PHA determines that an applicant family does not include any citizens, nationals, or
eligible noncitizens, following the verification process, the family will be sent a written
notice within 10 business days of the determination.
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 the PHA. The informal hearing with the PHA may be requested in lieu of the
USCIS appeal, or at the conclusion of the USCIS appeal process. The notice must 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.
Informal hearing procedures are contained in Chapter 16.
Timeframe for Determination of Citizenship Status [24 CFR 5.508(g)]
For new occupants joining the assisted family the PHA must verify status at the first interim or
regular reexamination following the person’s occupancy, whichever comes first.
If an individual qualifies for a time extension for the submission of required documents, the PHA
must grant such an extension for no more than 30 days [24 CFR 5.508(h)].
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Each family member is required to submit evidence of eligible status only one time during
continuous occupancy.
PHA Policy
The PHA will verify the citizenship status of applicants at the time other eligibility factors
are determined.
3-II.C. Social Security Numbers [24 CFR 5.216 and 5.218Notice PIH 2018-24]
The applicant and all members of the applicant’s household must disclose the complete and accurate
social security number (SSN) assigned to each household member, and the documentation necessary
to verify each SSN. If a child under age 6 has been added to an applicant family within 6 months
prior to voucher issuance, an otherwise eligible family may be admitted to the program and must
disclose and document the child’s SSN within 90 days of the effective date of the initial HAP
contract. A detailed discussion of acceptable documentation is provided in Chapter 7.
Note: These requirements do not apply to noncitizens who do not contend eligible immigration
status.
In addition, each participant who has not previously disclosed an SSN, has previously disclosed an
SSN that HUD or the SSA determined was invalid, or has been issued a new SSN must submit their
complete and accurate SSN and the documentation required to verify the SSN at the time of the next
interim or annual reexamination or recertification. Participants age 62 or older as of January 31,
2010, whose determination of eligibility was begun before January 31, 2010, are exempt from this
requirement and remain exempt even if they move to a new assisted unit.
The PHA must deny assistance to an applicant family if they do not meet the SSN disclosure and
documentation requirements contained in 24 CFR 5.216.
3-II.D. Family Consent to Release of Information [24 CFR 5.230, HCV GB, p. 5-13]
HUD requires each adult family member, and the head of household, spouse, or cohead, regardless
of age, to sign form HUD-9886, Authorization for the Release of Information/Privacy Act Notice,
and other consent forms as needed to collect information relevant to the family’s eligibility and level
of assistance. Chapter 7 provides detailed information concerning the consent forms and verification
requirements.
The PHA must deny admission to the program if any member of the applicant family fails to sign
and submit the consent forms for obtaining information in accordance with 24 CFR 5, Subparts B
and F [24 CFR 982.552(b)(3)].
3-II.E. Students Enrolled in Institutions of Higher Education [24 CFR 5.612 and FR Notice
4/10/06 FR Notice 09/21/16]
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
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institutions of higher education.
If a student enrolled at an institution of higher education is under the age of 24, is not a veteran, is
not married, and does not have a dependent child, 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 PHA 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.
Definitions
In determining whether and how the new eligibility restrictions apply to a student, the PHA will rely
on the following definitions [FR Notice 4/10/06, p. 18148 FR Notice 9/21/16].
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 is a
person with a disability, or is a full-time student. Foster children and foster adults are not considered
dependents.
Independent Student
PHA Policy
The PHA will consider a student “independent” from his or her parents and the parents’ income will
not be considered when determining the student’s eligibility if the following four criteria are all met:
The individual is of legal contract age under state law.
The individual has established a household separate from his/her parents for at least one year
prior to application for occupancy or the individual meets the U.S. Department of
Education’s definition of independent student.
To be considered an independent student according to the Department of Education, a student
must meet one or more of the following criteria:
• The individual is at least 24 years old by December 31 of the award year for which
aid is sought
• The individual is an orphan, in foster care, or a ward of the court , or was an
orphan, in foster care, or ward of the court at any time when the individual was 13
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years of age or 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 U.S. Armed Forces 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 married
• The individual has one or more legal dependents other than a spouse (for example,
dependent children or an elderly dependent parent)
• 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, or
as unaccompanied, at risk of homelessness, and self-supporting by:
-A local educational agency homeless liaison
-The director of a program funded under subtitle B of title IV of the McKinney-
Vento Homeless Assistance Act or a designee of the director
-A financial aid administrator
The individual was not claimed as a dependent by his/her parents pursuant to IRS
regulations, as demonstrated on the parents’ most recent tax forms.
The individual provides a certification of the amount of financial assistance that will be
provided by his/her parents. This certification must be signed by the individual providing the
support and must be submitted even if no assistance is being provided.
The PHA will verify that a student meets the above criteria in accordance with the policies in
Section 7-II.E.
Institution of Higher Education
The PHA 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 (see Exhibit 3-2).
Parents
PHA Policy
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).
Veteran
PHA Policy
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.
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Determining Student Eligibility
If a student is applying for assistance on his/her own, apart from his/her parents, the PHA 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, the PHA 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.
PHA Policy
For any student who is subject to the 5.612 restrictions, the PHA 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 the PHA determines that the student, the student’s parents (if applicable), or the student’s
“family” is not eligible, the PHA will send a notice of denial in accordance with the policies
in Section 3-III.F, and the applicant family will have the right to request an informal review
in accordance with the policies in Section 16-III.B.
Determining Parental Income Eligibility
PHA Policy
For any student who is subject to the 5.612 restrictions and who does not satisfy the
definition of independent student in this section, the PHA will determine the income
eligibility of the student’s parents as follows:
If the student’s parents are married and living together, the PHA will obtain a joint
income declaration and certification of joint income from the parents.
If the student’s parent is widowed or single, the PHA will obtain an income
declaration and certification of income from that parent.
If the student’s parents are divorced or separated, the PHA 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, the PHA 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. The PHA will then obtain an income declaration and certification of income
from the parent with whom the student has been living or had contact.
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In determining the income eligibility of the student’s parents, the PHA will use the income
limits for the jurisdiction in which the parents live.
PART III: DENIAL OF ASSISTANCE
3-III.A. Overview
A family that does not meet the eligibility criteria discussed in Parts I and II, must be denied assistance.
In this section we will discuss other situations and circumstances in which denial of assistance is
mandatory for the PHA, and those in which denial of assistance is optional for the PHA.
While the regulations state that the PHA must prohibit admission for certain types of criminal activity and give the
PHA the option to deny for other types of previous criminal history, more recent HUD rules and OGC guidance must
also be taken into consideration when determining whether a particular individual’s criminal history merits denial of
admission.
When considering any denial of admission, PHAs may not use arrest records as the sole basis for the denial.
An individualized assessment of relevant mitigating information beyond that contained in an individual’s criminal
record is likely to have a less discriminatory effect than categorical exclusions that do not take such additional
information into account. Relevant individualized evidence might include the facts or circumstances surrounding the
criminal conduct; the age of the individual at the time of the conduct; evidence that the individual has maintained a
good tenant history before and/or after the criminal conduct; and evidence of rehabilitation efforts. By delaying
consideration of criminal history until after an individual’s financial and other qualifications are verified, a PHA may
be able to minimize any additional costs that might add to the applicant screening process. [4/4/2016 Office on
General Counsel Guidance on Application of Fair Housing Act standards to the Use of Criminal Records by Housing
Providers and Real Estate-Related Transactions]
Notice PIH 2015-19 does not completely exclude the review of arrest records in housing decisions. Although the fact
that an individual was arrested is not grounds to deny a housing opportunity, a record of an arrest might properly
trigger an inquiry by a PHA or owner into whether a person actually engaged in disqualifying criminal activity. As
part of such an inquiry, a PHA or owner may continue to obtain and review the police report, record of disposition of
any criminal charges, and other evidence associated with the arrest to inform its eligibility determination.
Forms of Denial [24 CFR 982.552(a)(2); HCV GB, p. 5-35]
Denial of assistance includes any of the following:
• Not placing the family's name on the waiting list
• Denying or withdrawing a voucher
• Not approving a request for tenancy or refusing to enter into a HAP contract
• Refusing to process a request for or to provide assistance under portability procedures
Prohibited Reasons for Denial of Program Assistance [24 CFR 982.202(b),24 CFR 5.2005(b)]
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HUD rules prohibit denial of program assistance to the program based on any of the
following criteria:
• Age, disability, race, color, religion, sex, or national origin. (See Chapter 2 for additional
information about fair housing and equal opportunity requirements.)
• Where a family lives prior to admission to the program
• Where the family will live with assistance under the program. Although eligibility is not
affected by where the family will live, there may be restrictions on the family's ability to
move outside the PHA's jurisdiction under portability. (See Chapter 10)
• Whether members of the family are unwed parents, recipients of public assistance, or
children born out of wedlock
• Whether the family includes children
• Whether a family decides to participate in a family self-sufficiency program
• Whether or not a qualified applicant has been a victim of domestic violence, dating violence,
sexual assault, or stalking if the applicant is otherwise qualified for assistance (see section 3-
III.G.)
3-III.B. Mandatory Denial of Assistance [24 CFR 982.553(a)]
HUD requires the PHA to deny assistance in the following cases:
• Any member of the household has been evicted from federally assisted housing in the last
three (3) years for drug-related criminal activity. HUD permits, but does not require, the
PHA to admit an otherwise-eligible family if the household member has completed a PHA-
approved drug rehabilitation program or the circumstances which led to eviction no longer
exist (e.g., the person involved in the criminal activity no longer lives in the household).
PHA Policy
The PHA will admit an otherwise-eligible family who was evicted from federally-
assisted housing within the past three (3) years for drug-related criminal activity, if
the PHA is able to verify that the household member who committed the crime, is no
longer living in the household.
• The PHA determines that any household member is currently engaged in the use of illegal
drugs.
PHA Policy
Currently engaged in is defined as any use of illegal drugs during the previous six
months.
• The PHA 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.
PHA Policy
The PHA will consider the use of a controlled substance or alcohol to be a pattern if
there is more than one incident during the previous six-6 months.
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In determining reasonable cause, the PHA will consider all credible evidence,
including but not limited to, any record of convictions, or evictions of household
members related to the use of illegal drugs or the abuse of alcohol. A conviction will
be given more weight than an arrest. A record or records of arrest will not be used as
the sole basis of determining reasonable cause. The PHA will also consider evidence
from treatment providers or community-based organizations providing services to
household members.
• Any household member has ever been convicted of drug-related criminal activity for the
production or manufacture of methamphetamine on the premises of federally assisted
housing
• Any household member is subject to a lifetime registration requirement under a state sex
offender registration program
State laws purporting to legalize medical marijuana directly conflict with the admission and
continued requirements of the Quality Housing and Work Responsibility Act of 1998 (“Public
Housing Reform Act”) and are thus subject to preemption. [September 24, 1999 HUD Letter Re:
Medical Use of Marijuana]
PHA Policy
The use, possession, or growing of marijuana by any household member on the premises of a
subsidized unit is grounds for termination of assistance. The “premises” includes, but is not
limited to, the interior and exterior of the subsidized unit, patio/balcony, sidewalks,
walkways, recreation areas/common areas, laundry room, parking lot, etc.).
Household members with a “medical marijuana card” are not exempt from this rule.
The use of marijuana may include smoking, edibles, or other forms of the drug.
3-III.C. Other Permitted Reasons for Denial of Assistance
HUD permits, but does not require the PHA to deny assistance for the reasons discussed in this
section.
Criminal Activity [24 CFR 982.553]
HUD permits, but does not require, the PHA to deny assistance if the PHA determines that any
household member is currently engaged in, or has engaged in during a reasonable time before the
family would receive assistance, certain types of criminal activity.
The PHA is responsible for screening family behavior and suitability for tenancy. In doing so, the
PHA may consider an applicant’s history of criminal activity involving crimes of physical violence
to persons or property and other criminal acts which would adversely affect the health, safety or
welfare of other tenants. The PHA does not screen for acceptability by a landlord.
Formatted: Indent: Left: 0.5", Right: 0.5"
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PHA Policy
If any household member is currently engaged in, or has engaged in any of the following
criminal activities, within the past three (3) years, the family will be denied assistance.
Drug-related criminal activity, 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 [24 CFR 5.100].
Violent criminal activity, defined by HUD as 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 [24 CFR
5.100].
Criminal activity that may threaten the health, safety, or right to peaceful enjoyment of the
premises by other residents or persons residing in the immediate vicinity; or
‘Immediate vicinity’ means within a three-block radius of the premises.
Criminal activity that may threaten the health or safety of property owners and management
staff, and persons performing contract administration functions or other responsibilities on
behalf of the PHA (including a PHA employee or a PHA contractor, subcontractor, or agent).
Criminal sexual conduct, including but not limited to sexual assault, incest, open and gross
lewdness, or child abuse.
Evidence of such criminal activity includes, but is not limited to:
• Any conviction for drug-related or violent criminal activity within the past three (3)
years.
• Records of arrests for drug-related or violent criminal activity within the past three
(3) years, although a record(s) of arrest(s) will not be used as the sole basis for the denial, or
proof that the applicant engaged in disqualifying criminal activity.
• Criminal activity that may threaten the health, safety, or right to peaceful enjoyment
of the premises by other residents or persons residing in the immediate vicinity; or
• Criminal activity that may threaten the health or safety of property owners and
management staff, and persons performing contract administration functions or other
responsibilities on behalf of the PHA (including a PHA employee or a PHA
contractor, subcontractor, or agent).
• Any record of eviction from public or privately-owned housing as a result of criminal
activity within the past (3) three years.
Examples of criminal activity includes, but not limited to:
• Loitering
• Criminal Trespassing
• Forgery
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• Identity Theft
• Discharge of Firearm
• Criminal Damage
• Indecent Exposure
• Theft against any government agency
• Disorderly Conduct
• Burglary
• Harassment
In making its decision to deny assistance, the PHA will consider the factors discussed in Section 3-
III.E. Upon consideration of such factors, the PHA may, on a case-by-case basis, decide not to deny
assistance.
Previous Behavior in Assisted Housing [24 CFR 982.552(c)]
HUD authorizes the PHA to deny assistance based on the family’s previous behavior in assisted
housing.
Per the alternative requirements listed in the Federal Register notice dated December 29, 2014,
PHAs are no longer permitted to deny assistance to a family because the family previously failed to
meet its obligations under the Family Self-Sufficiency (FSS) program [FR Notice 12/29/14].
PHA Policy
The PHA will deny assistance to an applicant family if:
The family does not provide information that the PHA or HUD determines is necessary in
the administration of the program.
The family does not provide complete and true information to the PHA.
Any family member has been evicted from federally assisted housing or abandoned the
federally assisted housing in the last five years.
Has a household member, regardless of age, who has been trespassed from a City of
Chandler Public Housing site during the last 12 months.
Any family member has committed fraud, bribery, or any other corrupt or criminal act in
connection with any federal housing program.
The family owes rent or other amounts to any PHA in connection with the HCV (aka
Section 8) program or other public housing assistance under the 1937 Act, unless the
family repays the full amount of the debt prior to being selected from the waiting list.
If the family has not reimbursed any PHA for amounts the PHA paid to an owner under a
HAP contract for rent, damages to the unit, or other amounts owed by the family under
the lease, unless the family repays the full amount of the debt prior to being selected from
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the waiting list.
The family has breached the terms of a repayment agreement entered into with the PHA,
unless the family repays the full amount of the debt covered in the repayment agreement
prior to being selected from the waiting list.
A family member has engaged in or threatened violent or abusive behavior toward PHA
personnel.
• Abusive or violent behavior towards PHA 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 deny assistance, the PHA will consider the factors discussed in
Section 3-III.E. Upon consideration of such factors, the PHA may, on a case-by-case
basis, decide not to deny assistance.
3-III.D. Screening
Screening for Eligibility
PHAs are authorized to obtain criminal conviction records from law enforcement agencies to screen
applicants for admission to the HCV program. This authority assists the PHA in complying with
HUD requirements and PHA policies to deny assistance to applicants who are engaging in or have
engaged in certain criminal activities. In order to obtain access to the records the PHA must require
every applicant family to submit a consent form signed by each adult household member [24 CFR
5.903].
PHA Policy
The PHA will perform a criminal background check through local law enforcement for every
adult household member. The PHA may not pass along to the applicant the costs of a
criminal records check.
If the results of the criminal background check indicate there may have been past criminal
activity, but the results are inconclusive, the PHA will request a fingerprint card and will
request information from the National Crime Information Center (NCIC).
PHAs are required to 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 the state where the housing is located, as well as in any other state where a household
member is known to have resided [24 CFR 982.553(a)(2)(i)].
PHA Policy
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The PHA will use the Dru Sjodin National Sex Offender database to screen applicants
for admission.
Additionally, PHAs must ask whether the applicant, or any member of the applicant’s household, is
subject to a lifetime registered sex offender registration requirement in any state [Notice PIH 2012-
28].
If the PHA proposes to deny assistance based on a criminal record or on lifetime sex offender
registration information, the PHA must notify the household of the proposed action and must
provide the subject of the record and the applicant a copy of the record and an opportunity to dispute
the accuracy and relevance of the information prior to a denial of admission. [24 CFR 5.903(f) and
5.905(d)].
Screening for Suitability as a Tenant [24 CFR 982.307]
The PHA has no liability or responsibility to the owner for the family’s behavior or suitability for
tenancy. The PHA has the authority to conduct additional screening to determine whether an
applicant is likely to be a suitable tenant.
PHA Policy
The PHA will not conduct additional screening to determine an applicant family’s suitability
for tenancy.
The owner is responsible for screening and selection of the family to occupy the owner’s unit. The
PHA must inform the owner that screening and selection for tenancy is the responsibility of the
owner. An owner may consider a family’s history with respect to factors such as: payment of rent
and utilities, caring for a unit and premises, respecting the rights of other residents to the peaceful
enjoyment of their housing, criminal activity that is a threat to the health, safety or property of
others, and compliance with other essential conditions of tenancy.
HUD requires the PHA to provide prospective owners with the family's current and prior address (as
shown in PHA records) and the name and address (if known) of the owner at the family's current and
prior addresses. HUD permits the PHA to provide owners with additional information, as long as
families are notified that the information will be provided, and the same type of information is
provided to all owners.
The PHA may not disclose to the owner any confidential information provided to the PHA by the
family in response to a PHA request for documentation of domestic violence, dating violence, sexual
assault, or stalking except at the written request or with the written consent of the individual
providing the documentation [24 CFR 5.2007(a)(4)].
PHA Policy
The PHA will inform owners of their responsibility to screen prospective tenants, and will
provide owners with the required known name and address information, and at the time of
the initial HQS/UPCS-V inspection or before. The PHA will not provide any additional
information to the owner, such as tenancy history or criminal history.
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3-III.E. Criteria for Deciding to Deny Assistance
Evidence
The fact that an applicant or tenant was arrested for a disqualifying offense shall not be
treated or regarded as proof that the applicant or tenant engaged in disqualifying criminal
activity. The arrest may, however, trigger an investigation to determine whether the applicant
or tenant actually engaged in disqualifying criminal activity. As part of its investigation,
CHRD may obtain the police report associated with the arrest and consider the reported
circumstances of the arrest. CCHRD may also consider any statements made by witnesses or
the applicant or tenant not included in the police report; whether criminal charges were filed;
whether, if filed, criminal charges were abandoned, dismissed, not prosecuted, or ultimately
resulted in an acquittal; and any other evidence relevant to determining whether or not the
applicant or tenant engaged in disqualifying activity. [PIH Notice 2015-19]
Consideration of Circumstances [24 CFR 982.552(c)(2)]
HUD authorizes the PHA to consider all relevant circumstances when deciding whether to deny
assistance based on a family’s past history except in the situations for which denial of assistance is
mandatory (see Section 3-III.B).
PHA Policy
The PHA will consider the following facts and circumstances prior to making its decision:
The seriousness of the case, especially with respect to how it would affect other
residents’ safety or property.
The effects that denial of assistance may have on other members of the family who were
not involved in the action or failure to act.
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 (as
discussed further in section 3-III.G) a victim of domestic violence, dating violence,
sexual assault, or stalking.
The length of time since the violation occurred, including the age of the individual at the
time of the conduct, as well as the family’s recent history and the likelihood of favorable
conduct in the future.
• While a record(s) of arrest(s) will not be used as the sole basis for denial, an arrest may,
however, trigger an investigation to determine whether the applicant actually engaged in
disqualifying criminal activity. As part of its investigation, the PHA may obtain the
police report associated with the arrest and consider the reported circumstances of the
arrest. The PHA may also consider:
-
Any statements made by witnesses or the applicant not included in the police report
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-
Whether criminal charges were filed
-
Whether, if filed, criminal charges were abandoned, dismissed, not prosecuted, or
ultimately resulted in an acquittal
-
Any other evidence relevant to determining whether or not the applicant engaged in
disqualifying activity
• Evidence of the applicant family’s participation in or willingness to participate in social
service or other appropriate counseling service programs
• Evidence of criminal conduct will be considered if it indicates a demonstrable risk to
safety and/or property.
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.
- The PHA 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 otherwise having been
rehabilitated successfully.
Removal of a Family Member's Name from the Application [24 CFR 982.552(c)(2)(ii)]
Should the PHA’s screening process reveal that an applicant’s household includes an individual
subject to state lifetime registered sex offender registration, the PHA must offer the family the
opportunity to remove the ineligible family member from the household. If the family is unwilling to
remove that individual from the household, the PHA must deny admission to the family [Notice PIH
2012-28].
For other criminal activity, the PHA may permit the family to exclude the culpable family members
as a condition of eligibility.[24 CFR 982.552(c)(2)(ii)].
PHA Policy
As a condition of receiving assistance, a family may agree to remove 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, stay as a guest, or reside in the assisted unit.
After admission to the program, the family must present evidence of the former family
member’s current address upon PHA request.
Reasonable Accommodation [24 CFR 982.552(c)(2)(iv)]
If the family includes a person with disabilities, the PHA’s decision concerning denial of admission
is subject to consideration of reasonable accommodation in accordance with 24 CFR Part 8.
PHA Policy
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If the family indicates that the behavior of a family member with a disability is the reason for
the proposed denial of assistance, the PHA will determine whether the behavior is related to
the stated disability. If so, upon the family’s request, the PHA will determine whether
admitting the family as a reasonable accommodation is appropriate. The PHA will only
consider accommodations that can reasonably be expected to address the behavior that is the
basis of the proposed denial of assistance. See Chapter 2 for a discussion of reasonable
accommodation.
3-III.F. Notice of Eligibility or Denial
If the family is eligible for assistance, the PHA will notify the family in writing and schedule a
tenant briefing, as discussed in Chapter 5.
If the PHA determines that a family is not eligible for the program for any reason, the family must be
notified promptly. The notice must describe: (1) the reasons for which assistance has been denied,
(2) the family’s right to an informal review, and (3) the process for obtaining the informal review [24
CFR 982.554 (a)]. See Chapter 16, for informal review policies and procedures.
PHA Policy
The family will be notified of a decision to deny assistance in writing within 10 business
days of the determination.
If a PHA uses a criminal record or sex offender registration information obtained under 24 CFR 5,
Subpart J, as the basis of a denial, a copy of the record must precede the notice to deny, with an
opportunity for the applicant to dispute the accuracy and relevance of the information before the
PHA can move to deny the application. In addition, a copy of the record must be provided to the
subject of the record [24 CFR 5.903(f) and 5.905(d)].
The PHA must give the family an opportunity to dispute the accuracy and relevance of that record,
in the informal review process in accordance with program requirements [24 CFR 982.553(d)].
PHA Policy
If based on a criminal record or sex offender registration information, an applicant family
appears to be ineligible the PHA will notify the family in writing of the proposed denial and
provide the applicant family and the subject of the record an opportunity to review the
record. The family will be given 10 business days to dispute the accuracy and relevance of
the information. If the family does not contact the PHA to dispute the information within that
period, the PHA will proceed with issuing the notice of 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.
Notice requirements related to denying assistance to noncitizens are contained in Section 3-II.B.
Notice policies related to denying admission to applicants who may be victims of domestic violence,
dating violence, sexual assault, or stalking are contained in Section 3-III.G.
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3-III.G. Prohibition Against Denial of Assistance to Victims of Domestic Violence,
Dating Violence, Sexual Assault, and Stalking
The Violence Against Women Reauthorization Act of 2013 (VAWA) and the HUD regulation at 24 CFR
5.2005(b) prohibits PHAs from denying an applicant admission to the HCV program “on the basis or as
a direct result of the fact that the applicant is or has been a victim of domestic violence, dating violence,
sexual assault, or stalking, if the applicant otherwise qualifies for assistance or admission.”
Definitions of key terms used in VAWA are provided in section 16-IX of this plan, where general
VAWA requirements and policies pertaining to notification, documentation, and confidentiality are
also located.
Notification
VAWA 2013 expanded notification requirements to include the obligation for PHAs to provide
applicants who are denied assistance with a VAWA Notice of Occupancy Rights (form HUD-5380)
and a domestic violence certification form (HUD-5382) at the time the applicant is denied.
PHA Policy
The PHA acknowledges that a victim of domestic violence, dating violence, sexual assault,
or stalking may have an unfavorable history (e.g., a poor credit history, poor rental history, a
record of previous damage to an apartment, a prior arrest record) due to adverse factors that
would warrant denial under the PHA’s policies.
While the PHA is not required to identify whether adverse factors that resulted in the
applicant’s denial are a result of domestic violence, dating violence, sexual assault, or
stalking, the applicant may inform the PHA that their status as a victim is directly related to
the grounds for the denial. The PHA will request that the applicant provide enough
information to the PHA to allow the PHA to make an objectively reasonable determination,
based on all circumstances, whether the adverse factor is a direct result of their status as a
victim.
The PHA will include in its notice of denial the VAWA information described in section 16-
IX.C of this plan as well as including a copy of the form HUD-5382. The PHA will request
in writing that an applicant wishing to claim protection under VAWA notify the PHA within
14 business days.
Documentation
Victim Documentation [24 CFR 5.2007]
PHA Policy
If an applicant claims the protection against denial of assistance that VAWA provides
to victims of domestic violence, dating violence, sexual assault, or stalking, the PHA
will request in writing that the applicant provide documentation supporting the claim
in accordance with section 16-IX.D of this plan.
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Perpetrator Documentation
PHA Policy
If the perpetrator of the abuse is a member of the applicant family, the applicant must
provide additional documentation consisting of one of the following:
• A signed statement (1) requesting that the perpetrator be removed from the
application and (2) certifying that the perpetrator will not be permitted to visit or
to stay as a guest in the assisted unit.
• 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 service provider or by a medical or
other knowledgeable professional from whom the perpetrator has sought or is
receiving assistance in addressing the abuse. The signer must attest under penalty
of perjury to his or her belief that the rehabilitation was successfully completed or
is progressing successfully. The victim and perpetrator must also sign or attest to
the documentation.
PHA Confidentiality Requirements [24 CFR 5.2007(a)(1)(v)]
All information provided to the PHA regarding domestic violence, dating violence, sexual assault, or
stalking, including the fact that an individual is a victim of such violence or stalking, must be
retained in confidence and may neither be entered into any shared database nor provided to any
related entity, except to the extent that the disclosure (a) is requested or consented to by the
individual in writing, (b) is required for use in an eviction proceeding, or (c) is otherwise required by
applicable law.
EXHIBIT 3-1: Detailed Definitions Related to Disabilities
Person with Disabilities [24 CFR 5.403]
The term person with disabilities means a person who has any of the following types of conditions:
• Has a disability, as defined in 42 U.S.C. Section 423(d)(1)(A), which reads:
o Inability to engage in any substantial gainful activity by reason of any medically
determinable physical or mental impairment which can be expected to result in death or
which has lasted or can be expected to last for a continuous period of not less than 12
months; or
o In the case of an individual who has attained the age of 55 and is blind (within the
meaning of “blindness” as defined in section 416(i)(1) of this title), inability by reason of
such blindness to engage in substantial gainful activity, requiring skills or ability
comparable to those of any gainful activity in which he has previously engaged with
some regularity and over a substantial period of time.
• Has a developmental disability as defined in the Developmental Disabilities Assistance and
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Bill of Rights Act of 2000 [42 U.S.C.15002(8)], which defines developmental disability in
functional terms as follows:
(A) In General
The term “developmental disability” means a severe, chronic disability of an individual that:
(i) is attributable to a mental or physical impairment or combination of mental and
physical impairments;
(ii) is manifested before the individual attains age 22;
(iii) is likely to continue indefinitely;
(iv) results in substantial functional limitations in 3 or more of the following areas of
major life activity: (I) Self-care, (II) Receptive and expressive language, (III)
Learning, (IV) Mobility, (V) Self-direction, (VI) Capacity for independent living,
(VII) Economic self-sufficiency; and
(v) reflects the individual’s need for a combination and sequence of special,
interdisciplinary, or generic services, individualized supports, or other forms of
assistance that are of lifelong or extended duration and are individually planned and
coordinated.
(B) Infants and Young Children
An individual from birth to age 9, inclusive, who has a substantial developmental delay or
specific congenital or acquired condition, may be considered to have a developmental
disability without meeting 3 or more of the criteria described in clauses (i) through (v) of
subparagraph (A) if the individual, without services and supports, has a high probability of
meeting those criteria later in life.
• Has a physical, mental, or emotional impairment that is expected to be of long-continued
and indefinite duration; substantially impedes his or her ability to live independently, and
is of such a nature that the ability to live independently could be improved by more
suitable housing conditions.
People with the acquired immunodeficiency syndrome (AIDS) or any conditions arising from the
etiologic agent for AIDS are not excluded from this definition.
A person whose disability is based solely on any drug or alcohol dependence does not qualify as a
person with disabilities for the purposes of this program.
For purposes of reasonable accommodation and program accessibility for persons with disabilities,
the term person with disabilities refers to an individual with handicaps.
Individual with Handicaps [24 CFR 8.3]
Individual with handicaps means any person who has a physical or mental impairment that
substantially limits one or more major life activities; has a record of such an impairment; or is
regarded as having such an impairment. The term does not include any individual who is an
alcoholic or drug abuser whose current use of alcohol or drugs prevents the individual from
participating in the program or activity in question, or whose participation, by reason of such current
alcohol or drug abuse, would constitute a direct threat to property or the safety of others. As used in
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this definition, the phrase:
(1) Physical or mental impairment includes:
(a) Any physiological disorder or condition, cosmetic 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
(b) 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.
(2) Major life activities means functions such as caring for one's self, performing manual tasks,
walking, seeing, hearing, speaking, breathing, learning and working.
(3) Has a record of such an impairment means has a history of, or has been misclassified as having, a
mental or physical impairment that substantially limits one or more major life activities.
(4) Is regarded as having an impairment means:
(a) Has a physical or mental impairment that does not substantially limit one or more major life
activities but that is treated by a recipient as constituting such a limitation;
(b) 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 such impairment; or
(c) Has none of the impairments defined in paragraph (1) of this section but is treated by a
recipient as having such an impairment.
EXHIBIT 3-2: Definition of Institution of Higher Education
[20 U.S.C. 1001 and 1002]
Eligibility of Students for Assisted Housing Under Section 8 of the U.S. Housing Act of 1937;
Supplementary Guidance; Notice [Federal Register, April 10, 2006]
Institution of Higher Education shall have the meaning given this term in the Higher Education Act
of 1965 in 20 U.S.C. 1001 and 1002.
Definition of ‘‘Institution of Higher Education’’ From 20 U.S.C. 1001
(a) Institution of higher education. For purposes of this chapter, other than subchapter IV and part C
of subchapter I of chapter 34 of Title 42, the term ‘‘institution of higher education’’ means an
educational institution in any State that
(1) Admits as regular students only persons having a certificate of graduation from a school
providing secondary education, or the recognized equivalent of such a certificate;
(2) Is legally authorized within such State to provide a program of education beyond secondary
education;
(3) Provides an educational program for which the institution awards a bachelor’s degree or
provides not less than a 2-year program that is acceptable for full credit toward such a
degree;
(4) Is a public or other nonprofit institution; and
(5) Is accredited by a nationally recognized accrediting agency or association, or if not so
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accredited, is an institution that has been granted preaccreditation status by such an agency or
association that has been recognized by the Secretary for the granting of preaccreditation
status, and the Secretary has determined that there is satisfactory assurance that the institution
will meet the accreditation standards of such an agency or association within a reasonable
time.
(b) Additional institutions included. For purposes of this chapter, other than subchapter IV and part
C of subchapter I of chapter 34 of Title 42, the term ‘‘institution of higher education’’ also
includes—
(1) Any school that provides not less than a 1-year program of training to prepare students for
gainful employment in a recognized occupation and that meets the provision of paragraphs
(1), (2), (4), and (5) of subsection (a) of this section; and
(2) A public or nonprofit private educational institution in any State that, in lieu of the
requirement in subsection (a)(1) of this section, admits as regular students persons who are
beyond the age of compulsory school attendance in the State in which the institution is
located.
(c) List of accrediting agencies. For purposes of this section and section 1002 of this title, the
Secretary shall publish a list of nationally recognized accrediting agencies or associations that
the Secretary determines, pursuant to subpart 2 of part G of subchapter IV of this chapter, to be
reliable authority as to the quality of the education or training offered.
Definition of ‘‘Institution of Higher Education’’ From 20 U.S.C. 1002
(a) Definition of institution of higher education for purposes of student assistance programs
(1) Inclusion of additional institutions. Subject to paragraphs (2) through (4) of this subsection,
the term ‘‘institution of higher education’’ for purposes of subchapter IV of this chapter and
part C of subchapter I of chapter 34 of title 42 includes, in addition to the institutions covered
by the definition in section 1001 of this title—
(A) A proprietary institution of higher education (as defined in subsection (b) of this section);
(B) A postsecondary vocational institution (as defined in subsection (c) of this section); and
(C) Only for the purposes of part B of subchapter IV of this chapter, an institution outside the
United States that is comparable to an institution of higher education as defined in section
1001 of this title and that has been approved by the Secretary for the purpose of part B of
subchapter IV of this chapter.
(2) Institutions outside the United States
(A) In general. For the purpose of qualifying as an institution under paragraph (1)(C), the
Secretary shall establish criteria by regulation for the approval of institutions outside the
United States and for the determination that such institutions are comparable to an
institution of higher education as defined in section 1001 of this title (except that a
graduate medical school, or a veterinary school, located outside the United States shall
not be required to meet the requirements of section 1001 (a)(4) of this title). Such criteria
shall include a requirement that a student attending such school outside the United States
is ineligible for loans made, insured, or guaranteed under part B of subchapter IV of this
chapter unless—
(i) In the case of a graduate medical school located outside the United States—
(I)(aa) At least 60 percent of those enrolled in, and at least 60 percent of the graduates
of, the graduate medical school outside the United States were not persons
described in section 1091(a)(5) of this title in the year preceding the year for
which a student is seeking a loan under part B of subchapter IV of this chapter;
and
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(bb) At least 60 percent of the individuals who were students or graduates of the
graduate medical school outside the United States or Canada (both nationals of
the United States and others) taking the examinations administered by the
Educational Commission for Foreign Medical Graduates received a passing score
in the year preceding the year for which a student is seeking a loan under part B
of subchapter IV of this chapter; or
(II) The institution has a clinical training program that was approved by a State as of
January 1, 1992; or
(ii) In the case of a veterinary school located outside the United States that does not meet
the requirements of section 1001(a)(4) of this title, the institution’s students complete
their clinical training at an approved veterinary school located in the United States.
(B) Advisory panel
(i) In general. For the purpose of qualifying as an institution under paragraph (1)(C) of
this subsection, the Secretary shall establish an advisory panel of medical experts that
shall—
(I) Evaluate the standards of accreditation applied to applicant foreign medical
schools; and
(II) Determine the comparability of those standards to standards for accreditation
applied to United States medical schools.
(ii) Special rule if the accreditation standards described in clause (i) are determined not to
be comparable, the foreign medical school shall be required to meet the requirements
of section 1001 of this title.
(C) Failure to release information. The failure of an institution outside the United States to
provide, release, or authorize release to the Secretary of such information as may be required
by subparagraph (A) shall render such institution ineligible for the purpose of part B of
subchapter IV of this chapter.
(D) Special rule. If, pursuant to this paragraph, an institution loses eligibility to participate in
the programs under subchapter IV of this chapter and part C of subchapter I of chapter 34
of title 42, then a student enrolled at such institution may, notwithstanding such loss of
eligibility, continue to be eligible to receive a loan under part B while attending such
institution for the academic year succeeding the academic year in which such loss of
eligibility occurred.
(3) Limitations based on course of study or enrollment. An institution shall not be considered to
meet the definition of an institution of higher education in paragraph (1) if such institution—
(A) Offers more than 50 percent of such institution’s courses by correspondence, unless the
institution is an institution that meets the definition in section 2471 (4)(C) of this title;
(B) Enrolls 50 percent or more of the institution’s students in correspondence courses, unless
the institution is an institution that meets the definition in such section, except that the
Secretary, at the request of such institution, may waive the applicability of this
subparagraph to such institution for good cause, as determined by the Secretary in the
case of an institution of higher education that provides a 2-or 4-year program of
instruction (or both) for which the institution awards an associate or baccalaureate
degree, respectively;
(C) Has a student enrollment in which more than 25 percent of the students are incarcerated,
except that the Secretary may waive the limitation contained in this subparagraph for a
nonprofit institution that provides a 2-or 4-year program of instruction (or both) for
which the institution awards a bachelor’s degree, or an associate’s degree or a
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postsecondary diploma, respectively; or
(D) Has a student enrollment in which more than 50 percent of the students do not have a
secondary school diploma or its recognized equivalent, and does not provide a 2-or 4-
year program of instruction (or both) for which the institution awards a bachelor’s degree
or an associate’s degree, respectively, except that the Secretary may waive the limitation
contained in this subparagraph if a nonprofit institution demonstrates to the satisfaction of
the Secretary that the institution exceeds such limitation because the institution serves,
through contracts with Federal, State, or local government agencies, significant numbers
of students who do not have a secondary school diploma or its recognized equivalent.
(4) Limitations based on management. An institution shall not be considered to meet the
definition of an institution of higher education in paragraph (1) if—
(A) The institution, or an affiliate of the institution that has the power, by contract or
ownership interest, to direct or cause the direction of the management or policies of the
institution, has filed for bankruptcy, except that this paragraph shall not apply to a
nonprofit institution, the primary function of which is to provide health care educational
services (or an affiliate of such an institution that has the power, by contract or ownership
interest, to direct or cause the direction of the institution’s management or policies) that
files for bankruptcy under chapter 11 of title 11 between July 1, 1998, and December 1,
1998; or
(B) The institution, the institution’s owner, or the institution’s chief executive officer
has been convicted of, or has pled nolo contendere or guilty to, a crime involving
the acquisition, use, or expenditure of funds under subchapter IV of this chapter
and part C of subchapter I of chapter 34 of title 42, or has been judicially
determined to have committed fraud involving funds under subchapter IV of this
chapter and part C of subchapter I of chapter 34 of title 42.
(5) Certification. The Secretary shall certify an institution’s qualification as an institution of
higher education in accordance with the requirements of subpart 3 of part G of subchapter IV
of this chapter.
(6) Loss of eligibility. An institution of higher education shall not be considered to meet the
definition of an institution of higher education in paragraph (1) if such institution is removed
from eligibility for funds under subchapter IV of this chapter and part C of subchapter I of
chapter 34 of title 42 as a result of an action pursuant to part G of subchapter IV of this
chapter.
(b) Proprietary institution of higher education
(1) Principal criteria. For the purpose of this section, the term ‘‘proprietary institution of higher
education’’ means a school that—
(A) Provides an eligible program of training to prepare students for gainful employment in a
recognized occupation;
(B) Meets the requirements of paragraphs (1) and (2) of section 1001 (a) of this title;
(C) Does not meet the requirement of paragraph (4) of section 1001 (a) of this title;
(D) Is accredited by a nationally recognized accrediting agency or association recognized by
the Secretary pursuant to part G of subchapter IV of this chapter;
(E) Has been in existence for at least 2 years; and
(F) Has at least 10 percent of the school’s revenues from sources that are not derived from
funds provided under subchapter IV of this chapter and part C of subchapter I of chapter
34 of title 42, as determined in accordance with regulations prescribed by the Secretary.
(2) Additional institutions. The term ‘‘proprietary institution of higher education’’ also includes
3-35
a proprietary educational institution in any State that, in lieu of the requirement in paragraph
(1) of section 1001 (a) of this title, admits as regular students persons who are beyond the age
of compulsory school attendance in the State in which the institution is located.
(c) Postsecondary vocational institution.
(1) Principal criteria. For the purpose of this section, the term ‘‘postsecondary vocational
institution’’ means a school that—
(A) Provides an eligible program of training to prepare students for gainful employment in a
recognized occupation;
(B) Meets the requirements of paragraphs (1), (2), (4), and (5) of section 1001 (a) of this title;
and
(C) Has been in existence for at least 2 years.
(2) Additional institutions. The term ‘‘postsecondary vocational institution’’ also includes an
educational institution in any State that, in lieu of the requirement in paragraph (1) of section
1001 (a) of this title, admits as regular students persons who are beyond the age of
compulsory school attendance in the State in which the institution is located.
4-1
Chapter 4
Applications, Waiting List, and Tenant Selection
Introduction
When a family wishes to receive assistance under the HCV program, the family must submit an
application that provides the PHA with the information needed to determine the family’s eligibility.
HUD requires the PHA to place all families that apply for assistance on a waiting list. When HCV
assistance becomes available, the PHA must select families from the waiting list in accordance with
HUD requirements and PHA policies as stated in the administrative plan and the annual plan.
The PHA 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. The actual order in which families are selected from the waiting list can be
affected if a family has certain characteristics designated by HUD or the PHA that justify their selection.
Examples of this are the selection of families for income targeting and the selection of families that
qualify for targeted funding.
HUD regulations require that all families have an equal opportunity to apply for and receive housing
assistance, and that the PHA affirmatively further fair housing goals in the administration of the program
[24 CFR 982.53, HCV GB p. 4-1]. Adherence to the selection policies described in this chapter ensures
that the PHA will be in compliance with all relevant fair housing requirements, as described in Chapter 2.
This chapter describes HUD and PHA policies for taking applications, managing the waiting list, and
selecting families for HCV assistance. The policies outlined in this chapter are organized into three
sections, as follows:
Part I: The Application Process. This part provides an overview of the application process, and
discusses how applicants can obtain and submit applications. It also specifies how the PHA will
handle the applications it receives.
Part II: Managing the Waiting List. This part presents the policies that govern how the PHA’s
waiting list is structured, when it is opened and closed, and how the public is notified of the
opportunity to apply for assistance. It also discusses the process the PHA will use to keep the
waiting list current.
Part III: Selection for HCV Assistance. This part describes the policies that guide the PHA in
selecting families for HCV assistance as such assistance becomes available. It also specifies how
in-person interviews will be used to ensure that the PHA has the information needed to make a
final eligibility determination.
PART I: THE APPLICATION PROCESS
4-I.A. Overview
4-2
This part describes the PHA policies for making applications available, accepting applications, making
preliminary determinations of eligibility, and the placement of applicants on the waiting list. This part also
describes the PHA’s obligation to ensure the accessibility of the application process to elderly persons,
people with disabilities, and people with limited English proficiency (LEP).
4-I.B. Applying for Assistance [HCV GB, pp. 4-11 – 4-16 Notice PIH 2009-36]
Any family that wishes to receive HCV assistance must apply for admission to the program. HUD permits
the PHA to determine the format and content of HCV applications, as well as how such applications will
be made available to interested families and how applications will be accepted by the PHA. The PHA
must include form HUD-92006, Supplement to Application for Federally Assisted Housing, as part of the
PHA’s application.
PHA Policy
Families wishing to apply will be required to complete a pre-application. No one will be denied the
right to request or submit a pre-application when the waitlist is open. The PHA will utilize an online
application process. Applicants may use any computer, tablet, or smart phone with internet access
to apply. Alternate formats will be available for Reasonable Accommodation. Alternate formats
may include requesting a pre-application for reasonable accommodation, modification, and auxiliary
aids or services by contacting the PHA office. Applicants may also submit a paper pre-application
by email, by fax, by telephone, or in person at the PHA office. The PHA will also strive to
accommodate those that may not have internet to access to a computer with availability at the
Chandler Public Libraries.
The PHA required two-step process will be used when it is expected that a family will not be
selected from the waiting list for at least 60 days from the date of application. Under the two-step
application process, the applicant must complete a pre-application.
During the Pre-Application process, the PHA initially will require families to provide only the
information needed to make an initial assessment of the family’s placement on the waitlist. The
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.
4-I.C. Accessibility of the Application Process
Elderly or Disabled Populations [24 CFR 8 and HCV GB, pp. 4-11 – 4-13]
The PHA must take steps to ensure that the application process is accessible to those people who might
have difficulty complying with the normal, standard PHA application process. This could include people
with disabilities, certain elderly individuals, as well as persons with limited English proficiency (LEP).
The PHA must provide a reasonable accommodation to accommodate the needs of individuals with
disabilities. The application-taking facility and the application process must be fully accessible, or the
PHA must provide an alternate approach that provides equal access to the application process. Chapter 2
provides a full discussion of the PHA’s policies related to providing reasonable accommodations for
people with disabilities.
Formatted: Add space between paragraphs of
the same style
4-3
The PHA will provide for alternate format pre-applications to the online application process for persons
requiring a reasonable accommodation that have been approved by the City of Chandler Housing and
Redevelopment Division.
Limited English Proficiency
PHAs are required to take reasonable steps to ensure equal access to their programs and activities by
persons with limited English proficiency [24 CFR 1]. Chapter 2 provides a full discussion on the PHA’s
policies related to ensuring access to people with limited English proficiency (LEP).
4-I.D. Placement on the Waiting List
The PHA must accept applications from families for whom the list is open unless there is good cause for
not accepting the application (such as denial of assistance) for the grounds stated in the regulations [24
CFR 982.206(b)(2)].
The PHA will accept applications only from approved methods. The PHA will not accept duplicate
applications for the same program.
Applications are placed on the waiting list based on information provided on the pre-application.
The PHA reserves the right to review applications for an initial assessment prior to placing on the waiting
list.
No applicant has a right or entitlement to be listed on the waiting list, or to any particular position on the
waiting list [24 CFR 982.202(c)].
PHA Policy
The PHA will utilize a random lottery selection for pre-application placement on the waitlist. All
interested persons are encouraged to apply. Once the waitlist closes, all accepted pre-applications
will be shuffled randomly through a computerized selection process and each pre-application will be
given a sequential waitlist number based on where their pre-application fell during the shuffle. The
sequential number will be the pre-application’s waitlist number. Because the PHA reserves the right
to limit the number of pre-applications placed on an established waitlist, only those pre-applications
with a waitlist number less than, or equal to, the pre-determined number of pre-applications, will be
placed on the waitlist and become part of the established waitlist. Those pre-applications with a
waitlist number greater than the pre-determined number of pre-applications to be placed on the
waitlist will be denied. (Note: Pre-applicants are encouraged to claim preferences for which they
qualify, but these will preferences will only be taken into consideration at the point when a pre-
applicant is selected from the waitlist to start the eligibility process. Pre-applicants with preferences
will be selected from an established waitlist before pre-applicants without preferences.)
Eligible for Placement on the Waiting List
PHA Policy
Only pre-applicants who submitted a completed pre-application prior to the deadline will be placed
4-4
on the list for selection in the random lottery selection process. The PHA reserves the right to select
from the pre-applicant list a pre-determined number of applicants pre-applications to move to the
waitlist.
For each public posting, the PHA will assess the needs at the time of the waitlist and the pre-
determined number of waitlist spots will be posted on the public notice.
Applicants will receive written notification through the mail via U.S. Postal Service that their pre-
application has been placed on the waitlist or that their pre-application has been denied, notification
will be done within 60 to 90 days of closing of the pre-application period.
Waitlist numbers will not be disclosed at any time while an applicant is on a waitlist. Applicants
may access their online account to determine if their application is still active, or they may make
inquiries at the housing office.
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.
The second phase is when the family is selected from the waiting list. This is called Eligibility,
during which time the PHA will verify any preference(s) claimed and determine eligibility and
suitability for admission to the program.
PART II: MANAGING THE WAITING LIST
4-II.A. Overview
The PHA 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 a PHA 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-II.B. Organization of the Waiting List [24 CFR 982.204 and 205]
The PHA’s HCV waiting list must be organized in such a manner to allow the PHA to accurately
identify and select families for assistance in the proper order, according to the admissions policies
described in this plan.
The waiting list must contain the following information for each applicant listed:
• Applicant name and identifying number of the head of household;
• Family unit size (family members), based on applicant information supplied on the pre-
4-5
application;
• Amount of annual income;
• Date and time of application/application number;
• Racial or ethnic designation of the head of household;
• Disabled or Elderly status of head of household;
• Preference points, based on applicant information supplied on the pre-application.
HUD requires the PHA to maintain a single waiting list for the HCV program unless it serves more than
one county or municipality. Such PHAs are permitted, but not required, to maintain a separate waiting
list for each county or municipality served.
PHA Policy
The PHA will maintain a single waiting list for the HCV program.
HUD directs that a family that applies for assistance from the HCV program must be offered the
opportunity to be placed on the waiting list for any public housing, project-based voucher or moderate
rehabilitation program the PHA operates if 1) the other programs’ waiting lists are open, and 2) the
family is qualified for the other programs.
HUD permits, but does not require PHAs maintain a single merged waiting list for their public housing,
Section 8, and other subsidized housing programs.
A family’s decision to apply for, receive, or refuse other housing assistance must not affect the family’s
placement on the HCV waiting list, or any preferences for which the family may qualify.
PHA Policy
The PHA will not merge the HCV waiting list with the waiting list for any other program the PHA
operates.
4-II.C. Opening and Closing the Waiting List [24 CFR 982.206]
Closing the Waiting List
A PHA is permitted to close the waiting list if it has an adequate pool of families to use its available HCV
assistance, or for administrative reasons. Alternatively, the PHA may elect to continue to accept
applications only from certain categories of families that meet particular preferences or funding criteria.
PHA Policy
The PHA will close the waiting list when the estimated waiting period for housing applicants on
the list reaches 24 months for the most current applicants, or the PHA will assess the needs at the
time of the waitlist and the pre-determined number of waitlist spots will be posted on the public
notice, or for administrative reasons. Where the PHA has particular preferences or other criteria
that require a specific category of family, the PHA may elect to continue to accept applications
from these applicants while closing the waiting list to others.
The PHA reserves the right to select from the applicant pool a pre-determined number of
applicants to move to the waitlist. For each posting, the PHA will assess the needs at the time of
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the waitlist and the pre-determined number of waitlist spots will be posted on the public notice.
Reopening the Waiting List
If the waiting list has been closed, it cannot be reopened until the PHA publishes a notice in local
newspapers of general circulation, minority media, and other suitable media outlets. The notice must
comply with HUD fair housing requirements and must specify who may apply, and where and when
applications will be received.
PHA Policy
The PHA 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.
The PHA will give public notice by publishing relevant information in suitable media outlets
including, but not limited to:
ChanWeb
Channel 11 Public
Service City Scope
East Valley Tribune
Local Social Service Agencies Arizona
Public Housing Authorities
La Voz
4-II.D. Family Outreach [HCV GB, pp. 4-2 to 4-4]
The PHA must conduct outreach as necessary to ensure that the PHA has a sufficient number of
applicants on the waiting list to use the HCV resources it has been allotted.
Because HUD requires the PHA to admit a specified percentage of extremely low-income families to the
program(see Chapter 4, Part III), the PHA may need to conduct special outreach to ensure that an adequate
number of such families apply for assistance [HCV GB, p. 4-20 to 4-21].
PHA 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
PHA outreach efforts must 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
4-7
• Developing partnerships with other organizations that serve similar populations,
including agencies that provide services for persons with disabilities
PHA Policy
The PHA will monitor the characteristics of the population being served and the
characteristics of the population as a whole in the PHA’s jurisdiction. Targeted
outreach efforts will be undertaken if a comparison suggests that certain populations
are being underserved.
4-II.E. Reporting Changes in Family Circumstances
PHA Policy
While the family is on the waiting list, the family must inform the PHA, within 10 business
days, of changes in family size or composition, preference status, or contact information,
including current residence, mailing address, and phone number. The changes must be
submitted in writing either through the applicant’s online account or on a Change Report
form. If using a Change Report form, the applicant copy of the form must be time and date
stamped by the City of Chandler Housing office to be considered valid. The copy of the
form will be provided to the participant.
Upon implementation of the online resident system, the family will be urged to use the
PHA website/online process for submitting Change Reports.
Changes in an applicant's circumstances while on the waiting list may affect the family's
entitlement to a preference. When an applicant reports a change that affects their
placement on the waiting list, the waiting list will be updated accordingly. Families with
preferences will be selected before families not claiming a preference.
4-II.F. Updating the Waiting List [24 CFR 982.204]
HUD requires the PHA to establish policies to use when removing applicant names from the waiting list.
Purging the Waiting List
The decision to remove 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 PHA request for information or
updates, and the PHA determines that the family did not respond because of the family member’s
disability, the PHA must reinstate the applicant family to their former position on the waiting list [24 CFR
982.204(c)(2)].
PHA Policy
The waiting list will be purged every other year to ensure that all applicant information is
current.
To update the waiting list, the PHA 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 the PHA has on record
4-8
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.
Families must respond via the online system on or before the due date or respond by mail as
indicated in the purge letter instructions. Responses should be postmarked or received by the
PHA not later than 14 business days from the date of the PHA letter.
If the family fails to respond within 14 business days, the family will be removed from the
waiting list and notice will be mailed to the last address of record or other address provided by
the applicant.
If the notice is returned by the post office with no forwarding address, the applicant will be
removed from the waiting list and a notice mailed to the last address of record or other address
provided by the applicant.
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 14 business days to respond from the date the letter
was re-sent. If the family fails to respond within this time frame, the family will be removed
from the waiting list and a notice mailed to the last address of record or other address provided
by the applicant.
When a family is removed from the waiting list during the update process for failure to respond, an
informal review may be offered. Such failures to act on the part of the applicant prevent the PHA
from making an eligibility determination..
If a family is removed from the waiting list for failure to respond, management may reinstate the
family if the lack of response was due to PHA error, or to circumstances beyond the family’s
control. If the lack of response was due to circumstances beyond the family’s control, the family
must provide a written statement outlining the issue and evidence to support the claim.
Removal from the Waiting List
PHA Policy
The PHA will remove an applicant from the waiting list upon written request by the applicant
family. In such cases no informal hearing is required.
If at any time an applicant family is on the waiting list, and the PHA determines that the
family is not eligible for assistance (see Chapter 3), the family will be removed from the
waiting list.
If a family is removed from the waiting list because the PHA 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 an informal review request. 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 the PHA’s decision (see Chapter 16) [24 CFR 982.201(f)].
4-9
The family will also be removed from the waiting list for failure to respond to a request for
information, such as during the purge process (see Section 4-II.F).
PART III: SELECTION FOR HCV ASSISTANCE
4-III.A. 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 are selected from the waiting list depends on the selection method chosen by
the PHA and is impacted in part by any selection preferences for which the family qualifies. The
availability of targeted funding also may affect the order in which families are selected from the waiting
list.
The PHA must maintain a clear record of all information required to verify that the family is selected from
the waiting list according to the PHA’s selection policies [24 CFR 982.204(b) and 982.207(e)].
4-III.B. Selection and HCV Funding Sources
Special Admissions [24 CFR 982.203]
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, the PHA may admit such families whether or not they are on the waiting list,
and, if they are on the waiting list, without considering the family’s position on the waiting list. These
families are considered non-waiting list selections. The PHA must maintain records showing that such
families were admitted with special program funding.
Targeted Funding [24 CFR 982.204(e)]
HUD may award a PHA funding for a specified category of families on the waiting list. The PHA must use
this funding only to assist the families within the specified category. In order to assist families within a
targeted funding category, the PHA may skip families that do not qualify within the targeted funding
category. Within this category of families, the order in which such families are assisted is determined
according to the policies provided in Section 4-III.C.
Regular HCV Funding
Regular HCV funding may be used to assist any eligible family on the waiting list. Families are
selected from the waiting list according to the policies provided in Section 4-III.C.
4-III.C. Selection Method
PHAs must describe the method for selecting applicant families from the waiting list, including the
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system of admission preferences that the PHA will use [982.202(d)].
Local Preferences [24 CFR 982.207; HCV p. 4-16]
PHAs are permitted to establish local preferences, and to give priority to serving families that meet those
criteria. HUD specifically authorizes and places restrictions on certain types of local preferences. HUD
also permits the PHA to establish other local preferences, at its discretion. Any local preferences
established must be consistent with the PHA plan and the consolidated plan, and must be based on local
housing needs and priorities that can be documented by generally accepted data sources.
These preferences will not have the purpose or effect of delaying or otherwise denying admission to the
program based on the race, color, ethnic origin, gender, religion, disability, or age of any member of an
applicant family.
PHA Policy
Families will be selected from the waitlist in numeric order, based on a family’s assigned
sequential waitlist number. Families with a preference will be selected before families without a
preference. Preferences will be calculated in a “lumping” order, whereby, a family with one
preference will have the same number of points as a family with multiple preferences.
The PHA uses the following Local Preferences:
A.
Displaced person(s): Individuals or families displaced by local government action or
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.
B.
Living or Working in Chandler: Applicant must physically live, work, or be hired to work
in the City of Chandler.
C.
Chronically Homeless: The following definition must be met. A chronically homeless
person as defined by the U.S. Department of HUD (24 CFR 578.3): (1) A “homeless
individual with a disability,” as defined in section 401(9) of the McKinney–Vento
Homeless Assistance Act (42 U.S.C. 11360(9)), who: (i) Lives in a place not meant for
human habitation, a safe haven, or in an emergency shelter; and ii) Has been homeless and
living as described in paragraph (1)(i) of this definition continuously for at least 12
months or on at least 4 separate occasions in the last 3 years, as long as the combined
occasions equal at least 12 months and each break in homelessness separating the
occasions included at least 7 consecutive nights of not living as described in paragraph
(1)(i). Stays in institutional care facilities for fewer than 90 days will not constitute as a
break in homelessness, but rather such stays are included in the 12–month total, as long as
the individual was living or residing in a place not meant for human habitation, a safe
haven, or an emergency shelter immediately before entering the institutional care facility;
(2) An individual who has been residing in an institutional care facility, including a jail,
substance abuse or mental health treatment facility, hospital, or other similar facility, for
fewer than 90 days and met all of the criteria in paragraph (1) of this definition, before
entering that facility; or (3) A family with an adult head of household (or if there is no
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adult in the family, a minor head of household) who meets all of the criteria in paragraph
(1) or (2) of this definition, including a family whose composition has fluctuated while the
head of household has been homeless.
D.
Currently Employed/Employment Program: Families whose Head, Spouse, or Sole Member
is employed. Applicants with an adult family member enrolled in an employment training
program or currently working (20) hours a week, or attending school on a full-time basis.
Working hours must be attributed to only one family member. Family members cannot
combine work hours.
E.
Elderly families where the head of household or spouse is at least 62+ years of age.
F.
Disabled families and families with a disabled household member.
The above preferences are not weighted and will be used in a “lumping” manner so as to allow an
applicant with one preference to have the same advantage as an applicant qualifying for all
preferences. Applicants are encouraged to claim as many preferences for which they qualify.
Verification of preferences will be conducted at the time of eligibility. Selected applicants going
through the eligibility process who have claimed preferences for which they do not qualify and
cannot verify will be returned to the waitlist and their pre-application will be updated with the
correct preference information.
Income Targeting Requirement [24 CFR 982.201(b)(2)]
HUD requires that extremely low-income (ELI) families make up at least 75 percent of the families
admitted to the HCV program during the PHA’s fiscal year. ELI families are those with annual incomes
at or below the federal poverty level or 30 percent of the area median income whichever number is
higher. To ensure this requirement is met, a PHA may skip non-ELI families on the waiting list in order
to select an ELI family.
Low income families admitted to the program that are “continuously assisted” under the 1937 Housing
Act [24 CFR 982.4(b)], 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.
PHA Policy
The PHA will monitor progress in meeting the income targeting requirement throughout the
fiscal year. Extremely low-income families will be selected ahead of other eligible families on
an as-needed basis to ensure the income targeting requirement is met.
Order of Selection
The PHA system of preferences may select families based on local preferences according to the date and
time of application, or by a random selection process (lottery) [24 CFR 982.207(c)]. If a PHA does not
have enough funding to assist the family at the top of the waiting list, it is not permitted to skip down the
waiting list to a family that it can afford to subsidize when there are not sufficient funds to subsidize the
family at the top of the waiting list [24 CFR 982.204(d) and (e)].
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Factors such as deconcentration or income mixing and income targeting will also be considered in
accordance with HUD requirements and PHA policy.
PHA Policy
PHA reserves the right to select from the applicant pool a pre-determined number of pre-applicants
to be placed on the waitlist. The PHA will utilize a computerized random lottery selection process
where each pre-application will be given a waitlist number. The pre-applicant will be placed on the
waitlist based upon the assigned sequential waitlist number. Pre-applicants will be selected from
the waitlist based on that number. Pre-applicants with preferences will be selected first in order of
their waitlist number before pre-applicants without preferences. While on the waitlist, families may
add or delete preferences. Their selection from the waitlist will reflect whether or not they have a
preference at the time they are selected for the eligibility process. Families with a preference will
be selected before families without a preference. Preferences will be calculated in a “lumping”
order, whereby, a family with one preference will have the same number of points as a family with
multiple preferences. When a family is selected from the waitlist, the family will be required to
submit a full application and documentation to determine eligibility prior to housing assistance
becoming available.
4-III.D. Notification of Selection
When a family has been selected from the waiting list, the PHA must notify the family [24 CFR Part
982, Subpart L].
PHA Policy
The PHA will notify the family by first class mail via U.S. Postal Service when they have been
selected from the waiting list. The notice will inform the family of the following:
Date, time, and location of the eligibility interview, or process for obtaining an eligibility
interview appointment, and procedures for rescheduling the interview;
Who is required to attend the interview;
All eligibility documents that must be provided, including information about what
constitutes acceptable documentation, and due dates;
Documents that must be provided at the interview to document eligibility for a preference, if
applicable; and
Other documents and information that should be brought to the interview.
If a notification letter is returned to the PHA with no forwarding address or the online system is
not updated with the current information to maintain active status on the waiting list, the family
will be removed from the waiting list. A notice of denial (see Chapter 3) will be sent to the
family’s address of record, as well as to any known alternate address.
4-III.E. The Application Interview
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HUD recommends that the PHA obtain the information and documentation needed to make an eligibility
determination though a face-to-face interview with a PHA representative [HCV GB, pg. 4- 16]. 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 the PHA 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 the PHA [Notice PIH
2018-24].
Reasonable accommodation will be made for persons with disabilities who are unable to attend an
interview due to their disability.
PHA Policy
Families selected from the waiting list are required to participate in an eligibility interview.
The head of household and all adult family members will be strongly encouraged to attend the
interview together. However, the head of household or the spouse or a legal representative
(documented through a legal power of attorney or guardianship) 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 the PHA.
The head of household or spouse or legal representative must provide acceptable documentation of
legal identity. (Chapter 7 provides a discussion of proper documentation of legal identity). If the
family representative does not provide the required documentation at the time of the scheduled
interview, he or she will be required to provide it within 10 business days.
Pending disclosure and documentation of social security numbers, the PHA will allow the
family to retain its place on the waiting list for 30 days.
The family must provide the information necessary to establish the family’s eligibility and to
determine the appropriate level of assistance, and must as well as completeing required forms,
provideing required signatures, and submitting required documentation. If any materials are
missing, the PHA 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 10 business days of the interview (Chapter 7 provides details about longer
submission deadlines for particular items, including documentation of eligible noncitizen status). 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 (See
Chapter 3).
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 the PHA 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, the
PHA will provide translation services in accordance with the PHA’s LEP plan.
If the family is unable to attend a scheduled interview, the family should contact the PHA in
advance of the interview to schedule a new appointment. If a family does not attend a scheduled
interview, the PHA will send another notification letter with a new interview appointment time.
Applicants who fail to attend two scheduled interviews without PHA 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 in accordance with policies contained in Chapter 3.
4-III.F. Completing the Application Process
The PHA must verify all information provided by the family (see Chapter 7). Based on verified
information, the PHA must make a final determination of eligibility (see Chapter 3) and must confirm
that the family qualified for any special admission, targeted funding admission, or selection preference
that affected the order in which the family was selected from the waiting list.
PHA Policy
If the PHA determines that the family is ineligible, the PHA 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
(Chapter 16).
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. The PHA will notify the family in writing that it has been
returned to the waiting list, and will specify the reasons for it.
Upon making an eligibility determination, the PHA must provide the family a notice of VAWA rights
(form HUD-5380) as well as the HUD VAWA self-certification form (form HUD-5382) in
accordance with the Violence Against Women Act of 2013, and as outlined in 16-VII.C., at the time
the applicant is provided assistance or at the time the applicant is denied assistance. The notice and
self-certification from must accompany the written notification of eligibility determination. This
notice must be provided in both of the following instances: (1) when a family actually begins
receiving assistance (lease execution); or (2) when a family is notified of its ineligibility.
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Chapter 5
Briefings and Voucher Issuance
Introduction
This chapter explains the briefing and voucher issuance process. When a family is determined to be
eligible for the Housing Choice Voucher (HCV) program, the PHA 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 the HUD-
required documents and other information the family needs to know. Once the family is fully informed
of the program’s requirements, the PHA issues the family a voucher. The voucher includes the unit size
for which the family qualifies based on the PHA’s subsidy standards, as well as the issue and
expiration date of the voucher. The voucher is the document that authorizes the family to begin its
search for a unit, and limits the amount of time the family has to successfully locate an acceptable unit.
This chapter describes HUD regulations and PHA policies related to these topics in two parts:
Part I: Briefings and Family Obligations. This part details the program’s requirements for
briefing families orally, and for providing written materials describing the program and its
requirements. It includes a particular focus on the family’s obligations under the program.
Part II: Subsidy Standards and Voucher Issuance. This part discusses the PHA’s standards
for determining how many bedrooms a family of a given composition qualifies for, which in
turn affects the amount of subsidy the family can receive. It also discusses the policies that
dictate how vouchers are issued, and how long families have to locate a unit.
PART I: BRIEFINGS AND FAMILY OBLIGATIONS
5-I.A. Overview
HUD regulations require the PHA to conduct mandatory briefings for applicant families who qualify
for a voucher. The briefing provides a broad description of owner and family responsibilities,
explains the PHA’s procedures, and includes instructions on how to lease a unit. This part describes
how oral briefings will be conducted, specifies what written information will be provided to families,
and lists the family’s obligations under the program.
5-I.B. Briefing [24 CFR 982.301]
The PHA must 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.
At the briefing, the PHA must ensure effective communication in accordance with Section 504
requirements (Section 504 of the Rehabilitation Act of 1973), and ensure that the briefing site is
accessible to individuals with disabilities. For a more thorough discussion of accessibility
requirements, refer to Chapter 2.
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PHA Policy
Briefings will be conducted in-group meetings.The PHA has the sole discretion to determine if a
briefing will be conducted in-person or remotely.
Generally, the head of household is required to attend the briefing, however all adult family
members must sign required forms.
Families that attend group briefings and still need individual assistance will be referred to an
appropriate PHA staff person.
Briefings will be conducted in English. For limited English proficient (LEP) applicants, the
PHA will provide translation services in accordance with the PHA’s LEP plan (See Chapter
2).
Notification and Attendance
PHA Policy
Families will be notified of their eligibility for assistance at the time they are invited to attend
a briefing. 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
denied 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 be scheduled for another briefing
automatically. The PHA will notify the family of the date and time of the second scheduled
briefing. Applicants who fail to attend two scheduled briefings, without prior PHA approval,
will be denied assistance (see Chapter 3).
