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The City of Chandler Housing and Redevelopment Department
Section 8 Housing Choice Voucher
Administrative Plan
20222023
Effective 07/01/20222023
2
Table of Contents
CHAPTER 1 ................................................................................................................................ 1-1
Overview of the Program and Plan ......................................................................................... 1-1
PART I: THE PHA ................................................................................................................. 1-2
1-I.A. Overview .................................................................................................................. 1-2
1-I.B. Organization and Structure of the PHA.................................................................... 1-2
1-I.C. PHA Mission ............................................................................................................ 1-2
1-I.D. The PHA’s Programs ............................................................................................... 1-3
1-I.E. The PHA’s Commitment to Ethics and Service ....................................................... 1-3
PART II. THE HOUSING CHOICE VOUCHER (HCV) PROGRAM ................................. 1-5
1-II.A. Overview and History of the Program .................................................................... 1-5
1-II.B. HCV Program Basics .............................................................................................. 1-6
1-II.C. The HCV Partnerships ............................................................................................ 1-6
1-II.D. Applicable Regulations ......................................................................................... 1-10
PART III: THE HCV ADMINISTRATIVE PLAN.............................................................. 1-11
1-III.A. Overview and Purpose of the Plan ...................................................................... 1-11
1-III.B. Contents of the Plan ............................................................................................. 1-11
1-III.C. Organization of the Plan ...................................................................................... 1-13
1-III.D. Updating and Revising the Plan .......................................................................... 1-13
CHAPTER 2 ................................................................................................................................ 2-1
Fair Housing and Equal Opportunity ...................................................................................... 2-1
PART I: NONDISCRIMINATION ........................................................................................ 2-2
2-I.A. Overview .................................................................................................................. 2-2
2-I.B. Nondiscrimination .................................................................................................... 2-2
PART II: POLICIES RELATED TO PERSONS WITH DISABILITIES ............................. 2-5
2-II.A. Overview ................................................................................................................. 2-5
2-II.B. Definition of Reasonable Accommodation ............................................................. 2-5
2-II.C. Request for an Accommodation .............................................................................. 2-6
2-II.D. Verification of Disability ........................................................................................ 2-6
3
2-II.E. Approval/Denial of a Requested Accommodation ................................................ 2-8
2-II.F. Program Accessibility for Persons with Hearing or Vision Impairments ............... 2-9
2-II.G. Physical Accessibility ............................................................................................. 2-9
2-II.H. Denial or Termination of Assistance .................................................................... 2-10
PART III: IMPROVING ACCESS TO SERVICES FOR PERSONS WITH LIMITED
ENGLISH PROFICIENCY (LEP) ............................................................................ 2-11
2-III.A. OVERVIEW ........................................................................................................ 2-11
2-III.B. Oral Interpretation................................................................................................ 2-11
2-III.C. Written Translation .............................................................................................. 2-13
2-III.D. Implementation Plan ............................................................................................ 2-14
CHAPTER 3 ................................................................................................................................ 3-1
Eligibility ................................................................................................................................ 3-1
PART I: DEFINITIONS OF FAMILY AND HOUSEHOLD MEMBERS ........................... 3-2
3-I.A. Overview .................................................................................................................. 3-2
3-I.B. Family and Household .............................................................................................. 3-2
3-I.C. Family Break-Up and Remaining Member of Tenant Family ................................. 3-3
3-I.D. Head of Household ................................................................................................... 3-4
3-I.E. Spouse, Co-head, and Other Adult ........................................................................... 3-4
3-I.F. Dependent ................................................................................................................ 3-5
3-I.G. Full-Time Student .................................................................................................... 3-5
3-I.H. Elderly and Near-Elderly Persons, and Elderly Family ........................................... 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........................................................................................... 3-8
3-I.M. Live-In Aide ............................................................................................................ 3-9
PART II: BASIC ELIGIBILITY CRITERIA ....................................................................... 3-11
3-II.A. INCOME ELIGIBILITY AND TARGETING ..................................................... 3-11
3-II.B. Citizenship or Eligible Immigration Status .......................................................... 3-12
3-II.C. Social Security Numbers] ..................................................................................... 3-14
3-II.D. Family Consent to Release of Information ........................................................... 3-15
3-II.E. Students Enrolled in Institutions of Higher Education ] ...................................... 3-15
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3-II.F. EIV SYSTEM SEARCHES .................................................................................. 3-20
PART III: DENIAL OF ASSISTANCE ............................................................................... 3-22
3-III.A. Overview ............................................................................................................. 3-22
3-III.B. Mandatory Denial of Assistance .......................................................................... 3-23
3-III.C. Other Permitted Reasons for Denial of Assistance .............................................. 3-24
3-III.D. Screening ............................................................................................................. 3-27
3-III.E. Criteria for Deciding to Deny Assistance ............................................................ 3-29
3-III.F. Notice of Eligibility or Denial .............................................................................. 3-31
3-III.G. Prohibition Against Denial of Assistance to Victims of Domestic Violence,
Dating Violence, Sexual Assault, and Stalking .................................................. 3-32
CHAPTER 4 ................................................................................................................................ 4-1
Applications, Waiting List, and Tenant Selection .................................................................. 4-1
PART I: THE APPLICATION PROCESS ............................................................................. 4-2
4-I.A. Overview .................................................................................................................. 4-2
4-I.B. Applying for Assistance ........................................................................................... 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 ...................................................................... 4-5
4-II.A. Overview ................................................................................................................. 4-5
4-II.B. Organization of the Waiting List ............................................................................ 4-5
4-II.C. Opening and Closing the Waiting List ................................................................... 4-6
4-II.D. Family Outreach...................................................................................................... 4-7
4-II.E. Reporting Changes in Family Circumstances ......................................................... 4-7
4-II.F. Updating the Waiting List ...................................................................................... 4-8
PART III: SELECTION FOR HCV ASSISTANCE ............................................................ 4-10
4-III.A. Overview ............................................................................................................. 4-10
4-III.B. Selection and HCV Funding Sources .................................................................. 4-10
4-III.C. Selection Method ................................................................................................. 4-10
4-III.D. Notification of Selection ...................................................................................... 4-13
4-III.E. The Application Interview ................................................................................... 4-14
4-III.F. Completing the Application Process .................................................................... 4-15
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CHAPTER 5 ................................................................................................................................ 5-1
Briefings and Voucher Issuance.............................................................................................. 5-1
PART I: BRIEFINGS AND FAMILY OBLIGATIONS ....................................................... 5-2
5-I.A. Overview .................................................................................................................. 5-2
5-I.B. Briefing ..................................................................................................................... 5-2
5-I.C. Family Obligations ................................................................................................... 5-8
PART II: SUBSIDY STANDARDS AND VOUCHER ISSUANCE .................................. 5-12
5-II.A. Overview ............................................................................................................... 5-12
5-II.B. Determining Family Unit (Voucher) Size ............................................................. 5-12
5-II.C. Exceptions to Subsidy Standards .......................................................................... 5-13
5-II.D. Voucher Issuance .................................................................................................. 5-14
5-II.E. Voucher Term and Extensions .............................................................................. 5-15
CHAPTER 6 ................................................................................................................................ 6-1
Income and Subsidy Determinations .................................................................................... 6-1
PART I: ANNUAL INCOME ................................................................................................ 6-2
6-I.A. Overview .................................................................................................................. 6-2
6-I.B. Household Composition and Income ....................................................................... 6-2
6-I.C. Anticipating Annual Income .................................................................................... 6-5
6-I.D. Earned Income.......................................................................................................... 6-7
6-I.E. Earned Income Disallowance for Persons with Disabilities ................................... 6-10
6-I.F. Business Income ..................................................................................................... 6-11
6-I.G. Assets ..................................................................................................................... 6-13
6-I.H. Periodic Payments .................................................................................................. 6-21
6-I.I. Payments in Lieu of Earnings .................................................................................. 6-22
6-I.J. Welfare Assistance .................................................................................................. 6-23
6-I.K. Periodic and Determinable Allowances ................................................................. 6-23
6-I.L. Student Financial Assistance .................................................................................. 6-24
6-I.M. Additional Exclusions From Annual Income ....................................................... 6-26
PART II: ADJUSTED INCOME .......................................................................................... 6-30
6-II.A. Introduction ........................................................................................................... 6-30
6-II.B. Dependent Deduction ............................................................................................ 6-31
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6-II.C. Elderly Or Disabled Family Deduction................................................................. 6-31
6-II.D. Medical Expenses Deduction ................................................................................ 6-31
6-II.E. Disability Assistance Expenses Deduction ........................................................... 6-32
6-II.F. Child Care Expense Deduction.............................................................................. 6-34
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 ................................................... 6-39
6-III.C. Applying Payment Standards............................................................................... 6-42
6-III.D. Applying Utility Allowances ............................................................................... 6-44
6-III.E. Prorated Assistance for Mixed Families .............................................................. 6-45
CHAPTER 7 ................................................................................................................................ 7-1
Verification ............................................................................................................................. 7-1
PART I. GENERAL VERIFICATION REQUIREMENTS ................................................... 7-2
7-I.A. Family Consent to Release of Information .............................................................. 7-2
7-I.B. OVERVIEW OF VERIFICATION REQUIREMENTS .......................................... 7-2
7-I.C. Up-Front Income Verification (UIV) ....................................................................... 7-4
7-I.D. Third-Party Written and Oral Verification ............................................................... 7-6
7-I.E. Self-Certification ...................................................................................................... 7-9
PART II. VERIFYING FAMILY INFORMATION ............................................................ 7-10
7-II.A. Verification of Legal Identity ............................................................................... 7-10
7-II.B. Social Security Numbers ....................................................................................... 7-10
7-II.C. Documentation of Age .......................................................................................... 7-12
7-II.D. Family Relationships ............................................................................................ 7-13
7-II.E. Verification of Student Status ............................................................................... 7-14
7-II.F. Documentation of Disability ................................................................................. 7-15
7-II.G. Citizenship or Eligible Immigration Status........................................................... 7-16
7-II.H. Verification of Preference Status .......................................................................... 7-17
PART III. VERIFYING INCOME AND ASSETS .............................................................. 7-20
7-III.A. Earned Income ..................................................................................................... 7-20
7-III.B. Business and Self Employment Income .............................................................. 7-20
7-III.C. Periodic Payments and Payments In Lieu of Earnings ........................................ 7-21
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7-III.D. Alimony or Child Support ................................................................................... 7-21
7-III.E. Assets and Income from Assets ........................................................................... 7-22
7-III.F. Net Income From Rental Property ....................................................................... 7-22
7-III.G. Retirement Accounts ........................................................................................... 7-23
7-III.H. Income From Excluded Sources .......................................................................... 7-23
7-III.I. Zero Annual Income Status ................................................................................... 7-24
7-III.J. Student Financial Assistance ............................................................................... 7-24
7-III.K. Parental Income of Students Subject to Eligibility Restrictions.......................... 7-25
PART IV. VERIFYING MANDATORY DEDUCTIONS .................................................. 7-26
7-IV.A. Dependent and Elderly/Disabled Household Deductions ................................... 7-26
7-IV.B. Medical Expense Deduction ................................................................................ 7-26
7-IV.C. Disability Assistance Expenses ........................................................................... 7-27
7-IV.D. CHILD CARE EXPENSES ................................................................................ 7-29
Exhibit 7-1: Summary of Documentation Requirements for Noncitizens .......................... 7-32
CHAPTER 8 ................................................................................................................................ 8-1
Housing Quality Standards/Uniform Physical Condition Standards for HCV (NSPIRE)
and Rent Reasonableness Determinations .................................................................. 8-1
Part I: PHYSICAL STANDARDS ......................................................................................... 8-3
8-I.A.
General HUD Requirements ................................................................................ 8-3
8-I.B.
Additional Local Requirements ............................................................................ 8-4
8-I.C.
Life Threatening Conditions ................................................................................ 8-6
8-I.D. Owner and Family Responsibilities ......................................................................... 8-8
8-I-E. Special Requirements For Children With Elevated Blood Lead Level [ ................. 8-9
8-I-F. Violation of NSPIRE Space Standards ..................................................................... 8-9
PART II: THE INSPECTION PROCESS ............................................................................ 8-10
8-II.A. Overview ............................................................................................................... 8-10
8-II.B. Inspection of PHA-Owned Units .......................................................................... 8-10
8-II.C. Initial NSPIRE Inspection ..................................................................................... 8-12
8.II.D. Annual/Biennial NSPIRE Inspections .................................................................. 8-14
8-II.E. Special Inspections ................................................................................................ 8-14
8-II.F. Quality Control Inspections ................................................................................... 8-15
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8-II.G. INSPECTION RESULTS AND REINSPECTIONS FOR UNITS UNDER
HAP CONTRACT ............................................................................................. 8-15
8-II.H. Enforcing Owner Compliance .............................................................................. 8-17
PART III: RENT REASONABLENESS .............................................................................. 8-18
8-III.A. Overview ............................................................................................................. 8-18
8-III.B. When Rent Reasonableness Determinations Are Required ................................. 8-18
8-III.C. How Comparability Is Established ...................................................................... 8-20
8-III.D. PHA Rent Reasonableness Methodology ............................................................ 8-21
CHAPTER 9 ................................................................................................................................ 9-1
General Leasing Policies ......................................................................................................... 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 ..................................................................................................... 9-9
9-I.G. HAP Contract Execution ....................................................................................... 9-10
9-I.H. Changes in Lease or Rent ....................................................................................... 9-11
CHAPTER 10 ............................................................................................................................ 10-1
Moving with Continued Assistance and Portability.............................................................. 10-1
PART I: MOVING WITH CONTINUED ASSISTANCE ................................................... 10-2
10-I.A. Allowable Moves ................................................................................................. 10-2
10-I.B. Restrictions on Moves .......................................................................................... 10-3
10-I.C. Moving Process .................................................................................................... 10-5
PART II: PORTABILITY..................................................................................................... 10-7
10-II.A. Overview ............................................................................................................. 10-7
10-II.B. Initial PHA Role .................................................................................................. 10-7
10-II.C. Receiving PHA Role ......................................................................................... 10-13
CHAPTER 11 ............................................................................................................................ 11-1
Reexaminations ..................................................................................................................... 11-1
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PART I: ANNUAL REEXAMINATIONS .......................................................................... 11-2
11-I.A. Overview .............................................................................................................. 11-2
11-I.B STREAMLINED ANNUAL REEXAMINATIONS (FIXED INCOME) .......... 11-2
11-I.C. Scheduling Annual Reexaminations .................................................................... 11-3
11-I.D. Conducting Annual Reexaminations .................................................................... 11-4
11-I.E. Determining Ongoing Eligibility of Certain Students .......................................... 11-5
11-I.F. Criminal background screening ............................................................................ 11-6
11-I.G. Effective Dates ..................................................................................................... 11-7
PART II: INTERIM REEXAMINATIONS ......................................................................... 11-8
11-II.A. Overview ............................................................................................................. 11-8
11-II.B. Changes in Family and Household Composition ................................................ 11-8
11-II.C. Changes Affecting Income or Expenses ........................................................... 11-11
11-II.D. Processing the Interim Reexamination ............................................................. 11-13
PART III: RECALCULATING FAMILY SHARE AND SUBSIDY AMOUNT ............. 11-14
11-III.A. Overview ......................................................................................................... 11-14
11-III.B. Changes in Payment Standards and Utility Allowances .................................. 11-14
11-III.C. Notification of New Family Share and HAP Amount ..................................... 11-15
11-III.D. Discrepancies ................................................................................................... 11-16
CHAPTER 12 ............................................................................................................................ 12-1
Termination of Assistance and Tenancy ............................................................................... 12-1
PART I: GROUNDS FOR TERMINATION OF ASSISTANCE ........................................ 12-2
12-I.A. Overview .............................................................................................................. 12-2
12-I.B. Family No Longer Requires Assistance ............................................................... 12-2
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 ..................................... 12-5
PART II: APPROACH TO TERMINATION OF ASSISTANCE ..................................... 12-10
12-II.A. Overview ........................................................................................................... 12-10
12-II.B. Method of Termination ..................................................................................... 12-10
12-II.C. Alternatives to Termination of Assistance ........................................................ 12-10
12-II.D. Criteria for Deciding to Terminate Assistance ................................................. 12-11
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12-II.E. Terminating Related to Domestic Violence, Dating Violence, Sexual
Assault, or Stalking .......................................................................................... 12-13
12-II.F. Termination Notice ............................................................................................ 12-16
PART III: TERMINATION OF TENANCY BY THE OWNER ...................................... 12-18
12-III.A. Overview ......................................................................................................... 12-18
12-III.B. Grounds for Owner Termination of Tenancy .................................................. 12-18
12-III.C. Eviction ............................................................................................................ 12-19
12-III.D. Deciding Whether to Terminate Tenancy ...................................................... 12-20
12-III.E. Effect of Termination of Tenancy on the Family’s Assistance ....................... 12-21
CHAPTER 13 ............................................................................................................................ 13-1
Owners .................................................................................................................................. 13-1
PART I. OWNERS IN THE HCV PROGRAM ................................................................... 13-2
13-I.A. Owner Recruitment and Retention ....................................................................... 13-2
13-I.B. Basic HCV Program Requirements ...................................................................... 13-3
13-I.C. Owner Responsibilities ......................................................................................... 13-5
13-I.D. Owner Qualifications ........................................................................................... 13-5
13-I.E. Non-Discrimination [HAP Contract – Form HUD-52641] .................................. 13-8
PART II. HAP CONTRACTS .............................................................................................. 13-9
13-II.A. Overview ............................................................................................................. 13-9
13-II.B. HAP Contract Contents ....................................................................................... 13-9
13-II.C. HAP Contract Payments ................................................................................... 13-10
13-II.D. Breach of HAP Contract ................................................................................... 13-12
13-II.E. HAP Contract Term and Terminations ............................................................. 13-13
13-II.F. Change in Ownership / Assignment of the HAP Contract ................................ 13-14
13-II.G. FORECLOSURE .............................................................................................. 13-15
CHAPTER 14 ............................................................................................................................ 14-1
Program Integrity .................................................................................................................. 14-1
PART I: PREVENTING, DETECTING, AND INVESTIGATING ERRORS AND
PROGRAM ABUSE ................................................................................................. 14-2
14-I.A. Preventing Errors and Program Abuse ................................................................. 14-2
14-I.B. Detecting Errors and Program Abuse ................................................................... 14-3
11
14-I.C. Investigating Errors and Program Abuse ............................................................. 14-4
PART II: CORRECTIVE MEASURES AND PENALTIES ............................................... 14-6
14-II.A. Subsidy Under- Or Overpayments ...................................................................... 14-6
14-II.B. Family-Caused Errors and Program Abuse......................................................... 14-6
14-II.C. Owner-Caused Error or Program Abuse ............................................................. 14-8
14-II.D. PHA-Caused Errors or Program Abuse .............................................................. 14-9
14-II.E. Criminal Prosecution ......................................................................................... 14-10
14-II.F. Fraud And Program Abuse Recoveries ............................................................. 14-10
CHAPTER 15 ............................................................................................................................ 15-1
Special Housing Types ......................................................................................................... 15-1
PART I. SINGLE ROOM OCCUPANCY ........................................................................... 15-2
15-I.A. Overview .............................................................................................................. 15-2
15-I.B. Payment Standard, Utility Allowance, and HAP Calculation .............................. 15-2
15-I.C. Housing Quality Standards (HQS) – The NSPIRE Protocol will be used as
part of a demonstration program with HUD ...................................................... 15-2
PART II. CONGREGATE HOUSING ................................................................................. 15-4
15-II.A. Overview ............................................................................................................. 15-4
15-II.B. Payment Standard, Utility Allowance, and HAP Calculation............................. 15-4
15-II.C. Housing Quality Standards – (Inspections will be conducted as part of the
NSPIRE Demonstration with HUD and all requirements that are part of the
Demonstration) ................................................................................................... 15-4
PART III. GROUP HOME ................................................................................................... 15-6
15-III.A. Overview ........................................................................................................... 15-6
15-III.B. Payment Standard, Utility Allowance, and HAP Calculation ........................... 15-6
15-III.C. Housing Quality Standards - All inspection requirements will be
conducted in alignment with HUD’s NSPIRE Protocol. ................................... 15-7
PART IV: SHARED HOUSING ......................................................................................... 15-9
15-IV.A. Overview ........................................................................................................... 15-9
15-IV.B. Payment Standard, Utility Allowance and HAP Calculation .......................... 15-10
15-IV.C. Housing Quality Standards - All inspection requirements will be
conducted in alignment with HUD’s NSPIRE Protocol. ................................. 15-11
PART V. COOPERATIVE HOUSING .............................................................................. 15-12
15-V.A. Overview........................................................................................................... 15-12
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15-V.B. Payment Standard, Utility Allowance and HAP Calculation ........................... 15-12
15-V.C. Housing Quality Standards - All inspection requirements will be conducted
in alignment with HUD’s NSPIRE Protocol. ................................................... 15-13
PART VI. MANUFACTURED HOMES ........................................................................... 15-14
15-VI.A. Overview ......................................................................................................... 15-14
15-VI.B. Special REQUIREMENTS For Manufactured Home Owners Who Lease
A Space ............................................................................................................. 15-14
15-VI.C. Payment Standard, Utility Allowance and HAP Calculation .......................... 15-14
15-VI.D. Housing Quality Standards - All inspection requirements will be
conducted in alignment with HUD’s NSPIRE Protocol .................................. 15-16
PART VII. HOMEOWNERSHIP ....................................................................................... 15-17
15-VII.A. Overview ........................................................................................................ 15-17
15-VII.B. Family Eligibility ........................................................................................... 15-17
15-VII.C. Selection of Families ...................................................................................... 15-18
15-VII.D. Eligible Units ................................................................................................. 15-18
15-VII.E. Additional PHA Requirements for Search and Purchase ............................... 15-19
15-VII.F. Homeownership Counseling ........................................................................... 15-20
15-VII.G. Home Inspections, Contract of Sale, and PHA Disapproval of Seller .......... 15-21
15-VII.H. Financing [24 CFR §982.632] ....................................................................... 15-22
15-VII.I. Continued Assistance Requirements; Family Obligations .............................. 15-22
15-VII.J. Maximum Term of Homeowner Assistance .................................................. 15-23
15-VII.K. Homeownership Assistance Payments and Homeownership Expenses ........ 15-23
15-VII.L. Portability ....................................................................................................... 15-25
15-VII.M. Moving With Continued Assistance ............................................................. 15-25
15-VII.N. Denial or Termination of Assistance ............................................................ 15-26
CHAPTER 16 ............................................................................................................................ 16-1
Program Administration ........................................................................................................ 16-1
PART I: ADMINISTRATIVE FEE RESERVE ................................................................... 16-2
PART II: SETTING PROGRAM STANDARDS AND SCHEDULES .............................. 16-3
16-II.A. Overview ............................................................................................................. 16-3
16-II.B. PAYMENT STANDARDS ................................................................................ 16-3
16-II.C. Utility Allowances .............................................................................................. 16-6
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PART III: INFORMAL REVIEWS AND HEARINGS ....................................................... 16-8
16-III.A. Overview ........................................................................................................... 16-8
16-III.B. Informal Reviews ............................................................................................... 16-9
16-III.C. Informal Hearings For Participants.................................................................. 16-13
16-III.D. Hearing and Appeal Provisions for Non-Citizens ........................................... 16-24
PART IV: OWNER OR FAMILY DEBTS TO THE PHA ................................................ 16-28
16-IV.A. Overview ......................................................................................................... 16-28
16-IV.B. Repayment Policy ............................................................................................ 16-28
PART V: SECTION 8 MANAGEMENT ASSESSMENT PROGRAM (SEMAP) .......... 16-32
16-V.A. Overview........................................................................................................... 16-32
16-V.B. SEMAP Certification ........................................................................................ 16-32
16-V.C. SEMAP Indicators ............................................................................................ 16-33
PART VI: RECORD KEEPING ......................................................................................... 16-37
16-VI.A. Overview ......................................................................................................... 16-37
16-VI.B. Record Retention ............................................................................................. 16-37
16-VI.C. Records Management and Safeguarding Sensitive Personally Identifiable
Information ....................................................................................................... 16-38
PART VII: REPORTING AND RECORD KEEPING FOR CHILDREN WITH
ELEVATED BLOOD LEAD LEVEL .................................................................... 16-41
16-VII.A. Overview ........................................................................................................ 16-41
16-VII.B. Reporting Requirement .................................................................................. 16-41
16-VII.C. Data Collection and Record Keeping ............................................................. 16-41
PART VIII: DETERMINATION OF INSUFFICIENT FUNDING .................................. 16-43
16-VIII.A. Overview....................................................................................................... 16-43
16-VIII.B. Methodology ................................................................................................. 16-43
PART IX: VIOLENCE AGAINST WOMEN ACT (VAWA): NOTIFICATION,
DOCUMENTATION, CONFIDENTIALITY ........................................................ 16-44
16-IX.A. Overview ......................................................................................................... 16-44
16-IX.B. Definitions ....................................................................................................... 16-44
16-IX.C. NOTIFICATION ............................................................................................. 16-45
Notification to Program Applicants and Participants .................................................... 16-46
16-IX.D. Documentation ................................................................................................ 16-47
16-IX.E. Confidentiality ................................................................................................. 16-50
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Exhibit 16-1: Notice of Occupancy Rights Under the Violence Against Women Act,
form HUD 5380 ....................................................................................................... 16-51
City of Chandler Housing and Redevelopment Division Notice of Occupancy Rights
under the Violence Against Women Act (VAWA) ................................................. 16-51
Exhibit 16-2: Certification of Domestic Violence, Dating Violence, Sexual Assault, or
Stalking and Alternate Documentation, Form HUD-5382 ...................................... 16-56
EXHIBIT 16-3: EMERGENCY TRANSFER PLAN FOR VICTIMS OF DOMESTIC
VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT, OR STALKING
(HCV VERSION) .................................................................................................... 16-58
Attachment: Certification form HUD-5382 ........................................................................ 16-58
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 .......................................................................... 16-58
EXHIBIT 16-4: EMERGENCY TRANSFER REQUEST FOR CERTAIN VICTIMS
OF DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT, OR
STALKING, FORM HUD-5383 ............................................................................. 16-61
MODEL OWNER NOTIFICATION OF RIGHTS AND OBLIGATIONS ...................... 16-64
NOTIFICATION OF YOUR RIGHTS AND OBLIGATIONS UNDER THE
VIOLENCE AGAINST WOMEN ACT (VAWA) ................................................. 16-64
CHAPTER 17 ............................................................................................................................ 17-1
ADDENDUM TO HCV ADMINISTRATIVE PLAN STATEMENT ................................ 17-1
AFFIRMATIVELY FURTHERING FAIR HOUSING ....................................................... 17-1
Addendum to the HCV Administrative Plan Statement Regarding the Steps the PHA
will take to Affirmatively Further Fair Housing. ...................................................... 17-1
CHAPTER 18 ............................................................................................................................ 18-3
SPECIAL PROGRAMS ....................................................................................................... 18-3
EMERGENCY HOUSING VOUCHERS ............................................................................ 18-3
VETERANS AFFAIRS SUPPORTIVE HOUSING (VASH) ............................................ 18-26
CHAPTER 19 ............................................................................................................................ 19-1
PROJECT-BASED VOUCHERS ......................................................................................... 19-1
PART I: GENERAL REQUIREMENTS.............................................................................. 19-2
PART II: PBV OWNER PROPOSALS ................................................................................ 19-5
15
PART III: DWELLING UNITS.......................................................................................... 19-16
PART IV: REHABILITATED AND NEWLY CONSTRUCTED UNITS ....................... 19-19
PART V: HOUSING ASSISTANCE PAYMENTS CONTRACT (HAP) ........................ 19-22
PART VI: SELECTION OF PBV PROGRAM PARTICIPANTS .................................... 19-29
PART VII: OCCUPANCY ................................................................................................. 19-34
PART VIII: DETERMINING RENT TO OWNER ........................................................... 19-41
PART IX: PAYMENTS TO OWNER ................................................................................ 19-47
CHAPTER 20 ............................................................................................................................ 20-1
GLOSSARY .......................................................................................................................... 20-1
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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.
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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.
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.
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Having a quality living environment in a sustainable neighborhood is the foundation of
society and our community. Providing the structural foundation for a quality 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:
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 (NSPIRE) – 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.
• 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.
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• 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.
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.
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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.
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.
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The HCV Relationships:
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)
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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.
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• 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.
• 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.
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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)
• Uniform Physical Conditions Standards (NSPIRE) Protocol Ver. 2.5
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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 follows:
• 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);
• 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);
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• 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);
• 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.
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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 as needed, to reflect changes in regulations,
PHA operations, or when needed to ensure staff consistency in operation.
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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.
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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)
• Executive Order 11063 and 13988
• 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 PIH Notice 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.
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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.
The PHA will not discriminate on the basis of marital status, gender identity, or sexual
orientation [FR Notice 02/03/12; Executive Order 13988].
PHA Policy
The PHA does not identify any additional protected classes.
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
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
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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 [PIH
Notice 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.
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.)
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PART II: POLICIES RELATED TO PERSONS WITH DISABILITIES
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.
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.
The PHA will display posters and other housing information and signage in locations
throughout the PHA’s office in such a manner as to be easily readable from a wheelchair.
2-II.B. DEFINITION OF REASONABLE ACCOMMODATION
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.
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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.
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
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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.
• 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 [PIH Notice 2010-26].
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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, PIH
NOTICE 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 there is no relationship or
nexus found between the disability and the requested accommodations, the PHA will
discuss with the family the reason for the denial. If the family cannot provide additional
information to clarify the requested accommodation, 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. The notice will inform the family of the
right to appeal the PHA’s decision through an informal review (if applicable) or informal
hearing (see Chapter 16).
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
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family, in writing, of its determination within 10 business days from the date of the most
recent discussion or communication with the family.
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:
• PIH Notice 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.
• PIH Notice 2010-26 summarizes information about pertinent laws and implementing
regulations related to nondiscrimination and accessibility in federally funded housing
programs.
• The PHA Plan provides information about self-evaluation, needs assessment, and
transition plans.
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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
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.
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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).
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.
Recipients (PHA) have two main ways to provide language services: oral and written language
services. Quality and accuracy of the language service is critical in order to avoid serious
consequences to the LEP person and to the PHA.
2-III.B. ORAL INTERPRETATION [FEDERAL REGISTER, JANUARY 22, 2007,
FINAL GUIDANCE TO FEDERAL FINANCIAL ASSISTANCE RECIPIENTS
REGARDING TITLE VI, PROHIBITION AGAINST NATIONAL ORIGIN
DISCRIMINATION AFFECTING LIMITED ENGLISH PROFICIENT PERSONS;
NOTICE, SECTION VI. 7.]
When providing oral assistance, the PHA is expected to ensure competency of the language
service provider, no matter which of the strategies outlined below are used. Competency requires
more than self-identification as bilingual.
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Some bilingual staff or community volunteers, for instance, may be able to communicate
effectively in a different language when communicating information directly in that language,
but not be competent to interpret in and out of English.
PHA Policy
The PHA will offer competent oral interpretation services free of charge, to the LEP
person.
Remote Translation Requirements
PHA Policy
The PHA will utilize a language line for telephone interpreter services.
The PHA will utilize staff translators for Spanish-speaking interpreter services.
When exercising the option to conduct remote briefings, informal reviews, or hearings,
the PHA will coordinate with a remote interpretation service, which, if available, uses
video conferencing technology rather than voice-only interpretation.
The PHA should not plan to rely on an LEP person’s family members, friends, or other informal
interpreters to provide meaningful access to important programs and activities.