Oral Briefing [24 CFR 982.301(a)]
Each briefing must provide information on the following subjects:
How the Housing Choice Voucher program works;
Family and owner responsibilities;
Where the family can lease a unit, including renting a unit inside or outside the PHA’s
jurisdiction;
An explanation of how portability works. The PHA may not discourage the family from
choosing to live anywhere in the PHA jurisdiction or outside the PHA jurisdiction under
portability, unless otherwise expressly authorized by statute, regulation, PIH Notice, or
court order;
The PHA must inform the family 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;
The advantages of areas that do not have a high concentration of low-income families;
Formatted: Highlight
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and
For families receiving welfare-to-work vouchers, a description of any local obligations of
a welfare-to-work family and an explanation that failure to meet the obligations is
grounds for denial of admission or termination of assistance.
Briefing Packet [24 CFR 982.301(b)]
Documents and information provided in the briefing packet must include the following:
The term of the voucher, voucher suspensions, and the PHA’s policies on any extensions
of the term. If the PHA allows extensions, the packet must explain how the family can
request an extension.
A description of the method used to calculate the housing assistance payment for a
family, including how the PHA determines the payment standard for a family, how the
PHA determines total tenant payment for a family, and information on the payment
standard and utility allowance schedule.
An explanation of how the PHA determines the maximum allowable rent for an assisted
unit.
Where the family may lease a unit and an explanation of how portability works; including
information on how portability may affect the family’s assistance through screening,
subsidy standards, payment standards, and any other elements of the portability process
that may affect the family’s assistance.
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 the PHA policy on providing information about families to prospective
owners.
The PHA subsidy standards including when and how exceptions are made.
Materials (e.g., brochures) on how to select a unit and any additional information on
selecting a unit that HUD provides.
Information on federal, state and local equal opportunity laws and a copy of the housing
discrimination complaint form.
A list of landlords known to the PHA who may be willing to lease a unit to the family or
other resources (e.g., newspapers, organizations, online search tools) known to the PHA
that may assist the family in locating a unit. PHAs must ensure that the list of landlords
or other resources covers areas outside of poverty or minority concentration.
Notice that if the family includes a person with disabilities, the family may request a list
of available accessible units known to the PHA.
The family obligations under the program, including any obligations of a welfare-to-work
family.
The grounds on which the PHA may terminate assistance for a participant family because
of family action or failure to act.
PHA informal hearing procedures including when the PHA is required to offer a
participant family the opportunity for an informal hearing, and how to request the
hearing.
An explanation of the advantages of moving to an area that does not have a high
concentration of low-income families
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If the PHA is located in a metropolitan FMR area, the following additional information must be
included in the briefing packet in order to receive full points under SEMAP Indicator 7, Expanding
Housing Opportunities [24 CFR 985.3(g)].
Maps showing areas with housing opportunities outside areas of poverty or minority
concentration, both within its jurisdiction and its neighboring jurisdiction.
Information about the characteristics of these areas including job opportunities, schools,
transportation and other services.
An explanation of how portability works, including a list of portability contact persons
for neighboring PHAs with names, addresses, and telephone numbers.
Additional Items to be Included in the Briefing Packet
In addition to items required by the regulations, PHAs may wish to include supplemental materials
to help explain the program to both participants and owners [HCV GB p. 8-7, Notice PHI2017-12]
PHA Policy
The PHA will provide the following additional materials in the briefing packet:
The HUD pamphlet on lead-based paint entitled Protect Your Family from Lead in Your
Home.
Information on how to fill out and file a housing discrimination complaint form
The form HUD-5380 domestic violence certification form and the form HUD-5382
notice of occupancy rights, which contains information on VAWA protections for victims
of domestic violence, dating violence, sexual assault, and stalking.
“Is Fraud Worth It?” HUD-1141-OIG) which explains the types of actions a family must
avoid and the penalties for program abuse.
“What You Should Know about EIV,” a guide to the Enterprise Income Verification
(EIV) system published by HUD as an attachment to Notice PIH 2017-12
5-I.C. Family Obligations
Obligations of the family are described in the housing choice voucher (HCV) regulations and on the
voucher itself. These obligations include responsibilities the family is required to fulfill, as well as
prohibited actions. The PHA must inform families of these obligations during the oral briefing, and
the same information must be included in the briefing packet. When the family’s unit is approved
and the HAP contract is executed, the family must meet those obligations in order to continue
participating in the program. Violation of any family obligation may result in termination of
assistance, as described in Chapter 12.
Time Frames for Reporting Changes Required by Family Obligations
PHA Policy
Unless otherwise noted below, when family obligations require the family to respond to a
request or notify the PHA of a change, notifying the PHA of the request or change within 10
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business days of its occurrence is considered prompt notice (e.g., If you became employed,
you would use the start date of employment to start your count of 10 business days).
When a family is required to provide notice to the PHA, the notice must be in writing.
Family Obligations [24 CFR 982.551]
The family obligations of the voucher are listed as follows:
The family must supply any information that the PHA or HUD determines to be necessary,
including submission of required evidence of citizenship or eligible immigration status.
The family must supply any information requested by the PHA or HUD for use in a regularly
scheduled reexamination or interim reexamination of family income and composition.
PHA Policy
The participant is required to report all changes within 10 business days of its occurrence and
the PHA will determine if an interim reexamination will be conducted.
The family must disclose and verify social security numbers and sign and submit consent forms
for obtaining information.
Any information supplied by the family must be true and complete.
The family is responsible for any inspection standards (UPCS-V ) breach by the family caused
by failure to pay tenant-provided utilities or appliances, or damages to the dwelling unit or
premises beyond normal wear and tear caused by any member of the household or guest.
PHA Policy
Damages beyond normal wear and tear will be considered to be damages, which could be
assessed against the security deposit.
The family must allow the PHA to inspect the unit at reasonable times and after reasonable
notice, as described in Chapter 8 of this plan.
The family must not commit any serious or repeated violation of the lease.
PHA Policy
The PHA will determine if a family has committed serious or repeated violations of the lease
based on available evidence, including but not limited to, a court-ordered eviction, or an
owner’s notice to evict, police reports, and affidavits from the owner, neighbors, or other
credible parties with direct knowledge.
Serious and repeated lease violations will include, but not be limited to, nonpayment of rent,
disturbance of neighbors, destruction of property, or living or housekeeping habits that cause
damage to the unit or premises and criminal activity. Generally, the criterion to be used will
be whether or not the reason for the eviction was the fault of the tenant or guests. Any
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incidents of, or criminal activity related to, domestic violence, dating violence, sexual assault
or stalking will not be construed as serious or repeated lease violations by the victim [24 CFR
5.2005(c)(1)].
The family must notify the PHA and the owner before moving out of the unit or terminating the
lease.
PHA Policy
The family must comply with lease requirements regarding written notice to the owner. The
family must provide written notice to the PHA at the same time the owner is notified.
The family must promptly give the PHA a copy of any owner eviction notice.
The family must use the assisted unit for residence by the family. The unit must be the family’s
only residence.
The composition of the assisted family residing in the unit must be approved by the PHA. The
family must promptly notify the PHA in writing of the birth, adoption, or court-awarded custody
of a child. The family must request PHA approval to add any other family member as an
occupant of the unit.
PHA Policy
The request to add a family member must be submitted in writing and approved prior to the
person moving into the unit. The PHA will determine eligibility of the new member in
accordance with the policies in Chapter 3.
The family must promptly notify the PHA in writing if any family member no longer lives in the
unit.
If the PHA has given approval, a foster child or a live-in aide may reside in the unit. The PHA
has the discretion to adopt reasonable policies concerning residency by a foster child or a live-in
aide, and to define when PHA consent may be given or denied. For policies related to the request
and approval/disapproval of foster children, foster adults, and live-in aides, see Chapter 3
(Sections I.K and I.M), and Chapter 11 (Section II.B).
The family must not sublease the unit, assign the lease, or transfer the unit.
PHA Policy
Subleasing includes receiving payment to cover rent and utility costs by a person living in the
unit who is not listed as a family member.
The family must supply any information requested by the PHA to verify that the family is living
in the unit or information related to family absence from the unit.
The family must promptly notify the PHA when the family is absent from the unit.
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PHA Policy
Notice is required under this provision only when all family members will be absent from the
unit for an extended period. An extended period is defined as any period greater than 30
calendar days. Written notice must be provided to the PHA at the start of the extended
absence.
The family must pay utility bills and provide and maintain any appliances that the owner is not
required to provide under the lease [Form HUD-52646, Voucher].
The family must 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).
Family members must not commit fraud, bribery, or any other corrupt or criminal act in
connection with the program. (See Chapter 14, Program Integrity for additional information).
Family members must not 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. See Chapter 3 (section
III.C. on examples of criminal activity) and see Chapter 12 for HUD and PHA policies related to
drug-related and violent criminal activity.
Members of the household must not engage in abuse of alcohol in a way that threatens the health,
safety or right to peaceful enjoyment of the other residents and persons residing in the immediate
vicinity of the premises. See Chapter 12 for a discussion of HUD and PHA policies related to
alcohol abuse.
An assisted family or member of the family must not receive HCV program assistance while
receiving another housing subsidy, for the same unit or a different unit under any other federal,
state or local housing assistance program.
A family must not receive HCV program assistance while residing in a unit owned by a parent,
child, grandparent, grandchild, sister or brother of any member of the family, unless the PHA has
determined (and has notified the owner and the family of such determination) that approving
rental of the unit, notwithstanding such relationship, would provide reasonable accommodation
for a family member who is a person with disabilities. [Form HUD-52646, Voucher]
PART II: SUBSIDY STANDARDS AND VOUCHER ISSUANCE
5-II.A. Overview
The PHA must establish subsidy standards that determine the number of bedrooms needed for
families of different sizes and compositions. This part presents the policies that will be used to
determine the family unit size (also known as the voucher size) a particular family should receive,
and the policies that govern making exceptions to those standards. The PHA must also establish
5-8
policies related to the issuance of the voucher, to the voucher term, and to any extensions of that the
voucher term.
5-II.B. Determining Family Unit (Voucher) Size [24 CFR 982.402]
For each family, the PHA determines the appropriate number of bedrooms under the PHA subsidy
standards and enters the family unit size on the voucher that is issued to the family. The family unit
size does not dictate the size of unit the family must actually lease, nor does it determine who within
a household will share a bedroom/sleeping room.
The following requirements apply when the PHA determines family unit size:
The subsidy standards must provide for the smallest number of bedrooms needed to house a
family without overcrowding.
The subsidy standards must be consistent with space requirements under the housing
inspection standards. [24 CFR 982.401 (d)]
The subsidy standards must be applied consistently for all families of like size and
composition.
A child who is temporarily away from the home because of placement in foster care is
considered a member of the family in determining the family unit size.
A family that consists of a pregnant woman (with no other persons) must be treated as a two-
person family.
Any live-in aide (approved by the PHA to reside in the unit to care for a family member who
is disabled or is at least 50 years of age) must be counted in determining the family unit size;
Unless a live-in-aide resides with a family, the family unit size for any family consisting of a
single person must be either a zero- or one-bedroom unit, as determined under the PHA
subsidy standards.
PHA Policy
The PHA will assign one bedroom for each two persons within the household,
except in the following circumstances:
•
Live-in aides will be allocated a separate bedroom. No additional
bedrooms will be provided for the live-in aide’s family.
•
Single person families will be allocated a one bedroom.
•
Foster children will be included in determining unit size.
•
A separate bedroom should be allocated for the Head of Household and
spouse/cohabitant.
•
A separate bedroom should be allocated for the Head of Household if no
spouse or cohabitant exists.
•
When someone who has been considered a family member attends school
away from home, the person will continue to be considered a family
5-9
member unless information becomes available to the PHA indicating that
the student has established a separate household or the family declares
that the student has established a separate household.
•
A separate bedroom should be allocated where there is an odd number of
family members (excluding the head of household, spouse/cohabitant).
The PHA will reference the following chart in determining the appropriate voucher size
for a family:
Voucher Size
Persons in Household
(Minimum –
Maximum)
1 Bedroom
1-2
2 Bedrooms
2-4
3 Bedrooms
4-6
4 Bedrooms
6-8
5 Bedrooms
8-10
5-II.C. Exceptions to Subsidy Standards
In determining family unit size for a particular family, the PHA may grant an exception to its
established subsidy standards if the PHA determines that the exception is justified by the age, sex,
health, handicap, or relationship of family members or other personal circumstances [24 CFR
982.402(b)(8)]. Reasons may include, but are not limited to:
• A need for an additional bedroom for medical equipment
• A need for a separate bedroom for reasons related to a family member’s disability, medical or
health condition
For a single person who is not elderly, disabled, or a remaining family member, an exception cannot
override the regulatory limit of a zero or one bedroom [24 CFR 982.402(b)(8)].
PHA Policy
The PHA will consider granting an exception for any of the reasons specified in the
regulation: the age, sex, health, handicap, or relationship of family members or other
personal circumstances.
The family must request any exception to the subsidy standards in writing within 30 days of
the determination of voucher size. The request must explain the need or justification for a
larger family unit size, and must include appropriate documentation. Requests based on
health-related reasons must be verified by a knowledgeable professional source (e.g. doctor
or health professional), unless the disability and the disability–related request for
accommodation is readily apparent or otherwise known. The family’s need for an additional
bedroom due to special medical equipment must be re-verified in writing at annual
reexamination.
All exceptions to subsidy standards will be reviewed and determined by management.
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The PHA will notify the family of its determination within 10 business days of receiving the
family’s request. If a participant family’s request is denied, the notice will inform the family
of their right to request an informal hearing.
5-II.D. Voucher Issuance [24 CFR 982.302]
When a family is selected from the waiting list (or as a special admission as described in Chapter 4),
or when a participant family wants to move to another unit, the PHA issues a Housing Choice
Voucher, form HUD-52646. This chapter deals only with voucher issuance for applicants. For
voucher issuance associated with moves of program participants, please refer to Chapter 10.
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 is evidence that the PHA has determined the family to be eligible for the
program, and that the PHA expects to have money available to subsidize the family if the family
finds an approvable unit. However, the PHA does not have any liability to any party by the issuance
of the voucher, and the voucher does not give the family any right to participate in the PHA’s
housing choice voucher program [Voucher, form HUD-52646]
A voucher can be issued to an applicant family only after the PHA has determined that the family is
eligible for the program based on verification of information received within the 60 days prior to
issuance [24 CFR 982.201(e)] and after the family has attended an oral briefing [HCV 8-1].
PHA Policy
Vouchers will be issued to eligible applicants immediately following the mandatory briefing.
The PHA should have sufficient funds to house an applicant before issuing a voucher. If funds are
insufficient to house the family at the top of the waiting list, the PHA must wait until it has adequate
funds before it calls another family from the list [HCV GB p. 8-10].
PHA Policy
Prior to issuing any vouchers, the PHA will determine whether it has sufficient funding in
accordance with the policies in Part VIII of Chapter 16.
If the PHA determines that there is insufficient funding after a voucher has been issued, the PHA may
rescind the voucher and place the affected family back on the waiting list.
5-II.E. Voucher Term and Extensions
Voucher Term [24 CFR 982.303]
The initial term of a voucher must be at least 60 calendar days. The initial term must be stated on the
voucher [24 CFR 982.303(a)].
PHA Policy
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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 the PHA grants an
extension.
Extensions of Voucher Term [24 CFR 982.303(b)]
The PHA has the authority to grant extensions of search time, to specify the length of an extension,
and to determine the circumstances under which extensions will be granted. There is no limit on the
number of extensions that the PHA can approve. Discretionary policies related to extension and
expiration of search time must be described in the PHA’s administrative plan [24 CFR 982.54].
PHAs must approve additional search time if needed as a reasonable accommodation to make the
program accessible to and usable by a person with disabilities. The extension period must be
reasonable for the purpose.
The family must be notified in writing of the PHA’s decision to approve or deny an extension. The
PHA’s decision to deny a request for an extension of the voucher term is not subject to informal
review [24 CFR 982.554(c)(4)].
PHA Policy
The PHA will approve extensions for up to 180 days total voucher term for disabled and/or
elderly (62+ years of age) households and up to 120 days total voucher term for non-
disabled, non-elderly households. Extensions must be requested in writing from the voucher
holder and will be granted in 30-day increments.
Refer to Chapter 10 regarding portability voucher issuance and extension requirements.
Suspensions of Voucher Term [24 CFR 982.303(c)]
The PHA must provide for suspension of the initial or any extended term of the voucher 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.
Expiration of Voucher Term
Once a family’s housing choice voucher term (including any extensions) expires, the family is no
longer eligible to search for housing under the program. If the family still wishes to receive
assistance, the PHA may require that the family reapply, or may place the family on the waiting list
with a new application date but without requiring reapplication. Such a family does not become
ineligible for the program on the grounds that it was unable to locate a unit before the voucher
expired [HCV GB p. 8-13].
PHA Policy
If the applicant family’s voucher term or extension expires before the PHA has approved a
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tenancy, the PHA will require the family to reapply for assistance.
Within 10 business days after the expiration of the voucher term or any extension, the PHA
will notify the family in writing that the voucher term has expired and that the family must
reapply when the waiting list is open in order to be placed on the waiting list.
6-1
5.609 Annual income.
(a) Annual income means all amounts, monetary or not, which:
(1) Go to, or on behalf of, the family head or spouse (even if temporarily
absent) or to any other family member; or
(2) Are anticipated to be received from a source outside the family during the
12-month period following admission or annual reexamination effective date; and
(3) Which are not specifically excluded in paragraph [5.609(c)].
(4) Annual income also means amounts derived (during the 12-month period)
from assets to which any member of the family has access.
Chapter 6
Income and Subsidy Determinations
[24 CFR Part 5, Subparts E and F; 24 CFR 982
Introduction
A family’s income determines eligibility for assistance and is also used to calculate the family’s
payment and the PHA’s subsidy. The PHA will use the policies and methods described in this
chapter to ensure that only eligible families receive assistance and that no family pays more or less
than its obligation under the regulations. This chapter describes HUD regulations and PHA policies
related to these topics in three parts as follows:
Part I: Annual Income. HUD regulations specify the sources of income to include and exclude to
arrive at a family’s annual income. These requirements and PHA policies for calculating annual
income are found in Part I.
Part II: Adjusted Income. Once annual income has been established HUD regulations require the
PHA to subtract from annual income any of five mandatory deductions for which a family
qualifies. These requirements and PHA policies for calculating adjusted income are found in
Part II.
Part III: Calculating Family Share and PHA Subsidy. This part describes the statutory formula
for calculating total tenant payment (TTP), the use of utility allowances, and the methodology
for determining PHA subsidy and required family payment.
PART I: ANNUAL INCOME
6-I.A. Overview
The general regulatory definition of annual income shown below is from 24 CFR 5.609.
In addition to this general definition, HUD regulations establish policies for treating specific types of
income and assets. The full texts of those portions of the regulations are provided in exhibits at the end
6-2
of this chapter as follows:
Annual Income Inclusions (Exhibit 6-1)
Annual Income Exclusions (Exhibit 6-2)
Treatment of Family Assets (Exhibit 6-3)
Earned Income Disallowance for Persons with Disabilities (Exhibit 6-4)
The Effect of Welfare Benefit Reduction (Exhibit 6-5)
Sections 6-I.B and 6-I.C discuss general requirements and methods for calculating annual income.
The rest of this section describes how each source of income is treated for the purposes of
determining annual income. HUD regulations present income inclusions and exclusions separately
[24 CFR 5.609(b) and 24 CFR 5.609(c)]. In this plan, however, the discussions of income inclusions
and exclusions are integrated by topic (e.g., all policies affecting earned income are discussed
together in section 6-I.D). Verification requirements for annual income are discussed in Chapter 7.
6-I.B. Household Composition and Income
Income received by all family members must be counted unless specifically excluded by the
regulations. It is the responsibility of the head of household to report changes in family composition.
The rules on which sources of income are counted vary somewhat by family member. The chart
below summarizes how family composition affects income determinations.
Summary of Income Included and Excluded by Person
Live-in aides
Income from all sources is excluded [24 CFR 5.609(c)(5)].
Foster child or foster adult
Income from all sources is excluded [24 CFR 5.609(c)(2)].
Head, spouse, or cohead
Other adult family members
All sources of income not specifically excluded by the
regulations are included.
Children under 18 years of age
Employment income is excluded [24 CFR 5.609(c)(1)].
All other sources of income, except those specifically
excluded by the regulations, are included.
Full-time students 18 years of
age or older (not head, spouse,
or cohead)
Employment income above $480/year is excluded [24 CFR
5.609(c)(11)].
All other sources of income, except those specifically
excluded by the regulations, are included.
Temporarily Absent Family Members
The income of family members approved to live in the unit will be counted, even if the family
member is temporarily absent from the unit [HCV GB, p. 5-18].
PHA Policy
Generally an individual who is or is expected to be absent from the assisted unit for 30
consecutive days or less is considered temporarily absent and continues to be considered a
family member. Generally an individual who is or is expected to be absent from the assisted
unit for more than 30 consecutive days is considered permanently absent and no longer a
family member. Exceptions to this general policy are discussed below.
6-3
Absent Students
PHA Policy
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 the PHA indicating that the student has established a separate household or the
family declares that the student has established a separate household.
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 [24 CFR 5.403].
PHA Policy
If a child has been placed in foster care, the PHA 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.
Absent Head, Spouse, or Cohead
PHA Policy
An employed head, spouse, or cohead absent from the unit more than 30 consecutive days
due to employment will continue to be considered a family member.
Family Members Permanently Confined for Medical Reasons
If a family member is confined to a nursing home or hospital on a permanent basis, that person is no
longer considered a family member and the income of that person is not counted [HCV GB, p. 5-22].
PHA Policy
The PHA will request verification from a responsible medical professional and will use this
determination. 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.
When an individual who has been counted as a family member is determined permanently
absent, the family is eligible for the medical expense deduction only if the remaining head,
spouse, or cohead qualifies as an elderly person or a person with disabilities.
Joint Custody of Dependents
PHA Policy
Dependents that are subject to a joint custody arrangement will be considered a member of
the family, if they live with the applicant or participant family more than 50 percent of the
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time.
When more than one applicant or participant 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, the PHA will make the determination based on available documents such
as court orders, school records, or an IRS return showing which family has claimed the child
for income tax purposes.
Caretakers for a Child
PHA Policy
The approval of a caretaker is at the owner and PHA’s discretion and subject to the owner
and PHA’s screening criteria. If neither a parent nor a designated guardian remains in a
household receiving HCV assistance, the PHA will take the following actions.
(1)
If a responsible agency has determined that another adult is to be brought into the
assisted unit 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.
(2)
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 will be considered a family member unless information is provided that
would confirm that the caretaker’s role is temporary. In such cases the PHA will
extend the caretaker’s status as an eligible visitor.
(3)
At any time that custody or guardianship legally has been awarded to a caretaker, the
housing choice voucher will be transferred to the caretaker.
(4)
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.
6-I.C. Anticipating Annual Income
The PHA is required to count all income “anticipated to be received from a source outside the family
during the 12-month period following admission or annual reexamination effective date” [24 CFR
5.609(a)(2)]. Policies related to anticipating annual income are provided below.
Basis of Annual Income Projection
The PHA generally will use current circumstances to determine anticipated income for the coming
12-month period. HUD authorizes the PHA to use other than current circumstances to anticipate
income when:
An imminent change in circumstances is expected [HCV GB, p. 5-17]
It is not feasible to anticipate a level of income over a 12-month period (e.g., seasonal or
cyclic income) [24 CFR 5.609(d)]
6-5
Example: When the tenant provided documents are paystubs, use the
amount of paystubs listed to determine how many should be collected to
meet the 2 month requirement.
Weekly- 8 consecutive paystubs
Bi-weekly- 4 consecutive paystubs
Semi-monthly-4 consecutive paystubs
Monthly- 2 consecutive paystubs
The PHA believes that past income is the best available indicator of expected future
income [24 CFR 5.609(d)]
PHAs are required to use HUD’s Enterprise Income Verification (EIV) system in its entirety as a
third party source to verify employment and income information, and to reduce administrative
subsidy payment errors in accordance with HUD administrative guidance [24 CFR 5.233 (a)(2)].
HUD allows PHAs to use tenant-provided documents (pay stubs) to project income once EIV data
has been received in such cases where the family does not dispute the EIV employer data and where
the PHA does not determine it is necessary to obtain additional third-party data.
PHA Policy
When EIV is obtained and the family does not dispute the EIV employer data, the PHA will
use current tenant-provided documents to project annual income. When the tenant-provided
documents are pay stubs, the PHA will make every effort to obtain current and consecutive
pay stubs dated within the last two months for a total of 8 current and consecutive paystubs,
regardless of how often a person is paid.
The PHA will obtain written and/or oral third-party verification in accordance with the
verification requirements and policy in Chapter 7 in the following cases:
If EIV or other UIV data is not available,
If the family disputes the accuracy of the EIV employer data, and/or
If the PHA determines additional information is needed.
In such cases, the PHA will review and analyze current data to anticipate annual income. In
all cases, the family file will be documented with a clear record of the reason for the
decision, and a clear audit train will be left as to how the PHA annualized projected income.
When the PHA cannot readily anticipate income based upon current circumstances (e.g., in
the case of seasonal employment, unstable working hours, or suspected fraud), the PHA will
review and analyze historical data for patterns of employment, paid benefits, and receipt of
6-6
Example: An employer reports that a full-time employee who has been
receiving $6/hour will begin to receive $6.25/hour in the eighth week after the
effective date of the reexamination. In such a case the PHA would calculate
annual income as follows: ($6/hour × 40 hours × 7 weeks) + ($6.25 × 40
hours × 45 weeks).
other income and use the results of this analysis to establish annual income. Anytime current
circumstances are not used to project annual income, a clear rationale for the decision will be
documented in the file. In all such cases the family may present information and
documentation to the PHA to show why the historic pattern does not represent the family’s
anticipated income.
Any time current circumstances are not used to project annual income, a clear rationale
for the decision will be documented in the file. In all such cases the family may present
information and documentation to the PHA to show why the historic pattern does not
represent the family’s anticipated income.
Known Changes in Income
If the PHA 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.
The family may present information that demonstrates that implementing a change before its
effective date would create a hardship for the family. In such cases the PHA will calculate
annual income using current circumstances and then require an interim reexamination when
the change actually occurs. This requirement will be imposed even if the PHA’s policy in
Chapter 11 does not require interim reexaminations for other types of changes.
When tenant-provided third-party documents are used to anticipate annual income, they will
be dated within the last 60 days of the reexamination interview date.
Projecting Income
In HUD’s EIV webcast of January 2008, HUD made clear that PHAs are not to use EIV
quarterly wages to project annual income.
6-I.D. Earned Income
Types of Earned Income Included in Annual Income
Wages and Related Compensation
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
[24 CFR 5.609(b)(1)].
6-7
PHA Policy
For persons who regularly receive bonuses or commissions, the PHA will verify and then
average amounts received for the two years preceding admission or reexamination. If only a
one-year history is available, the PHA will use the prior year amounts. In either case the
family may provide, and the PHA will consider, a credible justification for not using this
history to anticipate future bonuses or commissions. If a new employee has not yet received
any bonuses or commissions, the PHA will count only the amount estimated by the
employer. The file will be documented appropriately.
PHA Policy
When computing annual income, staff will convert earned income to annual income as
follows:
-
Multiply hourly wages by the number of hours worked/year (2080 hours for
full-time employment with a 40-hour work week and no overtime).
-
Multiply weekly wages by 52.
-
Multiply bi-weekly wages (paid every other week) by 26.
-
Multiply semi-monthly (paid twice each month) wages by 24.
-
Multiply monthly wages by 12.
Some Types of Military Pay
All regular pay, special pay and allowances of a member of the Armed Forces are counted [24 CFR
5.609(b)(8)] except for the special pay to a family member serving in the Armed Forces who is
exposed to hostile fire [24 CFR 5.609(c)(7)].
Types of Earned Income Not Counted in Annual Income
Temporary, Nonrecurring, or Sporadic Income [24 CFR 5.609(c)(9)]
This type of income (including gifts) is not included in annual income. Sporadic income includes
temporary payments from the U.S. Census Bureau for employment lasting no longer than 180 days
[Notice PIH 2009-19].
PHA Policy
Sporadic income is income that is not received periodically and 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.
Children’s Earnings
Employment income earned by children (including foster children) under the age of 18 years is not
included in annual income [24 CFR 5.609(c)(1)]. (See Eligibility chapter for a definition of foster
children.)
6-8
Certain Earned Income of Full-Time Students
Earnings in excess of $480 for each full-time student 18 years old or older (except for the head,
spouse, or cohead) are not counted [24 CFR 5.609(c)(11)]. To be considered “full-time,” a student
must be considered “full-time” by an educational institution with a degree or certificate program
[HCV GB, p. 5-29].
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 [24
CFR 5.609(c)(5)]. (See Eligibility chapter for a full discussion of live-in aides.)
Income Earned under Certain Federal Programs
Income from some federal programs is specifically excluded from consideration as income [24 CFR
5.609(c)(17)], including:
•
Payments to volunteers under the Domestic Volunteer Services Act of 1973 (42 U.S.C.
5044(g), 5058)
•
Awards under the federal work-study program (20 U.S.C. 1087 )
•
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)
Resident Service Stipend
Amounts received under a resident service stipend are not included in annual income. A resident
service stipend is a modest amount (not to exceed $200 per individual per month) received by a
resident for performing a service for the PHA 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, resident initiatives coordination, and serving as a member of the
PHA’s governing board. No resident may receive more than one such stipend during the same period
of time [24 CFR 5.600(c)(8)(iv)].
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 training of a family member as resident management 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 training program [24 CFR 5.609(c)(8)(v)].
PHA Policy
6-9
The PHA 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 to 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: (1) classroom training in a specific
occupational skill, (2) on-the-job training with wages subsidized by the program, or (3) basic
education” [expired Notice PIH 98-2, p. 3].
The PHA defines incremental earnings and benefits as the difference between: (1) the total
amount of welfare assistance and earnings of a family member prior to enrollment in a
training program, and (2) the total amount of welfare assistance and earnings of the family
member after enrollment in the program [expired Notice PIH 98-2, pp. 3–4].
In calculating the incremental difference, the PHA 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 the PHA's
interim reporting requirements.
HUD-Funded Training Programs
Amounts received under training programs funded in whole or in part by HUD [24 CFR
5.609(c)(8)(i)] 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.
PHA Policy
To qualify as a training program, the program must meet the definition of training program
provided above for state and local employment training programs.
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 [24 CFR 5.609(c)(17)]. 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.
Earned Income Disallowance
The earned income disallowance for persons with disabilities is discussed in section 6-I.E below.
6-I.E. Earned Income Disallowance for Persons with Disabilities [24 CFR 5.617; Streamlining Final
Rule (SFR) Federal Register 3/8/16 (HOTMA 2016)]
The earned income disallowance (EID) encourages people with disabilities to enter the work force
by not including the full value of increases in earned income for a period of time. The full text of 24
6-10
CFR 5.617 is included as Exhibit 6-4 at the end of this chapter. Eligibility criteria and limitations on
the disallowance are summarized below.
Eligibility
This disallowance applies only to individuals in families already participating in the HCV program
(not at initial examination). To qualify, the family must experience an increase in annual income that
is the result of one of the following events:
• Employment of a family member who is a person with disabilities and who was
previously unemployed for one or more years prior to employment. Previously
unemployed includes a person who annually has earned not more than the minimum wage
applicable to the community multiplied by 500 hours. The applicable minimum wage is
the federal minimum wage unless there is a higher state or local minimum wage.
• Increased earnings by a family member who is a person with disabilities and whose
earnings increase during participation in an economic self-sufficiency or job-training
program. A self-sufficiency program includes a program designed to encourage, assist,
train, or facilitate the economic independence of HUD-assisted families or to provide
work to such families [24 CFR 5.603(b)].
New employment or increased earnings by a family member who is a person with disabilities and
who has received benefits or services under Temporary Assistance for Needy Families (TANF) or
any other state program funded under Part A of Title IV of the Social Security Act within the past
six months. If the benefits are received in the form of monthly maintenance, there is no minimum
amount. If the benefits or services are received in a form other than monthly maintenance, such as
one-time payments, wage subsidies, or transportation assistance, the total amount received over the
six-month period must be at least $500.
Calculation of the Disallowance
Calculation of the earned income disallowance for an eligible member of a qualified family begins
with a comparison of the member’s current income with his or her “baseline income.” The family
member’s baseline income is his or her income immediately prior to qualifying for the EID. The
family member’s baseline income remains constant throughout the period that he or she is
participating in the EID.
While qualification for the disallowance is the same for all families, calculation of the disallowance
will differ depending on when the family member qualified for the EID. Participants qualifying prior
to May 9, 2016, will have the disallowance calculated under the “Original Calculation Method”
described below which requires a maximum lifetime disallowance period of up to 48 consecutive
months. Participants qualifying on or after May 9, 2016, will be subject to the “Revised Calculation
Method” Which shortens the lifetime disallowance period to 24 consecutive months.
Under both the original and new methods, the EID eligibility criteria, the benefit amount, the single
lifetime eligibility requirement and the ability of the applicable family member to stop and restart
6-11
employment during the eligibility period are the same.
Original Calculation Method
During the initial 12-month exclusion period, the full amount (100 percent) of any increase in
income attributable to new employment or increased earnings is excluded. The 12 months are
cumulative and need not be consecutive.
PHA Policy
The initial EID exclusion period will begin on the first of the month following the date an
eligible member of a qualified family is first employed or first experiences an increase in
earnings.
Second 12-Month Exclusion and Phase-In
During the second 12-month exclusion period, the exclusion is reduced to half (50 percent) of any
increase in income attributable to employment or increased earnings. The 12 months are cumulative
and need not be consecutive.
Lifetime Limitation
The EID has a four-year (48-month) lifetime maximum. The four-year eligibility period begins at the
same time that the initial exclusion period begins and ends 48 months later. The one-time eligibility
for the EID applies even if the eligible individual begins to receive assistance from another housing
agency, if the individual moves between public housing and Section 8 assistance, or if there are
breaks in assistance.
PHA Policy
During the 48-month eligibility period, the PHA will schedule and conduct an interim
reexamination each time there is a change in the family member’s annual income that affects
or is affected by the EID (e.g., when the family member’s income falls to a level at or below
his/her prequalifying income, when one of the exclusion periods ends, and at the end of the
lifetime maximum eligibility period).
Revised Calculation Method
Initial 12-Month Exclusion
During the initial exclusion period of 12 consecutive months, the full amount (100 percent) of any
increase in income attributable to new employment or increased earnings is excluded.
PHA Policy
The initial EID exclusion period will begin on the first of the month following the date an
eligible member of a qualified family is first employed or first experiences an increase in
earnings.
Second 12-Month Exclusion
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During the second exclusion period of 12 consecutive months, the PHA must exclude at least 50
percent of any increase in income attributable to employment or increased earnings.
PHA Policy
During the second 12-month exclusion period, the PHA will exclude 100 percent of any
increase in income attributable to new employment or increased earnings.
Lifetime Limitation
The EID has a two-year (24-month) lifetime maximum. The two-year eligibility period begins at the
same time that the initial exclusion period begins and ends 24 months later. During the 24-month
period, an individual remains eligible for EID even if they begin to receive assistance from a
different housing agency, move between public housing and Section 8 assistance, or have breaks in
assistance.
6-I.F. Business Income [24 CFR 5.609(B)(2)]
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” [24 CFR 5.609(b)(2)].
Business Expenses
Net income is “gross income less business expense” [HCV GB, p. 5-19].
PHA Policy
To determine business expenses that may be deducted from gross income, the PHA 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 as described below.
Business Expansion
HUD regulations do not permit the PHA to deduct from gross income expenses for business
expansion.
PHA Policy
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.
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Capital Indebtedness
HUD regulations do not permit the PHA to deduct from gross income the amortization of capital
indebtedness.
PHA Policy
Capital indebtedness is defined as the principal portion of the payment on a capital asset such
as land, buildings, and machinery. This means the PHA will allow as a business expense
interest, but not principal, paid on capital indebtedness.
Negative Business Income
If the net income from a business is negative, no business income will be included in annual income;
a negative amount will not be used to offset other family income.
Withdrawal of Cash or Assets from a Business
HUD regulations require the PHA to include in annual income the withdrawal of cash or assets from
the operation of a business or profession unless the withdrawal reimburses a family member for cash
or assets invested in the business by the family.
PHA Policy
Acceptable investments in a business include cash loans and contributions of assets or
equipment. For example, if a member of an assisted family provided an up-front loan of
$2,000 to help a business get started, the PHA will not count as income any withdrawals
from the business up to the amount of this loan until the loan has been repaid. Investments do
not include the value of labor contributed to the business without compensation.
Co-owned Businesses
PHA Policy
If a business is co-owned with someone outside the family, the family must document the
share of the business it owns. If the family’s share of the income is lower than its share of
ownership, the family must document the reasons for the difference.
6-I.G. Assets [24 CFR 5.609(b)(3); 24 CFR 5.603(b)]
Overview
There is no asset limitation for participation in the HCV program. However, HUD requires that the
PHA include in annual income the anticipated “interest, dividends, and other net income of any kind
from real or personal property” [24 CFR 5.609(b)(3)]. This section discusses how the income from
various types of assets is determined. For most types of assets, the PHA must determine the value of
the asset in order to compute income from the asset. Therefore, for each asset type, this section
discusses:
• How the value of the asset will be determined
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• How income from the asset will be calculated
Exhibit 6-1 provides the regulatory requirements for calculating income from assets [24 CFR
5.609(b)(3)], and Exhibit 6-4 provides the regulatory definition of net family assets as well as a chart
from the HCV Guidebook that summarizes asset inclusions and exclusions. This section begins with
a discussion of general policies related to assets and then provides HUD rules and PHA policies
related to each type of asset.
Optional policies for family self-certification of assets are found in Chapter 7.
General Policies
Temporary Provisions
PIH 2013-03 established temporary guidelines for public housing agencies in fulfilling certain Public
Housing and Housing Choice Voucher program requirements during this period of decreased
resources available to public housing authorities. The temporary provisions established are available
until March 31, 2014. This notice allows a PHA to accept a family’s declaration of the amount of
assets of less than $5,000, and the amount of income expected to be received from those assets. The
PHA’s application and reexamination documentation, which is signed by all adult family members,
can serve as the declaration. Where the family has net family assets equal to or less than $5,000, the
PHAs does not need to request supporting documentation (e.g. bank statements) from the family to
confirm the assets or the amount of income expected to be received from those assets. Where the
family has net family assets in excess of $5,000, the PHA must obtain supporting documentation
(e.g. bank statements) from the family to confirm the assets. Any assets will continue to be reported
on HUD form 50058.
PHA Policy
The temporary provision (PIH 2013-03) will be adopted to allow households to self-certify as
to having assets of less than $5,000.
The full application will serve as the family’s declaration and staff does not need to request
supporting documentation.
Income from Assets
The PHA generally will use current circumstances to determine both the value of an asset and the
anticipated income from the asset. As is true for all sources of income, HUD authorizes the PHA to
use other than current circumstances to anticipate income when (1) an imminent change in
circumstances is expected (2) it is not feasible to anticipate a level of income over 12 months or (3)
the PHA believes that past income is the best indicator of anticipated income. For example, if a
family member owns real property that typically receives rental income but the property is currently
vacant, the PHA can take into consideration past rental income along with the prospects of obtaining
a new tenant.
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PHA Policy
Anytime current circumstances are not used to determine asset income, a clear rationale for
the decision will be documented in the file. In such cases the family may present information
and documentation to the PHA to show why the asset income determination does not
represent the family’s anticipated asset income.
Valuing Assets
The calculation of asset income sometimes requires the PHA to make a distinction between an
asset’s market value and its cash value.
•
The market value of an asset is its worth in the market (e.g., the amount a buyer would pay
for real estate or the total value of an investment account).
•
The cash value of an asset is its market value less all reasonable amounts that would be
incurred when converting the asset to cash. Examples of acceptable costs include penalties
for premature withdrawal, broker and legal fees, and settlement costs incurred in real estate
transactions [HCV GB, p. 5-28].
Lump-Sum Receipts
Payments that are received in a single lump sum, such as inheritances, capital gains, lottery
winnings, insurance settlements, and proceeds from the sale of property, are generally considered
assets, not income. However, such lump-sum receipts are counted as assets only if they are retained
by a family in a form recognizable as an asset (e.g., deposited in a savings or checking account)
[RHIIP FAQs]. (For a discussion of lump-sum payments that represent the delayed start of a periodic
payment, most of which are counted as income, see sections 6-I.H and 6-I.I.)
Imputing Income from Assets [24 CFR 5.609(b)(3)], Notice PIH 2012-29
When net family assets are $5,000 or less, the PHA will include in annual income the actual income
anticipated to be derived from the assets. When the family has net family assets in excess of $5,000,
the PHA will include in annual income the greater of (1) the actual income derived from the assets or
(2) the imputed income. Imputed income from assets is calculated by multiplying the total cash value
of all family assets by an average passbook savings rate as determined by the PHA.
• Note: The HUD field office no longer provides an interest rate for imputed asset income.
The “safe harbor” is now for the PHA to establish a passbook rate within 0.75 percent of
a national average.
• The PHA must review its passbook rate annually to ensure that it remains within 0.75
percent of the national average.
PHA Policy
The PHA will initially sets the imputed asset passbook rate at the national rate established
by the Federal Deposit Insurance Corporation (FDIC).
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The PHA will review the passbook rate annually, in December of each year. The rate will not
be adjusted unless the current PHA rate is no longer within 0.75 percent of the national rate.
If it is no longer within 0.75 percent of the national rate, the passbook rate will be set at the
current national rate.
The effective date of cChanges to the passbook rate will take effect on February 1 following the
December reviewbe determined at the time of the review.
Determining Actual Anticipated Income from Assets
It may or may not be necessary for the PHA to use the value of an asset to compute the actual
anticipated income from the asset. When the value is required to compute the anticipated income
from an asset, the market value of the asset is used. For example, if the asset is a property for which
a family receives rental income, the anticipated income is determined by annualizing the actual
monthly rental amount received for the property; it is not based on the property’s market value.
However, if the asset is a savings account, the anticipated income is determined by multiplying the
market value of the account by the interest rate on the account.
Withdrawal of Cash or Liquidation of Investments
Any withdrawal of cash or assets from an investment will be included in income except to the extent
that the withdrawal reimburses amounts invested by the family. For example, when a family member
retires, the amount received by the family from a retirement investment plan is not counted as
income until the family has received payments equal to the amount the family member deposited
into the retirement investment plan.
Jointly Owned Assets
The regulation at 24 CFR 5.609(a)(4) specifies that annual income includes “amounts derived
(during the 12-month period) from assets to which any member of the family has access.”
PHA Policy
If an asset is owned by more than one person and any family member has unrestricted access
to the asset, the PHA will count the full value of the asset. A family member has unrestricted
access to an asset when he or she can legally dispose of the asset without the consent of any
of the other owners.
If an asset is owned by more than one person, including a family member, but the family
member does not have unrestricted access to the asset, the PHA will prorate the asset
according to the percentage of ownership. If no percentage is specified or provided for by
state or local law, the PHA will prorate the asset evenly among all owners.
Assets Disposed of for Less than Fair Market Value [24 CFR 5.603(b)]
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HUD regulations require the PHA to count as a current asset any business or family asset that was
disposed of for less than fair market value during the two years prior to the effective date of the
examination/reexamination, except as noted below.
Minimum Threshold
The HVC Guidebook permits the PHA to set a threshold below which assets disposed of for less than
fair market value will not be counted [HCV GB, p. 5-27].
PHA Policy
The PHA 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 annual 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.
Separation or Divorce
The regulation also specifies that assets are not considered disposed of for less than fair market value
if they are disposed of as part of a separation or divorce settlement and the applicant or tenant
receives important consideration not measurable in dollar terms.
PHA Policy
All assets disposed of as part of a separation or divorce settlement will be considered assets
for which important consideration not measurable in monetary terms has been received. In
order to qualify for this exemption, a family member must be subject to a formal separation
or divorce settlement agreement established through arbitration, mediation, or court order.
Foreclosure or Bankruptcy
Assets are not considered disposed of for less than fair market value when the disposition is the
result of a foreclosure or bankruptcy sale.
Family Declaration
PHA Policy
Families must sign a declaration form at initial certification and each annual recertification
identifying all assets that have been disposed of for less than fair market value or declaring
that no assets have been disposed of for less than fair market value. The PHA may verify the
value of the assets disposed of if other information available to the PHA does not appear to
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agree with the information reported by the family.
Types of Assets
Checking and Savings Accounts
For regular checking accounts and savings accounts, cash value has the same meaning as market
value. If a checking account does not bear interest, the anticipated income from the account is zero.
PHA Policy
In determining the value of a checking account, the PHA will use the average monthly
balance for the last three (3) months only if the asset is in excess of $5,000 (Notice PIH
2016-05). If the self-declared asset(s) is/are equal to or less than $5,000, the family’s
declaration of the amount of the asset will be used.
In determining the value of a savings account, the PHA will use the current balance provided
on the family’s declaration if it equals to or is less than $5,000.
The full application will serve as the family’s declaration and staff does not need to request
supporting documentation as long as the total amount of assets is less than $5,000.
In determining the anticipated income from an interest bearing checking or savings account,
the PHA will multiply the value of the account by the current rate of interest paid on the
account.
Investment Accounts Such as Stocks, Bonds, Saving 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.
PHA Policy
In determining the market value of an investment account, the PHA 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), the PHA will calculate asset
income based on the earnings for the most recent reporting period.
Equity in Real Property or Other Capital Investments
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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].
PHA Policy
In determining the equity, the PHA will determine market value by examining recent sales of at least
three properties in the surrounding or similar neighborhood that possess comparable factors that affect
market value.
The PHA will first use the payoff amount for the loan (mortgage) as the unpaid balance to calculate
equity. If the payoff amount is not available, the PHA will use the basic loan balance information to
deduct from the market value in the equity calculation.
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 HCV program
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]
The PHA must also deduct from the equity the reasonable costs for converting the asset to cash. Using
the formula for calculating equity specified above, the net cash value of real property is the market
value minus the balance of the loan (mortgage) minus the expenses to convert to cash
[Notice PIH 2012-3].
PHA Policy
For the purposes of calculating expenses to convert to cash for real property, the PHA will use ten
percent of the market value of the home.
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.
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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 the family in
accordance with the terms of the mortgage or deed of trust is counted as anticipated asset income.
PHA Policy
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 would be counted as an asset unless the PHA
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.
Nonrevocable 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)].
(Periodic payments are covered in section 6-I.H. 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, the PHA 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. (For more
on periodic payments, see section 6-I.H.) The balance in the account is counted as an asset only if it
remains accessible to the family member.
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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
Personal property held as an investment, such as gems, jewelry, coin collections, antique cars, etc., is
considered an asset [HCV GB, p. 5-25].
PHA Policy
In determining the value of personal property held as an investment, the PHA will use the
family’s estimate of the value. The PHA may obtain an appraisal to confirm the value of
the asset if there is reason to believe that the family’s estimated value is off by $50 or
more. 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)].
PHA Policy
Necessary personal property consists of only those items not held as an investment, and
may include clothing, furniture, household furnishings, jewelry, and vehicles, including
those specially equipped for persons with disabilities.
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 [HCV GB
5-25]. 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.
6-I.H. Periodic Payments
Periodic payments are forms of income received on a regular basis. HUD regulations specify
periodic payments that are and are not included in annual income.
Periodic Payments Included in Annual Income
•
Periodic payments from sources such as social security, unemployment and welfare
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assistance, annuities, insurance policies, retirement funds, and pensions. However,
periodic payments from retirement accounts, annuities, and similar forms of
investments are counted only after they exceed the amount contributed by the family
[24 CFR 5.609(b)(4) and (b)(3)].
•
Disability or death benefits and lottery receipts paid periodically, rather than in a
single lump sum [24 CFR 5.609(b)(4) and HCV, p. 5-14]
Lump-Sum Payments for the Delayed Start of a Periodic Payment
Most lump sums received as a result of delays in processing periodic payments, such as
unemployment or welfare assistance, are counted as income. However, lump-sum receipts for the
delayed start of periodic social security or supplemental security income (SSI) payments are not
counted as income. Additionally, any deferred disability benefits that are received in a lump sum or
in prospective monthly amounts form the Department of Veterans Affairs are to be excluded from
annual income24 CFR 5.609(c)(14)].
PHA Policy
When a delayed-start payment is received and reported during the period in which the PHA
is processing an annual reexamination, the PHA will adjust the family share and PHA
subsidy retroactively for the period the payment was intended to cover. The family may pay
in full any amount due or request to enter into a repayment agreement with the PHA.
Treatment of Overpayment Deductions from Social Security Benefits
The PHA must make a special calculation of annual income when the Social Security
Administration (SSA) overpays an individual, resulting in a withholding or deduction from his or
her benefit amount 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,
the PHA must use the reduced benefit amount after deducting only the amount of the
overpayment withholding from the gross benefit amount [Notice PIH 2018-24].
Periodic Payments Excluded from Annual Income
•
Payments received for the care of foster children or foster adults (usually persons
with disabilities, unrelated to the assisted family, who are unable to live alone) [24
CFR 5.609(c)(2)]. Kinship guardianship assistance payments (Kin-GAP) and other
similar guardianship payments are treated the same as foster care payments and are
likewise excluded from annual income [Notice PIH 2008-30].
PHA Policy
The PHA will exclude payments for the care of foster children and foster adults only
if the care is provided through an official arrangement with a local welfare agency
[HCV GB, p. 5-18].
•
Amounts paid by a state agency to a family with a member who has a developmental
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disability and is living at home to offset the cost of services and equipment needed to
keep the developmentally disabled family member at home [24 CFR 5.609(c)(16)].
•
Amounts received under the Low-Income Home Energy Assistance Program (42
U.S.C. 1626(c)) [24 CFR 5.609(c)(17)].
•
Amounts received under the Child Care and Development Block Grant Act of 1990
(42 U.S.C. 9858q) [24 CFR 5.609(c)(17)].
•
Earned Income Tax Credit (EITC) refund payments (26 U.S.C. 32(j)) [24 CFR
5.609(c)(17)]. Note: EITC may be paid periodically if the family elects to receive the
amount due as part of payroll payments from an employer.
•
Lump sums received as a result of delays in processing Social Security and SSI
payments (see section 6-I.H.) [24 CFR 5.609c)(14)].
Lump sums or prospective monthly amounts received as deferred disability benefits
from the Department of Veterans Affairs (VA)[ 24 CFR 5.609(c)(14)].
6-I.I. Payments in Lieu of Earnings
Payments in lieu of earnings, such as unemployment and disability compensation, worker’s
compensation, and severance pay, are counted as income [24 CFR 5.609(b)(5)] if they are received
either in the form of periodic payments or in the form of a lump-sum amount or prospective monthly
amounts for the delayed start of a periodic payment. If they are received in a one-time lump sum (as
a settlement, for instance), they are treated as lump-sum receipts [24 CFR 5.609(c)(3)]. (See also the
discussion of periodic payments in section 6-I.H and the discussion of lump-sum receipts in section
6-I.G.)
6-I.J. Welfare Assistance
Overview
Welfare assistance is counted in annual income. Welfare assistance includes Temporary Assistance
for Needy Families (TANF) and any payments to individuals or families based on need that are
made under programs funded separately or jointly by federal, state, or local governments [24 CFR
5.603(b)].
Sanctions Resulting in the Reduction of Welfare Benefits [24 CFR 5.615]
The PHA must make a special calculation of annual income when the welfare agency imposes
certain sanctions on certain families. The full text of the regulation at 24 CFR 5.615 is provided as
Exhibit 6-5. The requirements are summarized below. This rule applies only if a family was
receiving HCV assistance at the time the sanction was imposed.
Covered Families
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The families covered by 24 CFR 5.615 are those “who receive welfare assistance or other public
assistance benefits (‘welfare benefits’) from a State or other public agency (’welfare agency’) 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 such assistance” [24 CFR 5.615(b)]
Imputed Income
When a welfare agency imposes a sanction that reduces a family’s welfare income because the
family commits fraud or fails to comply with the agency’s economic self-sufficiency program or
work activities requirement, the PHA must include in annual income “imputed” welfare income. The
PHA must request that the welfare agency provide the reason for the reduction of benefits and the
amount of the reduction of benefits. The imputed welfare income is the amount that the benefits
were reduced as a result of the sanction.
This requirement does not apply to reductions in welfare benefits: (1) at the expiration of the lifetime
or other time limit on the payment of welfare benefits, (2) if a family member is unable to find
employment even though the family member has complied with the welfare agency economic self-
sufficiency or work activities requirements, or (3) because a family member has not complied with
other welfare agency requirements [24 CFR 5.615(b)(2)].
Offsets
The amount of the imputed welfare income is offset by the amount of additional income the family
begins to receive after the sanction is imposed. When the additional income equals or exceeds the
imputed welfare income, the imputed income is reduced to zero [24 CFR 5.615(c)(4)].
6-I.K. Periodic and Determinable Allowances [24 CFR 5.609(b)(7)]
Annual income includes periodic and determinable allowances, such as alimony and child support
payments, and regular contributions or gifts received from organizations or from persons not
residing with an assisted family.
Alimony and Child Support
The PHA must count alimony or child support amounts awarded as part of a divorce or separation
agreement.
PHA Policy
The PHA will count court-awarded amounts for alimony and child support unless the PHA
receives and verifies that (1) the payments are not being made and (2) the family has made
reasonable efforts to collect amounts due, including filing with courts or agencies
responsible for enforcing payments [HCV GB, pp. 5-23 and 5-47].
Families who do not have court-awarded alimony and child support awards are not required
to seek a court award and are not required to take independent legal action to obtain
collection.
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Regular Contributions or Gifts
The PHA must count as income regular monetary and nonmonetary contributions or gifts from
persons not residing with an assisted family [24 CFR 5.609(b)(7)]. Temporary, nonrecurring, or
sporadic income and gifts are not counted [24 CFR 5.609(c)(9)].
PHA Policy
Examples of regular contributions include: (1) regular payment of a family’s bills (e.g.,
utilities, telephone, rent, credit cards, and car payments), (2) cash or other liquid assets
provided to any family member on a regular basis, and (3) “in-kind” contributions such as
groceries and clothing provided to a family on a regular basis.
Nonmonetary contributions will be valued at the cost of purchasing the items, as determined
by the PHA. For contributions that may vary from month to month (e.g., utility payments),
the PHA will include an average amount based upon past history.
6-I.L. Student Financial Assistance [24 CFR 5.609(b)(9); Notice PIH 2015-21]
In 2005, Congress passed a law (for Section 8 programs only) requiring that certain student financial
assistance be included in annual income. Prior to that, the full amount of student financial assistance
was excluded. For some students, the full exclusion still applies.
Student Financial Assistance Included in Annual Income [24 CFR 5.609(b)(9); Notice PIH
2015-21]
The regulation requiring the inclusion of certain student financial assistance applies only to students
who satisfy all of the following conditions:
• They are enrolled in an institution of higher education, as defined under the Higher
Education Act (HEA) of 1965.
• They are seeking or receiving Section 8 assistance on their own—that is, apart from their
parents—through the HCV program, the project-based voucher program, or the moderate
rehabilitation program.
• They are under 24 years of age OR they have no dependent children.
For students who satisfy these three conditions, any financial assistance in excess of tuition and any
other required fees and charges received: (1) under the 1965 HEA, (2) from a private source, or (3)
from an institution of higher education, as defined under the 1965 HEA, must be included in annual
income.
To determine annual income in accordance with the above requirements, the PHA will use the
definitions of dependent child, institution of higher education, and parents in Section 3-II.E, along
with the following definitions [FR 4/10/06, pp. 18148-18150]:
• Assistance under the Higher Education Act of 1965 includes Pell Grants, Federal
Supplement Educational Opportunity Grants, Academic Achievement Incentive
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Scholarships, State Assistance under the Leveraging Educational Assistance Partnership
Program, the Robert G. Byrd Honors Scholarship Program, and Federal Work Study
programs.
• Assistance from private sources means assistance from nongovernmental sources,
including parents, guardians, and other persons not residing with the student in an HCV
assisted unit.
• Tuition and fees are defined in the same manner in which the Department of Education
defines tuition and fees [Notice PIH 2015-21].
-
This is the amount of tuition and required fees covering a full academic year most
frequently charged to students.
-
The amount represents what a typical student would be charged and may not be the
same for all students at an institution.
-
If tuition is charged on a per-credit-hour basis, the average full-time credit hour load
for an academic year is used to estimate average tuition.
-
Required fees include all fixed-sum charges that are required of a large proportion of
all students. Examples include, but are not limited to, writing and science lab fees and
fees specific to the student’s major or program (i.e., nursing program).
-
Expenses related to attending an institution of higher education must not be included
as tuition. Examples include, but are not limited to, room and board, books, supplies,
meal plans, transportation and parking, student health insurance plans, and other non-
fixed-sum charges.
Student Financial Assistance Excluded from Annual Income [24 CFR 5.609(c)(6)]
Any student financial assistance not subject to inclusion under 24 CFR 5.609(b)(9) is fully excluded
from annual income under 24 CFR 5.609(c)(6), whether it is paid directly to the student or to the
educational institution the student is attending. This includes any financial assistance received by:
• Students residing with parents who are seeking or receiving Section 8 assistance
• Students who are enrolled in an educational institution that does not meet the 1965 HEA
definition of institution of higher education
• Students who are over 23 AND have at least one dependent child, as defined in
Section 3-II.E
• Students who are receiving financial assistance through a governmental program not
authorized under the 1965 HEA.
6-I.M. Additional Exclusions From Annual Income
Other exclusions contained in 24 CFR 5.609(c) that have not been discussed earlier in this chapter
include the following:
• Reimbursement of medical expenses [24 CFR 5.609(c)(4)]
• Amounts received by participants in other publicly assisted programs which are
specifically for or in reimbursement of out-of-pocket expenses incurred and which are
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made solely to allow participation in a specific program [24 CFR 5.609(c)(8)(iii)]
• 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) [(24 CFR 5.609(c)(8)(ii)]
• 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 [24 CFR
5.609(c)(10)]
• Adoption assistance payments in excess of $480 per adopted child [24 CFR 5.609(c)(12)]
• Refunds or rebates on property taxes paid on the dwelling unit [24 CFR 5.609(c)(15)]
• 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 [24 CFR 5.609(c)(16)]
• Amounts specifically excluded by any other federal statute [24 CFR 5.609(c)(17)]. FR
Notice 5/20/14]. HUD publishes an updated list of these exclusions periodically. It
includes:
(a) The value of the allotment provided to an eligible household under the Food Stamp
Act of 1977 (7 U.S.C. 2017 (b))
(b) Benefits under Section 1780 of the School Lunch Act and Child Nutrition Act of
1966, including WIC
(c) Payments to Volunteers under the Domestic Volunteer Services Act of 1973 (42
U.S.C. 5044(g), 5058)
(d) Payments received under the Alaska Native Claims Settlement Act (43 U.S.C.
1626(c))
(e) Income derived from certain submarginal land of the United States that is held in
trust for certain Indian tribes (25 U.S.C. 459e)
(f) Payments or allowances made under the Department of Health and Human Services’
Low-Income Home Energy Assistance Program (42 U.S.C. 8624(f))
(g) Payments received under programs funded in whole or in part under the Workforce
Investment Act of 1998 (29 U.S.C. 2931)
(h) Deferred disability benefits from the Department of Veterans Affairs, whether
received as a lump sum or in monthly prospective amounts
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(i) Income derived from the disposition of funds to the Grand River Band of Ottawa
Indians (Pub. L. 94-540, 90 Stat. 2503-04)
(j) Payments, funds, or distributions authorized, established, or directed by the Seneca
Nation Settlement Act of 1990 (25 U.S.C. 1774f(b))
(k) A lump sum or periodic payment received by an individual Indian pursuant to the
Class Action Settlement Agreement in the United States District Court case entitled
Elouise Cobell et al. v Ken Salazar et al, for a period of one year from the time of
receipt of that payment as provided in the Claims Resolution Act of 2010.
(l) The first $2,000 of per capita shares received from judgment funds awarded by the
Indian Claims Commission or the U. S. Claims Court, the interests of individual
Indians in trust or restricted lands, including the first $2,000 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)
(m) Benefits under the Indian Veterans Housing Opportunity Act of 2010 (only applies
to Native American housing programs)
(n) Payments received from programs funded under Title V of the Older Americans Act
of 1985 (42 U.S.C. 3056(f))
(o) Payments received on or after January 1, 1989, from the Agent Orange Settlement
Fund or any other fund established pursuant to the settlement in In Re Agent Orange-
product liability litigation, M.D.L. No. 381 (E.D.N.Y.)
(p) Payments received under 38 U.S.C. 1833(c) to children of Vietnam veterans born
with spinal bifida, children of women Vietnam veterans born with certain birth
defects, and children of certain Korean service veterans born with spinal bifida
(q) Payments received under the Maine Indian Claims Settlement Act of 1980 (25
U.S.C. 1721)
(r) 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)
(s) Earned income tax credit (EITC) refund payments received on or after
January 1, 1991 (26 U.S.C. 32(j))
(t) 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)
(u) Amounts of scholarships funded under Title IV of the Higher Education Act of
1965j, including awards under federal work-study programs or under the Bureau of
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Indian Affairs student assistance programs (20 U.S.C 1087uu). For Section 8
programs, the exception found in § 237 of Public Law 109-249 applies and requires
that the amount of financial assistance in excess of tuition and mandatory fees shall
be considered income in accordance with the provisions codified at 24 CFR
5.609(b)(9), except for those person with disabilities as defined by 42 U.S.C.
1437a(b)(3)(E) (Pub. L. 109-249) (See Section 6-I.L. for exceptions.)
(v) Allowances, earnings and payments to AmeriCorps participants under the National
and Community Service Act of 1990 (42 U.S.C. 12637 (d))
(w) 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)
(x) Any amounts in an “individual development account” as provided by the Assets for
Independence Act, as amended in 2002
(y) Payments made from the proceeds of Indian tribal trust cases as described in Notice
PIH 2013-30, “Exclusions from Income of Payments under Recent Tribal Trust
Settlements” (25 U.S.C. 117b(a))
(z) Major disaster and emergency assistance received under the Robert T. Stafford
Disaster Relief and Emergency Assistance Act and comparable disaster assistance
provided by states, local governments and disaster assistance organizations
(aa) Distributions from an ABLE account, and actual or imputed interest on the ABLE
account balance
PART II: ADJUSTED INCOME
6-II.A. Introduction
Overview
HUD regulations require PHAs to deduct from annual income any of five mandatory deductions for
which a family qualifies. The resulting amount is the family’s adjusted income. Mandatory deductions
are found in 24 CFR 5.611.
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5.611(a) Mandatory deductions. In determining adjusted income, the responsible entity
[PHA] must deduct the following amounts from annual income:
(1) $480 for each dependent;
(2) $400 for any elderly family or disabled family;
(3) The sum of the following, to the extent the sum exceeds three percent of annual income:
(i) Unreimbursed medical expenses of any elderly family or disabled family;
(ii) Unreimbursed reasonable attendant care and auxiliary apparatus expenses for each
member of the family who is a person with disabilities, to the extent necessary to enable
any member of the family (including the member who is a person with disabilities) to be
employed. This deduction may not exceed the earned income received by family
members who are 18 years of age or older and who are able to work because of such
attendant care or auxiliary apparatus; and
(4) Any reasonable childcare expenses necessary to enable a member of the family to be
employed or to further his or her education.
This part covers policies related to these mandatory deductions. Verification requirements related to
these deductions are found in Chapter 7.
Anticipating Expenses
PHA Policy
Generally, the PHA will use current circumstances to anticipate expenses. When possible, for
costs that are expected to fluctuate during the year (e.g., child care during school and non-
school periods and cyclical medical expenses), the PHA will estimate costs based on historic
data and known future costs.
If a family has an accumulated debt for medical or disability assistance expenses, the PHA
will include as an eligible expense the portion of the debt that the family expects to pay
during the period for which the income determination is being made. However, amounts
previously deducted will not be allowed even if the amounts were not paid as expected in a
preceding period. The PHA may require the family to provide documentation of payments
made in the preceding year.
6-II.B. Dependent Deduction
An allowance of $480 is deducted from annual income for each dependent [ 24 CFR 5.611(a)(1)].
Dependent is defined as any family member other than the head, spouse, or cohead who is under the
age of 18 or 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 [24 CFR 5.603(b)].
6-II.C. Elderly Or Disabled Family Deduction
A single deduction of $400 is taken for any elderly or disabled family [24 CFR 5.611(a)(2)]. An
elderly family is a family whose head, spouse, cohead, or sole member is 62 years of age or older,
and a disabled family is a family whose head, spouse, cohead, or sole member is a person with
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disabilities [24 CFR 5.403].
6-II.D. Medical Expenses Deduction [24 CFR 5.611(a)(3)(i)]
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 cohead is
at least 62 or is a person with disabilities. If a family is eligible for a medical expense deduction, the
medical expenses of all family members are counted [VG, p. 28].
Definition of Medical Expenses
HUD regulations define medical expenses at 24 CFR 5.603(b) to mean “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.”
PHA Policy
The most current IRS Publication 502, Medical and Dental Expenses, will be used to
determine the costs that qualify as medical expenses.
Summary of Allowable Medical Expenses from IRS Publication 502
Services of medical professionals
Surgery and medical procedures that are
necessary, legal, noncosmetic
Services of medical facilities
Hospitalization, long-term care, and in-
home nursing services
Prescription medicines and insulin, but
not nonprescription medicines even if
recommended by a doctor
Improvements to housing directly related
to medical needs (e.g., ramps for a wheel
chair, handrails)
Substance abuse treatment programs
Psychiatric treatment
Ambulance services and some costs of
transportation related to medical
expenses
The cost and care of necessary
equipment related to a medical
condition (e.g., eyeglasses/lenses,
hearing aids, crutches, and artificial
teeth)
Cost and continuing care of 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.
PHA Policy
The cost of medical marijuana is not considered a deductible medical expense.
Families that Qualify for Both Medical and Disability Assistance Expenses
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PHA Policy
This policy applies only to families in which the head, spouse, or cohead is 62 or older or is a
person with disabilities.
When expenses anticipated by a family could be defined as either medical or disability
assistance expenses, the PHA will consider them medical expenses unless it is clear that the
expenses are incurred exclusively to enable a person with disabilities to work.
6-II.E. Disability Assistance Expenses Deduction [24 CFR 5.603(b) and 24 CFR 5.611(a)(3)(ii)]
Reasonable expenses for attendant care and auxiliary apparatus for a disabled family member may
be deducted if they: (1) are necessary to enable a family member 18 years or older to work, (2) are
not paid to a family member or reimbursed by an outside source, (3) in combination with any
medical expenses, exceed three percent of annual income, and (4) 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 [24 CFR 5.603(b)].
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 [24
CFR 5.611(a)(3)(ii)]. The earned income used for this purpose is the amount verified before any
earned income disallowances or income exclusions are applied.
PHA Policy
The family must identify the family members enabled to work as a result of the disability
assistance expenses. In evaluating the family’s request, the PHA 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.
When the PHA determines that the disability assistance expenses enable more than one
family member to work, the expenses will be capped by the sum of the family members’
incomes.
Eligible Disability Expenses
Examples of auxiliary apparatus are provided in the HCV Guidebook as follows: “Auxiliary
apparatus are items such as wheelchairs, ramps, adaptations to vehicles, or special equipment to
enable a blind person to read or type, but only if these items are directly related to permitting the
disabled person or other family member to work” [HCV GB, p. 5-30].
HUD advises PHAs to further define and describe auxiliary apparatus [VG, p. 30].
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Eligible Auxiliary Apparatus
PHA Policy
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.
Eligible Attendant Care
The family determines the type of attendant care that is appropriate for the person with disabilities.
PHA Policy
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, personal services necessary to enable the person with disabilities
to work are eligible.
If the care attendant also provides other services to the family, the PHA will prorate the cost
and allow only that portion of the expenses attributable to attendant care that enables a family
member to work. For example, if the care provider also cares for a child who is not the
person with disabilities, the cost of care must be prorated. Unless otherwise specified by the
care provider, the calculation will be based upon the number of hours spent in each activity
and/or the number of persons under care.
Payments to Family Members
No disability assistance expenses may be deducted for payments to a member of an assisted family
[24 CFR 5.603(b)]. However, expenses paid to a relative who is not a member of the assisted family
may be deducted if they are not reimbursed by an outside source.
Necessary and Reasonable Expenses
The family determines the type of care or auxiliary apparatus to be provided and 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 or reimbursed by any other source.