LEP persons may feel more comfortable when a trusted family member or friend acts as an
interpreter. In addition, in exigent circumstances that are not reasonably foreseeable, (for
example, an unscheduled meeting to discuss a change report) temporary use of interpreters not
provided by the PHA may be necessary.
PHA Policy
For non-administrative meetings and 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, however the PHA will not rely on the minor to serve as the
interpreter.
For administrative meetings, the PHA will continue to provide free translation services
to ensure proper and legal translation occurs, during administrative hearings, termination
actions, or when housing services or benefits are at stake, or any time the family does not
request an interpreter of their choosing:
• Where precise, complete, and accurate interpretations or translations of
information and/or testimony are critical for legal reasons, or where the
competency of the LEP person’s interpreter is not established, the PHA will
provide its own, independent interpreter, even if an LEP person wants to use
their own interpreter as well.
• If the interpreter chosen by the family is a minor, the PHA will not rely on the
minor to serve as the interpreter.
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• In the case where the family brings their own interpreter even though the PHA is
providing translation services for the communications between the PHA and the
family.
• The PHA’s interpreter will provide the legal, official interpretation for the
meeting, even when the LEP person brings their own interpreter.
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 Limited English Persons plan (LEP), 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.
Using Family or Friends as the Interpreter [Federal Register, 1/22/2007]
Special circumstances may raise additional serious concerns regarding the voluntary nature,
conflicts of interest, and privacy issues surrounding the use of family members and friends as
interpreters, particularly where an important right, benefit, service, disciplinary concern, or
access to personal or law enforcement information is at stake.
In addition to ensuring competency and accuracy of the interpretation, the PHA will take these
special circumstances into account when determining whether an LEP person makes a knowing
and voluntary choice to use another family member or friend as an interpreter.
Furthermore, such informal interpreters may have a personal connection to the LEP person or an
undisclosed conflict of interest, such as the desire to protect themselves, the LEP person, or
another perpetrator in a domestic violence or other criminal matter.
PHA Policy
For these reasons, when oral language services are necessary, the PHA will offer
competent interpreter services at no cost to the LEP person.
For HUD recipient (PHA) programs and activities, this is particularly true in a courtroom
or administrative hearing or in situations in which health, safety, or access to important
housing benefits and services are at stake; or when credibility and accuracy are important
to protect an individual’s rights and access to important services.
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,
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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
• 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.
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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; genitourinary; hemic and lymphatic; skin; and endocrine; or
• Any mental or psychological disorder, such as mental retardation, organic brain
syndrome, emotional or mental illness, and specific learning disabilities. The term
“physical or mental impairment” includes but is not limited to: such diseases and
conditions as orthopedic, visual, speech and hearing impairments, cerebral palsy, autism,
epilepsy, muscular dystrophy, multiple sclerosis, cancer, heart disease, diabetes, mental
retardation, emotional illness, drug addiction and alcoholism.
“Major life activities” includes, but is not limited to, caring for oneself, performing manual tasks,
walking, seeing, hearing, breathing, learning, and/or working.
“Has a record of such impairment” means has a history of, or has been misclassified as having, a
mental or physical impairment that substantially limits one or more major live activities.
“Is regarded as having an impairment” is defined as having a physical or mental impairment that
does not substantially limit one or more major life activities but is treated by a public entity (such
as 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.
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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.
− Not currently be receiving a duplicative subsidy.
• 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.
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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.
3-I.B. FAMILY AND HOUSEHOLD [24 CFR §982.201(C), FR NOTICE 02/03/12; PIH
NOTICE 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.
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3-I.C. FAMILY BREAK-UP AND REMAINING MEMBER OF TENANT FAMILY
Family Break-up [24 CFR §982.315; PIH Notice 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:
(1) 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.)
(2) In accordance with PIH Notice 2017-08, for HUD–Veterans Affairs Supportive Housing
(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.
(3) 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.
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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.”
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 [form 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.
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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 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; §5.403]
Elderly Persons
An elderly person is a person who is at least 62 years of age.
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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.
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, based on the limitations listed below. 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.
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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 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 form 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.
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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/NSPIRE 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.
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.
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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
An individual confined to a nursing home or hospital on a permanent basis is not
considered a family member.
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 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.
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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)]:
− The person commits fraud, bribery or any other corrupt or criminal act in
connection with any federal housing program;
− The person commits drug-related criminal activity or violent criminal activity; or
− 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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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 Limits [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 federal
poverty level or 30 percent of the median income for the area, whichever number is higher.
Area median income is determined by HUD, with adjustments for smaller and larger families.
HUD may establish income ceilings higher or lower than 30, 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 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; 24 CFR 982.201(b)]
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
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(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
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.
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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 member 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 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 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.
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Ineligible Families [24 CFR §5.514(d); §5.514 (e); §5.514 (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)].
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; 24 CFR §5.218;
PIH NOTICE 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
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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, the form HUD-52675 Debts Owed to Public Housing Agencies
and Terminations, 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; 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 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/hertheir parents
in accordance with PHA policy, the income of the student’s parents will not be considered in
determining the student’s eligibility.
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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 hertheir parents and the
parents’ income will not be considered when determining the student’s eligibility if the
following four criteria are all met:
(1) The individual is of legal contract age under state law.
(2) The individual has established a household separate from his/hertheir 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 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
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− 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 is a student for whom a financial aid administrator
makes a documented determination of independence by reason of
other unusual circumstances
(3) The individual was not claimed as a dependent by his/hertheir parents pursuant to
IRS regulations, as demonstrated on the parents’ most recent tax forms.
(4) The individual provides a certification of the amount of financial assistance that
will be provided by his/hertheir parents. This certification must be signed by the
individual providing the support and must be submitted even if no assistance is
being provided.
If the PHA determines that an individual meets the definition of a vulnerable youth such a
determination is all that is necessary to determine that the person is an independent student for
the purposes of using only the student’s income for determining eligibility for assistance.
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.).
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Person with Disabilities
The PHA will use the statutory definition under Section 3(b)(3)(E) of the 1937 Act to determine
whether a student is a person with disabilities (see Exhibit 3-1).
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.
Vulnerable Youth
PHA Policy
A vulnerable youth is an individual who meets the U.S. Department of Education’s
definition of independent student in paragraphs (b), (c), or (h), as adopted in Section II of
FR Notice 9/21/16:
• 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
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 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
Determining Student Eligibility
If a student is applying for assistance on his/hertheir own, apart from his/hertheir 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/hertheir
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:
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− 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/hertheir 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/hertheir parents and has not had
contact with or does not know where to contact his/hertheir 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.
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.
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3-II.F. EIV SYSTEM SEARCHES [PIH NOTICE 2018-18; EIV FAQS; EIV SYSTEM
TRAINING 9/30/20]
Existing Tenant Search
Prior to admission to the program, the PHA must search for all household members using the
EIV Existing Tenant Search module. The PHA must review the reports for any SSA matches
involving another PHA or a multifamily entity and follow up on any issues identified.
The PHA must provide the family with a copy of the Existing Tenant Search results if requested.
At no time may any family member receive duplicative assistance.
If the tenant is a new admission to the PHA, and a match is identified at a multifamily property,
the PHA must report the program admission date to the multifamily property and document the
notification in the tenant file. The family must provide documentation of move-out from the
assisted unit, as applicable.
PHA Policy
The PHA will contact the PHA, or owner identified in the report to confirm that the
family has moved out of the unit and obtain documentation of current tenancy status,
including a form HUD-50058 or 50059, as applicable, showing an end of participation.
The PHA will only approve assistance contingent upon the move-out from the currently
occupied assisted unit.
Debts Owed to PHAs and Terminations
All adult household members must sign the form HUD-52675 Debts Owed to Public Housing
and Terminations. Prior to admission to the program, the PHA must search for each adult family
member in the Debts Owed to PHAs and Terminations module.
If a current or former tenant disputes the information in the module, the tenant should contact the
PHA directly in writing to dispute the information and provide any documentation that supports
the dispute. If the PHA determines that the disputed information is incorrect, the PHA will
update or delete the record from EIV. Former tenants may dispute debt and termination
information for a period of up to three years from the end of participation date in the program.
PHA Policy
The PHA will require each adult household member to sign the form HUD-52675 once at
the eligibility determination. Any new members added to the household after admission
will be required to sign the form HUD-52675 prior to being added to the household.
The PHA will search the Debts Owed to PHAs and Terminations module as part of the
eligibility determination for new households and as part of the screening process for any
household members added after the household is admitted to the program. If any
information on debts or terminations is returned by the search, the PHA will determine if
this information warrants a denial in accordance with the policies in Part III of this
chapter.
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Income and Income Validation Tool (IVT) Reports
For each new admission, the PHA is required to review the EIV Income and IVT Reports to
confirm and validate family reported income within 120 days of the IMS/PIC submission date of
the new admission. The PHA must print and maintain copies of the EIV Income and IVT reports
in the tenant file and resolve any discrepancies with the family within 60 days of the EIV Income
or IVT report dates.
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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]
PIH Notice 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
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Prohibited Reasons for Denial of Program Assistance [24 CFR §982.202(b); 24 CFR
§5.2005(b)]
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); 24 CFR §5.855;
24 CFR §5.858]
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.
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• 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.
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 and recreational 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; §5.851-§5.861]
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.
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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.
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,
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).
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• 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
• 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); §5.851-§5.861]
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 not 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 24 CFR §984.101(d)].
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.
• If the family has a household member, regardless of age, who has been trespassed
from a City of Chandler Public Housing site during the last 12 months, and the
family refuses to remove that member
• Any family member has committed fraud, bribery, or any other corrupt or
criminal act in connection with any federal housing program.
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• The family owes rent or other amounts to any PHA or landlord in connection with
the HCV 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 or landlord 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 the waiting list.
• The family has breached the terms of a repayment agreement entered into with the
PHA or landlord, unless the family repays the full amount of the debt covered in
the repayment agreement prior to being selected from the waiting list:.
-
When denying admission due to family debts as shown in HUD’s EIV
system, the PHA will provide the family with a copy of the EIV Debt
Owed to PHA and Termination report.
-
If the family wishes to dispute the information in the report, the family
must contact the PHA that entered the information in EIV in writing,
explaining why EIV information is disputed. The family must also provide
a copy of the letter and all applicable verification to the PHA to support
the family’s claim. The PHA will consider the information provided by the
family prior to issuing a notice of denial.
• The family misrepresented or does not provide true and complete information
related to eligibility, including income, award of preferences for admission,
expenses, family composition or rent, or any other information that the PHA or
HUD determines is necessary in the administration of the program.
• 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 or may continue with the termination.
3-III.D. SCREENING [24 CFR §5.855; §5.858; §5.902; §5.903; §982.553]
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
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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
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
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 [PIH Notice
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;§5.851-§5.861]]
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.
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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/NSPIRE inspection or before. The PHA will not provide any additional
information to the owner, such as tenancy history or criminal history.
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, COCHRD may
obtain the police report associated with the arrest and consider the reported circumstances of the
arrest. COCHRD 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 (a dismissal of charges may not necessarily indicate
innocence), 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.
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• The extent of participation or culpability of individual family members, including
whether the culpable family member is a minor or a person with disabilities, or
(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 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
− Whether criminal charges were filed
− Whether, if filed, criminal charges were abandoned, dismissed, not
prosecuted, or ultimately resulted in an acquittal (charges ending in
dismissal or dropped do not necessarily indicate innocence).
− 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)];
§5.581-§5.861].
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 [PIH Notice 2012-28].
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For other criminal activity, the PHA may permit the family to exclude the culpable family
members as a condition of eligibility. [24 CFR §82.552(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
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 [24 CFR §982.554]
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, 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)].
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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.
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 (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
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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.
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 hertheir 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.
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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:
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
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
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.
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• Has a physical, mental, or emotional impairment that is expected to be of long continued and
indefinite duration; substantially impedes his or hertheir 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 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; genitourinary; 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 mean functions such as caring for oneself, 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;
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(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.
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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
accredited, is an institution that has been granted pre-accreditation status by such an
agency or association that has been recognized by the Secretary for the granting of pre-
accreditation 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
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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
(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
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(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 postsecondary diploma, respectively; or
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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;
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(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 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.
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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.
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PART I: THE APPLICATION PROCESS
4-I.A. OVERVIEW
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
PIH NOTICE 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.
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.
4-I.C. ACCESSIBILITY OF THE APPLICATION PROCESS
Elderly or Disabled Populations [24 CFR §8; 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
4-3
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.
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 COCHRD.
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.)
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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 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.
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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 §982.205]
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-
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.
4-6
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 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
East Valley Tribune
4-7
Channel 11 Public Service City Scope Local Social Service Agencies (Arizona)
La Voz
Public Housing Authorities
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
• 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
4-8
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; HCV GB 4.5]
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 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.
4-9
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, or as a result of a family member’s disability, or as a direct
result of status as a victim of domestic violence, dating violence, sexual assault, or
stalking, including an adverse factor resulting from such abuse. 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)].
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. As this removal is not due to an
eligibility determination, no formal hearing is required. (24 CFR 982.202(c)).
PHA Policy
If the PHA receives no response from the applicant within the specified time frame, the
applicant shall be removed from the waiting list. If the applicant responds within 60
calendar days of the due date, the PHA will review for return to the waiting list.
This will be allowed only once during the time a family is on the waiting list
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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 system of admission preferences that the PHA will use [24 CFR §982.202(d)].
4-11
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 adult in the family, a minor head
of household) who meets all of the criteria in paragraph (1) or (2) of this
4-12
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.
Special Programs - COCHRD operates a number of programs which serve special populations,
special needs or which were designed for special purposes. For these populations and programs,
preference will be given to applicants that are referred from various community organizations or
divisions of local government which are under a Memorandum of Understand (MOU),
Memorandum of Agreement, or a Contract with COCHRD in accordance with program policies
and HUD regulations, i.e., referrals from CE (local preference).
As of July 1, 2023, the Emergency Housing Voucher (EHV) Chapter 18 will now be changed to
as “Chapter 18, Special Programs” to reflect inclusion of Veteran’s Affairs Supportive Housing
(VASH) and Emergency Housing Voucher (EHV) policies.
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
4-13
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)].
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
4-14
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
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 [PIH Notice 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. This may delay the eligibility process.
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
4-15
required documentation at the time of the scheduled interview, he or shetheir 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 complete required forms,
provide required signatures, and submit required documentation. If any materials are
missing, the PHA will provide the family with a written list of items that must be
submitted and the due date.
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.
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
4-16
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.
5-1
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.
5-2
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.
The PHA has the sole discretion to determine if a briefing will be conducted in-person, in a
group briefing, or remotely.
5-I.B. BRIEFING [24 CFR §982.301]
Notification of Briefing
Prior to issuance of a voucher, 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 in individual face-to-face meetings, through group briefing sessions, or via remote
briefing sessions.
PHA Policy
Families will be notified of their eligibility for assistance at the time they are invited to
attend a briefing. The notice will be sent by first class mail,
The notice will advise the family of the type of briefing, who is required to be present at
the briefing, and the date and time of the briefing. The notice will also inform the family
of any additional requirements for in-person or remote briefings as addressed in relevant
policy elsewhere in this section.
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).
In-Person Briefings
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.
5-3
PHA Policy
The PHA reserves the right to hold briefings remotely. At the family’s request, the PHA
may provide an individual briefing.
Generally, the head of household is required to attend the briefing, however all adult
family members must sign required forms.
Families that attend 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 interpretation services in accordance with the PHA’s LEP plan (See
Chapter 2).
Attendance
PHA Policy
Applicants who fail to attend a scheduled in-person 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).
Remote Briefings [Notice PIH 2020-32]
Remote briefings may be conducted over the phone, via video conferencing, or through other
virtual methods.
PHA Policy
The PHA has the sole discretion to require that briefings be conducted remotely or in
person.
If the applicant requests an in-person one on one briefing as a reasonable accommodation
for a person with a disability, the PHA will schedule it, only if safety and health concerns
can be reasonably addressed,
The PHA will conduct a briefing remotely upon request of the applicant as 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 briefing, or if the applicant believes
an in-person briefing would create an undue health risk. The PHA will consider other
reasonable requests for a remote briefing on a case-by-case basis.
Accessibility Requirements for Persons with Disabilities and LEP Individuals
As with in-person briefings, the method for conducting remote briefings must be accessible and
the briefing conducted in accordance with Section 504 and accessibility requirements. This
includes ensuring any information, websites, emails, digital notifications, and other virtual
platforms are accessible for persons with vision, hearing, and other disabilities.
5-4
Additionally, providing effective communication virtually may require the use of individualized
auxiliary aids or services, such as audio description, captioning, sign language and other types of
interpreters, keyboard accessibility, accessible documents, screen reader support, and transcripts.
Auxiliary aids or services must be provided in accessible formats, in a timely manner, and in
such a way to protect the privacy and independence of the individual.
If no method of conducting a remote briefing is available that appropriately accommodates an
individual’s disability, the PHA may not hold against the individual his or hertheir inability to
participate in the remote briefing, and the PHA should consider whether postponing the remote
briefing to a later date is appropriate or whether there is a suitable alternative.
Due to the individualized nature of disability, the appropriate auxiliary aid or service necessary,
or reasonable accommodation, will depend on the specific circumstances.
Limited English Proficiency (LEP) requirements also apply to remote briefings, including the
use of interpretation services and document translation. See Chapter 2 for a more thorough
discussion of accessibility and LEP requirements, all of which apply in the context of remote
briefings.
Conducting Remote Briefings [PIH Notice 2020-32]
The PHA must ensure that the participant 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 briefing.
The PHA must ensure that the lack of technology or inability to use technology for remote
briefings does not pose a disadvantage to families that may not be apparent to the PHA.
The PHA must ensure that the family has appropriate technological access in order to fully
participate in the remote briefing.
The PHA should determine through a survey or other means (See PIH Notice 2020-32, Section
6) if these barriers exist prior to conducting the remote informal review and, if the family does
not have the proper technology to fully participate, either postpone the informal review or
provide an alternative means of access.
PHA Policy
At least 10 business days prior to scheduling the remote briefing, the PHA will provide
written notification via first class mail and/or email to families participating in the
briefing to advise of technological requirements and to request the family notify the PHA
of any known barriers.
If any family does not respond within five business days, or if the written notification is
returned by the post office or the email is rejected, the PHA will contact the family by
telephone to identify potential technological barriers and to determine which technology
resources are accessible to the family.
The PHA will resolve any barriers using the guidance in Section 6 of Notice PIH 2020-
32, including offering the family the opportunity to attend an in-person briefing or have a
one-on-one briefing over the phone, as appropriate.
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The PHA will conduct remote briefings via a video conferencing method when available.
If applicants are unable to adequately access the video conferencing, the briefing will be
conducted by telephone conferencing call-in. If the family is unable to adequately access
the telephone conferencing call-in, the remote briefing will be postponed, and an in-
person alternative or one-on-one briefing over the phone will be provided.
The PHA will provide login information and/or conferencing call-in information and a
packet of all briefing materials needed to complete the briefing, either by US mail or via
electronic delivery, in advance of the briefing date. The PHA will contact the applicant
two business days before the briefing to ensure the packet was received.
The PHA will ensure that all electronic information stored or transmitted as part of the
briefing meets the requirements for accessibility for persons with disabilities and persons
with LEP, and is secure, including ensuring personally identifiable information (PII) is
protected.
The PHA will ensure that families who participate in remote briefings have the
opportunity to ask questions as part of the briefing.
If families lose connectivity during any remote briefing or otherwise feel they were unable to
access information presented during the briefing, the family may request a one-on-one briefing
over the phone or in person with the PHA.
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;
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.
In briefing a family that includes a person with disabilities, PHA must also take steps to
ensure effective communication.
5-6
Briefing Packet [24 CFR §982.301(b); NEW HCV GB, Housing Search and Leasing, Ch
2.5] , Contents of the Briefing Packet]
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 (e.g., HUD brochure entitled, “A Good Place to
Live”).
• Information on federal, state, and local equal opportunity laws and a copy of the housing
discrimination complaint form, including information on how to complete the form and
file a fair housing complaint.
• 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, and any obligations of other special programs if the family is participating in one
of those programs.
• The grounds on which the PHA may terminate assistance for a participant family because
of family action or failure to act.
5-7
• 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.
• The HUD pamphlet on lead-based paint entitled, “Protect Your Family from Lead in
Your Home.”
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, PIH
Notice 2017-12]
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 PIH Notice 2017-
12
5-8
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 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).
The family notice to the PHA 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 (NSPIRE) 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.
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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.
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.
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• 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 promptly notify the PHA in writing if any family member no longer
lives in 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.
• 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.
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• 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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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 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;
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.
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• 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 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.
The PHA will reference the following chart in determining the appropriate voucher size for a
family:
Occupancy Standards / Subsidy Standards
Voucher size
Persons in Household
(Minimum – Maximum_
1 Bedroom
1 to 2
2 Bedroom
2 to 4
3 Bedroom
4 to 6
4 Bedroom
6 to 8
5 Bedroom
8 to 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.
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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.
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].
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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
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.
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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 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
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.
6-2
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 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.
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.
6-3
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.
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.
6-4
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 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.
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(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)]
• 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 for a total of 8 current and consecutive paystubs, regardless of how
often a person is paid.
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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 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.
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).
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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)].
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.
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 [PIH Notice 2009-19].
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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.)
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,
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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
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 of time. It is designed to lead to a higher level of proficiency, and it enhances the
individual’s ability to obtain employment. It may have performance standards to measure
proficiency. Training may include, but is not limited to: (1) classroom training in a
specific occupational skill, (2) on-the-job training with wages subsidized by the program,
or (3) basic education” [expired PIH Notice 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 PIH Notice 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 form 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.
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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 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.
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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 hertheir “baseline
income.” The family member’s baseline income is his or hertheir income immediately prior to
qualifying for the EID. The family member’s baseline income remains constant throughout the
period that he or shetheir is participating in the EID.
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
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)].
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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.
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.
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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
• 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
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.
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
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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 [RHIIP FAQ]
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)], PIH Notice 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
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 initially sets the imputed asset passbook rate at the national rate established by
the Federal Deposit Insurance Corporation (FDIC).
The PHA will review the passbook rate annually. 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.
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The effective date of changes to the passbook rate will be 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.”
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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 shethey 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)]
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.
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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 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 (PIH Notice
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
6-18
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
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 CFR §5.603(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
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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 [PIH Notice 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.
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 [HCV GB, p. 5-25]
If any member of a family has the right to withdraw the funds in a trust, the value of the trust is
considered an asset [HCV GB, p. 5-25]. Any income earned as a result of investment of trust
funds is counted as actual asset income, whether the income is paid to the family or deposited in
the trust.
Non-revocable Trusts [24 CFR §5.603(b)]
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.)
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Retirement Accounts
Company Retirement/Pension Accounts [HCV GB, p. 5-26]
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.
IRA, Keogh, and Similar Retirement Savings Accounts [HCV GB, p. 5-25]
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 ]24 CFR §5.609(b); HCV GB p5-25]
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.
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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 [24 CFR §5.609(B)(3); §5.609(B)(4); HCV, P. 5-14]
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
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 [24 CFR §5.609(c)(14)]
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 income [24 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 [PIH Notice 2018-24]
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
hertheir 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 [PIH Notice 2018-24].
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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 [PIH Notice 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
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 §5.609(c)(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 [24 CFR §5.609(B)(5); 24 CFR §5.609(C)(3)]
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.)
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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
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)]
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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.
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); PIH NOTICE 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); PIH Notice
2015-21]
The regulation requiring the inclusion of certain student financial assistance applies only to
students who satisfy all of the following conditions:
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• 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
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 [PIH Notice 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.
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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 [24 CFR §5.609]
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
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)]
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• 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
(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)
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(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 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 PIH
Notice 2013-30, “Exclusions from Income of Payments under Recent Tribal Trust
Settlements” (25 U.S.C. 117b(a))
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(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
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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.
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.
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.
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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 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, non-
cosmetic
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
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
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Improvements to housing directly
related to medical needs (e.g.,
ramps for a wheel chair, handrails)
Substance abuse treatment
programs
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
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); 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
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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].
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.
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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
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].
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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 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
hertheir 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 hertheir education, there is no cap on
the amount that may be deducted for childcare – although the care must still be necessary and
reasonable.
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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 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
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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 hertheir
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.
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.
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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)
• 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 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
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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.
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
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approved, or 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 $50.
Family Share – No Hardship
Family Share – With Hardship
$0……
$15.….
N/A….
$50.….
30% of monthly adjusted income
10% of monthly gross income
Welfare Rent
Minimum Rent
$0……
$15…..
N/A….
$50…..
30% of monthly adjusted income
10% of monthly gross income
Welfare Rent
Minimum Rent
Minimum rent applies.
TTP = $50
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.
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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.
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.
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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
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.
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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 (Voucher Size)
Irrespective of any increase or decrease in the payment standard, if the family unit size increases
or 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 ].
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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 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.
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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
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:
(a) Welfare assistance payments
made under the Temporary
Assistance for Needy Families
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(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
(b) 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:
(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.
HHS DEFINITION OF
“ASSISTANCE”
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 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;
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(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 (cont’d)
(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);
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(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 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 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
(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
6-3
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.)
6-2
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
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(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 participants. 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.
7-1
Chapter 7
VERIFICATION
[24 CFR §982.516, 24 CFR §982.551, 24 CFR §5.230 PIH Notice 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 PIH Notice 2018-18 and any
subsequent guidance issued by HUD. This chapter summarizes those requirements and provides
supplementary PHA policies.
Part I. General Verification Process. Part I describes the general verification process. 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].
Part II. Family Information. Part II provides more detailed requirements related to family
information that must be provided to the PHA.
Part III. Income and Assets. Part III provides PHA policies that supplement the general
verification procedures specified in Part I of this chapter. Any assets and income reported by the
family must be verified.
Part IV. Verifying Mandatory Deductions. Part IV details income deductions that are
required in federal program regulation(s).
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.
7-2
PART I. GENERAL VERIFICATION REQUIREMENTS
7-I.A. FAMILY CONSENT TO RELEASE OF INFORMATION
[24 CFR §982.516; 24 CFR §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.
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 [PIH Notice 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.
The following chart identifies the levels and techniques for verification:
7-3
Level
Verification Technique
Ranking
6
Upfront Income Verification
(UIV) using HUD’s Enterprise
Income Verification (EIV) system
(not available for income
verifications of applicants.)
Highest (Mandatory)
5
Upfront Income Verification
(UIV) using non-HUD system
Highest (Optional)
4
Written Third Part Verification
High (Mandatory to supplement EIV-reported
income sources and when EIV has no data;
Mandatory for non-EIV reported income
sources;
Mandatory when tenant disputes EIV-reported
employment and income information and is
unable to provide acceptable documentation to
support dispute)
3
Written Third Party Verification
Form
Medium-Low (Mandatory if written third party
verification documents are not available or
rejected by the PHA;
and when the applicant or tenant is unable to
provide acceptable documentation)
2
Oral Third Party Verification
Low (Mandatory if written third party
verification is not available)
1
Tenant Declaration
Low (Use as a last resort when unable to obtain
any type of third party verification.
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.
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Any family self-certifications must be made in a format acceptable to the PHA and must
be signed by the family member whose information or status is being verifiedin the
presence of 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.
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);PIH Notice
2018-18]]
7-I.C. UP-FRONT INCOME VERIFICATION (UIV)
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 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
7-5
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 are 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.
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 the EIV Identity Verification Report on a monthly basis to improve the
availability to income information in EIV [PIH Notice 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.
7-6
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 EIV system
- Verifydirect.com
- The Work Number
-
PastEmploy.com
- Verifytoday.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 third party.
Written Third-Party Verification [PIH Notice 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
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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.
Oral Third-Party Verification [PIH Notice 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.
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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 [PIH Notice 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].
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.
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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 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.
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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 identification card
Health and Human Services
ID
U.S. military discharge (DD 214)
Certified school records
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 must be signed in the presence of a PHA representative by the family
member whose information or status is being verifiedin 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
herselfthemselves to be a participant.
7-II.B. SOCIAL SECURITY NUMBERS [24 CFR §5.216; PIH NOTICE 2018-18]
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.
Note that an individual who previously declared to have eligible immigration status may not
change his or hertheir declaration for the purpose of avoiding compliance with the SSN
disclosure and documentation requirements or penalties associated with noncompliance with
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these requirements. Nor may the head of household opt to remove a household member from the
family composition for this purpose.
The PHA must accept the following documentation as acceptable evidence of the social security
number:
• 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.
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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.
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 case file
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 not 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
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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.
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.
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Absence of Adult Member
PHA Policy
At the PHA request, iIf 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).
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
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
hertheir 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.
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If the PHA cannot verify at least one of these exemption criteria, the PHA will conclude that the
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/hertheir parents
(see below).
Independent Student
PHA Policy
The PHA will verify a student’s independence from his/hertheir 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/hertheir 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 persons with disabilities or to persons with a particular type of disability
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• 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 for each family member. Once eligibility to receive assistance has been verified
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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.
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:
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
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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 must 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) months the
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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
To ensure consistency in the determination of annual Social Security and SSI income, PHAs are
required to use EIV-reported Social Security and SSI benefit amounts unless the tenant disputes
the EIV-reported amount [Notice PIH 2018-24].
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 1-800-772-1213. 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.
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• 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.
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
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:
• 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
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.
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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
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.
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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) [PIH
Notice 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.
7-III.J. STUDENT FINANCIAL ASSISTANCE [PIH NOTICE 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).
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PHA Policy
For a student subject to having a portion of his/hertheir 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.
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 hertheir 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
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.
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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
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.
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• 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:
• 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.
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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.
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.).
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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 childcare.
• 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.
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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 childcare expense being claimed is to enable a family member to further his or
hertheir education, the PHA will request third-party documentation to verify that the
person is enrolled, and to provide information about the timing of classes for which
the person is registered. The documentation may be provided by the family in the
form of an official schedule from the educational institution.
Gainful Employment -
If the childcare expense being claimed is to enable a family member to be gainfully
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.
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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.
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Exhibit 7-1: Summary of Documentation Requirements for Noncitizens
[HCV GB, pp. 5-9 and 5-10]
• 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.
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
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Chapter 8
Housing Quality Standards/Uniform Physical Condition Standards for
HCV (NSPIRE) and Rent Reasonableness Determinations
[24 CFR §982 Subpart I; 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/NSPIRE) and permits the PHA to
establish additional requirements. The use of the term "HQS/NSPIRE" in this plan refers to the
combination of both HUD and PHA-established requirements.
All units must pass an NSPIRE 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 NSPIRE 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 (NSPIRE) 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 (NSPIRE) is a Demonstration
Program [24 CFR §982), implementing an improved inspection standard for HUD’s Housing
Choice Voucher (HCV) units. NSPIRE 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.
NSPIRE is a Demonstration Program developed to align with the Uniform Physical Condition
Standards (UPCS).
• NSPIRE inspections are electronic and conducted using an app
• NSPIRE Pass/fail outcomes are decided by a protocol, not an inspector’s judgement
• NSPIRE requires inspectors to identify deficiencies based on a standardized set of
decisions
The City of Chandler Housing and Redevelopment Division began participation in the NSPIRE
Demonstration July 2018 and will follow that protocol and decision tree for determining
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inspection pass and fail decisions. All processes and requirements remain the same as HQS,
except for when there is a conflict between NSPIRE 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 NSPIRE.
Part III. Rent Reasonableness Determinations. This part discusses the policies the
PHA will use to make rent reasonableness determinations.
Special NSPIRE requirements for homeownership, manufactured homes, and other special
housing types are discussed in Chapter 15 to the extent that they apply in this jurisdiction.
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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 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 NSPIRE 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.
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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
NSPIRE 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 NSPIRE 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 NSPIRE 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]
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
− Heating:
• If the PHA controls the temperature, the minimum heating temperature in
each unit must be at least 68 degrees Fahrenheit.
• If the resident controls the temperature, the heating equipment must have
the capability of heating to at least 68 degrees Fahrenheit (PIH 2018-19).
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• At no point should indoor temperatures in occupied space drop below 55
degrees Fahrenheit (PIH Notice 2018-19).
− Cooling:
• If the PHA controls the temperature, the minimum cooling temperature in
each unit must be at least 82 degrees Fahrenheit.
• If the resident controls the temperature, the cooling equipment must have
the capability of cooling to at least 82 degrees Fahrenheit (PIH Notice
2018-19)
.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 NSPIRE
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 re-secured and made level. If they cannot be leveled,
they must be replaced.
− All floors must be in a finished state. Raw wood or unsealed concrete is not
permitted.
− All floors include, except for carpeted floors, some type of base-shoe, trim, or
sealing for a "finished look." Vinyl base-shoe is permitted.
Sinks
− All sinks and commode water lines must have shut off valves, unless faucets are
wall mounted.
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− 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 NSPIRE 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
− 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
8-7
− 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)
− 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
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− 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 NSPIRE 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 NSPIRE 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 NSPIRE. "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 NSPIRE 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 NSPIRE Protocol Violations
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.
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8-I-E. SPECIAL REQUIREMENTS FOR CHILDREN WITH ELEVATED BLOOD
LEAD LEVEL [24 CFR §35.1225; FR NOTICE 1/13/17; PIH NOTICE 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; 40 CFR §745.227]. 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, 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 NSPIRE 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 NSPIRE 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)
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.
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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 NSPIRE. 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 NSPIRE.
8-II.B. INSPECTION OF PHA-OWNED UNITS [24 CFR §982.352(B)]
The PHA must obtain the services of an independent entity to perform all NSPIRE 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 [PIH Notice 2016-05]
The PHA may not charge the family for unit inspections or reinspection’s [24 CFR
§982.405(e)]. In the case of inspections of PHA-owned units, the PHA may compensate the
independent agency 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)].
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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.
Remote Video Inspections (RVIs) [PIH Notice 2020-31]
As an alternative to some or all on-site inspections, the PHA may, but is not required to,
perform HQS inspections from a remote location using video streaming technology and a
proxy at the inspection site.
Since there may be some circumstances in which the application of technology provides
insufficient information or evidence to allow the PHA to make appropriate determinations
about whether a condition violates HQS, Notice PIH 2020-31 requires that if a PHA chooses to
implement RVIs, the PHA should have policies and procedures in place to address such
limitations.
PHA Policy
The PHA will not conduct any HQS inspection using RVI.
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.
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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 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, however the family will be notified that the PHA is not a
family representative.
8-II.C. INITIAL NSPIRE INSPECTION [24 CFR §982.401(A)]
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
NSPIRE 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 NSPIRE inspection on or before the effective date of the HAP
contract.
The PHA will not rely on alternative inspections and will conduct an NSPIRE
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 NSPIRE, 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 [24 CFR §982.305(b)(2)].
PHA Policy
The PHA will complete the initial inspection, determine whether the unit satisfies
HQS/NSPIRE /NSPIRE, and notify the owner and the family of the determination
within 15 days of submission of the Request for Tenancy Approval (RTA).
8-13
Inspection Results and Reinspections
PHA Policy
If any NSPIRE 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 five (5) business days of the date the owner notifies the PHA
that the required corrections have been made.
If the time for correcting the deficiencies (or any PHA-approved extension) has
elapsed, or the unit fails NSPIRE 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
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
COCHRD 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
NSPIRE 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 are installed and working. A
confirmatory inspection will be scheduled within 30 days of HAP contract approval.
8-14
8.II.D. ANNUAL/BIENNIAL NSPIRE INSPECTIONS [24 CFR §982.405; §982.406, PIH
NOTICE 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
The PHA may decide to conduct annual inspections, instead of biennial inspection,
for all units based on the needs of COCHRD, and if inspection results warrant
more frequent HQS, it will be completed annually for all units.
Each unit under HAP contract must be inspected within 24 months of the last full
NSPIRE inspection; however, if a unit is found to have a life-threatening NSPIRE 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 NSPIRE 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 PHA will not rely on alternative inspection standards.
Scheduling the Inspection
PHA Policy
If an authorized adult 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.E. 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
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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 NSPIRE 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.F. 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 NSPIRE.
The unit sample must include only units that have been inspected within the preceding 3
months. The selected sample should be drawn to represent a cross section of neighborhoods
and the work of a cross section of inspectors.
8-II.G. INSPECTION RESULTS AND REINSPECTIONS FOR UNITS UNDER HAP
CONTRACT
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 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 five (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.).
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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 for
inspection. This may result in termination of the family’s assistance in accordance with
Chapter 12.
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8-II.H. ENFORCING OWNER COMPLIANCE
If the owner fails to maintain the dwelling unit in accordance with NSPIRE, the PHA must take
prompt and vigorous action to enforce the owner obligations.
HAP Abatement
If an owner fails to correct NSPIRE 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 NSPIRE 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 five (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 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.
8-II.H. Enforcing Family Compliance with NSPIRE [24 CFR §982.404(b)]
Families are responsible for correcting any NSPIRE 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 [24 CFR §982.506].
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 NSPIRE inspection have been corrected.
PHA Policy
After the initial occupancy period, the owner may request a rent adjustment in
accordance with the owner’s lease. For rent increase requests after initial lease-up, the
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PHA may request owners to provide information about the rents charged for other units
on the premises, if the premises include more than four (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 Notice 2018-01; 24
CFR §982.507(a)(2)(ii); §983.302(a)(2; §983.303(b)(1); PIH Notice 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
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.
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 the FMR that triggers the need for a
rent reasonableness determination from 5 to 10 percent
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A rent reasonableness determination will be required only when the decrease in the
FMR 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 re-determine rent reasonableness before any increase in rent
to owner and/or if directed by HUD.
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.
LIHTC- and HOME-Assisted Units [24 CFR §982.507(c)]
For units receiving low-income housing tax credits (LIHTCs) or units assisted under HUD’s
HOME Investment Partnerships (HOME) Program, a rent comparison with unassisted units is
not required if the voucher rent does not exceed the rent for other LIHTC- or HOME-assisted
units in the project that are not occupied by families with tenant-based assistance.
For LIHTCs, if the rent requested by the owner does exceed the LIHTC rents for non-voucher
families, the PHA must perform a rent comparability study in accordance with program
regulations. In such cases, the rent shall not exceed the lesser of: (1) the reasonable rent as
determined from the rent comparability study; or (2) the payment standard established by the
PHA for the unit size involved.
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
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• 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-controlled by local ordinance. [PIH Notice 2002-22, PIH Notice 2005-20,
and PIH Notice 2020-19]
Note: PIH Notice 2020-19, issued August 21, 2020, 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 (form 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.
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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 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 five (5)
business days of the PHA’s request for information or the owner’s request to submit
information.
8-23
EXHIBIT 8-1: Overview of HUD Inspection Standards
Note: This document provides an Overview of NSPIRE. For more detailed information see the
following documents:
• 24 CFR §982.401, Housing Quality Standards (HQS)
• NSPIRE Protocol - Housing Choice Voucher Guidebook, Chapter 10.
• HUD Housing Inspection Manual for Section 8 Housing
• HUD Inspection Form, form HUD-52580 (7/19) and Inspection Checklist, form HUD-
52580-A (7/19)
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 NSPIRE 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.
8-24
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
8-25
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
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 [City of Chandler AZ, City Code, Chp 30.18 .G; 30.18.J.]
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 ‘FAIL,’ per the City of
Chandler City Code, 30.18.G. and J., Ordinance No 4951, “2020 Code
Amendments – Property Maintenance Ordinance:
− 30.18.G. - “No person owning or occupying any property fronting on any
street, alleyway or public place in the City, shall allow thereon grass or
weeds characterized as uncontrolled, unmaintained or overgrown,
including those areas between the property line and the street, when such
conditions create a blighted condition or may harbor infestations or are
likely to become a hazard to the public health or safety.”
− 30.18.J. – “No person shall allow or permit to remain any exterior
property condition that presents a blighted or deteriorated appearance
including, but not limited to, yards, ground covers, trees, shrubs or other
landscaping vegetation that is substantially dead or damaged,
characterized by uncontrolled growth or lack of maintenance, or any other
similar conditions.”
• 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.
8-26
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.
8-27
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 (7/19) and Inspection Checklist, form HUD-
52580-A (7/19)
(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 NSPIRE
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.
8-28
(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.
Part I. General Leasing Policies. 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 (NSPIRE) [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 - 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 of r his/hertheir rights and obligations under the Violence
against Women Act of 2013 (VAWA) [24 CFR §5.2005(a)(2)].
9-2
The PHA must provide the owner with the family's current and prior address (as shown in the
PHA 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 (RFTA) – Form HUD-52517
• Copy of the proposed lease, including the HUD-prescribed Tenancy Addendum – form
HUD-52641-A
The RFTA contains important information about the rental unit selected by the family, including
the unit address, number of bedrooms, structure type, year constructed, utilities included in the
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.
9-3
Both the RFTA 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 RFTA must be signed by both the family and the owner.
The owner may submit the RFTA on behalf of the family.
Completed RFTA (including the proposed dwelling lease) must be submitted as hard
copies, in-person, by mail, or by fax.
The family may not submit, and the PHA will not process, more than one (1) RFTA at a
time.
When the family submits the RFTA the PHA will review the RFTA for completeness:
• If the RFTA is incomplete (including lack of signature by family, owner, or both),
or if the dwelling lease is not submitted with the RFTA, 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 RFTA and proposed lease, the PHA will also review the
terms of the RFTA for consistency with the terms of the proposed lease.
• If the terms of the RFTA are not consistent with the terms of the proposed lease,
the PHA will notify the family and the owner of the discrepancies.
• Corrections to the terms of the RFTA and/or the proposed lease will only be
accepted as hard copies, in-person, by mail, 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)]
See Chapter 13 for a full discussion of owner qualification to participate in the HCV program.
9-4
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; or 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 disabilities.
9-5
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; 24 CFR §982.401]
*** Due to the NSPIRE demonstration, the NSPIRE 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 NSPIRE Protocol and/or equivalent state or local standards
approved by HUD. See Chapter 8 for a full discussion of the NSPIRE Protocol standards, as well
as the process for NSPIRE 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 NSPIRE 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.
9-6
Rent Reasonableness [24 CFR §982.305; 24 CFR §982.507]
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:
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• The names of the owner and the tenant:
• The unit rented (address, apartment number, and any other information needed to identify
the contract unit)
• The term of the lease (initial term and any provisions for renewal)
• The amount of the monthly rent to owner
• 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
In accordance with the Arizona Residential Landlord and Tenant Act, Article 2, §33-
1321. Security deposits, “A landlord shall not demand or receive security, however
denominated, including prepaid rent in an amount or value of MORE THAN one and
one-half month's rent.”
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)]
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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)]
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 strictly
prohibited.
Any items, appliances, or other services that are not customarily provided to unassisted
families as part of the dwelling lease, 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 cannot be reached by phone, fax, or email.
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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)]
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 (NSPIRE);
• 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 RFTA/proposed lease are changed for any reason, including but not
limited to negotiation with the PHA, the PHA will obtain corrected copies of the RFTA
and proposed lease, signed by the family and the owner.
• Corrections to the RFTA/proposed lease will only be accepted as hard copies, in-
person, by mail, 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
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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 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.
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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.
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 (RFTA) 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.
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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.
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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 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 shethey was were
imminently threatened by harm from further violence if he or shethey 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.
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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 NSPIRE 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)]
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, PIH 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
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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 NSPIRE), 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).
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
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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
[PIH Notice 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, or 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
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), PIH Notice 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.
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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 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.
The PHA must remind the family of 24 CFR §982.455, Automatic termination of HAP
contract, which states, “The HAP contract terminates automatically 180 calendar days
after the last housing assistance payment to the owner.”
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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 [PIH
Notice 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.
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 receiving 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).
10-8
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 initial 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 initial 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 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 shethey was were 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
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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 CFR §982.355(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 [PIH Notice 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 a jurisdiction under portability, the PHA
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).
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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 receiving PHA’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.
Voucher Extensions and Expiration
PHA Policy
The initial 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.
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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
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 [PIH Notice
2016- 09]
• A copy of the family’s voucher [PIH Notice 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), PIH Notice 2016-09]
• Copies of the income verifications backing up the form HUD-50058 [24 CFR
§982.355(c)(7), PIH Notice 2016-09]
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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 [PIH Notice 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 receiving 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
The initial PHA’s decision as to whether to accept late billing will be based on internal
PHA factors, including the initial PHA’s leasing or funding status. If the PHA has not
received an initial billing notice from the receiving PHA within the billing deadline and
does not intend to honor the late billing, 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. In this case, tThe PHA will send the receiving PHA a
written confirmation of its decision by mail.
Among other considerations as to whether to accept late billing will be 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.
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Monthly Billing Payments [24 CFR §982.355(e), PIH Notice 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 PIH Notice 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.)
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)].
10-14
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 CFR
§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.
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 [PIH Notice 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 [PIH Notice 2016-09.
PHA Policy
10-15
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 re-determine 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)].
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 [PIH Notice
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.
10-16
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 [PIH Notice 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), PIH 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)]
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 [PIH Notice 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
10-17
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. [PIH Notice 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.
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, so 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 [PIH Notice 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
HUD requires the initial PHA to honor the late submission (e.g., because the receiving PHA is
over-leased) [PIH Notice 2016-09].
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Ongoing Notification Responsibilities [PIH Notice 2016-09, Form 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 form 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 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 [PIH Notice 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.
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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 [PIH Notice 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 PIH
Notice 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
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. [form HUD-52665; PIH Notice 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 the
PHA has funding available under its annual contributions contract (ACC) [24 CFR
§982.355(d)(1), PIH Notice 2016-09].
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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 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. [PIH Notice 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)].
11-1
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.
11-2
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); NEW HCV GB, REEXAMINATIONS, CHP 2.1, ANNUAL
REEXAMINATIONS]
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 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, but is not required to verify
non-fixed income amounts. 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.
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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 NOTICE 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 [NEW
HCV GB, Reexaminations, Chps 1, Overview, 5.1, Effective Date of Annual Reexamination].
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
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 [PIH Notice 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 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.
11-4
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 NOTICE 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)].
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 provide 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 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 must be provided within 10 business days of the request. 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).
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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 [PIH Notice 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 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 (NSPIRE) (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
11-6
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 hertheir 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/hertheir 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/hertheir own income or the
income of his/hertheir 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/hertheir own income and the
income of his/hertheir 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]
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 [PIH Notice
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
11-7
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
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.
11-8
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 [NEW HCV GB, Reexaminations, Chp 2.2, Interim Reexaminations].
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
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)].
11-9
PHA Policy
The family must inform the PHA of the birth, adoption, or court-awarded custody of a
child within 10 business days.
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)]. The family must still notify the PHA of the change.
Although the PHA must verify aspects of program eligibility Wwhen any new family member is
added, the Streamlining Final Rule removed the requirement that PHAs conduct a reexamination
of income whenever a new family member is added. The PHA may state in policy that an income
reexamination will be conducted. 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 (NSPIRE) 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
The PHA will conduct an interim reexamination onceome when a new member is added,
just for income attributable to the new member, unless the addition is less than three (3)
months before the annual reexamination.
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 Section 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.
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.
11-10
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 NSPIRE 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
NSPIRE 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
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
11-11
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 cease 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.
• 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)].
11-12
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
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.
11-13
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.
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 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.
11-14
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:
− 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.
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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
[form 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
• 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.
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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.
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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.
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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.
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
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A family will be considered evicted if the family moves after a legal eviction order has
been issued, whether or not physical enforcement of the order was necessary.
If a family moves after the owner has given the family an eviction notice for serious or
repeated lease violations but before a legal eviction order has been issued, termination of
assistance is not mandatory. 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.
Failure to Document Citizenship [24 CFR §982.552(b)(4); [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), PIH Notice
2018-24]
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
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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 [PIH Notice 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.
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); 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/hertheir 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); PIH Notice 2010-9; PIH Notice
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.
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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); §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
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.
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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.
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 and recreational marijuana directly conflict with the
admission and continued requirements of the Quality Housing and Work Responsibility Act of
1998 (QHWRA) 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, 201424 CFR §984.10(d), 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].
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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 [24
CFR §982.552(c)(1)(i)].
• 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.
• 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
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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
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.
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• 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.
• Families comprising the required number of special purpose vouchers, including
nonelderly disabled (NED), HUD-Veteran’s Affairs Supportive Housing (HUD-
VASH), and family unification program (FUP) will be the last to be terminated.
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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)]
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.
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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.
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, COCHRD may obtain the police report associated with the arrest and
consider the reported circumstances of the arrest. COCHRD 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:
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• 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 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 for a Family Member with Disabilities [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.
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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.
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.)
1. 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 shethey were was imminently threatened by harm from further violence if he
or shethey remained in the unit [24 CFR §982.314(b)(4)].
2. 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)].
3. 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)].
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4. 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:
• 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
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• 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 shethey are 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
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 [PIH Notice 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.
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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]
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/hertheir right to offer the family a separate,
unassisted lease.
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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.
In addition, 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.
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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
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;
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.
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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).
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.
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The notice of grounds may be included in, or may be combined with, any owner eviction notice
to the tenant.
Owner eviction notice means a notice to vacate, or a complaint or other initial pleading used
under state or local law to commence an eviction action. The owner may only evict the 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.
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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
(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 (NSPIRE) 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.
PHA Policy
The family must comply with lease requirements regarding written notice to the
owner.
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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.
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].
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• 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.
• 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.
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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 §1437 F(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.
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
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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
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.
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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
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 (NSPIRE ) 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 NSPIRE requirements.
See chapter 8 for a discussion of the NSPIRE standards and policies for NSPIRE 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-
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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]
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 (NSPIRE ), 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.
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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
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; NEW HCV GB, Housing Assistance Payments
(HAP) Contract, Chp 2.4, Conflicts of Interest; p. 8-19; Form HUD-52641, Housing
Assistance Payment Contract (HAPC), Section 13]
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;
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• 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/hertheir 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.
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 NSPIRE 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;
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• 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 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.
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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 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 tenant-based 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.
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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
• 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.
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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.
If the owner receives any excess HAP from the PHA, the excess amount must be returned
immediately. If the PHA determines 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 NSPIRE ; 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.
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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.
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 NSPIRE
• 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
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• 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.
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;
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• 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 NSPIRE size requirements due to change in family
composition [24 CFR §982.403] – see Chapter 8;
• The unit does not meet NSPIRE [24 CFR §982.404] – see chapter 8;
• The family breaks up [HUD Form 52641] – see Chapter 3;
• 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 [form
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.
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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:
• 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 [10-49PIHN; PIH NOTICE 2009-52] [42 U.S.C.
1437(F)(O)(7)(C); PUBLIC LAW 111-22]
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.
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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 must:
A. 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’ websites 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.
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
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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.
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.
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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 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 PIH Notice 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 in 18
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.
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The PHA will provide owners with ongoing information about the program, with an
emphasis on actions and situations to avoid.
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
NSPIRE compliance [24 CFR, Part §985]. (See Chapter 16 for additional information about
SEMAP requirements).
PHA Policy
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
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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]
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:
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(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 Chapter 16).
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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
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repay the excess 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.
• The PHA may require the family to repay excess subsidy amounts paid by the PHA, as
described earlier in this section.
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• 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., NSPIRE 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 extra
charge
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• 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].
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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
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 COCHRD 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 is egregious;
(3) Extenuating Circumstances. The COCHRD 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].
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The PHA must be the principal party initiating or sustaining the action to recover amounts due
from 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; NEW HCV GB, Special Housing Types]
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].
A single unit cannot be designated as more than one type of special housing. The PHA cannot
give preference to households that wish to live in any of these types of housing and cannot
require households to select any of these types of housing [NEW HCV GB, Special Housing
Types, Chp 1].
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
15-2
PART I. SINGLE ROOM OCCUPANCY
[24 CFR §982.602 through §982.605; Form HUD-52641, Housing Assistance Payments
Contract (HAPC); NEW HCV GB, Special Housing Types, Chp 2, Single Room Occupancy
Facilities]
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
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.
•
The standard HAPC, form HUD 52641, must be used for SRO units, as well as the other listed
special housing types as defined by HUD. When preparing the contract for a lease with a special
housing type, the following statement must be added to the HAPC, Part A, page 1:
“This HAP contract is used for the following special housing type under HUD
regulations for the Section 8 voucher program: (Single Room Occupancy (SRO).”
[Instructions for use of HAP Contract, Use for Special Housing Types]
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 NSPIRE PROTOCOL WILL
BE USED AS PART OF A DEMONSTRATION PROGRAM WITH HUD
HQS requirements described in Chapter 8 apply to SRO housing except that sanitary facilities,
and space and security characteristics must meet local code standards for SRO housing. In the
absence of applicable local code standards for SRO housing, the following standards apply [24
CFR §982.605]: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.
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• 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.
Shared Sanitary facilities must be reasonably accessible from a common hall or
passageway, and may not be located more than one floor above or below the SRO unit.
They may not be located below grade unless the SRO units are located on that level.
• Space and Security: An SRO unit must contain at least 110 square feet of floor space, and
at least four square feet of closet space with an unobstructed height of at least five feet,
for use by the occupant. If the closet space is less than four square feet, the habitable
floor space in the SRO unit must be increased by the amount of the deficiency. Exterior
doors and windows accessible from outside the SRO unit must be lockable.
Because no children live in SRO housing, the housing quality standards applicable to lead-based
paint do not apply.
15-4
PART II. CONGREGATE HOUSING
[24 CFR §982.606 through §982.609; Form HUD-52641, Housing Assistance Payments
Contract (HAPC); NEW HCV GB, Special Housing Types, Chp 3, Congregate Housing]
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
• The standard HAPC, form HUD 52641, must be used for congregate housing units, as
well as the other listed special housing types as defined by HUD. When preparing the
contract for a lease with a special housing type, the following statement must be added to
the HAPC, Part A, page 1:
“This HAP contract is used for the following special housing type under HUD
regulations for the Section 8 voucher program: (Congregate Housing).”
[Instructions for use of HAP Contract, Use for Special Housing Types]
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 assisted family’s 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 NSPIRE DEMONSTRATION WITH HUD AND ALL
REQUIREMENTS THAT ARE PART OF THE DEMONSTRATION)
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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 by the residents themselves.
The congregate housing must contain adequate facilities and services for the sanitary disposal of
food waste and refuse, including facilities for temporary storage where necessary.
The housing quality standards applicable to lead-based paint do not apply unless a child under
the age of six is expected to reside in the unit.
15-6
PART III. GROUP HOME
[24 CFR §82.610 through §82.614 and HCV GB p. 7-4Form HUD-52641, Housing
Assistance Payments Contract (HAPC); NEW HCV GB, Special Housing
Types, Chp 4, Group Homes]
15-III.A. OVERVIEW
A group home is a state-approved (licensed, certified, or otherwise approved in writing by the
state) 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.
• The standard HAPC, form HUD 52641, must be used for group homes, as well as the
other listed special housing types as defined by HUD. When preparing the contract for a
lease with a special housing type, the following statement must be added to the HAPC,
Part A, page 1:
“This HAP contract is used for the following special housing type under HUD
regulations for the Section 8 voucher program: (Group Homes).” [Instructions for
use of HAP Contract, Use for Special Housing Types]
15-III.B. PAYMENT STANDARD, UTILITY ALLOWANCE, AND HAP
CALCULATION
Unless there is a live-in aide, the family unit size (voucher 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.
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The number of persons in the assisted household equals one assisted person plus any PHA-
approved live-in aide
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 family
unit size to the utility allowance for the group home.
The rents paid for participants residing in group homes are subject to generally applicable
standards for rent reasonableness. The rent for an assisted person must not exceed the pro-rata
portion of the reasonable rent for the group home. In determining reasonable rent, the PHA
should must 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 NSPIRE PROTOCOL.
The entire unit must comply with 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. Doors and windows accessible from outside the unit must be lockable.
• 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 disturbing noises and reverberations,
and other 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
15-8
− 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
− Excessive accumulations of trash
− Fire hazards.
The housing quality standards applicable to lead-based paint do not apply unless a child under
age six (6) is expected to reside in the unit.
15-9
PART IV: SHARED HOUSING
[24 CFR §982.615 through §982.618; Notice PIH 2021-05, Form HUD-52641, Housing
Assistance Payments Contract (HAPC); NEW HCV GB, Special Housing
Types, Chp 5, Shared Housing]
15-IV.A. OVERVIEW
Families in markets with tight rental conditions or with a prevalence of single-family housing
may determine a shared housing living arrangement to be a useful way to secure affordable
housing. PHAs offering shared housing as a housing solution may also experienced some
reduction in the average per-unit-cost (PUC) paid on behalf of assisted families.
Shared housing is a single housing unit occupied by an assisted family and another resident or
residents. The unit may be a house or an apartment. 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.
Shared housing may be offered in a number of ways, including for-profit co-living (such as a
boarding house, single bedroom with common living room/kitchen/dining room) run by a private
company [Notice PIH 2021-05].
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 shared housing is offered as a housing option, HUD encourages PHAs to consider ways in
which the families may be assisted in finding shared housing, including for-profit shared housing
matching (such as roommates or single-family homes) and online sites that charge a fee for their
matching services, or nonprofit shared housing matching services. HUD further encourages
PHAs to include information about this housing possibility in the family’s voucher briefing.
PHAs should be aware of potential local legal barriers to HCV participants using shared housing,
which can create additional obstacles for shared housing:
• Municipalities may have occupancy limits for the number of unrelated persons who may
share a housing unit.
• Local zoning codes for single family housing may restrict occupancy in certain areas to
households whose family members are related by blood.
PHAs should work with local jurisdictions to find solutions that encourage affordable housing
and are consistent with the Fair Housing Act, Title VI, and other federal, state, and local fair
15-10
housing laws. PHAs should inform HUD if they encounter barriers to shared housing that may
conflict with fair housing laws.
When providing HCV assistance in shared housing, a separate lease and HAP contract are
executed for each assisted family. The standard form of the HAP contract is used.
• The standard HAPC, form HUD 52641, must be used for shared housing units, as well as
the other listed special housing types as defined by HUD. When preparing the contract
for a lease with a special housing type, the following statement must be added to the
HAPC, Part A, page 1:
“This HAP contract is used for the following special housing type under HUD
regulations for the Section 8 voucher program: (Shared Housing).” [Instructions
for use of HAP Contract, Use for Special Housing Types]
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 (voucher 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, non-shared space by the total number of bedrooms in the unit.
Example: Family holds a two-bedroom voucher.
Shared housing unit size: bedrooms available to assisted family = 2
Total bedrooms in the unit: 3
2 Bedrooms for assisted family
÷ 3 Bedrooms in the unit.
.667 pro-rata share
2 BR payment standard: $1200
3 BR payment standard: $1695 $1695 x .667 (pro-rata share) = $1131 $1131 is
lower than the $1200 payment standard for the 2 BR family unit size $1131 is the
payment standard used to calculate the HAP
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.
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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.
Example: A family holds a 2-bedroom voucher. The family decides to occupy 3 out of 4
bedrooms available in the unit.
The utility allowance for a 4-bedroom unit equals $200
The utility allowance for a 2-bedroom unit equals $100
The prorata share of the utility allowance is $150 (3/4 of $200)
The PHA will use the 2-bedroom utility allowance of $100.
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 shouldmay 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 NSPIRE 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
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 (voucher
size). A zero-bedroom or one (1)-bedroom unit may not be used for shared housing.
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PART V. COOPERATIVE HOUSING
[24 CFR §982.619; NEW HCV GB, Special Housing Types, Chp. 6, Cooperative Housing]
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.”
.” The monthly carrying charge includes the member’s share of the cooperative debt service,
operating expenses, and necessary payments to cooperative reserve funds. It 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.
The occupancy agreement or lease and other appropriate documents must provide that the
monthly carrying charge is subject to Section 8 limitations on rent to owner, and the rent must be
reasonable as compared to comparable unassisted units.
When providing HCV assistance in cooperative housing, the standard form of the HAP contract
is used.
• The standard HAPC, form HUD 52641, must be used for cooperative housing units, as
well as the other listed special housing types as defined by HUD. When preparing the
contract for a lease with a special housing type, the following statement must be added to
the HAPC, Part A, page 1:
“This HAP contract is used for the following special housing type under HUD
regulations for the Section 8 voucher program: (Cooperative Housing).”
[Instructions for use of HAP Contract, Use for Special Housing Types]
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 gross rent (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.
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15-V.C. HOUSING QUALITY STANDARDS - ALL INSPECTION REQUIREMENTS
WILL BE CONDUCTED IN ALIGNMENT WITH HUD’S NSPIRE PROTOCOL.
All standard HQS requirements apply to cooperative housing units. There are no additional HQS
requirements.
. The PHA remedies described in 24 CFR §982.404 do not apply. Rather, if the unit and premises
are not maintained in accordance with HQS, the PHA may exercise all available remedies
regardless of whether the family or cooperative is responsible for the breach of HQS.
No housing assistance payment can be made unless unit meets HQS and the defect is corrected
within the period as specified by the PHA and the PHA verifies correction (see Chapter 8).
In addition to regular breaches of HQS, breaches of HQS by the family include failure to
perform any maintenance for which the family is responsible in accordance with the terms of the
cooperative occupancy agreement [NEW HCV GB, Special Housing Types, Chp 6.2, Housing
Quality Standards ].
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PART VI. MANUFACTURED HOMES
[24 CFR §982.620 through §982.624; FR Notice 1/18/17; NEW HCV GB, Special Housing
Types, Chp. 7, Manufactured Homes]
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 threewo 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 Section 15-VI.D below.
(2)
A family can purchase a manufactured home under the Housing Choice Voucher
Homeownership program.
(3)
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 REQUIREMENTS 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 HUD 52642-a) and separate HAP Contract (form
HUD 52642) for this special housing type.
15-VI.C. PAYMENT STANDARD, UTILITY ALLOWANCE AND HAP CALCULATION
[FR NOTICE 1/18/17] [24 CFR §982.623(A)]
Payment Standards
There is a separate fair market rent for a manufactured home space. The FMR for a
manufactured home space is determined in accordance with 24 CFR §888.113(ge) of this title.
The FMR for a manufactured home space is generally 40 percent of the published FMR for a
two-bedroom unit.
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The FMR for a manufactured home space rental (for the HCV program under 24 CFR part
§982.620-621) is 40 percent of the FMR for a two-bedroom unit for the metropolitan area or
non-metropolitan county, as applicable.
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.
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
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.
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Housing Assistance Payment (HAP)
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
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 checkhousing assistance payment, the owner certifies that the
rent does not exceed rents charged by the owner for comparable unassisted spaces in the same
manufactured home park or elsewhere.
If requested by the PHA, the owner must give the PHA information on rents charged by the
owner for other manufactured home spaces.
15-VI.D. HOUSING QUALITY STANDARDS - ALL INSPECTION REQUIREMENTS
WILL BE CONDUCTED IN ALIGNMENT WITH HUD’S NSPIRE 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.
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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 may choose not to offer homeownership assistance. However, tThe 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 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.
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• 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 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(E)]
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;
15-19
− 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.