PHA Policy
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The PHA determines the reasonableness of the expenses based on typical costs of care or
apparatus in the locality. To establish typical costs, the PHA will collect information from
organizations that provide services and support to persons with disabilities. A family may
present, and the PHA will consider, the family’s justification for costs that exceed typical
costs in the area.
Families that Qualify for Both Medical and Disability Assistance Expenses
PHA Policy
This policy applies only to families in which the head or spouse is 62 or older or is a person
with disabilities.
When expenses anticipated by a family could be defined as either medical or disability
assistance expenses, the PHA will consider them medical expenses unless it is clear that the
expenses are incurred exclusively to enable a person with disabilities to work.
6-II.F. Child Care Expense Deduction
HUD defines child care expenses at 24 CFR 5.603(b) as “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.”
Clarifying the Meaning of Child for This Deduction
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 [VG, p. 26]. 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 [HCV GB, p. 5-29].
Qualifying for the Deduction
Determining Who Is Enabled to Pursue an Eligible Activity
PHA Policy
The family must identify the family member(s) enabled to pursue an eligible activity. 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, the PHA will consider factors such as how the schedule
for the claimed activity relates to the hours of care provided, the time required for
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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
PHA Policy
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 do not commensurate with the childcare expense being allowed by the PHA.
Furthering Education
PHA Policy
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 commensurate with the childcare claimed.
Being Gainfully Employed
PHA Policy
If the childcare 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, there is no cap on the amount
that may be deducted for childcare – although the care must still be necessary and reasonable.
However, when childcare enables a family member to work, the deduction is capped by “the amount
of employment income that is included in annual income” [24 CFR 5.603(b)].
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 with disabilities who receives the earned income
disallowance (EID) or a full-time student whose earned income above $480 is excluded, childcare 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.
The PHA must not limit the deduction to the least expensive type of childcare. If the care allows the
family to pursue more than one eligible activity, including work, the cap is calculated in proportion
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to the amount of time spent working [HCV GB, p. 5-30].
PHA Policy
When the childcare expense being claimed is to enable a family member to work, only one
family member’s income will be considered for a given period of time. When more than one
family member works during a given period, the PHA generally will limit allowable
childcare expenses to the earned income of the lowest-paid member. The family may provide
information that supports a request to designate another family member as the person enabled
to work.
Eligible Child Care Expenses
The type of care to be provided is determined by the assisted family. The PHA may not refuse to
give a family the childcare expense deduction because there is an adult family member in the
household that may be available to provide childcare [VG, p. 26].
Allowable Child Care Activities
PHA Policy
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 (e.g., summer day camp, after-school sports league) are
allowable forms of childcare.
The costs of general housekeeping and personal services are not eligible. Likewise, childcare
expenses paid to a family member who lives in the family’s unit are not eligible; however,
payments for childcare to relatives who do not live in the unit are eligible.
If a childcare provider also renders other services to a family or childcare is used to enable a
family member to conduct activities that are not eligible for consideration, the PHA will
prorate the costs and allow only that portion of the expenses that is attributable to childcare
for eligible activities. For example, if the care provider also cares for a child with disabilities
who is 13 or older, the cost of care will be prorated. Unless otherwise specified by the
childcare provider, the calculation will be based upon the number of hours spent in each
activity and/or the number of persons under care.
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.
PHA Policy
Child care expenses will be considered for the time required for the eligible activity plus
reasonable transportation time. For childcare that enables a family member to go to school,
the time allowed may include not more than one study hour for each hour spent in class.
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To establish the reasonableness of childcare costs, the PHA will use the schedule of childcare
costs from the local welfare agency that either subsidizes child care costs or licenses child
care providers. Families may present, and the PHA will consider, justification for costs that
exceed typical costs in the area.
PART III: CALCULATING FAMILY SHARE AND PHA SUBSIDY
6-III.A. Overview of Rent and Subsidy Calculations
TTP Formula [24 CFR 5.628]
HUD regulations specify the formula for calculating the total tenant payment (TTP) for an assisted
family. TTP is the highest of the following amounts, rounded to the nearest dollar:
• 30 percent of the family’s monthly adjusted income (adjusted income is defined in Part
II)
• 10 percent of the family’s monthly gross income (annual income, as defined in Part I,
divided by 12)
• The welfare rent (in as-paid states only)
• A minimum rent between $0 and $50 that is established by the PHA
The PHA has authority to suspend and exempt families from minimum rent when a financial
hardship exists, as defined in section 6-III.B.
The amount that a family pays for rent and utilities (the family share) will never be less than the
family’s TTP but may be greater than the TTP depending on the rent charged for the unit the family
selects.
Welfare Rent [24 CFR 5.628]
PHA Policy
Welfare rent does not apply in this locality.
Minimum Rent [24 CFR 5.630]
PHA Policy
The minimum rent for this locality is $50.
Family Share [24 CFR 982.305(a)(5)]
If a family chooses a unit with a gross rent (rent to owner plus an allowance for tenant-paid utilities)
that exceeds the PHA’s applicable payment standard: (1) the family will pay more than the TTP, and
(2) at initial occupancy the PHA may not approve the tenancy if it would require the family share to
exceed 40 percent of the family’s monthly adjusted income. The income used for this determination
must have been verified no earlier than 60 days before the family’s voucher was issued. (For a
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discussion of the application of payment standards, see section 6-III.C.)
PHA Subsidy [24 CFR 982.505(b)]
The PHA will pay a monthly housing assistance payment (HAP) for a family that is equal to the lower
of (1) the applicable payment standard for the family minus the family’s TTP or (2) the gross rent for
the family’s unit minus the TTP. (For a discussion of the application of payment standards, see
section 6-III.C.)
Utility Reimbursement [24 CFR 982.514(b); 982.514(c)]
When the PHA subsidy for a family exceeds the rent to owner, the family is due a utility
reimbursement. HUD permits the PHA to pay the reimbursement to the family or directly to the
utility provider.
PHA Policy
The PHA will make utility reimbursements monthly to the electric utility company(s) of their
choice, and the family will be notified in writing.
Partial Month Calculations for Housing Assistance Payment (HUD letter dated 10/29/2009 and
Chapter 9 of HUD Handbook 4350.3)
PHA Policy
The partial month calculation for move-ins, move-outs and transfers are by dividing the
monthly assistance amount by the actual number of days in the month and multiplying the
result by actual number of days the resident lived in the unit.
6-III.B. Financial Hardships Affecting Minimum Rent [24 CFR 5.630]
Overview
If the PHA establishes a minimum rent greater than zero, the PHA must grant an exemption from the
minimum rent if a family is unable to pay the minimum rent because of financial hardship.
The financial hardship exemption applies only to families required to pay the minimum rent. If a
family’s TTP is higher than the minimum rent, the family is not eligible for a hardship exemption. If
the PHA determines that a hardship exists, the family share is the highest of the remaining
components of the family’s calculated TTP.
HUD-Defined Financial Hardship
Financial hardship includes the following situations:
(1)
The family has lost eligibility for or is awaiting an eligibility determination for a federal, state,
or local assistance program. This includes a family member who is a noncitizen lawfully
admitted for permanent residence under the Immigration and Nationality Act who would be
entitled to public benefits but for Title IV of the Personal Responsibility and Work Opportunity
Act of 1996.
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PHA Policy
A hardship will be considered to exist only if the loss of eligibility has an impact on
the family’s ability to pay the minimum rent.
For a family waiting for a determination of eligibility, the hardship period will end as
of the first of the month following (1) implementation of assistance, if approved, or
(2) the decision to deny assistance. A family whose request for assistance is denied
may request a hardship exemption based upon one of the other allowable hardship
circumstances.
(2) The family would be evicted because it is unable to pay the minimum rent.
PHA Policy
For a family to qualify under this provision, the cause of the potential eviction must
be the family’s failure to pay rent to the owner or tenant-paid utilities.
(3) Family income has decreased because of changed family circumstances, including the loss of
employment.
(4) A death has occurred in the family.
PHA Policy
In order to qualify under this provision, a family must describe how the death has
created a financial hardship (e.g., because of funeral-related expenses or the loss of
the family member’s income).
(5) The family has experienced other circumstances determined by the PHA.
PHA Policy
The PHA has not established any additional hardship criteria.
Implementation of Hardship Exemption
Determination of Hardship
When a family requests a financial hardship exemption, the PHA must suspend the minimum rent
requirement beginning the first of the month following the family’s request.
The PHA then determines whether the financial hardship exists and whether the hardship is
temporary (expected to last 90 days or less) or long-term.
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.
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Example: Impact of Minimum Rent Exemption
Assume the PHA has established a minimum rent of
$3550.
Family Share – No Hardship
Family Share – With Hardship
$0 30% of monthly adjusted income
$15 10% of monthly gross income
N/A Welfare rent
$3550
Minimum rent
$0 30% of monthly adjusted income
$15 10% of monthly gross income
N/A Welfare rent
$3550
Minimum rent
Minimum rent applies.
TTP = $3550
Hardship exemption granted.
TTP = $15
PHA Policy
To qualify for a hardship exemption, a family 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 family’s ability to pay the minimum rent.
The PHA will make the determination of hardship within 30 calendar days.
No Financial Hardship
If the PHA determines there is no financial hardship, the PHA will reinstate the minimum rent and
require the family to repay the amounts suspended.
PHA Policy
The PHA will require the family to repay the suspended amount within 30 calendar days of
the PHA’s notice that a hardship exemption has not been granted.
Temporary Hardship
If the PHA determines that a qualifying financial hardship is temporary, the PHA must suspend the
minimum rent for the 90-day period beginning the first of the month following the date of the
family’s request for a hardship exemption.
At the end of the 90-day suspension period, the family must resume payment of the minimum rent and
must repay the PHA the amounts suspended. HUD requires the PHA to offer a reasonable repayment
agreement, on terms and conditions established by the PHA. The PHA also may determine that
circumstances have changed and the hardship is now a long-term hardship.
PHA Policy
The PHA will enter into a repayment agreement in accordance with the procedures found in
Chapter 16 of this plan.
Long-Term Hardship
If the PHA determines that the financial hardship is long-term, the PHA must exempt the family
from the minimum rent requirement for so long as the hardship continues. The exemption will apply
from the first of the month following the family’s request until the end of the qualifying hardship.
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When the financial hardship has been determined to be long-term, the family is not required to repay
the minimum rent.
PHA Policy
The hardship period ends when any of the following circumstances apply:
(1) At an interim or annual reexamination, the family’s calculated TTP is greater than the
minimum rent.
(2) For hardship conditions based on loss of income, the hardship condition will continue to
be recognized until new sources of income are received that are at least equal to the
amount lost. For example, if a hardship is approved because a family no longer receives a
$60/month child support payment, the hardship will continue to exist until the family
receives at least $60/month in income from another source or once again begins to
receive the child support.
(3) 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.
6-III.C. Applying Payment Standards [24 CFR 982.505; 982.503(b)]
Overview
The PHA’s schedule of payment standards is used to calculate housing assistance payments for HCV
families. This section covers the application of the PHA’s payment standards. The establishment and
revision of the PHA’s payment standard schedule are covered in Chapter 16.
Payment standard is defined as “the maximum monthly assistance payment for a family assisted in
the voucher program (before deducting the total tenant payment by the family)” [24 CFR 982.4(b)].
The payment standard for a family is the lower of (1) the payment standard for the family unit size,
which is defined as the appropriate number of bedrooms for the family under the PHA’s subsidy
standards [24 CFR 982.4(b)], or (2) the payment standard for the size of the dwelling unit rented by
the family.
If the PHA has established an exception payment standard for a designated part of a zip code area or
FMR area and a family’s unit is located in the exception area, the PHA must use the appropriate
payment standard for the exception area.
The PHA is required to pay a monthly housing assistance payment (HAP) for a family that is the
lower of (1) the payment standard for the family minus the family’s TTP or (2) the gross rent for the
family’s unit minus the TTP.
If during the term of the HAP contract for a family’s unit, the owner lowers the rent, the PHA will
recalculate the HAP using the lower of the initial payment standard or the gross rent for the unit
[HCV GB, p. 7-8].
Changes in Payment Standards
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When the PHA revises its payment standards during the term of the HAP contract for a family’s unit,
it will apply the new payment standards in accordance with HUD regulations.
Decreases
If a PHA changes its payment standard schedule, resulting in a lower payment standard amount,
during the term of a HAP contract, the PHA is not required to reduce the payment standard used to
calculate subsidy for families under HAP contract as long as the HAP contract remains in effect [FR
Notice 11/16/16].
However, if the PHA does choose to reduce the payment standard for families currently under HAP
contract, the initial reduction to the payment standard may not be applied any earlier than the
effective date of the family’s second regular reexamination following the effective date of the
decrease in the payment standard amount. At that point, the PHA may either reduce the payment
standard to the current amount in effect on the PHA’s payment standard schedule, or may reduce the
payment standard to another amount that is higher than the normally applicable amount on the
schedule. The PHA may also establish different policies for designated areas within their jurisdiction
(e.g., different zip code areas).
In any case, the PHA must provide the family with at least 12 months’ notice that the payment
standard is being reduced before the effective date of the change. The PHA’s policy on decreases in
the payment standard during the term of the HAP contract apply to all families under HAP contract
at the time of the effective date of the decrease in the payment standard within the designated area.
PHA Policy
If a PHA changes its payment standard schedule resulting in a lower payment standard
amount, during the term of a HAP contract, the PHA will not reduce the payment standard
used to calculate subsidy for families under HAP contract as long as the HAP contract
remains in effect.
The PHA will not establish different policies for decreases in the payment standard for
designated areas within their jurisdiction.
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 family beginning
on the effective date of the family’s first regular reexamination on or after the effective date of the
increase in the payment standard.
Families requiring or requesting interim reexaminations will not have their HAP payments
calculated using the higher payment standard until their next annual reexamination [HCV GB, p. 7-
8].
Changes in Family Unit Size
Irrespective of any increase or decrease in the payment standard, if the family unit size increases or
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decreases during the HAP contract term, the new family unit size must be used to determine the
payment standard for the family beginning at the family’s first regular reexamination following the
change in family unit size.
Reasonable Accommodation
If a family requires a higher payment standard as a reasonable accommodation for a family member
who is a person with disabilities, the PHA is allowed to establish a higher payment standard for the
family of not more than 120 percent of the published FMR.
Exception payment standards must remain in effect until or unless a higher exception payment
standard is warranted, requested, and subsequently approved [PIH Notice 2013-18].
6-III.D. Applying Utility Allowances [2014 Appropriations act]
Overview
A PHA-established utility allowance schedule is used in determining family share and PHA subsidy.
A family's utility allowance is determined by the size of dwelling unit leased by a family or the
voucher unit size for which the family qualifies using PHA subsidy standards, whichever is the
lowest of the two. See Chapter 5 for information on the PHA’s subsidy standards.
For policies on establishing and updating utility allowances, see Chapter 16.
Reasonable Accommodation
HCV program regulations require a PHA to approve a utility allowance amount higher than shown
on the PHA’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, the PHA will approve an allowance for air-conditioning, even if the PHA has
determined that an allowance for air-conditioning generally is not needed.
The family must request the higher allowance and provide the PHA with an explanation of the need
for the reasonable accommodation and information about the amount of additional allowance
required [HCV GB, p. 18-8].
Utility Allowance Revisions
At reexamination, the PHA must use the current schedule [HCV GB p.18- 8 ].
PHA Policy
Revised utility allowances will be applied to a family’s rent and subsidy calculations at the
first annual reexamination that is effective after the allowance is adopted.
Under section 242 of the 2014 Appropriations Act effective July 01, 2014, the utility allowance for a
family shall be the lower of: (1) The utility allowance amount for the family unit size; or (2) the
utility allowance amount for the unit size the unit rented by the family. The utility allowance will be
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implemented for current program participants at the next annual reexamination, provided that the
PHA is able to provide a family with at least 60 days’ notice prior to the reexamination.
PHA Policy
The current participants received notification of the 2014 appropriations act on July 1, 2014.
6-III.E. Prorated Assistance for Mixed Families [24 CFR 5.520]
HUD regulations prohibit assistance to ineligible family members. A mixed family is one that
includes at least one U.S. citizen or eligible immigrant and any number of ineligible family
members. The PHA must prorate the assistance provided to a mixed family. The PHA will first
determine assistance as if all family members were eligible and then prorate the assistance based
upon the percentage of family members that actually are eligible. For example, if the PHA subsidy
for a family is calculated at $500 and two of four family members are ineligible, the PHA subsidy
would be reduced to $250.
EXHIBIT 6-1: Annual Income Inclusions
24 CFR 5.609
(a) Annual income means all amounts,
monetary or not, which:
(1) Go to, or on behalf of, the family head or
spouse (even if temporarily absent) or to any
other family member; or
(2) Are anticipated to be received from a source
outside the family during the 12-month period
following admission or annual reexamination
effective date; and
(3) Which are not specifically excluded in
paragraph (c) of this section.
(4) Annual income also means amounts derived
(during the 12-month period) from assets to
which any member of the family has access.
(b) Annual income includes, but is not limited
to:
(1) The full amount, before any payroll
deductions, of wages and salaries, overtime pay,
commissions, fees, tips and bonuses, and other
compensation for personal services;
(2) 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;
(3) 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
depreciation is permitted only as authorized in
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paragraph (b)(2) of this section. Any
withdrawal of cash or assets from an
investment will be included in income,
except to the extent the withdrawal is
reimbursement of cash or assets invested by
the family. Where 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, as
determined by HUD;
(4) The full amount of periodic amounts
received from Social Security, annuities,
insurance policies, retirement funds,
pensions, disability or death benefits, and
other similar types of periodic receipts,
including a lump-sum amount or
prospective monthly amounts for the
delayed start of a periodic amount (except as
provided in paragraph (c)(14) of this
section);
(5) Payments in lieu of earnings, such as
unemployment and disability compensation,
worker's compensation and severance pay
(except as provided in paragraph (c)(3) of this
section);
(6) Welfare assistance payments.
(i) Welfare assistance payments made under the
Temporary Assistance for Needy Families
(TANF) program are included in annual income
only to the extent such payments:
(A) Qualify as assistance under the TANF
program definition at 45 CFR 260.311; and
(B) Are not otherwise excluded under paragraph
(c) of this section.
(ii) If the welfare assistance payment includes
an amount specifically designated for shelter
and utilities that is subject to adjustment by the
welfare assistance agency in accordance with
the actual cost of shelter and utilities, the
amount of welfare assistance income to be
included as income shall consist of:
1 Text of 45 CFR 260.31 follows.
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HHS DEFINITION OF
"ASSISTANCE"
(A) The amount of the allowance or grant
exclusive of the amount specifically designated
for shelter or utilities; plus
(B) The maximum amount that the welfare
assistance agency could in fact allow the family
for shelter and utilities. If the family's welfare
assistance is ratably reduced from the standard
of need by applying a percentage, the amount
calculated under this paragraph shall be the
amount resulting from one application of the
percentage.
(7) Periodic and determinable allowances, such
as alimony and child support payments, and
regular contributions or gifts received from
organizations or from persons not residing in
the dwelling;
(8) All regular pay, special pay and allowances
of a member of the Armed Forces (except as
provided in paragraph (c)(7) of this section)
(9) For section 8 programs only and as provided
in 24 CFR 5.612, any financial assistance, in
excess of amounts received for tuition, that an
individual receives under the Higher Education
Act of 1965 (20 U.S.C. 1001 et seq.), from
private sources, or from an institution of higher
education (as defined under the Higher
Education Act of 1965 (20 U.S.C. 1002)), shall
be considered income to that individual, except
that financial assistance described in this
paragraph is not considered annual income for
persons over the age of 23 with dependent
children. For purposes of this paragraph,
“financial assistance” does not include loan
proceeds for the purpose of determining
income.
45 CFR: GENERAL
TEMPORARY ASSISTANCE
FOR NEEDY FAMILIES
260.31 What does the term “assistance”
mean?
(a)(1) The term “assistance” includes cash,
payments, vouchers, and other forms of
benefits designed to meet a family’s ongoing
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basic needs (i.e., for food, clothing,
shelter, utilities, household goods,
personal care items, and general
incidental expenses).
(2) It includes such benefits even when
they are:
(i) Provided in the form of payments by
a TANF agency, or other agency on its
behalf, to individual recipients; and
(ii) Conditioned on participation in
work experience or community
service (or any other work activity
under 261.30 of this chapter).
(3) Except where excluded under paragraph
(b) of this section, it also includes
supportive
services
such
as
transportation and child care provided to
families who are not employed.
(b) [The definition of “assistance”] excludes:
(1) Nonrecurrent, short-term benefits that:
(i) Are designed to deal with a specific
crisis situation or episode of need;
(ii) Are not intended to meet
recurrent or ongoing needs; and
(iii) Will not extend beyond four months.
(2) Work subsidies (i.e., payments to
employers or third parties to help
cover the costs of employee wages,
benefits, supervision, and training);
(3) Supportive services such as child care
and transportation provided to families
who are employed;
(4) Refundable earned income tax credits;
(5) Contributions to, and distributions
from, Individual Development
Accounts;
(6) Services such as counseling, case
management, peer support, child care
information and referral, transitional
services, job retention, job advancement,
and other employment-related services
that do not provide basic income
support; and
(7) Transportation benefits provided
under a Job Access or Reverse
Commute project, pursuant to section
404(k) of [the Social Security] Act, to
an individual who is not otherwise
receiving assistance.
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EXHIBIT 6-2: Annual Income Exclusions
24 CFR 5.609
(c) Annual income does not include the
following:
(1) Income from employment of children
(including foster children) under the age of 18
years;
(2) 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);
(3) 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);
(4) Amounts received by the family that are
specifically for, or in reimbursement of, the
cost of medical expenses for any family
member;
(5) Income of a live-in aide, as defined in Sec.
5.403;
(6) Subject to paragraph (b)(9) of this section,
the full amount of student financial assistance
paid directly to the student or to the
educational institution;
(7) The special pay to a family member
serving in the Armed Forces who is exposed
to hostile fire;
(8) (i) Amounts received under training
programs funded by HUD;
(ii) 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);
(iii) 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;
(iv) Amounts received under a resident
service stipend. A resident service stipend is a
modest amount (not to exceed $200 per
month) received by a resident for performing
a service for the PHA 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, resident
initiatives coordination, and serving as a
member of the PHA's governing board. No
resident may receive more than one such
stipend during the same period of time;
(v) 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 resident 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;
(9) Temporary, nonrecurring or sporadic
income (including gifts);
(10) 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;
(11) Earnings in excess of $480 for each full-
time student 18 years old or older (excluding
the head of household and spouse);
(12) Adoption assistance payments in excess
of $480 per adopted child;
(13) [Reserved]
(14) Deferred periodic amounts from
supplemental security income and social
security benefits that are received in a lump
sum amount or in prospective monthly
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amounts, or any deferred Department of
Veterans Affairs disability benefits that are
received in a lump sum amount or prospective
monthly amounts.
(15) 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;
(16) 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
(17) 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. A notice will be
published in the Federal Register and
distributed to PHAs and housing owners
identifying the benefits that qualify for this
exclusion. Updates will be published and
distributed when necessary. [See Section 6-
I.M. for a list of benefits that qualify for this
exclusion.]
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EXHIBIT 6-3: Treatment of Family Assets
24 CFR 5.603(b) 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.
(2) 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 Sec.
5.609.
(3) 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 therefor. 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.
(4) For purposes of determining annual income
under Sec. 5.609, the term "net family assets''
does not include the value of a home currently
being purchased with assistance under part 982,
subpart M of this title. This exclusion is limited
to the first 10 years after the purchase date of
the home.
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EXHIBIT 6-4: Earned Income Disallowance for Persons with Disabilities
24 CFR 5.617 Self-sufficiency incentives for persons with disabilities–Disallowance of increase in
annual income.
(a) Applicable programs. The disallowance of
earned income provided by this section is
applicable only to the following programs:
HOME Investment Partnerships Program (24
CFR part 92); Housing Opportunities for
Persons with AIDS (24 CFR part 574);
Supportive Housing Program (24 CFR part
583); and the Housing Choice Voucher Program
(24 CFR part 982).
(b) Definitions. The following definitions apply
for purposes of this section.
Baseline income. The annual income
immediately prior to implementation of the
disallowance described in paragraph (c)(1) of
this section of a person with disabilities (who is
a member of a qualified family).
Disallowance. Exclusion from annual income.
Previously unemployed includes a person with
disabilities who has earned, in the twelve
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.
Qualified family. A family residing in housing
assisted under one of the programs listed in
paragraph (a) of this section or receiving tenant-
based rental assistance under one of the
programs listed in paragraph (a) of this section.
(1) 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;
(2) 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
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(3) 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.
(c) Disallowance of increase in
annual income—
(1) Initial twelve month exclusion. During
the 12-month period beginning on the date a
member who is a person with disabilities of
a qualified family is first employed or the
family first experiences an increase in
annual income attributable to employment,
the responsible entity must exclude from
annual income (as defined in the regulations
governing the applicable program listed in
paragraph (a) of this section) of a qualified
family any increase in income of the family
member who is a person with disabilities as
a result of employment over prior income of
that family member.
(2) Second twelve month exclusion and
phase- in. Upon expiration of the 12-
month period defined in paragraph (c)(1)
of this section and for the subsequent 12-
month period, the responsible entity must
exclude from annual
income of a qualified family at least 50 percent
of any increase in income of such family
member as a result of employment over the
family member’s baseline income. (3)
Maximum 2-year disallowance. The
disallowance of increased income of an
individual family member who is a person with
disabilities as provided in paragraph (c)(1) or
(c)(2) of this section is limited to a lifetime 24-
month period. The disallowance applies for a
maximum of 12 months for disallowance under
paragraph (c)(1) of this section and a maximum
of 12 months for disallowance under paragraph
(c)(2) of this section, during the 24- month
period starting from the initial exclusion under
paragraph (c)(1) of this section.
(4) Effect of changes on currently participating
families. 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 this section in effect as it existed
immediately prior to that date (see 24 CFR parts
0 to 199, revised as of April 1, 2016).
(d) Inapplicability to admission. The
disallowance of increases in income as a result
of employment of persons with disabilities
under this section does not apply for purposes of
admission to the program (including the
determination of income eligibility or any
income targeting that may be applicable)
EXHIBIT 6-5: The Effect of Welfare Benefit
Reduction
24 CFR 5.615
Public housing program and Section 8
tenant-based assistance program: How
welfare benefit reduction affects family
income.(a) Applicability. This section applies
to covered families who reside in public
housing (part 960 of this title) or receive
Section 8 tenant-based assistance (part 982 of
this title).
(b) Definitions. The following definitions
apply for purposes of this section:
Covered families. Families who receive
welfare assistance or other public assistance
benefits ("welfare benefits'') from a State or
other public agency ("welfare agency'') 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 such
assistance.
Economic self-sufficiency program. See
definition at Sec. 5.603.
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 nonetheless included
in the family's annual income for purposes of
determining rent.
Specified welfare benefit reduction.
(1) A reduction of welfare benefits by the
welfare agency, in whole or in part, for a
family member, as determined by the welfare
agency, because of fraud by a family member
in connection with the welfare program; or
because of welfare agency sanction against a
family member for noncompliance with a
welfare agency requirement to participate in
an economic self-sufficiency program.
(2) "Specified welfare benefit reduction'' does
not include a reduction or termination of
welfare benefits by the welfare agency:
(i) at expiration of a lifetime or other time
limit on the payment of welfare benefits;
(ii) because a family member is not
able to obtain employment, even
though the family member has
complied with welfare agency
economic self-sufficiency or work
activities requirements; or
(iii) because a family member
has not complied with other
welfare agency requirements.
(c) Imputed welfare income.(1) A
family's annual income includes the
amount of imputed welfare income
(because of a specified welfare benefits
reduction, as specified in notice to the
PHA by the welfare agency), plus the
total amount of other annual income as
determined in accordance with Sec.
5.609.
(2) At the request of the PHA, the
welfare agency will inform the PHA in
writing of the amount and term of any
specified welfare benefit reduction for a
family member, and the reason for such
reduction, and will also inform the PHA
of any subsequent changes in the term
or amount of such specified welfare
benefit reduction. The PHA will use
this information to determine the
amount of imputed welfare income for
a family.
(3) A family's annual income includes
imputed welfare income in family
annual income, as determined at the
PHA's interim or regular
reexamination of family income and
composition, during the term of the
welfare benefits reduction (as
specified in information provided to
the PHA by the welfare agency).
(4) The amount of the imputed welfare
income is offset by the amount of
additional income a family receives
that commences after the time the
sanction was imposed. When such
additional income from other sources
is at least equal to the imputed
(5) The PHA may not include imputed
welfare income in annual income if the
family was not an assisted resident at the
time of sanction.
(d) Review of PHA decision.
(1) Public housing. If a public housing tenant
claims that the PHA has not correctly
calculated the amount of imputed welfare
income in accordance with HUD
requirements, and if the PHA denies the
family's request to modify such amount, the
PHA shall give the tenant written notice of
such denial, with a brief explanation of the
basis for the PHA determination of the
amount of imputed welfare income. The PHA
notice shall also state that if the tenant does
not agree with the PHA determination, the
tenant may request a grievance hearing in
accordance with part 966, subpart B of this
title to review the PHA determination. The
tenant is not required to pay an escrow
deposit pursuant to Sec. 966.55(e) for the
portion of tenant rent attributable to the
imputed welfare income in order to obtain a
grievance hearing on the PHA determination.
(2) Section 8 participant. A participant in the
Section 8 tenant-based assistance program
may request an informal hearing, in
accordance with Sec. 982.555 of this title, to
review the PHA determination of the amount
of imputed welfare income that must be
included in the family's annual income in
accordance with this section. If the family
claims that such amount is not correctly
calculated in accordance with HUD
requirements, and if the PHA denies the
family's request to modify such amount, the
PHA shall give the family written notice of
such denial, with a brief explanation of the
basis for the PHA determination of the
amount of imputed welfare income. Such
notice shall also state that if the family does
not agree with the PHA determination, the
family may request an informal hearing on
the determination under the PHA hearing
procedure.
(e) PHA relation with welfare agency.
(1) The PHA must ask welfare agencies to
inform the PHA of any specified welfare
benefits reduction for a family member, the
reason for such reduction, the term of any
such reduction, and any subsequent welfare
agency determination affecting the amount or
term of a specified welfare benefits
reduction. If the welfare agency determines a
specified welfare benefits reduction for a
family member, and gives the PHA written
notice of such reduction, the family's annual
incomes shall include the imputed welfare
income because of the specified welfare
benefits reduction.
(2) The PHA is responsible for determining
the amount of imputed welfare income that is
included in the family's annual income as a
result of a specified welfare benefits
reduction as determined by the welfare
agency, and specified in the notice by the
welfare agency to the PHA. However, the
PHA is not responsible for determining
whether a reduction of welfare benefits by
the welfare agency was correctly determined
by the welfare agency in accordance with
welfare program requirements and
procedures, nor for providing the opportunity
for review or hearing on such welfare agency
determinations.
(3) Such welfare agency determinations are
the responsibility of the welfare agency, and
the family may seek appeal of such
determinations through the welfare agency's
normal due process procedures. The PHA
shall be entitled to rely on the welfare agency
notice to the PHA of the welfare agency's
determination of a specified welfare benefits
reduction.
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Chapter 7
Verification
[24 CFR 982.516, 24 CFR 982.551, 24 CFR 5.230 Notice PIH 2018-18]
Introduction
The PHA must verify all information that is used to establish the family’s eligibility and level of
assistance and is required to obtain the written authorization from the family in order to collect the
information. Applicants and program participants must cooperate with the verification process as a
condition of receiving assistance. The PHA must not pass on the cost of verification to the family.
The PHA will follow the verification guidance provided by HUD in Notice PIH 2018-18 and any
subsequent guidance issued by HUD. This chapter summarizes those requirements and provides
supplementary PHA policies.
Part I describes the general verification process. Part II provides more detailed requirements
related to family information . Part III provides information on income and assets, and Part IV
covers mandatory deductions .
Verification policies, rules and procedures will be modified as needed to accommodate persons
with disabilities. All information obtained through the verification process will be handled in
accordance with the records management policies of the PHA.
PART I. GENERAL VERIFICATION REQUIREMENTS
7-I.A. Family Consent to Release of Information [24 CFR 982.516 AND 982.551, 24
CFR 5.230]
The family must supply any information that the PHA or HUD determines is necessary to the
administration of the program and must consent to PHA verification of that information [24 CFR
982.551].
Consent Forms
It is required that all adult applicants and participants sign form HUD-9886, Authorization for
Release of Information. The purpose of form HUD-9886 is to facilitate automated data collection
and computer matching from specific sources and provides the family's consent only for the
specific purposes listed on the form. HUD and the PHA may collect information from State Wage
Information Collection Agencies (SWICAs) and current and former employers of adult family
members. Only HUD is authorized to collect information directly from the Internal Revenue
Service (IRS) and the Social Security Administration (SSA). Adult family members must sign
other consent forms as needed to collect information relevant to the family’s eligibility and level
of assistance.
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Penalties for Failing to Consent [24 CFR 5.232]
If any family member who is required to sign a consent form fails to do so, the PHA will deny
admission to applicants and terminate assistance of participants. The family may request an
informal review (applicants) or informal hearing (participants) in accordance with PHA
procedures.
7-I.B. OVERVIEW OF VERIFICATION REQUIREMENTS
HUD’s Verification Hierarchy [Notice PIH 2018-18]
HUD mandates the use of the EIV system and offers administrative guidance on the use of other
methods to verify family information and specifies the circumstances in which each method will
be used. In general HUD requires the PHA to use the most reliable form of verification that is
available and to document the reasons when the PHA uses a lesser form of verification.
PHAs should begin with the highest level of verification techniques.
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Note: This verification hierarchy applies to income determinations for applicants and
participants. However, EIV is not available for verifying income of applicants.
Each of the verification methods is discussed in subsequent sections below.
Requirements for Acceptable Documents
PHA Policy
Any documents used for verification must be the original (not photocopies) and generally
must be dated within 60 days of the PHA request. The documents must not be damaged,
altered or in any way illegible.
Print-outs from Web pages are considered original documents. The PHA staff member who
views the original document must make a photocopy, annotate the copy with the name of
the person who provided the document and the date the original was viewed, and sign the
copy.
Any family self-certifications must be made in a format acceptable to the PHA and must be
signed in the presence of a notary public or a PHA representative or PHA notary public. If
a waiver is in place, self-certification may be received without a notary public stamp and
the originals will be viewed and notarized at a later date in line with current waivers.if a
notary public is not available, except for assets of less than $5,000. See 6-I.G. regarding
the temporary provision established in notice PIH 2013-03.
File Documentation
The PHA 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 the
PHA 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.
PHA Policy
The PHA will document, in the family file, the following:
• Reported family annual income
• Value of assets
• Expenses related to deductions from annual income
• Other factors influencing the adjusted income or income-based rent determination
When the PHA is unable to obtain third- party verification, the PHA will document in the family
file the reason that third-party verification was not available [24 CFR 982.516(a)(2);Notice PIH
2018-18]]
7-I.C. Up-Front Income Verification (UIV)
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Up-front income verification (UIV) refers to the PHA’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 the PHA.
There may be legitimate differences between the information provided by the family and UIV
generated information. If the family disputes the accuracy of UIV data., No no adverse action can be
taken until the PHA has independently verified the UIV information and the family has been granted
an opportunity to contest any adverse findings through the informal review/hearing process of the
PHA. See Chapter 6 for the PHA’s policy on the use of UIV/EIV to project annual income.
Upfront Income Verification Using HUD’s Enterprise Income Verification (EIV)
System (Mandatory)
PHAs must use HUD’s EIV system in its entirety as a third-party source to verify tenant
employment and income information during mandatory reexaminations or recertifications of family
composition and income in accordance with 24 CFR 5.236 and administrative guidance issued by
HUD. The EIV system contains data showing earned income, unemployment benefits, social
security benefits, and SSI benefits for participant families. The following policies apply to the use of
HUD’s EIV system.
EIV Income and IVT Reports
The data shown on income and income validation tool (IVT) reports is updated quarterly.
Data may be between 3 and 6 months old at the time reports are generated.
PHA Policy
The PHA will obtain EIV and IVT income reports for annual reexaminations on a monthly
basis. Reports will be generated as part of the regular reexamination process.
Income and IVT reports will be compared to family-provided information as part of the
annual reexamination process. Income reports may be used in the calculation of annual
income, as described in Chapter 6-I.C. Income reports may also be used to meet the
regulatory requirement for third party verification, as described above.
Policies for resolving discrepancies between income reports and family-provided
information will be resolved as described in Chapter 6-I.C. and in this chapter.
Income and IVT reports will be used in interim reexaminations to identify any
discrepancies between reported income and income shown in the EIV system, and as
necessary to verify earned income, and to verify and calculate unemployment benefits,
Social Security and/or SSI benefits. EIV will also be used to verify that families claiming
zero income are not receiving income from any of these sources.
Income and IVT reports will be retained in participant files with the applicable annual
or interim reexamination documents.
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When the PHA 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 in Chapter 14, Program Integrity.
EIV Identity Verification
The EIV system verifies tenant identities against SSA records. These records are compared to PIC
data for a match on social security number, name, and date of birth.
PHAs are required to use EIV’s Identity Verification Report on a monthly basis to improve the
availability to income information in EIV [Notice PIH 2018-18].
When identity verification for a participant fails, a message will be displayed within the EIV
system and no income information will be displayed.
PHA Policy
The PHA will identify participants whose identity verification has failed by reviewing
EIV’s Identity Verification Report on a monthly basis.
The PHA will attempt to resolve PIC/SSA discrepancies by obtaining appropriate
documentation from the participant. When the PHA determines that discrepancies exist
due to PHA errors such as spelling errors or incorrect birth dates, the errors will be
corrected promptly.
Upfront Income Verification Using Non-HUD Systems (Optional)
In addition to mandatory use of the EIV system, HUD encourages PHAs to utilize other upfront
verification sources.
PHA Policy
The PHA will inform all applicants and participants of its possible use of the
following UIV resources during the admission and reexamination process:
HUD’s EIV
System The Work
Number Verify
today.com
Verifydirect.com
Past-Employ.com
7-I.D. Third-Party Written and Oral Verification
HUD’s current verification hierarchy defines two types of written third-party verification. The more
preferable form, “written third-party verification,” consists of an original document generated by a
third-party source, which may be received directly from a third-party source or provided to the PHA
by the family. If written third-party verification is not available, the PHA must attempt to obtain a
“written third-party verification form.” This is a standardized form used to collect information from a
Formatted: Indent: Left: 0", Right: 0.37",
Space Before: 0 pt
7-6
third party.
Written Third-Party Verification [Notice PIH 2018-18]
Written third-party verification documents must be original and authentic and may be supplied by
the family or received from a third-party source.
Examples of acceptable 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.
The PHA is required to obtain, at minimum, two current and consecutive pay stubs for
determining annual income from wages.
The PHA may reject documentation provided by the family if the document is not an original, if the
document appears to be forged, or if the document is altered, mutilated, or illegible.
PHA Policy
Third-party documents provided by the family must be dated within 60 days of the PHA
request date.
If the PHA determines that third-party documents provided by the family are not
acceptable, the PHA will explain the reason to the family and request additional
documentation.
As verification of earned income, the PHA will require the family to provide the two most
current, consecutive pay stubs, or where at least two months’ worth of income can be
verified. At the PHA’s discretion, if additional paystubs (or verification of income) are
needed due to the family’s circumstances (e.g., sporadic income, fluctuating schedule,
etc.), the PHA may request additional paystubs, payroll record, or other types of
verification of income.
Written Third-Party Verification Form
When upfront verification is not available and the family is unable to provide written third-party
documents, the PHA must request a written third-party verification form. HUD’s position is that
this traditional third-party verification method presents administrative burdens and risks which may
be reduced through the use of family-provided third-party documents.
PHAs may mail, fax, or e-mail third-party written verification form requests to third-party
sources.
PHA Policy
The PHA will send third-party verification forms directly to the third party. Third-party
verification forms will be sent when third-party verification documents are unavailable or are
rejected by the PHA.
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Oral Third-Party Verification [Notice PIH 2018-18]
For third-party oral verification, PHAs contact sources, identified by UIV techniques or by the
family, by telephone or in person.
Oral third-party verification is mandatory if neither 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 a reasonable time—e.g., 10 business days.
PHAs should document in the file the date and time of the telephone call or visit, the name of the
person contacted, the telephone number, as well as the information confirmed.
PHA Policy
In collecting third-party oral verification, PHA staff will record in the family’s file the
name and title of the person contacted, the date and time of the conversation (or attempt),
the telephone number used, and the facts provided.
When any source responds verbally to the initial written request for verification the PHA
will accept the verbal response as oral verification but will also request that the source
complete and return any verification forms that were provided.
When Third-Party Verification is Not Required [Notice PIH 2018-18]
Third-party verification may not be available in all situations. HUD has acknowledged that it may
not be cost-effective or reasonable to obtain third-party verification of income, assets, or expenses
when these items would have a minimal impact on the family’s total tenant payment.
PHA Policy
If the family cannot provide original documents, the PHA will pay the service charge
required to obtain third-party verification, unless it is not cost effective in which case a
self-certification will be acceptable as the only means of verification. The cost of
verification will not be passed on to the family.
The cost of postage and envelopes to obtain third-party verification of income, assets, and
expenses is not an unreasonable cost [VG, p. 18].
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
HUD permits PHAs to accept a self-certification from a family as verification of assets disposed of for
less than fair market value [HCV GB, p. 5-28].
7-8
PHA Policy
The PHA will accept a self-certification from the family as verification of assets disposed
of for less than fair market value.
Value of Assets and Asset Income [24 CFR 982.516(a)]
For families with net assets totaling $5,000 or less, the PHA may accept the family’s declaration of
asset value and anticipated asset income. However, the PHA is required to obtain third-party
verification of all assets regardless of the amount during the intake process and at least every three
years thereafter.
PHA Policy
For families with net assets totaling $5,000 or less, the PHA will accept the family’s self-
certification of the value of family assets and anticipated asset income when applicable.
The family’s declaration must show each asset and the amount of income expected from
that asset. All family members 18 years of age and older must sign the family’s declaration.
The PHA will use third-party documentation for assets as part of the intake process,
whenever a family member is added to verify the individual’s assets, and every three years
thereafter.
7-I.E. Self-Certification
When HUD requires third-party verification, self-certification, or “tenant declaration”, is used as a
last resort when the PHA is unable to obtain third-party verification.
Self-certification, however, is an acceptable form of verification when:
• A source of income is fully excluded
• Net family assets total $5,000 or less and the PHA has adopted a policy to accept self-
certification at annual recertification, when applicable
• The PHA has adopted a policy to implement streamlined annual recertifications for fixed
sources of income (See Chapter 11)
When the PHA was required to obtain third-party verification, but instead relies on a tenant
declaration for verification of income, assets in excess of $5,000, or expenses, the family’s file
must be documented to explain why third-party verification was not available.
PHA Policy
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 the PHA.
The PHA may require a family to certify that a family member does not receive a particular
type of income or benefit.
The self-certification must be made in a format acceptable to the PHA 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 a notary public. If a waiver is in place, self-certification
7-9
may be received without a notary public stamp and the originals will be viewed and
notarized at a later date in line with current waivers.
PART II. VERIFYING FAMILY INFORMATION
7-II.A. Verification of Legal Identity
PHA Policy
The PHA 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
Certified school records
U.S. military discharge (DD 214)
Current U.S. passport
Current Government Employer
identification card with photo
If a document submitted by a family is illegible for any reason or otherwise questionable,
more than one of these documents may be required.
If none of these documents can be provided and at the PHA’s discretion, a third party who
knows the person may attest to the person’s identity. The certification must be provided in a
format acceptable to the PHA and be signed in the presence of a notary public. If a waiver is
in place, self-certification may be received without a notary public stamp and the originals
will be viewed and notarized at a later date in line with current waivers.
Legal identity will be verified for all applicants at the time of eligibility determination and in
cases where the PHA has reason to doubt the identity of a person representing him or herself to
be a participant.
7-II.B. Social Security Numbers [24 CFR 5.216 and Notice PIH2018-18]
The family must provide documentation of a valid social security number (SSN) for each member
of the household, with the exception of individuals who do not contend eligible immigration status.
Exemptions also include, existing program participants who were at least 62 years of age as of
January 31, 2010, and had not previously disclosed an SSN.
The PHA must accept the following documentation as acceptable evidence of the social security
number:
7-10
• An original SSN card issued by the Social Security Administration (SSA)
• An original SSA-issued document, which contains the name and SSN of the individual
• An original document issued by a federal, state, or local government agency,
which contains the name and SSN of the individual, along with other identifying
information of the individual
• Such other evidence of the SSN as HUD may prescribe in administrative instructions
The PHA may only reject documentation of an SSN provided by an applicant or participant if the
document is not an original document or if the original document has been altered, mutilated, is
illegible, or appears to be forged.
PHA Policy
The PHA will explain to the applicant or participant the reasons the document is not
acceptable and request that the individual obtain and submit acceptable documentation of
the SSN to the PHA within 90 days.
In the case of Moderate Rehabilitation Single Room Occupancy (SRO) individuals, the required
documentation must be provided within 90 calendar days from the date of admission into the
program. The PHA must grant one additional 90-day extension if it determines that the applicant’s
failure to comply was due to circumstances that were beyond the applicant’s control and could not
have been reasonably foreseen.
PHA Policy
The PHA will grant one additional 90-day extension if needed for reasons beyond the
participant’s control such as delayed processing of the SSN application by the SSA,
natural disaster, fire, death in the family, or other emergency. If the individual fails to
comply with SSN disclosure and documentation requirements upon expiration of the
provided time period, the PHA will terminate the individual’s assistance.
If an applicant family includes a child under 6 years of age who joined the household within the 6
months prior to the date of voucher issuance, an otherwise eligible family may be admitted to the
program and the family must provide documentation of the child’s SSN within 90 days of the
effective date of the initial HAP contract. A 90-day extension will be granted if the PHA determines
that the participant’s failure to comply was due to unforeseen circumstances and was outside of the
participant’s control.
PHA Policy
The PHA will grant one additional 90-day extension if needed for reasons beyond the
applicant’s control, such as delayed processing of the SSN application by the SSA, natural
disaster, fire, death in the family, or other emergency.
When a participant requests to add a new household member who is at least 6 years of age, or
who is under the age of 6 and has an SSN, the participant must provide the complete and
accurate SSN assigned to each new member at the time of reexamination or recertification, in
addition to the documentation required to verify it. The PHA may not add the new household
member until such documentation is provided.
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When a participant requests to add a new household member who is under the age of 6 and has not
been assigned an SSN, the participant must provide the SSN assigned to each new child and the
required documentation within 90 calendar days of the child being added to the household. A 90-
day extension will be granted if the PHA determines that the participant’s failure to comply was due
to unforeseen circumstances and was outside of the participant’s control. During the period the PHA
is awaiting documentation of the SSN, the child will be counted as part of the assisted household.
PHA Policy
The PHA will grant one additional 90-day extension if needed for reasons beyond the
participant’s control such as delayed processing of the SSN application by the SSA,
natural disaster, fire, death in the family, or other emergency.
Social security numbers must be verified only once during continuously-assisted occupancy.
PHA Policy
The PHA will verify each disclosed SSN by:
Obtaining documentation from applicants and participants that is acceptable as
evidence of social security numbers
Making a copy of the original documentation submitted, returning it to the
individual, and retaining a copy in the file folder
Once the individual’s verification status is classified as “verified,” the PHA may remove and destroy
copies of documentation accepted as evidence of social security numbers by no later than the next
reexamination.
PHA Policy
Once an individual’s status is classified as “verified” in HUD’s EIV system, the PHA
will remove and destroy copies of documentation accepted as evidence of social security
numbers by no later than the next reexamination.
7-II.C. Documentation of Age
A birth certificate or other official record of birth is the preferred form of age verification for all
family members. For elderly family members an original document that provides evidence of the
receipt of social security retirement benefits is acceptable.
PHA Policy
If an official record of birth or evidence of social security retirement benefits cannot be
provided, the PHA 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.
Age must be verified only once during continuously-assisted occupancy.
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7-II.D. Family Relationships
Applicants and program participants are required to identify the relationship of each household
member to the head of household. Definitions of the primary household relationships are provided in
the Eligibility chapter.
PHA Policy
Family relationships are verified only to the extent necessary to determine a family’s
eligibility and level of assistance. Certification by the head of household normally is
sufficient verification of family relationships.
Marriage
PHA Policy
Certification by the head of household is normally sufficient verification. If the PHA has
reasonable doubts about a marital relationship, the PHA will require the family to
document the marriage.
A marriage certificate generally is required to verify that a couple is married.
In the case of a common law marriage, the couple must demonstrate that they hold
themselves to be married (e.g., by telling the community they are married, calling each
other husband and wife, using the same last name, filing joint income tax returns).
Separation or Divorce
PHA Policy
Certification by the head of household is normally sufficient verification. If the PHA has
reasonable doubts about a separation or divorce, the PHA will require the family to provide
documentation of the divorce, or separation.
A certified copy of a divorce decree, signed by a court officer, is required to document that
a couple is divorced.
A copy of a court-ordered maintenance or other court record is required to document a
separation.
If no court document is available, documentation from a community-based agency will be
accepted.
Absence of Adult Member
PHA Policy
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).
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Foster Children and Foster Adults
PHA Policy
Third-party verification from the state or local government agency responsible for the
placement of the individual with the family is required.
7-II.E. Verification of Student Status
General Requirements
PHA Policy
The PHA requires 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 reports full-time student status for an adult other than the head, spouse,
or cohead.
The family reports child care expenses to enable a family member to further his or
her education.
The family includes a student enrolled in an institution of higher education.
Restrictions on Assistance to Students Enrolled in Institutions of Higher Education
This section applies only to students who are seeking assistance on their own, separately from their
parents. It does not apply to students residing with parents who are seeking or receiving HCV
assistance.
PHA Policy
In accordance with the verification hierarchy described in Section 7-1.B, the PHA will
determine whether the student is exempt from the restrictions in 24 CFR 5.612 by verifying
any one of the following exemption criteria:
The student is enrolled at an educational institution that does not meet the definition
of institution of higher education in the Higher Education Act of 1965 (see Section
Exhibit 3-2).
The student is at least 24 years old.
The student is a veteran, as defined in Section 3-II.E.
The student is married.
The student has at least one dependent child, as defined in Section 3-II.E.
If the PHA cannot verify at least one of these exemption criteria, the PHA will conclude that the
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student is subject to the restrictions on assistance at 24 CFR 5.612. In addition to verifying the
student’s income eligibility, the PHA will then proceed to verify either the student’s parents’
income eligibility (see Section 7-III.J) or the student’s independence from his/her parents (see
below).
Independent Student
PHA Policy
The PHA will verify a student’s independence from his/her parents to determine that the
student’s parents’ income is not relevant for determining the student’s eligibility by doing
all of the following:
Either reviewing and verifying previous address information to determine whether
the student has established a household separate from his/her parents for at least one
year or reviewing and verifying documentation relevant to determining whether the
student meets the U.S. Department of Education’s definition of independent student
(see Section 3-II.E)
Reviewing the student’s prior year income tax returns to verify the student is
independent or verifying the student meets the U.S. Department of Education’s
definition of independent student (see section 3-II. E.)
Requesting and obtaining written certification directly from the student’s parents
identifying the amount of support they will be providing to the student, even if the
amount of support is $0 , except in cases in which the PHA determines that the
student is a vulnerable youth (see section 3-II.E)
7-II.F. Documentation of Disability
The PHA must verify the existence of a disability in order to allow certain income disallowances
and deductions from income. The PHA is not permitted to inquire about the nature or extent of a
person’s disability [24 CFR 100.202(c)]. The PHA may not inquire about a person’s diagnosis or
details of treatment for a disability or medical condition. If the PHA receives a verification
document that provides such information, the PHA will not place this information in the tenant file.
Under no circumstances will the PHA request a participant’s medical record(s). For more
information on health care privacy laws, see the Department of Health and Human Services’ website
at http://www.hhs.gov/ocr/privacy/.
The above cited regulation does not prohibit the following inquiries, provided these inquiries are
made of all applicants, whether or not they are persons with disabilities [VG, p. 24]:
• Inquiry into an applicant’s ability to meet the requirements of ownership or tenancy
• Inquiry to determine whether an applicant is qualified for a dwelling available only to persons
with disabilities or to persons with a particular type of disability
• Inquiry to determine whether an applicant for a dwelling is qualified for a priority available to
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persons with disabilities or to persons with a particular type of disability
• Inquiring whether an applicant for a dwelling is a current illegal abuser or addict of a controlled
substance
• Inquiring whether an applicant has been convicted of the illegal manufacture or distribution of a
controlled substance
Family Members Receiving SSA Disability Benefits
Verification of the receipt of disability benefits from the Social Security Administration (SSA) is
sufficient verification of disability for the purpose of qualifying for waiting list preferences (if
applicable) or certain income disallowances and deductions [VG, p. 23].
PHA Policy
For family members claiming disability who receive disability benefits from the SSA, the
PHA will attempt to obtain information about disability benefits through the HUD
Enterprise Income Verification (EIV) system. If documentation from HUD’s EIV System
is not available, the PHA will request a current (dated within the last 60 days) SSA
benefit verification letter from each family member claiming disability status. If the
family is unable to provide the document(s), the PHA will ask the family to request a
benefit verification letter by either calling SSA at 1-800-772-1213, or by requesting it
from www.ssa.gov. Once the applicant or participant receives the benefit verification
letter they will be required to provide it to the PHA.
Family Members Not Receiving SSA Disability Benefits
Receipt of veteran’s disability benefits, worker’s compensation, or other non-SSA benefits based on
the individual’s claimed disability are not sufficient verification that the individual meets HUD’s
definition of disability in 24 CFR 5.603.
PHA Policy
For family members claiming disability who do not receive disability benefits from the
SSA, a knowledgeable professional must provide third-party verification that the family
member meets the HUD definition of disability. See the Eligibility chapter for the HUD
definition of disability. The knowledgeable professional will verify whether the family
member does or does not meet the HUD definition.
7-II.G. Citizenship or Eligible Immigration Status [24 CFR 5.508]
Overview
Housing assistance is not available to persons who are not citizens, nationals, or eligible immigrants.
Prorated assistance is provided for "mixed families" containing both eligible and ineligible persons. A
detailed discussion of eligibility requirements is in the Eligibility chapter. This verifications chapter
discusses HUD and PHA verification requirements related to citizenship status.
The family must provide a certification that identifies each family member as a U.S. citizen, a U.S.
national, an eligible noncitizen or an ineligible noncitizen and submit the documents discussed below
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for each family member. Once eligibility to receive assistance has been verified for an individual it
need not be collected or verified again during continuously-assisted occupancy [24 CFR 5.508(g)(5)]
U.S. Citizens and Nationals
HUD requires a declaration for each family member who claims to be a U.S. citizen or national. The
declaration must be signed personally by any family member 18 or older and by a guardian for minors.
The PHA may request verification of the declaration by requiring presentation of a birth
certificate, United States passport or other appropriate documentation.
PHA Policy
Family members who claim U.S. citizenship or national status will not be required to
provide additional documentation unless the PHA receives information indicating that an
individual’s declaration may not be accurate.
Eligible Immigrants
Documents Required
All family members claiming eligible immigration status must declare their status in the same
manner as U.S. citizens and nationals.
The documentation required for eligible noncitizens 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. Exhibit 7- 2 at the end of
this chapter summarizes documents family members must provide.
PHA Verification [HCV GB, pp. 5-3 and 5-7]
For family members age 62 or older who claim to be eligible immigrants, proof of age is required in the
manner described in 7-II.C. of this plan. No further verification of eligible immigration status is required.
For family members under the age of 62 who claim to be eligible immigrants, the PHA must verify
immigration status with the United States Citizenship and Immigration Services (USCIS).
The PHA will follow all USCIS protocols for verification of eligible immigration status.
7-II.H. Verification of Preference Status
The PHA must verify any preferences claimed by an applicant that determined placement on the
waiting list.
PHA Policy
The following preferences will determine the place of an applicant on the waitlist after
the lottery:
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A.
Displaced person(s): Individuals or families displaced by local government
action or 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. This preference may be verified through a partnering service
agency or other documentation showing eligibility for this preference.
B.
Living or working in City of Chandler: Applicant must physically live, work, or
be hired to work in the City of Chandler.
C.
Chronically Homeless: The following definition must be met. A chronically
homeless person as defined by the U.S. Department of HUD (24 CFR 578.3):
(1) A “homeless individual with a disability,” as defined in section 401(9) of the
McKinney–Vento Homeless Assistance Act (42 U.S.C. 11360(9)), who: (i) Lives
in a place not meant for human habitation, a safe haven, or in an emergency
shelter; and ii) Has been homeless and living as described in paragraph (1)(i) of
this definition continuously for at least 12 months or on at least 4 separate
occasions in the last 3 years, as long as the combined occasions equal at least 12
months and each break in homelessness separating the occasions included at
least 7 consecutive nights of not living as described in paragraph (1)(i). Stays in
institutional care facilities for fewer than 90 days will not constitute as a break in
homelessness, but rather such stays are included in the 12–month total, as long as
the individual was living or residing in a place not meant for human habitation, a
safe haven, or an emergency shelter immediately before entering the institutional
care facility; (2) An individual who has been residing in an institutional care
facility, including a jail, substance abuse or mental health treatment facility,
hospital, or other similar facility, for fewer than 90 days and met all of the
criteria in paragraph (1) of this definition, before entering that facility; or (3) A
family with an adult head of household (or if there is no adult in the family, a
minor head of household) who meets all of the criteria in paragraph (1) or (2) of
this definition, including a family whose composition has fluctuated while the
head of household has been homeless.
D.
Currently Employed/Employment Program: Families whose head, Spouse, or
Sole Member is employed. Applicants with an adult family member enrolled in
an employment training program or currently working (20) hours a week, or
attending school on a full-time basis. Documentation for head of household
and/or spouse to prove this preference may include: Verification of employment
training or full-time student status; check stubs or letter from an employer based
in the City of Chandler.
E.
Elderly families where the head of household or spouse is at least 62+ years of
age.
F.
Disabled families and families with a disabled household member. Verification
of disability to include either a letter from a medical provider stating permanent
disability or proof of receiving Social Security benefits for disability.
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PHA Policy
The PHA offers a preference for Displaced persons, Living or working in the City of Chandler,
families currently employed or attending a training program, elderly families where the head of
household or spouse is at least 62+ years of age, and disabled families and families with a
disabled household member.
The PHA may verify that the family qualifies for Displaced person(s) preference based on the
verification received from the local government that displaced the family or verification from
Federal Emergency Management Agency (FEMA). Additionally, the PHA may document any
external risk factors that have occurred in the past 12 months that affect the PHA (e.g. natural
disasters and PHA’s Continuity of Operations planning, local environmental risks, negative
media attention, market conditions, local hostility towards subsidized housing, etc).
The PHA may verify that the family qualifies for Living in the City of Chandler preference based
on the verification received from the landlord, driver’s license, post office, employer, or other
valid, third-party source.
The PHA may verify that the family qualifies for Chronically Homeless based on 1) referral
letter from a non-profit organization in which the applicant is enrolled or verifying their status
as an unaccompanied homeless person with a disabling condition and 2) printout from the
Homeless Management Information System (HMIS).
The PHA may verify that the family qualifies for Working in the City of Chandler preference
based on the verification received from the employer or the Internal Revenue Service (IRS)
documents.
The PHA may verify that the family qualifies for the working family preference based on the
verification received from the employer. If the employment verification is not received from the
employer within a reasonable amount of time, the family’s submission of the working member’s
most recent paycheck stub indicating that the working member works at least 20 hours per week
is acceptable. The paycheck stub must have been issued to the working member within the last
thirty days.
The PHA may verify that the family qualifies for adult family member(s) enrolled in an
employment-training program preference based on the verification received from the
institution or agency that is providing the employment-training program.
The PHA may verify that the family qualifies for an adult family member(s) attending
school preference based on the verification received from the school that indicates that the
adult family member(s) is attending on a full-time basis.
Elderly status will be verified by a birth certificate or other form of valid identification showing
birth date (e.g., Social Security documents, passport, etc.). Disabled status will be verified by a
Social Security Administration letter/document showing the person is disabled, or by a letter
received from a disability or medical professional willing to sign under oath that an individual
is disabled.
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PART III. VERIFYING INCOME AND ASSETS
Chapter 6, Part I of this plan describes in detail the types of income that are included and excluded
and how assets and income from assets are handled. Any assets and income reported by the family
ust be verified. This part provides PHA policies that supplement the general verification
procedures specified in Part I of this chapter.
7-III.A. Earned Income
Tips
PHA Policy
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.
Wages
PHA Policy
For wages other than tips, the family must provide originals of the two most current,
consecutive pay stubs.
7-III.B. Business and Self Employment Income
PHA Policy
Business owners and self-employed persons will be required to provide:
• 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 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.
The PHA will provide a format for any person who is unable to provide such a statement to
record income and expenses for the coming year. The business owner/self-employed
person will be required to submit the information requested and to certify to its accuracy at
all future reexaminations.
At any reexamination the PHA 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 less than three (3) months, the PHA 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 three (3) to twelve (12)
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months the PHA will require the family to provide documentation of income and expenses
for this period and use that information to project income.
7-III.C. Periodic Payments and Payments In Lieu of Earnings
For policies governing streamlined income determinations for fixed sources of income, please see
Chapter 11.
Social Security/SSI Benefits
PHA Policy
To verify the SS/SSI benefits of applicants, the PHA will request a current (dated within
the last 60 days) SSA benefit verification letter from each family member that receives
social security benefits. If the family is unable to provide the document(s), the PHA will
help the applicant request a benefit verification letter from SSA’s Website at www.ssa.gov
or ask the family to request one by calling SSA at 1-800-772-1213. Once the applicant has
received the benefit verification letter they will be required to provide it to the PHA.
To verify the SS/SSI benefits of participants, the PHA will obtain information about social
security/SSI benefits through the HUD EIV System and confirm with the participant(s) that
the current listed benefit amount is correct. If the participant disputes the EIV-reported
benefit amount, or if benefit information is not available in HUD systems, the PHA will
request a current SSA benefit verification letter from each family member that receives
social security benefits. If the family is unable to provide the document(s) the PHA will
help the participant request a benefit verification letter from SSA;s Web site at
www.ssa.gov or ask the family to request one by calling SSA at 1-80-772-1213. Once the
participant has received the benefit verification letter they will be required to provide it to
the PHA.
7-III.D. Alimony or Child Support
PHA Policy
The methods the PHA will use to verify alimony and child support payments differ
depending on whether the family declares that it receives regular payments.
If the family declares that it receives regular payments, verification will be
obtained in the following order of priority:
Copies of the receipts and/or payment stubs for the 60 days prior to PHA
request.
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.
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If the family declares that it receives irregular or no payments, in addition to the
verification process listed above, the family must provide evidence that it has taken all
reasonable efforts to collect amounts due. This may include:
A statement from any agency responsible for enforcing payment that shows
the family has requested enforcement and is cooperating with all
enforcement efforts.
If the family has made independent efforts at collection, a written statement
from the attorney or other collection entity that has assisted the family in
these efforts.
Note: Families are not required to undertake independent enforcement action.
7-III.E. Assets and Income from Assets
Temporary Provisions
PIH 2013-03 established temporary guidelines for public housing agencies in fulfilling certain
Public Housing and Housing Choice Voucher program requirements during this period of
decreased resources available to public housing authorities. The temporary provisions established
are available until March 31, 2014. This notice allows a PHA to accept a family’s declaration of
the amount of assets of less than $5,000, and the amount of income expected to be received from
those assets. The PHA’s application and reexamination documentation, which is signed by all
adult family members, can serve as the declaration. Where the family has net family assets equal
to or less than $5,000, the PHAs does not need to request supporting documentation (e.g. bank
statements) from the family to confirm the assets or the amount of income expected to be received
from those assets. Where the family has net family assets in excess of $5,000, the PHA must
obtain supporting documentation (e.g. bank statements) from the family to confirm the assets.
Any assets will continue to be reported on HUD form 50058.
PHA Policy
The temporary provision (PIH 2013-03) will be adopted to allow households to self-certify
as to having assets of less than $5,000.
The full application will serve as the family’s declaration and staff does not need to request
supporting documentation.
Assets Disposed of for Less than Fair Market Value
The family must certify whether any assets have been disposed of for less than fair market value in
the preceding two years. The PHA needs to verify only those certifications that warrant
documentation [HCV GB, p. 5-28].
PHA Policy
The PHA will verify the value of assets disposed of only if:
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Example 1: An elderly participant reported a $10,000 certificate of deposit at the last
annual reexamination and the PHA verified this amount. Now the person reports that
she has given this $10,000 to her son. The PHA has a reasonable estimate of the
value of the asset; therefore, re-verification of the value of the asset is not necessary.
Example 2: A family member has disposed of its 1/4 share of real property located
in a desirable area and has valued her share at approximately $5,000. Based upon
market conditions, this declaration does not seem realistic.
Therefore, the PHA will verify the value of this asset.
The PHA does not already have a reasonable estimation of its value from
previously collected information, or
The amount reported by the family in the certification appears obviously
in error.
7-III.F. Net Income From Rental Property
PHA Policy
The family must provide:
A current executed lease for the property that shows the rental amount or
certification from the current tenant
A self-certification from the family members engaged in the rental of property
providing an estimate of expenses for the coming year and the most recent IRS
Form 1040 with Schedule E (Rental Income).
If schedule E was not prepared, the PHA 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.
7-III.G. Retirement Accounts
PHA Policy
The PHA will accept written third-party documents supplied by the family as evidence of
the status of retirement accounts.
Type of original document that will be accepted depends upon the family member’s
retirement status.
Before retirement, the PHA 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
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date of the examination.
Upon retirement, the PHA 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, the PHA will accept an original document from the entity holding
the account dated no earlier than 12 months before that reflects any distributions of
the account balance, any lump sums taken and any regular payments.
7-III.H. Income From Excluded Sources
A detailed discussion of excluded income is provided in Chapter 6, Part I.
HUD guidance on verification of excluded income draws a distinction between income which is
fully excluded and income which is only partially excluded.
For fully excluded income, the PHA 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 as income that is entirely excluded from the annual income determination (for
example, food stamps, earned income of a minor, or foster care funds) [Notice PIH 2013-04].
PHAs may accept a family’s signed application or reexamination form as self-certification of fully
excluded income. They do not have to require additional documentation. However, if there is any
doubt that a source of income qualifies for full exclusion, PHAs have the option of requiring
additional verification.
For partially excluded income, the PHA is required to follow the verification hierarchy and all
applicable regulations, and to report the income on the 50058. 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).
PHA Policy
The PHA will accept the family’s self-certification as verification of fully excluded
income. The PHA may request additional documentation if necessary to document the
income source.
The PHA will verify the source and amount of partially excluded income as described in
Part 1 of this chapter.
7-III.I. Zero Annual Income Status
PHA Policy
The PHA will check UIV sources and/or request information from third-party sources to
verify that certain forms of income such as unemployment benefits, TANF, SS, SSI, and
earnings are not being received by Families claiming to have zero annual income.
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7-III.J. Student Financial Assistance [Notice PIH 2015-21]
Any financial assistance, in excess of amounts received for tuition, fees, and other required
charges that a person attending an institution of higher education receives under the Higher
Education Act of 1965, from private sources, or from an institution of higher education must be
considered income unless the student is over the age of 23 with dependent children or is residing
with parents who are seeking or receiving HCV assistance [24 CFR 5.609(b)(9) and FR 4/10/06].
For students over the age of 23 with dependent children or students residing with parents who are
seeking or receiving HCV assistance, the full amount of student financial assistance is excluded
from annual income [24 CFR 5.609(c)(6)]. The full amount of student financial assistance is also
excluded for students attending schools that do not qualify as institutions of higher education (as
defined in Exhibit 3-2). Excluded amounts are verified only if, without verification, the PHA
would not be able to determine whether or to what extent the income is to be excluded (see Section
7-III.H).