Families may enter into contracts of sale for units not yet under construction. However, the PHA
will not commence homeownership assistance for the family for that unit until:
1. Either the responsible entity completes the environmental review as required by 24 CFR
part 58 and HUD approved the environmental certification and request for release of
funds prior to commencement of construction or HUD performed an environmental
review under CFR part 50 and notified the PHA in writing of environmental approval of
the site prior to construction commencement; and
2. Construction of the unit has been completed and the unit has passed the required HQS
inspection and independent inspection as addressed elsewhere in this chapter.
• 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 NSPIRE, 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]
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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 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.
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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
PHA has inspected the unit and has determined that the unit passes NSPIRE.
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 NSPIRE.
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.
• A contract for the sale of a unit not yet under construction must meet all above
requirements, and requirements below. Commencement of construction in violation of
the below requirements voids the purchase contract.
-
The purchaser is not obligated to purchase the unit unless an environmental review
has been performed and the site received environmental approval prior to
commencement of construction in accordance with 24 CFR 982.628; and
-
The construction will not commence until the environmental review has been
completed and the seller has received written notice from the PHA that
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environmental approval has been obtained. Environmental approval may be
conditioned on the contracting parties’ agreement to modification to the unit design
or to mitigation actions.
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]
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 family
obligations in the form prescribed by HUD [form HUD-52649]. In the statement, the family
agrees to comply with all family obligations under the homeownership option.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.
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• The family must provide the PHA with information on any satisfaction or payment of the
mortgage debt.
• 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
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
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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)
(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. (24 CFR §982.635
(d))
Homeownership assistance for a family terminates automatically 180 calendar days after the last
homeownership assistance payment on behalf of the family. (24 CFR §982.635 (e)
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) may 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,
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:
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• 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); (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.
15-VII.M. MOVING WITH CONTINUED ASSISTANCE [24 CFR §982.637]
A family receiving homeownership assistance may move with continued tenant-based rental
assistance, The family may move with voucherrental assistance or with voucher homeownership
assistance.
The PHA must determine that all initial requirements have been satisfied if a family that has
received homeownership assistance wants to move with continued homeownership assistance.
However, the following do not apply:
Continued tenant-based assistance for a new unit cannot begin so long as any family member
holds title to the prior home.
•
See 24 CFR §982.637 for detailed information on allowed tenant-based assistance for a family or
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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.
• The requirement for pre-assistance counseling (§982.630) is not applicable. However, the
PHA may require that the family complete additional counseling (before or after moving
to a new unit with continued assistance under the homeownership option).
• The requirement that a family must be a first-time homeowner (§982.627) is not
applicable.
Continued tenant-based assistance for a new unit cannot begin so long as any family member
holds title to the prior home. However, 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 (or any family member has
been the victim of a sexual assault that occurred on the premises during the 90-calendar-day
period preceding the family’s request to move), such family or family member may be assisted
with continued tenant-based assistance even if they own any title or other interest in the prior
home.
• See 24 CFR §982.637 for detailed information on allowed tenant-based assistance for a
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.
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).
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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.
Homeownership assistance for a family automatically terminates 180 calendar days after the last
homeownership assistance payment on behalf of the family. However, a PHA may grant relief
from this requirement in those cases where automatic termination would result in extreme
hardship for the family.
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
from victims.
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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.
PIH Notice 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).
In addition, as specified in Notice PIH 2022-18, PHAs may use administrative fee funding for
both administrative and “other expenses” needed to employ strategies and undertake activities
beyond regular administrative responsibilities to facilitate the successful leasing and use of
housing choice vouchers by families, such as through the use of security deposit assistance and
landlord recruitment and incentive payments, among other allowable expenses specified in the
notice. PHAs are also permitted to use UNP for these expenses [Notice PIH 2022-18].
If a PHA has not adequately administered its HCV program, HUD may prohibit use of funds in
the UNP 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 UNP account without specific approval.
PHA Policy
Expenditures from the UNP 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.
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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).
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.
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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.
• 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 may 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 should 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 should 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 changes 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.
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Exception Payment Standards [24 CFR §982.503(c)(5); PIH Notice 2018-01; FR Notice
9/27/2021]
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.
In addition, HUD allows PHAs to establish a HUD-Veterans Affairs Supportive Housing (HUD-
VASH) exception payment standard. PHAs may go up to but no higher than 120 percent of the
FMR or SAFMR specifically for VASH families. PHAs who want to establish a VASH
exception payment standard over 120 percent must still request a waiver from HUD (See Section
19-III.E.).
Voluntary Use of Small Area FMRs [24 CFR §982.503; PIH Notice 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); PIH Notice 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
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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;
• 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
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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
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.
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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)].
Ensuring Accessibility for Persons with Disabilities and LEP Individuals in Informal
Reviews and Informal Hearings
As with in-person informal reviews and hearings, the method for conducting remote informal
reviews/hearings must be accessible to persons with disabilities and the review/hearing must be
conducted in accordance with Section 504 and accessibility requirements. This includes ensuring
any information, websites, emails, digital notifications, and other virtual platforms are accessible
for persons with vision, hearing, and other disabilities.
Further, providing effective communication in a digital context may require the use of
individualized auxiliary aids or services, such as audio description, captioning, sign language and
other types of interpreters, keyboard accessibility, accessible documents, screen reader support,
and transcripts. Auxiliary aids or services must be provided in accessible formats, in a timely
manner, and in such a way to protect the privacy and independence of the individual.
PHAs may never request or require that individuals with disabilities provide their own auxiliary
aids or services, including for remote informal reviews/hearings.
PHAs are required to make reasonable accommodations in policies, practices, and procedures to
ensure persons with disabilities have a full and equal opportunity to participate in and benefit
from all aspects of the informal review/hearing process. See Chapter 2 for a more detailed
discussion of reasonable accommodation requirements.
If no method of conducting a remote informal review/hearing is available that appropriately
accommodates an individual’s disability, the PHA may not hold against the individual his or
hertheir inability to participate in the remote informal review/hearing, and the PHA should
consider whether postponing the remote informal review/hearing to a later date is appropriate or
whether there is a suitable alternative.
Due to the individualized nature of disability, the appropriate auxiliary aid or service necessary,
or reasonable accommodation, will depend on the specific circumstances and requirements.
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As with in-person reviews/hearings, Limited English Proficiency (LEP) requirements also apply
to remote informal reviews/hearings, including the use of interpretation services and document
translation. See Chapter 2 for a more thorough discussion of accessibility and LEP requirements,
all of which apply in the context of remote informal reviews/hearings.
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): 34690]
Decisions Subject to Informal Review [24 CFR §982.554(a) and (c)]
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 NSPIRE
• A PHA determination that the unit is not in accordance with the NSPIRE 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
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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.
If the informal review will be conducted remotely, at the time the PHA notifies the family
of the informal review, the family will be informed:
• Regarding the processes to conduct a remote informal review;
• That, if needed, the PHA will provide technical assistance prior to and during the
informal review; and
• That if the family or any individual witness has any technological, resource, or
accessibility barriers preventing them from fully accessing the remote informal
review, the family may inform the PHA and the PHA will assist the family in
either resolving the issues or allow the family to participate in an in-person
informal review, as appropriate.
Informal Review Procedures [24 CFR §982.554(b)]
There is no requirement that informal reviews be conducted in-person and, as such, HUD allows
PHAs to conduct all or a portion of their informal review remotely either over the phone, via
video conferencing, or through other virtual platforms.
If the PHA chooses to conduct remote informal reviews, applicants may still request an in-person
informal review, as applicable.
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.
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.
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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, telephone, and if necessary, in person.
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 informal reviews, 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 childcare 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. The PHA will consider other reasonable requests for a remote informal
review on a case-by-case basis.
Conducting Remote Informal Reviews [PIH Notice 2020-32; 24 CFR §982.554]
The PHA must ensure that the participant 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.
The PHA must ensure that the lack of technology or inability to use technology for remote
reviews does not pose a disadvantage to families that may not be apparent to the PHA.
The PHA must ensure that the family has appropriate technological access in order to fully
participate in the remote review.
The PHA should determine through a survey or other means (See PIH Notice 2020-32, Section
6) if these barriers exist prior to conducting the remote informal review and, if the family does
not have the proper technology to fully participate, either postpone the informal review until
access can be provided, or provide an alternative means of access.
The PHA must provide all materials presented, whether paper or electronic, to the family prior to
the remote informal review. The family must also be provided with an accessible means by
which to transmit their own evidence.
All PHA policies and processes for remote informal reviews must be conducted in accordance
with due process requirements and be in compliance with HUD regulations at 24 CFR §982.554
and guidance specified in PIH Notice 2020-32.
PHA Policy
The PHA will conduct remote informal reviews via videoconferencing or telephone
conferencing, when available. 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).
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o At least 48 hours prior to date and time of the remote review, the PHA will
provide the family with login information and/or conferencing call-in
information.
o The notice will advise the family of technological requirements for the
hearing and request the family notify the PHA immediately of any known
barriers to accessing the remote review.
▪ The PHA will resolve any barriers using the guidance in PIH
Notice 2020-32, Section 6.
• The notice will advise the family of technological requirements for the review and
request the family notify the PHA immediately of any known barriers to accessing
the remote review. All parties who must have necessary documentation, whether
paper or electronic, from the PHA has received it, and can access it.
• The PHA will send the documents to the applicant by US Mail to ensure
delivery to the correct address.
• At least 24 hours in advance of the review, the PHA will verify that all
parties have received the documentation to be presented at the review, and
can access it.
• The family must also be provided with an accessible means by which to transmit
their own evidence.
• Within 48 hours in advance of the review, the applicant has provided the
PHA with any documents directly relevant to the review.
• The PHA will accept documentation by US Mail, email, or hand delivered
to the housing office.
• The PHA has tested their access with the applicants to ensure on the day and time
of the review, delays due to inability to access will be at a minimum.
• At least 24 hours in advance of the review, the PHA will verify that all
parties have received information on how to access the video or telephone
conference.
• 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.
• If the family (or the family’s witness(es) is/are unable to adequately access
the optional telephone conferencing call-in at any point, the remote
informal review will be postponed, and an in-person alternative will be
provided promptly for a date within a reasonable time.
• If the applicant does not have proper technology access and the remote hearing or
remote briefing warrants postponement due to the lack of remote access, the PHA
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may not hold against the individual his or her inability to participate in the remote
hearing or remote briefing.
• Documents will be shared electronically whenever possible.
• The PHA will ensure that all electronic information stored or transmitted with
respect to the informal review is secure, including protecting personally
identifiable information (PII), and meets the requirements for accessibility for
persons with disabilities and persons with LEP.
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 hertheir 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.C. 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
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to the PHA’s HCV program and is currently assisted in the program. The purpose of the informal
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 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
NSPIRE
• A PHA determination that the unit is not in accordance with NSPIRE because of family
size
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• A determination by the PHA to exercise or not to exercise any right or remedy against an
owner under a HAP contract
PHA Policy
The PHA will only offer participants the opportunity for an informal hearing when
required to by the regulations, and if the PHA denies a request for a reasonable
accommodation (see Chapter 2).
Remote Informal Hearings [PIH Notice 2020-32]
If the PHA denies a request for an accommodation because there is no relationship or nexus
found between the disability and the requested accommodations, the PHA will discuss with the
family the reason for the denial. If the family cannot provide additional information to clarify the
requested accommodation, 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.
There is no requirement that informal hearings be conducted in-person, and as such, HUD allows
PHAs to conduct all or a portion of their informal hearings remotely either over the phone, via
video conferencing, or through other virtual methods. If the PHA chooses to conduct remote
informal hearings, applicants may still request an in-person informal hearing, as applicable.
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.
− 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
childcare 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. The
PHA will consider other reasonable requests for a remote informal hearing on a case-by-
case basis.
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
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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 [PIH Notice 2020-32]
The PHA must ensure that the participant 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 hearing.
The PHA must ensure that the lack of technology or inability to use technology for remote
informal hearings does not pose a disadvantage to families that may not be apparent to the PHA.
The PHA must ensure that the family has appropriate technological access in order to fully
participate in the remote hearing.
The PHA should determine through a survey or other means (See PIH Notice 2020-32, Section
6) if these barriers exist prior to conducting the remote informal hearing and, if the family does
not have the proper technology to fully participate, either postpone the informal hearing or
provide an alternative means of access.
The PHA must provide all materials presented, whether paper or electronic, to the family prior to
the remote informal hearing. The family must also be provided with an accessible means by
which to transmit their own evidence.
All PHA policies and processes for remote informal hearings must be conducted in accordance
with due process requirements and be in compliance with HUD regulations at 24 CFR §982.554
and guidance specified in PIH Notice 2020-32.
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).
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▪ At least 48 hours prior to date and time of the remote hearing, the PHA
will provide the family with login information and/or conferencing call-in
information.
▪ The notice will advise the family of technological requirements for the
hearing and request the family notify the PHA immediately of any known
barriers to accessing the remote hearing.
• The PHA will resolve any barriers using the guidance in PIH
Notice 2020-32, Section 6.
▪ At least 48 hours prior to date and time of the remote hearing, the PHA
will provide the family with login information and/or conferencing call-in
information.
• The notice will advise the family of technological requirements for the hearing
and request the family notify the PHA immediately of any known barriers to
accessing the remote hearing. All parties who must have necessary
documentation, whether paper or electronic, from the PHA has received it, and
can access it.
▪ PHA will send the documents to the family by US Mail to ensure delivery
to the correct address.
▪ At least 24 hours in advance of the hearing, the PHA will verify that all
parties have received the documentation to be presented at the hearing,
and can access it.
• The family must also be provided with an accessible means by which to transmit
their own evidence.
▪ Within 48 hours in advance of the hearing, the applicant has provided the
PHA with any documents directly relevant to the hearing.
▪ The PHA will accept documentation by US Mail, email, or hand
delivered to the housing office.
▪ The PHA has tested their 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.
▪ At least 24 hours in advance of the hearing, the PHA will verify that all
parties have received information on how to access the video or telephone
conference.
• 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, or another means acceptable to the PHA and the
Hearing Officer.
• Witness testimony may be accepted via telephone call-in.
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• If the family (or the family’s witness(es) is/are unable to adequately access
the optional telephone conferencing call-in at any point, the remote
informal hearing will be postponed, and an in-person alternative will be
provided promptly for a date within a reasonable time.
• If the participant does not have proper technology access and the remote hearing
warrants postponement due to the lack of remote access, the PHA may not hold
against the individual his or her inability to participate in the remote hearing.
• Documents will be shared electronically whenever possible.
• The PHA will ensure that all electronic information stored or transmitted with respect to
the informal hearing is secure, including protecting personally identifiable information
(PII), and meets the requirements for accessibility for persons with disabilities and
persons with LEP.
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 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.
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• 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.
• That the family may request a remote informal hearing.
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.
If the PHA hearing will be conducted remotely, at the time the notice is sent to the
family, the family will be notified:
• Regarding the processes involved in a remote informal hearing;
• That the PHA will provide technical assistance prior to and during the informal
hearing, if needed; and
• That if the family or any individual witness has any technological, resource, or
accessibility barriers, the family may inform the PHA and the PHA will assist the
family in either resolving the issue or allow the family to participate in an in-
person hearing, as appropriate.
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
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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.
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.
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.
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 informal hearing.
The PHA will mail, email, or hand-deliver, copies of the hearing packet to the family, the
family’s representatives, if any, and the hearing officer at least three days before the
scheduled remote informal hearing. The original hearing packet will be in the possession
of the PHA representative and retained by the PHA.
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)]
At its own expense, the family may be represented by a lawyer or other representative at the
informal hearing.
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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
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.
(1) Oral evidence: the testimony of witnesses
(2) Documentary evidence: a writing that 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:
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− Police Reports are documentary evidence and will take the place of an
officer’s presence at the informal hearing.
(3) 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.
(4) Real evidence: A tangible item relating directly to the case.
Hearsay Evidence Hearsay Evidence is evidence based not on a witness’ personal knowledge. In
and of itself, hearsay evidence carries no weight when making a finding of fact. The hearing
officer may include hearsay evidence when considering their decision if it is corroborated by
other evidence. Even though hearsay evidence is generally admissible in a hearing, the hearing
officer will not base a hearing decision on hearsay alone unless there is clear probative value and
credibility of the evidence, and the party seeking the change has met the burden of proof..
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 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.
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• 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/hertheir
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.
PHA Policy
The hearing officer will mail a “Notice of Hearing Decision” to the PHA.
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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.D. 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)]
The notice of denial or termination of assistance for noncitizens must advise the family:
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• That financial assistance will be denied or terminated, and provide a brief explanation of
the reasons for the proposed denial or termination of assistance.
• The family may be eligible for proration of assistance.
• In the case of a participant, the criteria and procedures for obtaining relief 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.
Informal Hearing Procedures for Applicants [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 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.
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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
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.
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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
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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].
If the family breaches an agreement with the PHA to pay amounts owed to a PHA, or amounts
paid to an owner by a PHA, the PHA, at its discretion, may offer a family the opportunity to
enter an agreement to pay amounts owed to a PHA or amounts paid to an owner by a PHA. The
PHA may prescribe the terms of the agreement [24 CFR 982.552(c)(1)(vii)].
This part describes the PHA’s policies for recovery 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.
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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, including, but not limited to, the
following:
Collection agencies
Small claims court
Civil lawsuit
State income tax set-off program
Family Debts to the PHA
Families are required to reimburse the PHA if they were charged less rent than required because
the family either underreported or failed to report income. . PHAs are required to determine
retroactive rent amounts as far back as the PHA has documentation of family unreported income
[Notice PIH 2018-18, Sect 16]. HUD does not authorize any PHA-sponsored amnesty or debt
forgiveness programs.
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 must terminate assistance in accordance
with the policies in Chapter 12Notice PIH 2018-18, and pursue other modes of collection,
including, but not limited to, the following:
•
Collection agencies
•
Small claims court
•
Civil lawsuit
•
State income tax set-off program
Repayment Agreement [24 CFR §792.103]
The term repayment agreement refers to a formal 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
PIH Notice 2017-122018-18 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, PIH Notice
2010-19 2018-18 acknowledges that PHAs have the discretion to establish “thresholds and
policies” for repayment agreements with families [24 CFR §982.552(c)(1)(vii)].
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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.
If a family can provide evidence satisfactory to the PHA that the threshold applicable to
the family’s debt would impose an undue hardship, the PHA may, in its sole discretion,
determine that a lower monthly payment amount is reasonable. In making its
determination, the PHA will consider all relevant information, including the following:
• The amount owed by the family to the PHA
• The reason for the debt, including whether the debt was the result of family
action/inaction or circumstances beyond the family’s control
• The family’s current and potential income and expenses
• The family’s current family share, as calculated under 24 CFR 982.515
• The family’s history of meeting its financial responsibilities
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). [Notice PIH
2018-18]
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
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.
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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
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 PaymentsTerms
All repayment agreements must be in writing, dated, signed by both the family and the PHA,
include the total retroactive rent amount owed, any amount of lump sum payment made at time
of execution, if applicable, and the monthly repayment amount. PIH Notice 2017-122018-18
requires certain provisions, at a minimum, 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
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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 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.
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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; 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.
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 NSPIRE
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 at the required times.
• 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
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• 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.
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.
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• 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 less 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
toon or before the effective date of the lease and HAP contract, according to data from
PIC.
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.
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• 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 50th
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.
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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 protects an individual’s privacy rights.
16-VI.B. RECORD RETENTION [24 CFR §982.158; 24 CFR §908.101]
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.
• Records associated with applicants dropped for non-response to include returned
envelopes, unopened, for at least three years or until the next occupancy audit.
The PHA must keep the last three years of the Form HUD-50058 and supporting documentation
during the term of each assisted lease, and for a period of at least three years from the end of
participation (EOP) date [24 CFR 908.101].
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The PHA must maintain Enterprise Income Verification (EIV) system Income Reports in the
tenant file for the duration of the tenancy but for a period not to exceed three years from the EOP
date [Notice PIH 2018-18].
PIH Notice 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]
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.
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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. Before faxing sensitive PII, PHA staff will 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.
Privacy Act Requirements [24 CFR §5.212; Form HUD 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 - 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.
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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
sex offender registration information received by the PHA from a State or local agency is
maintained confidentially, not misused or improperly disseminated, and destroyed, once the
purpose for which the record was requested has been accomplished, including expiration of the
period for filing a challenge to 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 [PIH Notice 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
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.
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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 to which the PHA is subject.
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.
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.
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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.
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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 and funding
reserves, 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.
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.
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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
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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:
− 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 hertheir 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
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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.
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
notices in Exhibits 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, PIH Notice 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.
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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, 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)]:
(1) A completed and signed HUD-approved certification form (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.
(2) A federal, state, tribal, territorial, or local police report or court record, or an
administrative record
(3) 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.
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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.
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 [PIH Notice 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
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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 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
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214 covered 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
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
Lawful Permanent Residents (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, form HUD 5380
City of Chandler Housing and Redevelopment Division
Notice of Occupancy Rights under the Violence Against Women Act 1(VAWA)
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.2 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 the housing choice voucher
program 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.
1 Despite the name of this law, VAWA protection is available regardless of sex, gender identity, or sexual
orientation.
2 Housing 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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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.
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
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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 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.
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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:
• You give written permission to the PHA to release the information on a time-limited
basis.
• The PHA 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 the PHA or your landlord to release the information.
VAWA does not limit the PHA’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 the PHA 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.
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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 1-800-799-7233 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/
Attachment: Certification form HUD-5382
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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 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):
9. Location of incident(s):
In your own words, describe the 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
Date Signed
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.
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EXHIBIT 16-3: EMERGENCY TRANSFER PLAN FOR VICTIMS OF DOMESTIC
VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT, OR STALKING (HCV VERSION)
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),5 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.6 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.
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.
5 Despite 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.
66 Housing 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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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.
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.
At your request, the PHA will refer you to organizations that may be able to further assist you.
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Project-based assistance: If you are assisted under the project-based voucher (PBV) program, you
may request an emergency transfer under the following programs for which you are not required to
apply:
• Tenant-based voucher, if available
• Project-based assistance in the same project (if a vacant unit is available and you determine that
the vacant unit is safe)
• Project-based assistance in another development owned by the PHA
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 REQUEST 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 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
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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:
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)
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MODEL OWNER NOTIFICATION OF RIGHTS AND OBLIGATIONS
City of Chandler Housing and Redevelopment Division
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 COCHRD’s 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 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
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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”) 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
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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 termination of the
Housing Assistance Payment Contract, the lease is automatically terminated.
Lease Bifurcation
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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)
Confidentiality
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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
custody, or control care, 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 HCV ADMINISTRATIVE PLAN STATEMENT
AFFIRMATIVELY FURTHERING FAIR HOUSING
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.
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
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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 services about all of our
programs. There is a 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.
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Chapter 18
SPECIAL PROGRAMS
As of July 1, 2023, the Emergency Housing Voucher (EHV) Chapter 18 will now be changed to
“Chapter 18, Special Programs” to reflect inclusion of Veteran’s Affairs Supportive Housing
(VASH) and Emergency Housing Voucher (EHV) policies.
COCHRD is or will be funded in separate appropriations from regular HCV and Public Housing
programs in order to target specific populations. Special programs include the following programs:
•
Part I: Emergency Housing Voucher (EHV)
•
Part II: Project Based Voucher (PBV)
PHA Policy
COCHRD will administer the following types of special purpose vouchers: Emergency
Housing Vouchers (EHV) and Veterans Affairs Supportive Housing (VASH)
This chapter describes HUD regulations and PHA policies for administering special programs.
Part I
EMERGENCY HOUSING VOUCHERS
EHV is not updated via the normal admin plan process. EHV is a temporary policy within Special
Programs, and which is not updated. EHVhas an expiration date of 9/2023 for voucher issuance and a
maximum of 10 years for program participation.
Introduction
On March 11, 2021, President Biden signed the American Rescue Plan Act of 2021 (ARP) (P.L. 117-2). Section
3202 of the ARP appropriated $5 billion for the creation, administration, and renewal of new incremental
emergency housing vouchers (EHVs) and other eligible expenses related to COVID-19.
On May 5, 2021, HUD issued Notice PIH 2021-15, which d escribed HUD’s process for allocating approximately
70,000 EHVs to eligible PHAs and set forth the operating requirements for PHAs who administer them. Based on
criteria outlined in the notice, HUD notified eligible PHAs of the number of EHVs allocated to their agency, and
PHAs were able to accept or decline the invitation to participate in the program.
PHAs may not project-base EHVs; EHVs are exclusively tenant-based assistance.
All applicable nondiscrimination and equal opportunity requirements apply to the EHV program, including
requirements that the PHA grant reasonable accommodations to persons with disabilities, effectively communicate
with persons with disabilities, and ensure meaningful access for persons with limited English proficiency (LEP).
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This chapter describes HUD regulations and PHA policies for administering EHVs. The policies outlined in this
chapter are organized into seven sections, as follows:
•
Funding
•
Partnering Agencies
•
Waiting List Management
•
Family Eligibility
•
Housing Search and Leasing
•
Use of Funds, Reporting, and Financial Records
EXCEPT AS ADDRESSED BY THIS CHAPTER AND AS REQUIRED UNDER FEDERAL
STATUTE AND HUD REQUIREMENTS, THE GENERAL REQUIREMENTS OF THE HCV
PROGRAM APPLY TO EHV PROGRAM PARTICIPANTS.
FUNDING
18-I.A. FUNDING OVERVIEW
The American Rescue Plan Act of 2021 (ARP) provides administrative fees and funding for the costs of
administering emergency housing vouchers (EHVs) and other eligible expenses defined in Notice PIH 2021-15.
These fees may only be used for EHV administration and other eligible expenses and must not be used for or
applied to other PHA programs or vouchers. The PHA must maintain separate financial records from its regular
HCV funding for all EHV funding.
Housing Assistance Payments (HAP) Funding
ARP funding obligated to the PHA as housing assistance payments (HAP) funding may only be used for eligible
EHV HAP expenses (i.e., rental assistance payments). EHV HAP funding may not be used for EHV administrative
expenses or for the eligible uses under the EHV services fee.
The initial funding term will expire December 31, 2022. HUD will provide renewal funding to the PHA for the
EHVs on a calendar year (CY) basis commencing with CY 2023. The renewal funding allocation will be based
on the PHA’s actual EHV HAP costs in leasing, similar to the renewal process for the regular HCV program.
EHV renewal funding is not part of the annual HCV renewal funding formula; EHVs are renewed separately from
the regular HCV program. All renewal funding for the duration of the EHV program has been appropriated as part
of the ARP funding.
Administrative Fee and Funding
The following four types of fees and funding are allocated as part of the EHV program:
•
Preliminary fees support immediate start-up costs that the PHA will incur in implementing alternative
requirements under EHV, such as outreach and coordination with partnering agencies:
-
$400 per EHV allocated to the PHA, once the consolidated annual contributions contract (CACC) is
amended.
-
This fee may be used for any eligible administrative expenses related to EHVs.
•
The fee may also be used to pay for any eligible activities under EHV service fees (TPS-I.B).Placement
fees/expedited issuance reporting fees will support initial lease-up costs and the added cost and effort
required to expedite leasing of EHVs:
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-
$100 for each EHV initially leased, if the PHA reports the voucher issuance date in Public Housing
Information Center–Next Generation (PIC–NG) system within 14 days of voucher issuance or the date
the system becomes available for reporting.
-
Placement fees:
o
$500 for each EHV family placed under a HAP contract effective within four months of the effective
date of the ACC funding increment; or
o
$250 for each EHV family placed under a HAP contract effective after four months but less than six
months after the effective date of the ACC funding increment.
o
HUD will determine placement fees in the event of multiple EHV allocations and funding increment
effective dates.
-
Placement/expedited issuance fees only apply to the initial leasing of the voucher; they are not paid for
family moves or to turnover vouchers.
•
Ongoing administrative fees, which are calculated in the same way as the standard HCV program:
-
PHAs are allocated administrative fees using the full column A administrative fee amount for each EHV
under contract as of the first day of each month.
-
Ongoing EHV administrative fees may be subject to proration in future years, based on available EHV
funding.
•
Services fees, which are a one-time fee to support PHAs’ efforts to implement and operate an effective EHV
services program in its jurisdiction (TPS-I.B):
-
The fee is allocated once the PHA’s CACC is amended to reflect EHV funding.
-
The amount allocated is $3,500 for each EHV allocated.
18-I.B. SERVICE FEES
Services fee funding must be initially used for defined eligible uses and not for other administrative expenses of
operating the EHV program. Service fees fall into four categories:
•
Housing search assistance
•
Security deposit/utility deposit/rental application/holding fee uses
•
Owner-related uses
•
Other eligible uses such as moving expenses or tenant-readiness services
The PHA must establish the eligible uses and the parameters and requirements for service fees in the PHA’s
administrative plan.
PHA Policy
The eligible uses for service fees include with prior approval of PHA:
Housing search assistance, which may include activities such as, but not limited to, helping a family
identify and visit potentially available units during their housing search, helping to find a unit that meets
the household’s disability-related needs, providing transportation and directions, assisting with the
completion of rental applications and PHA forms, and helping to expedite the EHV leasing process for
the family.
Application fees/non-refundable administrative or processing fees/refundable application deposit
assistance. The PHA may assist the family through a request for assistance with these expenses, which
include no more than three application fees, non-refundable administrative and processing fees, and
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refundable application deposit assistance.
Holding fees are fees an owner requests that are rolled into the security deposit after an application is
accepted but before a lease is signed. The PHA may cover part or all the holding fee for units where the
fee is required by the owner after a tenant’s application has been accepted but before the lease signing.
The PHA and owner must agree how the holding fee gets rolled into the deposit, and under what
conditions the fee will be returned to the PHA. In general, owners need to accept responsibility for making
needed repairs to a unit required by the initial housing inspections and can only keep the holding fee if
the client is at fault for not entering into a lease.
Security deposit assistance. The amount of the security deposit assistance may not exceed one and a half
months’ (1-1/2 months’) of total rent to owner (including all taxes and fees), which is the maximum
security deposit allowed under applicable state law. The PHA may pay the security deposit assistance
directly to the owner and will require a reconciliation of the security deposit once the family vacates the
unit. A move-out inspection may also be scheduled at that time to assist with determination of damages.
Utility deposit assistance/utility arrears. The may provide utility deposit assistance for all of the
family’s utility deposit expenses. Assistance can be provided for deposits (including same day connection
fees) required for the utilities to be supplied by the tenant under the lease. The PHA may pay the utility
deposit assistance directly to the utility company. The PHA will require the utility supplier or family to
return the utility deposit assistance to the PHA at such time the deposit is returned by the utility supplier
(less any amounts retained by the utility supplier). In addition, some families may have large balances
with gas, electric, water, sewer, or trash companies that will make it difficult, if not impossible, to establish
services for tenant-supplied utilities. The PHA may also provide the family with assistance to help address
these utility arrears to facilitate leasing. Utility deposit assistance returned to the PHA will be used for
either services fee eligible uses or other EHV administrative costs, as required by HUD.
Owner recruitment and outreach for EHVs. The PHA may use the service fee funding to conduct
owner recruitment and outreach specifically for EHVs. In addition to traditional owner recruitment and
outreach, activities may include conducting pre-inspections or otherwise expediting the inspection
process, providing enhanced customer service, and offering owner incentive and/or retention payments.
Owner incentive and/or retention payments. The PHA may make incentive or retention payments to
owners that agree to initially lease their unit to an EHV family and/or renew the EHV family’s tenancy
with a year lease or an agreement that extends the last full lease already in place.
Payments will be made as a single payment at the beginning of the assisted lease term (or lease renewal
if a retention payment). Owner incentive and retentions payments are not housing assistance payments,
are not part of the rent to owner, and are not taken into consideration when determining whether the rent
for the unit is reasonable.