PHA Policy
For a student subject to having a portion of his/her student financial assistance included in
annual income in accordance with 24 CFR 5.609(b)(9), the PHA will request written third-
party verification of both the source and the amount. Family provided documents from the
educational institution attended by the student will be requested, as well as documents
generated by any other person or entity providing such assistance, as reported by the
student.
In addition, the PHA will request written verification of the student’s tuition, fees, and other
required charges. amount.
If the PHA is unable to obtain third-party written verification of the requested information,
the PHA will pursue other forms of verification following the verification hierarchy in
Section 7-I.B.
7-III.K. Parental Income of Students Subject to Eligibility Restrictions
If a student enrolled at an institution of higher education is under the age of 24, is not a veteran, is
not married, and does not have a dependent child, the income of the student’s parents must be
considered when determining income eligibility, unless the student is determined independent
from his or her parents or a vulnerable youth in accordance with PHA policy [24 CFR 5.612 FR
Notice 4/10/06, p. 18146 and FR Notice 9/21/16].
This provision does not apply to students residing with parents who are seeking or receiving HCV
assistance. It is limited to students who are seeking or receiving assistance on their own, separately
from their parents.
PHA Policy
If the PHA is required to determine the income eligibility of a student’s parents, the PHA
will request an income declaration and certification of income from the appropriate
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parent(s) (as determined in Section 3-II.E). The PHA will send the request directly to the
parents, who will be required to certify to their income under penalty of perjury. The
parents will be required to submit the information directly to the PHA. The required
information must be submitted (postmarked) within 10 business days of the date of the
PHA’s request or within any extended timeframe approved by the PHA.
The PHA reserves the right to request and review supporting documentation at any time if
it questions the declaration or certification. Supporting documentation may include, but is
not limited to, Internal Revenue Service (IRS) tax returns, consecutive and original pay
stubs, bank statements, pension benefit statements, benefit award letters, and other official
and authentic documents from a federal, state, or local agency.
PART IV. VERIFYING MANDATORY DEDUCTIONS
7-IV.A. Dependent and Elderly/Disabled Household Deductions
The dependent and elderly/disabled family deductions require only that the PHA verify that the
family members identified as dependents or elderly/disabled persons meet the statutory definitions.
No further verifications are required.
Dependent Deduction
See Chapter 6 (6-II.B.) for a full discussion of this deduction. The PHA will verify that:
Any person under the age of 18 for whom the dependent deduction is claimed is not the head,
spouse, or cohead of the family and is not a foster child
Any person age 18 or older for whom the dependent deduction is claimed is not a foster adult
or live-in aide, and is a person with a disability or a full time student
Elderly/Disabled Family Deduction
See Eligibility chapter for a definition of elderly and disabled families and Chapter 6 (6-II.C.) for a
discussion of the deduction. The PHA will verify that the head, spouse, or cohead is 62 years of
age or older or a person with disabilities.
7-IV.B. Medical Expense Deduction
Policies related to medical expenses are found in 6-II.D. The amount of the deduction will be
verified following the standard verification procedures described in Part I.
Amount of Expense
PHA Policy
Medical expenses will be verified through:
Written third-party documents provided by the family, such as pharmacy printouts
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or receipts.
The PHA will make a best effort to determine what expenses from the past are
likely to continue to occur in the future. The PHA will also accept evidence of
monthly payments or total payments that will be due for medical expenses during
the upcoming 12 months.
Written third-party verification forms, if the family is unable to provide acceptable
documentation.
If third-party or document review is not possible, written family certification as to
costs anticipated to be incurred during the upcoming 12 months
In addition, the PHA must 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.
Eligible Household
The medical expense deduction is permitted only for households in which the head, spouse, or
cohead is at least 62, or a person with disabilities. The PHA will verify that the family meets the
definition of an elderly or disabled family provided in the Eligibility chapter and as described in
Chapter 7 (7-IV.A.) of this plan.
Qualified Expenses
To be eligible for the medical expenses deduction, the costs must qualify as medical expenses. See
Chapter 6 (6-II.D.) for the PHA’s policy on what counts as a medical expense.
Unreimbursed Expenses
To be eligible for the medical expenses deduction, the costs must not be reimbursed by another
source.
PHA Policy
The family will be required to certify that the medical expenses are not paid or reimbursed
to the family from any source. If expenses are verified through a third party, the third party
must certify that the expenses are not paid or reimbursed from any other source.
Expenses Incurred in Past Years
PHA Policy
When anticipated costs are related to on-going payment of medical bills incurred in past
years, the PHA will verify:
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The anticipated repayment schedule
The amounts paid in the past, and
Whether the amounts to be repaid have been deducted from the family’s annual
income in past years
7-IV.C. Disability Assistance Expenses
Policies related to disability assistance expenses are found in 6-II.E. The amount of the deduction
will be verified following the standard verification procedures described in Part I.
Amount of Expense
Attendant Care
PHA Policy
The PHA will accept written third-party documents provided by the family.
If family-provided documents are not available, the PHA will provide a third-party
verification form directly to the care provider requesting the needed information.
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
PHA Policy
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 verification is not possible, written family certification of estimated
apparatus costs for the upcoming 12 months.
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In addition, the PHA must verify that:
• The family member for whom the expense is incurred is a person with disabilities (as
described in 7-II.F above).
• The expense permits a family member, or members, to work (as described in 6-II.E.).
• The expense is not reimbursed from another source (as described in 6-II.E.).
Family Member is a Person with Disabilities
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. The PHA
will verify that the expense is incurred for a person with disabilities (See 7-II.F.).
Family Member(s) Permitted to Work
The PHA must verify that the expenses claimed actually enable a family member, or members,
(including the person with disabilities) to work.
PHA Policy
The PHA will request third-party verification from a rehabilitation agency or medical
doctor indicating that the person with disabilities requires attendant care or an auxiliary
apparatus to be employed, or that the attendant care or auxiliary apparatus enables another
family member, or members, to work (See 6-II.E.). This documentation may be provided
by the family.
If third-party verification has been attempted and is either unavailable or proves
unsuccessful, the family must certify that the disability assistance expense frees a family
member, or members (possibly including the family member receiving the assistance), to
work.
Unreimbursed Expenses
To be eligible for the disability expenses deduction, the costs must not be reimbursed by another
source.
PHA Policy
The family will be required to certify that attendant care or auxiliary apparatus expenses
are not paid by or reimbursed to the family from any source.
7-IV.D. CHILD CARE EXPENSES
Policies related to child care expenses are found in Chapter 6 (6-II.F). The amount of the deduction
will be verified following the standard verification procedures described in Part I of this chapter. In
addition, the PHA must verify that:
• The child is eligible for care (12 or younger).
• 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.
7-29
• The costs are reasonable.
Eligible Child
To be eligible for the child care deduction, the costs must be incurred for the care of a child under
the age of 13. The PHA will verify that the child being cared for (including foster children) is
under the age of 13 (See 7-II.C.).
Unreimbursed Expense
To be eligible for the child care deduction, the costs must not be reimbursed by another source.
PHA Policy
The family (and the care provider) will be required to certify that the child care expenses
are not paid or reimbursed to the family from any source.
Pursuing an Eligible Activity
The PHA must verify that the family member(s) that the family has identified as being enabled to
seek work, pursue education, or be gainfully employed, are actually pursuing those activities.
PHA Policy
Information to be Gathered
The PHA will verify information about how the schedule for the claimed activity relates to
the hours of care provided, the time required for transportation, the time required for study
(for students), 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
Whenever possible the PHA will use documentation from a state or local agency that
monitors work-related requirements (e.g., welfare or unemployment). In such cases the
PHA will request family-provided verification from the agency of the member’s job
seeking efforts to date and require the family to submit to the PHA any reports provided to
the other agency.
In the event third-party verification is not available, the PHA will provide the family with a
form on which the family member must record job search efforts. The PHA will review this
information at each subsequent reexamination for which this deduction is claimed.
Furthering Education
If the child care expense being claimed is to enable a family member to further his or her
education, the PHA will request third-party documentation to verify that the person is
enrolled and provide information about the timing of classes for which the person is
registered. The documentation may be provided by the family.
Gainful Employment
If the child care expense being clained is to enable a family member to be gainfully
7-30
employed, the PHA will request third-party verification of the work schedule of the person
. 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. The documentation may be
provided by the family.
Allowable Type of Child Care
The type of care to be provided is determined by the family, but must fall within certain
guidelines, as discussed in Chapter 6.
PHA Policy
The PHA will verify that the type of child care selected by the family is allowable, as
described in Chapter 6 (6-II.F).
The PHA will verify that the fees paid to the child care provider cover only child care costs
(e.g., no housekeeping services or personal services) and are paid only for the care of an
eligible child (e.g., prorate costs if some of the care is provided for ineligible family
members).
The PHA will verify that the childcare provider is not an assisted family member.
Verification will be made through the head of household’s declaration of family members
who are expected to reside in the unit.
Reasonableness of Expenses
Only reasonable childcare costs can be deducted.
PHA Policy
The actual costs the family incurs will be compared with the PHA’s established 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, the PHA
will request additional documentation, as required, to support a determination that the
higher cost is appropriate.
7-31
• All noncitizens claiming eligible status must sign a declaration of eligible immigrant status
on a form acceptable to the PHA.
• Except for persons 62 or older, all noncitizens must sign a verification consent form
• Additional documents are required based upon the person's status.
Exhibit 7-1: Summary of Documentation Requirements for Noncitizens
[HCV GB, pp. 5-9 and 5-10]
Elderly Noncitizens
• A person 62 years of age or older who claims eligible immigration status also must provide
proof of age such as birth certificate, passport, or documents showing receipt of SS old-age
benefits.
All other Noncitizens
• Noncitizens that claim eligible immigration status also must present the applicable USCIS
document. Acceptable USCIS documents are listed below.
• Form I-551 Alien Registration Receipt
Card (for permanent resident aliens)
• Form I-94 Arrival-Departure Record
annotated with one of the following:
• “Admitted as a Refugee Pursuant to
Section 207”
• “Section 208” or “Asylum”
• “Section 243(h)” or “Deportation
stayed by Attorney General”
• “Paroled Pursuant to Section 221 (d)(5)
of the USCIS”
• Form I-94 Arrival-Departure Record with
no annotation accompanied by:
• A final court decision granting asylum
(but only if no appeal is taken);
• A letter from a USCIS asylum officer
granting asylum (if application is filed
on or after 10/1/90) or from a USCIS
district director granting asylum
(application filed before 10/1/90);
• A court decision granting withholding
of deportation; or
• A letter from an asylum officer
granting withholding or deportation (if
application filed on or after 10/1/90).
• Form I-688 Temporary Resident Card
annotated “Section 245A” or Section 210”.
Form I-688B Employment Authorization Card
annotated “Provision of Law 274a. 12(11)” or
“Provision of Law 274a.12”.
• A receipt issued by the USCIS indicating that an application for issuance of a replacement
document in one of the above listed categories has been made and the applicant’s entitlement
to the document has been verified; or
• Other acceptable evidence. If other documents are determined by the USCIS to constitute
acceptable evidence of eligible immigration status, they will be announced by notice
published in the Federal Register
8-1
Chapter 8
Housing Quality Standards/Uniform Physical Condition Standards for Vouchers (UPCS-V) and Rent
Reasonableness Determinations
[24 CFR 982 Subpart I and 24 CFR 982.507
Introduction
HUD requires that all units occupied by families receiving Housing Choice Voucher (HCV)
assistance meet HUD's Housing Quality Standards (HQS/UPCS-V ) and permits the PHA to
establish additional requirements. The use of the term "HQS/UPCS-V " in this plan refers to the
combination of both HUD and PHA-established requirements.
All units must pass an UPCS-V inspection prior to the approval of a lease and at least once every
24 months during the term of the contract and at other times as needed, to determine that the unit
meets UPCS-V Protocol .
HUD also requires PHAs to determine that rents for under the program are reasonable when
compared to comparable unassisted units in the market area.
This chapter explains HUD and PHA requirements related to housing quality and rent
reasonableness as follows:
In 2018, HUD accepted volunteer housing authorities for a demonstration of the new Uniform Physical
Condition Standards for Vouchers (UPCS-V) protocol that would replace HQS . The implementation of
the new protocol is being overseen by REAC’s Oversight and Evaluation Division (OED). HUD’s
Office of Lead Hazards Control and Health Homes (OLHCHH) also provided feedback on the new
program
The Uniform Physical Condition Standards for Vouchers (UPCS-V) is a Demonstration Program [24
CFR 982), implementing an improved inspection standard for HUD’s Housing Choice Voucher (HCV)
units. UPCS-V aims to enhance the accuracy, consistency, and objectivity of the inspection process, and
provide more information about the condition of individual housing units. Through this initiative, HUD
aims to clarify and streamline inspection processes for PHAs and inspectors, while increasing owners
and tenants access to detailed information about their homes.
UPCS-V is a Demonstration Program developed to align with the Uniform Physical Condition
Standards (UPCS).
•
UPCS-V inspections are electronic and conducted using an app
•
UPCS-V Pass/fail outcomes are decided by a protocol, not an inspector’s judgement
•
UPCS-V requires inspectors to identify deficiencies based on a standardized set of decisions
The City of Chandler Housing and Redevelopment Division began participation in the UPCS-V
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Demonstration July 2018 and will follow that protocol and decision tree for determining inspection pass
and fail decisions. All processes and requirements remain the same as HQS, except for when there is a
conflict between UPCS-V and HQS pass and fail determinations.
Part I. Physical Standards. This part discusses the physical standards required of units
occupied by HCV-assisted families and identifies decisions about the acceptability of the
unit that may be made by the family based upon the family's preference. It also identifies
life-threatening conditions that must be addressed on an expedited basis.
Part II. The Inspection Process. This part describes the types of inspections the PHA will
make and the steps that will be taken when units do not meet UPCS-V .
Part III. Rent Reasonableness Determinations. This part discusses the policies the PHA will
use to make rent reasonableness determinations.
Special UPCS-V requirements for homeownership, manufactured homes, and other special
housing types are discussed in Chapter 15 to the extent that they apply in this jurisdiction.
Part I: PHYSICAL STANDARDS
8-I.A. General HUD Requirements
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
A summary of HUD performance criteria is provided in Attachment 8-1. Additional guidance on
these requirements is found in the following HUD resources:
•
Housing Choice Voucher Guidebook, Chapter 10.
•
HUD Housing Inspection Manual for Section 8 Housing
•
HUD Inspection Form, form HUD-52580 (3/01) and Inspection Checklist, form
8-3
HUD-52580-A (9/00)
•
HUD Notice 2003-31, Accessibility Notice: 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.
Tenant Preference Items
HUD requires the PHA to enforce minimum UPCS-V standards but also recognizes that certain
judgments about the acceptability of the unit are left to the family. For example, the PHA must
ensure that the unit contains the required sanitary facilities, but the family decides whether the
cosmetic appearance of the facilities is acceptable. Exhibit 8-2 summarizes those items that are
considered tenant preferences.
Modifications to Provide Accessibility
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
UPCS-V 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] See Chapter 2 of this plan for additional information on reasonable
accommodations for persons with disabilities.
PHA Policy
Any owner that intends to negotiate a restoration agreement or require an escrow account
must submit the agreement(s) to the PHA for review.
8-I.B. Additional Local Requirements
The PHA may impose variations to UPCS-V as long as the additional criteria are not likely to
adversely affect the health or safety of participant families or severely restrict housing choice for
families. HUD approval is required for variations to the UPCS-V Protocol. HUD approval is not
required if the variations are clarifications of HUD's acceptability criteria or performance
standards [24 CFR 982.401(a)(4)].
Thermal Environment [HCV GB p.10-7]
8-4
The PHA must define a “healthy living environment” for the local climate. This may be done by
establishing a temperature that the heating system must be capable of maintaining, that is
appropriate for the local climate.
PHA Policy
The heating system must be capable of maintaining an interior temperature of 55-85
degrees Fahrenheit between October 1 and May 1.
Clarifications of HUD Requirements
PHA Policy
As permitted by HUD, the PHA has adopted the following specific requirements that
elaborate on HUD standards. **These standards must be in alignment with the
UPCS-V Protocol.
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 be openable 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 resecured 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 include, except for carpeted floors, some type of baseshoe, trim, or
sealing for a "finished look." Vinyl baseshoe is permitted.
8-5
Sinks
All sinks and commode water lines must have shut off valves, unless faucets are
wall mounted.
All sinks must have functioning stoppers.
Toilets
All worn or cracked toilet seats and tank lids must be replaced and toilet tank lid
must fit properly.
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.
8-I.C. Life Threatening Conditions [24 CFR 982.404(a): HOTMA, FR Notice 1/18/17] See Glossary
for additional clarification and examples
HUD requires the PHA to define life-threatening conditions and to notify the owner or the family
(whichever is responsible) of the corrections required. The responsible party must correct life-
threatening conditions within 24 hours of PHA notification.
PHA Policy
The following are considered life-threatening conditions as long as they are in alignment with
UPCS-V Protocol:
Any condition that jeopardizes the security of the unit
Major plumbing leaks or flooding, waterlogged ceiling or floor in imminent danger of
falling
Natural or LP gas or fuel oil leaks
A fuel storage vessel, fluid line, valve, or connection that supplies fuel to a HVAC unit
is leaking or a strong odor is detected with potential for explosion or fire or that results
in a health risk if inhaled
Any electrical problem or condition that could result in shock or fire
A light fixture is readily accessible, is not securely mounted to the ceiling or wall, and
electrical connections or wires are exposed
A light fixture is hanging by its wires
8-6
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
A receptacle (outlet) or switch is missing or broken and electrical connections or wires
are exposed
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
A cover is missing from any electrical device box, panel box, switch gear box, control
panel, etc., and there are exposed electrical connections
Any nicks, abrasions, or fraying of the insulation that exposes conducting wire
Exposed bare wires or electrical connections
Any condition that results in openings in electrical panels or electrical control device
enclosures
Water leaking or ponding near any electrical device
Any condition that poses a serious risk of electrocution or fire and poses an immediate
life-threatening condition
Absence of a working heating system when outside temperature is below 60 degrees
Fahrenheit.
Absence of a working air conditioner or evaporative cooler when the outside
temperature is 110 degrees or above.
Utilities not in service
Conditions that present the imminent possibility of injury
Obstacles that prevent safe entrance or exit from the unit
Any components that affect the function of the fire escape are missing or damaged
Stored items or other barriers restrict or prevent the use of the fire escape in the event of an
emergency
The building’s emergency exit is blocked or impeded, thus limiting the ability of occupants to exit in
a fire or other emergency
Absence of a functioning toilet in the unit
Inoperable or missing smoke detectors
Missing or inoperable carbon monoxide detector
Missing, damaged, discharged, overcharged, or expired fire extinguisher (where required)
8-7
Gas/oil-fired water heater or heating, ventilation, or cooling system with missing, damaged,
improper, or misaligned chimney venting
•
The chimney or venting system on a fuel-fired water heater is misaligned, negatively pitched,
or damaged, which may cause improper or dangerous venting or gases
•
A gas dryer vent is missing, damaged, or is visually determined to be inoperable, or the dryer
exhaust is not vented to the outside
•
A fuel-fired space heater is not properly vented or lacks available combustion air
•
A non-vented space heater is present
•
Safety devices on a fuel-fired space heater are missing or damaged
•
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 gas
Deteriorating paint as defined at 24 CFR 35.110 in a unit built before 1978 that is to be occupied by a
family with a child under six years of age if it would prevent the family from moving into the unit
If an owner fails to correct life-threatening conditions as required by the PHA, the PHA
will enforce the UPCS-V Protocol in accordance with HUD requirements. See 8-II-G.
If a family fails to correct a family caused life threatening condition as required by the
PHA, the PHA will enforce the family obligations See 8-II.H.
The owner will be required to repair an inoperable smoke detector unless the PHA
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.
8-I.D. Owner and Family Responsibilities [24 Cfr 982.404]
Family Responsibilities
The family is responsible for correcting the following UPCS-V Protocol deficiencies:
Tenant-paid utilities not in service
Failure to provide or maintain appliances owned by the family
Damage to the unit or premises caused by a household member or guest
beyond normal wear and tear that result in a breach of the UPCS-V .
"Normal wear and tear" is defined as items, which could not be charged
against the tenant's security deposit under state law or court practice.
Owner Responsibilities
The owner is responsible for all UPCS-V violations not listed as a family responsibility above,
even if the violation is caused by the family's living habits (e.g., vermin infestation). However, if
the family's actions constitute a serious or repeated lease violation the owner may take legal
action to evict the family.
Determination of Responsibility For UPCS-V Protocol Violations
8-8
The Inspector will make a determination of owner or family responsibility for the housing quality
standards deficiencies found during the inspection. The owner or tenant may appeal the
determination to the Housing and Redevelopment Manager within three (3) working days of
notification of the inspection results.
8-I-E. Special Requirements For Children With Elevated Blood Lead Level [24 CFR 35.1225; FR
Notice 1/13/17; PIH 2017-13]
If a PHA is notified by a public health department or other medical health care provider, or verifies
information from a source other than a public health department or medical health care provider,
that a child of less than 6 years of age, living in an HCV-assisted unit has been identified as having
an elevated blood lead level, the PHA must complete an environmental investigation of the
dwelling unit within 15 calendar days after being notified by a public health department or other
medical health care provider. The environmental investigation must be completed in accordance
with program requirements, and the result of the environmental investigation 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 environmental investigation report from the PHA, 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 UPCS-V and the PHA will take action in accordance with
Section
8-II.G.
PHA reporting requirements, and data collection and record keeping responsibilities related to
children with an elevated blood lead level are discussed in Chapter 16.
8-I-F. Violation of UPCS-V Space Standards [24 CFR 982.401, 24 CFR 982.403]
A dwelling unit must:
• Provide adequate space and security for the family
• Have at least one bedroom or living/sleeping room for each two persons
A unit that does not meet these UPCS-V space standards is defined as
overcrowded.
A living room may be used as sleeping (bedroom) space, but no more than two persons may
occupy the space [HCV GB p. 10-6]. A bedroom or living/sleeping room must have at least:
• One window
• Two electrical outlets in proper operating condition (permanent overhead or wall-mounted
light fixtures may count as one of the required electrical outlets)
8-9
If the PHA determines that a unit is overcrowded because of an increase in family size or a change
in family composition, the PHA must issue the family a new voucher, and the family and PHA
must try to find an acceptable unit as soon as possible. If an acceptable unit is available for rental
by the family, the PHA must terminate the HAP contract in accordance with its terms.
PART II: THE INSPECTION PROCESS
8-II.A. Overview [24 CFR 982.405]
Types of Inspections
The PHA conducts the following types of inspections as needed. Each type of inspection is
discussed in the paragraphs that follow.
•
Initial Inspections. The PHA conducts initial inspections in response to a request
from the family to approve a unit for participation in the HCV program.
•
Annual/Biennial Inspections. HUD requires the PHA to inspect each unit under
lease at least annually or biennially, depending on PHA policy to confirm that the
unit still meets UPCS-V . The inspection may be conducted in conjunction with
the family's annual reexamination but also may be conducted separately.
•
Special Inspections. A special inspection may be requested by the owner, the
family, or a third party as a result of problems identified with a unit between annual
inspections.
•
Quality Control Inspections. HUD requires that a sample of units be Inspected by a
supervisor or other qualified individual to evaluate the work of the inspector(s) and
to ensure that inspections are performed in compliance with the UPCS-V .
Inspection of PHA-Owned Units [24 CFR 982.352(b)]
The PHA must obtain the services of an independent entity to perform all UPCS-V inspections
in cases where an HCV family is receiving assistance in a PHA-owned unit. A PHA-owned unit
is defined as a unit that is owned by the PHA that administers the assistance under the
consolidated ACC (including a unit owned by an entity substantially controlled by the PHA).
The independent agency must communicate the results of each inspection to the family and the
PHA. The independent agency must be approved by HUD, and may be the unit of general local
government for the PHA jurisdiction (unless the PHA is itself the unit of general local
government or an agency of such government).
Inspection Costs [Notice PIH 2016-05]
The PHA may not charge the family for unit inspections or reinspections [24 CFR 982.405(e)]. In
the case of inspections of PHA-owned units, the PHA may compensate the independent agency
8-10
from ongoing administrative fee for inspections performed. The PHA and the independent agency
may not charge the family any fee or charge for the inspection [24 CFR.982.352(b)].
The PHA may not charge the owner for the inspection of the unit prior to the initial term of the
lease or for a first inspection during assisted occupancy of the unit. However, the PHA may charge
a reasonable fee to owners for reinspections in two situations: when the owner notifies the PHA
that a repair has been made but the deficiency has not been corrected, and when the time for
repairs has elapsed and the deficiency has not been corrected.
Fees may not be imposed for tenant-caused damages, for cases in which the inspector could not
gain access to the unit, or for new deficiencies discovered during a reinspection.
The owner may not pass the cost of a reinspection fee to the family. Reinspection fees must be
added to the PHA’s administrative fee reserves and may only be used for activities related to the
provision of tenant-based assistance.
PHA Policy
The PHA will not charge a fee for failed reinspections.
Notice and Scheduling
The family must allow the PHA to inspect the unit at reasonable times with reasonable notice
[24 CFR 982.551(d)].
PHA Policy
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 not less than
48 hours. Inspections may be scheduled between 8:00 a.m. and 7:00 p.m. Generally
inspections will be conducted on business days only. In the case of a life threatening
emergency, the PHA will give as much notice as possible, given the nature of the
emergency.
Owner and Family Inspection Attendance
HUD permits the PHA to set policy regarding family and owner presence at the time of inspection
[HCV GB p. 10-27].
PHA Policy
When a family occupies the unit at the time of inspection an authorized adult family
member 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, the PHA 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.
8-II.B. Initial UPCS-V Inspection [24 CFR 982.401(a)]
8-11
Initial Inspections [FR Notice 1/18/17]
The PHA may, but is not required to, approve assisted tenancy and start HAP if the unit fails
UPCS-V inspection, but only if the deficiencies identified are non-life-threatening. Further, the
PHA may, but is not required to, authorize occupancy if a unit passed an alternative inspection in
the last 24 months.
PHA Policy
The unit must pass the UPCS-V inspection on or before the effective date of the HAP contract.
The PHA will not rely on alternative inspections and will conduct an UPCS-V
inspection for each unit prior to executing a HAP contract with the owner.
Timing of Initial Inspections
HUD requires PHAs with fewer than 1,250 budgeted units to complete the initial inspection,
determine whether the unit satisfies UPCS-V , and notify the owner and the family of the
determination within 15 days of submission of the Request for Tenancy Approval (RTA). For
PHAs with 1,250 or more budgeted units, to the extent practicable such inspection and
determination must be completed within 15 days. The 15-day period is suspended for any period
during which the unit is not available for inspection [982.305(b)(2)].
PHA Policy
The PHA will complete the initial inspection, determine whether the unit satisfies
HQS/UPCS-V /UPCS-V, and notify the owner and the family of the determination
within 15 days of submission of the Request for Tenancy Approval (RTA).
Inspection Results and Reinspections
PHA Policy
If any UPCS-V violations are identified, the owner will be notified of the deficiencies and
be given a time frame to correct them. If requested by the owner, the time frame for
correcting the deficiencies may be extended by the PHA for good cause. The PHA will
reinspect the unit within 5 business days of the date the owner notifies the PHA that the
required corrections have been made.
If the time period for correcting the deficiencies (or any PHA-approved extension) has
elapsed, or the unit fails UPCS-V at the time of the reinspection, the PHA will notify the
owner and the family that the unit has been rejected and that the family must search for
another unit. The PHA may agree to conduct a second reinspection, for good cause, at the
request of the family and owner.
Following a failed reinspection, the family may submit a new Request for Tenancy
Approval after the owner has made repairs, if they are unable to locate another suitable
unit.
Utilities
8-12
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.
PHA Policy
If utility service is not available for testing at the time of the initial inspection, the PHA
will not conduct the inspection.
After the initial inspection has passed, and the owner does not provide the utility
service, the electric utility must be turned on only in the head of household’s name
before the execution of the Housing Assistance Payment Contract. Written
documentation must be provided to the PHA that will verify that the electric utility is
turned on only in the head of household’s name.
It is important that the electricity is in the head of household’s name because the COCHA
submits utility reimbursement payments to the electric company only in the head of
household’s name.
Appliances [Form HUD-52580]
PHA Policy
If the family is responsible for supplying the stove and/or refrigerator, the PHA will allow
the stove and refrigerator to be placed in the unit after the unit has met all other UPCS-V
requirements. The required appliances must be in place before the HAP contract is
executed by the PHA. The PHA 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.
8.II.C. Annual/Biennial UPCS-V Inspections [24 CFR 982.405; 982.406, Notice PIH 2016- 05;
HOTMA 2016]
Effective July 1, 2014, PHAs may establish a policy for performing unit inspections biennially rather
than annually [Federal Register notice 06/25/14]. This policy could apply to some or all assisted units.
PHAs still have the option to inspect every unit annually.
PHA Policy
Each unit under HAP contract must be inspected within 24 months of the last full UPCS-V
inspection; however, if a unit is found to have a life-threatening UPCS-V fail, the owner of
that unit will be required to participate in annual inspections for all units for the period of
24 months before being returned to biennial inspections. This does not apply to life-
threatening UPCS-V fails caused by tenants.
One or more substantiated complaints will also require the owner of that unit to participate
in annual inspections for all units for the period of 24 months before being returned to
biennial inspections.
The PHA reserves the right to require annual/biennial inspections of any owner at any time.
The PHA will maintain documentation in the participant file to support the decision. The
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PHA may decide to conduct annual inspections, instead of biennial inspection, for all units
based on the needs of COCHA.
The PHA will not rely on alternative inspection standards.
Scheduling the Inspection
PHA Policy
If an authorized adult family member cannot be present on the scheduled date, the
family should request that the PHA reschedule the inspection. The PHA and family will
agree on a new inspection date that generally should take place within five (5) business
days of the originally-scheduled date. The PHA may schedule an inspection more than
five (5) business days after the original date for good cause.
If the family misses the first scheduled appointment without requesting a new inspection
date, the PHA will automatically schedule a second inspection. If the family misses two
scheduled inspections without PHA approval, the PHA 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 in accordance with Chapter 12.
8-II.D. Special Inspections [24 CFR 982.405(g)]
If a participant or government official reports a life-threatening condition which the owner would
be required to repair within 24 hours, the PHA must inspect the unit within 24 hours of
notification. If the reported condition is not life-threatening, the PHA must inspect the unit within
15 days of notification.
PHA Policy
During a special inspection, the PHA generally will inspect only those deficiencies that
were reported. However, the inspector will record any additional UPCS-V deficiencies
that are observed and will require the responsible party to make the necessary repairs.
If the annual/biennial inspection has been scheduled or is due within 90 days of the date
the special inspection is scheduled the PHA may elect to conduct a full annual/biennial
inspection.
8-II.E. Quality Control Inspections [24 CFR 982.405(b), HCV GB p. 10-32]
HUD requires a PHA supervisor or other qualified person to conduct quality control inspections of
a sample of units to ensure that each inspector is conducting accurate and complete inspections and
that there is consistency in the application of the UPCS-V.
The unit sample must include only units that have been inspected within the preceding 3 months.
The selected sample will include (1) each type of inspection (initial, annual, and special), (2)
inspections completed by each inspector, and (3) units from a cross-section of neighborhoods.
8-II.F. INSPECTION RESULTS AND REINSPECTIONS FOR UNITS UNDER HAP CONTRACT
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Notification of Corrective Actions
The owner and the family will be notified in writing of the results of all inspections. When an inspection
identifies HQS failures, the PHA will determine (1) whether or not the failure is a life-threatening condition and
(2) whether the family or owner is responsible.
PHA Policy
When life-threatening conditions are identified, the PHA will immediately notify both parties by telephone,
facsimile, or email. The notice will specify who is responsible for correcting the violation. The corrective
actions must be taken within 24 hours of the PHA’s notice.
When failures that are not life-threatening are identified, the PHA will send the owner and the family a
written notification of the inspection results within 5 business days of 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. Generally not more than 30 days will be allowed for the correction.
The notice of inspection results will inform the owner that if life-threatening conditions are not corrected
within 24 hours, and non-life threatening conditions are not corrected within the specified time frame (or any
PHA-approved extension), the owner’s HAP will be abated in accordance with PHA policy (see 8-II.G.).
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 (or any PHA-approved extension, if applicable) the family’s
assistance will be terminated in accordance with PHA policy (see Chapter 12).
Extensions
For conditions that are life-threatening, the PHA cannot grant an extension to the 24 hour corrective action
period. For conditions that are not life-threatening, the PHA may grant an exception to the required time frames
for correcting the violation, if the PHA determines that an extension is appropriate [24 CFR 982.404].
PHA Policy
Extensions will be granted in cases where the PHA has determined that the owner has made a good faith
effort to correct the deficiencies and is 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.
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 calendar days, once the weather conditions have subsided.
Reinspections
PHA Policy
The PHA will conduct a reinspection immediately following the end of the corrective period, or any PHA
approved extension.
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, the PHA 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 PHA policies. If the PHA is unable to gain entry to the unit in order to conduct the scheduled
reinspection, the PHA will consider the family to have violated its obligation to make the unit available
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for inspection. This may result in termination of the family’s assistance in accordance with Chapter 12.
8.II.G. Enforcing Owner Compliance
If the owner fails to maintain the dwelling unit in accordance with UPCS-V, the PHA must
take prompt and vigorous action to enforce the owner obligations.
HAP Abatement
If an owner fails to correct UPCS-V deficiencies by the time specified by the PHA, HUD requires
the PHA to abate housing assistance payments no later than the first of the month following the
specified correction period (including any approved extension) [24 CFR 985.2(f)]. 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 UPCS-V failures that are the family's responsibility.
PHA Policy
The PHA will make all HAP abatements effective the first of the month following the
expiration of the PHA specified correction period (including any extension).
The PHA will inspect abated units within 5 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 PHA must decide how long any abatement period will continue before the HAP contract will
be terminated. The PHA should not terminate the contract until the family finds another unit,
provided the family does so in a reasonable time [HCV GB p. 10-29] and must give the owner
reasonable notice of the termination. The PHA will issue a voucher to permit the family to move to
another unit as described in Chapter 10.
PHA Policy
The maximum length of time that a HAP may be abated is 7 days. However, if the owner
completes corrections and notifies the PHA before the termination date of the HAP
contract, the PHA 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.
Reasonable notice of HAP contract termination by the PHA is 30 days.
Enforcing Family Compliance with UPCS-V [24 CFR 982.404(b)]
Families are responsible for correcting any UPCS-V violations listed in paragraph 8.I.D. If the
family fails to correct a violation within the period allowed by the PHA (and any extensions), the
PHA will terminate the family’s assistance, according to the policies described in Chapter 12.
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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.
PART III: RENT REASONABLENESS [24 CFR 982.507]
8-III.A. Overview
No HAP contract can be approved until the PHA 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 HCV program.
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. This part explains the method
used to determine whether a unit’s rent is reasonable.
PHA-owned Units [24 CFR 982.352(b)]
In cases where an HCV family is receiving assistance in a PHA-owned unit, the PHA 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. A PHA-owned unit is defined as a unit that is owned by the PHA that administers the
assistance under the consolidated ACC (including a unit owned by an entity substantially
controlled by the PHA). The independent agency must communicate the results of the rent
reasonableness determination to the family and the PHA. The independent agency must be
approved by HUD, and may be the unit of general local government for the PHA jurisdiction
(unless the PHA is itself the unit of general local government or an agency of such government).
8-III.B. When Rent Reasonableness Determinations Are Required
Owner-initiated Rent Determinations
The PHA 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. The PHA (or independent agency in the
case of PHA-owned units) will assist the family with the negotiations upon request. At initial
occupancy the PHA 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 UPCS-
V inspection have been corrected.
PHA Policy
After the initial occupancy period, the owner may request a rent adjustment in accordance
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with the owner’s lease. For rent increase requests after initial lease-up, the PHA 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 the PHA will consider unit size and length of
tenancy in the other units.
The PHA will determine whether the requested increase is reasonable within 10 business
days of 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 the PHA’s
receipt of the owner’s request or on the date specified by the owner, whichever is later.
PHA- and HUD-Initiated Rent Reasonableness Determinations [PIH 2018-01; 24 CFR
§982.507(a)(2)(ii), §983.302(a)(2), and §983.303(b)(1); PIH 2018-01].
HUD requires the PHA to make a determination of rent reasonableness (even if the owner has not
requested a change) if there is a 10 percent decrease in the fair market rent that goes into effect at
least 60 days before the contract anniversary date. HUD also may direct the PHA to make a
determination at any other time. The PHA may decide that a new determination of rent
reasonableness is needed at any time.
PHA Policy
This provision is designed to ensure that when the market goes down by a significant
amount (i.e., a 10 percent or more reduction in FMR) the PHA must reexamine rent
reasonableness at the contract anniversary date, even if the owner does not propose a rent
increase. When determining if this provision applies, the PHA must compare the FMR in
effect 60 days prior to the upcoming HAP contract anniversary date with the FMR in effect
one year before the upcoming anniversary date [HCV Program Guidebook 7420.1].
PIH Notice 2018-01 provides guidance on the regulatory provisions implemented under
the Small Area FMR (SAFMR) Final rule (FR-5855-F-03), published in the Federal
Register on November 16, 2016. The effective date of the Final rule is January 17, 2017.
The final rule changes the percentage decrease in FMRs that triggers the need for a rent
reasonableness determination from 5 to 10 percent
A rent reasonableness determination will be required only when the decrease in the FMRs
from the previous year is exactly 10 percent. (An FMR will never decrease by more than
10 percent from the previous year’s FMR, regardless of whether a PHA is voluntarily
using SAFMRs, is operating in a designated SAFMR area, or is not using SAFMRs.) (PIH
Notice 2018-01)
A PHA is still required to redetermine rent reasonableness before any increase in rent to
owner and/or if directed by HUD.
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PHA Policy
In addition to the instances described above, the PHA will make a determination of rent
reasonableness at any time after the initial occupancy period if: (1) the PHA determines
that the initial rent reasonableness determination was in error or (2) the PHA determines
that the information provided by the owner about the unit or other units on the same
premises was incorrect.
8-III.C. How Comparability Is Established
Factors to Consider
HUD requires PHAs to take into consideration the factors listed below when determining rent
comparability. The PHA may use these factors to make upward or downward adjustments to the
rents of comparison units when the units are not identical to the HCV-assisted unit.
Location and age
Unit size including the number of rooms and square footage of rooms
The type of unit including construction type (e.g., single family, duplex, garden, low-rise,
high-rise)
The quality of the units including the quality of the original construction, maintenance and
improvements made.
Amenities, services, and utilities included in the rent
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-
10 PERCENT DECREASE IN FMR
HAP Contract Anniversary Date:
12/01/01
New FMR Effective Date:
10/01/01
Old FMR:
$500
New FMR:
$ 450
Is Effective Date of new FMR 60 days or more before the contract anniversary date?
Yes. 31 days October + 30 days November = 61 days
Is the decrease in the FMR equal to or greater than 10 percent?
Yes. $500 – $ 450= $50 (500 x .10) = $50
In this example, the decrease from $500 to $450 represents a 10 percent decrease and would activate the
provision. If the FMR decreased from $500 to $480, no rent reasonableness determination would be required.
The PHA could choose; however, to initiate a review of rent reasonableness.
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controlled by local ordinance [Notice PIH 2002-22, Notice PIH 2005-20, and Notice PIH 2011-
46].
Note: Notice PIH 2010-18, issued May 10, 2010, provides further guidance on the issue of what
constitutes an assisted unit.
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 the PHA 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 the PHA information regarding rents charged for other units on the premises.
8-III.D. PHA Rent Reasonableness Methodology
How Market Data Is Collected
PHA Policy
The PHA will collect and maintain data on market rents in the PHA's jurisdiction.
Information sources include newspapers, realtors, market surveys, inquiries of owners and
other available sources. The data will be maintained by bedroom size and market areas.
Market areas may be defined by zip codes, census tract, neighborhood, and identifiable
natural or man-made boundaries. The data will be updated on an ongoing basis and rent
information that is more than 24 months old will be eliminated from the database.
How Rents are Determined
PHA Policy
The rent for a unit proposed for HCV assistance will be compared to the rent charged for
comparable units in the same market area. The PHA will develop a range of prices for
comparable units by bedroom size within defined market areas. Units proposed for HCV
assistance will be compared to the units within this rent range. Because units may be
similar, but not exactly like the unit proposed for HCV assistance, the PHA may make
adjustments to the range of prices to account for these differences.
The adjustment must reflect the local market. Not all differences in units require
adjustments (e.g., the presence or absence of a garbage disposal may not affect the rent in
some market areas).
Adjustments may vary by unit type (e.g., a second bathroom may be more valuable in a
three-bedroom unit than in a two-bedroom).
The adjustment must reflect the rental value of the difference – not its construction costs
(e.g., it might cost $20,000 to put on a new roof, but the new roof might not make any
difference in what a tenant would be willing to pay because rents units are presumed to
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have functioning roofs).
When a comparable project offers rent concessions (e.g., first month rent-free, or reduced
rent) reported monthly rents will be adjusted accordingly. For example, if a comparable
project reports rents of $500/month but new tenants receive the first month's rent free, the
actual rent for the unit would be calculated as follows: $500 x 11 months = 5500/12
months = actual monthly rent of $488.
The PHA will notify the owner of the rent the PHA can approve based upon its analysis of
rents for comparable units. The owner may submit information about other comparable
units in the market area. The PHA will confirm the accuracy of the information provided
and consider this additional information when making rent determinations. The owner must
submit any additional information within 5 business days of the PHA’s request for
information or the owner’s request to submit information.
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EXHIBIT 8-1: Overview of HUD Inspection Standards
Note: This document provides an Overview of UPCS-V. For more detailed information see the
following documents:
•
24 CFR 982.401, Housing Quality Standards (HQS)
•
UPCS-V ProtocolHousing Choice Voucher Guidebook, Chapter 10.
•
HUD Housing Inspection Manual for Section 8 Housing
•
HUD Inspection Form, form HUD-52580 (3/01) and Inspection Checklist, form
HUD-52580-A (9/00)
Sanitary Facilities
The dwelling unit must include sanitary facilities within the unit. The sanitary facilities must be
usable in privacy and must be in proper operating condition and adequate for personal cleanliness
and disposal of human waste.
Food Preparation and Refuse Disposal
The dwelling unit must have space and equipment suitable for the family to store, prepare, and
serve food in a sanitary manner.
Space and Security
The dwelling unit must provide adequate space and security for the family. This includes having at
least one bedroom or living/sleeping room for each two persons.
PHA Policy
Rooms used as a sleeping area (den, living room, family room, dining room, etc) will not
be counted as a bedroom for purposes of higher contract rent.
A room must be classified as a bedroom if that is the purpose for which it was designed and
if it meets the UPCS-V criteria for a living/sleeping room (i.e., at least one window and
must be operable; smoke detector, two working outlets and one permanently installed light
fixture.)
A room will not be classified as a bedroom if it was not designed for that purpose.
Bedrooms generally have closets and offer permanent privacy or semi-privacy in the form
of surrounding walls and a door.
Thermal Environment
The unit must have a safe system for heating the dwelling unit. Air conditioning is not required but
if provided must be in proper operating condition. The dwelling unit must not contain unvented
room heaters that burn gas, oil, or kerosene. Portable electric room heaters or kitchen stoves with
built-in heating units are not acceptable as a primary source of heat for units located in climatic
areas where permanent heat systems are required.
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Illumination and Electricity
Each room must have adequate natural or artificial illumination to permit normal indoor activities
and to support the health and safety of occupants. The dwelling unit must have sufficient electrical
sources so occupants can use essential electrical appliances. Minimum standards are set for
different types of rooms. Once the minimum standards are met, the number, type and location of
electrical sources are a matter of tenant preference.
Structure and Materials
The dwelling unit must be structurally sound. Handrails are required when four or more steps
(risers) are present, and protective railings are required when porches, balconies, and stoops are
thirty inches or more off the ground. The elevator servicing the unit must be working [if there is
one]. Manufactured homes must have proper tie-down devices capable of surviving wind loads
common to the area.
Interior Air Quality
The dwelling unit must be free of air pollutant levels that threaten the occupants’ health. There
must be adequate air circulation in the dwelling unit. Bathroom areas must have one openable
window or other adequate ventilation. Any sleeping room must have at least one window. If a
window was designed to be opened, it must be in proper working order.
Water Supply
The dwelling unit must be served by an approved public or private water supply that is sanitary
and free from contamination. Plumbing fixtures and pipes must be free of leaks and threats to
health and safety.
Lead-Based Paint
Lead-based paint requirements apply to dwelling units built prior to 1978 that are occupied or can
be occupied by families with children under six years of age, excluding zero bedroom dwellings.
Owners must:
Disclose known lead-based paint hazards to prospective tenants before the lease is signed,
provide all prospective families with "Protect Your Family from Lead in Your Home",
Stabilize deteriorated painted surfaces and conduct hazard reduction activities when
identified by the PHA
Notify tenants each time such an activity is performed
Conduct all work in accordance with HUD safe practices
As part of ongoing maintenance ask each family to report deteriorated paint.
Maintain covered housing without deteriorated paint if there is child under six (6) in the
family.
For units occupied by elevated blood lead level (lead poisoned) children under six years of age, an
environmental investigation must be conducted (paid for by the PHA). If lead hazards are
identified during the environmental investigation, the owner must complete hazard reduction
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activities.
See HCV GB p. 10-15 for a detailed description of these requirements. For additional information
on lead-based paint requirements see 24 CFR 35, Subparts A, B, M, and R.
Access
Use and maintenance of the unit must be possible without unauthorized use of other private
properties. The building must provide an alternate means of exit in case of fire.
Site and Neighborhood
The site and neighborhood must be reasonably free from disturbing noises and reverberations,
excessive trash or vermin, or other dangers to the health, safety, and general welfare of the
occupants.
PHA Policy
Yard Maintenance:
•
Front, side or backyards shall not be allowed to become dry and overgrown. No dry
weeds, grass, trees or bushes that present a hazardous condition. Such conditions
will be rated ‘FAIL’.
•
Overgrown green grass, trees or bushes will be rated as a ‘NOTABLE’ item unless
the Inspector deems any or all to be a hazardous condition.
•
The ground shall be free of any hazardous debris. A hazardous condition would
endanger the health or safety of the tenant.
•
The HA recommends that the owner and the tenant enter into a written agreement
regarding yard maintenance and submit a copy to the HA for the tenants file.
Sanitary Condition
The dwelling unit and its equipment must be in sanitary condition and free of vermin and rodent
infestation. The unit must have adequate barriers to prevent infestation.
Smoke Detectors
Smoke detectors must be installed in accordance with and meet the requirements of the National
Fire Protection Association Standard (NFPA) 74 (or its successor standards). If the dwelling unit is
occupied by any person with a hearing impairment, smoke detectors must have an appropriate
alarm system as specified in NFPA 74 (or successor standards).
Hazards and Heath/Safety
The unit, interior and exterior common areas accessible to the family, the site, and the surrounding
neighborhood must be free of hazards to the family's health and safety.
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EXHIBIT 8-2: Summary of Tenant Preference Areas Related to Housing Quality
Note: This document provides an Overview of unit and site characteristics and conditions for
which the family determines acceptability. For more detailed information see the following
documents:
Housing Choice Voucher Guidebook, Chapter 10.
HUD Housing Inspection Manual for Section 8 Housing
HUD Inspection Form, form HUD-52580 (3/01) and Inspection Checklist, form
HUD-52580-A (9/00)
Provided the minimum housing quality standards have been met, HUD permits the family to
determine whether the unit is acceptable with regard to the following characteristics:
(1) Sanitary Facilities. The family may determine the adequacy of the cosmetic condition and
quality of the sanitary facilities, including the size of the lavatory, tub, or shower; the location
of the sanitary facilities within the unit; and the adequacy of the water heater.
(2) Food Preparation and Refuse Disposal. The family selects size and type of equipment it finds
acceptable. When the family is responsible for supplying cooking appliances, the family may
choose to use a microwave oven in place of a conventional oven, stove, or range. When the
owner is responsible for providing cooking appliances, the owner may offer a microwave oven
in place of an oven, stove, or range only if other subsidized and unsubsidized units on the
premises are furnished with microwave ovens only. The adequacy of the amount and type of
storage space, the cosmetic conditions of all equipment, and the size and location of the
kitchen are all determined by the family.
(3) Space and Security. The family may determine the adequacy of room sizes and room locations.
The family is also responsible for deciding the acceptability of the type of door and window
locks.
(4) Energy conservation items. The family may determine whether the amount of insulation,
presence of absence of storm doors and windows and other energy conservation items are
acceptable.
(5) Illumination and Electricity. The family may determine whether the location and the number of
outlets and fixtures (over and above those required to meet UPCS-V standards) are acceptable
or if the amount of electrical service is adequate for the use of appliances, computers, or stereo
equipment.
(6) Structure and Materials. Families may determine whether minor defects, such as lack of paint,
or worn flooring or carpeting will affect the livability of the unit.
(7) Indoor Air. Families may determine whether window and door screens, filters, fans, or other
devices for proper ventilation are adequate to meet the family’s needs. However, if screens are
present they must be in good condition.
(8) Sanitary Conditions. The family determines whether the sanitary conditions in the unit,
including minor infestations, are acceptable.
(9) Neighborhood conditions. Families may determine whether neighborhood conditions such as
the presence of drug activity, commercial enterprises, and convenience to shopping will affect
the livability of the unit.
Families have no discretion with respect to lead-based paint standards and smoke detectors.
9-1
Chapter 9
General Leasing Policies
Introduction
Chapter 9 covers the lease-up process from the family's submission of a Request for Tenancy
Approval to execution of the HAP contract.
In order for the PHA to assist a family in a particular dwelling unit, or execute a Housing
Assistance Payments (HAP) contract with the owner of a dwelling unit, the PHA must determine
that all the following program requirements are met:
The unit itself must qualify as an eligible unit [24 CFR 982.305(a)]
The unit must be inspected by the PHA and meet inspection standards (UPCS-V ) [24 CFR
982.305(a)]
The lease offered by the owner must be approvable and must include the required Tenancy
Addendum [24 CFR 982.305(a)]
The rent to be charged by the owner for the unit must be reasonable [24 CFR 982.305(a)]
The owner must be an eligible owner, approvable by the PHA, with no conflicts of interest [24
CFR 982.306]
For families initially leasing a unit only: Where the gross rent of the unit exceeds the
applicable payment standard for the family, the share of rent to be paid by the family cannot
exceed 40 percent of the family’s monthly adjusted income [24 CFR 982.305(a)]
9-I.A. Tenant Screening
The PHA has no liability or responsibility to the owner or other persons for the family’s behavior
or suitability for tenancy [24 CFR 982.307(a)(1)].
The PHA may elect to screen applicants for family behavior or suitability for tenancy. See Chapter
3 for a discussion of the PHA’s policies with regard to screening applicant families for program
eligibility [24 CFR 982.307(a)(1)].
The owner is responsible for screening and selection of the family to occupy the owner's unit. At
or before PHA approval of the tenancy, the PHA must inform the owner that screening and
selection for tenancy is the responsibility of the owner [24 CFR 982.307(a)(2)]. The PHA must
also inform the owner or manager or his/her rights and obligations under the Violence against
Women Act of 2013 (VAWA) [24 CFR 5.2005(a)(2)].
The PHA must provide the owner with the family's current and prior address (as shown in the PHA
Formatted: Heading 2, Left, Indent: Left: 0",
Right: 0"
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records); and the name and address (if known to the PHA) of the landlord at the family's current
and prior address. [24 CFR 982.307 (b)(1)].
The PHA is permitted, but not required, to offer the owner other information in the PHA’s
possession about the tenancy history or drug trafficking of family members [24 CFR
982.307(b)(2)].
The PHA’s policy on providing information to the owner must be included in the family’s briefing
packet [24 CFR 982.307(b)(3)].
The PHA may not disclose to the owner any confidential information provided by the family in
response to a PHA request for documentation of domestic violence, dating violence, sexual assault
or stalking except at the written request or with the written consent of the individual providing the
documentation [24
CFR 5.2007(b)(4)].
PHA Policy
The PHA will not screen applicants for family behavior or suitability for tenancy.
The PHA will not provide additional screening information to the owner.
9-I.B. Requesting Tenancy Approval [Form HUD-52517]
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 the
PHA to approve the assisted tenancy in the selected unit.
The owner and the family must submit two documents to the PHA:
•
Completed Request for Tenancy Approval (RTA) – Form HUD-52517
•
Copy of the proposed lease, including the HUD-prescribed Tenancy Addendum –
form HUD-52641-A
The RTA 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 rent,
and the requested beginning date of the lease, necessary for the PHA 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 parent, child, grandparent, grandchild, sister or brother of
any member of the family, unless the PHA 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.
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Both the RTA and the proposed lease must be submitted no later than the expiration date stated on
the voucher. [HCV GB p.8-15].
PHA Policy
The RTA must be signed by both the family and the owner.
The owner may submit the RTA on behalf of the family.
Completed RTA (including the proposed dwelling lease) must be submitted as hard copies,
in-person, by mail, or by fax.
The family may not submit, and the PHA will not process, more than one (1) RTA at a
time.
When the family submits the RTA the PHA will review the RTA for completeness.
If the RTA is incomplete (including lack of signature by family, owner, or both), or
if the dwelling lease is not submitted with the RTA, the PHA 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, by email, or by fax. The PHA will not accept missing
information over the phone.
When the family submits the RTA and proposed lease, the PHA will also review the terms
of the RTA for consistency with the terms of the proposed lease.
If the terms of the RTA are not consistent with the terms of the proposed lease, the
PHA will notify the family and the owner of the discrepancies.
Corrections to the terms of the RTA and/or the proposed lease will only be accepted
as hard copies, in-person, by mail, by email, or by fax. The PHA will not accept
corrections by phone.
Because of the time sensitive nature of the tenancy approval process, the PHA will attempt
to communicate with the owner and family by phone, fax, or email. The PHA will use mail
when the parties cannot be reached by phone, fax, or email.
9-I.C. Owner Participation
The PHA does not formally approve an owner to participate in the HCV program. However, there
are a number of criteria where the PHA may deny approval of an assisted tenancy based on past
owner behavior, conflict of interest, or other owner-related issues. There are also criteria for
which the PHA must disapprove an owner. No owner has a right to participate in the HCV
program [24 CFR 982.306(e)]
9-4
See Chapter 13 for a full discussion of owner qualification to participate in the HCV program.
9-I.D. Eligible Units
There are a number of criteria that a dwelling unit must meet in order to be eligible for assistance
under the voucher program. Generally, a voucher-holder family may choose any available rental
dwelling unit on the market in the PHA’s jurisdiction. This includes the dwelling unit they are
currently occupying.
Ineligible Units [24 CFR 982.352(a)]
The PHA may not assist a unit under the voucher program if the unit is a public housing or Indian
housing unit; a unit receiving project-based assistance under section 8 of the 1937 Act (42 U.S.C.
1437f); 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; a unit occupied by its
owner or by a person with any interest in the unit.
PHA Policy
The PHA does not permit the rental of any single family detached residences with
swimming pools, hot tubs, spas or a jacuzzi for leasing under the voucher program.
PHA-Owned Units [24 CFR 982.352(b)]
Otherwise eligible units that are owned or substantially controlled by the PHA issuing the voucher
may also be leased in the voucher program. In order for a PHA-owned unit to be leased under the
voucher program, the unit must not be ineligible housing and the PHA 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 PHA-owned unit without any pressure or steering by the
PHA.
PHA Policy
The PHA does not have any eligible PHA-owned units available for leasing under the
voucher program.
Special Housing Types [24 CFR 982 Subpart M]
HUD regulations permit, but do not generally require, the PHA to 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 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. See Chapter 15 for specific information and policies on any of these
housing types that the PHA has chosen to allow.
The regulations do require the PHA to permit use of any special housing type if needed as a
reasonable accommodation so that the program is readily accessible to and usable by persons with
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disabilities.
Duplicative Assistance [24 CFR 982.352(c)]
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; (11) 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.
Housing Quality Standards (HQS) [24 CFR 982.305 and 24 CFR 982.401]
Due to the UPCS-V demonstration, the UPCS-V Protocol is being used in lieu of the Housing Quality
Standards (HQS) requirement.
In order to be eligible, the dwelling unit must be in decent, safe and sanitary condition. This
determination is made using HUD’s UPCS-V Protocol and/or equivalent state or local standards
approved by HUD. See Chapter 8 for a full discussion of the UPCS-V Protocol standards, as
well as the process for UPCS-V inspection at initial lease-up.
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 UPCS-V space requirements [24 CFR 982.402(d)]. The family must be
allowed to lease an otherwise acceptable dwelling unit with more bedrooms than the number of
bedrooms stated on the voucher issued to the family. See Chapter 5 for a full discussion of subsidy
standards.
Rent Reasonableness [24 CFR 982.305 and 24 CFR 982.507]
9-6
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 Chapter 8 for a full discussion of
rent reasonableness and the rent reasonableness determination process.
Rent Burden [24 CFR 982.508]
Where a family is initially leasing a unit and the gross rent of the unit exceeds the applicable
payment standard for the family, the family share cannot exceed 40 percent of the family’s
adjusted monthly income. The term “family share” refers to the amount the family pays toward
rent and utilities. The gross rent for the unit minus the total housing assistance payment (HAP) for
the unit equals the family share. See Chapter 6 for a discussion of calculation of gross rent, the use
of payment standards, and calculation of family income, family share of rent and HAP.
9-I.E. Lease And Tenancy Addendum
The family and the owner must execute a written dwelling lease agreement for the assisted unit.
This written lease is a contract between the tenant family and the owner; the PHA 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 [24 CFR 982.308(a)]
Lease Form and Tenancy Addendum [24 CFR 982.308]
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 for the assisted tenant is in such standard form.
All provisions in the HUD-required Tenancy Addendum must be added word-for-word to the
owner's standard lease form. The Tenancy Addendum includes the HUD requirements for the
tenancy. Because it is a part of the lease, the tenant shall have the right to enforce the Tenancy
Addendum against the owner. If there is a conflict between the owner’s lease and the Tenancy
Addendum, the terms of the Tenancy Addendum shall prevail over any other provisions of the
lease.
PHA Policy
The PHA does not provide a model or standard dwelling lease for owners to use in the
HCV program.
Lease Information [24 CFR 982.308(d)]
The assisted dwelling lease must contain all of the required information as listed below:
•
The names of the owner and the tenant:
9-7
•
The unit rented (address, apartment number, and any other information needed to I
identify the contract unit)
•
The term of the lease (initial term and any provisions for renewal)
•
The amount of the monthly rent to owner
•
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
Term of Assisted Tenancy
The initial term of the assisted dwelling lease must be for at least one year [24 CFR 982.309]. The
initial lease term is also stated in the HAP contract.
The HUD program regulations permit the PHA to approve a shorter initial lease term if certain
conditions are met.
PHA Policy
The PHA will not approve an initial lease term of less than one (1) year.
During the initial term of the lease, the owner may not raise the rent to owner [24 CFR 982.309].
Any provisions for renewal of the dwelling lease will be stated in the dwelling lease [HCV
Guidebook, pg. 8-22]. There are no HUD requirements regarding any renewal extension terms,
except that they must be in the dwelling lease if they exist.
The PHA 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. [24 CFR 982.309(b)].
Security Deposit [24 CFR 982.313 (a) and (b)]
The owner may collect a security deposit from the tenant. The PHA may prohibit security deposits
in excess of private market practice, or in excess of amounts charged by the owner to unassisted
tenants. However, if the PHA chooses to do so, language to this effect must be added to Part A of
the HAP contract [Form HUD-52641].
PHA Policy
The PHA will allow the owner to collect any security deposit amount the owner determines
is appropriate. Therefore, no modifications to the HAP contract will be necessary.
Separate Non-Lease Agreements between Owner and Tenant
Owners may not demand or accept any rent payment from the family in excess of the rent to the
owner as approved by the PHA minus the PHA’s housing assistance payments to the owner [24
CFR 982.451(b)(4)].
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 [24 CFR
982.510(c)].
9-8
PHA Policy
The PHA 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.
PHA Review of Lease
The PHA will review the dwelling lease for compliance with all applicable requirements.
PHA Policy
If the dwelling lease is incomplete or incorrect, the PHA 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, by email, or by fax. The PHA will not accept missing and
corrected information over the phone
Because the initial leasing process is time-sensitive, the PHA will attempt to communicate
with the owner and family by phone, fax, or email. The PHA will use mail when the parties
can’t be reached by phone, fax, or email.
The PHA is permitted, but is not required, to review the lease to determine if the lease complies
with State and local law and is permitted to decline to approve the tenancy if the PHA determines
that the lease does not comply with State or local law [24 CFR 982.308(c)]
9-9
PHA Policy
The PHA will not review the owner’s lease for compliance with state/local law.
9-I.F. Tenancy Approval [24 CFR 982.305]
After receiving the family's Request for Tenancy Approval, with proposed dwelling lease, the
PHA must promptly notify the family and owner whether the assisted tenancy is approved.
Prior to approving the assisted tenancy and execution of a HAP contract, the PHA must ensure that
all required actions and determinations, discussed in Part I of this chapter have been completed.
These actions include ensuring that the unit is eligible; the unit has been inspected by the PHA and
meets the inspection standards (UPCS-V ); 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 [24 CFR 982.305(a)]; the owner is an
eligible owner, not disapproved by the PHA, with no conflicts of interest [24 CFR 982.306]; the
family and the owner have executed the lease, including the Tenancy Addendum, and the lead-
based paint disclosure information [24 CFR 982.305(b)].
PHA Policy
The PHA will complete its determination within 10 business days of receiving all required
information.
If the terms of the RTA/proposed lease are changed for any reason, including but not
limited to negotiation with the PHA, the PHA will obtain corrected copies of the RTA and
proposed lease, signed by the family and the owner.
Corrections to the RTA/proposed lease will only be accepted as hard copies, in-
person, by mail, by email, or by fax. The PHA will not accept corrections over
the phone.
If the PHA determines that the tenancy cannot be approved for any reason, the owner and
the family will be notified in writing and given the opportunity to address any reasons for
disapproval. The PHA will instruct the owner and family of the steps that are necessary to
obtain approval of 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 or rent reasonableness, the
PHA 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
9-10
approvable rent, the family must continue to search for eligible housing within the
timeframe of the issued voucher.
9-I.G. HAP Contract Execution [24 CFR 982.305]
The HAP contract is a written agreement between the PHA and the owner of the dwelling unit.
Under the HAP contract, the PHA agrees to make housing assistance payments to the owner on
behalf of the family, and the owner agrees to comply with all program requirements as stated in the
HAP contract.
The HAP contract form is prescribed by HUD.
If the PHA has given approval for the family of the assisted tenancy, the owner and the PHA must
execute the HAP contract.
The term of the HAP contract must be the same as the term of the lease [24 CFR 982.451(a)(2)].
The PHA is permitted to execute a HAP contract even if the funding currently available does not
extend for the full term of the HAP contract.
The PHA 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.
The PHA may 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, the PHA 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 the PHA may not pay any housing
assistance payment to the owner.
PHA Policy
Owners who have not previously participated in the HCV program are strongly encouraged
to attend a meeting with the PHA in which the terms of the Tenancy Addendum and the
HAP contract will be explained. The PHA 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 HCV program.
The owner and the assisted family will execute the dwelling lease and the owner must
provide a copy to the PHA. The PHA will ensure that both the owner and the assisted
family receive copies of the dwelling lease.
The owner and the PHA will execute the HAP contract. The PHA will not execute the HAP
contract until the owner has submitted IRS form W-9. The PHA will ensure that the owner
receives a copy of the executed HAP contract.
9-11
As required under VAWA 2013, once the HAP contract and lease have been executed and
the family has been admitted to the program, the PHA will notify families of their rights
under VAWA by providing all families with a copy of the domestic violence certification
form (HUD-5382) as well as the VAWA notice of occupancy rights (form HUD-5380).
See Chapter 13 for a discussion of the HAP contract and contract provisions.
9-I.H. Changes in Lease or Rent [24 CFR 982.308]
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 the PHA a copy of such changes. The lease, including any
changes, must remain in accordance with the requirements of this chapter.
Generally, PHA approval of tenancy and execution of a new HAP contract are not required for
changes in the lease. However, under certain circumstances, the execution of a new lease and
HAP contract are required. 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
•
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 (RTA) along with a new dwelling lease containing the proposed changes. A
new tenancy must then be approved in accordance with this chapter.
Where the owner is changing the amount of the rent to owner, the owner must notify the PHA at
least 60 days before any such changes go into effect [24 CFR 982.308(g)(4)]. The PHA will agree
to such an increase only if the amount of the rent to owner is considered reasonable according to
the rent reasonableness standards discussed in Chapter 8. If the requested rent is not found to be
reasonable, the owner must either reduce the requested rent increase, or terminate the tenancy in
accordance with the terms of the lease.
No rent increase is permitted during the initial term of the lease [24 CFR 982.309(a)(3)].
PHA Policy
Where the owner is requesting a rent increase, the PHA will determine whether the
requested increase is reasonable within 10 business days of receiving the request from the
owner. The owner will be notified of the determination in writing.
Rent increases will go into effect on the first of the month following the 60 day period after
the owner notifies the PHA of the rent change or on the date specified by the owner,
whichever is later.
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Chapter 10
Moving with Continued Assistance and Portability
Introduction
Freedom of housing choice is a hallmark of the housing choice voucher (HCV) program. In
general, HUD regulations impose few restrictions on where families may live or move with HCV
assistance. This chapter sets forth HUD regulations and PHA policies governing moves within or
outside the PHA’s jurisdiction in two parts:
Part I: Moving with Continued Assistance. This part covers the general rules that apply to
all moves by a family assisted under the PHA’s HCV program, whether the family moves
to another unit within the PHA’s jurisdiction or to a unit outside the PHA’s jurisdiction
under portability.
Part II: Portability. This part covers the special rules that apply to moves by a family under
portability, whether the family moves out of or into the PHA’s jurisdiction. This part also
covers the special responsibilities that the PHA has under portability regulations and
procedures.
PART I: MOVING WITH CONTINUED ASSISTANCE
10-I.A. Allowable Moves
HUD lists five regulatory conditions and the statutory condition under VAWA in which an assisted
family is allowed to move to a new unit with continued assistance. Permission to move is subject
to the restrictions set forth in section 10-I.B.
• The family has a right to terminate the lease on notice to the owner (for the owner’s breach
or otherwise) and has given a notice of termination to the owner in accordance with the
lease [24 CFR 982.354(b)(3)]. If the family terminates the lease on notice to the owner, the
family must give the PHA a copy of the notice at the same time [24 CFR 982.354(d)(1)].
• The lease for the family’s unit has been terminated by mutual agreement of the owner and
the family [24 CFR 982.354(b)(1)(ii)].
PHA Policy
If the family and the owner mutually agree to terminate the lease for the family’s
unit, the family must give the PHA a copy of the termination agreement.
• The owner has given the family a notice to vacate, 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 982.354(b)(2)]. The family must give the PHA a copy of any owner eviction notice [24
10-2
CFR 982.551(g)].
• The family or a member of the family is or has been the victim of domestic violence, dating
violence, sexual assault, or stalking and the move is needed to protect the health or safety
of the family or family member [24 CFR 982.354(b)(4)]. This condition applies even when
the family has moved out of its unit in violation of the lease, with or without prior
notification to the PHA, if the family or family member who is the victim reasonably
believed that he or she was imminently threatened by harm from further violence if he or
she remained in the unit [24 CFR 982.354(b)(4), 24 CFR 982.353(b)]. The PHA must
adopt an emergency transfer plan as required by regulations at 24 CFR 5.2007(e).
PHA Policy
If a family requests permission to move with continued assistance or for an external
transfer to another covered housing program operated by the PHA 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, the PHA will request that the resident request the emergency transfer
using form HUD-5383, and the PHA will request documentation in accordance
with section 16-IX.D of this plan.
The PHA reserves the right to waive the documentation requirement if it
determines that a statement or other corroborating evidence from the family or
family member will suffice. In such cases the PHA will document the waiver in
the family’s file.
The PHA may choose to provide a voucher to facilitate an emergency transfer of
the victim without first terminating the assistance of the perpetrator.
Before granting an emergency transfer, the PHA will ensure the victim is eligible to
receive continued assistance based on the citizenship or immigration status of the
victim.
The PHA has adopted an emergency transfer plan, which is included as Exhibit 16-
3 to this plan and discusses external transfers to other covered housing programs.
• The PHA has terminated the HAP contract for the family’s unit for the owner’s breach [24
CFR 982.354(b)(1)(i)].
• The PHA determines that the family’s current unit does not meet the UPCS-V space
standards because of an increase in family size or a change in family composition. In such
cases, the PHA must issue the family a new voucher, and the family and PHA must try to
find an acceptable unit as soon as possible. If an acceptable unit is available for the
family, the PHA must terminate the HAP contract for the family’s old unit in accordance
with the HAP contract terms and must notify both the family and the owner of the
termination. The HAP contract terminates at the end of the calendar month that follows
the calendar month in which the PHA gives notice to the owner. [24 CFR 982.403(a) and
(c)]
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10-I.B. Restrictions on Moves
A family’s right to move is generally contingent upon the family’s compliance with program
requirements [24 CFR 982.1(b)(2)]. HUD specifies two conditions under which a PHA may deny a
family permission to move and two ways in which a PHA may restrict moves by a family.
Denial of Moves
HUD regulations permit the PHA to deny a family permission to move under the following
conditions:
Insufficient Funding
The PHA may deny a family permission to move either within or outside the PHA’s jurisdiction if
the PHA does not have sufficient funding for continued assistance [24 CFR 982.314(e)(1)].
However, Notice 2016-09 significantly restricts the ability of PHAs to deny permission to move
due to insufficient funding and places further requirements on PHAs regarding moves denied due
to lack of funding. The requirements found in this notice are mandatory.
PHA Policy
The PHA will deny a family permission to move on grounds that the PHA does not have
sufficient funding for continued assistance if (a) the move is initiated by the family, not the
owner or the PHA; (b) the PHA can demonstrate that the move will, in fact, result in higher
subsidy costs (c) the PHA can demonstrate, in accordance with the policies in Part VIII of
Chapter 16, that it does not have sufficient funding in its annual budget to accommodate
the higher subsidy costs; and (d) for portability moves, the receiving PHA is not absorbing
the voucher.
If the PHA does not have sufficient funding for continued assistance, but the family must
move from their unit (e.g., the unit failed UPCS-V ), the family may move to a higher cost
unit if the move is within the PHA’s jurisdiction. The PHA, however, will not allow the
family to move under portability in this situation if the family wishes to move to a higher
cost area.
For both moves within the PHA’s jurisdiction and outside under portability, the PHA will
not deny a move due to insufficient funding if the PHA previously approved the move and
subsequently experienced a funding shortfall if the family cannot remain in their current
unit. The PHA will rescind the voucher in this situation if the family will be allowed to
remain in their current unit.
The PHA will create a list of families whose moves have been denied due to insufficient
funding. The PHA will keep the family’s request open indefinitely, and when funds
become available, the families on this list will take precedence over families on the waiting
list. The PHA will use the same procedures for notifying families with open requests to
move when funds become available as it uses for notifying families on the waiting list (see
section 4-III.D).
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The PHA will inform the family of its policy regarding moves denied due to insufficient
funding in a letter to the family at the time the move is denied.
Grounds for Denial or Termination of Assistance
The PHA may deny a family permission to move if it has grounds for denying or terminating the
family’s assistance [24 CFR 982.354(e)(2)].
PHA Policy
If the PHA has grounds for denying or terminating a family’s assistance, the PHA will act
on those grounds in accordance with the regulations and policies set forth in Chapters 3 and
12, respectively. In general, it will not deny a family permission to move for this reason;
however, it retains the discretion to do so under special circumstances.
Restrictions on Elective Moves [24 CFR 982.354(c)]
HUD regulations permit the PHA to prohibit any elective move by a participant family during the
family’s initial lease term. They also permit the PHA to prohibit more than one elective move by a
participant family during any 12-month period. However, such prohibitions, if adopted, do not
apply when the family or a member of the family is or has been the victim of domestic violence,
dating violence, sexual assault, or stalking and the move is needed to protect the health or safety of
the family or family member. (For the policy on documentation of abuse, see section 10-I.A) In
addition, the PHA may not establish a policy permitting moves only at reexamination [Notice PIH
2016-09].
PHA Policy
The PHA will deny a family permission to make an elective move during the family’s
initial lease term. This policy applies to moves within the PHA’s jurisdiction or outside it
under portability.
The PHA will also deny a family permission to make more than one elective move during
any 12-month period. This policy applies to all assisted families residing in the PHA’s
jurisdiction.
The PHA will consider exceptions to these policies for the following reasons: to protect the
health or safety of a family member (e.g., lead-based paint hazards, domestic violence,
witness protection programs), to accommodate a change in family circumstances (e.g., new
employment, school attendance in a distant area), or to address an emergency situation over
which a family has no control.
In addition, the PHA will allow exceptions to these policies for purposes of reasonable
accommodation of a family member who is a person with disabilities (see Chapter 2).
10-I.C. Moving Process
Notification
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If a family wishes to move to a new unit, the family must notify the PHA and the owner before
moving out of the old unit or terminating the lease on notice to the owner [24 CFR 982.354(d)(2)].
If the family wishes to move to a unit outside the PHA’s jurisdiction under portability, the notice
to the PHA must specify the area where the family wishes to move [24 CFR 982.354(d)(2), Notice
PIH 2012-42]. The notices must be in writing [24 CFR 982.5].
Approval
PHA Policy
Upon receipt of a family’s notification that it wishes to move, the PHA will determine
whether the move is approvable in accordance with the regulations and policies set forth in
sections 10-I.A and 10-I.B. The PHA will notify the family in writing of its determination
within 10 business days following receipt of the family’s notification.
Reexamination of Family Income and Composition
PHA Policy
For families approved to move to a new unit within the PHA’s jurisdiction, the PHA will
perform a new annual reexamination in accordance with the policies set forth in Chapter 11
of this plan.
For families moving into or families approved to move out of the PHA’s jurisdiction under
portability, the PHA will follow the policies set forth in Part II of this chapter.
Voucher Issuance and Briefing
PHA Policy
For families approved to move to a new unit within the PHA’s jurisdiction, the PHA will
issue a new voucher within 10 business days of the PHA’s written approval to move. No
briefing is required for these families. The PHA will follow the policies set forth in Chapter
5 on voucher term, extension, and expiration. 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 the PHA approves. Otherwise, the
family will lose its assistance.
For families moving into or families approved to move out of the PHA’s jurisdiction under
portability, the PHA will follow the policies set forth in Part II of this chapter.
Housing Assistance Payments [24 CFR 982.311(d)]
When a family moves out of an assisted unit, the PHA may not make any housing assistance
payment to the owner for any month after the month the family moves out. The owner may keep
the housing assistance payment for the month when the family moves out of 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
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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.
Zero HAP Families Who Wish to Move [24 CFR 982.455]
A participant who is not receiving any subsidy, but whose HAP contract is still in force, may
request a voucher to move to a different unit. The PHA must issue a voucher to move unless it
has grounds to deny assistance under the program regulations. However, if the PHA determines
no subsidy would be paid at the new unit, the PHA may refuse to enter into a HAP contract on
behalf of the family.
PHA Policy
If a zero HAP family requests to move to a new unit, the family may request a voucher to
move. However, if no subsidy will be paid at the unit to which the family requests to move,
the PHA will enter into a HAP contract on behalf of the family for the new unit.
PART II: PORTABILITY
10-II.A. 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)]. 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 PHA that issues the voucher is called the initial PHA. The PHA
that has jurisdiction in the area to which the family wants to move 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 provides all
housing services for the family and 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 with its own program funds, and the initial PHA
has no further relationship with the family. The initial PHA must contact the receiving PHA via
email or other confirmed delivery method to determine whether the receiving PHA will administer
or absorb the initial PHA’s voucher. Based on the receiving PHA’s response, the initial PHA must
determine whether they will approved or deny the portability request [Notice PIH 2012-42].
PHAs commonly act as both the initial and receiving PHA because families may move into or out
of their jurisdiction under portability. Each role involves different responsibilities. The PHA will
follow the rules and policies in section 10-II.B when it is acting as the initial PHA for a family. It
will follow the rules and policies in section 10-II.C when it is acting as the receiving PHA for a
family.
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In administering portability, the initial PHA and the receiving PHA must comply with financial
procedures required by HUD, including the use of HUD-required forms [24 CFR 982.355.C.
(5)].
PHAs must also comply with billing and payment deadlines. HUD may reduce an administrative
fee to an initial or receiving PHA if the PHA does not comply with HUD portability requirements
[24 CFR 982.355.C. (7)].
10-II.B. Initial PHA Role
Allowable Moves under Portability
A family may move with voucher assistance only to an area where there is at least one PHA
administering a voucher program [24 CFR 982.353(b)]. If there is more than one PHA in the area, the
initial PHA provides the family with the contact information for the receiving PHAs that serve the area,
and the family selects the receiving PHA. The family must inform the initial PHA which PHA it has
selected. If the family prefers not to select the receiving PHA, the initial PHA will select the receiving
PHA on behalf of the family (24 CFR 982.255(b).
Applicant families that have been issued vouchers as well as participant families may qualify to
lease a unit outside the PHA’s jurisdiction under portability. HUD regulations and PHA policy,
determines whether a family qualifies.
Applicant Families
Under HUD regulations, most applicant families qualify to lease a unit outside the PHA’s
jurisdiction under portability. However, HUD gives the PHA discretion to deny a portability move
by an applicant family for the same two reasons that it may deny any move by a participant family:
insufficient funding and grounds for denial or termination of assistance. If a PHA intends to deny a
family permission to move under portability due to insufficient funding, the PHA must notify
HUD within 10 business days of the determination to deny the move [24 CFR 982.355(e)].
PHA Policy
In determining whether or not to deny an applicant family permission to move under
portability because the PHA lacks sufficient funding or has grounds for denying assistance
to the family, the initial PHA will follow the policies established in section 10-I.B of this
chapter. If the PHA does deny the move due to insufficient funding, the PHA will notify
HUD in writing within 10 business days of the PHA’s determination to deny the move.
In addition, the PHA may establish a policy denying the right to portability to nonresident
applicants during the first 12 months after they are admitted to the program [24 CFR 982.353(c)].
PHA Policy
If neither the head of household nor the spouse/cohead of an applicant family had a
domicile (legal residence) in the PHA’s jurisdiction at the time that the family’s initial
application for assistance was submitted, the family must lease a unit within the initial
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PHA’s jurisdiction for at least 12 months before requesting portability.
The PHA will consider exceptions to this policy for purposes of reasonable accommodation
(see Chapter 2) or reasons related to domestic violence, dating violence, sexual assault, or
stalking. .
Participant Families
The Initial PHA must not provide portable assistance for a participant if a family has moved out of
its assisted unit in violation of the lease [24 CFR 982.353(b)]. The Violence against Women Act of
2013 (VAWA) creates an exception to this prohibition for families who are otherwise in
compliance with program obligations but have moved to protect the health or safety of a family
member 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 [24 CFR 982.353(b)].
PHA Policy
The PHA will determine whether a participant family may move out of the PHA’s
jurisdiction with continued assistance in accordance with the regulations and policies set
forth here and in sections 10-I.A and 10-I.B of this chapter. The PHA will notify the
family of its determination in accordance with the approval policy set forth in section 10-
I.C of this chapter.
Determining Income Eligibility
Applicant Families
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 [24 CFR 982.353(d)(1)]. The
family must specify the area to which the family wishes to move [24 CFR 982.355(c)(1)].
The initial PHA is responsible for determining whether the family is income eligible in the area to
which the family wishes to move [24 CFR 982.353(d)(1), 24 CFR982.355(9)]. If the applicant
family is not income eligible in that area, the PHA must inform the family that it may not move
there and receive voucher assistance [Notice PIH 2016-09.
Participant Families
The income eligibility of a participant family is not re-determined if the family moves to a new
jurisdiction under portability [24 CFR 982.353(d)(2).
Reexamination of Family Income and Composition
No new reexamination of family income and composition is required for an applicant family.
PHA Policy
For a participant family approved to move out of its jurisdiction under portability, the PHA
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generally will conduct a reexamination of family income and composition only if the
family’s annual reexamination must be completed on or before the initial billing deadline
specified on form HUD-52665, Family Portability Information.
The PHA will make any exceptions to this policy necessary to remain in compliance with
HUD regulations.
Briefing
The regulations and policies on briefings set forth in Chapter 5 of this plan require the PHA to
provide information on portability to all applicant families that qualify to lease a unit outside the
PHA’s jurisdiction under the portability procedures. Therefore, no special briefing is required for
these families.
PHA Policy
No formal briefing will be required for a participant family wishing to move outside the
PHA’s jurisdiction under portability. However, the PHA will provide the family with the
same oral and written explanation of portability that it provides to applicant families
selected for admission to the program (see Chapter 5).
The PHA will provide the name, address, and phone of the contact for the PHAs in the
jurisdiction to which they wish to move. If there is more than one PHA with jurisdiction
over the area to which the family wishes to move, the PHA will advise the family that the
family selects the receiving PHA and notify the initial PHA of which receiving PHA was
selected. The PHA will provide the family with contact information for all of the receiving
PHAs that serve the area. The PHA will not provide any additional information about
receiving PHAs in the area. The PHA will further inform the family that if the family
prefers not to select the receiving PHA, the initial PHA will select the receiving PHA on
behalf of the family. In this case, the PHA will not provide the family with information for
all receiving PHAs in the area.
The PHA will advise the family that they will be under the RHA’s policies and procedures,
including screening, subsidy standards voucher extension policies, and payment standards.
Voucher Issuance and Term
An applicant family has no right to portability until after the family has been issued a voucher [24
CFR 982.353(b)]. In issuing vouchers to applicant families, the PHA will follow the regulations
and procedures set forth in Chapter 5.
PHA Policy
For participating families approved to move under portability, the PHA will issue a new
voucher within 10 business days of the PHA’s written approval to move.
The initial term of the voucher will be 60 days for in state PHAs and 120 days for out of
state PHAs.
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Voucher Extensions and Expiration
PHA Policy
The PHA will approve no extensions to a voucher issued to an applicant or participant
family porting out of the PHA’s jurisdiction except under the following circumstances:
(a) the initial term of the voucher will expire before the portable family will be
issued a voucher by the receiving PHA,
(b) the family decides to return to the initial PHA’s jurisdiction and search for a unit
there, or
(c) the family decides to search for a unit in a third PHA’s jurisdiction. In such
cases, the policies on voucher extensions set forth in Chapter 5, section 5-II.E, of
this plan will apply, including the requirement that the family apply for an
extension in writing prior to the expiration of the initial voucher term.
To receive or continue receiving assistance under the initial PHA’s voucher program, a
family that moves to another PHA’s jurisdiction under portability must be under HAP
contract in the receiving PHA’s jurisdiction within 60 days following the expiration date of
the initial PHA’s voucher term (including any extensions). (See below under “Initial
Billing Deadline” for one exception to this policy.)
Preapproval Contact with the Receiving PHA
Prior to approving a family’s request to move under portability, the initial PHA must contact the
receiving PHA via e-mail or other confirmed delivery method to determine whether the receiving
PHA will administer or absorb the family’s voucher. Based on the receiving PHA’s response, the
initial PHA must determine whether it will approve or deny the move [24 CFR 982.355(c)(3)].
PHA Policy
The PHA will use e-mail, when possible, to contact the receiving PHA regarding whether
the receiving PHA will administer or absorb the family’s voucher.
Initial Notification to the Receiving PHA
After approving a family’s request to move under portability, the initial PHA must promptly notify
the receiving PHA via email or other confirmed delivery method to expect the family [24 CFR
982.355(c)(3); 24 CFR 982.355(c) (7)]. The initial PHA must also advise the family how to
contact and request assistance from the receiving PHA [24 CFR 982.355(c)(6)].
PHA Policy
Because the portability process is time-sensitive, the PHA will notify the receiving PHA by
phone, fax, or e-mail to expect the family. The initial PHA will also ask the receiving PHA
to provide any information the family may need upon arrival, including the name, fax,
email address, and telephone number of the staff person responsible for business with
incoming portable families and procedures related to appointments for voucher issuance.
The PHA will pass this information along to the family. The PHA will also ask for the
name, address, telephone number, fax and email of the person responsible for processing
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the billing information.
Sending Documentation to the Receiving PHA
The initial PHA is required to send the receiving PHA the following documents:
• Form HUD-52665, Family Portability Information, with Part I filled out [Notice PIH 2016-
09]
• A copy of the family’s voucher [Notice PIH 2016-09]
• A copy of the family’s most recent HUD Form 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 [24 CFR 982.355(c)(7), Notice PIH 2016-09]
• Copies of the income verifications backing up the form HUD-50058 [24 CFR
982.355(c)(7), Notice PIH 2016-09]
PHA Policy
In addition to these documents, the PHA will provide the following information, if
available, to the receiving PHA:
Social security numbers (SSNs)
Documentation of SSNs for all nonexempt household members whose SSNs have
not been verified through the EIV system
Documentation of legal identity
Documentation of citizenship or eligible immigration status
Documentation of participation in the earned income disallowance (EID) benefit
Documentation of participation in a family self-sufficiency (FSS) program
The PHA will notify the family in writing regarding any information provided to the
receiving PHA [HCV GB, p. 13-3].
Initial Billing Deadline [Notice PIH 2016-09
The deadline for submission of initial billing is 90 days following the expiration date of the
voucher issued to the family by the initial PHA. In cases where suspension of the voucher delays
the initial billing submission, the receiving PHA must notify the initial PHA of delayed billing
before the billing deadline and document the delay is due to the suspension. In this case, the initial
PHA must extend the billing deadline by 30 days.
If the initial PHA does not receive a billing notice by the deadline and does not intend to honor a
late billing submission, it must notify the initial PHA in writing. The initial PHA may report to
HUD the receiving PHA’s failure to comply with the deadline.
If the initial PHA will honor the late billing, no action is required.
PHA Policy
If the PHA has not received an initial billing notice from the receiving PHA within the
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billing deadline, it will contact the receiving PHA to inform them that it will not honor a
late billing submission and will return any subsequent billings that it receives on behalf of
the family. The PHA will send the receiving PHA a written confirmation of its decision by
mail.
The PHA 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 PHA.
Monthly Billing Payments [24 CFR 982.355(e), Notice PIH 2012-42]
If the receiving PHA is administering the family’s voucher, the receiving PHA bills the initial
PHA for housing assistance payments and administrative fees. When reimbursing for
administrative fees, the initial PHA must promptly reimburse the receiving PHA for the lesser of
80 percent of the initial PHA ongoing administrative fee or 100 percent of the receiving PHA’s
ongoing administrative fee for each program unit under contract on the first day of the month for
which the receiving PHA is billing the initial PHA under portability. If the administrative fees are
prorated for the HCV program, the proration will apply to the amount of the administrative fee for
which the receiving PHA may bill [24 CFR 982.355(e)(2)].
The initial PHA is responsible for making billing payments in a timely manner. The first billing
amount is due within 30 calendar days after the initial PHA receives Part II of form HUD-52665
from the receiving PHA. Subsequent payments must be received by the receiving PHA no later
than the fifth business day of each month. The payments must be provided in a form and manner
that the receiving PHA is able and willing to accept.
The initial PHA may not terminate or delay making payments under existing portability billing
arrangements as a result of over leasing or funding shortfalls. The PHA must manage its tenant-
based program in a manner that ensures that it has the financial ability to provide assistance for
families that move out of its jurisdiction under portability and are not absorbed by receiving PHAs
as well as for families that remain within its jurisdiction.
Annual Updates of Form HUD-50058
If the initial PHA is being billed on behalf of a portable family, it should receive an updated form
HUD-50058 each year from the receiving PHA. If the initial PHA fails to receive an updated
50058 by the family’s annual reexamination date, the initial PHA should contact the receiving
PHA to verify the status of the family. The initial PHA must continue paying the receiving PHA
based on the last form HUD-50058 received, unless instructed otherwise by HUD. The initial PHA
may seek absorption of the vouchers by following steps outlined in Notice PIH 2016-09.
Denial or Termination of Assistance [24 CFR 982.355(c)(17)]
At any time, either the initial PHA or the receiving PHA may make a determination to deny or
terminate assistance with the family in accordance with 24 CFR 982.552 and 24 CFR 982.553.(For
PHA policies on denial and termination, see Chapters 3 and 12, respectively.)
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Portability of Family Self-Sufficiency
The relocating family may participate in the receiving PHA’s Family Self-Sufficiency (FSS)
program if it is admitted to the program by the receiving PHA.
10-II.C. Receiving PHA Role
If a family has a right to lease a unit in the receiving PHA’s jurisdiction under portability, the receiving
PHA must provide assistance for the family [24 CFR 982.355(10)].
The receiving PHA’s procedures and preferences for selection among eligible applicants do not
apply, and the receiving PHA’s waiting list is not used [24 CFR 982.355(10)]. HUD may
determine in certain instances that a PHA is not required to accept incoming portable families,
such as a PHA in a declared disaster area. However, the PHA must have approval in writing from
HUD before refusing any incoming portable families [24 CFR 982.355(b)].
Administration of the voucher must be in accordance with the receiving PHA’s policies; this
requirement also applies to policies of Moving to Work agencies. The receiving PHA procedures
and preferences for selection among eligible applicants do not apply to the family, and the
receiving PHA waiting list is not used [24 CFR 982.355 (c)(10)]. The family’s unit, or voucher,
size is determined in accordance with the subsidy standards of the receiving PHA [24 CFR
982.355(c)(12)], and the receiving PHA’s policies on extensions of the voucher term apply [24
CFR 982.355(c)(4)].
Responding to Initial PHA’s Request [24 CFR 982.355(c)]
The receiving PHA must respond via e-mail or other confirmed delivery method to the initial
PHA’s inquiry to determine whether the family’s voucher will be billed or absorbed [24 DFR
982.355(c)(3)]. If the receiving PHA informs the initial PHA that it will be absorbing the voucher,
the receiving PHA cannot reverse its decision at a later date without consent of the initial PHA (24
CFR 982.355(c)(4).
PHA Policy
The PHA will use e-mail, when possible, to notify the initial PHA whether it will
administer or absorb the family’s voucher.
Initial Contact with Family
When a family moves into the PHA’s jurisdiction under portability, the family is responsible for
promptly contacting the PHA and complying with the PHA’s procedures for incoming portable
families. The family’s failure to comply may result in denial or termination of the receiving PHA’s
voucher [24 CFR 982.355 (c)(8)].
If the voucher issued to the family by the initial PHA has expired, the receiving PHA Must
contact the initial PHA to determine if it will extend the voucher [24 CFR 982.355(c)(13)]. An
informal hearing is not required when a voucher has expired without the family leasing a unit.
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If for any reason the receiving PHA refuses to process or provide assistance to a family under the
portability procedures, the family must be given the opportunity for an informal review or hearing
[Notice PIH 2016-09]. (For more on this topic, see later under “Denial or Termination of
Assistance.”)
Briefing
HUD allows the receiving PHA to require a briefing for an incoming portable family as long as the
requirement does not unduly delay the family’s search [Notice PIH 2016-09.
PHA Policy
The PHA will require the family to attend a briefing. The PHA will provide the family
with a briefing packet (as described in Chapter 5) and, in an individual briefing, will orally
inform the family about the PHA’s payment and subsidy standards, procedures for
requesting approval of a unit, the unit inspection process, and the leasing process.
Income Eligibility and Reexamination
The receiving PHA does not redetermine eligibility for a portable family that was already
receiving assistance in the initial PHA’s voucher program [24 CFR 982.355(c)(9)]. If the
receiving PHA opts to conduct a new reexamination for a current participant family, the receiving
PHA may not delay issuing the family a voucher or otherwise delay approval of a unit [24 CFR
982.355(c) (11)].
PHA Policy
For any family moving into its jurisdiction under portability, the PHA will conduct a new
reexamination of family income and composition. However, the PHA will not delay issuing
the family a voucher for this reason. Nor will the PHA delay approving a unit for the
family until the reexamination process is complete unless the family is an applicant and the
PHA 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 reexamination, the PHA will rely upon any verifications provided by
the initial PHA 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.
Voucher Issuance
When a family moves into its jurisdiction under portability, the receiving PHA is required to issue
the family a voucher [24 CFR 982.355(c)(13)]. The family must submit a request for tenancy
approval to the receiving PHA during the term of the receiving PHA’s voucher [24 CFR
982.355(c)(15)].
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Timing of Voucher Issuance
HUD expects the receiving PHA to issue the voucher within two weeks after receiving the
family’s paperwork from the initial PHA if the information is in order, the family has contacted the
receiving PHA, and the family complies with the receiving PHA’s procedures [Notice PIH 2012-
42].
PHA Policy
When a family ports into its jurisdiction, the PHA will issue the family a voucher based on
the paperwork provided by the family unless the family’s paperwork from the initial PHA
is incomplete, the family’s voucher from the initial PHA has expired or the family does not
comply with the PHA’s procedures. The PHA will update the family’s information when
verification has been completed.
Voucher Term
The term of the receiving PHA’s voucher may not expire before 30 calendar days from the
expiration of the initial PHA’s voucher [24 CFR 982.355(c)(13)]. If the initial PHA extends the
term of the voucher, the receiving PHA’s voucher may not expire before 30 days from the new
expiration date of the initial PHA’s voucher [Notice PIH 2016-09].
PHA Policy
The receiving PHA’s voucher will expire 30 calendar days from the expiration date of the
initial PHA’s voucher. If the initial PHA extends the term of the voucher, the receiving
PHA’s voucher will expire 30 calendar days from the new expiration date of the initial
PHA’s voucher.
Voucher Extensions [24 CFR 982.355(c)(14), Notice 2016-09]
Once the receiving PHA issues the portable family a voucher, the receiving PHA’s policies on
extensions of the voucher term apply. The receiving PHA must inform the initial PHA of any
extension granted to the term of the voucher. It must also bear in mind the billing deadline
provided by the initial PHA. Unless willing and able to absorb the family, the receiving PHA
should 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 PHA.
PHA Policy
The PHA generally will not extend the term of the voucher that it issues to an incoming
portable family unless the PHA plans to absorb the family into its own program, in which
case it will follow the policies on voucher extension set forth in section 5-II.E.
The PHA will consider an exception to this policy as a reasonable accommodation to a
person with disabilities (see Chapter 2).
Voucher Suspensions [24 CFR 982.303, 24 CFR 982.355(c)(15)]
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If the family submits a request for tenancy approval during the term of the receiving PHA’s
voucher, the PHA must suspend the term of that voucher. The term of the voucher stops from the
date that 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 [24 CFR 982.4(b)]
(see Section 5-II.E).
Notifying the Initial PHA
The receiving PHA must promptly notify the initial PHA 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 the receiving PHA’s voucher [24 CFR 982.355(c)(16)]. The receiving PHA is
required to use Part II of form HUD-52665, Family Portability Information, for this purpose [
Notice PIH 2016-09]. (For more on this topic and the deadline for notification, see below under
“Administering a Portable Family’s Voucher,”)
If an incoming portable family ultimately decides not to lease in the jurisdiction of the receiving
PHA but instead wishes to return to the initial PHA’s jurisdiction or to search in another
jurisdiction, the receiving PHA must refer the family back to the initial PHA. In such a case the
voucher of record for the family is once again the voucher originally issued by the initial PHA.
Any extension of search time provided by the receiving PHA’s voucher is only valid for the
family’s search in the receiving PHA’s jurisdiction. [Notice PIH 2016-09]
Administering a Portable Family’s Voucher
Portability Billing [24 CFR 982.355(e)]
To cover assistance for a portable family that was not absorbed, the receiving PHA bills the initial
PHA for housing assistance payments and administrative fees. The amount of the housing
assistance payment for a portable family in the receiving PHA’s program is determined in the
same manner as for other families in the receiving PHA’s program.
The receiving PHA may bill the initial PHA for the lesser of 80 percent of the initial PHA’s
ongoing administrative fee or 100 percent of the receiving PHA’s ongoing administrative fee for
each program unit under contract on the first day of the month for which the receiving PHA is
billing the initial PHA under portability. If the administrative fees are prorated for the HCV
program, the proration will apply to the amount of the administrative fee for which the receiving
PHA may bill (i.e., the receiving PHA may bill for the lesser of 80 percent of the initial PHA’s
prorated ongoing administrative fee or 100 percent of the receiving PHA’s ongoing administrative
fee).
If both PHAs agree, the PHAs may negotiate a different amount of reimbursement.
PHA Policy
Unless the PHA negotiates a different amount of reimbursement with the initial PHA, the
PHA will bill the initial PHA the maximum amount of administrative fees allowed,
ensuring any administrative fee proration has been properly applied.
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Initial Billing Deadline
If a portable family’s search for a unit is successful and the receiving PHA intends to administer
the family’s voucher, the receiving PHA must submit its initial billing notice (Part II of form
HUD-52665) in time that the notice will be received no later than 90 days following the expiration
date of the family’s voucher issued by the initial PHA [Notice PIH 2016-09]. This deadline may
be extended for 30 additional days if the delay is due to suspension of the voucher’s term (see
Initial Billing Section). A copy of the family’s form HUD-50058, Family Report, completed by the
receiving PHA must be attached to the initial billing notice. The receiving PHA may send these
documents by mail, fax, or e-mail.
PHA Policy
The PHA will send its initial billing notice by fax or e-mail, if necessary, to meet the
billing deadline but will also send the notice by regular mail.
If the receiving PHA fails to send the initial billing by the deadline, it is required to absorb the
family into its own program unless (a) the initial PHA is willing to accept the late submission or
(b) HUD requires the initial PHA to honor the late submission (e.g., because the receiving PHA is
overleased) [Notice PIH 2016-09].
Ongoing Notification Responsibilities [Notice PIH 2016-09, HUD-52665]
Annual Reexamination. The receiving PHA must send the initial PHA a copy of a portable
family’s updated form HUD-50058 after each annual reexamination for the duration of time the
receiving PHA is billing the initial PHA on behalf of the family, regardless of whether there is a
change in the billing amount.
PHA Policy
The PHA will send a copy of the updated HUD-50058 by regular mail no later than 10
business days after the effective date of the reexamination.
Change in Billing Amount
The receiving PHA is required to notify the initial PHA, 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 reexamination, 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
Termination of the family from the program
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 the initial PHA 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. If the receiving PHA fails to send
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Form HUD-52665 within 10 days of effective date of billing changes, the initial PHA is not
responsible for any increase prior to notification. If the change resulted in a decrease in the
monthly billing amount, the initial PHA will offset future monthly payments until the difference
is reconciled.
Late Payments [Notice PIH 2016-09]
If the initial PHA fails to make a monthly payment for a portable family by the fifth business day
of the month, the receiving PHA must promptly notify the initial PHA in writing of the deficiency.
The notice must identify the family, the amount of the billing payment, the date the billing
payment was due, and the date the billing payment was received (if it arrived late). The receiving
PHA must send a copy of the notification to the Office of Public Housing (OPH) in the HUD area
office with jurisdiction over the receiving PHA. If the initial PHA fails to correct the problem by
the second month following the notification, the receiving PHA may request by memorandum to
the director of the OPH with jurisdiction over the receiving PHA that HUD transfer the unit in
question. A copy of the initial notification and any subsequent correspondence between the PHAs
on the matter must be attached. The receiving PHA must send a copy of the memorandum to the
initial PHA. If the OPH decides to grant the transfer, the billing arrangement on behalf of the
family ceases with the transfer, but the initial PHA is still responsible for any outstanding
payments due to the receiving PHA.
Overpayments [Notice PIH 2016-09]
In all cases where the receiving PHA has received billing payments for billing arrangements no
longer in effect, the receiving PHA is responsible for returning the full amount of the overpayment
(including the portion provided for administrative fees) to the initial PHA.
In the event that HUD determines billing payments have continued for at least three months
because the receiving PHA failed to notify the initial PHA that the billing arrangement was
terminated, the receiving PHA must take the following steps:
Return the full amount of the overpayment, including the portion provided for
administrative fees, to the initial PHA.
Once full payment has been returned, notify the Office of Public Housing in the HUD area
office with jurisdiction over the receiving PHA of the date and the amount of
reimbursement to the initial PHA.
At HUD’s discretion, the receiving PHA will be subject to the sanctions spelled out in Notice PIH
2016-09.
Denial or Termination of Assistance
At any time, the receiving PHA may make a determination to deny or terminate assistance to a
portable family for family action or inaction [24 CFR 982.355(c)(17)].
In the case of a termination, the PHA should provide adequate notice of the effective date to the
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initial PHA to avoid having to return a payment. In no event should the receiving PHA fail to
notify the initial PHA later than 10 business days following the effective date of the termination of
the billing arrangement. [HUD-52665; Notice PIH 2012-42
PHA Policy
If the PHA elects to deny or terminate assistance for a portable family, the PHA will notify
the initial PHA within 10 business days after the informal review or hearing if the denial or
termination is upheld. The PHA will base its denial or termination decision on the policies
set forth in Chapter 3 or Chapter 12, respectively. The informal review or hearing will be
held in accordance with the policies in Chapter 16. The receiving PHA will furnish the
initial PHA with a copy of the review or hearing decision.
Absorbing a Portable Family
The receiving PHA may absorb an incoming portable family into its own program when the PHA
executes a HAP contract on behalf of the family or at any time thereafter providing that (a) the
PHA has funding available under its annual contributions contract (ACC) [24 CFR 982.355(d)(1),
Notice PIH 2016-09].
If the receiving PHA absorbs a family from the point of admission, the admission will be counted
against the income targeting obligation of the receiving PHA [24 CFR 982.201(b)(2)(vii)].
If the receiving PHA absorbs a family after providing assistance for the family under a billing
arrangement with the initial PHA the receiving PHA must send an updated form HUD-52665 to
the initial PHA no later than 10 business days following the effective date of the termination of the
billing arrangement. [Notice PIH 2016-09]
PHA Policy
If the PHA decides to absorb a portable family upon the execution of a HAP contract on
behalf of the family, the PHA will notify the initial PHA by the initial billing deadline
specified on form HUD-52665. The effective date of the HAP contract will be the effective
date of the absorption.
If the PHA decides to absorb a family after that, it will provide the initial PHA with 30
days’ advance notice, but no later than 10 business days following the effective date of the
termination of the billing arrangement.
Following the absorption of an incoming portable family, the family is assisted with funds
available under the consolidated ACC for the receiving PHA’s voucher program [24 CFR
982.355(d)], and the receiving PHA becomes the initial PHA in any subsequent moves by the
family under portability [24 CFR 982.355(e)(4)].
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Chapter 11
Reexaminations
Introduction
The PHA is required to reexamine each family’s income and composition at least annually, and to
adjust the family’s level of assistance accordingly. Interim reexaminations are also needed in
certain situations. This chapter discusses both annual and interim reexaminations, and the
recalculation of family share and subsidy that occurs as a result. HUD regulations and PHA
policies concerning reexaminations are presented in three parts:
Part I: Annual Reexaminations. This part discusses the process for conducting annual
reexaminations.
Part II: Interim Reexaminations. This part details the requirements for families to report
changes in family income and composition between annual reexaminations.
Part III: Recalculating Family Share and Subsidy Amount. This part discusses the
recalculation of family share and subsidy amounts based on the results of annual and
interim reexaminations.
Policies governing reasonable accommodation, family privacy, required family cooperation, and
program abuse, as described elsewhere in this plan, apply to both annual and interim
reexaminations.
PART I: ANNUAL REEXAMINATIONS [24 CFR 982.516]
11-I.A. Overview
The PHA must conduct a reexamination of family income and composition at least annually. This
includes gathering and verifying current information about family composition, income, and
expenses. Based on this updated information, the family’s income and rent must be recalculated.
This part discusses the schedule for annual reexaminations, the information to be collected and
verified, and annual reexamination effective dates.
11-I.B STREAMLINED ANNUAL REEXAMINATIONS (FIXED INCOME) [24 CFR 982.516(b)]
HUD permits PHAs to streamline the income determination process for family members with
fixed sources of income. While third-party verification of all income sources must be obtained
during the intake process and every three years thereafter, in the intervening years the PHA may
determine income from fixed sources by applying a verified cost of living adjustment (COLA) or
rate of interest. The PHA may, however, obtain third-party verification of all income, regardless of
the source. Further, upon request of the family, the PHA must perform third-party verification of
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all income sources.
Fixed sources of income include Social Security and SSI benefits, pensions, annuities, disability or
death benefits, and other sources of income subject to a COLA or rate of interest. The
determination of fixed income may be streamlined even if the family also receives income from
other non-fixed sources.
Two streamlining options are available, depending upon the percentage of the family’s income that
is received from fixed sources. If at least 90 percent of the family’s income is from fixed sources,
the PHA may streamline the verification of fixed income, and may choose whether but is not
required to verify non- fixed income amounts in years where no fixed-income review is required.
If the family receives less than 90 percent of its income from fixed sources, the PHA may
streamline the verification of fixed income and must verify non-fixed income annually.
PHA Policy
The PHA will streamline the annual reexamination process by applying the verified COLA
or interest rate to fixed-income sources. The PHA will document in the file how the
determination that a source of income was fixed was made.
If a family member with a fixed source of income is added, the PHA will use third-party
verification of all income amounts for that family member.
If verification of the COLA or rate of interest is not available, the PHA will obtain third-
party verification of income amounts.
Third-party verification of fixed sources of income will be obtained during the intake
process and at least once every three years thereafter.
Third-party verification of non-fixed income will be obtained annually regardless of the
percentage of family income received from fixed sources.
11-I.C. Scheduling Annual Reexaminations [PIH 2020-32]
The PHA must establish a policy to ensure that the annual reexamination for each family is
completed within a 12-month period, and may require reexaminations more frequently [HCV GB
p. 12-1].
PHA Policy
The PHA will begin the annual reexamination process 90-120 days in advance of its
scheduled effective date. Generally, the PHA will schedule annual reexamination effective
dates to coincide with the family’s anniversary date.
Anniversary date is defined as 12 months from the effective date of the family’s last annual
reexamination or, during a family’s first year in the program, from the effective date of the
family’s initial examination (admission).
If the family moves to a new unit, the PHA will perform a new annual reexamination.
The PHA also may schedule an annual reexamination for completion prior to the
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anniversary date for administrative purposes.
Notification of and Participation in the Annual Reexamination Process
The PHA is required to obtain the information needed to conduct annual reexaminations. How that
information will be collected is left to the discretion of the PHA. However, PHAs should
give tenants who were not provided the opportunity the option to complete Form HUD-92006 at
this time [Notice PIH 2009-36].
PHA Policy
Families generally are required to participate in an annual reexamination interview, which
must be attended by the head of household, spouse, or cohead. If participation in an in-
person interview poses a hardship because of a family member’s disability, the family
should contact the PHA to request a reasonable accommodation (see Chapter 2).
The PHA has the sole discretion to hold the annual reexamination via an online process, or an in-person
interview.
Notification of annual reexamination interviews will be sent by first-class mail and will contain the
method (on-line or in person) along with the date, time and location of the reexamination. If in-person,
the notice will include the date, and time and location of the interview. In addition, it will inform the
family of the information and documentation that must be provided either in-person, via Drop Box, or
online, in order to complete the annual reexamination process.brought to the interview.
Notification of annual 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 the PHA
in advance of the interview to schedule a new appointment. If a family does not attend the
scheduled interview, the PHA will send a second notification with a new interview date
and appointment time.
If a family fails to attend two scheduled interviews without PHA approval, or if the notice
is returned by the post office with no forwarding address, a notice of termination (see
Chapter 12) 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 the PHA must execute a certification attesting to the role and assistance
provided by any such third party.
11-I.D. Conducting Annual Reexaminations [PIH 2020-32]
As part of the annual reexamination process, families are required to provide updated information
to the PHA regarding the family’s income, expenses, and composition [24 CFR 982.551(b)].
Reference to the a/r interview
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PHA Policy
The PHA has the sole discretion to require that documentation for annual reexaminations are sent to the
PHA via the housing authorities online process.
Families will be asked to bringprovide all required information (as described in the
reexamination notice) through the tenant’s online account or Drop Box.
The PHA may also opt to complete the to the reexamination appointment in person.
The required information will include a PHA- designated reexamination form, an
Authorization for the Release of Information/Privacy Act Notice, as well as supporting
documents or forms related to the family’s income, expenses, and family composition.
Any required documents or information that the family is unable to provide for the
annual reexamination process at the time of the interview must be provided within 10
business days of the requestinterview. 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 period (plus any extensions), the family will be sent a notice of termination (See
Chapter 12).
Families who have extenuating circumstances or are elderly will be permitted to complete
their reexamination by mail or by using their online account process. A request for an
exception must be submitted in writing and will be reviewed and approved by
management on a case-by-case basis.
Additionally, HUD recommends that at annual reexaminations PHAs ask whether the tenant, or
any member of the tenant’s household, is subject to a lifetime sex offender registration
requirement in any state [Notice PIH 2012-28].
PHA Policy
At the annual reexamination, the PHA will ask whether the tenant, or any member of the
tenant’s household, is subject to a lifetime sex offender registration requirement in any
state. The PHA will use the Dru Sjodin National Sex Offender database to verify the
information provided by the tenant.
If the PHA proposes to terminate assistance based on lifetime sex offender registration
information, the PHA must notify the household of the proposed action and must provide the
subject of the record and the tenant a copy of the record and an opportunity to dispute the accuracy
and relevance of the information prior to termination. [24 CFR 5.903(f) and 5.905(d)]. (See
Chapter 12.)
The information provided by the family generally must be verified in accordance with the policies
in Chapter 7. Unless the family reports a change, or the PHA has reason to believe a change has
occurred in information previously reported by the family, certain types of information that are
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verified at admission typically do not need to be re-verified on an annual 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 (UPCS-V ) (see Chapter 8), the PHA must issue the family a new voucher, and the
family and PHA must try to find an acceptable unit as soon as possible. If an acceptable unit is
available for rental by the family, the PHA must terminate the HAP contract in accordance with its
terms [24 CFR 982.403].
11-I.E. Determining Ongoing Eligibility of Certain Students [24 CFR 982.552(b)(5)]
Section 327 of Public Law 109-115 established new restrictions on the ongoing eligibility of certain
students (both part- and full-time) who are enrolled in institutions of higher education.
If a student enrolled in an institution of higher education is under the age of 24, is not a veteran, is
not married, and does not have a dependent child, the student’s eligibility must be reexamined
along with the income eligibility of the student’s parents on an annual basis. In these cases, both
the student and the student’s parents must be income eligible for the student to continue to receive
HCV assistance. If, however, a student in these circumstances is determined independent from his
or her parents or is considered a vulnerable youth in accordance with PHA policy, the income of
the student’s parents will not be considered in determining the student’s ongoing eligibility.
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.
PHA Policy
During the annual reexamination process, the PHA will determine the ongoing eligibility of
each student who is subject to the eligibility restrictions in 24 CFR 5.612 by reviewing the
student’s individual income as well as the income of the student’s parents. If the student
has been determined “independent” from his/her parents or is considered a vulnerable
youth based on the policies in Sections 3-II.E and 7-II.E, the parents’ income will not be
reviewed.
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 in accordance with the policies
in Section 12-I.D.
If the student continues to be income eligible based on his/her own income and the income
of his/her parents (if applicable), the PHA will process a reexamination in accordance with
the policies in this chapter.
11-I.F. Criminal background screening [PIH Notice 2012-28]
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HUD authorizes PHAs to perform criminal background checks during the annual
recertification/reexamination to determine if a member of a participant’s household is subject to a
lifetime registration requirement under any State sex offender registration program. Additionally,
PHAs must ask whether the tenant, or any member of the tenant’s household, is subject to a
lifetime registered sex offender registration requirement in any state [Notice PIH 2012-28].
The PHA may not pass along to the applicant the costs of a criminal records check
[24 CFR 960.204(d)].
PHA Policy
Each household member age 18 and over will be required to execute a consent form for
criminal background check as part of the annual update process
The PHA will perform criminal background checks through local law enforcement or use
the Dru Sjodin National Sex Offender database for all adult household members.
If the recertification screening reveals that the tenant has falsified information or otherwise
failed to disclose criminal history on his/her full application and/or recertification forms,
the PHA will pursue termination of assistance, as described in section 12-I.D. Mandatory
Termination of Assistance.
11-I.G. Effective Dates
The PHA must establish policies concerning the effective date of changes that result from an
annual reexamination [24 CFR 982.516].
PHA Policy
In general, an increase in the family share of the rent that results from an annual
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 the PHA chooses to schedule an annual reexamination for completion prior to the
family’s anniversary date for administrative purposes, the effective date will be determined
by the PHA, but will always allow for the 30-day notice period.
If the family causes a delay in processing the annual reexamination, increases in the family
share of the rent will be applied retroactively to the scheduled effective date of the annual
reexamination. The family will be responsible for any overpaid subsidy and may be offered
a repayment agreement in accordance with the policies in Chapter 16.
In general, a decrease in the family share of the rent that results from an annual
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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 the PHA chooses to schedule an annual reexamination for completion prior to the
family’s anniversary date for administrative purposes, the effective date will be
determined by the PHA.
If the family causes a delay in processing the annual 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 reexamination processing are considered to be caused by the family if the family fails
to provide information requested by the PHA by the date specified, and this delay prevents the
PHA from completing the reexamination as scheduled.
PART II: INTERIM REEXAMINATIONS [24 CFR 982.516]
11-II.A. Overview
Family circumstances may change between annual reexaminations. HUD and PHA policies dictate
what kinds of information about changes in family circumstances must be reported, and under
what circumstances the PHA must process interim reexaminations to reflect those changes. HUD
regulations also permit the PHA to conduct interim reexaminations of income or family
composition at any time. When an interim reexamination is conducted, only those factors that have
changed are verified and adjusted [HCV GB, p. 12-10].
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. The PHA must complete the interim reexamination within a reasonable time after the
family’s request.
This part includes HUD and PHA policies describing what changes families are required to report,
what changes families may choose to report, and how the PHA will process both PHA- and
family-initiated interim reexaminations.
11-II.B. Changes in Family and Household Composition
The family is required to report all changes in family composition. The PHA must adopt policies
prescribing when and under what conditions the family must report changes in income and family
composition. However, due to family obligations under the program, the PHA has limited
discretion in this area.
PHA Policy
11-8
All families must notify the PHA of any change within 10 business days of its occurrence
(e.g., If the resident or any member of the family became employed, the start date of
employment would start the count of 10 business days). The changes must be submitted in
writing by using our ‘Change Report Form’. The copy of the form must be time and date
stamped by the City of Chandler Housing office to be considered valid. The copy of the
form will be provided to the participant.
Upon implementation of the online resident system, the family will be urged to use the
PHA website/online process for submitting Change Reports.
The PHA will conduct interim reexaminations to account for any changes in household
composition that occur between annual reexaminations.
New Family Members Not Requiring PHA Approval
The addition of a family member as a result of birth, adoption, or court-awarded custody does not
require PHA approval. However, the family is required to promptly notify the PHA of the addition [24
CFR 982.551(h)(2)].
PHA Policy
The family must inform the PHA in writing of the birth, adoption, or court-awarded
custody of a child within 10 business days of its occurrence.
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 PHA approval to add a new family member [24 CFR
982.551(h)(2)] or other household member (live-in aide or foster child) [24 CFR 982.551(h)(4)].
When any new family member is added, the PHA must make appropriate adjustments in the family
share of the rent and the HAP payment at the effective date of either the annual or interim
reexamination [24 CFR 982.516(e)(2)].
If a change in family size causes a violation of inspection standards (UPCS-V ) space standards
(see Chapter 8), the PHA must issue the family a new voucher, and the family and PHA must try
to find an acceptable unit as soon as possible. If an acceptable unit is available for rental by the
family, the PHA must terminate the family’s HAP contract in accordance with its terms [24 CFR
982.403].
PHA Policy
Families must request PHA approval to add a new family member, live-in aide, foster
child, or foster adult. This includes any person not on the lease who is expected to stay in
the unit for no longer than a total of 14 days within a 12-month period, and therefore no
longer qualifies as a “guest” (see 3-I.J. for the definition of guests). Requests must be made
in writing and approved by the PHA prior to the individual moving into the unit.
11-9
The PHA will not approve the addition of a separate family to be added to the household
unless the separate family is the live-in aide’s family. Only one bedroom will be granted
for a live-in aide and their family. All members of the live-in aide’s family must meet
eligibility requirements. A live-in aide must be requested through the reasonable
accommodation process if a disabled household member needs the accommodation due to
medical reasons.
The PHA will approve the addition of a biological minor when a current household
member has physical custody of the minor, the adoption or court-awarded custody of a
minor, or a minor who has been placed temporarily in the household and a current
household member has physical custody of the minor.
The PHA will approve the addition of a significant other or spouse as long as the adult
meets eligibility requirements.
Other additions to the household will be reviewed on a case-by-case basis to take into
consideration adult relatives returning to the household who need care provided by a
household members; relatives who have never lived in the household, but now a household
member is responsible for the care of the relative; or in situations where an adult biological
or adopted child of a household member needs to live in the household for safety reasons or
to attend school. All adult household additions must meet eligibility requirements.
The PHA will not approve the addition of a new household member unless the individual
meets the PHA’s eligibility criteria (see Chapter 3) and documentation requirements (see
Chapter 7, Part II).
The PHA will not approve the addition of a foster child or foster adult if it will cause a
violation of UPCS-V space standards.
If the PHA determines an individual meets the PHA’s eligibility criteria and documentation
requirements, the PHA will provide written approval to the family. If the approval of a new
family member or live-in aide will cause overcrowding according to UPCS-V standards,
the approval letter will explain that the family will be issued a voucher and will be required
to move.
If the PHA determines that an individual does not meet the PHA’s eligibility criteria or
documentation requirements, the PHA 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.
The PHA will make its determination within 10 business days of receiving all information
required to verify the individual’s eligibility.
The family will not receive approval to add a separate family (two or more persons) to the
household.
Departure of a Family or Household Member
11-10
Families must promptly notify the PHA if any family member no longer lives in the unit
[24 CFR 982.551(h)(3)]. Because household members are considered when determining the family
unit (voucher) size [24 CFR 982.402], the PHA also needs to know when any live-in aide, foster
child, or foster adult ceases to reside in the unit.
PHA Policy
If a household member ceases to reside in the unit, the family must inform the PHA in
writing within 10 business days of its occurrence and provide the new residential address of
the family member who is being removed. 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 the PHA within 10 business days.
11-II.C. Changes Affecting Income or Expenses
Interim reexaminations can be scheduled either because the PHA 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, the PHA may take different actions depending on whether the family
reported the change voluntarily, or because it was required to do so.
PHA-Initiated Interim Reexaminations
PHA-initiated interim reexaminations are those that are scheduled based on circumstances or
criteria defined by the PHA. They are not scheduled because of changes reported by the family.
PHA Policy
The PHA will conduct interim reexaminations in each of the following instances:
For families receiving the Earned Income Disallowance (EID), the PHA will
conduct an interim reexamination at the start and conclusion of the 24-month
eligibility period.
If the family has reported zero income, the PHA will conduct an interim
reexamination every month as long as the family continues to report that they have
no income. The family will provide a notarized affirmation of zero income,
complete a zero income budgeting worksheet and questionnaire. A review of the
checking and saving bank statements will be conducted to observe the cost
expenditures and deposits.
If at the time of the annual reexamination, it is not feasible to anticipate a level of
income for the next 12 months (e.g. seasonal or cyclic income), the PHA will
schedule an interim reexamination to coincide with the end of the period for which
it is feasible to project income.
11-11
If at the time of the annual reexamination, tenant declarations were used on a
provisional basis due to the lack of third-party verification, and third-party
verification becomes available, the PHA will conduct an interim reexamination.
The PHA 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.
Family-Initiated Interim Reexaminations
The PHA must adopt policies prescribing when and under what conditions the family must report
changes in family income or expenses [24 CFR 982.516(c)]. In addition, HUD regulations require that
the family be permitted to obtain an interim reexamination any time the family has experienced a
change in circumstances since the last determination [24 CFR 982.516(b)(2)].
Required Reporting
HUD regulations give the PHA the freedom to determine the circumstances under which families
will be required to report changes affecting income.
PHA Policy
Families are required to report all increases in earned and unearned income, including new
employment within 10 business days of its occurrence. The changes must be submitted in
writing by using our ‘Change Report Form’. The copy of the form must be time and date
stamped by the City of Chandler Housing office to be considered valid. The copy of the
form will be provided to the participant.
Upon implementation of the online resident system, the family will be urged to use the
PHA website/online process for submitting Change Reports.
To encourage economic self-sufficiency and independence from federal assistance the
following income will be excluded from an interim change and processed only at the
annual reexamination:
• Increases in Social Security benefits;
• Temporary Assistance for Needy Families (TANF) families who begin
employment;
• Wage increases from the same employer/employment agency(i.e., raises, bonuses,
commissions, overtime);
• On the job training pay; and
• All income increases below the threshold amount of $2,400 ($50 weekly, $100 bi-
weekly, $200 monthly, or $2,400 yearly including same source income) except for
zero income families.
The interim reexamination will be processed for Family Self Sufficiency (FSS) participants who
report an increase in earned income.
Optional Reporting
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The family may request an interim reexamination any time the family has experienced a change in
circumstances since the last determination [24 CFR 982.516(b)(2)]. The PHA must process the
request if the family reports a change that will result in a reduced family income [HCV GB, p.
262]. 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
program, the family’s share of the rent will not be reduced [24 CFR 5.615]. For more information
regarding the requirement to impute welfare income see Chapter 6.
11-II.D. Processing the Interim Reexamination
Method of Reporting
PHA Policy
The family must notify the PHA of changes in writing. Generally, the family will not be
required to attend an interview for an interim reexamination. However, if the PHA
determines that an interview is warranted, the family may be required to attend.
Based on the type of change reported, the PHA will determine the documentation the
family will be required to submit. The family must submit any required information or
documents within 10 business days of receiving a request from the PHA. This time frame
may be extended for good cause with PHA approval. Upon implementation of the online
resident system, the family will be urged to use the PHA website/online process for
submitting Change Reports.The PHA will accept required documentation by mail, by
email, by fax, or in person.
Effective Dates
The PHA must establish the time frames in which any changes that result from an interim
reexamination will take effect [24 CFR 982.516(d)]. The changes may be applied either
retroactively or prospectively, depending on whether there is to be an increase or a decrease in the
family share of the rent, and whether the family reported any required information within the
required time frames [HCV GB, p. 12-10].
PHA Policy
If the family share of the rent is to increase:
The increase generally will be effective on the first of the month following 30 days’
notice to the family.
If a family fails to report a 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
11-13
in Chapter 16.
If the family share of the rent is to decrease:
The decrease 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;
however, all required documentation must be received by the 20th calendar day of
the month to allow adequate time for processing.
In cases where the change cannot be verified until after the date the change would
have become effective, the change will be made retroactively.
PART III: RECALCULATING FAMILY SHARE AND SUBSIDY AMOUNT
11-III.A. Overview
After gathering and verifying required information for an annual or interim reexamination, the
PHA must recalculate the family share of the rent and the subsidy amount, and notify the family
and owner of the changes [24 CFR 982.516(d)(2), HCV 12-6 and 12-10]. While the basic policies
that govern these calculations are provided in Chapter 6, this part lays out policies that affect these
calculations during a reexamination.
11-III.B. Changes in Payment Standards and Utility Allowances
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 the
PHA’s calculations.
Specific policies governing how subsidy standards, payment standards, and utility allowances are
applied are discussed below.
Payment Standards [24 CFR 982.505]
The family share of the rent and HAP calculations must use the correct payment standard for the
family, taking into consideration the family unit size, the size of unit, and the area in which the
unit is located [HCV GB, p. 12-5]. See Chapter 6 for information on how to select the appropriate
payment standard.
When the PHA changes its payment standards or the family’s situation changes, new payment
standards are applied at the following times:
If the PHA’s payment standard amount changes during the term of the HAP contract, the
date on which the new standard is applied depends on whether the standard has increased
or decreased:
11-14
-
If the payment standard amount has increased, the increased payment standard will
be applied at the first annual reexamination following the effective date of the
increase in the payment standard.
-
If the payment standard amount has decreased, during the term of a HAP contract,
the PHA is not required to reduce the payment standard as the HAP contract
remains in effect. At the family’s second annual reexamination, the PHA may, but
is not required to, apply the decreased payment standard or may gradually
implement the reduced payment standard (See Chapter 6 for the PHA’s policy on
decreases in the payment standard).
If the family moves to a new unit, or a new HAP contract is executed due to changes in the lease
(even if the family remains in place) the current payment standard applicable to the family will
be used when the new HAP contract is processed.
Subsidy Standards [24 CFR 982.505(c)(4)]
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 the PHA’s subsidy standards
(see Chapter 5), the new family unit size must be used to determine the payment standard amount
for the family at the family’s first annual reexamination following the change in family unit size.
Utility Allowances [24 CFR 982.517(d)]
The family share of the rent and HAP calculations must reflect any changes in the family’s utility
arrangement with the owner, or in the PHA’s utility allowance schedule [HCV GB, p. 12-5].
Chapter 16 discusses how utility allowance schedules are established.
When there are changes in the utility arrangement with the owner, the PHA must use the utility
allowances in effect at the time the new lease and HAP contract are executed.
At reexamination, the PHA must use the PHA current utility allowance schedule [HCV GB p. 18-
8].
PHA Policy
Revised utility allowances will be applied to a family’s rent and subsidy calculations at the
first annual reexamination after the allowance is adopted.
11-III.C. Notification of New Family Share and HAP Amount
The PHA must notify the owner and family of any changes in the amount of the HAP payment
[HUD-52641, HAP Contract]. The notice must include the following information [HCV GB, p.
12-6]:
• The amount and effective date of the new HAP payment
• The amount and effective date of the new family share of the rent
11-15
• The amount and effective date of the new tenant rent to owner
The family must be given an opportunity for an informal hearing regarding the PHA’s
determination of their annual or adjusted income, and the use of such income to compute the
housing assistance payment [24 CFR 982.555(a)(1)(i)] (see Chapter 16).
PHA Policy
The notice to the family will include the annual and adjusted income amounts that were used to
calculate the family share of the rent and the housing assistance payment.
The notice will state the family has the right to request an explanation of how the assistance was
calculated and if the family disagrees, they have the right to informal hearing. The notice will
include the procedures for requesting an informal hearing.
11-III.D. Discrepancies
During an annual or interim reexamination, the PHA may discover that information previously
reported by the family was in error, or that the family intentionally misrepresented information. In
addition, the PHA may discover errors made by the PHA. When errors resulting in the
overpayment or underpayment of subsidy are discovered, corrections will be made in accordance
with the policies in Chapter 13.
12-1
Chapter 12
Termination of Assistance and Tenancy
HUD regulations specify mandatory and optional grounds for which a PHA can terminate a
family’s assistance. They also specify the circumstances under which an owner may terminate the
tenancy of an assisted family. This chapter describes the policies that govern mandatory and
optional terminations of assistance, and termination of tenancy by the owner. It is presented in
three parts:
Part I: Grounds for Termination of Assistance. This part describes the various
circumstances under which assistance under the program can be terminated by the family
or by the PHA.
Part II: Approach to Termination of Assistance. This part describes the policies and the
process that the PHA will use in evaluating decisions on whether to terminate assistance
due to actions o inactions of the family where termination is an option. It specifies the
alternatives that the PHA may consider in lieu of termination, the criteria the PHA will use
when deciding what action to take, and the steps the PHA must take when terminating a
family’s assistance.
Part III: Termination of Tenancy by the Owner. This part describes the HUD policies that
govern the owner’s right to terminate an assisted tenancy.
PART I: GROUNDS FOR TERMINATION OF ASSISTANCE
12-I.A. Overview
HUD requires the PHA to terminate assistance for certain actions and inactions of the family and
when the family no longer requires assistance due to increases in family income. HUD permits the
PHA to terminate assistance for certain other actions or inactions of the family. In addition, a
family may decide to withdraw from the program and terminate their HCV assistance at any time
by notifying the PHA.
12-I.B. Family No Longer Requires Assistance [24 CFR 982.455]
As a family’s income increases, the amount of PHA the housing assistance payment decreases. If
the amount of assistance provided by the PHA is reduced to zero the family's assistance terminates
automatically 180 days after the last HAP payment.
PHA Policy
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 the PHA of the
change and request an interim reexamination before the expiration of the 180-day period.
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12-I.C. Family Chooses To Terminate Assistance
The family may request that the PHA terminate housing assistance payments on behalf of the
family at any time.
PHA Policy
The request to terminate assistance should be made in writing and signed by the head of
household and spouse, or cohead if applicable. Before terminating the family’s assistance,
the PHA will follow the notice requirements in Section 12-II.F.
12-I.D. Mandatory Termination of Assistance
HUD requires the PHA to terminate assistance in the following circumstances.
Eviction [24 CFR 982.552(b)(2)]
The PHA must terminate assistance whenever a family is evicted from a unit assisted under the
HCV program for a serious or repeated violation of the lease. As discussed further in section 12-
II.E, incidents of actual or threatened domestic violence, dating violence, sexual assault, or
stalking may not be construed as serious or repeated violations of the lease by the victim or
threatened victim of such violence or stalking.
PHA Policy
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. In such cases the PHA will determine whether the family has
committed serious or repeated violations of the lease based on available evidence and may
terminate assistance or take any of the alternative measures described in Section 12-II.C.
In making its decision, the PHA will consider the factors described in sections 12-II.D and
12-II.E. Upon consideration of such factors, the PHA may, on a case-by-case basis, choose
not to terminate assistance.
Serious and repeated lease violations will include, but not be limited to, nonpayment of
rent, disturbance of neighbors, destruction of property, or living or housekeeping habits
that cause damage to the unit or premises and criminal activity. Generally, the criteria to be
used is whether the reason for the eviction was through no fault of the tenant or guests.
Failure to Provide Consent [24 CFR 982.552(b)(3)]
The PHA must terminate assistance if any family member fails to sign and submit any consent
form they are required to sign for a regular or interim reexamination. See Chapter 7 for a complete
discussion of consent requirements.
12-3
Failure to Document Citizenship [24 CFR 982.552(b)(4) and [24 CFR 5.514(c)]
The PHA must terminate assistance if (1) a family fails to submit required documentation within
the required timeframe concerning any family member’s citizenship or immigration status; (2) 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 (3) a family member, as determined by
the PHA, has knowingly permitted another individual who is not eligible for assistance to reside
(on a permanent basis) in the unit.
For (3) above, such termination must be for a period of at least 24 months. This does not apply to
ineligible noncitizens already in the household where the family’s assistance has been prorated.
See Chapter 7 for a complete discussion of documentation requirements.
Failure to Disclose and Document Social Security Numbers [24 CFR 5.218(c), Notice
PIH2018-24]
The PHA must terminate assistance if a participant family fails to disclose the complete and
accurate social security numbers of each household member and the documentation necessary to
verify each social security number.
However, if the family is otherwise eligible for continued program assistance, and the PHA
determines that the family’s failure to meet the SSN disclosure and documentation requirements
was due to circumstances that could not have been foreseen and were outside of the family’s
control, the PHA may defer the family’s termination and provide the opportunity to comply with
the requirement within a period not to exceed 90 calendar days from the date the PHA determined
the family to be noncompliant.
PHA Policy
The PHA will defer the family’s termination and provide the family with the opportunity
to comply with the requirement for a period of 90 calendar days for circumstances
beyond the participant’s control such as delayed processing of the SSN application by the
SSA, natural disaster, fire, death in the family, or other emergency, if there is a
reasonable likelihood that the participant will be able to disclose an SSN by the deadline.
Methamphetamine Manufacture or Production [24 CFR 983.553(b)(1)(ii)]
The PHA must terminate assistance if any household member has ever been convicted of the
manufacture or production of methamphetamine on the premises of federally-assisted housing.
Lifetime Registered Sex Offenders [Notice PIH 2012-28]
Should a PHA discover that a member of an assisted household was subject to a lifetime
registration requirement at admission and was erroneously admitted after June 25, 2001, the PHA
must immediately terminate assistance for the household member.
12-4
In this situation, the PHA must offer the family the opportunity to remove the ineligible family
member from the household. If the family is unwilling to remove that individual from the
household, the PHA must terminate assistance for the household.
Failure of Students to Meet Ongoing Eligibility Requirements [24 CFR 982.552(b)(5) and FR
4/10/06]
If a student enrolled at an institution of higher education is under the age of 24, is not a veteran, is
not married, does not have dependent children, and is not residing with his/her parents in an HCV
assisted household, the PHA must the terminate the student’s assistance if, at the time of
reexamination, either the student’s income or the income of the student’s parents (if applicable)
exceeds the applicable income limit.
If a participant household consists of both eligible and ineligible students, the eligible students
shall not be terminated, but must be issued a voucher to move with continued assistance in
accordance with program regulations and PHA policies, or must be given the opportunity to lease
in place if the terminated ineligible student members elect to move out of the assisted unit.
Death of the Sole Family Member [24 CFR 982.311(d) and Notice PIH 2010-9, Notice PIH
2010-50]
The PHA must immediately terminate program assistance for deceased single member households
which will result in termination of the HAP contract and HAP to the owner in accordance with the
aforementioned provisions. The owner is not entitled to HAP for any month following the month
in which the death occurred.
There are no exceptions to this policy and procedures. PHA must notify the owner in writing of
the deceased head of household.
12-I.E. Mandatory Policies and Other Authorized Terminations
Mandatory Policies [24 CFR 982.553(b) and 982.551(l)]
HUD requires the PHA to establish policies that permit the PHA to terminate assistance if the PHA
determines that:
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
Any household member has violated the family’s obligation not to engage in violent
criminal activity
Use of Illegal Drugs and Alcohol Abuse
12-5
PHA Policy
The PHA will terminate a family’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.
The PHA will terminate assistance if any household member’s abuse or pattern of abuse of
alcohol threatens the health, safety, or right to peaceful enjoyment of the premises by other
residents.
Currently engaged in is defined as any use of illegal drugs during the previous six months.
The PHA will consider all credible evidence, including but not limited to, any record of
convictions, or eviction of household members related to the use of illegal drugs or abuse
of alcohol.
A record of arrest(s) will not be used as the sole basis for the termination or proof
that the participant engaged in disqualifying criminal activity.
In making its decision to terminate assistance, the PHA will consider alternatives as
described in Section 12-II.C and other factors described in Section 12-II.D. Upon
consideration of such alternatives and factors, the PHA may, on a case-by-case basis,
choose not to terminate assistance.
Drug-Related and Violent Criminal Activity [24 CFR 5.100]
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.
PHA Policy
The PHA will terminate a family’s assistance if any household member has violated the
family’s obligation not to engage in any drug-related or violent criminal activity during
participation in the HCV program.
The PHA will consider all credible evidence, including but not limited to, any record of
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.
A record of arrest(s) will not be used as the basis for the termination or proof that the
participant engaged in disqualifying criminal activity.
12-6
In making its decision to terminate assistance, the PHA will consider alternatives as
described in Section 12-II.C and other factors described in Section 12-II.D. Upon
consideration of such alternatives and factors, the PHA may, on a case-by-case basis,
choose not to terminate assistance.
State laws purporting to legalize medical marijuana directly conflict with the admission and
continued requirements of the Quality Housing and Work Responsibility Act of 1998 (“Public
Housing Reform Act”) and are thus subject to preemption [September 24, 1999 HUD Letter Re:
Medical Use of Marijuana].
Other Authorized Reasons for Termination of Assistance [24 CFR 982.552(c)]
HUD permits the PHA to terminate assistance under a number of other circumstances. It is left to
the discretion of the PHA whether such circumstances in general warrant consideration for the
termination of assistance. As discussed further in section 12-II.E., the Violence Against Women
Reauthorization Act of 2013 explicitly prohibits PHAs from considering incidents of, or criminal
activity directly related to, domestic violence, dating violence, sexual assault, or stalking as
reasons for terminating the assistance of a victim of such abuse.
Additionally, per the alternative requirements listed in the Federal Register notice dated December
29, 2014, PHAs are no longer permitted to terminate assistance to a family due to the family’s
failure to meet its obligations under the Family Self-Sufficiency (FSS) contract of participation
[FR Notice 12/29/14].