Moving expenses (including move-in fees and deposits). The PHA may aid with some or all the family’s
reasonable move-in expenses when they initially lease a unit with the EHV. The PHA will not provide
move-in expenses assistance for subsequent moves unless the family is required to move for reasons other
than something the family did or failed to do (e.g., the PHA is terminating the HAP contract because the
owner did not fulfill the owner responsibilities under the HAP contract or the owner is refusing to offer
the family the opportunity to continue the family’s tenancy with either a new lease or a month-to-month
agreement after the initial lease term, as opposed to the family choosing to terminate the tenancy in order
to move to another unit), or a family has to move due to domestic violence, dating violence, sexual assault,
or stalking.
Tenant-readiness services. The PHA may use fees to help create a customized plan to address or mitigate
barriers that individual families may face in renting a unit with an EHV, such as negative credit, lack of
credit, negative rental or utility history, or to connect the family to other community resources (including
COVID-related resources) that can assist with rental arrears.
Essential household items. The PHA may use services fee funding to assist the family with some or all
the costs of acquiring essential household items such as tableware, cooking equipment, beds or bedding,
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and essential sanitary products such as soap and toiletries.
Renter’s insurance if required by the lease. The PHA may choose to assist the family with some or all
this cost.
Any services fee assistance that is returned to the PHA after its initial or subsequent use may only be applied to
the eligible services fee uses defined in Notice PIH 2021-15 (or subsequent notice) or other EHV administrative
costs. Any amounts not expended for these eligible uses when the PHA’s EHV program ends must be remitted to
HUD.
PARTNERING AGENCIES
18-I.C. CONTINUUM OF CARE (COC)
PHAs that accept an allocation of EHVs are required to enter a Memorandum of Understanding (MOU) with the
Continuum of Care (CoC) to establish a partnership for the administration of EHVs.
PHA Policy
The PHA has entered into an MOU with Phoenix/Mesa Maricopa County Continuum of Care
(“CoC”). See Exhibit TPS-1 for a copy of the MOU.
I.D. OTHER PARTNERING ORGANIZATIONS
The PHA may, but is not required to, partner with other organizations trusted by persons experiencing
homelessness, such as victim services providers (VSPs) and other community partners. If the PHA chooses to
partner with such agencies, the PHA must either enter into an MOU with the partnering agency or the partnering
agency may be added to the MOU between the PHA and CoC.
PHA Policy
The PHA works with local organization that assist those experiencing homelessness as detailed in the
MOU between the PHA and CoC. See Exhibit TPS-1 for a copy of the MOU.
18-I.E. REFERRALS
CoC and Partnering Agency Referrals
The primary responsibility of the CoC under the MOU with the PHA is to make direct referrals of qualifying
individuals and families to the PHA. The PHA must generally refer a family that is seeking EHV assistance
directly from the PHA to the CoC or other referring agency for initial intake, assessment, and possible referral for
EHV assistance. Partner CoCs are responsible for determining whether the family qualifies under one of the four
eligibility categories for EHVs. The CoC or other direct referral partner must provide supporting documentation
to the PHA of the referring agency’s verification that the family meets one of the four eligible categories for EHV
assistance.
PHA Policy
The CoC or partnering agency must establish and implement a system to identify EHV-eligible
individuals and families within the agency’s caseload and make referrals to the PHA. The CoC or other
partnering agency must certify that the EHV applicants they refer to the PHA meet at least one of the four
EHV eligibility criteria. The PHA will maintain a copy of the referral or certification form from the CoC
or other partnering agency in the participant’s file along with other eligibility paperwork. Homeless
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service providers may, but are not required to, use the certification form found in Exhibit TPS-2 of this
chapter. Victim services providers may, but are not required to, use the certification form found in Exhibit
TPS-3 of this chapter when identifying eligible families who qualify as victims of human trafficking.
As part of the MOU, the PHA and CoC or other partnering agency will identify staff positions to serve as
lead EHV liaisons. These positions will be responsible for transmission and acceptance of referrals. The
CoC or partnering agency must commit sufficient staff and resources to ensure eligible individuals and
families are identified and determined eligible in a timely manner.
The PHA liaison responsible for acceptance of referrals will contact the CoC or partnering agency liaison
via email indicating the number of vouchers available and requesting an appropriate number of referrals.
No more than five business days from the date the CoC or partnering agency receives this notification,
the CoC or partnering agency liaison will provide the PHA with a list of eligible referrals including the
name, address, and contact phone number for each adult individual who is being referred; a completed
release form for each adult family member; and a written certification for each referral indicating they are
EHV-eligible.
Offers of Assistance with CoC Referral
The PHA may make an EHV available without a referral from the CoC or other partnering organization in order
to facilitate an emergency transfer under VAWA in accordance with the PHA’s Emergency Transfer Plan (ETP)
in Chapter 16 (Program Administration, Exhibit 16-3).
The PHA must also take direct referrals from outside the CoC if:
•
The CoC does not have a sufficient number of eligible families to refer to the PHA; or
•
The CoC does not identify families that may be eligible for EHV assistance because they are fleeing, or
attempting to flee, domestic violence, dating violence, sexual assault, stalking or human trafficking.
If at any time the PHA is not receiving enough referrals or is not receiving referrals in a timely manner from the
CoC or other partner referral agencies (or the PHA and CoC cannot identify any such alternative referral partner
agencies), HUD may permit the PHA on a temporary or permanent basis to take EHV applications directly from
applicants and admit eligible families to the EHV program in lieu of or in addition to direct referrals in those
circumstances.
WAITING LIST MANAGEMENT
18-I.F. HCV WAITING LIST
The regulation that requires the PHA to admit applicants as waiting list admissions or special admissions in
accordance with admission policies in Chapter 4 (Applications, Waiting List, and Tenant Selection) does not apply
to PHAs operating the EHV program. Direct referrals are not added to the PHA’s HCV waiting list.
The PHA must inform families on the HCV waiting list of the availability of EHVs by, at a minimum, either by
posting the information to their website or providing public notice in their respective communities in accordance
with the requirements listed in Notice PIH 2021-15.
PHA Policy
The PHA will post information about the EHV program for families on the PHA’s HCV waiting list on
their website. The notice will:
Describe the eligible populations to which EHVs are limited: Homeless; at risk of homelessness;
fleeing or attempting to flee, domestic violence, dating violence, stalking, or human trafficking;
or recently homeless and for whom providing rental assistance will prevent the family’s
homelessness or having high risk of housing instability.
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Clearly state that the availability of these EHVs is managed through a direct referral process:
Eligible Referrals. In general, EHV-qualified individuals or families may be eligible
for EHV if they are:
1. Directly referred to the PHA from the CES based on confirmed availability of number
of referrals needed by PHA.
2. Directly referred to CES from local providers, homeless programs, temporary
housing programs, street outreach teams and other referring agencies and Other
3. Service Providers by completing a referral in the form mutually agreed upon by PHA
and CoC, attached hereto as Exhibit “B” (“Referral Form and Eligibility Certificate”)
PHA and the CoC may agree, from time to time, to revise the form.
4. Move on strategy from Tenant Based Rental Assistance (“TBRA”), Rapid Rehousing
(“RRH”) and Permanent Supportive Housing (“PSH”) with PHA providing a list of
individuals to CES through the Referral Form and Eligibility Certificate .
5. RRH initially referred through CES and Domestic, Dating, Sexual, Stalking or
Trafficking, Violent Crime victims, providers will not have to go through CES, these
providers can make direct referrals to PHA.
Emergency Transfers.
The PHA may also make an EHV voucher available to facilitate an emergency transfer in accordance with the
Violence Against Women Act (“VAWA”) as outlined in the PHA’s HCV Administrative Plan. If a family
believes they may be eligible for EHV assistance, the referral will come from the Family Housing HUB
Coordinated Entry System (CES), and the Single’s Individual Coordinated Entry System, and other domestic
violence agencies.
The PHA will ensure effective communication with persons with disabilities, including those with vision,
hearing, and other communication-related disabilities in accordance with Chapter 2 (Fair Housing and Equal
Opportunity). The PHA will also take reasonable steps to ensure meaningful access for persons with limited
English proficiency (LEP) in accordance with Chapter 2 (Fair Housing and Equal Opportunity).
18-I.G. EHV WAITING LIST
The HCV regulations requiring the PHA to operate a single waiting list for admission to the HCV program do not
apply to PHAs operating the EHV program. Instead, when the number of applicants referred by the CoC or
partnering agency exceeds the EHVs available, the PHA must maintain a separate waiting list for EHV referrals,
both at initial leasing and for any turnover vouchers that may be issued prior to September 30, 2023.
Further, the EHV waiting list is not subject to PHA policies in Chapter 4 (Applications, Waiting List, and Tenant
Selection) regarding opening and closing the HCV waiting list. The PHA will work directly with its CoC and
other referral agency partners to manage the number of referrals and the size of the EHV waiting list.
18-I.H. PREFERENCES
HCV Waiting List Preferences
If local preferences are established by the PHA for HCV, they do not apply to EHVs. However, if the PHA has a
homeless preference or a VAWA preference for the HCV waiting list, the PHA must adopt additional policies
related to EHVs in accordance with Notice PIH 2021-15.
PHA Policy
The PHA does not offer either a homeless or a VAWA preference for the HCV waiting list.
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EHV Waiting List Preferences
With the exception of a residency preference, the PHA may choose, in coordination with the CoC and other referral
partners, to establish separate local preferences for EHVs. The PHA may, however, choose to not establish any
local preferences for the EHV waiting list.
PHA Policy
No local preferences have been established for the EHV waiting list. The PHA will attempt to process
referrals in the order they are received with date/time being the determining factor for initial referrals from
CoC.
If the PHA encounters a backlog of referrals, the PHA will establish an EHV waiting list in accordance
with EHV program requirements and described in the PHA Administrative Plan.
FAMILY ELIGIBLTY
18-I.I. OVERVIEW
The CoC or referring agency determines whether the individual or family meets any one of the four eligibility
criteria described in Notice PIH 2021-15 and then refers the family to the PHA. The PHA determines that the
family meets other eligibility criteria for the HCV program, as modified for the EHV program and outlined below.
18-I.J. REFERRING AGENCY DETERMINATION OF ELIGIBLITY
In order to be eligible for an EHV, an individual or family must meet one of four eligibility criteria:
•
Homeless as defined in 24 CFR 578.3;
•
At risk of homelessness as defined in 24 CFR 578.3;
•
Fleeing, or attempting to flee, domestic violence, dating violence, sexual assault, stalking (as defined in Notice
PIH 2021-15), or human trafficking (as defined in the 22 U.S.C. Section 7102); or
•
Recently homeless and for whom providing rental assistance will prevent the family’s homelessness or having
high risk of housing instability as determined by the CoC or its designee in accordance with the definition in
Notice PIH 2021-15.
As applicable, the CoC or referring agency must provide documentation to the PHA of the referring agency’s
verification that the family meets one of the four eligible categories for EHV assistance. The PHA must retain this
documentation as part of the family’s file.
18-I.K. PHA SCREENING
OVERVIEW
HUD waived 24 CFR 982.552 and 982.553 in part for the EHV applicants and established alternative requirement
for mandatory and permissive prohibitions of admissions. Except where applicable, PHA policies regarding
denials in Chapter 3 (Eligibility) of this policy do not apply to screening individuals and families for eligibility
for an EHV. Instead, the EHV alternative requirement listed in this section will apply to all EHV applicants.
The mandatory and permissive prohibitions listed in Notice PIH 2021-15 and in this chapter, however, apply
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only when screening the individual or family for eligibility for an EHV. When adding a family member after the
family has been placed under a HAP contract with EHV assistance, the regulations at 24 CFR 982.551(h)(2)
apply. Other than the birth, adoption, or court-awarded custody of a child, the PHA must approve additional
family members and may apply its regular HCV screening criteria in Chapter 3 (Eligibility) in doing so.
Mandatory Denials
Under alternative requirements for the EHV program, mandatory denials for EHV applicants include:
•
24 CFR 982.553(a)(1)(ii)(C), which prohibits admission if any household member has ever been convicted of
drug-related criminal activity for manufacture or production of methamphetamine on the premises of federally
assisted housing.
•
24 CFR 982.553(a)(2)(i), which prohibits admission to the program if any member of the household is subject
to a lifetime registration requirement under a state sex offender registration program.
The PHA must deny admission to the program if any member of the family fails to sign and submit consent forms
for obtaining information as required by 24 CFR 982.552(b)(3) but should notify the family of the limited EHV
grounds for denial of admission first.
PHA Policy
While the PHA will deny admission to the program if any adult member (or head of household or spouse,
regardless of age) fails to sign and submit consent forms, the PHA will first notify the family of the limited
EHV grounds for denial of admission as part of the notice of denial that will be mailed and/or emailed to
the family. The denial letter may also be provided to case management or navigation, if available.
Permissive Denial
Notice PIH 2021-15 lists permissive prohibitions for which the PHA may, but is not required to, deny admission
to EHV families. The notice also lists prohibitions that, while allowable under the HCV program, may not be used
to deny assistance for EHV families.
If the PHA intends to establish permissive prohibition policies for EHV applicants, the PHA must first consult
with its CoC partner to understand the impact that the proposed prohibitions may have on referrals and must take
the CoC’s recommendations into consideration.
PHA Policy
In consultation with the CoC, the PHA will apply permissive prohibition to the screening of EHV
applicants. Determinations using permissive prohibitions will be made based on an individualized
assessment of relevant mitigating information in accordance with policies in Section 3-III.E.
The PHA will establish the following permissive prohibitions:
If the PHA determines that any household member is currently engaged in, or has engaged in
within the previous 12 months:
Violent criminal activity
Other 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
If any member of the family has committed fraud, bribery, or any other corrupt or criminal act in
connection with any federal housing program within the previous 12 months.
If the family engaged in or threatened abusive or violent behavior toward PHA personnel within
the previous 12 months.
The PHA will also deny assistance to household members already receiving assistance from another
program in accordance with Section 9.h. of Notice PIH 2021-15.
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Prohibitions based on criminal activity for the eligible EHV populations regarding drug possession will
be considered apart from criminal activity against persons (i.e., violent criminal activity).
In compliance with PIH 2021-15, the PHA will not deny an EHV applicant admission regardless of
whether:
Any member of the family has been evicted from federally assisted housing in the last five years;
A PHA has ever terminated assistance under the program for any member of the family;
The family 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 family has not reimbursed any PHA for amounts paid to an owner under a HAP contract for
rent, damages to the unit, or other amounts owed by the family under the lease;
The family breached an agreement with the PHA to pay amounts owed to a PHA, or amounts
paid to an owner by a PHA;
The family would otherwise be prohibited admission under alcohol abuse standards established
by the PHA in accordance with 24 CFR 982.553(a)(3);
The PHA determines that any household member is currently engaged in or has engaged in during
a reasonable time before the admission at least six months, drug-related criminal activity.
18-I.L. INCOME VERIFICATION AT ADMISSION
Self-Certification at Admission
The requirement to obtain third-party verification of income in accordance with Notice PIH 2018-18 does not
apply to the EHV program applicants at admission, and alternatively, PHAs may consider self-certification the
highest form of income verification at admission. As such, PHA policies related to the verification of income in
Section 7-I.B. do not apply to EHV families at admission. Instead, applicants must submit an affidavit attesting to
their reported income, assets, expenses, and other factors that would affect an income eligibility determination.
Additionally, applicants may provide third-party documentation that represents the applicant’s income within the
60-day period prior to admission or voucher issuance but is not dated within 60 days of the PHA’s request.
PHA Policy
Any documents used for verification must be the original (not photocopies) and dated within the 60-day
period prior to admission. The documents must not be damaged, altered, or in any way illegible.
Printouts from webpages are considered original documents.
Any family self-certifications 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.
The PHA will incorporate additional procedures to remind families of the obligation to provide true and
complete information in accordance with Chapter 14 (Program Integrity). The PHA will address any
material discrepancies (i.e., unreported income or a substantial difference in reported income) that may
arise later. The PHA may, but is not required to, offer the family a repayment agreement in accordance
with Chapter 16 (Program Administration). If the family fails to repay the excess subsidy, the PHA will
terminate the family’s assistance in accordance with the policies in Chapter 12 (Termination of Assistance
and Tenancy).
Recently Conducted Income Determinations
PHAs may accept income calculations and verifications from third-party providers or from an examination that
the PHA conducted on behalf of the family for another subsidized housing program in lieu of conducting an initial
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examination of income as long as:
•
The income was calculated in accordance with rules outlined at 24 CFR Part 5 and within the last six months;
and
•
The family certifies there has been no change in income or family composition in the interim.
PHA Policy
The PHA will accept income calculations and verifications from third-party providers provided they meet
the criteria outlined above.
The family certification must be made in a format acceptable to the PHA and must be signed by all adult
family members whose information or status is being verified.
At the time of the family’s annual reexamination, the PHA must conduct the annual reexamination of income as
outlined at 24 CFR 982.516 and PHA policies in Chapter 11 (Reexaminations).
EIV Income Validation
Once HUD makes the EIV data available to PHAs under this waiver and alternative requirement, the PHA must:
•
Review the EIV Income and Income Validation Tool (IVT) reports to confirm and validate family-reported
income within 90 days of the PIC submission date;
•
Print and maintain copies of the EIV Income and IVT Reports in the tenant file; and
•
Resolve any income discrepancy with the family within 60 days of the EIV Income or IVT Report dates.
Prior to admission, PHAs must continue to use HUD’s EIV system to search for all household members using the
Existing Tenant Search in accordance with PHA policies in Chapter 3 (Eligibility).
If a PHA later determines that an ineligible family received assistance, the PHA must take steps to terminate that
family from the program in accordance with Chapter 12 (Termination of Assistance).
18-I.M. SOCIAL SECURITY NUMBER AND CITIZENSHIP STATUS VERIFICATION
For the EHV program, the PHA is not required to obtain and verify SSN documentation and documentation
evidencing eligible noncitizen status before admitting the family to the EHV program. Instead, PHAs may adopt
policies to admit EHV applicants who are unable to provide the required SSN or citizenship documentation during
the initial eligibility determination. As an alternative requirement, such individuals must provide the required
documentation within 180 days of admission to be eligible for continued assistance, pending verification, unless
the PHA provides an extension based on evidence from the family or confirmation from the CoC or other
partnering agency that the family has made a good-faith effort to obtain the documentation.
If a PHA determines that an ineligible family received assistance, the PHA must take steps to terminate that family
from the program.
PHA Policy
The PHA will admit EHV applicants who are unable to provide the required SSN or citizenship
documentation during the initial eligibility determination. These individuals must provide the required
documentation in accordance with policies in Chapter 7 (Verification) within 180 days of admission. The
PHA may provide an additional 60-day extension based on evidence from the family or confirmation from
the CoC or other partnering agency that the family has made a good-faith effort to obtain the
documentation.
If the PHA determines that an ineligible family received assistance, the PHA will take steps to terminate
that family from the program in accordance with policies in Chapter 12 (Termination of Assistance and
Tenancy).
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18-I.N. AGE AND DISABILITY VERIFICATION
PHAs may accept self-certification of date of birth and disability status if a higher level of verification is not
immediately available. If self-certification is used, the PHA must obtain a higher level of verification within 90
days of admission or verify the information in EIV.
If a PHA determines that an ineligible family received assistance, the PHA must take steps to terminate that family
from the program.
PHA Policy
The PHA will accept self-certification of date of birth and disability status if a higher form of verification
is not immediately available. The 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. If self-certification is
accepted, within 90 days of admission, the PHA will verify the information in EIV or through other third-
party verification if the information is not available in EIV. The PHA will note the family’s file that self-
certification was used as initial verification and include an EIV printout or other third-party verification
confirming the applicant’s date of birth and/or disability status.
If the PHA determines that an ineligible family received assistance, the PHA will take steps to terminate
that family from the program in accordance with policies in Chapter 12 (Termination of Assistance and
Tenancy).
18-I.O. INCOME TARGETING
The PHA must determine income eligibility for EHV families in accordance with 24 CFR 982.201 and PHA
policy in Chapter 3 (Eligibility); however, income targeting requirements do not apply for EHV families. The
PHA may still choose to include the admission of extremely low-income EHV families in its income targeting
numbers for the fiscal year in which these families are admitted.
PHA Policy
The PHA will not include the admission of extremely low-income EHV families in its income targeting
numbers for the fiscal year in which these families are admitted.
HOUSING SEARCH AND LEASING
18-I.P. INITIAL VOUCHER TERM
Unlike the standard HCV program, which requires an initial voucher term of at least 60 days, EHV vouchers must
have an initial search term of at least 120 days. PHA policies on extensions as outlined in Section 5-II.E. will
apply.
PHA Policy
All EHVs will have an initial term of 120 calendar days.
The family must submit a Request for Tenancy Approval and proposed lease within the 120-day period
unless the PHA grants an extension. Extensions will be granted in 30-day increments.
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18-I.Q. HOUSING SEARCH ASSISTANCE
The PHA must ensure housing search assistance is made available to EHV families during their initial housing
search. The housing search assistance may be provided directly by the PHA or through the CoC or another
partnering agency or entity.
At a minimum, housing search assistance must:
•
Help individual families identify potentially available units during their housing search, including physically
accessible units with features for family members with disabilities, as well as units in low-poverty
neighborhoods;
•
Provide transportation assistance and directions to potential units;
•
Conduct owner outreach;
•
Assist with the completion of rental applications and PHA forms; and
•
Help expedite the EHV leasing process for the family.
PHA Policy
As identified in the MOU between the PHA and CoC, the following housing search assistance will be
provided to each EHV family:
The PHA will:
1. PHA Required Services. In accordance with PIH Notice 2021-15 (HA) Subsection 9.d. The
PHA is required to provide the following services, at a minimum, in partnership with the CoC
or Other Service Providers (if applicable), or by utilizing the Services Fee to obtain services.
2. Housing Search Assistance.
a. Help individual families identify potentially available units during their housing
search, including physically accessible units with features for family members with
disabilities, as well as units in low poverty neighborhoods;
b. Provide transportation assistance as needed and directions to potential units;
c. Conduct owner outreach;
d. Assist with the completion of rental applications and PHA forms;
e. Help expedite the EHV leasing process for the family.
3. CoC Required Services. The CoC in coordination with Other Services Providers as identified
in Section 7 agrees to be responsible for providing the following services to offer or make
connections to supportive services for families that are referred to the PHA. CoCs and PHAs
seek a diverse range of supportive services by partnering with organizations trusted by people
experiencing homelessness assess, arrange, coordinate, and monitor the delivery of
individualized services to meet the needs of EHV participants throughout their participation
in the program. The PHA agrees to collaborate with the service provider on the effective
provision and delivery of these services.
4. Application Assistance and Active Case Management.
a. Conducting the initial evaluation, verifying and documenting EHV eligibility;
b. Supporting individuals and families in completing applications and obtaining
necessary documentation.
c. Conducting an initial needs assessment to include an evaluation of other assistance
the participant may need including, but not limited to, other Referral Services (see
Subsection 21 below) and Optional Lease Up Services (see Subsection 22 below).
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d. Ensuring participants attend PHA appointments;
e. Attending the family briefing appointment with the participant to assist the
participant in understanding their responsibilities related to their lease;
f. Counseling;
g. Assisting participants in securing and coordinating other services or benefits from
Federal, State, and local assistance programs;
h. Monitoring and evaluating program participant progress;
i.
Providing the participant with information and referrals to other providers;
j.
Providing ongoing risk assessment and safety planning with victims of domestic
violence, dating violence, sexual assault, and stalking; and
k. Developing an individualized housing and service plan, including planning a path to
permanent housing stability.
Conduct owner outreach in accordance with policies in Chapter 13 (Owners)
Provide directions to potential units as part of the EHV briefing packet
Expedite the EHV leasing process for the family to the extent practicable and in
accordance with policies in this chapter
At least every 30 days, conduct proactive check-ins via email and telephone with families
who are searching with an EHV and remind them of their voucher expiration date
Assign a dedicated landlord liaison for EHV voucher families
The CoC will:
Help families identify potentially available units during their housing search, including
physically accessible units with features for family members with disabilities, as well as
units in low-poverty neighborhoods
Provide transportation assistance to potential units
Assist the family with the completion of rental applications and PHA forms
18-I.R. HOUSING PRE-INSPECTIONS
To expedite the leasing process, PHAs may pre-inspect available units that EHV families may be interested in
leasing in order to maintain a pool of eligible units.
PHA Policy
City of Chandler participates in a HUD NSPIRE inspection demonstration.
To expedite the leasing process, the PHA may pre-inspect available units that EHV families may be
interested in leasing to maintain a pool of eligible units. If an EHV family selects a unit that passed a
housing pre-inspection (without intervening occupancy) within 45 days of the date of the Request for
Tenancy Approval, the unit may be approved provided that it meets all other conditions under 24 CFR
982.305.
The family will be free to select his or her unit.
When a pre-inspected unit is not selected, the PHA will make every effort to fast-track the inspection
process, including adjusting the normal inspection schedule for any required reinspections.
I.S. INITIAL LEASE TERM
Unlike in the standard the HCV program, EHV voucher holders may enter into an initial lease that is for less than
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12 months, regardless of the PHA policy in Section 9-I.E., Term of Assisted Tenancy.
Portability
The normal HCV portability procedures and requirements outlined in Chapter 10 (Moving with Continued
Assistance and Portability) generally apply to EHVs. Exceptions are addressed below.
Nonresident Applicants
Under EHV, applicant families may move under portability even if the family did not have legal residency in the
jurisdiction of the initial PHA when they applied, regardless of PHA policy in Section 10-II.B.
Billing and Absorption
A receiving PHA cannot refuse to assist an incoming EHV family, regardless of whether the PHA administers
EHVs under its own ACC.
•
If the EHV family moves under portability to another PHA that administers EHVs under its own ACC:
-
The receiving PHA may only absorb the incoming EHV family with an EHV (assuming it has an EHV
voucher available to do so).
-
If the PHA does not have an EHV available to absorb the family, it must bill the initial PHA. The receiving
PHA must allow the family to lease the unit with EHV assistance and may not absorb the family with a
regular HCV when the family leases the unit.
-
Regardless of whether the receiving PHA absorbs or bills the initial PHA for the family’s EHV assistance,
the EHV administration of the voucher is in accordance with the receiving PHA’s EHV policies.
•
If the EHV family moves under portability to another PHA that does not administer EHV under its own ACC,
the receiving PHA may absorb the family into its regular HCV program or may bill the initial PHA.
Family Briefing
In addition to the applicable family briefing requirements at 24 CFR 982.301(a)(2) as to how portability works
and how portability may affect the family’s assistance, the initial PHA must inform the family how portability
may impact the special EHV services and assistance that may be available to the family.
The initial PHA is required to help facilitate the family’s portability move to the receiving PHA and inform the
family of this requirement in writing, taking reasonable steps to ensure meaningful access for persons with limited
English proficiency (LEP).
PHA Policy
In addition to following PHA policy on briefings in Chapter 5 (Briefings and Voucher Issuance), as part
of the briefing packet for EHV families, the PHA will include a written notice that the PHA will assist the
family with moves under portability.
For limited English proficient (LEP) applicants, the PHA will provide interpretation services in
accordance with the PHA’s LEP plan (See Chapter 2, Fair Housing and Equal Opportunity).
Coordination of Services
If the portability move is in connection with the EHV family’s initial lease-up, the receiving PHA and the initial
PHA must consult and coordinate on the EHV services and assistance that will be made available to the family.
PHA Policy
For EHV families who are exercising portability, when the PHA contacts the receiving PHA in accordance
with Section 10-II.B. Preapproval Contact with Receiving PHA, the PHA will consult and coordinate with
the receiving PHA to ensure there is no duplication of EHV services and assistance, and ensure the
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receiving PHA is aware of the maximum amount of services fee funding that the initial PHA may provide
to the receiving PHA on behalf of the family.
Services Fee
Standard portability billing arrangements apply for HAP and ongoing administrative fees for EHV families.
For service fees funding, the amount of the service fee provided by the initial PHA may not exceed the lesser of
the actual cost of the services and assistance provided to the family by the receiving PHA or $1,750, unless the
initial PHA and receiving PHA mutually agree to change the $1,750 cap. Service fees are paid as follows:
•
If the receiving PHA, in consultation and coordination with the initial PHA, will provide eligible services or
assistance to the incoming EHV family, the receiving PHA may be compensated for those costs by the initial
PHA, regardless of whether the receiving PHA bills or absorbs.
•
If the receiving PHA administers EHVs, the receiving PHA may use its own services fee and may be
reimbursed by the initial PHA, or the initial PHA may provide the services funding upfront to the receiving
PHA for those fees and assistance.
•
If the receiving PHA does not administer EHVs, the initial PHA must provide the services funding upfront to
the receiving PHA. Any amounts provided to the receiving PHA that are not used for services or assistance
on behalf of the EHV family must promptly be returned by the receiving PHA to the initial PHA.
Placement Fee/Issuance Reporting Fee
If the portability lease-up qualifies for the placement fee/issuance reporting fee, the receiving PHA receives the
full amount of the placement component of the placement fee/issuing reporting fee. The receiving PHA is eligible
for the placement fee regardless of whether the receiving PHA bills the initial PHA or absorbs the family into its
own program at initial lease-up. The initial PHA qualifies for the issuance reporting component of the placement
fee/issuance reporting fee, as applicable.
18-I.T. PAYMENT STANDARDS
Payment Standard Schedule
For the EHV program, HUD has waived the regulation requiring a single payment standard for each unit size.
Instead, the PHA may, but is not required to, establish separate higher payment standards for EHVs. Lower EHV
payment standards are not permitted. If the PHA is increasing the regular HCV payment standard, the PHA must
also increase the EHV payment standard if it would be otherwise lower than the new regular HCV payment
standard. The separate EHV payment standard must comply with all other HCV requirements with the exception
of the alternative requirements discussed below.
Further, if the PHA chooses to establish higher payments standards for EHVs, HUD has provided other regulatory
waivers:
•
Defining the “basic range” for payment standards as between 90 and 120 percent of the published Fair Market
Rent (FMR) for the unit size (rather than 90 to 110 percent).
•
Allowing a PHA that is not in a designated Small Area FMR (SAFMR) area or has not opted to voluntarily
implement SAFMRs to establish exception payment standards for a ZIP code area above the basic range for
the metropolitan FMR based on the HUD published SAFMRs. The PHA may establish an exception payment
standard up to 120 percent (as opposed to 110 percent) of the HUD published Small Area FMR for that ZIP
code area. The exception payment standard must apply to the entire ZIP code area.
-
The PHA must notify HUD if it establishes an EHV exception payment standard based on the SAFMR.
PHA Policy
The PHA established a higher payment standard amount for EHVs.
Rent Reasonableness
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All rent reasonableness requirements apply to EHV units, regardless of whether the PHA has established an
alternative or exception EHV payment standard.
Increases in Payment Standards
The requirement that the PHA apply increased payment standards at the family’s first regular recertification on or
after the effective date of the increase does not apply to EHV. The PHA may, but is not required to, establish an
alternative policy on when to apply the increased payment standard, provided the increased payment standard is
used to calculate the HAP no later than the effective date of the family’s first regular reexamination following the
change.
PHA Policy
The PHA will not establish an alternative policy for increases in the payment standard. PHA policy in
Section 11-III.B. governing increases in payment standards will apply to EHV.
18-I.U. TERMINATION OF VOUCHERS
After September 30, 2023, a PHA may not reissue EHVs when assistance for an EHV-assisted family ends. This
means that when an EHV participant (a family that is receiving rental assistance under a HAP contract) leaves the
program for any reason, the PHA may not reissue that EHV to another family unless it does so no later than
September 30, 2023.