PHA Policy
The PHA will terminate a family’s assistance if:
• The family has failed to comply with any family obligations under the program. See
Exhibit 12-1 for a listing of family obligations and related PHA policies.
• Any drug-related, violent criminal activity, or criminal activity on the property by the
leaseholder, a member of the household, or guest; or any criminal activity on or off
the property by the leaseholder or a household member.
• Any family member has been evicted from or abandoned a federally assisted housing
in the last five years.
• Any PHA has ever terminated assistance under the program for any member of the
family.
• Any family 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 PHA in connection with
Section 8 or public housing assistance under the 1937 Act.
• The family has not reimbursed any PHA for amounts the PHA 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 has breached the terms of a repayment agreement entered into with the
PHA.
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• A family member has engaged in or threatened violent or abusive behavior toward
PHA personnel.
Abusive or violent behavior towards PHA 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, the PHA will consider alternatives as
described in Section 12-II.C and other factors described in Section 12-II.D. Upon
consideration of such alternatives and factors, the PHA may, on a case-by-case basis,
choose not to terminate assistance.
Family Absence from the Unit [24 CFR 982.312, Form HUD-52641]
The family may be absent from the unit for brief periods. The PHA must establish a policy on how
long the family may be absent from the assisted unit. However, the family may not be absent from
the unit for a period of more than 180 consecutive calendar days for any reason. Absence in this
context means that no member of the family is residing in the unit.
PHA Policy
If the family is absent from the unit for more than 30 calendar days, the family’s assistance
will be terminated. Notice of termination will be sent in accordance with Section 12-II.F.
Housing assistance payments terminate if the family is absent for longer than the maximum period
permitted. The term of the HAP contract and assisted lease also terminate.
(The owner must reimburse the PHA for any housing assistance payment for the period after the
termination.)
Absence means that no member of the family is residing in the unit.
If the family moves from the contract unit, the HAP contract terminates automatically.
Housing assistance payments shall only be paid to the owner while the family is residing in the
contract unit during the term of the HAP contract. The PHA shall not pay a housing assistance
payment to the owner for any month after the month when the family moves out.
Insufficient Funding [24 CFR 982.454]
The PHA may terminate HAP contracts if the PHA determines, in accordance with HUD
requirements, that funding under the consolidated ACC is insufficient to support continued
assistance for families in the program.
PHA Policy
The PHA will determine whether there is sufficient funding to pay for currently assisted
12-8
families according to the policies in Part VIII of Chapter 16. If the PHA determines there
is a shortage of funding, prior to terminating any HAP contracts, the PHA will determine
if any other actions can be taken to reduce program costs. If, after implementing all
reasonable cost cutting measures, there is not enough funding available to provide
continued assistance for current participants, the PHA will terminate HAP contracts as a
last resort.
Prior to terminating any HAP contracts, the PHA will inform the local HUD field office .
The PHA will terminate the minimum number needed in order to reduce HAP costs to a
level within the PHA’s annual budget authority.
If the PHA must terminate HAP contracts due to insufficient funding, the PHA will do so
in accordance with the following criteria and instructions:
• The PHA will review the active participant listing and determine which participants
have leases and HAP contracts that are expiring.
• Within the active participant listing, if there are participants that have transferred to
the City of Chandler’s jurisdiction through portability, and the initial housing
agency is being billed, those participants will not be subject to this termination
process.
• In the executed HAP contract date order, the HAP contracts that are most subject
for renewal will be terminated. A thirty-day written notice will be sent to owner and
tenant notifying them of the insufficient funding.
• Participants whose HAP contracts are terminated will be placed back on the waiting
list based upon initial date of their application.
• Portable transfers whose HAP contracts are terminated will be placed back on the
wait list based upon their initial date of admission to the program from the initial
housing agency.
PART II: APPROACH TO TERMINATION OF ASSISTANCE
12-II.A. Overview
The PHA is required by regulation to terminate a family’s assistance for certain actions or
inactions of the family. For other types of actions or inactions of the family, the regulations give
the PHA the authority to either terminate the family’s assistance or to take another action. This
part discusses the various actions the PHA may choose to take when it has discretion, and outlines
the criteria the PHA will use to make its decision about whether or not to terminate assistance. It
also specifies the requirements for the notification to the family of the PHA’s intent to terminate
assistance.
12-II.B. Method of Termination [24 CFR 982.552(a)(3)]
12-9
Termination of assistance for a participant may include any or all of the following:
Terminating housing assistance payments under a current HAP contract,
Refusing to enter into a new HAP contract or approve a lease, or
Refusing to process a request for or to provide assistance under portability procedures.
12-II.C. Alternatives to Termination of Assistance
Change in Household Composition
As a condition of continued assistance, the PHA may require that any household member who
participated in or was responsible for an offense no longer resides in the unit [24 CFR
982.552(c)(2)(ii)].
PHA Policy
As a condition of continued assistance, the head of household must certify that the culpable
family member has vacated the unit and will not be permitted to visit or to stay as a guest
in the assisted unit. The family must present evidence of the former family member’s
current address upon PHA request.
Repayment of Family Debts
PHA Policy
If a family owes amounts to the PHA, as a condition of continued assistance, the PHA will
require the family to repay the full amount or to enter into a repayment agreement, within
30 days of receiving notice from the PHA of the amount owed. See Chapter 16 for policies
on repayment agreements.
12-II.D. Criteria for Deciding to Terminate Assistance
Evidence
For criminal activity, HUD permits the PHA to 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 [24 CFR 982.553(c)].
The fact that an applicant or tenant was arrested for a disqualifying offense shall not be treated or
regarded as proof that the applicant or tenant engaged in disqualifying criminal activity.
Although a record of arrest(s) may not be used to deny a housing opportunity, PHAs may make
an adverse housing decision based on the conduct underlying an arrest if the conduct indicates
that the individual is not suitable for tenancy and the PHA has sufficient evidence other than the
fact of arrest that the individual engaged in the conduct. The conduct, not the arrest, is what is
relevant for admissions and tenancy decisions.
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The arrest may, however, trigger an investigation to determine whether the applicant or tenant
actually engaged in disqualifying criminal activity.
As part of its investigation, CCHRD may obtain the police report associated with the arrest and
consider the reported circumstances of the arrest. CCHRD may also consider any statements
made by witnesses or the applicant or tenant not included in the police report; whether criminal
charges were filed; whether, if filed, criminal charges were abandoned, dismissed, not prosecuted,
or ultimately resulted in an acquittal; and any other evidence relevant to determining whether or
not the applicant or tenant engaged in disqualifying activity. Reliable evidence of a conviction for
criminal conduct that would disqualify an individual for tenancy may also be the basis for
determining that the disqualifying conduct in fact occurred. [PIH Notice 2015-19]
PHA Policy
The PHA will use the concept of the 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
Consideration of Circumstances [24 CFR 982.552(c)(2)(i)]
The PHA is permitted, but not required, to consider all relevant circumstances when determining
whether a family’s assistance should be terminated.
PHA Policy
The PHA will consider the following facts and circumstances when making its decision to
terminate assistance:
The seriousness of the case, especially with respect to how it would affect other residents’
safety or property.
The effects that termination of assistance may have on other members of the family who
were not involved in the action or failure to act.
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 (as
discussed further in section 12-II.E) a victim of domestic violence, dating violence,
sexual assault, or stalking.
The length of time since the violation occurred, including the age of the individual at
the time of conduct, as well as the family’s recent history and the likelihood of
favorable conduct in the future.
While a record of arrest(s) will not be used as the sole basis for termination, an arrest
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may, however, trigger an investigation to determine whether the participant actually
engaged in disqualifying criminal activity. As part of its investigation, the PHA may
obtain the police report associated with the arrest and consider the reported
circumstances of the arrest. The PHA may also consider:
- Any statements made by witnesses or the participant not included in the police
report
- Whether criminal charges were filed
- Whether, if filed, criminal charges were abandoned, dismissed, not prosecuted, or
ultimately resulted in an acquittal
- Any other evidence relevant to determining whether or not the participant engaged
in disqualifying activity
Evidence of criminal conduct will be considered if it indicates a demonstrable risk to
safety and/or property
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.
The PHA 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 otherwise having been rehabilitated
successfully.
Reasonable Accommodation [24 CFR 982.552(c)(2)(iv)]
If the family includes a person with disabilities, the PHA’s decision to terminate the family’s
assistance is subject to consideration of reasonable accommodation in accordance with 24 CFR
Part 8.
PHA Policy
If a family indicates that the behavior of a family member with a disability is the reason for
a proposed termination of assistance, the PHA will determine whether the behavior is
related to the disability. If so, upon the family’s request, the PHA will determine whether
alternative measures are appropriate as a reasonable accommodation. The PHA will only
consider accommodations that can reasonably be expected to address the behavior that is
the basis of the proposed termination of assistance. See Chapter 2 for a discussion of
reasonable accommodation.
12-II.E. Terminating Related to Domestic Violence, Dating Violence, Sexual Assault, or Stalking
This section describes the protections against termination of assistance that the Violence against
Women Act of 2013 (VAWA) provides for victims of domestic violence, dating violence, sexual
assault, and stalking. For general VAWA requirements, key VAWA definitions, and PHA policies
pertaining to notification, documentation, and confidentiality, see section 16-IX of this plan.
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VAWA Protections against Termination
VAWA provides four specific protections against termination of HCV assistance for victims of
domestic violence, dating violence, sexual assault, or stalking. (Note: The second, third, and fourth
protections also apply to terminations of tenancy or occupancy by owners participating in the HCV
program as do the limitations discussed under the next heading.)
First, VAWA provides that a PHA may not terminate assistance to a family that moves out of an
assisted unit in violation of the lease, with or without prior notification to the PHA, if the move
occurred 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 and who reasonably believed he or
she was imminently threatened by harm from further violence if he or she remained in the unit [24
CFR 982.314(b)(4)].
Second, it provides that an incident or incidents of actual or threatened domestic violence, dating
violence, sexual assault, or stalking may not be construed either as a serious or repeated lease
violation by the victim or as good cause to terminate the assistance of the victim [24 CFR
5.2005(c)(1)].
Third, it provides that criminal activity directly related to domestic violence, dating violence,
sexual assault, or stalking may not be construed as cause for terminating the assistance of a tenant
if a member of the tenant’s household, a guest, or another person under the tenant’s control is the
one engaging in the criminal activity and the tenant or affiliated individual or other individual is
the actual or threatened victim of the domestic violence, dating violence, sexual assault, or stalking
[24 CFR 5.2005(c)(2)].
Fourth, it gives PHAs the authority to terminate assistance to any tenant or lawful occupant who
engages in criminal acts of physical violence against family members or others without
terminating assistance to, or otherwise penalizing, the victim of the violence [24 CFR 5.2009(a)].
Limitations on VAWA Protections [24 CFR 5.2005(d) and (e)]
VAWA does not limit the authority of a PHA to terminate the assistance of a victim of abuse for
reasons unrelated to domestic violence, dating violence, sexual assault, or stalking so long as the
PHA does not subject the victim to a more demanding standard than it applies to other program
participants [24 CFR 5.2005(d)(1)].
Likewise, VAWA does not limit the authority of a PHA to terminate the assistance of a victim of
domestic violence, dating violence, sexual assault, or stalking if the PHA can demonstrate an
actual and imminent threat to other tenants or those employed at or providing service to the
assisted property if the victim is not terminated from assistance [24 CFR 5.2005(d)(2)].
HUD regulations define actual and imminent threat to mean words, gestures, actions, or other
indicators of a physical threat that (a) is real, (b) would occur within an immediate time frame, and
could result in death or serious bodily harm [24 CFR 5.2005(d)(2) and (e)]. In determining
whether an individual would pose an actual and imminent threat, the factors to be considered
include:
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The duration of the risk
The nature and severity of the potential harm
The likelihood that the potential harm will occur
The length of time before the potential harm would occur [24 CFR 5.2005(e)]
In order to demonstrate an actual and imminent threat, the PHA must have objective evidence of
words, gestures, actions, or other indicators. Even when a victim poses an actual and imminent
threat, HUD regulations authorize a
PHA to terminate the victim’s assistance “only when there are no other actions that could be
taken to reduce or eliminate the threat” [24 CFR 5.2005(d)(3)].
PHA Policy
In determining whether a program participant who is a victim of domestic violence, dating
violence, sexual assault, or stalking is an actual and imminent threat to other tenants or
those employed at or providing service to a property, the PHA will consider the following,
and any other relevant, factors:
Whether the threat is toward an employee or tenant other than the victim of domestic
violence, dating violence, sexual assault, or stalking
Whether the threat is a physical danger beyond a speculative threat
Whether the threat is likely to happen within a short period of time
Whether the threat to other tenants or employees can be eliminated in some other way,
such as by helping the victim relocate to a confidential location or seeking a legal
remedy to prevent the perpetrator from acting on the threat
If the participant wishes to contest the PHA’s determination that he or she is an actual
and imminent threat to other tenants or employees, the participant may do so as part of
the informal hearing.
Documentation of Abuse [24 CFR 5.2007]
PHA Policy
When an individual facing termination of assistance for reasons related to domestic
violence, dating violence, sexual assault, or stalking claims protection under VAWA, the
PHA will request that the individual provide documentation supporting the claim in
accordance with the policies in section 16-IX.D of this plan.
The PHA reserves the right to waive the documentation requirement if it determines that a
statement or other corroborating evidence from the individual will suffice. In such cases
the PHA will document the waiver in the individual’s file.
Terminating the Assistance of a Domestic Violence Perpetrator [24 CFR 5.2005(c)]
Although VAWA provides protection against termination of assistance for victims of domestic
violence, it does not provide protection for perpetrators. VAWA gives the PHA the explicit
authority to “terminate assistance to any individual who is a tenant or lawful occupant and who
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engages in criminal acts of physical violence against family members or others.” without
terminating assistance to “or otherwise penalizing the victim of such violence who is also a tenant
or lawful occupant.” [24 CFR 5.2009(a)]. This authority is not dependent on a bifurcated lease or
other eviction action by an owner against an individual family member. Further, this authority
supersedes any local, state, or other federal law to the contrary. However, if the PHA chooses to
exercise this authority, it must follow any procedures prescribed by HUD or by applicable local,
state, or federal law regarding termination of assistance. This means that the PHA must follow
the same rules when terminating assistance to an individual as it would when terminating the
assistance of an entire family [3/16/07 Federal Register notice on the applicability of VAWA to
HUD programs].
If the perpetrator remains in the unit, the PHA continues to pay the owner until the PHA terminates
the perpetrator from the program. The PHA must not stop paying HAP until 30 days after the
owner bifurcates the lease to evict the perpetrator. The PHA may pay HAP for the full month if the
30-day period will end mid-month [Notice PIH 2017-08].
If the perpetrator is the only participant eligible to receive assistance, the PHA will provide any
remaining participant a chance to establish eligibility for the program. If the remaining participant
cannot do so, the PHA will provide them with 30 days to establish eligibility for another housing
program prior to termination of the HAP contract.
PHA Policy
The PHA will terminate assistance to a family member if the PHA determines that the
family member has committed criminal acts of physical violence against other family
members or others. This action will not affect the assistance of the remaining,
non-culpable family members.
In making its decision, the PHA will consider all credible evidence, including, but not
limited to, a signed certification (form HUD-5382) or other documentation of abuse
submitted to the PHA by the victim in accordance with this section and section 16-IX.D.
The PHA will also consider the factors in section 12-II.D. Upon such consideration, the
PHA may, on a case-by-case basis, choose not to terminate the assistance of the culpable
family member.
If the PHA does terminate the assistance of the culpable family member, it will do so in
accordance with applicable law, HUD regulations, and the policies in this plan.
PHA Confidentiality Requirements [24 CFR 5.2007 (a) (1) (v)]
All information provided to the PHA regarding domestic violence, dating violence, sexual assault,
or stalking, including the fact that an individual is a victim of such violence or stalking, must be
retained in confidence and may neither be entered into any shared data base nor provided to any
related entity, except to the extent that the disclosure (a) is requested or consented to by the
individual in writing, (b) is required for use in an eviction proceeding, or (c) is otherwise required
by applicable law.
12-II.F. Termination Notice [HCV GB, p. 15-7]
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HUD regulations require PHAs to provide written notice of termination of assistance to a family
only when the family is entitled to an informal hearing. However, since the family’s HAP contract
and lease will also terminate when the family’s assistance terminates [form HUD- 52641], it is a
good business practice to provide written notification to both owner and family anytime assistance
will be terminated, whether voluntarily or involuntarily.
PHA Policy
Whenever a family’s assistance will be terminated, the PHA will send a written notice of
termination to the family and to the owner. The PHA will also send a form HUD-5382 and
form HUD-5380 to the family with the termination notice. The notice will state the date on
which the termination will become effective. This date generally will be at least 30
calendar days following the date of the termination notice, but exceptions will be made
whenever HUD rules, other PHA policies, or the circumstances surrounding the
termination require.
When the PHA notifies an owner that a family’s assistance will be terminated, the PHA
will, if appropriate, advise the owner of his/her right to offer the family a separate,
unassisted lease.
If a family whose assistance is being terminated is entitled to an informal hearing, the notice of
termination that the PHA sends to the family must meet the additional HUD and PHA notice
requirements discussed in section 16-III.C of this plan. VAWA 2013 expands notification
requirements to require PHAs to provide notice of VAWA rights and the HUD 5382 form when a
PHA terminates a household’s housing benefits.
PHA Policy
Whenever the PHA decides to terminate a family’s assistance because of the family’s
action or failure to act, the PHA will include in its termination notice the VAWA
information described in section 16-IX.C of this plan and a form HUD-5382 and form
HUD-5380. The PHA will request in writing that a family member wishing to claim
protection under VAWA notify the PHA within 14 business days.
Still other notice requirements apply in two situations:
If a criminal record is the basis of a family’s termination, the PHA must provide a copy of
the record to the subject of the record and the tenant so that they have an opportunity to
dispute the accuracy and relevance of record [24 CFR 982.553(d)].
If immigration status is the basis of a family’s termination, as discussed in section 12-I.D,
the special notice requirements in section 16-III.D must be followed.
PART III: TERMINATION OF TENANCY BY THE OWNER
12-III.A. Overview
Termination of an assisted tenancy is a matter between the owner and the family; the PHA is not
directly involved. However, the owner is under some constraints when terminating an assisted
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tenancy. Termination of tenancy for certain reasons will also result in termination of assistance as
discussed in this section.
12-III.B. Grounds for Owner Termination of Tenancy [24 CFR 982.310 and Form HUD-
52641-A, Tenancy Addendum]
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.
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, except when the violations are related to incidents of actual or
threatened domestic violence, dating violence, sexual assault, or stalking and the victim is
protected from eviction by the Violence against Women Act of 2013 (see section 12-II.E). A
serious lease violation includes failure to pay rent or other amounts due under the lease. However,
the PHA’s failure to make a HAP payment to the owner is not a violation of the lease between the
family and the owner.
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.
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 (for applicable definitions see 24 CFR 5.100):
•
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.
However, in the case of criminal activity directly related to domestic violence, dating violence,
sexual assault, or stalking, if the tenant or an affiliated individual is the victim, the criminal
activity may not be construed as cause for terminating the victim’s tenancy (see
section 12-II.E).
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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 New Jersey, is a high misdemeanor; or
Violating a condition of probation or parole imposed under federal or state law.
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.
Evidence of Criminal Activity
The owner may terminate tenancy and evict by judicial action a family for criminal activity by a
covered person if the owner determines the covered person has engaged in the criminal activity.
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 family 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.
12-III.C. Eviction [24 CFR 982.310(e) and (f) and Form HUD-52641-A, Tenancy Addendum]
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.
The notice of grounds may be included in, or may be combined with, any owner eviction notice to
the tenant.
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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 tenant from the
unit by instituting a court action. The owner must give the PHA a copy of any eviction notice at
the same time the owner notifies the family. The family is also required to give the PHA a copy of
any eviction notice (see Chapter 5).
PHA Policy
If the eviction action is finalized in court, the owner must provide the PHA 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.
12-III.D. Deciding Whether to Terminate Tenancy [24 CFR 982.310(h)], [24 CFR
982.310(h)(4)]
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 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 household members not involved in the
offending activity;
• The demand for assisted housing by families 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;
• The effect of the owner's action on the integrity of the program.
The owner may require a family 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 (42 U.S.C. 13661).
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 CFR 5.105.
An owner’s decision to terminate tenancy for incidents related to domestic violence, dating
violence, sexual assault, or stalking is limited by the Violence against Women Act of 2005
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(VAWA) and the
conforming regulations in 24 CFR Part 5, Subpart L. (See section 12-II.E.)
12-III.E. Effect of Termination of Tenancy on the Family’s Assistance
If a termination is not due to a serious or repeated violation of the lease, and if the PHA has no
other grounds for termination of assistance, the PHA may issue a new voucher so that the family
can move with continued assistance (see Chapter 10).
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EXHIBIT 12-1: Statement of Family Obligations
Following is a listing of a participant family’s obligations under the HCV program:
The family must supply any information that the PHA or HUD determines to be necessary,
including submission of required evidence of citizenship or eligible immigration status.
The family must supply any information requested by the PHA or HUD for use in a regularly
scheduled reexamination or interim reexamination of family income and composition.
The family must disclose and verify social security numbers and sign and submit consent
forms for obtaining information.
Any information supplied by the family must be true and complete.
The family is responsible for abiding by any inspection standards (UPCS-V ) breach by the
family caused by failure to pay tenant-provided utilities or appliances, or damages to the
dwelling unit or premises beyond normal wear and tear caused by any member of the
household or guest.
PHA Policy
Damages beyond normal wear and tear will be considered to be damages, which could be
assessed against the security deposit.
The family must allow the PHA to inspect the unit at reasonable times and after reasonable
notice, as described in Chapter 8 of this plan.
The family must not commit any serious or repeated violation of the lease.
PHA Policy
The PHA will determine if a family has committed serious or repeated violations of the
lease based on available evidence, including but not limited to, a court-ordered eviction, or
an owner’s notice to evict police reports, and affidavits from the owner, neighbors, or
other credible parties with direct knowledge.
Serious and repeated lease violations will include, but not be limited to, nonpayment of
rent, disturbance of neighbors, destruction of property, or living or housekeeping habits
that cause damage to the unit or premises and criminal activity. Generally, the criterion to
be used will be whether or not the reason for the eviction was the fault of the tenant or
guests. Any incidents of, or criminal activity related to, domestic violence, dating violence,
sexual assault, or stalking will not be construed as serious or repeated lease violations by
the victim [24 CFR 5.2005(c)(1)].
The family must notify the PHA and the owner before moving out of the unit or terminating
the lease.
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PHA Policy
The family must comply with lease requirements regarding written notice to the owner.
The family must provide written notice to the PHA at the same time the owner is notified.
The family must promptly give the PHA a copy of any owner eviction notice.
The family must use the assisted unit for residence by the family. The unit must be the family’s
only residence.
The composition of the assisted family residing in the unit must be approved by the PHA. The
family must promptly notify the PHA in writing of the birth, adoption, or court-awarded
custody of a child. The family must request PHA approval to add any other family member as
an occupant of the unit.
PHA Policy
The request to add a family member must be submitted in writing and approved prior to the
person moving into the unit. The PHA will determine eligibility of the new member in
accordance with the policies in Chapter 3.
The family must promptly notify the PHA in writing if any family member no longer lives in
the unit.
If the PHA has given approval, a foster child or a live-in aide may reside in the unit. The PHA
has the discretion to adopt reasonable policies concerning residency by a foster child or a live-
in aide, and to define when PHA consent may be given or denied. For policies related to the
request and approval/disapproval of foster children, foster adults, and live-in aides, see Chapter
3 (Sections I.K and I.M), and Chapter 11 (Section II.B).
(2) The family must not sublease the unit, assign the lease, or transfer the unit.
PHA Policy
Subleasing includes receiving payment to cover rent and utility costs by a person living in
the unit who is not listed as a family member.
The family must supply any information requested by the PHA to verify that the family is
living in the unit or information related to family absence from the unit.
The family must promptly notify the PHA when the family is absent from the unit.
PHA Policy
Notice is required under this provision only when all family members will be absent from
the unit for an extended period. An extended period is defined as any period greater than 30
calendar days. Written notice must be provided to the PHA at the start of the extended
absence.
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The family must pay utility bills and provide and maintain any appliances that the owner is not
required to provide under the lease [Form HUD-52646, Voucher].
The family must 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).
Family members must not commit fraud, bribery, or any other corrupt or criminal act in
connection with the program. (See Chapter 14, Program Integrity for additional information).
Family members must not 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. See Chapter 12
for HUD and PHA policies related to drug-related and violent criminal activity.
(3) Members of the household must not engage in abuse of alcohol in a way that threatens
the health, safety or right to peaceful enjoyment of the other residents and persons
residing in the immediate vicinity of the premises. See Chapter 12 for a discussion of
HUD and PHA policies related to alcohol abuse.
An assisted family or member of the family must not receive HCV program assistance while
receiving another housing subsidy, for the same unit or a different unit under any other federal,
state or local housing assistance program.
A family must not receive HCV program assistance while residing in a unit owned by a parent,
child, grandparent, grandchild, sister or brother of any member of the family, unless the PHA
has determined (and has notified the owner and the family of such determination) that
approving rental of the unit, notwithstanding such relationship, would provide reasonable
accommodation for a family member who is a person with disabilities. [Form HUD-52646,
Voucher]
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Chapter 13
Owners
Introduction
Owners play a major role in the HCV program 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 HCV program [24 CFR 982.4(b)]. The term “owner” includes a principal or
other interested party [24 CFR 982.453; 24 CFR 982.306(f)], 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.
The chapter is organized in two parts:
Part I: Owners in the HCV Program. This part discusses the role of an owner in the PHA’s
HCV program and highlights key owner rights and responsibilities.
Part II: HAP Contracts. This part explains provisions of the HAP contract and the
relationship between the PHA and the owner as expressed in the HAP contract.
For detailed information about HCV program responsibilities and processes, including PHA
policies in key areas, owners will need to refer to several other chapters in this plan. Where
appropriate, Chapter 13 will reference the other chapters.
PART I. OWNERS IN THE HCV PROGRAM
13-I.A. Owner Recruitment and Retention [HCV GB, pp. 2-4 to 2-6; HCV Landlord Strategy
Guidebook for PHA]; 42 USC §1437f(o)(7)(c) – (Low-income housing assistance/voucher
program/leases & tenancy)
Recruitment
PHAs are responsible for ensuring that very low-income families have access to all types and
ranges of affordable housing in the PHA’s jurisdiction, particularly housing outside areas of
poverty or minority concentration. A critical element in fulfilling this responsibility is for the PHA
to ensure that a sufficient number of owners, representing all types and ranges of affordable
housing in the PHA’s jurisdiction, are willing to participate in the HCV program.
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To accomplish this objective, PHAs must identify and recruit new owners to participate in the
program.
If the PHA will be conducting outreach events, the PHA must ensure that notices and communications
during outreach events are provided in a manner that is effective for persons with hearing, visual, and
other communications-related disabilities. PHAs must also take reasonable steps to ensure meaningful
access to programs to persons with limited English proficiency.
PHA Policy
The PHA will conduct owner outreach to ensure that owners are familiar with the program
and its advantages. The PHA 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 prospective property
owners and managers
Contacting property owners and managers by phone, email, or in-person
Holding owner recruitment/information meetings as necessary
Developing working relationships with owners and real estate brokers
associations. PHA will attempt to also include apartment
associations.
Free vacancy listing. The PHA may provide in-house referral listing and
has partnered with www.Gosection8.com, which provides an enhanced
program to list rental properties on line. Listings are available to potential
Section 8 tenants seeking apartment units, duplexes, single-family homes or
townhomes in the private market.
Printed material is offered to acquaint owners and managers with the
opportunities available under the program.
To the extent practical, partnering with and attending events hosted
by other area agencies to deliver information about the HCV
program
Outreach strategies will be monitored for effectiveness and will be adapted accordingly based on need.
Retention
In addition to recruiting owners to participate in the HCV program, the PHA must also provide the
kind of customer service that will encourage participating owners to remain active in the program.
PHA Policy
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All PHA 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.
The PHA will provide owners with a handbook that explains the program, including HUD
and PHA policies and procedures, in easy-to-understand language.
The PHA will give special attention to helping new owners succeed through activities such
as:
• Providing the owner with a designated PHA contact person.
• Coordinating inspection and leasing activities between the PHA, 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,
including answers to frequently asked questions.
• Contacting owners via letters, emails or, texts to disseminate
information.
Additional services may be undertaken on an as-needed basis, and as resources permit.
13-I.B. Basic HCV Program Requirements
HUD requires the PHA to assist families in their housing search by providing the family with a list
of landlords or other parties known to the PHA who may be willing to lease a unit to the family, or
to help the family find a unit. Although the PHA cannot maintain a list of owners that are pre-
qualified to participate in the program, owners may indicate to the PHA their willingness to lease a
unit to an eligible HCV family, or to help the HCV family find a unit [24 CFR 982.301(b)(11)].
PHA Policy
Owners that wish to indicate their willingness to lease a unit to an eligible HCV family or
to help the HCV family find a unit must notify the PHA. The PHA will maintain a listing
of such owners and provide this listing to the HCV family as part of the informational
briefing packet
When a family approaches an owner to apply for tenancy, the owner is responsible for screening
the family and deciding whether to lease to the family, just as the owner would with any potential
unassisted tenant. The PHA has no liability or responsibility to the owner or other persons for the
family’s behavior or suitability for tenancy. See chapters 3 and 9 for more detail on tenant family
screening policies and process.
If the owner is willing, the family and the owner must jointly complete a Request for Tenancy
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Approval (RTA, Form HUD 52517), which constitutes the family's request for assistance in the
specified unit, and which documents the owner's willingness to lease to the family and to follow
the program’s requirements. When submitted to the PHA, this document is the first step in the
process of obtaining approval for the family to receive the financial assistance it will need in order
to occupy the unit. Also submitted with the RTA is a copy of the owner’s proposed dwelling lease,
including the HUD-required Tenancy Addendum (Form HUD-52641-A). See Chapter 9 for more
detail on request for tenancy approval policies and process.
HUD regulations stipulate requirement for the approval of an assisted tenancy.
The owner must be qualified to participate in the program [24 CFR 982.306]. Some owners are
precluded from participating in the program, or from renting to a particular family, either because
of their past history with this or another federal housing program, or because of certain conflicts of
interest. Owner qualifications are discussed later in this chapter.
The selected unit must be of a type that is eligible for the program [24 CFR 982.305(a)]. Certain
types of dwelling units cannot be assisted under the HCV program. Other types may be assisted
under certain conditions. See chapter 9 for more detail on unit eligibility policies and process.
The selected unit must meet HUD’s inspection standards (UPCS-V ) and/or equivalent state or
local standards approved by HUD [24 CFR 982.305(a)]. The PHA will inspect the owner’s
dwelling unit at least annually to ensure that the unit continues to meet UPCS-V requirements.
See chapter 8 for a discussion of the UPCS-V standards and policies for UPCS-V inspections at
initial lease-up and throughout the family’s tenancy.
The PHA must determine that the proposed rent for the unit is reasonable [24 CFR 982.305(a)].
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
chapter 8 for a discussion of requirements and policies on rent reasonableness, rent comparability
and the rent reasonableness determination process.
At initial lease-up of a unit, if the gross rent exceeds the applicable payment standard, the PHA
must ensure that the family share does not exceed 40 percent of the family’s monthly adjusted
income [24 CFR 982.305(a)]. See chapter 6 for a discussion of the calculation of family income,
family share of rent and HAP.
The dwelling lease must comply with all program requirements [24 CFR 982.308]. Owners are
encouraged to use their standard leases when renting to an assisted family. The HUD Tenancy
Addendum, includes the HUD requirement governing the tenancy and must be added word-for-
word to the owner’s lease. See chapter 9 for a discussion of the dwelling lease and tenancy
addendum, including lease terms and provisions.
The PHA and the owner must execute a Housing Assistance Payment (HAP) Contract (Form
HUD-52641). The HAP contract format is prescribed by HUD. See chapter 9 for a discussion of
the HUD requirements for execution of the HAP contract.
13-I.C. Owner Responsibilities [24 CFR 982.452]
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The basic owner responsibilities in the HCV program are outlined in the regulations as follows:
•
Complying with all of the owner's obligations under the Housing Assistance
Payments (HAP) contract and the lease
•
Performing 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
•
Maintaining the unit in accordance with the inspection standards (UPCS-V ), including
performance of ordinary and extraordinary maintenance
•
Complying with equal opportunity requirements
•
Preparing and furnishing to the PHA information required under the HAP contract
•
Collecting the security deposit, the tenant rent, and any charges for unit damage by the
family.
•
Enforcing tenant obligations under the dwelling lease
•
Paying for utilities and services that are not the responsibility of the family as
specified in the lease
•
Allowing reasonable modifications to a dwelling unit occupied or to be occupied by a
disabled person [24 CFR 100.203]
•
Complying with the Violence against Women Reauthorization Act of 2013 (VAWA) when
screening prospective HCV tenants or terminating the tenancy of an HCV family (see 24
CFR Part 5, Subpart L; 24 CFR 982.310(h)(4); and 24 CFR 982.452(b)(1)).
13-I.D. Owner Qualifications
The PHA does not formally approve an owner to participate in the HCV program. However, there
are a number of criteria where the PHA 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 HCV program [24 CFR 982.306(e)].
Owners Barred from Participation [24 CFR 982.306(a) and (b)]
The PHA must not approve the assisted tenancy if the PHA 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 the PHA 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.
Leasing to Relatives [24 CFR 982.306(d), HCV GB p. 11-2]
The PHA must not approve a tenancy if the owner is the parent, child, grandparent, grandchild,
sister, or brother of any member of the family. The PHA 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 applies at the time that the family receives assistance
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under the HCV program 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.
Conflict of Interest [24 CFR 982.161; HCV GB p. 8-19]
The PHA must 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 the PHA (except a participant
commissioner)
•
Any employee of the PHA, or any contractor, subcontractor or agent of the PHA,
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
•
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. The PHA must submit a waiver request to the appropriate HUD Field Office for
determination.
Any waiver request submitted by the PHA must include the following [HCV Guidebook pp.11-2
and 11-3]:
•
Complete statement of the facts of the case;
•
Analysis of the specific conflict of interest provision of the HAP contract and
justification as to why the provision should be waived;
•
Analysis of and statement of consistency with state and local laws. The local HUD office,
the PHA, or both parties may conduct this analysis. Where appropriate, an opinion by the
state’s attorney general should be obtained;
•
Opinion by the local HUD office as to whether there would be an appearance of
impropriety if the waiver were granted;
•
Statement regarding alternative existing housing available for lease under the HCV
program or other assisted housing if the waiver is denied;
•
If the case involves a hardship for a particular family, statement of the circumstances and
discussion of possible alternatives;
•
If the case involves a public official or member of the governing body, explanation of
his/her duties under state or local law, including reference to any responsibilities
involving the HCV program;
•
If the case involves employment of a family member by the PHA or assistance under the
HCV program for an eligible PHA employee, explanation of the responsibilities and
duties of the position, including any related to the HCV program;
•
If the case involves an investment on the part of a member, officer, or employee of the
PHA, description of the nature of the investment, including disclosure/divestiture plans.
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Where the PHA has requested a conflict of interest waiver, the PHA may not execute the HAP
contract until HUD has made a decision on the waiver request.
PHA Policy
In considering whether to request a conflict of interest waiver from HUD, the PHA will
consider certain factors such as consistency of the waiver 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.
Owner Actions That May Result in Disapproval of a Tenancy Request [24 CFR 982.306(c)]
HUD regulations permit the PHA, To disapprove a request for tenancy for various actions and
inactions of the owner.
If the PHA 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 [HCV GB p. 11-4].
PHA Policy
The PHA will refuse to approve a request for tenancy if any of the following are true:
The owner has violated obligations under a HAP contract under Section 8 of the 1937
Act (42 U.S.C. 1437f);
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 the UPCS-V Protocol
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 the PHA, 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
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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;
The owner has not paid state or local real estate taxes, fines, or assessment
In considering whether to disapprove owners for any of the discretionary reasons listed
above, the PHA 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.
Legal Ownership of Unit
The following represents PHA policy on legal ownership of a dwelling unit to be assisted under
the HCV program.
PHA Policy
The PHA will only enter into a contractual relationship with the legal owner 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-I.E. Non-Discrimination [HAP Contract – Form HUD-52641]
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 HCV program and the HAP contract with the PHA.
The owner must cooperate with the PHA and with HUD in conducting any equal opportunity
compliance reviews and complaint investigations in connection with the HCV program and the
HAP contract with the PHA.
See Chapter 2 for a more thorough discussion of Fair Housing and Equal Opportunity
requirements in the HCV program.
PART II. HAP CONTRACTS
13-II.A. Overview
The HAP contract represents a written agreement between the PHA 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 the PHA’s obligations. Under the HAP contract, the PHA agrees to make
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housing assistance payments to the owner on behalf of a the family approved by the PHA to
occupy the unit.
The HAP contract is used for all HCV program tenancies except for assistance under the Section 8
homeownership program, and assistance to families that own a manufactured home and use their
assistance to lease the space for the manufactured home. See chapter 15 for a discussion of any
special housing types included in the PHA’s HCV program.
When the PHA has determined that the unit meets program requirements and the tenancy is
approvable, the PHA and owner must execute the HAP contract. See chapter 9 for a discussion of
the leasing process, including provisions for execution of the HAP contract.
13-II.B. HAP Contract Contents
The HAP contract format is required by HUD, specifically Housing Assistance Payment (HAP)
Contract, Form HUD-52641.
The HAP contract contains three parts.
Part A of the contract includes basic contract information the names of the tenant and all
household members, the address of the contract unit, start and end dates of initial lease term, the
amount of initial monthly rent to owner, the amount of initial housing assistance payment, the
utilities and appliances to be supplied by owner and tenant, and the signatures of the PHA
representative and owner [HCV Guidebook, pp 11-10 and 11-11].
In general, the HAP contract cannot be modified. However, PHAs do have the discretion to add
language to Part A of the HAP contract, which prohibits the owner from collecting a security
deposit in excess of private market practices or in excess of amounts charged to unassisted tenants.
PHA policy on the amount of security deposit an owner may collect is found in Chapter 9.
PHAs also have the discretion to add language to Part A of the HAP contract that defines when the
housing assistance payment by the PHA is deemed received by the owner (e.g., upon mailing by
the PHA or actual receipt by the owner).
PHA Policy
The PHA has not adopted a policy that defines when the housing assistance payment by the
PHA is deemed received by the owner. Therefore, no modifications to the HAP contract
will be necessary.
Part B is the body of the contract. It describes in detail program requirements affecting the owner
and owner roles and responsibilities under the HCV program. Most of the requirements contained
in Part B of the HAP contract are outlined elsewhere in this plan. Topics addressed in Part B
include:
Lease of Contract Unit
Maintenance, Utilities, and Other Services
Term of HAP Contract
Provision and Payment of Utilities and Appliances
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Rent to Owner: Reasonable Rent
PHA Payment to Owner
Prohibition of Discrimination
Owner’s Breach of HAP Contract
PHA and HUD Access to Premises and Owner’s Records
Exclusion of Third Party Rights
Conflict of Interest
Assignment of the HAP Contract
Written Notices
Entire Agreement Interpretation
Part C of the contract includes the Tenancy Addendum (Form HUD-52641-A). The addendum sets
forth the tenancy requirements for the program and the composition of the household, as approved
by the PHA. The tenant has the right to enforce the Tenancy Addendum against the owner. The
terms of the Tenancy Addendum prevail over any other provisions of the lease.
13-II.C. HAP Contract Payments
General
During the term of the HAP contract, and subject to the provisions of the HAP contract, the PHA
must make 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.
The amount of the HAP payment is determined according to the policies described in Chapter 6,
and is subject to change during the term of the HAP contract. The PHA 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 the PHA is credited toward the monthly rent to owner under the
family’s lease. The total of the rent paid by the tenant, and the HAP payment is equal to the rent to
owner as specified in the lease.
The family is not responsible for payment of the HAP payment, and the PHA 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 rent to owner and
the HAP payment. The owner may not demand or accept any rent payment from the tenant in
excess of this maximum [24 CFR 982.451(b)(4)]. 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 [24 CFR 982.510(c)]. See chapter 9 for a discussion of
separate, non-lease agreements for services, appliances and other items that are not included in the
lease.
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If the owner receives any excess HAP from the PHA, the excess amount must be returned
immediately. If the PHA determines that the owner is not entitled to all or a portion of the HAP,
the PHA may deduct the amount of overpayment from any amounts due to the owner, including
amounts due under any other Section 8 HCV contract. See Chapter 16 for additional detail on
owner reimbursement of HAP overpayments.
Owner Certification of Compliance
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 [HAP Contract – Form HUD-52641].
By endorsing the monthly check from the PHA, 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 UPCS-V ; 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.
Late HAP Payments [24 CFR 982.451(a)(5)]
The PHA 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 late penalties if the PHA fails to make the HAP
payment on time.
Penalties for late HAP payments can only be imposed if 1) the penalties are in accordance with
generally accepted local rental market practices and law governing penalties for late payment by
tenants; 2) it is the owner’s normal business practice to charge late payment penalties for both
assisted and unassisted families; and 3) the owner charges the assisted family for late payment of
the family’s share of the rent.
The PHA is not required to pay a late payment penalty if HUD determines that the payment is late
for reasons beyond the PHA’s control. In addition, late payment penalties are not required if the
PHA intentionally delays or denies payment as a remedy to an owner breach of the HAP contract
[HCV Guidebook p. 11-7].
Termination of HAP Payments
The PHA 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.
HAP payments terminate when the HAP contract terminates or when the tenancy is terminated in
accordance with the terms of the lease.
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If the owner has initiated eviction proceedings against the family and the family continues to
reside in the unit, the PHA must continue to make housing assistance payments to the owner until
the owner has obtained a court judgment or other process allowing the owner to evict the tenant.
PHA Policy
The owner must inform the PHA when the owner has initiated eviction proceedings against
the family and the family continues to reside in the unit.
The owner must inform the PHA when the owner has obtained a court judgment or other process
allowing the owner to evict the tenant, and provide the PHA with a copy of such judgment or
determination.
After the owner has obtained a court judgment or other process allowing the owner to evict
the tenant, the PHA will continue to make HAP payments to the owner until the family
actually moves from the unit or until the family is physically evicted from the unit,
whichever is earlier. The owner must inform the PHA of the date when the family actually
moves from the unit or the family is physically evicted from the unit.
13-II.D. Breach of HAP Contract [24 CFR 982.453]
Any of the following actions by the owner constitutes a breach of the HAP contract:
If the owner violates any obligations under the HAP contract including failure to
maintain the unit in accordance with UPCS-V
If the owner has violated any obligation under any other HAP contract under
Section 8
If the owner has committed 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 regulation for the applicable program; or if the owner
has committed fraud, bribery or any other corrupt or criminal act in connection with
the mortgage or loan
If the owner has engaged in drug-related criminal activity
If the owner has committed any violent criminal activity
If the PHA determines that a breach of the HAP contract has occurred, it may exercise any of its
rights and remedies under the HAP contract.
The PHA rights and remedies against the owner under the HAP contract include recovery of any
HAP overpayment, suspension of housing assistance payments, abatement or reduction of the
housing assistance payment, termination of the payment or termination of the HAP contract. The
PHA may also obtain additional relief by judicial order or action.
The PHA must 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. The PHA must provide the owner with written notice of any reduction in housing
assistance payments or the termination of the HAP contract.
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PHA Policy
Before the PHA invokes a remedy against an owner, the PHA will evaluate all information
and documents available to determine if the contract has been breached.
If relevant, the PHA 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, the PHA 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.
13-II.E. HAP Contract Term and Terminations
The term of the HAP contract runs concurrently with the term of the dwelling lease [24 CFR
982.451(a)(2)], 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.
The HAP contract and the housing assistance payments made under the HAP contract terminate if
[HCV Guidebook pp.11-4 and 11-5, pg. 15-3]:
The owner or the family terminates the lease;
The lease expires;
The PHA terminates the HAP contract;
The PHA terminates assistance for the family;
The family moves from the assisted unit. In this situation, the owner is entitled to
keep the housing assistance payment for the month when the family moves out of the
unit.
180 calendar days have elapsed since the PHA made the last housing assistance
payment to the owner;
The family is absent from the unit for longer than the maximum period permitted by
the PHA;
The Annual Contributions Contract (ACC) between the PHA and HUD expires
The PHA elects to terminate the HAP contract.
PHA Policy
The PHA 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 [24 CFR 982.454];
The unit does not meet UPCS-V size requirements due to change in family
composition [24 CFR 982.403] – see chapter 8;
The unit does not meet UPCS-V [24 CFR 982.404] – see chapter 8;
The family breaks up [HUD Form 52641] – see chapter 3;
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The owner breaches the HAP contract [24 CFR 982.453(b)] – see Section 13-II.D.
If the PHA terminates the HAP contract, the PHA must give the owner and the family written
notice. The notice must 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 [HCV Guidebook pg.15-4].
PHA Policy
In all cases, the HAP contract terminates at the end of the calendar month that follows the
calendar month in which the PHA gives written notice to the owner. The owner is not
entitled to any housing assistance payment after this period, and must return to the PHA
any housing assistance payment received after this period.
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 [HCV GB, p. 11-17].
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 [HCV GB, p. 8-22].
13-II.F. Change in Ownership / Assignment of the HAP Contract [HUD-52641]
The HAP contract cannot be assigned to a new owner without the prior written consent of the
PHA.
An owner under a HAP contract must notify the PHA in writing prior to a change in the legal
ownership of the unit. The owner must supply all information as requested by the PHA.
The assignment will be approved only if the new owner is qualified to become an owner under the
HCV program according to the policies in Section 13-I.D. of this chapter.
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 the PHA finds acceptable. The new owner must provide the PHA
with a copy of the executed agreement.
PHA Policy
The PHA 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.
Within 10 business days of receiving the owner’s request, the PHA will inform the current
owner in writing whether the assignment may take place.
The new owner must provide a written certification to the PHA that includes:
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• 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
• A certification 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, the PHA 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, the PHA will process the leasing in accordance with the policies in
chapter 9.
13-II.G. FORECLOSURE [Notice PIH 2010-49] [42 U.S.C. 1437(f)(o)(7)(c)
Families receiving HCV assistance are entitled to certain protections set forth under the Protecting
Tenants at Foreclosure Act (PTFA).
During the term of the lease, the new owner of the property does not have good cause to terminate the
tenant’s lease and must honor the lease until the expiration date of the lease, unless the new owner will
occupy the unit as their primary residence and has provided the tenant with at least a 90-day notice.
In that case, the lease may be terminated effective on the date of sale, although the tenant is still entitled
to a 90-day notice to vacate. Further, the new owner assumes interest in the lease between the prior
owner and the tenant and to the HAP contract.
Any state or local law that provides longer time periods or other additional protections for tenants also
applies.
PHA Policy
If a PHA learns that the property is in foreclosure, the PHA will:
Make all reasonable efforts to determine the status of the foreclosure and ownership of the property.
(1) (This information can most likely be obtained through information that has been sent to
the tenant notifying them of the foreclosure, and possibly in a 90 day notice to vacate.
(2) Additionally, PHAs may review legal notices in the local newspaper or the local
governments website to keep apprised of foreclosure actions initiated against owners of
HCV assisted properties.)
B. Continue to make payments to the original owner until ownership legally transfers in
accordance with the HAP contract. With the exception of HUD-insured mortgages or loans,
defaulting on a mortgage/loan is not a breach of the HAP contract.
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C. Attempt to obtain a written acknowledgement of the assignment of the HAP contract from the
successor in interest. The written agreement should include a request for owner information
such as a Tax Identification Number, and payment instructions from the new owner. Even if
the new owner does not acknowledge the assignment of the HAP contract in writing, the
assignment is nevertheless effective by operation of law.
D. Inform the tenant that they must continue to pay rent in accordance with the lease, and if the
successor in interest refuses to accept payment or cannot be identified, the tenant should pay
the rent into escrow, because failure to pay rent may constitute an independent ground for
eviction.
E. If the PHA is unable to make HAP payments to the successor in interest due to:
1) An action or inaction by the successor in interest that prevents such payments, including
the rejection of payments or the failure of the successor to maintain the property in
accordance with Housing Quality Standards (HQS); or
2) An inability to identify the successor, the PHA should inform the family of this.
In order to ensure adequate protection of the tenant’s rights under the statutory authority
as well as enforcing performance of the successor in interest under the HAP contract, the
PHA should refer tenants, as services are needed, to the local Legal Aid Office.
The PHA must make reasonable inquiries to determine whether the unit, in addition to having a tenant
receiving HCV assistance, will be (or has been) assisted under the Neighborhood Stabilization Program
(NSP). (The Department believes that units covered by this Notice that receive such assistance will be
rare. )
The PHA may inquire with the applicable units of local government to determine if properties occupied
by Section 8 participants are under consideration for the NSP program.
In cases where the units have received assistance under the NSP, the PHA may use the funds that would
have been used to pay the rent for other purposes. These other purposes include:
1. To pay utilities that are the owner’s responsibility under the lease or applicable law, after taking
reasonable steps to notify the owner that it intends to pay utilities rather than make payments to
the owner;
2. The PHA is not required to notify the owner before making a utility payment if the unit has been
or will be rendered uninhabitable by the termination or threat of termination of service. In that
case, the PHA will notify the owner within a reasonable time after making the payment.
3. To pay the families moving costs, including security deposit costs.
Any funds that remain after use for these authorized purposes must only be used for housing assistance
payments.
Any funds used for these purposes must be recorded and tracked in accordance with Generally Accepted
Accounting Principles.
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See Section 12-III.B for a discussion of foreclosure as it pertains to owner termination of tenancy.
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Chapter 14
Program Integrity
Introduction
The PHA is committed to ensuring that subsidy funds made available to the PHA are spent in
accordance with HUD requirements.
This chapter covers HUD and PHA policies designed to prevent, detect, investigate and resolve
instances of program abuse or fraud. It also describes the actions that will be taken in the case of
unintentional errors and omissions.
Part I: Preventing, Detecting, and Investigating Errors and Program Abuse. This part
presents PHA policies related to preventing, detecting, and investigating errors and
program abuse.
Part II: Corrective Measures and Penalties. This part describes the corrective measures the
PHA must and may take when errors or program abuses are found.
PART I: PREVENTING, DETECTING, AND INVESTIGATING ERRORS AND
PROGRAM ABUSE
14-I.A. Preventing Errors and Program Abuse
HUD created the Enterprise Income Verification (EIV) system to provide PHAs with a powerful
tool for preventing errors and detecting program abuse. PHAs are required to use the EIV system
in its
entirety in accordance with HUD administrative guidance [24 CFR 5.233]. PHAs are further
required to:
• Provide applicants and participants with form HUD-52675, “Debts Owed to PHAs and
Terminations”
• Require all adult members of an applicant or participant family to acknowledge receipt of
form HUD-52675 by signing a copy of the form for retention in the family file
PHA Policy
To ensure that the PHA’s HCV program is administered according to the highest ethical
and legal standards, the PHA will employ a variety of techniques to ensure that both errors
and intentional program abuse are rare.
The PHA will discuss program compliance and integrity issues during the voucher briefing
Formatted: Heading 2, Left
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sessions described in Chapter 5.
The PHA will provide each applicant and participant with a the publication a copy of “Is
Fraud Worth It?” (form HUD-1141-OIG, which explains the types of actions a family
must avoid and the penalties for program abuse.
The PHA will provide each applicant and participant with a copy of “What You Should
Know about EIV,” a guide to the Enterprise Income Verification (EIV) system published
by HUD as an attachment to Notice PIH 2017-12. In addition, the PHA will require the
head of each household to acknowledge receipt of the guide by signing a copy for retention
in the family file.
The PHA will place a warning statement about the penalties for fraud (as described in18
U.S.C. 1001 and 1010) on key PHA forms and form letters that request information from a
family or owner.
PHA staff will be required to review and explain the contents of all HUD- and PHA-
required forms prior to requesting family member signatures.
At every regular reexamination, PHA staff will explain any changes in HUD regulations or
PHA policy that affect program participants.
The PHA will require first-time owners (or their agents) to participate in a briefing session
on HAP contract requirements.
The PHA will provide owners with ongoing information about the program, with an
emphasis on actions and situations to avoid.
The PHA will provide each PHA employee with the necessary training on program rules
and the organization’s standards of conduct and ethics.
For purposes of this chapter the term error refers to an unintentional error or omission. Program
abuse or fraud refers to a single act or pattern of actions that constitute a false statement, omission,
or concealment of a substantial fact, made with the intent to deceive or mislead.
14-I.B. Detecting Errors and Program Abuse
In addition to taking steps to prevent errors and program abuse, the PHA will use a variety of
activities to detect errors and program abuse.
Quality Control and Analysis of Data
Under the Section 8 Management Assessment Program (SEMAP), HUD requires the PHA to
review a random sample of tenant records annually to determine if the records conform to program
requirements and to conduct quality control inspections of a sample of units to ensure UPCS-V
compliance [24 CFR, Part 985]. (See Chapter 16 for additional information about SEMAP
requirements).
PHA Policy
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In addition to the SEMAP quality control requirements, the PHA will employ a variety of
methods to detect errors and program abuse.
The PHA routinely will use HUD and other non-HUD sources of up-front income
verification. This includes the Work Number and any other private or public
database available to the PHA.
At each annual reexamination, current information provided by the family will be
compared to information provided at the last annual reexamination to identify
inconsistencies and incomplete information.
The PHA will compare family-reported income and expenditures to detect
possible unreported income.
Independent Audits and HUD Monitoring
OMB Circular A-133 requires all PHAs that expend $500,000 or more in federal awards annually
to have an independent audit (IPA). In addition, HUD conducts periodic on-site and automated
monitoring of PHA activities and notifies the PHA of errors and potential cases of program abuse.
PHA Policy
The PHA will use the results reported in any IPA or HUD monitoring reports to identify
potential program abuses as well as to assess the effectiveness of the PHA’s error detection
and abuse prevention efforts.
Individual Reporting of Possible Errors and Program Abuse
PHA Policy
The PHA will encourage staff, program participants, and the public to report possible
program abuse.
14-I.C. Investigating Errors and Program Abuse
When the PHA Will Investigate
PHA Policy
The PHA will review all referrals, specific allegations, complaints, and tips from any
source including other agencies, companies, and individuals, to determine if they warrant
investigation. In order for the PHA 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.
The PHA will investigate when inconsistent or contradictory information is detected
through file reviews and the verification process.
Consent to Release of Information [24 CFR 982.516]
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The PHA may investigate possible instances of error or abuse using all available PHA and public
records. If necessary, the PHA will require HCV families to sign consent forms for the release of
additional information.
Analysis and Findings
PHA Policy
The PHA will base its evaluation on a preponderance of the evidence collected during its
investigation.
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 that as a
whole shows that the fact sought to be proved is more probable than not. Preponderance of
evidence may not be determined by the number of witnesses, but by the greater weight of
all evidence
For each investigation the PHA will determine (1) whether an error or program abuse has
occurred, (2) whether any amount of money is owed the PHA, and (3) what corrective
measures or penalties will be assessed.
Consideration of Remedies
All errors and instances of program abuse must be corrected prospectively. Whether the PHA will
enforce other corrective actions and penalties depends upon the nature of the error or program
abuse.
PHA Policy
In the case of family-caused errors or program abuse, the PHA will take into consideration
(1) the seriousness of the offense and the extent of participation or culpability of individual
family members, (2) any special circumstances surrounding the case, (3) any mitigating
circumstances related to the disability of a family member, (4) 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, the PHA will take into consideration
(1) the seriousness of the offense, (2) the length of time since the violation has occurred,
and (3) the effects of a particular remedy on family members who were not involved in the
offense.
Notice and Appeals
PHA Policy
The PHA 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 (1) a
description of the error or program abuse, (2) the basis on which the PHA determined the
error or program abuses, (3) the remedies to be employed, and (4) the families right to
appeal the results through the informal review or hearing process, if applicable (see
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Chapter 16).
PART II: CORRECTIVE MEASURES AND PENALTIES
14-II.A. Subsidy Under- Or Overpayments
A subsidy under- or overpayment includes (1) an incorrect housing assistance payment to the
owner, (2) an incorrect family share established for the family, and (3) an incorrect utility
reimbursement to a family.
Corrections
Whether the incorrect subsidy determination is an overpayment or underpayment of subsidy, the
PHA must promptly correct the HAP, family share, and any utility reimbursement prospectively.
PHA Policy
Increases in the family share will be implemented on the first of the month following a
written 30-day notice.
Any decreases in family share will become effective the first of the month following the
discovery of the error.
Reimbursement
Whether the family or owner is required to reimburse the PHA or the PHA is required to make
retroactive subsidy payments to the owner or family depends upon which party is responsible for
the incorrect subsidy payment and whether the action taken was an error or program abuse.
Policies regarding reimbursement are discussed in the three sections that follow.
14-II.B. Family-Caused Errors and Program Abuse
Family obligations and general administrative requirements for participating in the program are
discussed throughout this plan. This section deals specifically with errors and program abuse by
family members.
An incorrect subsidy determination caused by a family generally would be the result of incorrect
reporting of family composition, income, assets, or expenses, but also would include instances in
which the family knowingly allows the PHA to use incorrect information provided by a third party.
Family Reimbursement to PHA [HCV GB pp. 22-12 to 22-13]
PHA Policy
In the case of family-caused errors (unintentional error or omission) the family will be required
to repay any excess subsidy received. The PHA may, but is not required to, offer the family a
repayment agreement in accordance with Chapter 16. If the family fails to repay the excess
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subsidy, the PHA will terminate the family’s assistance in accordance with the policies in
Chapter 12.
In the case of family program abuse or fraud, see penalties for program abuse below.
PHA Reimbursement to Family [HCV GB p. 22-12]
PHA Policy
The PHA will not reimburse the family for any underpayment of assistance when the
underpayment clearly is caused by the family.
Prohibited Actions
An applicant or participant in the HCV program must not knowingly:
Make a false statement to the PHA [Title 18 U.S.C. Section 1001].
Commit fraud, bribery, or any other corrupt or criminal act in connection with any federal
housing program [24 CFR 982.552(c)(iv)].
PHA Policy
Any of the following will be considered evidence of family program abuse:
Payment to the owner in excess of amounts authorized by the PHA for rent, security
deposit, and additional services
Offering bribes or illegal gratuities to the PHA Board of Commissioners,
employees, contractors, or other PHA representatives
Offering payments or other incentives to the owner or a third party as an
inducement for the third party to make false or misleading statements to the PHA
on the family’s behalf
Use of a false name or the use of falsified, forged, or altered documents
Intentional misreporting of family information or circumstances (e.g. income,
family composition)
Omitted facts that were obviously known by a family member (e.g., not reporting
employment income)
Admission of program abuse by an adult family member
The PHA may determine other actions to be program abuse based upon a preponderance of
the evidence, as defined earlier in this chapter.
Penalties for Program Abuse
In the case of program abuse caused by a family the PHA may, at its discretion, impose any of the
following remedies.
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•
The PHA may require the family to repay excess subsidy amounts paid by the PHA,
as described earlier in this section.
•
The PHA may require, as a condition of receiving or continuing assistance, that a
culpable family member not reside in the unit. See policies in Chapter 3 (for
applicants) and Chapter 12 (for participants).
•
The PHA may deny or terminate the family’s assistance following the policies set
forth in Chapter 3 and Chapter 12 respectively.
•
The PHA may refer the family for state or federal criminal prosecution as described
in section 14-II.E.
14-II.C. Owner-Caused Error or Program Abuse
Owner requirements that are part of the regular process of offering, leasing, and maintaining a unit
(e.g., UPCS-V compliance, fair housing) are addressed in the appropriate chapters of this plan.
This section focuses on errors and program abuse by owners.
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). It 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.
Owner Reimbursement to the PHA
In all cases of overpayment of subsidy caused by the owner, the owner must repay to the PHA any
excess subsidy received. The PHA may recover overpaid amounts by withholding housing
assistance payments due for subsequent months, or if the debt is large, the PHA may allow the
owner to pay in installments over a period of time [HCV GB p. 22-13].
PHA Policy
In cases where the owner has received excess subsidy, the PHA will require the owner to
repay the amount owed in accordance with the policies in Section 16-IV.B.
Prohibited Owner Actions
An owner participating in the HCV program must not:
•
Make any false statement to the PHA [Title 18 U.S.C. Section 1001].
•
Commit fraud, bribery, or any other corrupt or criminal act in connection with any
federal housing program [24 CFR 982.453(a)(3)] including:
PHA Policy
Any of the following will be considered evidence of owner program abuse:
• Charging the family rent above or below the amount specified by the PHA
• 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
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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 the PHA Board of Commissioners,
employees, contractors, or other PHA representatives
• Offering payments or other incentives to an HCV family as an inducement for
the family to make false or misleading statements to the PHA
• Residing in the unit with an assisted family
• Committing sexual or other harassment, either quid pro quo or hostile environment
based on the protected classes defined in Chapter 2
• Retaliating against any applicant or participant reporting/alleging sexual or other
harassment, either quid pro quo or hostile environment, based on the protected
classes defined in Chapter 2.
Remedies and Penalties
When the PHA determines that the owner has committed program abuse, the PHA may take any of
the following actions:
•
Require the owner to repay excess housing assistance payments, as discussed earlier
in this section and in accordance with the policies in Chapter 16.
•
Terminate the HAP contract (See Chapter 13).
•
Bar the owner from future participation in any PHA programs.
•
Refer the case to state or federal officials for criminal prosecution as described in
section 14-II.E.
14-II.D. PHA-Caused Errors or Program Abuse
The responsibilities and expectations of PHA staff with respect to normal program administration
are discussed throughout this plan. This section specifically addresses actions of a PHA staff
member that are considered errors or program abuse related to the HCV program. Additional
standards of conduct may be provided in the PHA personnel policy.
PHA-caused incorrect subsidy determinations include (1) failing to correctly apply HCV rules
regarding family composition, income, assets, and expenses, (2) assigning the incorrect voucher
size to a family, and (3) errors in calculation.
Repayment to the PHA
Neither a family nor an owner is required to repay an overpayment of subsidy if the error or
program abuse is caused by PHA staff [HCV GB. 22-12].
PHA Reimbursement to Family or Owner
The PHA must reimburse a family for any underpayment of subsidy, regardless of whether the
underpayment was the result of staff-caused error or staff or owner program abuse. Funds for this
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reimbursement must come from the PHA’s administrative fee reserves [HCV GB p. 22-12].
Prohibited Activities
PHA Policy
Any of the following will be considered evidence of program abuse by PHA staff:
Failing to comply with any HCV program requirements for personal gain
Failing to comply with any HCV program 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 the PHA
Disclosing confidential or proprietary information to outside parties
Gaining profit as a result of insider knowledge of PHA activities, policies, or
practices
Misappropriating or misusing HCV funds
Destroying, concealing, removing, or inappropriately using any records related to
the HCV program
Committing any other corrupt or criminal act in connection with any federal
housing program
14-II.E. Criminal Prosecution
PHA Policy
Criminal violations related to the HCV program will be referred to the appropriate local,
state, or federal entity.
In determining prosecution, the City of Chandler Housing and Redevelopment Division
will examine each case by case using a three (3)-prong approach. The three (3)-prong
approach is as follows:
1)
Loss,
2)
Criminal intent that it is egregious,
3)
Extenuating Circumstances. The City of Chandler reserves the right to
terminate assistance in high profile or violent crime cases.
14-II.F. Fraud And Program Abuse Recoveries
The PHA may retain a portion of program fraud losses that the PHA recovers from a family or
owner through litigation, court order, or a repayment agreement [24 CFR 982.163].
The PHA must be the principal party initiating or sustaining the action to recover amounts due from
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tenants that are due as a result of fraud and abuse. 24 CFR 792.202 permits the PHA to retain the greater
of:
•
50 percent of the amount it actually collects from a judgment, litigation (including
settlement of a lawsuit) or an administrative repayment agreement, or
•
Reasonable and necessary costs that the PHA incurs related to the collection
including costs of investigation, legal fees, and agency collection fees.
The family must be afforded the opportunity for an informal hearing in accordance with
requirements in 24 CFR 982.555.
If HUD incurs costs on behalf of the PHA related to the collection, these costs must be deducted
from the amount retained by the PHA.
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Chapter 15
Special Housing Types
[24 CFR 982, Subpart M]
Introduction
The PHA may permit a family to use any of the special housing types discussed in this chapter.
However, the PHA is not required to permit families receiving assistance in its jurisdiction to use
these housing types, except that PHAs must permit use of any special housing type if needed as a
reasonable accommodation for a person with a disability. The PHA 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.
PHA Policy
Families will not be permitted to use any special housing types, unless use is needed as a
reasonable accommodation so that the program is readily accessible to a person with
disabilities.
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 [24 CFR 982.601].
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.
Part I: Single Room Occupancy
Part II: Congregate Housing
Part III: Group Homes
Part IV: Shared Housing
Part V: Cooperative Housing
Part VI: Manufactured Homes (including manufactured home space rental)
Part VII: Homeownership
PART I. SINGLE ROOM OCCUPANCY
[24 CFR 982.602 through 982.605]
15-I.A. Overview
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
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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.
15-I.B. Payment Standard, Utility Allowance, and HAP Calculation
The payment standard for SRO housing is 75 percent of the zero-bedroom payment standard
amount on the PHA’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.
15-I.C. Housing Quality Standards (HQS) – The UPCS-V Protocol will be used as part of a
demonstration program with HUD
HQS requirements described in Chapter 8 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.
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Because no children live in SRO housing, the housing quality standards applicable to lead-based
paint do not apply.
PART II. CONGREGATE HOUSING
[24 CFR 982.606 through 982.609]
15-II.A. Overview
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 the PHA, a family member or live-in aide may reside with the elderly person or
person with disabilities. The PHA 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.
15-II.B. 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), the PHA 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),
the PHA 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.
15-II.C. Housing Quality Standards – Inspections will be conducted as part of the UPCS-V
demonstration with HUD and all requirements that are part of the demonostration.
HQS requirements as described in Chapter 8 apply to congregate housing except for the
requirements stated below.
Congregate housing must have (1) a refrigerator of appropriate size in the private living
area of each resident; (2) a central kitchen and dining facilities located within the premises
and accessible to the residents, and (3) food service for the residents, that is not provided
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by the residents themselves.
The housing quality standards applicable to lead-based paint do not apply.
PART III. GROUP HOME
[24 CFR 982.610 through 982.614 and HCV GB p. 7-4]
15-III.A. Overview
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 the PHA, a live-in aide may live in the group home with a person with disabilities.
The PHA 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.
15-III.B. 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
0- or 1-bedroom, depending on the PHA’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 pro-rata share of the payment standard for the group home size. The pro-rata
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 pro-rata share of the utility
allowance for the group home.
The rents paid for participants residing in group homes are subject to generally applicable
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standards for rent reasonableness. The rent for an assisted person must not exceed the pro-rata
portion of the reasonable rent for the group home. In determining reasonable rent, the PHA
should consider whether sanitary facilities and facilities for food preparation and service are
common facilities or private facilities.
15-III.C. Housing Quality Standards - All inspection requirements will be conducted in alignment
with HUD’s UPCS-V Protocol.
HQS requirements described in Chapter 8 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:
Dangerous walks or steps
Instability
Flooding, poor drainage
Septic tank back-ups
Sewage hazards
Mud slides
Abnormal air pollution
Smoke or dust
Excessive noise
Vibrations or vehicular traffic
Excessive accumulations of trash
Vermin or rodent infestation, and
Fire hazards.
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The housing quality standards applicable to lead-based paint do not apply.
PART IV: SHARED HOUSING
[24 CFR 982.615 through 982.618]
15-IV.A. Overview
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 the PHA, a live-in aide may reside with the family to care for a person with
disabilities. The PHA 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.
15-IV.B. 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 pro-rata share of the payment standard for the shared housing unit size.
The pro-rata 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
lower of the utility allowance for the family unit size (voucher size) or the pro-rata 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 pro-
rata portion of the reasonable rent for the shared unit. In determining reasonable rent, the PHA
should consider whether sanitary and food preparation areas are private or shared.
15-IV.C. Housing Quality Standards - All inspection requirements will be conducted in alignment
with HUD’s UPCS-V Protocol.