If an applicant family that was issued the EHV is unsuccessful in finding a unit and the EHV expires after
September 30, 2023, the EHV may not be reissued to another family.
All EHVs under lease on or after October 1, 2023, may not under any circumstances be reissued to another family
when the participant leaves the program for any reason.
An EHV that has never been issued to a family may be initially issued and leased after September 30, 2023, since
this prohibition only applies to EHVs that are being reissued upon turnover after assistance to a family has ended.
However, HUD may direct PHAs administering EHVs to cease leasing any unleased EHVs if such action is
determined necessary by HUD to ensure there will be sufficient funding available to continue to cover the HAP
needs of currently assisted EHV families.
USE OF FUNDS, REPORTING, AND FINANCIAL RECORDS
EHV funds allocated to the PHA for HAP (both funding for the initial allocation and HAP renewal funding) may
only be used for eligible EHV HAP purposes. EHV HAP funding obligated to the PHA may not be used for EHV
administrative expenses or the other EHV eligible expenses under this notice. Likewise, EHV administrative fees
and funding obligated to the PHA are to be used for those purposes and must not be used for HAP.
The appropriated funds for EHVs are separate from the regular HCV program and may not be used for the regular
HCV program but may only be expended for EHV eligible purposes. EHV HAP funds may not roll into the regular
HCV restricted net position (RNP) and must be tracked and accounted for separately as EHV RNP. EHV
administrative fees and funding for other eligible expenses permitted by Notice PIH 2021-15 may only be used in
support of the EHVs and cannot be used for regular HCVs. EHV funding may not be used for the repayment of
debts or any amounts owed to HUD by HUD program participants including, but not limited to, those resulting
from Office of Inspector General (OIG), Quality Assurance Division (QAD), or other monitoring review findings.
The PHA must comply with EHV reporting requirements in the Voucher Management System (VMS) and
Financial Data Schedule (FDS) as outlined in Notice PIH 2021-15.
The PHA must maintain complete and accurate accounts and other records for the program and provide HUD and
the Comptroller General of the United States full and free access to all accounts and records that are pertinent the
administration of the EHVs in accordance with the HCV program requirements at 24 CFR 982.158.
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Exhibit TPS-1: MEMORANDUM OF UNDERSTANDING (MOU)
Attachment 2 of Notice PIH 2021-15 - Sample MOU Template
Memorandum of Understanding
[** This sample document demonstrates the Memorandum of Understanding requirements for
the administration Emergency Housing Voucher. Unless otherwise noted, all elements are
required. **]
This Memorandum of Understanding (MOU) has been created and entered into on
[** Insert execution date. **].
[PHA Name and Address]
[CoC Name and Address]
I. Introduction and Goals (the following elements, listed in a. – c., are required elements of
the MOU):
a. PHA and CoC’s commitment to administering the EHVs in accordance with all program
requirements.
b. PHA goals and standards of success in administering the program.
c. Identification of staff position at the PHA and CoC who will serve as the lead EHV liaisons.
Lead HCV Liaison:
[Name and title of PHA staff position]
Responsibilities of the PHA EHV liaison [**Optional**].
[Name and title of CoC staff position]
Responsibilities of the CoC EHV liaison [**Optional**].
II. Define the populations eligible for EHV assistance to be referred by CoC.
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III. Services to be provided to eligible EHV families
1. List the services to be provided to assist individuals and families have success in the
program and who will provide them.
[**The following services are listed for example purposes. **]
1. Partnering service providers will support individuals and families in completing
applications and obtaining necessary supporting documentation to support referrals and
applications for assistance; while aiding households in addressing barriers.
2. Partnering service providers will support PHAs in ensuring appointment notifications to
eligible individuals and families and will assist eligible households in getting to meetings
with the PHA.
3. PHAs will establish windows of time for EHV applicants to complete intake interviews for
EHV.
4. Partnering service providers will provide housing search assistance for eligible
individuals and families.
5. Partnering service providers will provide counseling on compliance with rental lease
requirements.
6. Partnering service providers will assess individuals and families who may require
referrals for assistance on security deposits, utility hook-up fees, and utility deposits.
7. Partnering service providers will assess and refer individuals and families to benefits and
supportive services, where applicable.
IV. PHA Roles and Responsibilities
[**The following responsibilities are listed for example purposes. **]
1. Coordinate and consult with the CoC in developing the services and assistance to be
offered under the EHV services fee.
2. Accept direct referrals for eligible individuals and families through the CoC Coordinated
Entry System.
3. Commit a sufficient number of staff and necessary resources to ensure that the
application, certification, and voucher issuance processes are completed in a timely
manner.
4. Commit a sufficient number of staff and resources to ensure that inspections of units are
completed in a timely manner.
5. Designate a staff to serve as the lead EHV liaison.
6. Comply with the provisions of this MOU.
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V. CoC Roles and Responsibilities
[**The following responsibilities are listed for example purposes. **]
1. Designate and maintain a lead EHV liaison to communicate with the PHA.
2. Refer eligible individuals and families to PHA using the community’s coordinated entry
system.
3. Support eligible individuals and households in completing and applying for supportive
documentation to accompany admissions application to the PHA (i.e. self-certifications,
birth certificate, social security card, etc.).
4. Attend EHV participant briefings when needed.
5. Assess all households referred for EHV for mainstream benefits and supportive services
available to support eligible individuals and families through their transition.
6. Identify and provide supportive services to EHV families. (While EHV participants are not
required to participate in services, the CoC should assure that services are available and
accessible.)
7. Comply with the provisions of this MOU.
VI. Third Party Entity Roles Responsibilities
[**The following responsibilities are listed for example purposes. **]
1. Describe how the State, local, philanthropic, faith-based organizations, Victim Service
Providers or CoC recipients it designates will fulfill each of the following responsibilities:
a. Outline resource and/or service being provided in support of the community’s
EHV Program. Commit a sufficient number of staff and necessary resources to
ensure that the application, certification and voucher issuance processes are
completed in a timely manner.
b. Comply with the provisions of this MOU. VII. Program Evaluation
The PHA, and CoC or designated CoC recipient agree to cooperate with HUD, provide requested
data to HUD or HUD-approved contractor delegated the responsibility of program evaluation
protocols established by HUD or HUD-approved contractor, including possible random
assignment procedures.
[Signed and dated by the official representatives of the PHA, CoC, CoC Contractor organization
(if applicable), and third-party entities (if applicable.]
Signed by
Executive Director, PHA Date
CoC Executive Director Date
18-23
Exhibit TPS-2: HOMELESS PROVIDER’S CERTIFICATION
Attachment 3 of Notice PIH 2021-15 Example of a Homeless Provider’s Certification
Emergency Housing Voucher (EHV)
HOMELESS CERTIFICATION
EHV Applicant Name:
Household without dependent children (complete one form for each adult in the
household)
Household with dependent children (complete one form for household)
Number of persons in the household:
This is to certify that the above named individual or household meets the following
criteria based on the check mark, other indicated information, and signature
indicating their current living situation-
Check only one box and complete only that section
Living Situation: place not meant for human habitation (e.g., cars, parks, abandoned
buildings, streets/sidewalks)
The person(s) named above is/are currently living in (or, if currently in hospital or other
institution, was living in immediately prior to hospital/institution admission) a public or
private place not designed for, or ordinarily used as a regular sleeping accommodation for
human beings, including a car, park, abandoned building, bus station, airport, or camp
ground.
Description of current living situation:
Homeless Street Outreach Program
Name:
This certifying agency must be recognized by the local Continuum of Care (CoC) as an agency that has a
program designed to serve persons living on the street or other places not meant for human habitation.
Examples may be street outreach workers, day shelters, soup kitchens, Health Care for the Homeless sites,
etc.
Authorized Agency Representative Signature:
Date:
18-24
Living Situation: Emergency Shelter
The person(s) named above is/are currently living in (or, if currently in hospital or other
institution, was living in immediately prior to hospital/institution admission) a supervised
publicly or privately operated shelter as follows:
Emergency Shelter Program Name:
This emergency shelter must appear on the CoC’s Housing Inventory Chart submitted as part of the
most recent CoC Homeless Assistance application to HUD or otherwise be recognized by the CoC as
part of the CoC inventory (e.g., newly established Emergency Shelter).
Authorized Agency Representative Signature:
Date:
Living Situation: Recently Homeless
The person(s) named above is/are currently receiving financial and supportive services for
persons who are homeless. Loss of such assistance would result in a return to homelessness
(ex. Households in Rapid Rehousing Programs, residents of Permanent Supportive Housing
Programs participating in Moving On, etc.)
Authorized Agency Representative Signature:
This referring agency must appear on the CoC’s Housing Inventory Chart submitted as part of the
most recent CoC Homeless Assistance application to HUD or otherwise be recognized by the CoC as
part of the CoC inventory.
Immediately prior to entering the household’s current living situation, the person(s)
named above was/were residing in:
emergency shelter OR a place unfit for human habitation
Authorized Agency Representative Signature:
Date:
18-25
Exhibit TPS-3: EXAMPLE OF A VICTIM SERVICES PROVIDER’S CERTIFICATION
Attachment 4 of Notice PIH 2021-15: Example of a Victim Services Provider’s Certification
Emergency Housing Voucher (EHV)
SAMPLE HUMAN TRAFFICKING CERTIFICATION
Purpose of Form:
The Victims of Trafficking and Violence Protection Act of 2000 provides assistance to
victims of trafficking making housing, educational health care, job training and other
Federally-funded social service programs available to assist victims in rebuilding their
lives.
Use of This Optional Form:
In response to this request, the service provider may complete this form and submit it to
the Public Housing Agency (PHA) to certify eligibility for EHV assistance.
Confidentiality: All information provided to the service provider concerning the incident(s) of
human trafficking shall be kept confidential and such details shall not be entered into any
shared database. Employees of the PHA will not have access to these details, 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 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.
TO BE COMPLETED ON BEHALF OF HUMAN TRAFFICKING SURVIVOR
EHV Applicant Name:
This is to certify that the above named individual or household meets the definition for
persons who are fleeing or attempting to flee human trafficking under section 107(b) of
the Trafficking Victims Protection Act of 2000.
Immediately prior to entering the household’s current living situation, the person(s)
named above was/were residing in:
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(s) named above is/has been a victim
of human trafficking. 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.
Authorized Agency Representative Signature:
Date:
18-26
VETERANS AFFAIRS SUPPORTIVE HOUSING (VASH)
PART II
Introduction
18-II.A. Overview
Since 2008, HCV program funding has provided rental assistance under a supportive housing program
for homeless veterans. The Veterans Affairs Supportive Housing (VASH) program combines HCV
rental assistance with case management and clinical services provided by the Department of Veterans
Affairs (VA) at VA medical centers (VAMCs) and Community-Based Outpatient Clinics (CBOCs).
Eligible families are homeless veterans and their families that agree to participate in VA case
management and are referred to the VAMC’s partner PHA for HCV assistance. The VAMC or
CBOC’s responsibilities include:
•
Screening homeless veterans to determine whether they meet VASH program participation criteria;
•
Referring homeless veterans to the PHA;
o The term homeless veteran means a veteran who is homeless (as that term is defined in
subsection (a) or (b) of Section 103 of the McKinney-Vento Homeless Assistance Act (42
U.S.C. 11302)). See 38 U.S.C. 2002.
•
Providing appropriate treatment and supportive services to potential VASH participants, if needed,
prior to PHA issuance of a voucher;
•
Providing housing search assistance to VASH participants;
•
Identifying the social service and medical needs of VASH participants, and providing or ensuring the
provision of regular ongoing case management, outpatient health services, hospitalization, and other
supportive services as needed throughout the veterans’ participation period; and
•
Maintaining records and providing information for evaluation purposes, as required by HUD and the
VA.
VASH vouchers are awarded noncompetitively based on geographic need and PHA administrative
performance. Eligible PHAs must be located within the jurisdiction of a VAMC and in an area of
high need based on data compiled by HUD and the VA. When Congress funds a new allocation of
VASH vouchers, HUD invites eligible PHAs to apply for a specified number of vouchers.
Generally, the HUD-VASH program is administered in accordance with regular HCV program
requirements. However, HUD is authorized to waive or specify alternative requirements to allow
PHAs to effectively deliver and administer VASH assistance. Alternative requirements are
established in the HUD-VASH Operating Requirements, which were originally published in the
Federal Register on May 6, 2008, and updated September 27, 2021.
Unless expressly waived by HUD, all regulatory requirements and HUD directives regarding the
HCV program are applicable to VASH vouchers, including the use of all HUD-required contracts
and other forms, and all civil rights and fair housing requirements. In addition, the PHA may
request additional statutory or regulatory waivers that it determines are necessary for the effective
delivery and administration of the program. (See Federal Register, 9/27/2021, Section 8 Housing
Choice Vouchers: Revised Implementation of the HUD Veterans Affairs Supportive Housing
18-27
Program, pg. 53207, for waivers and details regarding regulations and program policy that does not
apply to VASH.)
The VASH program is administered in accordance with applicable Fair Housing requirements
since civil rights requirements cannot be waived under the program. These include applicable
authorities under 24 CFR §5.105(a) and 24 CFR §982.53 including, but not limited to, the Fair
Housing Act, Section 504 of the Rehabilitation Act of 1973, Title VI of the Civil Rights Act of
1964, the Americans with Disabilities Act, and the Age Discrimination Act and all PHA policies as
outlined in Chapter 2 of this document. When HUD-VASH recipients include veterans with
disabilities or family members with disabilities, reasonable accommodation requirements in Part II
of Chapter 2 of this policy apply.
18-II.B. Referrals [FR Notice 9/27/2021 and HUD-VASH Qs and As]
AMC case managers will screen all families in accordance with VA screening criteria and refer
eligible families to the PHA for determination of program eligibility and voucher issuance. The
PHA has no role in determining or verifying the veteran’s eligibility under VA screening criteria,
including determining the veteran’s homelessness status. The PHA must accept referrals from the
partnering VAMC and must maintain written documentation of referrals in VASH tenant files.
Upon turnover, VASH vouchers must be issued to eligible veteran families as identified by the
VAMC.
PHA POLICY
In order to expedite the screening process, the PHA will provide all forms and a list of
documents required for the VASH application to the VAMC.
Case managers will work with veterans to fill out the forms and compile all documents
prior to meeting with the PHA and submitting an application. When feasible, the VAMC
case manager should email or fax copies of all documents to the PHA prior to the meeting
in order to allow the PHA time to review them and start a file for the veteran. After the
VAMC has given the PHA a complete referral, the PHA will perform an eligibility
screening within five (5) business days of receipt of a VAMC referral.
18-II.C. HCV Program Eligibility [FR Notice 9/27/2021]
Eligible participants are homeless veterans and their families who agree to participate in case
management from the VAMC.
•
A VASH Veteran or veteran family refers to either a single veteran or a veteran with a household
composed of two or more related persons. It also includes one or more eligible persons living with the
veteran who are determined to be important to the veteran’s care or well-being.
•
A veteran for the purpose of VASH is a person whose length of service meets statutory requirements,
and who served in the active military, naval, or air service, was discharged or released under conditions
other than dishonorable, and is eligible for VA health care.
18-28
Under VASH, PHAs do not have authority to determine family eligibility in accordance with HCV
program rules and PHA policies. The only reasons for denial of assistance by the PHA are failure to
meet the income eligibility requirements and/or that a family member is subject to a lifetime
registration requirement under a state sex offender registration program. Under portability, the
receiving PHA must also comply with these VASH screening requirements.
Social Security Numbers
When verifying Social Security numbers (SSNs) for homeless veterans and their family members, an
original document issued by a federal or state government agency, which contains the name and SSN
of the individual along with other identifying information of the individual, is acceptable in accordance
with Section 7-II.B. of this policy.
In the case of the homeless veteran, the PHA must accept the Certificate of Release or Discharge from
Active Duty (DD-214) or the VA-verified Application for Health Benefits (10-10EZ) as verification of
SSN and cannot require the veteran to provide a Social Security card. A VA-issued identification card
may also be used to verify the SSN of a homeless veteran.
Proof of Age
The DD-214 or 10-10EZ must be accepted as proof of age in lieu of birth certificates or other
PHArequired documentation as outlined in Section 7-II.C. of this policy. A VA-issued identification
card may also be used to verify the age of a homeless veteran.
Photo Identification
A VA-issued identification card must be accepted in lieu of another type of government-issued photo
identification. Income Eligibility The PHA must determine income eligibility for VASH families in
accordance with 24 CFR §982.201(b)(2) and policies in Section 3-II.A. If the family is over-income
based on the most recently published income limits for the family size, the family will be ineligible for
HCV assistance.
While income-targeting does not apply to VASH vouchers, the PHA may include the admission of
extremely low-income VASH families in its income targeting numbers for the fiscal year in which
these families are admitted.
PHA PLAN
While income-targeting requirements will not be considered by the PHA when families are
referred by the partnering VAMC, the PHA will include any extremely low-income VASH
families that are admitted in its income targeting numbers for the fiscal year in which these
families are admitted.
Screening
18-29
The PHA may not screen any potentially eligible family members or deny assistance for any grounds
permitted under 24 CFR §982.552 and §982.553 with one exception: the PHAs is still required to
prohibit admission if any member of the household is subject to a lifetime registration requirement
under a state sex offender registration program. Accordingly, with the exception of denial for
registration as a lifetime sex offender under state law and PHA policies on how sex offender
screenings will be conducted, PHA policy in Sections 3-III.B. through 3-III.E. do not apply to VASH.
The prohibition against screening families for anything other than lifetime sex offender status applies
to all family members, not just the veteran.
Denial of Assistance [Notice PIH 2008-37]
Once a veteran is referred by the VAMC, the PHA must either issue a voucher or deny assistance. If
the PHA denies assistance, it must provide the family with prompt notice of the decision and a brief
statement of the reason for denial in accordance with Section 3-III.F. Like in the standard HCV
program, the family must be provided with the opportunity for an informal review in accordance with
policies in Section 3-III.F. In addition, a copy of the denial notice must be sent to the VAMC case
manager.
18-II.D. Changes in Family Composition Adding Family Members [FR Notice 9/27/2021]
When adding a family member after the family has been admitted to the program, PHA policies in
Section 3-II.B. apply. Other than the birth, adoption, or court-awarded custody of a child, the PHA
must approve additional family members and will apply its regular screening criteria in doing so.
Remaining Family Members [HUD-VASH Qs & As]
If the homeless veteran dies while the family is being assisted, the voucher will remain with the
remaining members of the tenant family. The PHA may use one of its own regular vouchers, if
available, to continue assisting this family and free up a VASH voucher for another VASH-eligible
family. If a regular voucher is not available, the family would continue utilizing the VASH voucher.
Once the VASH voucher turns over, however, it must go to a homeless veteran family.
PHA PLAN
If the veteran dies while receiving assistance, the PHA will use a regular HCV voucher for
the remaining family members to free up the VASH voucher for another veteran.
Family Break Up [HUD-VASH Qs & As]
In the case of divorce or separation, since the set-aside of VASH vouchers is for veterans, the voucher
must remain with the veteran. This overrides the PHA’s policies in Section 3-I.C. on how to determine
who remains in the program if a family breaks up.
18-II.E. Leasing [FR Notice 9/27/2021]
18-30
Waiting List
The PHA does not have the authority to maintain a waiting list or apply local preferences for HUD–
VASH vouchers. Policies in Chapter 4 relating to applicant selection from the waiting list, local
preferences, special admissions, cross-listing, and opening and closing the waiting list do not apply to
VASH vouchers.
Voucher Issuance
Unlike the standard HCV program, which requires an initial voucher term of at least 60 days, VASH
vouchers must have an initial search term of at least 120 days. PHA policies on extensions as outlined
in Section 5-II.E. will apply.
PHA PLAN
All VASH vouchers will have an initial term of 120 calendar days. The family must submit
a Request for Tenancy Approval and proposed lease within the 120- day period unless the
PHA grants an extension. (See Section 5-II.E)
The PHA must track issuance of HCVs for families referred by the VAMC or CBOC in PIC as
required in Notice PIH 2011-53.
Initial Lease Term
Unlike in the standard the HCV program, VASH voucher holders may enter into an initial lease that is
for less than 12 months. Accordingly, PHA policy in Section 9-I.E., Term of Assisted Tenancy, does
not apply.
Ineligible Housing [FR Notice 6/18/14]
Unlike in the standard HCV program, VASH families are permitted to live on the grounds of a VA
facility in units developed to house homeless veterans. Therefore, 24 CFR §982.352(a)(5) and
§983.53(a)(2), which prohibit units on the physical grounds of a medical, mental, or similar public or
private institution, do not apply to VASH for this purpose only. Accordingly, PHA policy in 9-I.D.,
Ineligible Units, does not apply for this purpose only.
HQS Pre-Inspections
To expedite the leasing process, PHAs may pre-inspect available units that veterans may be interested
in leasing in order to maintain a pool of eligible units. If a VASH family selects a unit that passed an
HQS inspection (without intervening occupancy) within 45 days of the date of the Request for
Tenancy Approval (Form HUD-52517), the unit may be approved if it meets all other conditions under
24 CFR §982.305. However, the veteran must be free to select his or her unit and cannot be steered to
these units.
PHA PLAN
18-31
PHA PLAN
To expedite the leasing process, the PHA may pre-inspect available units that veterans may
be interested in leasing to maintain a pool of eligible units.
If a VASH family selects a unit that passed a HQS pre-inspection (without intervening
occupancy) within 45 days of the date of the RTA, the unit may be approved provided that
it meets all other conditions under 24 CFR §982.305. The veteran will be free to select his
or her unit.
When a pre-inspected unit is not selected, the PHA will make every effort to fast-track the
inspection process, including adjusting the normal inspection schedule for both initial and
any required reinspections.
18-II.F. Portability [FR Notice 9/27/2021 and Notice PIH 2011-53]
General Requirements
Portability policies under VASH depend on whether the family wants to move within or
outside of the initial VA facility’s catchment area (the area in which the VAMC or CBOC
operates). In all cases, the initial VA facility must be consulted prior to the move and
provide written confirmation that case management will continue to be provided in the
family’s new location.
Under VASH, applicant families may move under portability even if the family did not
have legal residency in the jurisdiction of the initial PHA when they applied. As a result,
PHA policies in Section 10-II.B. about nonresident applicants do not apply.
If the family no longer requires case management, there are no portability restrictions.
Normal portability rules apply.
Portability within the Initial VAMC’s Catchment Area
A VASH family can move within the VAMC’s catchment area as long as case
management can still be provided, as determined by the VA. If the initial PHA’s partnering
VAMC will still provide the case management services, the receiving PHA must process
the move in accordance with portability procedures:
•
If the receiving PHA has been awarded VASH vouchers, it can choose to either bill the
initial PHA or absorb the family if it has a VASH voucher available to do so.
o If the PHA absorbs the family, the VAMC or CBOC providing the initial case
management must agree to the absorption and the transfer of case management.
•
If the receiving PHA does not administer a VASH program, it must always bill the initial
PHA.
18-32
Portability Outside of the Initial VAMC’s Catchment Area
If a family wants to move to another jurisdiction where it will not be possible for the initial
PHA’s partnering VAMC or CBOC to provide case management services, the initial VAMC
must first confirm that the new VAMC has an available VASH case management slot and the
new VAMC’s partner PHA has an available VASH voucher.
After acceptance of the veteran by the new VAMC, the new VAMC will refer the veteran to its partner
PHA. In these cases, the family must be absorbed by the receiving PHA either as a new admission or
as a portability move-in, as applicable. Upon absorption, the initial PHA’s VASH voucher will be
available to lease to a new VASH-eligible family, and the absorbed family will count toward the
number of VASH slots awarded to the receiving PHA.
18-II.G. Termination of Assistance [FR Notice 9/27/2021]
With the exception of terminations for failure to receive case management, HUD has not established
any alternative requirements for termination of assistance for VASH participants. However, prior to
terminating VASH participants, HUD strongly encourages PHAs to exercise their discretion under 24
CFR §982.552(c)(2) as outlined in Section 12-II.D. of this policy and consider all relevant
circumstances of the specific case. This includes granting reasonable accommodations for persons with
disabilities, as well as considering the role of the case manager and the impact that ongoing case
management services can have on mitigating the conditions that led to the potential termination.
VASH participant families may not be terminated after admission for a circumstance or activities that
occurred prior to admission and were known to the PHA but could not be considered at the time of
admission due to VASH program requirements. The PHA may terminate the family’s assistance only
for program violations that occur after the family’s admission to the program.
Cessation of Case Management
As a condition of receiving HCV rental assistance, a HUD-VASH-eligible family must receive case
management services from the VAMC or CBOC. A VASH participant family’s assistance must be
terminated for failure to participate, without good cause, in case management as verified by the VAMC
or CBOC.
However, a VAMC or CBOC determination that the participant family no longer requires case
management is not grounds for termination of assistance and the family is still eligible for assistance
under the HCV program. In such a case, at its option, the PHA may offer the family continued HCV
assistance through one of its regular vouchers. If the PHA has no voucher to offer, the family will
retain its VASH voucher until such time as the PHA has an available voucher for the family.
VAWA [HUD VASH Q & A and Notice PIH 2017-08]
18-33
When a veteran’s family member is receiving protection under VAWA because 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 VASH assistance, the victim should be given a
regular HCV if one is available, and the perpetrator’s VASH voucher should be used to serve another
eligible veteran family. If a regular HCV is not available, the victim will continue to use the VASH
voucher even after the perpetrator’s assistance is terminated.
18-II.H. Project-Basing VASH Vouchers
General Requirements [Notice PIH 2017-21]
The PHA may administer project-based VASH vouchers under two circumstances. First, PHAs are
authorized to project-base their tenant-based VASH vouchers without additional HUD review or
approval in accordance with Notice PIH 2017-21 and all PBV program requirements provided that the
VAMC will continue to make supportive services available. Second, since 2010, HUD has awarded
VASH vouchers specifically for project-based assistance in the form of PBV HUD-VASH set-aside
vouchers. While these vouchers are excluded from the PBV program cap as long as they remain under
PBV HAP contract at the designated project, all other VASH vouchers are subject to the PBV program
percentage limitation discussed in Section 17-I.A.
If the PHA project-bases VASH vouchers, the PHA must retain documentation of the partnering
VAMC’s support. Policies for VASH PBV units will generally follow PHA policies for the standard
PBV program as listed in Chapter 17, with the exception of the moves policy listed below.
Moves [HUD-VASH Q & A]
When a VASH PBV family is eligible to move from its PBV unit in accordance with Section 17-
VIII.C. of this policy, but there is no other comparable tenant-based rental assistance, the following
procedures must be implemented:
•
If a VASH tenant-based voucher is not available at the time the family wants (and is eligible) to move,
the PHA may require the family to wait for a VASH tenant-based voucher for a period not to exceed
180 days;
•
If a VASH tenant-based voucher is still not available after that period, the family must be allowed to
move with its VASH voucher, and the PHA is required to replace the assistance in the PBV unit with
one of its regular vouchers, unless the PHA and owner agree to remove the unit from the HAP contract;
and
•
If after 180 days, a VASH tenant-based voucher does not become available and the PHA does not have
sufficient available funding in its HCV program to attach assistance to the PBV unit, the family may be
required to remain in its PBV unit until such funding becomes available. In determining if funding is
insufficient, the PHA must take into consideration its available budget authority, which also includes
unspent prior year HAP funds in the PHA’s Net Restricted Assets account.
19-1
Chapter 19
PROJECT-BASED VOUCHERS
INTRODUCTION
This chapter describes HUD regulations and PHA policies related to the project-based voucher (PBV)
program in nine parts:
Part I: General Requirements. This part describes general provisions of the PBV program
including maximum budget authority requirements, relocation requirements, and equal
opportunity requirements.
Part II: PBV Owner Proposals. This part includes policies related to the submission and
selection of owner proposals for PBV assistance. It describes the factors the PHA will consider
when selecting proposals, the type of housing that is eligible to receive PBV assistance, the cap
on assistance at projects receiving PBV assistance, subsidy layering requirements, site selection
standards, and environmental review requirements.
Part III: Dwelling Units. This part describes requirements related to housing quality
standards, the type and frequency of inspections, and housing accessibility for persons with
disabilities.
Part IV: Rehabilitated and Newly Constructed Units. This part describes requirements and
policies related to the development and completion of rehabilitated and newly constructed
housing units that will be receiving PBV assistance.
Part V: Housing Assistance Payments Contract. This part discusses HAP contract
requirements and policies including the execution, term, and termination of the HAP contract.
In addition, it describes how the HAP contract may be amended and identifies provisions that
may be added to the HAP contract at the PHA’s discretion.
Part VI: Selection of PBV Program Participants. This part describes the requirements and
policies governing how the PHA and the owner will select a family to receive PBV assistance.
Part VII: Occupancy. This part discusses occupancy requirements related to the lease and
describes under what conditions families are allowed or required to move. In addition,
exceptions to the occupancy cap (which limits PBV assistance to 25 percent of the units in any
project) are also discussed.
Part VIII: Determining Rent to Owner. This part describes how the initial rent to owner is
determined, and how rent will be redetermined throughout the life of the HAP contract. Rent
reasonableness requirements are also discussed.
Part IX: Payments to Owner. This part describes the types of payments owners may receive
under this program.
19-2
PART I: GENERAL REQUIREMENTS
19-I.A. OVERVIEW [24 CFR 983.5; FR Notice 1/18/17; Notice PIH 2017-21]
The project-based voucher (PBV) program allows PHAs that already administer a tenant-based
voucher program under an annual contributions contract (ACC) with HUD to take up to 20 percent of
its authorized units and attach the funding to specific units rather than using it for tenant-based
assistance [24 CFR 983.6]. PHAs may only operate a PBV program if doing so is consistent with the
PHA’s Annual Plan, and the goal of deconcentrating poverty and expanding housing and economic
opportunities [42 U.S.C. 1437f(o)(13)].
PHA Policy
The PHA will operate a project-based voucher program using up to 20 percent of its authorized
units for project-based assistance.
See Exhibit 19-1 for information on projects to which the PHA has attached PBV assistance.
PBV assistance may be attached to existing housing or newly constructed or rehabilitated housing [24
CFR 983.52]. If PBV units are already selected for project-based assistance either under an agreement
to enter into HAP Contract (Agreement) or a HAP contract, the PHA is not required to reduce the
number of these units if the number of authorized units is subsequently reduced. However, the PHA is
responsible for determining the amount of budget authority that is available for project-based vouchers
and ensuring that the amount of assistance that is attached to units is within the amounts available
under the ACC, regardless of whether the PHA has vouchers available for project-basing [FR Notice
1/18/17].
Additional Project-Based Units [FR Notice 1/18/17; Notice PIH 2017-21; FR Notice 1/24/22]
The PHA may project-base an additional 10 percent of its units above the 20 percent program limit.
The units may be distributed among one, all, or a combination of the categories as long as the total
number of units does not exceed the 10 percent cap.
For units under a HAP contract that was first executed on or after April 18, 2017, uUnits qualify under
this exception if the units:
• Are specifically made available to house individuals and families that meet the definition of
homeless under section 103 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11302)
and contained in the Continuum of Care Interim Rule at 24 CFR 578.3.
• Are specifically made available to house families that are comprised of or include a veteran.
-
Veteran means an individual who has served in the United States Armed Forces.
• Provide supportive housing to persons with disabilities or elderly persons as defined in 24 CFR
5.403.
• Are located in a census tract with a poverty rate of 20 percent or less, as determined in the most
recent American Community Survey Five-Year Estimates.
19-3
PBV units that house eligible youth receiving FUPY/FYI assistance are also covered by this 10 percent
exception authority if the units are under a HAP contract that became effective after December 27,
2020, and if the unit is occupied by an eligible youth receiving FUPY/FYI assistance. FYI TPVs that
were awarded under Notice PIH 2019-20 are not part of this exception since PHAs are prohibited from
project-basing FYI TPVs. Units added after December 27, 2020, through an amendment of a HAP
contract that became effective after December 27, 2020, are eligible for this 10 percent exception
authority. In contrast, units added after December 27, 2020, through an amendment of a HAP contract
that became effective on or prior to December 27, 2020, are not eligible for this 10 percent exception
authority [FR Notice 1/24/22]. See Chapter 19 for policies specific to project-basing FUPY vouchers.
Only units that that are under a HAP contract that was first executed on or after April 18, 2017, are
covered by the 10 percent exception.
PHA Policy
The PHA may project-base up to an additional 10 percent of its authorized units, up to
30 percent, in accordance with HUD regulations and requirements.
Units Not Subject to the PBV Program Limitation [FR Notice 1/18/17]
PBV units under the RAD program and HUD-VASH PBV set-aside vouchers do not count toward the
20 percent limitation when PBV assistance is attached to them.
In addition, units that were previously subject to certain federal rent restrictions or were receiving
another type of long-term housing subsidy provided by HUD are not subject to the cap. The unit must
be covered under a PBV HAP contract that first became effective on or after April 18, 2017.
PHA Policy
The PHA may project-base units not subject to the 20 percent cap in accordance with HUD
regulations and requirements.
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19-I.B. TENANT-BASED VS. PROJECT-BASED VOUCHER ASSISTANCE
[24 CFR 983.2]
Much of the tenant-based voucher program regulations also apply to the PBV program. Consequently,
many of the PHA policies related to tenant-based assistance also apply to PBV assistance. The
provisions of the tenant-based voucher regulations that do not apply to the PBV program are listed at
24 CFR 983.2.
PHA Policy
Except as otherwise noted in this chapter, or unless specifically prohibited by PBV program
regulations, the PHA policies for the tenant-based voucher program contained in this
administrative plan also apply to the PBV program and its participants.
19-I.C. RELOCATION REQUIREMENTS [24 CFR 983.7]
Any persons displaced as a result of implementation of the PBV program must be provided relocation
assistance in accordance with the requirements of the Uniform Relocation Assistance and Real
Property Acquisition Policies Act of 1970 (URA)[42 U.S.C. 4201-4655] and implementing regulations
at 49 CFR part 24.
The cost of required relocation assistance may be paid with funds provided by the owner, local public
funds, or funds available from other sources. PHAs may not use voucher program funds to cover
relocation costs, except that PHAs may use their administrative fee reserve to pay for relocation
expenses after all other program administrative expenses are satisfied, and provided that payment of
the relocation benefits is consistent with state and local law. Use of the administrative fee for these
purposes must also be consistent with other legal and regulatory requirements, including the
requirement in 24 CFR 982.155 and other official HUD issuances.
The acquisition of real property for a PBV project is subject to the URA and 49 CFR part 24, subpart
B. It is the responsibility of the PHA to ensure the owner complies with these requirements.
19-I.D. EQUAL OPPORTUNITY REQUIREMENTS [24 CFR 983.8]
The PHA must comply with all equal opportunity requirements under federal law and regulations in its
implementation of the PBV program. This includes the requirements and authorities cited at 24 CFR
5.105(a). In addition, the PHA must comply with the PHA Plan certification on civil rights and
affirmatively furthering fair housing, submitted in accordance with 24 CFR 903.7(o).
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PART II: PBV OWNER PROPOSALS
19-II.A. OVERVIEW
With certain exceptions, the PHA must describe the procedures for owner submission of PBV
proposals and for PHA selection of PBV proposals [24 CFR 983.51]. Before selecting a PBV proposal,
the PHA must determine that the PBV proposal complies with HUD program regulations and
requirements, including a determination that the property is eligible housing [24 CFR 983.53 and
983.54], complies with the cap on the number of PBV units per project [24 CFR 983.56], and meets
the site selection standards [24 CFR 983.57]. The PHA may not commit PBVs until or unless it has
followed the proposal selection requirements defined in 24 CFR 983.51 [Notice PIH 2011-54].
19-II.B. OWNER PROPOSAL SELECTION PROCEDURES [24 CFR 983.51(b)]
The PHA must select PBV proposals in accordance with the selection procedures in the PHA
administrative plan. The PHA must select PBV proposals by either of the following two methods.
• PHA request for PBV Proposals. The PHA may solicit proposals by using a request for proposals
to select proposals on a competitive basis in response to the PHA request. The PHA may not limit
proposals to a single site or impose restrictions that explicitly or practically preclude owner
submission of proposals for PBV housing on different sites.
• The PHA may select proposal that were previously selected based on a competition. This may
include selection of a proposal for housing assisted under a federal, state, or local government
housing assistance program that was subject to a competition in accordance with the requirements
of the applicable program, community development program, or supportive services program that
requires competitive selection of proposals (e.g., HOME, and units for which competitively
awarded LIHTCs have been provided), where the proposal has been selected in accordance with
such program's competitive selection requirements within three years of the PBV proposal
selection date, and the earlier competitive selection proposal did not involve any consideration that
the project would receive PBV assistance. The PHA need not conduct another competition.
Units Selected Non-Competitively [FR Notice 1/18/17; Notice PIH 2017-21; 24 CFR 983.51(b)]
For certain public housing projects where the PHA has an ownership interest or control, the PHA may
attach PBV assistance non-competitively without following one of the two processes above.
This exception applies when the PHA is engaged in an initiative to improve, develop, or replace a
public housing property or site. The public housing units may either currently be in the public housing
inventory or may have been removed from the public housing inventory within five years of the date
on which the PHA entered into the AHAP or HAP.
If the PHA is planning rehabilitation or new construction on the project, a minimum threshold of
$25,000 per unit in hard costs must be expended.
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If the PHA plans to replace public housing by attaching PBV assistance to existing housing in which
the PHA has an ownership interest or control, then the $25,000 per unit minimum threshold does not
apply as long as the existing housing substantially complies with HQS.
The PHA must include in the administrative plan what work it plans to do on the property or site and
how many PBV units will be added to the site.
PHA Policy
The PHA will not may attach up to 25 PBVs to projects owned by the PHA as described
above.
Solicitation and Selection of PBV Proposals [24 CFR 983.51(c)]
PHA procedures for selecting PBV proposals must be designed and actually operated to provide broad
public notice of the opportunity to offer PBV proposals for consideration by the PHA. The public
notice procedures may include publication of the public notice in a local newspaper of general
circulation and other means designed and actually operated to provide broad public notice. The public
notice of the PHA request for PBV proposals must specify the submission deadline. Detailed
application and selection information must be provided at the request of interested parties.
PHA Policy
PHA Request for Proposals for Rehabilitated and Newly Constructed Units
The PHA will advertise its request for proposals (RFP) for rehabilitated and newly constructed
housing in suitable media outlets that may include, but not limited to:the following newspapers
and trade journals.: ChanWeb, Channel 11 Public Service City Scope, Local Social Service
Agencies (Arizona), East Valley Tribute, La Voz, Arizona Republic, and/or Arizona Business
Journal.
The advertisement will state the number of vouchers available to be project-based, the type of
units that will be considered, the submission deadline, and will note how to obtain the full RFP
with information on the application and selection process. Advertisements will also contain a
statement that participation in the PBV program requires compliance with Fair Housing and
Equal Opportunity (FHEO) requirements.
In addition, the PHA will post the RFP and proposal submission and rating and ranking
procedures on its website.
The PHA will publish its advertisement in the newspapers and trade journals mentioned above
for at least one day per week. The advertisement will specify the number of units the PHA
estimates that it will be able to assist under the funding the PHA is making available. Proposals
will be due in the PHA office by close of business 30 calendar days from the date of the last
publication.
In order for the proposal to be considered, the owner must submit the proposal to the PHA by
the published deadline date, and the proposal must respond to all requirements as outlined in
the RFP. Incomplete proposals will not be reviewed.
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The PHA will rate and rank proposals for rehabilitated and newly constructed housing using the
following criteria:
Owner experience and capability to build or rehabilitate housing as identified in the
RFP;
Extent to which the project furthers the PHA goal of deconcentrating poverty and
expanding housing and economic opportunities;
If applicable, the extent to which services for special populations are provided on site or
in the immediate area for occupants of the property; and
In order to promote partially assisted projects, projects where less than 25 percent of the
units will be assisted will be rated higher than projects where 25 percent or more of the
units will be assisted. In the case of projects for occupancy by the elderly, persons with
disabilities or families needing other services, the PHA will rate partially assisted
projects on the percentage of units assisted. Projects with the lowest percentage of
assisted units will receive the highest score.
PHA Requests for Proposals for Existing Housing Units
The PHA will advertise its request for proposals (RFP) for existing housing in the following
newspapers and trade journals. in suitable media outlets that may include, but not limited ::
ChanWeb, Channel 11 Public Service City Scope, Local Social Service Agencies (Arizona),
East Valley Tribute, La Voz, Arizona Republic, or Arizona Business Journal.
The advertisement will state the number of vouchers available to be project-based, the type of
units that will be considered, the submission deadline, and will note how to obtain the full RFP
with information on the application and selection process. Advertisements will also contain a
statement that participation in the PBV program requires compliance with Fair Housing and
Equal Opportunity (FHEO) requirements.
In addition, the PHA will post the notice inviting such proposal submission and the rating and
ranking procedures on its website.
The PHA will periodically publish its advertisement in the newspapers and trade journals
mentioned above for at least one day per week. The advertisement will specify the number of
units the PHA estimates that it will be able to assist under the funding the PHA is making
available. Owner proposals will be accepted on a first-come first-served basis and will be
evaluated using the following criteria:
Experience as an owner in the tenant-based voucher program and owner compliance
with the owner’s obligations under the tenant-based program;
Extent to which the project furthers the PHA goal of deconcentrating poverty and
expanding housing and economic opportunities;
If applicable, extent to which services for special populations are provided on site or in
the immediate area for occupants of the property; and
19-8
Extent to which units are occupied by families that are eligible to participate in the PBV
program.
PHA Selection of Proposals Subject to a Previous Competition under a Federal, State, or Local
Housing Assistance Program
The PHA will accept proposals for PBV assistance from owners that were competitively
selected under another federal, state or local housing assistance program, including projects that
were competitively awarded Low-Income Housing Tax Credits on an ongoing basis.
The PHA may periodically advertise that it is accepting proposals, in the following newspapers
and trade journals:in suitable media outlets that may include, but not limited to: ChanWeb,
Channel 11 Public Service City Scope, Local Social Service Agencies (Arizona), East Valley
Tribute, La Voz, Arizona Republic, and/or Arizona Business Journal.
The advertisement will state the number of vouchers available to be project-based, the type of
units that will be considered, the submission deadline, and will note how to obtain the full RFP
with information on the application and selection process. Advertisements will also contain a
statement that participation in the PBV program requires compliance with Fair Housing and
Equal Opportunity (FHEO) requirements.
In addition to, or in place of advertising, the PHA may also directly contact specific owners that
have already been selected for Federal, state, or local housing assistance based on a previously
held competition, to inform them of available PBV assistance.
Proposals will be reviewed on a first-come first-served basis. The PHA will evaluate each
proposal on its merits using the following factors:
Extent to which the project furthers the PHA goal of deconcentrating poverty and
expanding housing and economic opportunities; and
Extent to which the proposal complements other local activities such as the
redevelopment of a public housing site under the HOPE VI program, the HOME
program, CDBG activities, other development activities in a HUD-designated
Enterprise Zone, Economic Community, Choice Neighborhood, or Renewal
Community.
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PHA-Owned Units [24 CFR 983.51(e), 983.59, FR Notice 1/18/17, and Notice PIH 2017-21]
A PHA-owned unit may be assisted under the PBV program only if the HUD field office or HUD-
approved independent entity reviews the selection process and determines that the PHA-owned units
were appropriately selected based on the selection procedures specified in the PHA administrative
plan. This also applies to noncompetitive selections. If the PHA selects a proposal for housing that is
owned or controlled by the PHA, the PHA must identify the entity that will review the PHA proposal
selection process and perform specific functions with respect to rent determinations, the term of the
HAP contract, and inspections.
In the case of PHA-owned units, the term of the HAP contract and any HAP contract renewal must be
agreed upon by the PHA and a HUD-approved independent entity. In addition, an independent entity
must determine the initial rent to owner, the redetermined rent to owner, and reasonable rent. Housing
quality standards inspections must also be conducted by an independent entity.
The independent entity that performs these program services 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) or another HUD-approved public or private independent entity.
PHA Policy
The PHA may submit a proposal for project-based housing that is owned or controlled by the
PHA. If the proposal for PHA-owned housing is selected, the PHA will use a company to be
determined [insert name of the entity] to review the PHA selection process. The PHA will
obtain HUD approval of [insert name of entity] a company to be determined prior to selecting
the proposal for PHA-owned housing.
The PHA may only compensate the independent entity from PHA ongoing administrative fee income
(including amounts credited to the administrative fee reserve). The PHA may not use other program
receipts to compensate the independent entity for its services. The PHA and independent entity may
not charge the family any fee for the appraisal or the services provided by the independent entity.
PHA Notice of Owner Selection [24 CFR 983.51(d)]
The PHA must give prompt written notice to the party that submitted a selected proposal and must also
give prompt public notice of such selection. Public notice procedures may include publication of
public notice in a local newspaper of general circulation and other means designed and actually
operated to provide broad public notice.
PHA Policy
Within 10 business days of the PHA making the selection, the PHA will notify the selected
owner in writing of the owner’s selection for the PBV program. The PHA will also notify in
writing all owners that submitted proposals that were not selected and advise such owners of
the name of the selected owner.
In addition, the PHA will publish its notice for selection of PBV proposals for two consecutive
days in the same newspapers and trade journals the PHA used to solicit the proposals. The
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announcement will include the name of the owner that was selected for the PBV program. The
PHA will also post the notice of owner selection on its electronic web site.
The PHA will make available to any interested party its rating and ranking sheets and
documents that identify the PHA basis for selecting the proposal. These documents will be
available for review by the public and other interested parties for one month after publication of
the notice of owner selection. The PHA will not make available sensitive owner information
that is privileged, such as financial statements and similar information about the owner.
The PHA will make these documents available for review at the PHA during normal business
hours. The cost for reproduction of allowable documents will be $.25 per page.
19-II.C. HOUSING TYPE [24 CFR 983.52]
The PHA may attach PBV assistance for units in existing housing or for newly constructed or
rehabilitated housing developed under and in accordance with an agreement to enter into a housing
assistance payments contract that was executed prior to the start of construction. A housing unit is
considered an existing unit for purposes of the PBV program, if, at the time of notice of PHA selection,
the units substantially comply with HQS. Units for which new construction or rehabilitation began
after the owner's proposal submission but prior to the execution of the HAP do not subsequently
qualify as existing housing. Units that were newly constructed or rehabilitated in violation of program
requirements also do not qualify as existing housing.
The PHA must decide what housing type, new construction, rehabilitation, or existing housing, will be
used to develop project-based housing. The PHA choice of housing type must be reflected in its
solicitation for proposals.
19-II.D. PROHIBITION OF ASSISTANCE FOR CERTAIN UNITS
Ineligible Housing Types [24 CFR 983.53]
The PHA may not attach or pay PBV assistance to shared housing units; units on the grounds of a
penal reformatory, medical, mental, or similar public or private institution; nursing homes or facilities
providing continuous psychiatric, medical, nursing services, board and care, or intermediate care
(except that assistance may be provided in assisted living facilities); units that are owned or controlled
by an educational institution or its affiliate and are designated for occupancy by students;
manufactured homes; and transitional housing. In addition, the PHA may not attach or pay PBV
assistance for a unit occupied by an owner and the PHA may not select or enter into an agreement to
enter into a HAP contract or HAP contract for a unit occupied by a family ineligible for participation in
the PBV program. A member of a cooperative who owns shares in the project assisted under the PBV
program is not considered an owner for purposes of participation in the PBV program. Finally, PBV
assistance may not be attached to units for which construction or rehabilitation has started after the
proposal submission and prior to the execution of an AHAP.
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Subsidized Housing [24 CFR 983.54]
A PHA may not attach or pay PBV assistance to units in any of the following types of subsidized
housing:
• A public housing unit;
• A unit subsidized with any other form of Section 8 assistance;
• A unit subsidized with any governmental rent subsidy;
• A unit subsidized with any governmental subsidy that covers all or any part of the operating costs
of the housing;
• A unit subsidized with Section 236 rental assistance payments (except that a PHA may attach
assistance to a unit subsidized with Section 236 interest reduction payments);
• A Section 202 project for non-elderly with disabilities;
• Section 811 project-based supportive housing for persons with disabilities;
• Section 202 supportive housing for the elderly;
• A Section 101 rent supplement project;
• A unit subsidized with any form of tenant-based rental assistance;
• A unit with any other duplicative federal, state, or local housing subsidy, as determined by HUD or
the PHA in accordance with HUD requirements.
19-II.E. SUBSIDY LAYERING REQUIREMENTS [24 CFR 983.55, Notice PIH 2013-11, and FR
Notice 2/28/20]
The subsidy layering review is intended to prevent excessive public assistance by combining (layering)
housing assistance payment subsidy under the PBV program with other governmental housing
assistance from federal, state, or local agencies, including assistance such as tax concessions or tax
credits.
HUD requires new construction and rehabilitation housing that will include forms of governmental
assistance other than PBVs to undergo a subsidy layering review (SLR) prior to entering into an
Agreement to Enter into Housing Assistance Payments Contract (AHAP). Subsidy layering
requirements do not apply to existing housing, when PBV is the only governmental assistance, or for
projects already subject to a PBV HAP contract, even if the project is recapitalized with outside
sources of funding.
When a PHA selects a new construction or rehabilitation project, the PHA must require information
regarding all HUD and/or other federal, state, or local governmental assistance to be disclosed by the
project owner using Form HUD-2880. Appendix A of FR Notice 2/28/20 contains a list of all required
documentation.
Either HUD or a HUD-approved housing credit agency (HCA) in the PHA’s jurisdiction performs the
subsidy layering review. The PHA must request an SLR through their local HUD Field Office or, if
eligible, through a participating HCA.
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If the SLR request is submitted to an approved HCA, and the proposed project-based voucher
assistance meets HUD subsidy layering requirements, the HCA must submit a certification to HUD
and notify the PHA. The PHA may proceed to execute an AHAP at that time if the environmental
approval is received.
The HAP contract must contain the owner's certification that the project has not received and will not
receive (before or during the term of the HAP contract) any public assistance for acquisition,
development, or operation of the housing other than assistance disclosed in the subsidy layering review
in accordance with HUD requirements.
19-II.F. CAP ON NUMBER OF PBV UNITS IN EACH PROJECT
25 Percent per Project Cap [24 CFR 983.56, FR Notice 1/18/17, and Notice PIH 2017-21]
In general, the PHA may not select a proposal to provide PBV assistance for units in a project or enter
into an agreement to enter into a HAP or a HAP contract to provide PBV assistance for units in a
project, if the total number of dwelling units in the project that will receive PBV assistance during the
term of the PBV HAP contract is more than the greater of 25 units or 25 percent of the number of
dwelling units (assisted or unassisted) in the project.
Exceptions to 25 Percent per Project Cap [FR Notice 1/18/17; Notice PIH 2017-21; FR Notice
1/24/22]
As of April 18, 2017, units are not counted against the 25 percent or 25-unit per project cap if:
• The units are exclusively for elderly families
• The units are for households eligible for supportive services available to all families receiving PBV
assistance in the project
− If the project is located in a census tract with a poverty rate of 20 percent or less, as determined
in the most recent American Community Survey Five-Year estimates, the project cap is the
greater of 25 units or 40 percent (instead of 25 percent) of the units in the project [FR Notice
7/14/17].
The Housing Opportunity Through Modernization Act of 2016 (HOTMA) eliminated the project cap
exemption for projects that serve disabled families and modified the exception for supportive services.
Under the Fostering Stable Housing Opportunities (FSHO) amendments, units exclusively made
available to youth receiving FUPY/FYI assistance may be excepted from the project cap for HAP
contracts first effective after December 27, 2020. For more information on excepted units for FUPY,
see Chapter 19.
Projects where these caps were implemented prior to HOTMA (HAP contracts executed prior to April
18, 2017) or FSHO (contract in effect on or prior to December 27, 2020) may continue to use the
former exceptions and may renew their HAP contracts under the old requirements, unless the PHA and
owner agree to change the conditions of the HAP contract. However, this change may not be made if it
would jeopardize an assisted family’s eligibility for continued assistance in the project.
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Supportive Services
PHAs must include in the PHA administrative plan the type of services offered to families for a project
to qualify for the exception and the extent to which such services will be provided. As of April 18,
2017, the project must make supportive services available to all families receiving PBV assistance in
the project, but the family does not actually have to accept and receive supportive services for the
exception to apply to the unit, although the family must be eligible to receive the supportive services. It
is not necessary that the services be provided at or by the project, but must be reasonably available to
families receiving PBV assistance at the project and designed to help families in the project achieve
self-sufficiency or live in the community as independently as possible A PHA may not require
participation in the supportive service as a condition of living in the excepted unit, although such
services may be offered.
PHA Policy
Excepted units will be limited to units for elderly families.
Projects not Subject to a Project Cap [FR Notice 1/18/17; Notice PIH 2017-21]
PBV units that were previously subject to certain federal rent restrictions or receiving another type of
long-term housing subsidy provided by HUD are exempt from the project cap. In other words, 100
percent of the units in these projects may receive PBV assistance.
PHA Policy
The PHA does not have any PBV units that are subject to the per project cap exception.
Promoting Partially Assisted Projects [24 CFR 983.56(c)]
A PHA may establish local requirements designed to promote PBV assistance in partially assisted
projects. A partially assisted project is a project in which there are fewer units covered by a HAP
contract than residential units [24 CFR 983.3].
A PHA may establish a per-project cap on the number of units that will receive PBV assistance or
other project-based assistance in a multifamily project containing excepted units or in a single-family
building. A PHA may also determine not to provide PBV assistance for excepted units, or the PHA
may establish a per-project cap of less than 25 units or 25 percent of units.
PHA Policy:
Excepted units will be limited to units for elderly families.
Beyond that, the PHA will not impose any further cap on the number of PBV units assisted per
project.
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19-II.G. SITE SELECTION STANDARDS
Compliance with PBV Goals, Civil Rights Requirements, and HQS Site Standards
[24 CFR 983.57(b)]
The PHA may not select a proposal for existing, newly constructed, or rehabilitated PBV housing on a
site or enter into an agreement to enter into a HAP contract or HAP contract for units on the site,
unless the PHA has determined that PBV assistance for housing at the selected site is consistent with
the goal of deconcentrating poverty and expanding housing and economic opportunities. The standard
for deconcentrating poverty and expanding housing and economic opportunities must be consistent
with the PHA Plan under 24 CFR 903 and the PHA administrative plan.
In addition, prior to selecting a proposal, the PHA must determine that the site is suitable from the
standpoint of facilitating and furthering full compliance with the applicable Civil Rights Laws,
regulations, and Executive Orders, and that the site meets the HQS site and neighborhood standards at
24 CFR 982.401(l).
PHA Policy
It is the PHA goal to select sites for PBV housing that provide for deconcentrating poverty and
expanding housing and economic opportunities. In complying with this goal the PHA will limit
approval of sites for PBV housing in census tracts that have poverty concentrations of 20
percent or less.
However, the PHA will grant exceptions to the 20 percent standard where the PHA determines
that the PBV assistance will complement other local redevelopment activities designed to
deconcentrate poverty and expand housing and economic opportunities in census tracts with
poverty concentrations greater than 20 percent, such as sites in:
A census tract in which the proposed PBV development will be located in a HUD-
designated Enterprise Zone, Economic Community, Choice Neighborhood, or Renewal
Community;
A census tract where the concentration of assisted units will be or has decreased as a
result of public housing demolition and HOPE VI redevelopment;
A census tract in which the proposed PBV development will be located is undergoing
significant revitalization as a result of state, local, or federal dollars invested in the area;
A census tract where new market rate units are being developed where such market rate
units will positively impact the poverty rate in the area;
A census tract where there has been an overall decline in the poverty rate within the past
five years; or
A census tract where there are meaningful opportunities for educational and economic
advancement.
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Existing and Rehabilitated Housing Site and Neighborhood Standards [24 CFR 983.57(d)]
The PHA may not enter into an agreement to enter into a HAP contract nor enter into a HAP contract
for existing or rehabilitated housing until it has determined that the site complies with the HUD
required site and neighborhood standards. The site must:
• Be adequate in size, exposure, and contour to accommodate the number and type of units proposed;
• Have adequate utilities and streets available to service the site;
• Promote a greater choice of housing opportunities and avoid undue concentration of assisted
persons in areas containing a high proportion of low-income persons;
• Be accessible to social, recreational, educational, commercial, and health facilities and services and
other municipal facilities and services equivalent to those found in neighborhoods consisting
largely of unassisted similar units; and
• Be located so that travel time and cost via public transportation or private automobile from the
neighborhood to places of employment is not excessive.
New Construction Site and Neighborhood Standards [24 CFR 983.57(e)]
In order to be selected for PBV assistance, a site for newly constructed housing must meet the
following HUD required site and neighborhood standards:
• The site must be adequate in size, exposure, and contour to accommodate the number and type of
units proposed;
• The site must have adequate utilities and streets available to service the site;
• The site must not be located in an area of minority concentration unless the PHA determines that
sufficient, comparable opportunities exist for housing for minority families in the income range to
be served by the proposed project outside areas of minority concentration or that the project is
necessary to meet overriding housing needs that cannot be met in that housing market area;
• The site must not be located in a racially mixed area if the project will cause a significant increase
in the proportion of minority to non-minority residents in the area.
• The site must promote a greater choice of housing opportunities and avoid undue concentration of
assisted persons in areas containing a high proportion of low-income persons;
• The neighborhood must not be one that is seriously detrimental to family life or in which
substandard dwellings or other undesirable conditions predominate;
• The housing must be accessible to social, recreational, educational, commercial, and health
facilities and services and other municipal facilities and services equivalent to those found in
neighborhoods consisting largely of unassisted similar units; and
• Except for housing designed for elderly persons, the housing must be located so that travel time
and cost via public transportation or private automobile from the neighborhood to places of
employment is not excessive.
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19-II.H. ENVIRONMENTAL REVIEW [24 CFR 983.58]
The PHA activities under the PBV program are subject to HUD environmental regulations in 24 CFR
parts 50 and 58. The responsible entity is responsible for performing the federal environmental review
under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.). The PHA may not
enter into an agreement to enter into a HAP contract nor enter into a HAP contract until it has
complied with the environmental review requirements.
In the case of existing housing, the responsible entity that is responsible for the environmental review
under 24 CFR part 58 must determine whether or not PBV assistance is categorically excluded from
review under the National Environmental Policy Act and whether or not the assistance is subject to
review under the laws and authorities listed in 24 CFR 58.5.
The PHA may not enter into an agreement to enter into a HAP contract or a HAP contract with an
owner, and the PHA, the owner, and its contractors may not acquire, rehabilitate, convert, lease, repair,
dispose of, demolish, or construct real property or commit or expend program or local funds for PBV
activities under this part, until the environmental review is completed.
The PHA must supply all available, relevant information necessary for the responsible entity to
perform any required environmental review for any site. The PHA must require the owner to carry out
mitigating measures required by the responsible entity (or HUD, if applicable) as a result of the
environmental review.
PART III: DWELLING UNITS
19-III.A. OVERVIEW
This part identifies the special housing quality standards that apply to the PBV program, housing
accessibility for persons with disabilities, and special procedures for conducting housing quality
standards inspections.
19-III.B. HOUSING QUALITY STANDARDS [24 CFR 983.101]
The housing quality standards (HQS) for the tenant-based program, including those for special housing
types, generally apply to the PBV program. HQS requirements for shared housing, manufactured home
space rental, and the homeownership option do not apply because these housing types are not assisted
under the PBV program.
The physical condition standards at 24 CFR 5.703 do not apply to the PBV program.
Lead-based Paint [24 CFR 983.101(c)]
The lead-based paint requirements for the tenant-based voucher program do not apply to the PBV
program. Instead, The Lead-based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846), the
Residential Lead-based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4851-4856), and implementing
regulations at 24 CFR Part 35, Subparts A, B, H, and R, and 40 CFR 745.227, apply to the PBV
program.
19-17
19-III.C. HOUSING ACCESSIBILITY FOR PERSONS WITH DISABILITIES
The housing must comply with program accessibility requirements of section 504 of the Rehabilitation
Act of 1973 (29 U.S.C. 794) and implementing regulations at 24 CFR part 8. The PHA must ensure
that the percentage of accessible dwelling units complies with the requirements of section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794), as implemented by HUD's regulations at 24 CFR 8,
subpart C.
Housing first occupied after March 13, 1991, must comply with design and construction requirements
of the Fair Housing Amendments Act of 1988 and implementing regulations at 24 CFR 100.205, as
applicable. (24 CFR 983.102)
19-III.D. INSPECTING UNITS
Pre-selection Inspection [24 CFR 983.103(a)]
The PHA must examine the proposed site before the proposal selection date. If the units to be assisted
already exist, the PHA must inspect all the units before the proposal selection date, and must determine
whether the units substantially comply with HQS. To qualify as existing housing, units must
substantially comply with HQS on the proposal selection date. However, the PHA may not execute the
HAP contract until the units fully comply with HQS.
Pre-HAP Contract Inspections [24 CFR 983.103(b), FR Notice 1/18/17, and Notice PIH 2017-20]
The PHA must inspect each contract unit before execution of the HAP contract. The PHA may not
provide assistance on behalf of the family until the unit fully complies with HQS, unless the PHA has
adopted a policy to enter into a HAP contract for units that fail the initial HQS inspection as a result of
only non-life-threatening conditions, or if the unit passed an alternative inspection.
PHA Policy
The PHA will not provide assistance on behalf of the family until the unit fully complies
with HQS.
Turnover Inspections [24 CFR 983.103(c)]
Before providing assistance to a new family in a contract unit, the PHA must inspect the unit. The
PHA may not provide assistance on behalf of the family until the unit fully complies with HQS.
Annual/Biennial Inspections [24 CFR 983.103(d); FR Notice 6/25/14]
At least once every 24 months during the term of the HAP contract, the PHA must inspect a random
sample consisting of at least 20 percent of the contract units in each building to determine if the
contract units and the premises are maintained in accordance with HQS. Turnover inspections are not
counted toward meeting this inspection requirement. The PHA also has the option in certain mixed
finance properties to rely on alternative inspections conducted at least triennially.
19-18
PHA Policy
The PHA will inspect on an annual basis a random sample consisting of at least 20 percent of
the contract units in each building to determine if the contract units and the premises are
maintained in accordance with HQS.
If more than 20 percent of the sample of inspected contract units in a building fail the initial inspection,
the PHA must reinspect 100 percent of the contract units in the building.
Other Inspections [24 CFR 983.103(e)]
The PHA must inspect contract units whenever needed to determine that the contract units comply
with HQS and that the owner is providing maintenance, utilities, and other services in accordance with
the HAP contract. The PHA must take into account complaints and any other information coming to its
attention in scheduling inspections.