The PHA 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
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quality standards.
HQS requirements described in Chapter 8 apply to shared housing except for the requirements
stated as follows.
•
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 -one1-bedroom unit may not be used for shared
housing.
PART V. COOPERATIVE HOUSING
[24 CFR 982.619]
15-V.A. Overview
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.
15-V.B. 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 down
payments or other payments to purchase the cooperative unit or to amortize a loan made to the
family for this purpose.
15-V.C. Housing Quality Standards - All inspection requirements will be conducted in alignment with
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HUD’s UPCS-V Protocol.
All standard HQS requirements apply to cooperative housing units. There are no additional HQS
requirements.
PART VI. MANUFACTURED HOMES
[24 CFR 982.620 through 982.624; FR Notice 1/18/17]
15-VI.A. Overview
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.
(1) A family can choose to rent a manufactured home already installed on a space and the PHA
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 as provided in 15-VI.D
below.
(2) 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 as well as
certain other housing expenses. PHAs may, but are not required to, provide assistance for such
families.
15-VI.B. 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.
15-VI.C. Payment Standard, Utility Allowance and HAP Calculation [FR Notice 1/18/17]
Payment Standards
The PHA payment standard for manufactured homes is determined in accordance with 24 CFR
982.505 and is the payment standard used for the PHA’s HCV program. It is based on the
applicable FMR for the area in which the manufactured home space is located.
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The payment standard for the family is the lower of the family unit size (voucher size) or the
payment standard for the number of bedrooms in the manufactured home.
Utility Allowance
The PHA 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
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.
If the amount of the monthly assistance payment for a family exceeds the monthly rent for the
manufactured home space (including the owner’s monthly management and maintenance charges),
the PHA may pay the remainder to the family, lender, or utility company.
Space Rent
The rent for the manufactured home space (including other eligible housing expenses) is the total
of:
• The rent charged for the manufactured home space;
• Owner maintenance and management charges for the space;
• The monthly payments made by the family to amortize the cost of purchasing the
manufactured home, including any required insurance and property taxes; and
• The applicable allowance for tenant-paid unities.
Amortization Costs
The monthly payment made by the family to amortize the cost of purchasing the manufactured
home is the debt service established at the time of application to a lender for financing the
purchase of the manufactured home if monthly payments are still being made. Any increase in debt
service due to refinancing after purchase of the home may not be included in the amortization cost.
Debt service for set-up charges incurred by a family may be included in the monthly amortization
payments made by the family. In addition, set-up charges incurred before the family became an
assisted family may be included in the amortization cost if monthly payments are still being made
to amortize the charges.
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 manufactured home space rent (including other
eligible housing expenses) minus the TTP.
Rent Reasonableness
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Initially, and annually thereafter the PHA must determine that the rent for the manufactured home space
is reasonable based on rents for comparable manufactured home spaces. The PHA 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.
15-VI.D. Housing Quality Standards - All inspection requirements will be conducted in alignment
with HUD’s UPCS-V Protocol.
Under either type of occupancy described in 15-VI.A above, the manufactured home must meet all
HQS performance requirements and acceptability criteria discussed in Chapter 8 of this plan. 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.
PART VII. HOMEOWNERSHIP
[24 CFR 982.625 through 982.643]
15-VII.A. Overview [24 CFR 982.625]
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. The PHA must have the capacity to operate a
successful HCV homeownership program as defined by the regulations.
There are two forms of homeownership assistance described in the regulations: monthly
homeownership assistance payments and single down payment assistance grants. However, PHAs
may not offer down payment assistance until and unless funding is allocated by Congress. Since
this has not yet happened, only monthly homeownership assistance may be offered.
The PHA must offer 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 the PHA to determine whether it is reasonable to implement a homeownership
program as a reasonable accommodation. The PHA must determine what is reasonable based on
the specific circumstances and individual needs of the person with a disability. The PHA may
determine that it is not reasonable to offer homeownership assistance as a reasonable
accommodation in cases where the PHA has otherwise opted not to implement a homeownership
program.
The PHA must approve a live-in aide if needed as a reasonable accommodation so that the program is
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readily accessible to and usable by persons with disabilities.
15-VII.B. Family Eligibility [24 CFR 982.627]
The family must meet all of the requirements listed below before the commencement of
homeownership assistance. The PHA may also establish additional initial requirements as long as
they are described in the PHA 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. The PHA may establish a higher
income standard for families. However, a family that meets the federal minimum income
requirement (but not the PHA'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.
• 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, the
PHA must grant an exemption from the employment requirement if the PHA 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).
15-VII.C. Selection of Families [24 CFR 982.626]
Unless otherwise provided (under the homeownership option), the PHA may limit homeownership
assistance to families or purposes defined by the PHA, and may prescribe additional requirements
for commencement of homeownership assistance for a family. Any such limits or additional
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requirements must be described in the PHA administrative plan.
If the PHA limits the number of families that may participate in the homeownership option, the
PHA must establish a system by which to select families to participate.
15-VII.D. Eligible Units [24 CFR 982.628]
In order for a unit to be eligible, the PHA 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:
-
A public housing or Indian housing unit;
-
A unit receiving Section 8 project-based assistance;
-
A nursing home, board and care home, or facility providing continual
psychiatric, medical or nursing services;
-
A college or other school dormitory;
-
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 the PHA and by an independent inspector
designated by the family.
• The unit must meet Housing Quality Standards (see Chapter 8).
• 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 PHA-owned units all of the following conditions must be satisfied:
-
The PHA informs the family, both orally and in writing, that the family has the
right to purchase any eligible unit and a PHA-owned unit is freely selected by the
family without PHA pressure or steering;
-
The unit is not ineligible housing;
-
The PHA obtains the services of an independent agency to inspect the unit for
compliance with UPCS-V , review the independent inspection report, review
the contract of sale, determine the reasonableness of the sales price and any
PHA provided financing. All of these actions must be completed in
accordance with program requirements.
The PHA must not approve the unit if the PHA has been informed that the seller is debarred,
suspended, or subject to a limited denial of participation.
15-VII.E. Additional PHA Requirements for Search and Purchase [24 CFR 982.629]
It is the family’s responsibility to find a home that meets the criteria for voucher homeownership
assistance. The PHA may establish the maximum time that will be allowed for a family to locate and
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purchase a home, and may require the family to report on their progress in finding and purchasing a
home. If the family is unable to purchase a home within the maximum time established by the PHA, the
PHA may issue the family a voucher to lease a unit or place the family’s name on the waiting list for a
voucher.
15-VII.F. Homeownership Counseling [24 CFR 982.630]
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 the PHA. HUD suggests the following topics for the PHA-required pre-assistance
counseling:
• Home maintenance (including care of the grounds);
• Budgeting and money management;
• Credit counseling;
• How to negotiate the purchase price of a home;
• 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 the PHA 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.
The PHA may adapt the subjects covered in pre-assistance counseling (as listed) to local
circumstances and the needs of individual families.
The PHA may also offer additional counseling after commencement of homeownership assistance
(ongoing counseling). If the PHA offers a program of ongoing counseling for participants in the
homeownership option, the PHA shall have discretion to determine whether the family is required
to participate in the ongoing counseling.
If the PHA does not use a HUD-approved housing counseling agency to provide the counseling,
the PHA should ensure that its counseling program is consistent with the counseling provided
under HUD’s Housing Counseling program.
15-VII.G. Home Inspections, Contract of Sale, and PHA Disapproval of Seller [24 CFR
982.631]
Home Inspections
The PHA may not commence monthly homeownership assistance payments for a family until the
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PHA has inspected the unit and has determined that the unit passes UPCS-V .
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.
The PHA may not require the family to use an independent inspector selected by the PHA. The
independent inspector may not be a PHA employee or contractor, or other person under control of
the PHA. However, the PHA may establish standards for qualification of inspectors selected by
families under the homeownership option.
The PHA may disapprove a unit for assistance based on information in the independent inspector’s
report, even if the unit was found to comply with UPCS-V .
Contract of Sale
Before commencement of monthly homeownership assistance payments, 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 the PHA 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;
• 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, the PHA may deny approval of a seller for the same reasons a PHA
may disapprove an owner under the regular HCV program [see 24 CFR 982.306(c)].
15-VII.H. Financing [24 CFR 982.632]
The PHA may establish requirements for financing purchase of a home under the homeownership
option. This may include requirements concerning qualification of lenders, terms of financing,
restrictions concerning debt secured by the home, lender qualifications, loan terms, and
affordability of the debt. The PHA must establish policies describing these requirements in the
administrative plan.
A PHA may not require that families acquire financing from one or more specified lenders,
thereby restricting the family’s ability to secure favorable financing terms.
15-VII.I. Continued Assistance Requirements; Family Obligations [24 CFR 982.633]
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Homeownership assistance may only be paid while the family is residing in the home. If the family
moves out of the home, the PHA may not continue homeownership assistance after the month
when the family moves out. The family or lender is not required to refund to the PHA 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 the PHA or HUD as specified in 24 CFR 982.551(b).
The family must further supply any information required by the PHA or HUD concerning
mortgage financing or refinancing, sale or transfer of any interest in the home, or
homeownership expenses.
The family must notify the PHA before moving out of the home.
The family must notify the PHA 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).
15-VII.J. Maximum Term of Homeowner Assistance [24 CFR 982.634]
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
15-16
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.
15-VII.K. Homeownership Assistance Payments and Homeownership Expenses [24 CFR
982.635]
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, the PHA 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 (i) The payment standard as determined at the commencement of
homeownership assistance for occupancy of the home, or (ii) 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.
The PHA may pay the homeownership assistance payments directly to the family, or at the PHA’s
discretion, to a lender on behalf of the family. If the assistance payment exceeds the amount due to
the lender, the PHA 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.
The PHA must adopt policies for determining the amount of homeownership expenses to be
allowed by the PHA in accordance with HUD requirements.
Homeownership expenses (not including cooperatives) only include amounts allowed by the PHA
to cover:
• Principal and interest on initial mortgage debt, any refinancing of such debt, and any
mortgage insurance premium incurred to finance purchase of the home;
• Real estate taxes and public assessments on the home;
• Home insurance;
• The PHA allowance for maintenance expenses;
• The PHA allowance for costs of major repairs and replacements;
• The PHA utility allowance for the home;
• Principal and interest on mortgage debt incurred to finance costs for major repairs,
15-17
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 the PHA 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;
• Land lease payments where a family does not own fee title to the real property on which
the home is located; [see 24 CFR 982.628(b)].
• 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 the
PHA 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;
• The PHA allowance for maintenance expenses;
• The PHA allowance for costs of major repairs and replacements;
• The PHA 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 the PHA 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.
15-VII.L. Portability [24 CFR 982.636, 982.637, 982.353(b) and (c), 982.552, 982.553]
Subject to the restrictions on portability included in HUD regulations and PHA 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 the PHA.
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15-VII.M. Moving With Continued Assistance [24 CFR 982.637]
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.
The PHA may deny permission to move to a new unit with continued voucher assistance:
If the PHA has insufficient funding to provide continued assistance.
In accordance with 24 CFR 982.638, regarding denial or termination of assistance.
In accordance with the PHA’s policy regarding number of moves within a 12-month period.
The PHA 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.
15-VII.N. Denial or Termination of Assistance [24 CFR 982.638]
At any time, the PHA 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).
The PHA 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, with the exception of
failure to meet obligations under the Family Self-Sufficiency program as prohibited under the
alternative requirements set forth in FR Notice 12/29/14.
The PHA must 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 16
Program Administration
Introduction
This chapter discusses administrative policies and practices that are relevant to the activities
covered in this plan. The policies are discussed in seven parts as described below:
Part I: Administrative Fee Reserve. This part describes the PHA’s policies with regard to
oversight of expenditures from its administrative fee reserve.
Part II: Setting Program Standards and Schedules. This part describes what payment
standards are, and how they are updated, as well as how utility allowances are established
and revised.
Part III: Informal Reviews and Hearings. This part outlines the requirements and procedures
for informal reviews and hearings, and for informal hearings regarding citizenship status.
Part IV: Owner or Family Debts to the PHA. This part describes policies for recovery of
monies that the PHA has overpaid on behalf of families, or to owners, and describes the
circumstances under which the PHA will offer repayment agreements to owners and
families. Also discussed are the consequences for failure to make payments in accordance
with a repayment agreement.
Part V: Section 8 Management Assessment Program (SEMAP). This part describes what the
SEMAP scores represent, how they are established, and how those scores affect a PHA.
Part VI: Record-Keeping. All aspects of the program involve certain types of record-
keeping. This part outlines the privacy rights of applicants and participants and record
retention policies the PHA will follow.
Part VII: Reporting and Record Keeping for Children with Elevated Blood Lead Level. This
part describes the PHA’s responsibilities for reporting, data collection, and record keeping
relative to children with elevated blood lead levels that are less than six years of age, and are
receiving HCV assistance.
Part VIII: Determination of Insufficient Funding. This part describes the PHA’s policies
for determining if there is sufficient funding to issue vouchers, to approve moves to
higher cost units or areas, and to continue assistance for all participant families.
Part IX: Violence against Women Act (VAWA): Notification, Documentation,
Confidentiality. This part contains key terms used in VAWA and describes requirements
related to notifying families and owners about their rights and responsibilities under
VAWA; requesting documentation from victims of domestic violence, dating violence,
sexual assault, and stalking; and maintaining the confidentiality of information obtained
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from victims.
PART I: ADMINISTRATIVE FEE RESERVE [24 CFR 982.155]
The PHA will maintain administrative fee reserves, or unrestricted net position (UNP) for the
program to pay program administrative expenses in excess of administrative fees paid by HUD for
a PHA fiscal year. HUD appropriations acts beginning with FFY 2004 have specified that
administrative fee funding may be used only for activities related to the provision of HCV
assistance, including related development activities. Notice PIH 2012-9 cites two examples of
related development activities: unit modification for accessibility purposes and development of
project-based voucher units. The notice makes clear that other activities may also qualify as related
development activities. Administrative fees that remain in the UNP account from funding provided
prior to 2004 may be used for “other housing purposes permitted by state and local law,” in
accordance with 24 CFR 982.155(b)(1).
If a PHA has not adequately administered its HCV program, HUD may prohibit use of funds in the
UNzp Account and may direct the PHA to use funds in that account to improve administration of
the program, for HCV HAP expenses, or to reimburse ineligible expenses in accordance with the
regulation at 24 CFR 982.155(b)(3).
HUD requires the PHA Board of Commissioners or other authorized officials to establish the
maximum amount that may be charged against the UNzp account without specific approval.
PHA Policy
Expenditures from the UNzip account will be made in accordance with all applicable
federal requirements. Expenditures will not exceed $29,999 per occurrence without the
prior approval of the PHA’s Board of Commissioners.
PART II: SETTING PROGRAM STANDARDS AND SCHEDULES
16-II.A. Overview
Although many of the program’s requirements are established centrally by HUD, the HCV
program’s regulations recognize that some flexibility is required to allow the PHA to adapt the
program to local conditions. This part discusses how the PHA 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).
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PHA Policy
Copies of the payment standard and utility allowance schedules are available for review in
the PHA’s offices during normal business hours.
Families, owners, and members of the public may submit written comments on the
schedules discussed in this part, at any time, for consideration during the next revision
cycle.
The PHA will maintain documentation to support its annual review of payment standards
and utility allowance schedules. This documentation will be retained for at least 3 years.
Establishing and updating the PHA passbook rate, which is used to calculate imputed income from
assets, is covered in Chapter 6 (see Section 6-I.G.).
16-II.B. PAYMENT STANDARDS [24 CFR 982.503; HCV GB, Chapter 7]
The payment standard sets the maximum subsidy payment a family can receive from the PHA each
month [24 CFR 982.505(a)]. Payment standards are based on fair market rents (FMRs) published
annually by HUD. FMRs are set at a percentile within the rent distribution of standard quality rental
housing units in each FMR area. For most jurisdictions FMRs are set at the 40th percentile of rents
in the market area.
The PHA must establish a payment standard schedule that establishes payment standard amounts
for each FMR area within the PHA’s jurisdiction, and for each unit size within each of the FMR
areas. For each unit size, the PHA may establish a single payment standard amount for the whole
FMR area, or may set different payment standards for different parts of the FMR area. Unless HUD
grants an exception, the PHA 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.
Updating Payment Standards
When HUD updates its FMRs, the PHA must update its payment standards if the standards are no
longer within the basic range [24 CFR 982.503(b)]. HUD may require the PHA to make further
adjustments if it determines that rent burdens for assisted families in the PHA’s jurisdiction are
unacceptably high [24 CFR 982.503(g)].
PHA Policy
The PHA will review the appropriateness of the payment standards on an annual basis when
the new FMR is published, and at other times as determined necessary. In addition to
ensuring the payment standards are always within the “basic range” the PHA may consider
the following factors when determining whether an adjustment should be made to the
payment standard schedule:
Funding Availability: The PHA will review the budget to determine the impact
projected subsidy adjustments will have on funding available for the program and
the number of families served. The PHA will compare the number of families who
could be served under revised payment standard amounts with the number assisted
under current payment standard amounts.
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Rent Burden of Participating Families: Rent burden will be determined by
identifying the percentage of families, for each unit size, that are paying more than
30 percent of their monthly adjusted income as the family share. When 40 percent or
more of families, for any given unit size, are paying more than 30 percent of
adjusted monthly income as the family share, the PHA will consider increasing the
payment standard. In evaluating rent burdens, the PHA will not include families
renting a larger unit than their family unit size.
Quality of Units Selected: The PHA willmay review the quality of units selected
by participant families when making the determination of the percent of income
families are paying for housing, to ensure that payment standard increases are only
made when needed to reach the mid-range of the market.
Changes in Rent to Owner: The PHA may review a sample of the units to
determine how often owners are increasing or decreasing rents and the average
percent of increases/decreases by bedroom size.
Unit Availability: The PHA will review the availability of units for each unit size,
particularly in areas with low concentrations of poor and minority families.
Lease-up Time and Success Rate: The PHA will consider the percentage of
families that are unable to locate suitable housing before the voucher expires and
whether families are leaving the jurisdiction to find affordable housing.
Effective dates of cChanges to payment standard amounts will be determined at the time
of update. The PHA will ensure the payment standards will be within the basic range.
effective on January 1st of every year, or within three months of the FMR effective date,
whichever is earlier. The effective date is applicable both to HUD-required revisions and
to discretionary revisions.
Exception Payment Standards [24 CFR 982.503(c)(5); PIH Notice 2018-01]
A non-SAFMR PHA may establish an exception payment standard for a zip code area of up to and
including 110 percent of the SAFMR determined by HUD for that zip code area.
Regardless of the level of the exception payment standard compared to the metropolitan area
FMRs (MAFMRs), the PHA must send an email to SAFMRs@hud.gov to notify HUD that it has
adopted an exception payment standard based on the SAFMR.
A PHA that adopts an exception payment standard pursuant to this authority must apply it to the
entire ZIP code area, for both its HCV, and if applicable, its PBV program. For the PBV program,
this means that the rent to owner may not exceed the new exception payment standard amount,
provided the rent is still reasonable. A PHA that adopts an exception payment standard area must
revise its briefing materials to make families aware of the exception payment standard and the area
that it covers.The PHA must request HUD approval to establish payment standards that are higher
than the basic range. 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. Any PHA with
jurisdiction in the exception area may use the HUD-approved exception payment standard amount.
The total population of all HUD-approved exception areas in an FMR area may not include more
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than 50 percent of the population of the FMR area.
Voluntary Use of Small Area FMRs [24 CFR 982.503, Notice PIH 2018-01]
PHAs that administer voucher in a metropolitan area where the adoption of small area FMRs
(SAFMRs) is not required may request approval from HUD to voluntarily adopt SAFMRs.
SAFMRs may be voluntarily adopted for one or more zip code areas.
PHA Policy
The PHA will not voluntarily adopt the use of SAFMRs except to establish exception payment
standards in certain zip code areas.
Unit-by-Unit Exceptions [24 CFR 982.503(b), 24 CFR 982.505(d), Notice PIH 2010-26]
Unit-by-unit exceptions to the PHA’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 Chapter 2 for a discussion of reasonable accommodations.) This type of exception
does not affect the PHA’s payment standard schedule.
When needed as a reasonable accommodation, the PHA 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 [24 CFR 982.503(b)]. The PHA may request HUD approval for an
exception to the payment standard for a particular family if the required amount exceeds 120
percent of the FMR.
PHA Policy
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, the PHA 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.
"Success Rate" Payment Standard Amounts [24 CFR 982.503(e)]
If a substantial percentage of families have difficulty finding a suitable unit, the PHA may request a
“success rate payment standard” that applies to the entire jurisdiction. If approved by HUD, a
success rate payment standard allows the PHA 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, the PHA must
demonstrate that during the most recent 6-month period for which information is available:
Fewer than 75 percent of families who were issued vouchers became participants;
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The PHA had established payment standards for all unit sizes, and for the entire jurisdiction, at
110 percent of the published FMR; and
The PHA had a policy of allowing voucher holders who made sustained efforts to locate units at
least 90 days to search for a unit.
Although HUD approves the success rate payment standard for all unit sizes in the FMR area, the
PHA may choose to adjust the payment standard for only some unit sizes in all, or a designated
part, of the PHA’s jurisdiction within the FMR area.
Decreases in the Payment Standard below the Basic Range [24 CFR 982.503(d)]
The PHA 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.
16-II.C. Utility Allowances [24 CFR 982.517]
A PHA-established utility allowance schedule is used in determining family share and PHA
subsidy. The PHA must maintain a utility allowance schedule for (1) all tenant-paid utilities, (2) the
cost of tenant-supplied refrigerators and ranges, and (3) other tenant-paid housing services such as
trash collection.
The utility allowance schedule must be 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, the PHA must use normal patterns of consumption for the community as a
whole, and current utility rates.
The utility allowance must include the utilities and services that are necessary in the locality to
provide housing that complies with housing quality standards. Costs for telephone, cable/satellite
television, and internet services are not included in the utility allowance schedule.
In the utility allowance schedule, the PHA 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. Chapter
16 of the HCV Guidebook provides detailed guidance to the PHA about establishing utility
allowance schedules.
Air Conditioning
An allowance for air-conditioning must be provided when the majority of housing units in the
market have central air-conditioning or are wired for tenant-installed air conditioners.
PHA Policy
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The PHA has included an allowance for air-conditioning in its schedule. Central air-
conditioning or a portable air conditioner must be present in a unit before the PHA will
apply this allowance to a family’s rent and subsidy calculations.
Reasonable Accommodation
HCV program regulations require a PHA to approve a utility allowance amount higher than shown
on the PHA’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, the PHA will approve an allowance for air-conditioning, even if the PHA has
determined that an allowance for air-conditioning generally is not needed (See Chapter 2 for
policies regarding the request and approval of reasonable accommodations).
Utility Allowance Revisions
The PHA 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.
The PHA must maintain information supporting its annual review of utility allowance and any
revisions made in its utility allowance schedule.
PART III: INFORMAL REVIEWS AND HEARINGS
16-III.A. Overview
Both applicants and participants have the right to disagree with, and appeal, certain decisions of the
PHA that may adversely affect them. PHA decisions that may be appealed by applicants and
participants are discussed in this section.
The process for applicant appeals of PHA decisions is called the “informal review.” For participants
(or applicants denied admission because of citizenship issues), the appeal process is called an
“informal hearing.” PHAs are required to include informal review procedures for applicants, and
informal hearing procedures for participants in their administrative plans [24 CFR 982.54(d)(12)
and (13)].
16-III.B. 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” [24 CFR 982.554], and need not be as elaborate as the
informal hearing requirements. (Federal Register Volume 60, No. 127, (3 July 1995);
Decisions Subject to Informal Review [24 CFR 982.554(a) and (c)]
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The PHA must give an applicant the opportunity for an informal review of a decision denying
assistance [24 CFR 982.554(a)]. Denial of assistance may include any or all of the following [24
CFR 982.552(a)(2)]:
Denying listing on the PHA 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
Informal reviews are not required for the following reasons [24 CFR 982.554(c)]:
Discretionary administrative determinations by the PHA
General policy issues or class grievances
A determination of the family unit size under the PHA subsidy standards
A PHA determination not to approve an extension of a voucher term
A PHA determination not to grant approval of the tenancy
A PHA determination that the unit is not in compliance with the UPCS-V
A PHA determination that the unit is not in accordance with the UPCS-V due to family
size or composition
PHA Policy
The PHA will only offer an informal review to applicants for whom assistance is being
denied. Denial of assistance includes denying listing on the PHA 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.
Notice to the Applicant [24 CFR 982.554(a)]
The PHA must give an applicant prompt notice of a decision denying assistance. The notice must
contain a brief statement of the reasons for the PHA decision, and must also state that the applicant
may request an informal review of the decision. The notice must describe how to obtain the
informal review.
Scheduling an Informal Review
PHA Policy
A request for an informal review must be made in writing and delivered to the PHA 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 the PHA’s denial of assistance.
The PHA must schedule and send written notice of the informal review within 10 business
days of the family’s request.
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Informal Review Procedures [24 CFR 982.554(b)]
The informal review must be conducted by a person other than the one who made or approved the
decision under review, or a subordinate of this person.
The applicant must be provided an opportunity to present written or oral objections to the decision
of the PHA.
16-III.C. Remote Informal Reviews for Applicants [PIH 2020-32]
The PHA has the option to conduct informal reviews remotely. The PHA’s essential responsibility is to
ensure informal reviews meet the requirements of due process and comply with HUD regulations.
PHA Policy
The PHA has the sole discretion to require informal reviews be conducted remotely.
COCHRD will conduct informal reviews remotely. However, on a case-by-case basis, the PHA
reserves the right to utilize an optional method, or a combination of methods, such as
videoconferencing and telephone. In case of local, state, or national physical distancing orders, and
other requirements for public health mitigation, and in cases of inclement weather or natural
disaster.
24 CFR §982.554(b) states, “The PHA must give an applicant an opportunity for an informal review
of the PHA decision denying assistance to the applicant. The administrative plan must state the PHA
procedures for conducting an informal review.”
Remote hearings as a standard of customer service, will allow the PHA to provide a reasonable
accommodation for a person with a disability, if an applicant does not have child care or
transportation that would enable them to attend the informal hearing, or if the applicant believes an
in-person informal hearing would create an undue health risk.
Conducting Remote Informal Reviews [PIH 2020-32]
The PHA must ensure that the applicant has the right to hear and be heard. The PHA shall ensure due
process and that all parties are able to have full access to the review.
PHA Policy
The PHA will conduct remote informal reviews via videoconferencing or telephone conferencing. If
the informal review will be conducted via videoconferencing, the PHA will ensure the following:
All applicants, applicant representatives, PHA representatives, and the person conducting the
informal review can adequately access the platform (i.e., hear, be heard, see, and be seen).
All parties who must have necessary documentation from the PHA has received it and makes it
available for the hearing.
At least 48 hours in advance of the review, verify that all parties have received the
documentation to be presented at the review.
Formatted: Font: 12 pt
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At least 48 hours in advance of the review, all parties have received information on how to
access the video or telephone conference.
The PHA has tested their access with the participants to ensure on the day and time of the
eview, delays due to inability to access will be at a minimum.
If any applicant, applicant representative, PHA representative, or person conducting the informal
review is unable to effectively utilize the videoconferencing platform, the review will be conducted
allowing those participants to utilize telephone conferencing call-in for those that cannot access
video conferencing, or another means acceptable to the PHA and the Hearing Officer.
Witness testimony may be accepted via telephone call-in.
Informal Review Decision [24 CFR 982.554(b)]
The PHA must notify the applicant of the PHA’s final decision, including a brief statement of the
reasons for the final decision.
PHA Policy
In rendering a decision, the PHA will evaluate the following matters:
Whether or not the grounds for denial were stated factually in the notice to the
family.
The validity of the 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. The PHA 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 by HUD, the PHA will uphold the decision to
deny assistance.
If the facts prove the grounds for denial, and the denial is discretionary, the PHA will
consider the recommendation of the person conducting the informal review in making the
final decision whether to deny assistance.
The PHA 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 family fails to appear for their informal review, the denial of admission will stand and
the family will be so notified.
16-III.CD. Informal Hearings For Participants [24 CFR 982.555, Pub. L. 109-162]
PHAs must offer an informal hearing for certain PHA determinations relating to the individual
circumstances of a participant family. A participant is defined as a family that has been admitted to
the PHA’s HCV program and is currently assisted in the program. The purpose of the informal
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hearing is to consider whether the PHA’s decisions related to the family’s circumstances are in
accordance with the law, HUD regulations and PHA policies.
The PHA is not permitted to 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
Refusing to process or provide assistance under portability procedures
Decisions Subject to Informal Hearing
Circumstances for which the PHA must give a participant family 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 tenant-paid utilities from
the PHA utility allowance schedule
A determination of the family unit size under the PHA’s subsidy standards
A determination to terminate assistance for a participant family 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 PHA 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 [24 CFR
984.303(i)]
Circumstances for which an informal hearing is not required are as follows:
• Discretionary administrative determinations by the PHA
• General policy issues or class grievances
• Establishment of the PHA schedule of utility allowances for families in the program
• A PHA determination not to approve an extension or suspension of a voucher term
• A PHA determination not to approve a unit or tenancy
• A PHA determination that a unit selected by the applicant is not in compliance with the
UPCS-V
• A PHA determination that the unit is not in accordance with UPCS-V because of family size
• A determination by the PHA to exercise or not to exercise any right or remedy against an
owner under a HAP contract
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PHA Policy
The PHA will only offer participants the opportunity for an informal hearing when required
to by the regulations.
16-III.E Remote Informal Hearings [PIH 2020-32]
The PHA has the option to conduct hearings remotely. The PHA’s essential responsibility is to ensure
hearings meet the requirements of due process and comply with HUD regulations.
PHA Policy
The PHA has the sole discretion to require informal hearings be conducted remotely.
COCHRD will conduct informal hearings remotely. However, on a case-by-case basis, the PHA
reserves the right to utilize an optional method, or a combination of methods, such as in-person, or
videoconferencing combined with telephone. In case of local, state, or national physical distancing orders,
and other requirements for public health mitigation, and in cases of inclement weather or natural disaster.
24 CFR §982.555(b) states, “Where a hearing for a participant family is required under this section,
the PHA must proceed with the hearing in a reasonably expeditious manner upon the request of the
family.”
24 CFR §982.555 (c) states, “The administrative plan must state the PHA procedures for
conducting informal hearings for participants.
Remote hearings as a standard of customer service, will allow the PHA to provide a reasonable
accommodation for a person with a disability, if an applicant does not have child care or
transportation that would enable them to attend the informal hearing, or if the applicant believes an
in-person informal hearing would create an undue health risk.
Discovery of Documents Before the Remote Informal Hearing
PHA Policy
If the hearing will be conducted remotely, the PHA will compile a hearing packet, consisting of all
documents the PHA intends to produce at the hearing. The PHA will deliver by mail, email or hand-delivery,
copies of the hearing packet to the participant, the participant’s representatives, if any, and the hearing officer
at least three (3) days before the scheduled remote hearing. The original hearing packet will be in the
possession of the PHA representative and retained by the PHA.
If the hearing is to be held in person, the packet will be available at the front desk for the participant to pick
up at least three (3) days before the scheduled hearing.
If the hearing is to be conducted remotely, the PHA will require the resident to provide any documents
directly relevant to the hearing at least 24 hours before the scheduled hearing.
The PHA will scan and email copies of these documents to the hearing officer the same day they are
received.
Documents will be shared electronically whenever possible.
Conducting Remote Informal Hearings [2020-32]
The PHA must ensure that the participant has the right to hear and be heard. The PHA shall ensure due process and
Formatted: Font: 12 pt
Formatted: Font: 12 pt
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that all parties are able to have full access to the hearing.
PHA Policy
The PHA will conduct remote formal hearings via videoconferencing or telephone conferencing.
If the hearing will be conducted via videoconferencing, the PHA will ensure the following:
All participants, participant’s representatives, witnesses, PHA representatives, and the hearing
officer can adequately access the platform (i.e., hear, be heard, see, and be seen).
All parties who must have necessary documentation from the PHA has received it and makes it
available for the hearing.
At least 48 hours in advance of the hearing, that all parties have received the documentation to be
presented at the hearing.
At least 48 hours in advance of the hearing, all parties have received information on how to
access the video or telephone conference.
The PHA has tested the access with the participants to ensure on the day and time of the hearing,
delays due to inability to access will be at a minimum.
If any participant, participant’s representative, PHA representative, or person conducting the informal
hearing is unable to effectively utilize the videoconferencing platform, the informal hearing will be
conducted allowing those participants to utilize telephone conferencing call-in for those that cannot
access video conferencing.
Witness testimony may be accepted via telephone call-in.
Informal Hearing Procedures
Notice to the Family [24 CFR 982.555(c)]
When the PHA makes a decision that is subject to informal hearing procedures, the PHA must
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 family unit size, the PHA must 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.
For decisions related to the termination of the family’s assistance, or the denial of a family’s request
for an exception to the PHA’s subsidy standards, the notice must 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.
PHA Policy
As COCHRD will conduct informal hearings for participants remotely, at the time the notice is sent
to the family informing them of the right to request an informal hearing, the family will be notified
Formatted: Indent: Left: 0.75"
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of the informal hearing process. The family will be informed of the steps involved in a remote
informal hearing and that the PHA will provide technical assistance, if needed, before the informal
hearing.
In cases where the PHA makes a decision for which an informal hearing must be offered,
the notice to the family will include all of the following:
• The proposed action or decision of the PHA.
• A brief statement of the reasons for the decision including the regulatory
reference.
• The date the proposed action will take place.
• A statement of the family’s right to an explanation of the basis for the PHA’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.
• A copy of the PHA’s hearing procedures.
Scheduling an Informal Hearing [24 CFR 982.555(d)]
When an informal hearing is required, the PHA must proceed with the hearing in a reasonably
expeditious manner upon the request of the family.
PHA Policy
A request for an informal hearing must be made in writing and delivered to the PHA 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 the PHA’s decision or notice to terminate assistance.
The PHA must schedule and send written notice of the informal hearing to the family within
10 business days of the family’s request.
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, the PHA may request documentation of the “good cause” prior to
rescheduling the hearing.
If the family does not appear within 20 minutes of the scheduled time, and was unable to
reschedule the hearing in advance due to the nature of the conflict, the family must contact
the PHA within 24 hours of the scheduled hearing date, excluding weekends and holidays.
The PHA 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.
If the family cannot show good cause for the failure to appear, or a rescheduling is not
needed as a reasonable accommodation, the PHA’s decision will stand.
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Pre-Hearing Right to Discovery [24 CFR 982.555(e)]
Participants and the PHA are permitted pre-hearing discovery rights.
The family must be given the opportunity to examine before the hearing any PHA documents that
are directly relevant to the hearing. The family must be allowed to copy any such documents at
their own expense. If the PHA does not make the document available for examination on request
of the family, the PHA may not rely on the document at the hearing.
The PHA hearing procedures may provide that the PHA must be given the opportunity to examine at the
PHA offices before the hearing, any family documents that are directly relevant to the hearing. The PHA
must be allowed to copy any such document at the PHA’s expense. If the family does not make the
document available for examination on request of the PHA, the family may not rely on the document at
the hearing.
For the purpose of informal hearings, documents include records and regulations.
PHA Policy
The family will be allowed to copy any documents related to the hearing at a cost of $.25
per page. The family must request discovery of PHA documents no later than 12:00 p.m.
on the business day prior to the scheduled hearing date.
The family will be allowed to have a copy of the informal hearing tape at a prepaid cost of $5.00
per tape.
PHA Policy
If the hearing will be conducted remotely, the PHA will compile a hearing packet, consisting of all
documents the PHA intends to produce at the hearing. The PHA will deliver by mail, email or hand-delivery,
copies of the hearing packet to the participant, the participant’s representatives, if any, and the hearing officer
at least three (3) days before the scheduled remote hearing. The original hearing packet will be in the
possession of the PHA representative and retained by the PHA.
If the hearing is to be held in person, the packet will be available at the front desk for the participant to pick
up at least three (3) days before the scheduled hearing.
If the hearing is to be conducted remotely, the PHA will require the resident to provide any documents
directly relevant to the hearing at least 24 hours before the scheduled hearing.
The PHA will scan and email copies of these documents to the hearing officer the same day they are
received.
Documents will be shared electronically whenever possible.
The PHA must be allowed to copy any such document at the PHA’s expense. If the family does not
make the document available for examination on request of the PHA, the family may not rely on the
document at the hearing.
Participant’s Right to Bring Counsel [24 CFR 982.555(e)(3)]
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At its own expense, the family may be represented by a lawyer or other representative at the
informal hearing.
Informal Hearing Officer [24 CFR 982.555(e)(4)]
Informal hearings will be conducted by a person or persons approved by the PHA, other than the
person who made or approved the decision or a subordinate of the person who made or approved
the decision.
PHA Policy
The PHA will contract a hearing officer.
Attendance at the Informal Hearing
PHA Policy
Hearings may be attended by a hearing officer and the following applicable persons:
• A PHA representative and any witnesses for the PHA
• The participant and any witnesses for the participant
• The participant’s counsel or other representative
• Any other person approved by the PHA as a reasonable accommodation for a person
with a disability
Conduct at Hearings
The person who conducts the hearing may regulate the conduct of the hearing in accordance with
the PHA’s hearing procedures [24 CFR 982.555(4)(ii)].
PHA Policy
The hearing officer is responsible to manage the order of business and to ensure 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. All hearings will be recorded.
Evidence [24 CFR 982.555(e)(5)]
The PHA and the family must be given the opportunity to present evidence and question any
witnesses. In general, all evidence is admissible at an informal hearing. Evidence may be
considered without regard to admissibility under the rules of evidence applicable to judicial
proceedings.
PHA Policy
Any evidence to be considered by the hearing officer must be presented at the time of the
hearing. There are four categories of evidence.
Oral evidence: the testimony of witnesses
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Documentary evidence: a writing which is relevant to the case, for example, a letter
written to the PHA. Writings include all forms of recorded communication or
representation, including letters, words, pictures, sounds, videotapes or symbols or
combinations thereof.
Police Reports are documentary evidence and will take the place of an
officer’s presence at the informal hearing.
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.
Hearsay Evidence is evidence of a statement that was made other than by a witness while
testifying at the hearing and that is offered to prove the truth of the matter. Even though
evidence, including hearsay, is generally admissible, hearsay evidence alone cannot be used
as the sole basis for the hearing officer’s decision.
If either the PHA or the family fail to comply with the discovery requirements described
above, the hearing officer will refuse to admit such evidence.
Other than the failure of a party to comply with discovery, the hearing officer has the
authority to overrule any objections to evidence.
Procedures for Rehearing or Further Hearing
PHA Policy
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 the PHA will take
effect and another hearing will not be granted.
Hearing Officer’s Decision [24 CFR 982.555(e)(6)]
The person who conducts the hearing must 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.
PHA Policy
In rendering a decision, the hearing officer will consider the following matters:
PHA Notice to the Family: The hearing officer will determine if the reasons for the
PHA’s decision are factually stated in the Notice.
Discovery: The hearing officer will determine if the PHA and the family were given
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the opportunity to examine any relevant documents in accordance with PHA policy.
PHA Evidence to Support the PHA 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 PHA’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 PHA policies. If the grounds for
termination are not specified in the regulations or in compliance with PHA policies,
then the decision of the PHA will be overturned.
The hearing officer will issue a written decision to the family and the PHA no later than 10
business days after the hearing. The report will contain the following information:
Hearing information:
• Name of the participant
• Date, time and place of the hearing
• Name of the hearing officer
• Name of the PHA representative and
• 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 PHA’s decision.
Order: The hearing report will include a statement of whether the PHA’s decision is
upheld or overturned. If it is overturned, the hearing officer will instruct the PHA 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 PHA to restore
the participant’s program status.
Issuance of Decision [24 CFR 982.555(e)(6)]
A copy of the hearing must be furnished promptly to the family.
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PHA Policy
The hearing officer will mail a “Notice of Hearing Decision” to the PHA.
The PHA will ensure the family receives the hearing officer’s decision. This notice will be
sent by first-class mail. The participant will be mailed the original “Notice of Hearing
Decision” and a copy of the proof of mailing. A copy of the “Notice of Hearing Decision”
will be maintained in the PHA’s file.
Effect of Final Decision [24 CFR 982.555(f)]
The PHA is not bound by the decision of the hearing officer for matters in which the PHA 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 PHA determines it is not bound by the hearing officer’s decision in accordance with HUD
regulations, the PHA must promptly notify the family of the determination and the reason for the
determination.
PHA Policy
The Executive Director has the authority to determine that the PHA is not bound by the
decision of the hearing officer because the PHA was not required to provide a hearing, the
decision exceeded the authority of the hearing officer, the decision conflicted with or
contradicted HUD regulations, requirements, or the decision was otherwise contrary to
federal, state, or local laws.
In such a case, the PHA will mail a “Notice of Final Decision” to the PHA and the participant on
the same day. The “Notice of Final Decision” will be sent by first-class mail. A copy of this
notice will be maintained in the PHA’s file.
16-III.DF. Hearing and Appeal Provisions for Non-Citizens [24 CFR 5.514]
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 the PHA
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 the
PHA informal hearing process, does not preclude the family from exercising the right, that may
otherwise be available, to seek redress directly through judicial procedures.
Notice of Denial or Termination of Assistance [24 CFR 5.514(d)]
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The notice of denial or termination of assistance for noncitizens must advise the family:
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 fund the
provisions for preservation of families [24 CFR 5.514 and 5.518].
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.
That the family has a right to request an informal hearing with the PHA 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.
USCIS Appeal Process [24 CFR 5.514(e)]
When the PHA receives notification that the USCIS secondary verification failed to confirm
eligible immigration status, the PHA must 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 the PHA with a copy of the written request for appeal and the proof of mailing.
PHA Policy
The PHA 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 the PHA 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 the PHA, of its decision. When the USCIS
notifies the PHA of the decision, the PHA must notify the family of its right to request an informal
hearing.
PHA Policy
The PHA 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.
Informal Hearing Procedures for Applicants [24 CFR 5.514(f)]
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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 the PHA provide a hearing. The request for a hearing must be made either within
30 days of receipt of the PHA notice of denial or termination, or within 30 days of receipt of the
USCIS appeal decision.
The informal hearing procedures for applicant families are described below.
Informal Hearing Officer
The PHA must provide an informal hearing before an impartial individual, other than a person who
made or approved the decision under review, and other than a person who is a subordinate of the
person who made or approved the decision. See Section 16-III.C. for a listing of positions that serve
as informal hearing officers.
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 the PHA 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.
PHA Policy
The family will be allowed to copy any documents related to the hearing at a cost of $.35
per page copy. The family must request discovery of PHA documents no later than
12:00 p.m. on the business day prior to the hearing.
The family must 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 must also be provided the opportunity to refute evidence relied upon by the PHA, and to
confront and cross-examine all witnesses on whose testimony or information the PHA relies.
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 request an interpreter. Upon request, the PHA will provide competent
interpretation services, free of charge.
Recording of the Hearing
The family is entitled to have the hearing recorded by audiotape. The PHA may, but is not required
to provide a transcript of the hearing.
PHA Policy
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If the family requests a copy of the audiotape of the hearing, the PHA will provide a
transcript of an audiotaped hearing at a cost of $5.00. The cost of the audiotape must be
pre-paid before the tape is copied.
Hearing Decision
The PHA must provide the family with a written final decision, based solely on the facts presented
at the hearing, within 14 calendar days of the date of the informal hearing. The decision must state
the basis for the decision.
Informal Hearing Procedures for Residents [24 CFR 5.514(f)]
After notification of the USCIS decision on appeal, or in lieu of an appeal to the USCIS, the family
may request that the PHA provide a hearing. The request for a hearing must be made either within
30 days of receipt of the PHA notice of termination, or within 30 days of receipt of the USCIS
appeal decision.
For the informal hearing procedures that apply to participant families whose assistance is being
terminated based on immigration status, see Section 16-III.C.
Retention of Documents [24 CFR 5.514(h)]
The PHA must retain for a minimum of 5 years the following documents that may have been
submitted to the PHA by the family, or provided to the PHA as part of the USCIS appeal or the
PHA informal hearing process:
The application for assistance
The form completed by the family for income reexamination
Photocopies of any original documents, including original USCIS documents
The signed verification consent form
The USCIS verification results
The request for an USCIS appeal
The final USCIS determination
The request for an informal hearing
The final informal hearing decision
PART IV: OWNER OR FAMILY DEBTS TO THE PHA
16-IV.A. Overview
PHAs are required to include in the administrative plan, policies concerning repayment by a family
of amounts owed to the PHA [24 CFR 982.54]. This part describes the PHA’s policies for recovery
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of monies owed to the PHA by families or owners.
PHA Policy
When an action or inaction of an owner or participant results in the overpayment of housing
assistance, the PHA holds the owner or participant liable to return any overpayments to the
PHA.
The PHA 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 the PHA, the PHA 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
16-IV.B. Repayment Policy
Owner Debts to the PHA
PHA Policy
Any amount due to the PHA by an owner must be repaid by the owner within 30 days of the
PHA determination of the debt.
If the owner fails to repay the debt within the required time frame and is entitled to future
HAP payments, the PHA 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 the PHA may, in its sole discretion,
offer to enter into a repayment agreement on terms prescribed by the PHA.
If the owner refuses to repay the debt, does not enter into a repayment agreement, or
breaches a repayment agreement, the PHA will ban the owner from future participation in
the program and pursue other modes of collection.
Family Debts to the PHA
PHA Policy
Any amount owed to the PHA by an HCV family must be repaid by the family. If the family
is unable to repay the debt within 30 days, the PHA will offer to enter into a repayment
agreement in accordance with the policies below.
If the family refuses to repay the debt, does not enter into a repayment agreement, or
breaches a repayment agreement, the PHA will terminate assistance in accordance with the
policies in Chapter 12 and pursue other modes of collection.
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Repayment Agreement [24 CFR 792.103]
The term repayment agreement refers to a formal written document signed by a tenant or owner and
provided to the PHA in which a tenant or owner acknowledges a debt in a specific amount and
agrees to repay the amount due at specific time periods.
General Repayment Agreement Guidelines for Families
Payment Thresholds
Notice PIH 2017-12 recommends that the total amount that a family must pay each month—the
family’s monthly share of rent plus the monthly debt repayment amount—should not exceed 40
percent of the family’s monthly adjusted income. However, a family may already be paying 40
percent or more of its monthly adjusted income in rent. Moreover, Notice PIH 2010-19
acknowledges that PHAs have the discretion to establish “thresholds and policies” for repayment
agreements with families [24 CFR 982.552(c)(1)(vii)].
PHA Policy
The PHA has established the following thresholds for repayment of debts:
Amounts between $3,000 and more must be repaid within 18-36 months.
Amounts between $1,000 and $2,999 must be repaid within 12-18 months.
Amounts between $501 and $999 must be repaid within 6-10 months.
Amounts under $500 must be repaid within 3-6 months.
The minimum monthly amount of monthly payment for any payment agreement is $50.
Any payment agreement in excess of 36 months requires the approval from the Housing
Manager.
Execution of the Agreement
PHA Policy
Any repayment agreement between the PHA and a family must be signed and dated by the
PHA and by the head of household and spouse/cohead (if applicable).
Due Dates
PHA Policy
All payments are due by the close of business on the 15th day of the month. 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.
Late or Missed Payments
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PHA Policy
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 the PHA, the PHA 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 the PHA will terminate assistance in accordance with the
policies in Chapter 12.
No Offer of Repayment Agreement
PHA Policy
The PHA will not enter into a repayment agreement with a family if there is already a
repayment agreement in place with the family or if the amounts owed by the family exceeds
the federal or state threshold for criminal prosecution.
Repayment Agreements Involving Improper Payments
Notice PIH 2017-12 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 the
PHA 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 the PHA 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
A statement that the terms of the repayment agreement may be renegotiated if the family’s
income decreases or increases
A statement that late or missed payments constitute default of the repayment agreement and
may result in termination of assistance
PART V: SECTION 8 MANAGEMENT ASSESSMENT PROGRAM (SEMAP)
16-V.A. Overview
The Section 8 Management Assessment Program (SEMAP) is a tool that allows HUD to measure
PHA performance in key areas to ensure program integrity and accountability. SEMAP scores
translate into a rating for each PHA as high performing, standard, or troubled. Scores on individual
SEMAP indicators, as well as overall SEMAP ratings, can affect the PHA in several ways.
•
High-performing PHAs can be given a competitive advantage under notices of
funding availability [24 CFR 985.103].
•
PHAs with deficiencies on one or more indicators are required to correct the
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deficiencies and report to HUD [24 CFR 985.106].
•
PHAs with an overall rating of “troubled” are subject to additional HUD oversight,
including on-site reviews by HUD staff, a requirement to develop a corrective action
plan, and monitoring to ensure the successful implementation of the corrective
action plan. In addition, PHAs that are designated “troubled” may not use any part of
the administrative fee reserve for other housing purposes [24 CFR 985.107].
•
HUD may determine that a PHA's failure to correct identified SEMAP deficiencies
or to prepare and implement a corrective action plan required by HUD constitutes a
default under the ACC [24 CFR 985.109].
16-V.B. SEMAP Certification [24 CFR 985.101]
PHAs must submit the HUD-required SEMAP certification form within 60 calendar days after the
end of its fiscal year. The certification must be approved by PHA board resolution and signed by
the PHA housing manager. If the PHA is a unit of local government or a state, a resolution
approving the certification is not required, and the certification must be executed by the Section 8
program director.
PHAs with less than 250 voucher units are only required to be assessed every other PHA fiscal
year. HUD will assess such PHAs annually if the PHA elects to have its performance assessed on
an annual basis; or is designated as “troubled” [24 CFR 985.105].
Failure of a PHA to submit its SEMAP certification within the required time frame will result in an
overall performance rating of “troubled.”
A PHA’s SEMAP certification is subject to HUD verification by an on-site confirmatory review at
any time.
Upon receipt of the PHA’s SEMAP certification, HUD will rate the PHA’s performance under each
SEMAP indicator in accordance with program requirements.
HUD Verification Method
Several of the SEMAP indicators are scored based on a review of a quality control sample selected
for this purpose. The PHA or the Independent Auditor must select an unbiased sample that provides
an adequate representation of the types of information to be assessed, in accordance with SEMAP
requirements [24 CFR 985.2].
If the HUD verification method for the indicator relies on data in the Form-50058 module (formerly
known as MTCS) in the PIH Information Center (PIC), and HUD determines that those data are
insufficient to verify the PHA's certification on the indicator due to the PHA's failure to adequately
report family data, HUD will assign a zero rating for the indicator [24 CFR 985.3].
16-V.C. SEMAP Indicators [24 CFR 985.3 and form HUD-52648]
The table below lists each of the SEMAP indicators, contains a description of each indicator, and
explains the basis for points awarded under each indicator.
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A PHA that expends less than $300,000 in Federal awards and whose Section 8 programs are not
audited by an independent auditor, is not be rated under SEMAP indicators 1-7.
All SEMAP inspection requirements will be conducted in alignment with HUD’s UPCS-V
Protocol.
SEMAP Indicators
Indicator 1: Selection from the waiting list
Maximum Score: 15
• This indicator shows whether the PHA has written policies in its administrative plan for
selecting applicants from the waiting list and whether the PHA follows these policies
when selecting applicants for admission from the waiting list.
• Points are based on the percent of families that are selected from the waiting list in
accordance with the PHA’s written policies, according to the PHA’s quality control
sample.
Indicator 2: Rent reasonableness
Maximum Score: 20
• This indicator shows whether the PHA has and implements a reasonable written method
to determine and document for each unit leased that the rent to owner is reasonable
based on current rents for comparable unassisted units
• Points are based on the percent of units for which the PHA follows its written method to
determine reasonable rent and has documented its determination that the rent to owner is
reasonable, according to the PHA’s quality control sample.
Indicator 3: Determination of adjusted income
Maximum Score: 20
• This indicator measures whether the PHA verifies and correctly determines adjusted
income for each assisted family, and where applicable, uses the appropriate utility
allowances for the unit leased in determining the gross rent.
• Points are based on the percent of files that are calculated and verified correctly,
according to the PHA’s quality control sample.
Indicator 4: Utility allowance schedule
Maximum Score: 5
• This indicator shows whether the PHA maintains an up-to-date utility allowance
schedule.
• Points are based on whether the PHA has reviewed the utility allowance schedule and
adjusted it when required, according to the PHA’s certification.
Indicator 5: HQS quality control inspections
Maximum Score: 5
• This indicator shows whether a PHA supervisor reinspects a sample of units under
contract during the PHA fiscal year, which meets the minimum sample size
requirements for quality control of HQS inspections.
• Points are based on whether the required quality control reinspections were completed,
according to the PHA’s certification.
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Indicator 6: HQS enforcement
Maximum Score: 10
• This indicator shows whether, following each HQS inspection of a unit under
contract where the unit fails to meet HQS , any cited life-threatening deficiencies are
corrected within 24 hours from the inspection and all other deficiencies are corrected
within no more than 30 calendar days from the inspection or any PHA-approved
extension.
• Points are based on whether the PHA corrects all HQS deficiencies in accordance with
required time frames, according to the PHA’s certification.
Indicator 7: Expanding housing opportunities
Maximum Points: 5
• Only applies to PHAs with jurisdiction in metropolitan FMR areas.
• This indicator shows whether the PHA has adopted and implemented a written policy to
encourage participation by owners of units located outside areas of poverty or minority
concentration; informs voucher holders of the full range of areas where they may lease
units both inside and outside the PHA’s jurisdiction; and supplies a list of landlords or
other parties who are willing to lease units or help families find units, including units
outside areas of poverty or minority concentration.
• Points are based on whether the PHA has adopted and implemented written policies in
accordance with SEMAP requirements, according to the PHA’s certification.
Indicator 8: FMR limit and payment standards
Maximum Points: 5 points
• This indicator shows whether the PHA has adopted a payment standard schedule that
establishes payment standard amounts by unit size for each FMR area in the PHA’s
jurisdiction, that are within the basic range of 90 to 110 percent of the published FMR.
• Points are based on whether the PHA has appropriately adopted a payment standard
schedule(s), according to the PHA’s certification.
Indicator 9: Annual reexaminations
Maximum Points: 10
• This indicator shows whether the PHA completes a reexamination for each participating
family at least every 12 months.
• Points are based on the percent of reexaminations that are more than 2 months overdue,
according to data from PIC.
Indicator 10: Correct tenant rent calculations
Maximum Points: 5
• This indicator shows whether the PHA correctly calculates the family’s share of the rent
to owner.
• Points are based on the percent of correct calculations of family share of the rent
according to data from PIC.
Indicator 11: Pre-contract HQS inspections
Maximum Points: 5
• This indicator shows whether newly leased units pass HQS inspection on or before the
effective date of the assisted lease and HAP contract.
• Points are based on the percent of newly leased units that passed HQS inspection prior to
the effective date of the lease and HAP contract, according to data from PIC.
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Indicator 12: Annual HQS inspections
Maximum Points: 10
• This indicator shows whether the PHA inspects each unit under contract at least
annually.
• Points are based on the percent of annual HQS inspections of units under contract
that are more than 2 months overdue, according to data from PIC.
Indicator 13: Lease-up
Maximum Points: 20 points
• This indicator shows whether the PHA enters HAP contracts for at least 98 percent of the
number of the PHA’s baseline voucher units in the ACC for the calendar year ending on
or before the PHA’s fiscal year, or whether the PHA has expended at least 98 percent of
its allocated budget authority for the same calendar year. The PHA can receive 15 points
if 95 to 97 percent of vouchers are leased or budget authority is utilized.
• Points are based on utilization of vouchers and HAP expenditures as reported in the
voucher management system (VMS) for the most recently completed calendar year.
Success Rate of Voucher Holders
Maximum Points: 5
• Only applies to PHAs that have received approval to establish success rate payment
standard amounts, and isn’t effective until the second full PHA fiscal year following the
date of HUD approval of success rate payment standard amounts.
• This indicator shows whether voucher holders were successful in leasing units with
voucher assistance.
• Points are based on the percent of families that were issued vouchers, and that became
participants in the voucher program.
Deconcentration Bonus Indicator
Maximum Points: 5
• Submission of data for this indicator is mandatory for a PHA using one or more payment
standard amount(s) that exceed(s) 100 percent of the published FMR set at the 50
percentile rent, starting with the second full PHA fiscal year following initial use of
payment standard amounts based on the FMRs set at the 50th percentile.
• Additional points are available to PHAs that have jurisdiction in metropolitan FMR areas
and that choose to submit the required data.
• Points are based on whether the data that is submitted meets the requirements for bonus
points.
PART VI: RECORD KEEPING
16-VI.A. Overview
The PHA 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, the PHA must ensure that all applicant and participant files are maintained in a way that
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protects an individual’s privacy rights.
16-VI.B. Record Retention [24 CFR 982.158]
During the term of each assisted lease, and for at least three years thereafter, the PHA must keep:
A copy of the executed lease;
The HAP contract; and
The application from the family.
In addition, the PHA 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.
Accounts and other records supporting PHA budget and financial statements for the
program;
Records to document the basis for PHA determination that rent to owner is a reasonable rent
(initially and during the term of a HAP contract); and
Other records specified by HUD.
Notice PIH 2014-20 requires PHAs to keep records of all complaints, investigations,
notices, and corrective actions related to violations of the Fair Housing Act or the equal
access final rule.
The PHA must keep confidential records of all emergency transfer requested by victims of
domestic violence, dating violence, sexual assault, and stalking under the PHA’s Emergency
Transfer Plan, as well as the outcomes of such requests, and retain the records for a period
of three years [24 CFR 5.2002(e)(12)].
PHA Policy
All documents related to a family’s tenancy, and termination will be kept at least
for five years.
If an informal hearing to establish a family’s citizenship status is held, longer retention
requirements apply for some types of documents. For specific requirements, see Section 16-III.D.,
Retention of Documents.
16-VI.C. Records Management and Safeguarding Sensitive Personally Identifiable
Information [PIH Notice 2014-10]
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PHAs must maintain applicant and participant files and information in accordance with the
regulatory requirements described below. PHAs are responsible for safeguarding personally
identifiable information required by HUD and preventing potential breaches of this sensitive data.
Personally Identifiable Information (PII) is defined in OMB M-07-16 as “… information which can
be used to distinguish or trace an individual’s identity, such as their name, social security number,
biometric records, etc. alone, or when combined with other personal or identifying information
which is linked or linkable to a specific individual, such as a date and place of birth, mother’s
maiden name, etc.” Examples of sensitive personal identifiable information includes social security
or driver’s license numbers, medical records, and financial account numbers such as credit or debit
card numbers.
PHA Policy
All applicant and participant information will be kept in a secure location and access will be
limited to authorized PHA staff.
PHA 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.
When discussing sensitive PII on the telephone, PHA staff will confirm that they are
speaking to the right person before discussing the information and inform him/her that the
discussion will include sensitive information. PHA staff will not leave messages containing
sensitive PII on voicemail.
PHA staff will avoid discussing sensitive PII if there are unauthorized personnel,
contractors, or guests in the adjacent cubicles, rooms, or hallways who may overhear their
conversation.
When faxing sensitive PII, PHA staff will use the date stamp function, confirm the fax
number, verify that the intended recipient is available, and confirm that he/she has received
the fax. PHA staff will, before faxing sensitive PII, coordinate with the recipient so that the
information is not left unattended on the receiving end.
PHA Policy
PHA staff will request a written statement from the receiving PHA documenting that the
intended recipient is available to receive the fax and they understand the information will
not be left unattended on the receiving end.
PHA staff will not transmit sensitive PII via an unsecured information system (e.g.,
electronic mail, internet, or electronic bulletin board) without first encrypting the
information.
PHA Policy
The City of Chandler does not have encrypting capabilities for information systems;
therefore, PHA staff will not use information systems (e.g., electronic mail, internet, or
electronic bulletin board) to transmit sensitive PII.
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Privacy Act Requirements [24 CFR 5.212 and Form-9886]
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 the PHA may release the information collected.
Upfront Income Verification (UIV) Records
PHAs that access UIV data through HUD’s Enterprise Income Verification EIV 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 PHA
Security Procedures, Version 1.1, issued April 4, 2004.
PHA Policy
The City of Chandler Housing and Redevelopment Division will adopt and implement
HUD’s Enterprise Income Verification (EIV) system security procedures required by HUD
as set forth in Version 1.4, November 2005.
Criminal Records
The PHA may only disclose the criminal conviction records which the PHA receives from a law
enforcement agency to officers or employees of the PHA, or to authorized representatives of the
PHA who have a job-related need to have access to the information [24 CFR 5.903(e)].
The PHA must establish and implement a system of records management that ensures that any
criminal record received by the PHA 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 the
PHA action without institution of a challenge or final disposition of any such litigation [24 CFR
5.903(g)].
The PHA must establish and implement a system of records management that ensures that any
criminal records received by the PHA 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 the
PHA 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 a PHA other than under 24 CFR 5.905.
Medical/Disability Records
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PHAs are not permitted to inquire about the nature or extent of a person’s disability. The PHA may
not inquire about a person’s diagnosis or details of treatment for a disability or medical condition. If
the PHA receives a verification document that provides such information, the PHA should not place
this information in the tenant file. The PHA should destroy the document.
Documentation of Domestic Violence, Dating Violence, Sexual Assault, or Stalking
For requirements and PHA policies related to management of documentation obtained from
victims of domestic violence, dating violence, sexual assault, or stalking, see section 16-IX.E.
PART VII: REPORTING AND RECORD KEEPING FOR CHILDREN
WITH ELEVATED BLOOD LEAD LEVEL
16-VII.A. Overview
The PHA has certain responsibilities relative to children with elevated blood lead levels that are
receiving HCV assistance. The notification, verification, and hazard reduction requirements are
discussed in Chapter 8. This part deals with the reporting requirements, and data collection and
record keeping responsibilities that the PHA is subject to.
16-VII.B. Reporting Requirement [24 CFR 35.1225(e); PIH Notice 2017-13]
The owner must report the name and address of a child identified as having an elevated blood lead
level to the public health department within 5 business days of being so notified by any other
medical health care professional. The owner must also notify the HUD field office and the HUD
Office of Lead Hazard Control and Healthy Homes (OLHCHH) of the child’s address within five
business days. The PHA may collaborate with the owner on the notification process, such as by
agreeing with the owner to provide the required notifications on the owner’s behalf.
PHA Policy
Upon notification by the owner, the PHA will provide the public health department written notice
of the name and address of any child identified as having an elevated blood lead level within five
business days.
Upon notification by the owner, the PHA will notify the HUD field office and the HUD
Office of Lead Hazard Control and Healthy Homes (OLHCHH) of the child’s address
within five business days.
16-VII.C. Data Collection And Record Keeping [24 CFR 35.1225(f)]
At least quarterly, the PHA must 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
elevated blood lead level.
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If the PHA obtains names and addresses of elevated blood lead level children from the public health
department(s), the PHA must 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, the PHA must carry out the notification, verification, and hazard reduction
requirements discussed in Chapter 8, and the reporting requirement discussed above.
At least quarterly, the PHA must also report an updated list of the addresses of units receiving
assistance under the HCV program to the same public health department(s), unless the public health
department(s) states that it does not wish to receive such a report.
PHA Policy
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, the PHA is not providing such a report.
PART VIII: DETERMINATION OF INSUFFICIENT FUNDING
16-VIII.A. Overview
The HCV regulations allow PHAs to deny families permission to move and to terminate Housing
Assistance Payments (HAP) contracts if funding under the consolidated ACC is insufficient to
support continued assistance [24 CFR 982.354(e)(1) and 982.454]. If a PHA denies a family a
portability move based on insufficient funding, the PHA is required to notify the local HUD office
within 10 business days [24 CFR 982.354]. Insufficient funding may also impact the PHA’s ability
to issue vouchers to families on the waiting list. This part discusses the methodology the PHA will
use to determine whether or not the PHA has sufficient funding to issue vouchers, approve moves,
and to continue subsidizing all families currently under a HAP contract.
16-VIII.B. Methodology
PHA Policy
The PHA 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 PHA’s annual budget authority to the annual total HAP needs on a monthly
basis.
The total HAP needs for the calendar or fiscal year will be projected by establishing the
actual HAP costs year to date. To that figure, the PHA 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 the PHA cannot support the
cost of the proposed subsidy commitment, (voucher issuance or move) based on the funding
analysis, the PHA will be considered to have insufficient funding.
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At the discretion of the PHA or upon guidance from HUD, the PHA may modify or add to
the methodology of determining insufficient funding as it becomes appropriate or necessary.
PART IX: VIOLENCE AGAINST WOMEN ACT (VAWA): NOTIFICATION, DOCUMENTATION,
CONFIDENTIALITY
16-IX.A. Overview
The Violence against Women Reauthorization 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. If your state or local
laws provide greater protection for such victims, those laws apply in conjunction with VAWA. \
In addition to definitions of key terms used in VAWA, this part contains general VAWA
requirements and PHA policies in three areas: notification, documentation, and confidentiality.
Specific VAWA requirements and PHA policies are located primarily in the following sections: 3-
I.C, “Family Breakup and Remaining Member of Tenant Family”; 3-III.G, “Prohibition against
Denial of Assistance to Victims of Domestic Violence, Dating Violence, and Stalking”; 10-I.A,
“Allowable Moves”; 10-I.B, “Restrictions on Moves”; 12-II.E, “Terminations Related to Domestic
Violence, Dating Violence, Sexual Assault, or Stalking”; and 12-II.F, “Termination Notice.”
16-IX.B. Definitions [24 CFR 5.2003, 42 USC 13925]
As used in VAWA:
The term bifurcate means, 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.
The term dating violence means 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
The term domestic violence includes felony or misdemeanor crimes of violence committed
by a current or former spouse or intimate partner 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.
The term affiliated individual means, with respect to a person:
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-
A spouse, parent, brother or sister, or child of that individual, or an individual to
whom that individual stands in the position or place of a parent; or
- Any other individual, tenant or lawful occupant living in the household of the
victim of domestic violence, dating violence, sexual assault, or stalking.
The term sexual assault means:
-
Any nonconsensual sexual act prescribed by Federal, tribal, or State law,
including when the victim lacks the capacity to consent
The term stalking means:
To engage in a course of conduct directed at a specific person that would cause a
reasonable person to fear for his or her safety or the safety of others, or suffer
substantial emotional distress.
16-IX.C. NOTIFICATION [24 CFR 5.2005(a)]
Notification to Public
The PHA adopts the following policy to help ensure that all actual and potential beneficiaries of its
HCV program are aware of their rights under VAWA.
PHA Policy
The PHA will post the following information regarding VAWA in its offices and on its
website. It will also make the information readily available to anyone who requests it.
A copy of the notice of occupancy rights under VAWA to housing choice voucher
program applicants and participants who are or have been victims of domestic violence,
dating violence, sexual assault, or stalking Form HUD-5380, see Exhibit 16-1)
A copy of form HUD-5382, Certification of Domestic Violence, Dating Violence, or
Stalking and Alternate Documentation (see Exhibit 16-2)
A copy of the PHA’s emergency transfer plan (Exhibit 16-3)
A copy of HUD’s Emergency Transfer Request for Certain Victims of Domestic
Violence, Dating Violence, Sexual Assault, or Stalking, Form HUD-5383 (Exhibit 16-4)
The National Domestic Violence Hot Line: 1-800-799-SAFE (7233) or 1-800-
787-3224 (TTY) (included in Exhibits 16-1 and 16-2)
Contact information for local victim advocacy groups or service providers
Notification to Program Applicants and Participants [24 CFR 5.2005(a)(1)]
PHAs are required to inform program applicants and participants of their rights under VAWA,
including their right to confidentiality and the limits thereof, when they are denied assistance, when
they are admitted to the program, and when they are notified of an eviction or termination of
housing benefits.
VAWA 2013 expands the notification requirements (currently at 24 CFR 5.2005(a)(1)) to require
that PHAs provide the notice when a person is denied assistance, when a person is admitted, and
when a tenant is notified of eviction or termination of housing benefit, and to require that the notice
be provided together with form HUD-5382.
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PHA Policy
The PHA will provide all applicants with information about VAWA at the time they request
an application for housing assistance, as part of the written briefing packet, and at the time
the family is admitted to the program. The PHA will also include information about VAWA
in all notices of denial of assistance (see section 3-III.G).
The PHA will provide all participants with information about VAWA at the time of
admission (see section 5-I.B) and at annual reexamination. The PHA will also include
information about VAWA in notices of termination of assistance, as provided in section 12-
II.F.
The VAWA information provided to applicants and participants will consist of the notice in
Exhibit 16-1 and 16-2 .
The PHA is not limited to providing VAWA information at the times specified in the above policy.
If the PHA decides to provide VAWA information to a participant following an incident of
domestic violence, Notice PIH 2017-08 cautions against sending the information by mail, since the
abuser may be monitoring the mail. The notice recommends that in such cases the PHA make
alternative delivery arrangements that will not put the victim at risk.
PHA Policy
Whenever the PHA has reason to suspect that providing information about VAWA to a
participant might place a victim of domestic violence at risk, it will attempt to deliver the
information by hand directly to the victim or by having the victim come to an office or other
space that may be safer for the individual, making reasonable accommodations as necessary.
For example, the PHA may decide not to send mail regarding VAWA protections to the
victim’s unit if the PHA believes the perpetrator may have access to the victim’s mail,
unless requested by the victim.
When discussing VAWA with the victim, the PHA will take reasonable precautions to
ensure that no one can overhear the conversation, such as having conversations in a private
room.
The victim may, but is not required to, designate an attorney, advocate, or other secure
contact for communications regarding VAWA protections.
Notification to Owners and Managers
While PHAs are no longer required by regulation to notify owners and managers participating in
the HCV program of their rights and obligations under VAWA, the PHA may still choose to inform
them.
PHA Policy
The PHA will provide owners and managers with information about their rights and
obligations under VAWA when they begin their participation in the program and at least
annually thereafter.
The VAWA information provided to owners will consist of the notice in Exhibit 16-5 and a
copy of form HUD-5382, Certification of Domestic Violence, Dating Violence,
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and Stalking and Alternate Documentation.
16-IX.D. Documentation [24 CFR 5.2007]
A PHA presented with a claim for initial or continued assistance based on status as a victim of
domestic violence, dating violence, sexual assault, stalking, or criminal activity related to any of
these forms of abuse may—but is not required to—request that the individual making the claim
document the abuse. Any request for documentation must be in writing, and the individual must be
allowed at least 14 business days after receipt of the request to submit the documentation. The PHA
may extend this time period at its discretion. [24 CFR 5.2007(a)]
The individual may satisfy the PHA’s request by providing any one of the following three forms of
documentation [24 CFR 5.2007(b)]:
a. A completed and signed HUD-approved certification form (HUD-5382,
Certification of Domestic Violence, Dating Violence, Sexual Assault, or
Stalking), which must include the name of the perpetrator only if the name of the
perpetrator is safe to provide and is known to the victim. The form may be filled
out and submitted on behalf of the victim.
b. A federal, state, tribal, territorial, or local police report or court record, or an
administrative record
c. Documentation signed by a person who has assisted the victim in addressing
domestic violence, dating violence, sexual assault, or stalking, or the effects of
such abuse. This person may be an employee, agent, or volunteer of a victim
service provider, an attorney; a mental health professional; or a medical
professional. The person signing the documentation must attest under penalty of
perjury to the person’s belief that the incidents in question are bona fide
incidents of abuse. The victim must also sign the documentation.
The PHA may not require third-party documentation (forms 2 and 3) in addition to certification
(form 1), except as specified below under “Conflicting Documentation,” nor may it require
certification in addition to third-party documentation [VAWA final rule].
PHA Policy
Any request for documentation of domestic violence, dating violence, sexual assault, or
stalking will be in writing, will specify a deadline of 14 business days following receipt of
the request, will describe the three forms of acceptable documentation, will provide explicit
instructions on where and to whom the documentation must be submitted, and will state the
consequences for failure to submit the documentation or request an extension in writing by
the deadline. In determining whether to extend the deadline, the PHA will consider factors
that may contribute to the victim’s inability to provide documentation in a timely manner,
including cognitive limitations, disabilities, limited English proficiency, absence from the
unit, administrative delays, the danger of further violence, and the victim’s need to address
health or safety issues.
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The PHA may, in its discretion, extend the deadline for 10 business days. In determining
whether to extend the deadline, the PHA will consider factors that may contribute to the
victim’s inability to provide documentation in a timely manner, including cognitive
limitations, disabilities, limited English proficiency, absence from the unit, administrative
delays, the danger of further violence, and the victim’s need to address health or safety
issues. Any extension granted by the PHA will be in writing.
Once the victim provides documentation, the PHA will acknowledge receipt of the
documentation within 10 business days.
Conflicting Documentation [24 CFR 5.2007(e)]
In cases where the PHA 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
household members as the perpetrator, the PHA may determine which is the true victim by
requiring each to provide acceptable third-party documentation, as described above (forms 2 and 3).
The PHA may also request third-party documentation when submitted documentation contains
information that conflicts with existing information already available to the PHA. Individuals have
30 calendar days to return third-party verification to the PHA. If the PHA does not receive third-
party documentation, and the PHA will deny or terminate assistance as a result, the PHA must
hold separate hearings for the tenants [Notice PIH 2017-08].
The PHA must honor any court orders issued to protect the victim or to address the distribution of
property.
PHA Policy
If presented with conflicting certification documents from members of the same household,
the PHA will attempt to determine which is the true victim by requiring each of them to
provide third-party documentation in accordance with 24 CFR 5.2007(e) and by following
any HUD guidance on how such determinations should be made.
When requesting third-party documents, the PHA will provide contact information for local
domestic violence and legal aid offices. In such cases, applicants or tenants will be given 30
calendar days from the date of the request to provide such documentation.
If the PHA does not receive third-party documentation within the required timeframe (and
any extensions) the PHA will deny VAWA protections and will notify the applicant or
tenant in writing of the denial. If, as a result, the applicant or tenant is denied or terminated
from the program, the PHA will hold separate hearings for the applicants or tenants.
Discretion to Require No Formal Documentation [24 CFR 5.2007(d)]
The PHA has the discretion to provide benefits to an individual based solely on the individual’s
statement or other corroborating evidence—i.e., without requiring formal documentation of abuse
in accordance with 24 CFR 5.2007(b). HUD recommends documentation in a confidential manner
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when a verbal statement or other evidence is accepted.
PHA Policy
If the PHA accepts an individual’s statement or other corroborating evidence (as determined
by the victim) of domestic violence, dating violence, sexual assault, or stalking, the PHA
will document acceptance of the statement or evidence in the individual’s file.
Failure to Provide Documentation [24 CFR 5.2007(c)]
In order to deny relief for protection under VAWA, a PHA must provide the individual requesting
relief with a written request for documentation of abuse. If the individual fails to provide the
documentation within 14 business days from the date of receipt, or such longer time as the PHA
may allow, the PHA may deny relief for protection under VAWA.
Immigration Status/Self-Petitioner (PIH Notice 2017-02)
A “Self-Petitioner” is a category of battered noncitizens seeking legal permanent resident status
without the cooperation or knowledge of their abusive relative. A “VAWA Self-Petitioner” is a
category of battered noncitizens seeking VAWA-related relief and other VAWA-related petitions or
applications for lawful permanent resident status.
PIH Notice 2017-02 explains the procedures that COCHRD must follow when an applicant or
resident/tenant requests admission or continued residency as a result of being a VAWA self-
petitioner
A.
In accordance with Section 214 of the Housing and Community Development Act of 1980,
HUD may not allow financial assistance to ineligible non-citizens, but assistance must not
be denied while verifying immigration status or appeal of a determination as to satisfactory
immigration status is pending.
B.
HUD has determined that self-petitioners can indicate that they are in “satisfactory
immigration status” when applying for assistance or continued assistance from Section
214covered housing providers. “Satisfactory immigration status” means an immigration
status which does not make the individual ineligible for financial assistance. After verifying
such immigration status in the Department of Homeland Security (DHS) Systematic Alien
Verification for Entitlements (SAVE) System, the COCHRD will make a final
determination as to the self-petitioner’s eligibility for assistance.
C.
COCHRD will not deny, reduce, or terminate the assistance of a VAWA Self-Petitioner
who claims “satisfactory immigration status”. COCHRD will verify that the applicant or
participant is a self-petitioner by utilizing the SAVE system to verify immigration status.
D.
All protections afforded under VAWA apply to the self-petitioner throughout the
verification process.
E.
Not every noncitizen victim who has been subjected to battery or extreme cruelty will
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qualify under these procedures. In order to qualify, the noncitizen victim must have been
battered or subjected to extreme cruelty by their spouse or parent, who is a U.S. citizen or
LPR. COCHRD may receive a petition at any time, but submissions will most likely be
related to a request for VAWA protections pursuant to 24 CFR Part 5 Subpart L (e.g. with a
request for an emergency transfer or family breakup resulting from domestic violence,
dating violence, sexual assault, or stalking.
F.
COCHRD will follow the steps outlined in PIH Notice 2017-02 to complete verification.
16-IX.E. Confidentiality [24 CFR 5.2007(b)(4)]
All information provided to the PHA regarding domestic violence, dating violence, sexual assault,
or stalking, including the fact that an individual is a victim of such violence or stalking, must be
retained in confidence. This means that the PHA (1) may not enter the information into any shared
database, (2) may not allow employees or others to access the information unless they are explicitly
authorized to do so and have a need to know the information for purposes of their work, and (3)
may not provide the information to any other entity or individual, except to the extent that the
disclosure is (a) requested or consented to by the individual in writing, (b) required for use in an
eviction proceeding, or (c) otherwise required by applicable law.
PHA Policy
If disclosure is required for use in an eviction proceeding or is otherwise required by
applicable law, the PHA will inform the victim before disclosure occurs so that safety risks
can be identified and addressed.
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Exhibit 16-1: Notice of Occupancy Rights Under the Violence Against Women Act
City of Chandler Housing and Redevelopment Division
Notice of Occupancy Rights under the Violence Against Women Act
To all Tenants and Applicants
The Violence Against Women Act (VAWA) provides protections for victims of domestic violence, dating
violence, sexual assault, or stalking. VAWA protections are not only available to women, but are available
equally to all individuals regardless of sex, gender identity, or sexual orientation. The U.S. Department of
Housing and Urban Development (HUD) is the Federal agency that oversees that public housing and
housing choice voucher is in compliance with VAWA. This notice explains your rights under VAWA. A
HUD-approved certification form is attached to this notice. You can fill out this form to show that you are
or have been a victim of domestic violence, dating violence, sexual assault, or stalking, and that you wish to
use your rights under VAWA.”
Protections for Applicants
If you otherwise qualify for assistance under public housing or housing choice voucher, you cannot be
denied admission or denied assistance because you are or have been a victim of domestic violence, dating
violence, sexual assault, or stalking.
Protections for Tenants
If you are receiving assistance under public housing or housing choice voucher, you may not be denied
assistance, terminated from participation, or be evicted from your rental housing because you are or have
been a victim of domestic violence, dating violence, sexual assault, or stalking.
Also, if you or an affiliated individual of yours is or has been the victim of domestic violence, dating
violence, sexual assault, or stalking by a member of your household or any guest, you may not be denied
rental assistance or occupancy rights under public housing or housing choice voucher solely on the basis of
criminal activity directly relating to that domestic violence, dating violence, sexual assault, or stalking.
Affiliated individual means your spouse, parent, brother, sister, or child, or a person to whom you stand in
the place of a parent or guardian (for example, the affiliated individual is in your care, custody, or control);
or any individual, tenant, or lawful occupant living in your household.
Removing the Abuser or Perpetrator from the Household
The City of Chandler Housing and Redevelopment Division (COCHRD) may divide (bifurcate) the lease in
order to evict the individual or terminate the assistance of the individual who has engaged in criminal
activity (the abuser or perpetrator) directly relating to domestic violence, dating violence, sexual assault, or
stalking.
If the COCHRD chooses to remove the abuser or perpetrator, COCHRD may not take away the rights of
eligible tenants to the unit or otherwise punish the remaining tenants. If the evicted abuser or perpetrator
was the sole tenant to have established eligibility for assistance under the program, COCHRD must allow
the tenant who is or has been a victim and other household members to remain in the unit for a period of
time, in order to establish eligibility under the program or under another HUD housing program covered by
VAWA, or, find alternative housing.
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In removing the abuser or perpetrator from the household, COCHRD must follow Federal, State, and local
eviction procedures. In order to divide a lease, COCHRD may, but is not required to, ask you for
documentation or certification of the incidences of domestic violence, dating violence, sexual assault, or
stalking.
Moving to Another Unit
Upon your request, COCHRD may permit you to move to another unit, subject to the availability of other
units, and still keep your assistance. In order to approve a request, COCHRD may ask you to provide
documentation that you are requesting to move because of an incidence of domestic violence, dating
violence, sexual assault, or stalking. If the request is a request for emergency transfer, the housing provider
may ask you to submit a written request or fill out a form where you certify that you meet the criteria for an
emergency transfer under VAWA. The criteria are:
1. You are a victim of domestic violence, dating violence, sexual assault, or stalking. If COCHRD does
not already have documentation that you are a victim of domestic violence, dating violence, sexual assault,
or stalking, COCHRD may ask you for such documentation, as described in the documentation section
below.
2. You expressly request the emergency transfer. COCHRD may choose to require that you submit a form,
or may accept another written or oral request.
3. You reasonably believe you are threatened with imminent harm from further violence if you remain in
your current unit. This means you have a reason to fear that if you do not receive a transfer you would
suffer violence in the very near future.
OR
You are a victim of sexual assault and the assault occurred on the premises during the 90-calendar-day
period before you request a transfer. If you are a victim of sexual assault, then in addition to qualifying for
an emergency transfer because you reasonably believe you are threatened with imminent harm from further
violence if you remain in your unit, you may qualify for an emergency transfer if the sexual assault
occurred on the premises of the property from which you are seeking your transfer, and that assault
happened within the 90-calendar-day period before you expressly request the transfer.
COCHRD will keep confidential requests for emergency transfers by victims of domestic violence, dating
violence, sexual assault, or stalking, and the location of any move by such victims and their families.
COCHRD’s emergency transfer plan provides further information on emergency transfers, and COCHRD
must make a copy of its emergency transfer plan available to you if you ask to see it.
Documenting You Are or Have Been a Victim of Domestic Violence, Dating Violence, Sexual Assault
or Stalking
COCHRD can, but is not required to, ask you to provide documentation to “certify” that you are or have
been a victim of domestic violence, dating violence, sexual assault, or stalking. Such request from
COCHRD must be in writing, and COCHRD must give you at least 14 business days (Saturdays, Sundays,
and Federal holidays do not count) from the day you receive the request to provide the documentation.
COCHRD may, but does not have to, extend the deadline for the submission of documentation upon your
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request.
You can provide one of the following to COCHRD as documentation. It is your choice which of the
following to submit if the COCHRD asks you to provide documentation that you are or have been a victim
of domestic violence, dating violence, sexual assault, or stalking.
A complete HUD-approved certification form given to you by COCHRD with this notice, that documents
an incident of domestic violence, dating violence, sexual assault, or stalking. The form will ask for your
name, the date, time, and location of the incident of domestic violence, dating violence, sexual assault, or
stalking, and a description of the incident. The certification form provides for including the name of the
abuser or perpetrator if the name of the abuser or perpetrator is known and is safe to provide.
A record of a Federal, State, tribal, territorial, or local law enforcement agency, court, or administrative
agency that documents the incident of domestic violence, dating violence, sexual assault, or stalking.
Examples of such records include police reports, protective orders, and restraining orders, among others.
A statement, which you must sign, along with the signature of an employee, agent, or volunteer of a victim
service provider, an attorney, a medical professional or a mental health professional (collectively,
“professional”) from whom you sought assistance in addressing domestic violence, dating violence, sexual
assault, or stalking, or the effects of abuse, and with the professional selected by you attesting under penalty
of perjury that he or she believes that the incident or incidents of domestic violence, dating violence, sexual
assault, or stalking are grounds for protection.
Any other statement or evidence that the COCHRD has agreed to accept.
If you fail or refuse to provide one of these documents within the 14 business days, the COCHRD does not
have to provide you with the protections contained in this notice.
If the COCHRD receives conflicting evidence that an incident of domestic violence, dating violence, sexual
assault, or stalking has been committed (such as certification forms from two or more members of a
household each claiming to be a victim and naming one or more of the other petitioning household
members as the abuser or perpetrator), COCHRD has the right to request that you provide third-party
documentation within thirty 30 calendar days in order to resolve the conflict. If you fail or refuse to provide
third-party documentation where there is conflicting evidence, COCHRD does not have to provide you with
the protections contained in this notice.
Confidentiality
COCHRD must keep confidential any information you provide related to the exercise of your rights under
VAWA, including the fact that you are exercising your rights under VAWA.
COCHRD must not allow any individual administering assistance or other services on behalf of COCHRD
(for example, employees and contractors) to have access to confidential information unless for reasons that
specifically call for these individuals to have access to this information for applicable Federal, State, or
local law.
COCHRD must not enter your information into any shared database or disclose your information to any
other entity or individual. COCHRD, however, may disclose the information provided if:
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You give written permission to COCHRD to release the information on a time limited basis.
COCHRD needs to use the information in an eviction or termination proceeding, such as to evict your
abuser or perpetrator or terminate your abuser or perpetrator from assistance under this program.
A law requires COCHRD or your landlord to release the information.
VAWA does not limit COCHRD’s duty to honor court orders about access to or control of the property.
This includes orders issued to protect a victim and orders dividing property among household members in
cases where a family breaks up.
Reasons a Tenant Eligible for Occupancy Rights under VAWA May Be Evicted or Assistance May
Be Terminated
You can be evicted and your assistance can be terminated for serious or repeated lease violations that are
not related to domestic violence, dating violence, sexual assault, or stalking committed against you.
However, COCHRD cannot hold tenants who have been victims of domestic violence, dating violence,
sexual assault, or stalking to a more demanding set of rules than it applies to tenants who have not been
victims of domestic violence, dating violence, sexual assault, or stalking.
The protections described in this notice might not apply, and you could be evicted and your assistance
terminated, if COCHRD can demonstrate that not evicting you or terminating your assistance would present
a real physical danger that:
1.
Would occur within an immediate time frame, and
2.
Could result in death or serious bodily harm to other tenants or those who work on the property.
If COCHRD can demonstrate the above, COCHRD should only terminate your assistance or evict you if
there are no other actions that could be taken to reduce or eliminate the threat.
Other Laws
VAWA does not replace any Federal, State, or local law that provides greater protection for victims of
domestic violence, dating violence, sexual assault, or stalking. You may be entitled to additional housing
protections for victims of domestic violence, dating violence, sexual assault, or stalking under other Federal
laws, as well as under State and local laws.
Non-Compliance with The Requirements of This Notice
You may report a covered COCHRD’s violations of these rights and seek additional assistance, if needed,
by contacting or filing a complaint with Amy Jacobson, Housing and Redevelopment Manager or HUD’s
Phoenix field office.
For Additional Information
You may view a copy of HUD’s final VAWA rule at https://www.gpo.gov/fdsys/pkg/FR-2016-11-
16/pdf/2016-25888.pdf. Additionally, COCHRD must make a copy of HUD’s VAWA regulations available
to you if you ask to see them. For questions regarding VAWA, please contact your housing specialist.
For help regarding an abusive relationship, you may call the National Domestic Violence Hotline at 1-800-
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799-7233 or, for persons with hearing impairments, 1-800-787-3224 (TTY). You may also contact 2-1-1
within Arizona or at https://211arizona.org/domestic-violence/
For tenants who are or have been victims of stalking seeking help may visit the National Center for Victims
of Crime’s Stalking Resource Center at https://www.victimsofcrime.org/our-programs/stalking-resource-
center.
For help regarding sexual assault, you may contact 2-1-1 within Arizona or at
https://211arizona.org/domestic-violence/.
Victims of stalking seeking help may contact 2-1-1 within Arizona or at https://211arizona.org/domestic-
violence/
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Exhibit 16-2: Certification of Domestic Violence, Dating Violence, Sexual Assault, or Stalking and
Alternate Documentation, Form HUD-5382
CERTIFICATION OF
U.S. Department of Housing OMB Approval No. 2577-0286
DOMESTIC VIOLENCE, and Urban Development Exp. 06/30/2017
DATING VIOLENCE,
SEXUAL ASSAULT, OR STALKING,
AND ALTERNATE DOCUMENTATION
Purpose of Form: The Violence Against Women Act (“VAWA”) protects applicants, tenants, and
program participants in certain HUD programs from being evicted, denied housing assistance, or terminated
from housing assistance based on acts of domestic violence, dating violence, sexual assault, or stalking
against them. Despite the name of this law, VAWA protection is available to victims of domestic violence,
dating violence, sexual assault, and stalking, regardless of sex, gender identity, or sexual orientation.
Use of This Optional Form: If you are seeking VAWA protections from your housing provider, your
housing provider may give you a written request that asks you to submit documentation about the incident
or incidents of domestic violence, dating violence, sexual assault, or stalking.
In response to this request, you or someone on your behalf may complete this optional form and submit it to
your housing provider, or you may submit one of the following types of third-party documentation:
(1) A document signed by you and an employee, agent, or volunteer of a victim service provider, an
attorney, or medical professional, or a mental health professional (collectively, “professional”) from whom
you have sought assistance relating to domestic violence, dating violence, sexual assault, or stalking, or the
effects of abuse. The document must specify, under penalty of perjury, that the professional believes the
incident or incidents of domestic violence, dating violence, sexual assault, or stalking occurred and meet the
definition of “domestic violence,” “dating violence,” “sexual assault,” or “stalking” in HUD’s regulations at
24 CFR 5.2003.
(2) A record of a Federal, State, tribal, territorial or local law enforcement agency, court, or administrative
agency; or
(3) At the discretion of the housing provider, a statement or other evidence provided by the applicant or
tenant.
Submission of Documentation: The time period to submit documentation is 14 business days from the
date that you receive a written request from your housing provider asking that you provide documentation
of the occurrence of domestic violence, dating violence, sexual assault, or stalking. Your housing provider
may, but is not required to, extend the time period to submit the documentation, if you request an extension
of the time period. If the requested information is not received within 14 business days of when you
received the request for the documentation, or any extension of the date provided by your housing provider,
your housing provider does not need to grant you any of the VAWA protections. Distribution or issuance of
this form does not serve as a written request for certification.
Confidentiality: All information provided to your housing provider concerning the incident(s) of domestic
violence, dating violence, sexual assault, or stalking shall be kept confidential and such details shall not be
entered into any shared database. Employees of your housing provider are not to have access to these
details unless to grant or deny VAWA protections to you, and such employees may not disclose this
information to any other entity or individual, except to the extent that disclosure is: (i) consented to by you
16-48
in writing in a time-limited release; (ii) required for use in an eviction proceeding or hearing regarding
termination of assistance; or (iii) otherwise required by applicable law.
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TO BE COMPLETED BY OR ON BEHALF OF THE VICTIM OF DOMESTIC VIOLENCE,
DATING VIOLENCE, SEXUAL ASSAULT, OR STALKING
1. Date the written request is received by victim: __________________________________________
2. Name of victim: __________________________________________________________________
3. Your name (if different from victim’s):________________________________________________
4. Name(s) of other family member(s) listed on the lease:
__________________________________________________________________________________
5. Residence of victim: ______________________________________________________________
6. Name of the accused perpetrator (if known and can be safely disclosed):
_________________________________________________________________________________
7. Relationship of the accused perpetrator to the victim:____________________________________
8. Date(s) and times(s) of incident(s) (if known):
_________________________________________________________________________________
_________________________________________________________________________________
10. Location of incident(s): __________________________________________________________
This is to certify that the information provided on this form is true and correct to the best of my knowledge
and recollection, and that the individual named above in Item 2 is or has been a victim of domestic
violence, dating violence, sexual assault, or stalking. I acknowledge that submission of false information
could jeopardize program eligibility and could be the basis for denial of admission, termination of
assistance, or eviction.
Signature _______________________________ Signed on (Date) _______________________
Public Reporting Burden: The public reporting burden for this collection of information is estimated to
average 1 hour per response. This includes the time for collecting, reviewing, and reporting the data. The
information provided is to be used by the housing provider to request certification that the applicant or
tenant is a victim of domestic violence, dating violence, sexual assault, or stalking. The information is
subject to the confidentiality requirements of VAWA. This agency may not collect this information, and
you are not required to complete this form, unless it displays a currently valid Office of Management and
Budget control number.
In your own words, briefly describe the incident(s):
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
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Exhibit 16-3: Emergency Transfer Plan for Victims of Domestic Violence, Dating Violence, Sexual
Assault, or Stalking
Attachment: Certification form HUD-5382
City of Chandler Housing and Redevelopment Division
Emergency Transfer Plan for Victims of Domestic Violence, Dating Violence, Sexual
Assault, or Stalking
Housing Choice Voucher Program
Emergency Transfers
The PHA is concerned about the safety of its tenants, and such concern extends to tenants who are
victims of domestic violence, dating violence, sexual assault, or stalking. In accordance with the
Violence Against Women Act (VAWA),4 the PHA allows tenants who are victims of domestic
violence, dating violence, sexual assault, or stalking to request an emergency transfer from the
tenant’s current unit to another unit. The ability to request a transfer is available regardless of sex,
gender identity, or sexual orientation.5 The ability of the PHA to honor such request for tenants
currently receiving assistance, however, may depend upon a preliminary determination that the
tenant is or has been a victim of domestic violence, dating violence, sexual assault, or stalking, and
on whether the PHA has another dwelling unit that is available and is safe to offer the tenant for
temporary or more permanent occupancy.
4Despite the name of this law, VAWA protection is available to all victims of domestic violence,
dating violence, sexual assault, and stalking, regardless of sex, gender identity, or sexual orientation.
5Housing providers cannot discriminate on the basis of any protected characteristic, including race,
color, national origin, religion, sex, familial status, disability, or age. HUD-assisted and HUD-
insured housing must be made available to all otherwise eligible individuals regardless of actual or
perceived sexual orientation, gender identity, or marital status.
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This plan identifies tenants who are eligible for an emergency transfer, the documentation needed
to request an emergency transfer, confidentiality protections, how an emergency transfer may
occur, and guidance to tenants on safety and security. This plan is based on a model emergency
transfer plan published by the U.S. Department of Housing and Urban Development (HUD), the
federal agency that oversees that the public housing and housing choice voucher (HCV)
programs are in compliance with VAWA.
Eligibility for Emergency Transfers
A tenant who is a victim of domestic violence, dating violence, sexual assault, or stalking, as
provided in HUD’s regulations at 24 CFR part 5, subpart L, is eligible for an emergency transfer if
the tenant reasonably believes that there is a threat of imminent harm from further violence if the
tenant remains within the same unit. If the tenant is a victim of sexual assault, the tenant may also
be eligible to transfer if the sexual assault occurred on the premises within the 90-calendar- day
period preceding a request for an emergency transfer.
A tenant requesting an emergency transfer must expressly request the transfer in accordance with
the procedures described in this plan.
Tenants who are not in good standing may still request an emergency transfer if they meet the
eligibility requirements in this section.
Emergency Transfer Request Documentation
To request an emergency transfer, the tenant shall notify the PHA’s management office and submit
a written request for a transfer to any PHA office. The PHA will provide reasonable
accommodations to this policy for individuals with disabilities. The tenant’s written request for an
emergency transfer should include either:
1. A statement expressing that the tenant reasonably believes that there is a threat of
imminent harm from further violence if the tenant were to remain in the same dwelling
unit assisted under the PHA’s program; OR
2. A statement that the tenant was a sexual assault victim and that the sexual assault
occurred on the premises during the 90-calendar-day period preceding the tenant’s
request for an emergency transfer.
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Confidentiality
The PHA will keep confidential any information that the tenant submits in requesting an emergency
transfer, and information about the emergency transfer, unless the tenant gives the PHA written
permission to release the information on a time-limited basis, or disclosure of the information is
required by law or required for use in an eviction proceeding or hearing regarding termination of
assistance from the covered program. This includes keeping confidential the new location of the
dwelling unit of the tenant, if one is provided, from the person or persons that committed an act of
domestic violence, dating violence, sexual assault, or stalking against the tenant. See the Notice of
Occupancy Rights under the Violence against Women Act for All Tenants for more information
about the PHA’s responsibility to maintain the confidentiality of information related to incidents of
domestic violence, dating violence, sexual assault, or stalking.
Emergency Transfer Timing and Availability
The PHA cannot guarantee that a transfer request will be approved or how long it will take to
process a transfer request. The PHA will, however, act as quickly as possible to move a tenant who
is a victim of domestic violence, dating violence, sexual assault, or stalking to another unit, subject
to availability and safety of a unit. If a tenant reasonably believes a proposed transfer would not be
safe, the tenant may request a transfer to a different unit. If a unit is available, the transferred tenant
must agree to abide by the terms and conditions that govern occupancy in the unit to which the
tenant has been transferred. The PHA may be unable to transfer a tenant to a particular unit if the
tenant has not or cannot establish eligibility for that unit.
If the PHA has no safe and available units for which a tenant who needs an emergency transfer is
eligible, the PHA will assist the tenant in identifying other housing providers who may have safe
and available units to which the tenant could move. At the tenant’s request, the PHA will also assist
tenants in contacting the local organizations offering assistance to victims of domestic violence,
dating violence, sexual assault, or stalking that are attached to this plan.
Emergency Transfers: Housing Choice Voucher (HCV) Program
Tenant-based assistance: If you are a participant in the tenant-based HCV program and request an
emergency transfer as described in this plan, the PHA will assist you to move to a safe unit quickly
using your existing voucher assistance. The PHA will make exceptions to program regulations
restricting moves as required.
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At your request, the PHA will refer you to organizations that may be able to further assist you.
Emergency transfers under VAWA will take priority over waiting list admissions for these types of
assistance.
You may also request an emergency transfer under the following programs for which you are
required to apply:
• Public housing program
• PBV assistance in another development not owned by the PHA
• Other programs administered by the PHA
Emergency transfers will not take priority over waiting list admissions for these programs. At your
request, the PHA will refer you to organizations that may be able to further assist you.
Safety and Security of Tenants
Pending processing of the transfer and the actual transfer, if it is approved and occurs, the tenant is
urged to take all reasonable precautions to be safe.
Tenants who are or have been victims of domestic violence are encouraged to contact the National
Domestic Violence Hotline at 1-800-799-7233, or a local domestic violence shelter, for assistance in
creating a safety plan. For persons with hearing impairments, that hotline can be accessed by calling
1-800-787-3224 (TTY).
Tenants who have been victims of sexual assault may call the Rape, Abuse, and Incest National
Network’s National Sexual Assault Hotline at 1-800-656-HOPE, or visit the online hotline at
https://ohl.rainn.org/online/.
Tenants who are or have been victims of stalking seeking help may visit the National Center for
Victims of Crime’s Stalking Resource Center at https://www.victimsofcrime.org/our-
programs/stalking-resource-center.
Attachment: Local organizations offering assistance to victims of domestic violence,
dating violence, sexual assault, or stalking.
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Exhibit 16-4: Emergency Transfer Plan for Certain Victims of Domestic Violence, Dating Violence,
Sexual Assault, or Stalking, Form HUD-5383
EMERGENCY TRANSFER U.S. Department of Housing OMB Approval No. 2577-0286
REQUEST FOR CERTAIN and Urban Development Exp. 06/30/2017
VICTIMS OF DOMESTIC
VIOLENCE, DATING VIOLENCE,
SEXUAL ASSAULT, OR STALKING
Purpose of Form: If you are a victim of domestic violence, dating violence, sexual assault, or
stalking, and you are seeking an emergency transfer, you may use this form to request an emergency
transfer and certify that you meet the requirements of eligibility for an emergency transfer under the
Violence Against Women Act (VAWA). Although the statutory name references women, VAWA
rights and protections apply to all victims of domestic violence, dating violence, sexual assault or
stalking. Using this form does not necessarily mean that you will receive an emergency transfer. See
your housing provider’s emergency transfer plan for more information about the availability of
emergency transfers.
The requirements you must meet are:
(1) You are a victim of domestic violence, dating violence, sexual assault, or
stalking. If your housing provider does not already have documentation that you are
a victim of domestic violence, dating violence, sexual assault, or stalking, your
housing provider may ask you for such documentation. In response, you may submit
Form HUD-5382, or any one of the other types of documentation listed on that
Form.
(2) You expressly request the emergency transfer. Submission of this form
confirms that you have expressly requested a transfer. Your housing provider may
choose to require that you submit this form, or may accept another written or oral
request. Please see your housing provider’s emergency transfer plan for more details.
(3) You reasonably believe you are threatened with imminent harm from
further violence if you remain in your current unit. This means you have a reason
to fear that if you do not receive a transfer you would suffer violence in the very near
future.
OR
You are a victim of sexual assault and the assault occurred on the premises
during the 90-calendar-day period before you request a transfer. If you are a
victim of sexual assault, then in addition to qualifying for an emergency transfer
because you reasonably believe you are threatened with imminent harm from further
violence if you remain in your unit, you may qualify for an emergency transfer if the
sexual assault occurred on the premises of the property from which you are seeking
your transfer, and that assault happened within the 90-calendar- day period before
you submit this form or otherwise expressly request the transfer.
Submission of Documentation: If you have third-party documentation that demonstrates why you are
eligible for an emergency transfer, you should submit that documentation to your housing provider if
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it is safe for you to do so. Examples of third party documentation include, but are not limited to: a
letter or other documentation from a victim service provider, social worker, legal assistance provider,
pastoral counselor, mental health provider, or other professional from whom you have sought
assistance; a current restraining order; a recent court order or other court records; a law enforcement
report or records; communication records from the perpetrator of the violence or family members or
friends of the perpetrator of the violence, including emails, voicemails, text messages, and social
media posts.
Confidentiality: All information provided to your housing provider concerning the incident(s) of
domestic violence, dating violence, sexual assault, or stalking, and concerning your request for an
emergency transfer shall be kept confidential. Such details shall not be entered into any shared
database. Employees of your housing provider are not to have access to these details unless to grant or
deny VAWA protections or an emergency transfer to you. Such employees may not disclose this
information to any other entity or individual, except to the extent that disclosure is: (i) consented to by
you in writing in a time-limited release; (ii) required for use in an eviction proceeding or hearing
regarding termination of assistance; or (iii) otherwise required by applicable law.
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TO BE COMPLETED BY OR ON BEHALF OF THE PERSON REQUESTING A TRANSFER
1. Name of victim requesting an emergency transfer:
2. Your name (if different from victim’s)
3. Name(s) of other family member(s) listed on the lease:
4. Name(s) of other family member(s) who would transfer with the victim:
5. Address of location from which the victim seeks to transfer:
6. Address or phone number for contacting the victim:
7. Name of the accused perpetrator (if known and can be safely disclosed):
8. Relationship of the accused perpetrator to the victim:
9. Date(s), Time(s) and location(s) of incident(s):
10. Is the person requesting the transfer a victim of a sexual assault that occurred in the past
90 days on the premises of the property from which the victim is seeking a transfer? If yes,
skip question 11. If no, fill out question 11.
11. Describe why the victim believes they are threatened with imminent harm from further
violence if they remain in their current unit.
12. If voluntarily provided, list any third-party documentation you are providing along
with this notice:
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This is to certify that the information provided on this form is true and correct to the best of my
knowledge, and that the individual named above in Item 1 meets the requirement laid out on this
form for an emergency transfer. I acknowledge that submission of false information could
jeopardize program eligibility and could be the basis for denial of admission, termination of
assistance, or eviction.
Signature
Signed on (Date)
[Insert Name of Housing Provider]
NOTIFICATION OF YOUR RIGHTS AND
OBLIGATIONS UNDER THE VIOLENCE AGAINST
WOMEN ACT (VAWA)
VAWA provides protections for Section 8 Housing Choice Voucher (HCV) and PBV applicants,
tenants, and participants from being denied assistance on the basis or as a direct result of being a
victim of domestic violence, dating violence, sexual assault and stalking.
Purpose
Many of VAWA’s protections to victims of domestic violence, dating violence, sexual assault and
stalking involve action by the public housing agency (PHA), but some situations involve action by
owners of assisted housing. The purpose of this notice (herein called “Notice”) is to explain your
rights and obligations under VAWA, as an owner of housing assisted through [insert name of
housing provider] HCV program. Each component of this Notice also provides citations to HUD’s
applicable regulations.
Denial of Tenancy
Protections for applicants: Owners cannot deny tenancy based on the applicant having been or
currently being a victim of domestic violence, dating violence, sexual assault, or stalking. However,
the applicant must be otherwise eligible for tenancy. (See 24 Code of Federal Regulations (CFR)
982.452(b)(1).)
Eviction
Protections for HCV participants: Incidents or threats of domestic violence, dating violence, sexual
assault, or stalking will not be considered a serious or repeated lease violation by the victim, or
good cause to terminate the tenancy of the victim (24 CFR 5.2005(c)). Protection also applies to
criminal activity related directly to domestic violence, dating violence, sexual assault, or stalking,
conducted by a member of a tenant’s household or any guest or other person under the tenant’s
control, if the tenant or an affiliated individual of the tenant is the victim or threatened victim of
MODEL OWNER NOTIFICATION OF RIGHTS AND OBLIGATIONS
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such domestic violence, dating violence, sexual assault, or stalking (24 CFR 5.2005(b)(2)).
Limitations of VAWA protections:
a. Nothing in the VAWA Final Rule limits the authority of an owner, when notified of a court
order, to comply with a court order with respect to (24 CFR 5.2005(d)(1)):
1) The rights of access or control of property, including civil protection orders issued to protect a
victim of domestic violence, dating violence, sexual assault, or stalking; or
2) The distribution or possession of property among members of a household in a case.
b. Nothing in the VAWA Final Rule limits an owner from evicting a victim of domestic violence,
dating violence, sexual assault, or stalking for a lease violation that is not premised on an act of
domestic violence, dating violence, sexual assault, or stalking, as long as the owner does not subject
the victim to more demanding standards than other tenants when deciding whether to evict. (See 24
CFR 5.2005(d)(2).)
c. Nothing in the VAWA Final Rule limits an owner from evicting a tenant (including the victim
of domestic violence, dating violence, sexual assault, or stalking) if the owner can demonstrate an
actual and imminent threat to other tenants or those employed at or providing services to the
HCV property would be present if the tenant or lawful occupant is not evicted. (See 24 CFR
5.2005(d)(3).)
i. In this context, words, gestures, actions, or other indicators will be considered an “actual and
imminent threat” if they meet the following standards: An actual and imminent threat consists of 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. (See 24 CFR 5.2003.)
ii. Any eviction due to “actual and imminent threat” should be utilized by an owner only when there
are no other actions that could be taken to reduce or eliminate the threat, including, but not limited
to, transferring the victim to a different unit, barring the perpetrator from the property, contacting
law enforcement to increase police presence or develop other plans to keep the property safe, or
seeking other legal remedies to prevent the perpetrator from acting on a threat. Restrictions
predicated on public safety cannot be based on stereotypes, but must be tailored to particularized
concerns about individual residents. (See 24 CFR 5.2005(d)(4).)
Documentation of Domestic Violence, Dating Violence, Sexual Assault, or Stalking
If an applicant or tenant requests VAWA protection based on status as a victim of domestic
violence, dating violence, sexual assault, or stalking, the owner has the option to request that the
victim document or provide written evidence to demonstrate that the violence occurred. However,
nothing in HUD’s regulation requires a covered housing provider to request this documentation.
(See 24 CFR 5.2007(b)(3).)
If the owner chooses to request this documentation, the owner must make such request in writing.
The individual may satisfy this request by providing any one document type listed under 24 CFR
5.2007(b)(1):
a. Form HUD-55383 (Self-Certification Form); or
b. A document: 1) Signed by an employee, agent, or volunteer of a victim service provider, an
attorney, or medical professional or a mental health professional (collectively, “professional”)
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from whom the victim has sought assistance relating to domestic violence, dating violence, sexual
assault, or stalking, or the effects of abuse:
2) Signed by the applicant or tenant; and
3) That specifies, under penalty of perjury, that the professional believes in the occurrence of
the incident of domestic violence, dating violence, sexual assault, or stalking that is the ground
for protection and remedies under 24 CFR part 5, subpart L, and that the incident meets the
applicable definition of domestic violence, dating violence, sexual assault, or stalking under 24
CFR 5.2003; or
c. A record of a Federal, State, tribal, territorial or local law enforcement agency,
court, or administrative agency; or
d. At the discretion of a covered housing provider, a statement or other evidence provided
by the applicant or tenant.
The owner must accept any of the above items (a – c). The owner has discretion to accept a
statement or other evidence (d).
The owner is prohibited from requiring third-party documentation of the domestic violence,
dating violence, sexual assault, or stalking, unless the submitted documentation contains
conflicting information.
If the owner makes a written request for documentation, the owner may require submission of that
documentation within 14 business days after the date that the individual received the written
request for documentation. (24 CFR 5.2007(a)(2)). The owner may extend this time period at its
discretion.
During the 14 business day period and any granted extensions of that time, no adverse actions,
such as evictions or terminations, can be taken against the individual requesting VAWA
protection.
Once a victim provides documentation of domestic violence, dating violence, sexual assault, or
stalking, the owner is encouraged to acknowledge receipt of the documentation in a timely manner.
If the applicant or tenant fails to provide documentation that meets the criteria in 24 CFR 5.2007
within 14 business days after receiving the written request for that documentation or within the
designated extension period, nothing in VAWA Final Rule may be construed to limit the authority
of the covered housing provider to:
a. Deny admission by the applicant or tenant to the housing or program;
b. Deny assistance under the covered housing program to the applicant or tenant;
c. Terminate the participation of the tenant in the covered housing program; or
d. Evict the tenant, or a lawful occupant that commits a violation of a lease.
An individual’s failure to timely provide documentation of domestic violence, dating violence,
sexual assault, or stalking does not result in a waiver of the individual’s right to challenge the
denial of assistance or termination, nor does it preclude the individual’s ability to raise an
incident of domestic violence, dating violence, sexual assault, or stalking at eviction or
termination proceedings.
Moves
A victim of domestic violence, dating violence, sexual assault, or stalking may move in
violation of their lease if the move is required to protect their safety. If a move results in the
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termination of the Housing Assistance Payment Contract, the lease is automatically terminated.
Lease Bifurcation
Owners may choose to bifurcate a lease, or remove a household member from a lease in order to
evict, remove, terminate occupancy rights, or terminate assistance to such member who engages in
criminal activity directly relating to domestic violence, dating violence, sexual assault, or stalking
against an affiliated individual or other individual. (See 24 CFR 5.2009(a).) If an owner chooses to
bifurcate the lease, the owner must comply with the reasonable time to establish eligibility under
the covered housing program or find alternative housing following lease bifurcation provision in 24
CFR 5.2009(b). VAWA protections, including bifurcation, do not apply to guests or unreported
members of a household or anyone else residing in a household who is not a tenant.
Eviction, removal, termination of occupancy rights, or termination of assistance must be
effected in accordance with the procedures prescribed by federal, state, or local law for
termination of leases.
To avoid unnecessary delay in the bifurcation process, HUD recommends that owners seek
court-ordered eviction of the perpetrator pursuant to applicable laws. This process results in
the underlying lease becoming null and void once the owner regains possession of the unit.
The owner would then execute a new lease with the victim.
Evictions Due to “Actual and Imminent Threat” or Violations Not Premised on
Abuse The VAWA Final Rule generally prohibits eviction on the basis or as a direct result
of the fact that the applicant or tenant is or has been a victim of domestic violence, dating
violence, sexual assault, or stalking, if the applicant or tenant otherwise qualifies for
assistance, participation or occupancy. (See 24 CFR 5.2005.)
However, the VAWA Final Rule does not prohibit an owner from evicting a tenant for any
violation not premised on an act of domestic violence, dating violence, sexual assault, or
stalking that is in question against the tenant or an affiliated individual of the tenant. Nor
does the VAWA Final Rule prohibit an owner from evicting a tenant if the owner can
demonstrate an actual and imminent threat to other tenants or those employed at or
providing services to property of the owner would be present if that tenant or lawful
occupant is not evicted or terminated from assistance. (See 5.2005(d)(2) and (3).)
In order to demonstrate an actual and imminent threat to other tenants or employees at
the property, the covered housing provider must have objective evidence of words,
gestures, actions, or other indicators that meet the standards in the following
definition:
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. (See 24 CFR 5.2003 and 5.2005(d)(2).)
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Confidentiality
Any information submitted to a covered housing provider under 24 CFR 5.2007, including
the fact that an individual is a victim of domestic violence, dating violence, sexual assault,
or stalking, must be maintained in strict confidence by the covered housing provider. (See
24 CFR 5.2007(c).)
Employees of the owner (or those within their employ, e.g., contractors) must not have
access to the information unless explicitly authorized by the owner for reasons that
specifically call for these individuals to have access to this information under applicable
Federal, State, or local law (e.g., the information is needed by an employee to provide the
VAWA protections to the victim).
The owner must not enter this information into any shared database, or disclose this
information to any other entity or individual, except to the extent that disclosure is:
a. Requested or consented to in writing by the individual (victim) in a time-limited release;
b. Required for use in an eviction proceeding or hearing regarding termination of assistance from
the covered program; or
c. Otherwise required by applicable law.
When communicating with the victim, owners must take precautions to ensure compliance with
these confidentiality requirements.
Service Providers
[insert name of housing provider] has extensive relationships with local service
providers. [insert name of housing provider] staff are available to provide referrals to
shelters, counselors, and advocates. These resources are also provided in [insert name of
housing provider] Annual and 5-Year Plan, Administrative Plan, VAWA Notice of
Occupancy Rights, and Emergency Transfer Plan. A list of local service providers is
attached to this Notice.
Definitions
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.
Affiliated individual, with respect to an individual, means:
(1) A spouse, parent, brother, sister, or child of that individual, or a person to whom that
individual stands in the place of a parent or guardian (for example, the affiliated individual is a
person in the care, custody, or control of that individual); or
(2) Any individual, tenant, or lawful occupant living in the household of that individual.
Bifurcate means to divide a lease as a matter of law, subject to the permissibility of such
process under the requirements of the applicable HUD-covered program and State or local
law, such that certain tenants or lawful occupants can be evicted or removed and the
remaining tenants or lawful occupants can continue to reside in the unit under the same
lease requirements or as may be revised depending upon the eligibility for continued
occupancy of the remaining tenants and lawful occupants.
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Dating violence means violence committed by a person:
(1) Who is or has been in a social relationship of a romantic or intimate nature with the victim; and
(2) Where the existence of such a relationship shall be determined based on a consideration
of the following factors:
(i) The length of the relationship;
(ii) The type of relationship; and
(iii) The frequency of interaction between the persons involved in the relationship.
Domestic violence includes felony or misdemeanor crimes of violence committed by a
current or former spouse or intimate partner 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. The term
“spouse or intimate partner of the victim” 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
persons involved in the relationship.
Sexual assault means any nonconsensual sexual act proscribed by Federal, tribal, or State
law, including when the victim lacks capacity to consent.
Stalking means 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.
VAWA means the Violence Against Women Act of 1994, as amended (42 U.S.C. 13925 and 42
U.S.C. 14043e et seq.).
Attached:
Legal services and the domestic violence resources for the Metro area
Form HUD-5382 Certification of Domestic Violence, Dating Violence, Sexual Assault, or
Stalking [insert name of housing provider]
VAWA Notice of Occupancy Rights
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Chapter 17
Addendum to the HCV Administrative Plan Statement Regarding the Steps the PHA will Take to
Affirmatively Further Fair Housing.
The City of Chandler Housing and Redevelopment Division has completed an Analysis of
Impediments to Fair Housing detailing the existing conditions affecting housing opportunities and
defines strategies to create greater choices to all protected classes. The review has indicated the
greatest impediments to Fair Housing are lack of adequate income, which is closely correlated
with education and job opportunities, and the availability of affordable housing stock. Through the
resources available from HOME and CDBG funds and the on-going activities within the City, the
impediments can be analyzed and handled appropriately to further fair housing and to comply with
the Annual Action Plan and Consolidated Plan performance goals.
The City of Chandler has strong ties with conventional assisted housing and directly supports the
administration of the Section 8 Existing program practicing fair housing and equal opportunity in
finding units for HUD eligible applicants. The City has also implemented the Section 504
accessibility requirements to ensure City facilities are accessible and that administrative practice
does not have the unintentional effect of discriminating.
The Housing and Redevelopment office conducts activities to further the spirit of Fair Housing
Equal Opportunity (FHEO) by receiving and handling all calls where there is a potential risk of a
civil rights complaint. Information and assistance is provided to any caller who believes they have
a valid FHEO complaint. The office provides the necessary forms and information on how to best
locally resolve their complaint.
The Housing and Redevelopment office and the Neighborhood Resources Division will continue
to receive all potential civil rights complaints through our Fair Housing Hotline that is regularly
published in the City newsletter that is distributed through the water bill. Fair Housing posters are
displayed in English and Spanish in the Housing and Redevelopment office to ensure participants
know their rights. All CDBG recipients are required to display and provide Fair Housing
Information in their offices. The fair housing toll-free number (1-800-669-9777) for the Housing
Discrimination Hotline is listed in the HUD publications and is provided to callers on the City’s
Fair Housing Hotline. This includes the provision of access number via TTY through the federal
information relay service at (1-800-887-8339) for persons with hearing or speech impairments.
The City encourages minority and women owned businesses to bid on upcoming projects, and the
Housing and Redevelopment office will provide technical assistance in getting through the bid
process to any minority or women owned business that competes for federally funded projects.
The City also provides for non-discrimination in regular hiring practices. The City seeks to hire
minorities and women for any position for which an applicant is qualified and advertises widely
when recruiting for vacancies.
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Fair Housing outreach by the City of Chandler is an on-going responsibility of the Housing and
Redevelopment activities. Each April, the Mayor will formally recognize Fair Housing Month
Initiatives through Council Resolution. A copy of the proclamation is posted and mailed to over
200 landlords, management companies, rental companies and media outlets. A Fair Housing
booklet has also been developed in English and Spanish and has been distributed to, The Housing
Division through the Housing Choice Voucher Program briefing packet, The Chandler Chamber of
Commerce, Chandler Public Library and the City Manager’s Office. The City also offered a fair
housing workshop and invited all area landlords to attend. This workshop was free of charge.
The City will utilize key meeting areas such as the Housing and Redevelopment office to distribute
information on fair housing and keep the public informed of the active program Chandler is
conducting. The City has become fully aware of the existence, nature, extent and causes of all Fair
Housing problems and continues to develop the resources available to solve them. In conjunction
with outreach and education, the City of Chandler can continue to analyze and eliminate housing
discrimination, promote housing that is physically accessible, and overall to promote fair housing
choice for all persons.
With regard to specifics of the Housing Choice Voucher Program:
• The FSS program is marketed to all eligible Housing Choice Voucher (HCV) participants
when applicants are deemed eligible for the HCV program. The Division administering the
HCV program markets the FSS program to all eligible HCV participants regardless of
disability or proficiency in the English language. The current coordinator is bilingual and
is charged with making services available to individuals and families with special needs or
to aide in overcoming language barriers.
• The buildings that house the HCV program and associate activities are ADA compliant
either through handicapped modifications or construction type.
• Communications that facilitate HCV applications and service delivery are accessible and
available is multiple formats, communication styles, and through individual translation.
Assistive services are available for persons with disabilities or special needs.
• As mentioned in our HCV administrative plan, the Housing Division recruits new landlords
in areas that offers choices to HCV participants and encourages HCV holder to pursue
landlords that met their needs regardless of whether the landlord has participated in the
HCV program before or not. Housing staff is always willing to speak with a new landlord
or meet with a landlord to provide information about FSS, HCV and sell our service
programs.
• The Housing Division has a web site that provides fair housing information containing
video clips, Resources for education and training about our affordable housing programs
and services. This resource makes it easier for information to be distributed to landlords,
HCV applicants and participants alike. This service has significantly expanded our ability
to communicate and reach more applicants, participants and landlords with information and
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services about all of our programs. There is menu of language translations built into the site that
makes translation of service information understandable.
Record-keeping for the Housing Division’s and related HCV programs track information that is
related to race, ethnicity, familial status, and to the extent allowed by law, disability status or
program participants.
Amy Jacobson
Amy Jacobson, Housing & Redevelopment. Mgr.
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Chapter 18
GLOSSARY
A. ACRONYMS USED IN HOUSING CHOICE VOUCHER (HCV) PROGRAM
AAF
Annual adjustment factor (published by HUD in the Federal Register and used to
compute annual rent adjustments)
ACC
Annual contributions contract
ADA
Americans with Disabilities Act of 1990
AIDS
Acquired immune deficiency syndrome
BR
Bedroom
CDBG
Community Development Block Grant (Program)
CFR
Code of Federal Regulations (published federal rules that define and implement
laws; commonly referred to as “the regulations”)
CPI
Consumer price index (published monthly by the Department of Labor as an
inflation indicator)
FDIC
Federal Deposit Insurance Corporation
FHA
Federal Housing Administration (HUD Office of Housing)
FHEO
Fair Housing and Equal Opportunity (HUD Office of Housing)
FICA
Federal Insurance Contributions Act (established Social Security taxes)
FMR
Fair market rent
FR
Federal Register
FSS
Family Self-Sufficiency (Program)
FY
Fiscal year
FYE
Fiscal year end
GAO
Government Accountability Office
GR
Gross rent
HA
Housing authority or housing agency
HAP
Housing assistance payment
HCV
Housing choice voucher
Formatted
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HQS
Housing quality standards.
HUD
Department of Housing and Urban Development
HUDCLIPS
HUD Client Information and Policy System
IG
(HUD Office of) Inspector General
IPA
Independent public accountant
IRA
Individual Retirement Account
IRS
Internal Revenue Service
JTPA
Job Training Partnership Act
LBP
Lead-based paint
LEP
Limited English proficiency
MSA
Metropolitan statistical area (established by the U.S. Census Bureau)
MTCS
Multi-family Tenant Characteristics System (now the Form HUD-50058 submodule
of the PIC system)
NOFA
Notice of funding availability
OGC
HUD’s Office of General Counsel
OMB
Office of Management and Budget
PASS
Plan for Achieving Self-Support
PHA
Public housing agency
PHRA
Public Housing Reform Act of 1998 (also known as the Quality Housing and Work
Responsibility Act)
PIC
PIH Information Center
PIH
(HUD Office of) Public and Indian Housing
PS
Payment standard
QC
Quality control
REAC
(HUD) Real Estate Assessment Center
RFP
Request for proposals
RFTA
Request for tenancy approval
RIGI
Regional inspector general for investigation (handles fraud and program abuse
matters for HUD at the regional office level)
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SEMAP
Section 8 Management Assessment Program
SRO
Single room occupancy
SSA
Social Security Administration
SSI
Supplemental security income
SWICA
State wage information collection agency
TANF
Temporary assistance for needy families
TR
Tenant rent
TTP
Total tenant payment
UA
Utility allowance
UFAS
Uniform Federal Accessibility Standards
UPCS-V
Uniform Physical Conditions System for Vouchers
URP
Utility reimbursement payment
VAWA
Violence Against Women Reauthorization Act of 2013
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B. GLOSSARY OF SUBSIDIZED HOUSING TERMS
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.
Accessible. The facility or portion of the facility can be approached, entered, and used by
individuals with physical handicaps.
Adjusted Income. Annual income, less allowable HUD deductions.
Adjusted Annual Income. Same as Adjusted Income.
Administrative fee. Fee paid by HUD to the PHA for administration of the program. See §982.152.
Administrative fee reserve (formerly “operating reserve”). Account established by PHA from
excess administrative fee income. The administrative fee reserve must be used for housing
purposes. See §982.155. Administrative fee reserves from FY 2004 and 2005 funding are
further restricted to activities related to the provision of tenant-based rental assistance
authorized under Section 8.
Administrative plan. The plan that describes PHA policies for administration of the tenant-based
programs. The Administrative Plan and any revisions must be approved by the PHA’s board
and included as a supporting document to the PHA Plan. See §982.54.
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.
Affiliated individual. With respect to an individual, a spouse, parent, brother, sister, or child of
that individual, or an individual 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
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.
Annual. Happening once a year.
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.
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.
Applicant (applicant family). A family that has applied for admission to a program but is not yet a
participant in the program.
Area Exception Rent. An amount that exceeds the published FMR. See §982.504(b).
“As-paid” States. States where the welfare agency adjusts the shelter and utility component of the
welfare grant in accordance with actual housing costs.
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Assets. (See Net Family Assets.)
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.
Biennial. Happening every two years.
Budget authority. An amount authorized and appropriated by the Congress for payment to HAs
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.
Child. A member of the family other than the family head or spouse who is under 18 years of age.
Child care expenses. 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.
Citizen. A citizen or national of the United States.
Cohead. An individual in the household who is equally responsible for the lease with the head of
household. A family may have a cohead or spouse but not both. A cohead never qualifies as a
dependent. The cohead must have legal capacity to enter into a lease.
Common space. In shared housing: Space available for use by the assisted family and other
occupants of the unit.
Computer match. The automated comparison of data bases containing records about individuals.
Confirmatory review. An on-site review performed by HUD to verify the management
performance of a PHA.
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.
Congregate housing. Housing for elderly persons or persons with disabilities that meets the
HQS/UPCS-V for congregate housing. A special housing type: see §982.606 to §982.609.
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.
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.
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Contract. (See Housing Assistance Payments Contract.)
Contract authority. The maximum annual payment by HUD to a PHA for a funding increment.
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 §982.619.
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.
Criminal Activity. Is any activity that may threaten the health, safety, or right to peaceful
enjoyment of the premises by other residents or persons residing in the immediate vicinity; or
Criminal activity that may threaten the health or safety of property owners and management
staff, and persons performing contract administration functions or other responsibilities on
behalf of the PHA (including a PHA employee or a PHA contractor, subcontractor, or agent).
‘Immediate vicinity’ means within a three-block radius of the premises. Examples of criminal
activity includes, but not limited to: Loitering, , Criminal Trespassing, Forgery, Identity Theft,
Discharge of Firearm, Criminal Damage, Indecent Exposure, Theft against any government
agency, Disorderly Conduct, Burglary, Harassment
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
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.
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.
Disabled family. A family whose head, spouse, or sole member is a person with disabilities; or two
or more persons with disabilities living together; or one or more persons with disabilities living
with one or more live-in aides.
Disabled person. See Person with Disabilities.
Displaced family. A family in which each member, or whose sole member, is a person displaced by
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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.
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, 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.
Domicile. The legal residence of the household head or spouse as determined in accordance with
State and local law.
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.
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 §5.603(c).
Effective date. The “effective date” of an examination or reexamination refers to: (i) in the case of
an examination for admission, the date of initial occupancy and (ii) in the case of
reexamination of an existing tenant, the date the redetermined tenant rent becomes effective.
Elderly family. A family whose head, spouse, or sole member is a person who is at least 62 years
of age; or 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.
Elderly Person. An individual who is at least 62 years of age.
Eligible Family. A family that is income eligible and meets the other requirements of the Act and
Part 5 of 24 CFR. See also family.
Employer Identification Number (EIN). The nine-digit taxpayer identifying number that is
assigned to an individual, trust, estate, partnership, association, company, or corporation.
Evidence of citizenship or eligible status. The documents which must be submitted to evidence
citizenship or eligible immigration status. (See §5.508(b).)
Extremely Low Income Family. A family whose annual income does not exceed the higher of 30
percent of area median income or the federal poverty level.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.
Fair Housing Act means title VIII of the Civil Rights Act of 1968, as amended by the Fair
Housing Amendments Act of 1988
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
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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.
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.
Family rent to owner. In the voucher program, the portion of rent to owner paid by the family.
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).
Family share. The portion of rent and utilities paid by the family. For calculation of family share,
see §982.515(a).
Family unit size. The appropriate number of bedrooms for a family, as determined by the PHA
under the PHA subsidy standards.
Federal agency. A department of the executive branch of the federal government.
Foster Child Care Payment. Payment to eligible households by state, local, or private agencies
appointed by the State, to administer payments for the care of foster children.
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). (CFR 5.603)
Funding increment. Each commitment of budget authority by HUD to a PHA under the
consolidated annual contributions contract for the PHA program.
Gender identity. Actual or perceived gender-related characteristics.
Gross rent. The sum of the rent to owner plus any utility allowance.
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 §982.610 to §982.614.
Handicap. Any condition or characteristic that renders a person an individual with handicaps. See
24CFR 8.3.
Handicap Assistance Expense. See “Disability Assistance Expense.”
HAP contract. Housing assistance payments contract. (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.
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Head of household. The adult member of the family who is the head of the household for purposes
of determining income eligibility and rent.
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.
Housing agency (HA). A State, county, municipality or other governmental entity or public body
(or agency or instrumentality thereof) authorized to engage in or assist in the development or
operation of low-income housing. (“PHA” and “HA” mean the same thing.)
Housing Quality Standards. The HUD minimum quality standards for housing assisted under the
voucher program.
HUD. The Department of Housing and Urban Development.
Imputed asset. Asset disposed of for less than Fair Market Value during two years preceding
examination or reexamination.
Imputed asset income. HUD passbook rate multiplied by the total cash value of assets. Calculation
used when net family assets exceed $5,000.
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.
Income. Income from all sources of each member of the household, as determined in accordance
with criteria established by HUD.
Income For Eligibility. Annual Income.
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.
Individual with handicaps. Any person who has a physical or mental impairment that substantially
limits one or more major life activities; has a record of such an impairment; or is regarded as
having such an impairment.
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.
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Initial payment standard. The payment standard at the beginning of the HAP contract term.
Initial rent to owner. The rent to owner at the beginning of the HAP contract term.
Jurisdiction. The area in which the PHA has authority under State and local law to administer the
program.
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.
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.
Life Threatening Condition (HQS)- (See Life Threatening Condition, Chapter 8, page 8-5;
Federal Register, 1/18/2017) HUD is defining life-threatening conditions as they apply to
HQS inspections, 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
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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 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
(10) f Any other condition identified by the administering PHA as life-threatening in the PHA's
administrative plan prior to this notice taking effect.
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.
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. Seee HCV GB p. 10-6
and 24 CFR 982.401.
Local Preference. A preference used by the PHA to select among applicant families.
Low-Income Family. A family whose income does not exceed 80% 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% for areas with unusually high or low
incomes.
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/UPCS-V . A special housing
type: see
§982.620 and §982.621.
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
§982.622 to §982.624.
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
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calculating adjusted income for medical expenses in excess of 3% of annual income.
Merger Date. October 1, 1999.
Minor. A member of the family household other than the family head or spouse, who is under 18
years of age.
Mixed family. A family whose members include those with citizenship or eligible immigration
status, and those without citizenship or eligible immigration status.
Monthly adjusted income. One twelfth of adjusted income.
Monthly income. One twelfth of annual income.
Mutual housing. Included in the definition of “cooperative.”
National. A person who owes permanent allegiance to the United States, for example, as a result of
birth in a United States territory or possession.
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.
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.
Noncitizen. A person who is neither a citizen nor national of the United States.
Non-Life Threatening For the purposes of implementing § 8(o)(8)(A)(ii) (HOTMA), 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. [Federal
Register, 1/18/201]
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.
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Overcrowded. A unit that does not meet the following HQS/UPCS-V space standards: (1) Provide
adequate space and security for the famly; and (2) Have at least one bedroom or
living/sleeping room for each two persons.
Office of General Counsel (OGC). The General Counsel of HUD.
Owner. Any person or entity with the legal right to lease or sublease a unit to a participant.
PHA Plan. The annual plan and the 5-year plan as adopted by the PHA and approved by HUD.
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.
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).
Payment standard. The maximum monthly assistance payment for a family assisted in the voucher
program (before deducting the total tenant payment by the family).
Persons With Disabilities. A person who has a disability as defined in 42 U.S.C. 423 or a
developmental disability as defined in 42 U.S.C. 6001. Also includes a person who is
determined, under HUD regulations, to have a physical or mental impairment that is expected
to be of long-continued and indefinite duration, substantially impedes the ability to live
independently, and is of such a nature that the ability to live independently could be improved
by more suitable housing conditions. For purposes of reasonable accommodation and program
accessibility for persons with disabilities, means and “individual with handicaps” as defined in
24 CFR 8.3. Definition does not exclude persons who have AIDS or conditions arising from
AIDS, but does not include a person whose disability is based solely on drug or alcohol
dependence (for low-income housing eligibility purposes). See “Individual with handicaps”
Portability. Renting a dwelling unit with Section 8 housing choice voucher outside the jurisdiction
of the initial PHA.
Premises. The building or complex in which the dwelling unit is located, including common areas
and grounds.
Private space. In shared housing: The portion of a contract unit that is for the exclusive use of an
assisted family.
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 Section 8
program, the “processing entity” is the “responsible entity.”
Project owner. The person or entity that owns the housing project containing the assisted dwelling
unit.
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.
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.
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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.
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.
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.
Remaining Member of Tenant Family. Person left in assisted housing who may or may not
normally qualify for assistance on own circumstances (i.e., an elderly spouse dies, leaving
widow age 47 who is not disabled).
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.
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 (“residency preference area”).
Residency Preference Area. The specified area where families must reside to qualify for a
residency preference.
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.
Row/Townhouse. Refers to duplex, quads, townhouse and multifamily.
Secretary. The Secretary of Housing and Urban Development.
Section 8. Section 8 of the United States Housing Act of 1937.
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.
Section 214. Section 214 of the Housing and Community Development Act of 1980, as amended
Section 214 covered programs is the collective term for the HUD programs to which the
restrictions imposed by Section 214 apply. These programs are set forth in §5.500.
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.
Set-up charges. In a manufactured home space rental: Charges payable by the family for
assembling, skirting and anchoring the manufactured home.
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)).
Sexual Orientation. Homosexuality, heterosexuality or bisexuality.
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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 §982.615 to §982.618.
Single Prson. A person living alone or intending to live alone.
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 §982.602 to §982.605.
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.
Special admission. Admission of an applicant that is not on the PHA waiting list or without
considering the applicant's waiting list position.
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).
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.
Spouse. The marriage partner of the head of household.
Stalking. To follow, pursue, or repeatedly commit acts with the intent to kill, injure, harass, or
intimidate; or to place under surveillance with the intent to kill, injure, harass, or intimidate
another person; and in the course of, or as a result of, such following, pursuit, surveillance, or
repeatedly committed acts, to place a person in reasonable fear of the death of, or serious
bodily injury to, or to cause substantial emotional harm to (1) that person, (2) a member of the
immediate family of that person, or (3) the spouse or intimate partner of that person.
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.
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.
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”.
Tenancy Addendum. For the Housing Choice Voucher Program, the lease language required by
HUD in the lease between the tenant and the owner.
Tenant. The person or persons (other than a live-in aide) who executes the lease as lessee of the
dwelling unit.
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Tenant rent to owner. See “Family rent to owner”.
Term of Lease. The amount of time a tenant agrees in writing to live in a dwelling unit.
Total Tenant Payment (TTP). The total amount the HUD rent formula requires the tenant to pay toward
rent and utilities.
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.
Utilities. Water, electricity, gas, other heating, refrigeration, cooking fuels, trash collection, and
sewage services. Telephone service is not included.
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.
Utility reimbursement. In the voucher program, the portion of the housing assistance payment
which exceeds the amount of rent to owner.
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.
Vacancy Loss Payments. (Applies only to pre-10/2/95 HAP Contracts in the Rental Certificate
Program). When a family vacates its unit in violation of its lease, the owner is eligible for 80%
of the contract rent for a vacancy period of up to one additional month, (beyond the month in
which the vacancy occurred) if s/he notifies the PHA as soon as s/he learns of the vacancy,
makes an effort to advertise the unit, and does not reject any eligible applicant except for good
cause.
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.
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.
Very Low Income Family. A low-income family whose annual income does not exceed 50% 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% 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.
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.
Voucher (Housing Choice Voucher). A document issued by a PHA to a family selected for
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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.
Voucher holder. A family holding a voucher with an unexpired term (search time).
Voucher program. The housing choice voucher program.
Waiting list. A list of families organized according to HUD regulations and PHA policy who are
waiting for a unit to become available.
Waiting list admission. An admission from the PHA waiting list.
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 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.