The PHA must conduct follow-up inspections needed to determine if the owner (or, if applicable, the
family) has corrected an HQS violation, and must conduct inspections to determine the basis for
exercise of contractual and other remedies for owner or family violation of HQS.
In conducting PHA supervisory quality control HQS inspections, the PHA should include a
representative sample of both tenant-based and project-based units.
Inspecting PHA-Owned Units [24 CFR 983.103(f)]
In the case of PHA-owned units, the inspections must be performed by an independent entity
designated by the PHA and approved by HUD. The independent entity must furnish a copy of each
inspection report to the PHA and to the HUD field office where the project is located. The PHA must
take all necessary actions in response to inspection reports from the independent entity, including
exercise of contractual remedies for violation of the HAP contract by the PHA-owner.
19-19
PART IV: REHABILITATED AND NEWLY CONSTRUCTED UNITS
19-IV.A. OVERVIEW [24 CFR 983.151]
There are specific requirements that apply to PBV assistance for newly constructed or rehabilitated
housing that do not apply to PBV assistance in existing housing. This part describes the requirements
unique to this type of assistance.
Housing selected for this type of assistance may not at a later date be selected for PBV assistance as
existing housing.
19-IV.B. AGREEMENT TO ENTER INTO HAP CONTRACT
In order to offer PBV assistance in rehabilitated or newly constructed units, the PHA must enter into an
agreement to enter into HAP contract (Agreement) with the owner of the property. The Agreement
must be in the form required by HUD [24 CFR 983.152(b)]. The PHA may not enter into an
Agreement if commencement of construction or rehabilitation has commenced after proposal
submission [24 CFR 983.152(c)]. Construction begins when excavation or site preparation (including
clearing of the land) begins for the housing. Rehabilitation begins with the physical commencement of
rehabilitation activity on the housing.
In the Agreement the owner agrees to develop the PBV contract units to comply with HQS, and the
PHA agrees that upon timely completion of such development in accordance with the terms of the
Agreement, the PHA will enter into a HAP contract with the owner for the contract units [24 CFR
983.152(a)].
Content of the Agreement [24 CFR 983.152(d)]
At a minimum, the Agreement must describe the following features of the housing to be developed and
assisted under the PBV program:
• Site and the location of the contract units;
• Number of contract units by area (size) and number of bedrooms and bathrooms;
• Services, maintenance, or equipment to be supplied by the owner without charges in addition to the
rent;
• Utilities available to the contract units, including a specification of utility services to be paid by the
owner and utility services to be paid by the tenant;
• An indication of whether or not the design and construction requirements of the Fair Housing Act
and section 504 of the Rehabilitation Act of 1973 apply to units under the Agreement. If
applicable, any required work item resulting from these requirements must be included in the
description of work to be performed under the Agreement;
• Estimated initial rents to owner for the contract units;
• Description of the work to be performed under the Agreement. For rehabilitated units, the
description must include the rehabilitation work write up and, where determined necessary by the
PHA, specifications and plans. For new construction units, the description must include the
working drawings and specifications.
• Any additional requirements for quality, architecture, or design over and above HQS.
19-20
Execution of the Agreement [24 CFR 983.153]
The Agreement must be executed promptly after PHA notice of proposal selection to the selected
owner. The PHA may not enter into the Agreement if construction or rehabilitation has started after
proposal submission. Generally, the PHA may not enter into the Agreement with the owner until the
subsidy layering review is completed. Likewise, the PHA may not enter into the Agreement until the
environmental review is completed and the PHA has received environmental approval. However, the
PHA does not need to conduct a subsidy layering review in the case of a HAP contract for existing
housing or if the applicable state or local agency has conducted such a review. Similarly,
environmental reviews are not required for existing structures unless otherwise required by law or
regulation.
PHA Policy
The PHA will enter into the Agreement with the owner within 10 business days of receiving
both environmental approval and notice that subsidy layering requirements have been met, and
before construction or rehabilitation work is started.
19-IV.C. CONDUCT OF DEVELOPMENT WORK
Labor Standards [24 CFR 983.154(b)]
If an Agreement covers the development of nine or more contract units (whether or not completed in
stages), the owner and the owner’s contractors and subcontractors must pay Davis-Bacon wages to
laborers and mechanics employed in the development of housing. The HUD-prescribed form of the
Agreement will include the labor standards clauses required by HUD, such as those involving Davis-
Bacon wage rates.
The owner, contractors, and subcontractors must also comply with the Contract Work Hours and
Safety Standards Act, Department of Labor regulations in 29 CFR part 5, and other applicable federal
labor relations laws and regulations. The PHA must monitor compliance with labor standards.
Owner Disclosure [24 CFR 983.154(d) and (e)]
The Agreement and HAP contract must include a certification by the owner that the owner and other
project principals are not on the U.S. General Services Administration list of parties excluded from
federal procurement and non-procurement programs.
The owner must also disclose any possible conflict of interest that would be a violation of the
Agreement, the HAP contract, or HUD regulations.
19-21
19-IV.D. COMPLETION OF HOUSING
The Agreement must specify the deadlines for completion of the housing, and the owner must develop
and complete the housing in accordance with these deadlines. The Agreement must also specify the
deadline for submission by the owner of the required evidence of completion.
Evidence of Completion [24 CFR 983.155(b)]
At a minimum, the owner must submit the following evidence of completion to the PHA in the form
and manner required by the PHA:
• Owner certification that the work has been completed in accordance with HQS and all
requirements of the Agreement; and
• Owner certification that the owner has complied with labor standards and equal opportunity
requirements in development of the housing.
At the PHA’s discretion, the Agreement may specify additional documentation that must be submitted
by the owner as evidence of housing completion.
PHA Policy
The PHA will determine the need for the owner to submit additional documentation as
evidence of housing completion on a case-by-case basis depending on the nature of the PBV
project. The PHA will specify any additional documentation requirements in the Agreement to
enter into HAP contract.
PHA Acceptance of Completed Units [24 CFR 983.156]
Upon notice from the owner that the housing is completed, the PHA must inspect to determine if the
housing has been completed in accordance with the Agreement, including compliance with HQS and
any additional requirements imposed under the Agreement. The PHA must also determine if the owner
has submitted all required evidence of completion.
If the work has not been completed in accordance with the Agreement, the PHA must not enter into the
HAP contract.
If the PHA determines the work has been completed in accordance with the Agreement and that the
owner has submitted all required evidence of completion, the PHA must submit the HAP contract for
execution by the owner and must then execute the HAP contract.
19-22
PART V: HOUSING ASSISTANCE PAYMENTS CONTRACT (HAP)
19-V.A. OVERVIEW
The PHA must enter into a HAP contract with an owner for units that are receiving PBV assistance.
The purpose of the HAP contract is to provide housing assistance payments for eligible families.
Housing assistance is paid for contract units leased and occupied by eligible families during the HAP
contract term. With the exception of single-family scattered-site projects, a HAP contract shall cover a
single project. If multiple projects exist, each project is covered by a separate HAP contract. The HAP
contract must be in the form required by HUD [24 CFR 983.202(a)].
19-V.B. HAP CONTRACT REQUIREMENTS
Contract Information [24 CFR 983.203]
The HAP contract must specify the following information:
• The total number of contract units by number of bedrooms;
• The project’s name, street address, city or county, state and zip code, block and lot number (if
known), and any other information necessary to clearly identify the site and the building;
• The number of contract units in each building, the location of each contract unit, the area of each
contract unit, and the number of bedrooms and bathrooms in each contract unit;
• Services, maintenance, and equipment to be supplied by the owner and included in the rent
to owner;
• Utilities available to the contract units, including a specification of utility services to be paid by the
owner (included in rent) and utility services to be paid by the tenant;
• Features provided to comply with program accessibility requirements of Section 504 of the
Rehabilitation Act of 1973 and implementing regulations at 24 CFR part 8;
• The HAP contract term;
• The number of units in any project that will exceed the 25 percent per project cap, which will be set
aside for occupancy by qualifying families (elderly and/or disabled families and families receiving
supportive services); and
• The initial rent to owner for the first 12 months of the HAP contract term.
19-23
Execution of the HAP Contract [24 CFR 983.204]
The PHA may not enter into a HAP contract until each contract unit has been inspected and the PHA
has determined that the unit complies with the Housing Quality Standards (HQS), unless the PHA has
adopted a policy to enter into a HAP contract for units that fail the initial HQS inspection as a result of
only non-life-threatening conditions. For existing housing, the HAP contract must be executed
promptly after the PHA selects the owner proposal and inspects the housing units. For newly
constructed or rehabilitated housing the HAP contract must be executed after the PHA has inspected
the completed units and has determined that the units have been completed in accordance with the
agreement to enter into HAP, and the owner furnishes all required evidence of completion.
PHA Policy
For existing housing, the HAP contract will be executed within 10 business days of the PHA
determining that all units pass HQS.
For rehabilitated or newly constructed housing, the HAP contract will be executed within 10
business days of the PHA determining that the units have been completed in accordance with
the agreement to enter into HAP, all units meet HQS, and the owner has submitted all required
evidence of completion.
Term of HAP Contract [24 CFR 983.205, FR Notice 1/18/17, and Notice PIH 2017-21]
The PHA may enter into a HAP contract with an owner for an initial term of no less than one year and
no more than 20 years for each contract unit. The length of the term of the HAP contract for any
contract unit may not be less than one year, nor more than 20 years. In the case of PHA-owned units,
the term of the HAP contract must be agreed upon by the PHA and the independent entity approved by
HUD [24 CFR 983.59(b)(2)].
PHA Policy
The term of all PBV HAP contracts will be negotiated with the owner on a case-by-case basis.
At the time of the initial HAP contract term or any time before expiration of the HAP contract, the
PHA may extend the term of the contract for an additional term of up to 20 years if the PHA
determines an extension is appropriate to continue providing affordable housing for low-income
families. A HAP contract extension may not exceed 20 years. A PHA may provide for multiple
extensions; however, in no circumstances may such extensions exceed 20 years, cumulatively.
Extensions after the initial extension are allowed at the end of any extension term, provided that not
more than 24 months prior to the expiration of the previous extension contract the PHA agrees to
extend the term, and that such extension is appropriate to continue providing affordable housing for
low-income families or to expand housing opportunities. Extensions after the initial extension term
shall not begin prior to the expiration date of the previous extension term. Subsequent extensions are
subject to the same limitations. All extensions must be on the form and subject to the conditions
prescribed by HUD at the time of the extension. In the case of PHA-owned units, any extension of the
term of the HAP contract must be agreed upon by the PHA and the independent entity approved by
HUD [24 CFR 983.59(b)(2)].
19-24
PHA Policy
When determining whether or not to extend an expiring PBV contract, the PHA will consider
several factors including, but not limited to:
The cost of extending the contract and the amount of available budget authority;
The condition of the contract units;
The owner’s record of compliance with obligations under the HAP contract
and lease(s);
Whether the location of the units continues to support the goals of deconcentrating
poverty and expanding housing opportunities; and
Whether the funding could be used more appropriately for tenant-based assistance.
Termination by PHA [24 CFR 983.205(c) and FR Notice 1/18/17]
The HAP contract must provide that the term of the PHA’s contractual commitment is subject to the
availability of sufficient appropriated funding as determined by HUD or by the PHA in accordance
with HUD instructions. For these purposes, sufficient funding means the availability of appropriations,
and of funding under the ACC from such appropriations, to make full payment of housing assistance
payments payable to the owner for any contract year in accordance with the terms of the HAP contract.
In times of insufficient funding, HUD requires that PHAs first take all cost-saving measures prior to
failing to make payments under existing PBV HAP contracts.
If it is determined that there may not be sufficient funding to continue housing assistance payments for
all contract units and for the full term of the HAP contract, the PHA may terminate the HAP contract
by notice to the owner. The termination must be implemented in accordance with HUD instructions.
Termination by Owner [24 CFR 983.205(d)]
If in accordance with program requirements the amount of rent to an owner for any contract unit is
reduced below the amount of the rent to owner at the beginning of the HAP contract term, the owner
may terminate the HAP contract by giving notice to the PHA. In this case, families living in the
contract units must be offered tenant-based assistance.
19-25
Statutory Notice Requirements: Contract Termination or Expiration [24 CFR 983.206,
FR Notice 1/18/17, and Notice PIH 2017-21]
Not less than one year before the HAP contract terminates, or if the owner refuses to renew the HAP
contract, the owner must notify the PHA and assisted tenants of the termination. The notice must be
provided in the form prescribed by HUD. If the owner does not give timely notice, the owner must
permit the tenants in assisted units to remain in their units for the required notice period with no
increase in the tenant portion of their rent, and with no eviction as a result of the owner's inability to
collect an increased tenant portion of rent. An owner may renew the terminating contract for a period
of time sufficient to give tenants one-year advance notice under such terms as HUD may require.
Upon termination or expiration of the contract, a family living at the property is entitled to receive a
tenant-based voucher. Tenant-based assistance would not begin until the owner’s required notice
period ends. The PHA must provide the family with a voucher and the family must also be given the
option by the PHA and owner to remain in their unit with HCV tenant-based assistance as long as the
unit complies with inspection and rent reasonableness requirements. The family must pay their total
tenant payment (TTP) and any additional amount if the gross rent exceeds the applicable payment
standard. The family has the right to remain in the project as long as the units are used for rental
housing and are otherwise eligible for HCV assistance. The owner may not terminate the tenancy of a
family that exercises its right to remain except for serious or repeated lease violations or other good
cause. Families that receive a tenant-based voucher at the expiration or termination of the PBV HAP
contract are not new admissions to the PHA HCV tenant-based program and are not subject to income
eligibility requirements or any other admission requirements. If the family chooses to remain in their
unit with tenant-based assistance, the family may do so regardless of whether the family share would
initially exceed 40 percent of the family’s adjusted monthly income.
Remedies for HQS Violations [24 CFR 983.208(b)]
The PHA may not make any HAP payment to the owner for a contract unit during any period in which
the unit does not comply with HQS. If the PHA determines that a contract does not comply with HQS,
the PHA may exercise any of its remedies under the HAP contract, for any or all of the contract units.
Available remedies include termination of housing assistance payments, abatement or reduction of
housing assistance payments, reduction of contract units, and termination of the HAP contract.
PHA Policy
The PHA will abate and terminate PBV HAP contracts for non-compliance with HQS in
accordance with the policies used in the tenant-based voucher program. These policies are
contained in Section 8-II.G., Enforcing Owner Compliance.
19-26
19-V.C. AMENDMENTS TO THE HAP CONTRACT
Substitution of Contract Units [24 CFR 983.207(a)]
At the PHA’s discretion and subject to all PBV requirements, the HAP contract may be amended to
substitute a different unit with the same number of bedrooms in the same project for a previously
covered contract unit. Before any such substitution can take place, the PHA must inspect the proposed
unit and determine the reasonable rent for the unit.
Addition of Contract Units [FR Notice 1/18/17 and Notice PIH 2017-21]
The PHA and owner may amend the HAP contract to add additional PBV contract units in projects that
already have a HAP contract without having to fulfill the selection requirements found at 24 CFR
983.51(b) for those additional PBV units, regardless of when the HAP contract was signed. The
additional PBV units, however, are still subject to the PBV program cap and individual project caps.
Prior to attaching additional units without competition, the PHA must submit to the local field office
information outlined in FR Notice 1/18/17. The PHA must also detail in the administrative plan their
intent to add PBV units and the rationale for adding units to the specific PBV project.
PHA Policy
The PHA will add units to the contract on a case-by-case basis to ensure the availability of
affordable housing as long as the addition of units does not exceed allowable project caps.
19-V.D. HAP CONTRACT YEAR, ANNIVERSARY AND EXPIRATION DATES [24 CFR
983.207(b) and 983.302(e)]
The HAP contract year is the period of 12 calendar months preceding each annual anniversary of the
HAP contract during the HAP contract term. The initial contract year is calculated from the first day of
the first calendar month of the HAP contract term.
The annual anniversary of the HAP contract is the first day of the first calendar month after the end of
the preceding contract year.
There is a single annual anniversary and expiration date for all units under a particular HAP contract,
even in cases where contract units are placed under the HAP contract in stages (on different dates) or
units are added by amendment. The anniversary and expiration dates for all units coincide with the
dates for the contract units that were originally placed under contract.
19-27
19-V.E. OWNER RESPONSIBILITIES UNDER THE HAP CONTRACT [24 CFR 983.210]
When the owner executes the HAP contract s/he certifies that at such execution and at all times during
the term of the HAP contract:
• All contract units are in good condition and the owner is maintaining the premises and contract
units in accordance with HQS;
• The owner is providing all services, maintenance, equipment and utilities as agreed to under the
HAP contract and the leases;
• Each contract unit for which the owner is receiving HAP, is leased to an eligible family referred by
the PHA, and the lease is in accordance with the HAP contract and HUD requirements;
• To the best of the owner’s knowledge the family resides in the contract unit for which the owner is
receiving HAP, and the unit is the family’s only residence;
• The owner (including a principal or other interested party) is not the spouse, parent, child,
grandparent, grandchild, sister, or brother of any member of a family residing in a contract unit;
• The amount of the HAP the owner is receiving is correct under the HAP contract;
• The rent for contract units does not exceed rents charged by the owner for comparable unassisted
units;
• Except for HAP and tenant rent, the owner has not received and will not receive any other payment
or consideration for rental of the contract unit;
• The family does not own or have any interest in the contract unit (does not apply to family's
membership in a cooperative); and
• Repair work on the project selected as an existing project that is performed after HAP execution
within such post-execution period as specified by HUD may constitute development activity, and if
determined to be development activity, the repair work undertaken shall be in compliance with
Davis-Bacon wage requirements.
19-28
19-V.F. ADDITIONAL HAP REQUIREMENTS
Housing Quality and Design Requirements [24 CFR 983.101(e) and 983.208(a)]
The owner is required to maintain and operate the contract units and premises in accordance with
HQS, including performance of ordinary and extraordinary maintenance. The owner must provide all
the services, maintenance, equipment, and utilities specified in the HAP contract with the PHA and in
the lease with each assisted family. In addition, maintenance, replacement and redecoration must be in
accordance with the standard practice for the building as established by the owner.
The PHA may elect to establish additional requirements for quality, architecture, or design of PBV
housing. Any such additional requirements must be specified in the Agreement to enter into a HAP
contract and the HAP contract. These requirements must be in addition to, not in place of, compliance
with HQS.
PHA Policy
The PHA will identify the need for any special features on a case-by-case basis depending on
the intended occupancy of the PBV project. The PHA will specify any special design standards
or additional requirements in the invitation for PBV proposals, the agreement to enter into HAP
contract, and the HAP contract.
Vacancy Payments [24 CFR 983.352(b)]
At the discretion of the PHA, the HAP contract may provide for vacancy payments to the owner for a
PHA-determined period of vacancy extending from the beginning of the first calendar month after the
move-out month for a period not exceeding two full months following the move-out month. The
amount of the vacancy payment will be determined by the PHA and cannot exceed the monthly rent to
owner under the assisted lease, minus any portion of the rental payment received by the owner
(including amounts available from the tenant’s security deposit).
PHA Policy
The PHA will decide on a case-by-case basis if the PHA will provide vacancy payments to the
owner. The HAP contract with the owner will contain any such agreement, including the
amount of the vacancy payment and the period for which the owner will qualify for these
payments.
19-29
PART VI: SELECTION OF PBV PROGRAM PARTICIPANTS
19-VI.A. OVERVIEW
Many of the provisions of the tenant-based voucher regulations [24 CFR 982] also apply to the PBV
program. This includes requirements related to determining eligibility and selecting applicants from
the waiting list. Even with these similarities, there are requirements that are unique to the PBV
program. This part describes the requirements and policies related to eligibility and admission to the
PBV program.
19-VI.B. ELIGIBILITY FOR PBV ASSISTANCE [24 CFR 983.251(a) and (b)]
The PHA may select families for the PBV program from those who are participants in the PHA’s
tenant-based voucher program and from those who have applied for admission to the voucher program.
For voucher participants, eligibility was determined at original admission to the voucher program and
does not need to be redetermined at the commencement of PBV assistance. For all others, eligibility
for admission must be determined at the commencement of PBV assistance.
Applicants for PBV assistance must meet the same eligibility requirements as applicants for the tenant-
based voucher program. Applicants must qualify as a family as defined by HUD and the PHA, have
income at or below HUD-specified income limits, and qualify on the basis of citizenship or the eligible
immigration status of family members [24 CFR 982.201(a) and 24 CFR 983.2(a)]. In addition, an
applicant family must provide social security information for family members [24 CFR 5.216 and
5.218] and consent to the PHA’s collection and use of family information regarding income, expenses,
and family composition [24 CFR 5.230]. The PHA may also not approve a tenancy if the owner
(including a principal or other interested party) of the unit is the parent, child, grandparent, grandchild,
sister, or brother of any member of the family, unless needed as a reasonable accommodation. An
applicant family must also meet HUD requirements related to current or past criminal activity.
PHA Policy
The PHA will determine an applicant family’s eligibility for the PBV program in accordance
with the policies in Chapter 3.
19-30
In-Place Families [24 CFR 983.251(b)]
An eligible family residing in a proposed PBV contract unit on the date the proposal is selected by the
PHA is considered an “in-place family.” These families are afforded protection from displacement
under the PBV rule. If a unit to be placed under contract (either an existing unit or a unit requiring
rehabilitation) is occupied by an eligible family on the date the proposal is selected, the in-place family
must be placed on the PHA’s waiting list. Once the family’s continued eligibility is determined (the
PHA may deny assistance to an in-place family for the grounds specified in 24 CFR 982.552 and
982.553), the family must be given an absolute selection preference and the PHA must refer these
families to the project owner for an appropriately sized PBV unit in the project. Admission of eligible
in-place families is not subject to income targeting requirements.
This regulatory protection from displacement does not apply to families that are not eligible to
participate in the program on the proposal selection date.
19-VI.C. ORGANIZATION OF THE WAITING LIST [24 CFR 983.251(c)]
The PHA may establish a separate waiting list for PBV units or it may use the same waiting list for
both tenant-based and project-based assistance. The PHA may also merge the PBV waiting list with a
waiting list for other assisted housing programs offered by the PHA. If the PHA chooses to offer a
separate waiting list for PBV assistance, the PHA must offer to place applicants who are listed on the
tenant-based waiting list on the waiting list for PBV assistance.
If a PHA decides to establish a separate PBV waiting list, the PHA may use a single waiting list for the
PHA’s whole PBV program, or it may establish separate waiting lists for PBV units in particular
projects or buildings or for sets of such units.
PHA Policy
The PHA will establish and manage separate waiting lists for individual projects or buildings
that are receiving PBV assistance. The PHA currently has waiting lists for the following PBV
projects:
Proposed new project through RAD transfer of assistance to Villas on McQueen located on
McQueen and Chandler Blvd (2025).
19-VI.D. SELECTION FROM THE WAITING LIST [24 CFR 983.251(c)]
Applicants who will occupy units with PBV assistance must be selected from the PHA’s waiting list.
The PHA may establish selection criteria or preferences for occupancy of particular PBV units. The
PHA may place families referred by the PBV owner on its PBV waiting list.
Income Targeting [24 CFR 983.251(c)(6)]
At least 75 percent of the families admitted to the PHA’s tenant-based and project-based voucher
programs during the PHA fiscal year from the waiting list must be extremely low-income families. The
income targeting requirement applies to the total of admissions to both programs.
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Units with Accessibility Features [24 CFR 983.251(c)(7)]
When selecting families to occupy PBV units that have special accessibility features for persons with
disabilities, the PHA must first refer families who require such features to the owner.
Preferences [24 CFR 983.251(d), FR Notice 11/24/08]
The PHA may use the same selection preferences that are used for the tenant-based voucher program,
establish selection criteria or preferences for the PBV program as a whole, or for occupancy of
particular PBV developments or units. The PHA must provide an absolute selection preference for
eligible in-place families as described in Section 19-VI.B. above.
The PHA may establish a selection preference for families who qualify for voluntary services,
including disability-specific services, offered in conjunction with assisted units, provided that
preference is consistent with the PHA plan. The PHA may not, however, grant a preference to a person
with a specific disability [FR Notice 1/18/17].
In advertising such a project, the owner may advertise the project as offering services for a particular
type of disability; however, the project must be open to all otherwise eligible disabled persons who
may benefit from services provided in the project. In these projects, disabled residents may not be
required to accept the particular services offered as a condition of occupancy.
If the PHA has projects with “excepted units” for elderly families or supportive services, the PHA
must give preference to such families when referring families to these units [24 CFR 983.261(b); FR
Notice 1/18/17].
PHA Policy
The PHA will provide a selection preference when required by the regulation (e.g., eligible in-
place families, elderly families or units with supportive services, or mobility impaired persons
for accessible units). The PHA will not offer any additional preferences for the PBV program
or for particular PBV projects or units.
19-VI.E. OFFER OF PBV ASSISTANCE
Refusal of Offer [24 CFR 983.251(e)(3)]
The PHA is prohibited from taking any of the following actions against a family who has applied for,
received, or refused an offer of PBV assistance:
• Refuse to list the applicant on the waiting list for tenant-based voucher assistance;
• Deny any admission preference for which the applicant qualifies;
• Change the applicant’s place on the waiting list based on preference, date, and time of application,
or other factors affecting selection under the PHA’s selection policy;
• Remove the applicant from the tenant-based voucher waiting list.
Disapproval by Landlord [24 CFR 983.251(e)(2)]
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If a PBV owner rejects a family for admission to the owner’s units, such rejection may not affect the
family’s position on the tenant-based voucher waiting list.
Acceptance of Offer [24 CFR 983.252]
Family Briefing
When a family accepts an offer for PBV assistance, the PHA must give the family an oral briefing. The
briefing must include information on how the program works and the responsibilities of the family and
owner. In addition to the oral briefing, the PHA must provide a briefing packet that explains how the
PHA determines the total tenant payment for a family, the family obligations under the program, and
applicable fair housing information.
Persons with Disabilities
If an applicant family’s head or spouse is disabled, the PHA must assure effective communication, in
accordance with 24 CFR 8.6, in conducting the oral briefing and in providing the written information
packet. This may include making alternative formats available (see Chapter 2). In addition, the PHA
must have a mechanism for referring a family that includes a member with a mobility impairment to an
appropriate accessible PBV unit.
Persons with Limited English Proficiency
The PHA should take reasonable steps to assure meaningful access by persons with limited English
proficiency in accordance with Title VI of the Civil Rights Act of 1964 and Executive Order 13166
(see Chapter 2).
19-VI.F. OWNER SELECTION OF TENANTS
The owner is responsible for developing written tenant selection procedures that are consistent with the
purpose of improving housing opportunities for very low-income families and reasonably related to
program eligibility and an applicant’s ability to fulfill their obligations under the lease. An owner must
promptly notify in writing any rejected applicant of the grounds for any rejection [24 CFR
983.253(a)(2) and (a)(3)].
Leasing [24 CFR 983.253(a)]
During the term of the HAP contract, the owner must lease contract units to eligible families that are
selected and referred by the PHA from the PHA’s waiting list. The contract unit leased to the family
must be the appropriate size unit for the size of the family, based on the PHA’s subsidy standards.
Filling Vacancies [24 CFR 983.254(a)]
The owner must promptly notify the PHA of any vacancy or expected vacancy in a contract unit. After
receiving such notice, the PHA must make every reasonable effort to promptly refer a sufficient
number of families for the owner to fill such vacancies. The PHA and the owner must make reasonable
efforts to minimize the likelihood and length of any vacancy.
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PHA Policy
The owner must notify the PHA in writing (mail, fax, or email) within five business days of
learning about any vacancy or expected vacancy.
The PHA will make every reasonable effort to refer families to the owner within 10 business
days of receiving such notice from the owner.
Reduction in HAP Contract Units Due to Vacancies [24 CFR 983.254(b)]
If any contract units have been vacant for 120 or more days since owner notice of the vacancy, the
PHA may give notice to the owner amending the HAP contract to reduce the number of contract units
by subtracting the number of contract units (according to the bedroom size) that have been vacant for
this period.
PHA Policy
If any contract units have been vacant for 120 days, the PHA will give notice to the owner that
the HAP contract will be amended to reduce the number of contract units that have been vacant
for this period. The PHA will provide the notice to the owner within 10 business days of the
120th day of the vacancy. The amendment to the HAP contract will be effective the 1st day of
the month following the date of the PHA’s notice.
19-VI.G. TENANT SCREENING [24 CFR 983.255]
PHA Responsibility
The PHA is not responsible or liable to the owner or any other person for the family’s behavior or
suitability for tenancy. However, the PHA may opt to screen applicants for family behavior or
suitability for tenancy and may deny applicants based on such screening.
PHA Policy
The PHA will not conduct screening to determine a PBV applicant family’s suitability for
tenancy.
The PHA must provide the owner with an applicant family’s current and prior address (as shown in
PHA records) and the name and address (if known by the PHA) of the family’s current landlord and
any prior landlords.
In addition, the PHA may offer the owner other information the PHA may have about a family,
including information about the tenancy history of family members or about drug trafficking and
criminal activity by family members. The PHA must provide applicant families a description of the
PHA policy on providing information to owners, and the PHA must give the same types of information
to all owners.
The PHA may not disclose to the owner any confidential information provided in response to a request
for documentation of domestic violence, dating violence, sexual assault, or stalking except at the
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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, at the time of the
turnover HQS inspection or before. The PHA will not provide any additional information to the
owner, such as tenancy history, criminal history, etc.
Owner Responsibility
The owner is responsible for screening and selection of the family to occupy the owner’s unit. When
screening families the owner may consider a family’s background with respect to the following factors:
• Payment of rent and utility bills;
• Caring for a unit and premises;
• Respecting the rights of other residents to the peaceful enjoyment of their housing;
• Drug-related criminal activity or other criminal activity that is a threat to the health, safety, or
property of others; and
• Compliance with other essential conditions of tenancy.
PART VII: OCCUPANCY
19-VII.A. OVERVIEW
After an applicant has been selected from the waiting list, determined eligible by the PHA, referred to
an owner and determined suitable by the owner, the family will sign the lease and occupancy of the
unit will begin.
19-VII.B. LEASE [24 CFR 983.256]
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.
Form of Lease [24 CFR 983.256(b)]
The tenant and the owner must enter into a written lease agreement that is signed by both parties. If an
owner uses a standard lease form for rental units to unassisted tenants in the locality or premises, the
same lease must be used for assisted tenants, except that the lease must include a HUD-required
tenancy addendum. The tenancy addendum must include, word-for-word, all provisions required by
HUD.
If the owner does not use a standard lease form for rental to unassisted tenants, the owner may use
another form of lease, such as a PHA model lease.
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The PHA may review the owner’s lease form to determine if the lease complies with state and local
law. If the PHA determines that the lease does not comply with state or local law, the PHA may
decline to approve the tenancy.
PHA Policy
The PHA will not review the owner’s lease for compliance with state or local law.
Lease Requirements [24 CFR 983.256(c)]
The lease for a PBV unit must specify all of the following information:
• The names of the owner and the tenant;
• The unit rented (address, apartment number, if any, and any other information needed to identify
the leased contract unit);
• The term of the lease (initial term and any provision for renewal);
• The amount of the tenant rent to owner, which is subject to change during the term of the lease in
accordance with HUD requirements;
• A specification of the services, maintenance, equipment, and utilities that will be provide by the
owner; and
• The amount of any charges for food, furniture, or supportive services.
Tenancy Addendum [24 CFR 983.256(d)]
The tenancy addendum in the lease must state:
• The program tenancy requirements;
• The composition of the household as approved by the PHA (the names of family members and any
PHA-approved live-in aide);
• All provisions in the HUD-required tenancy addendum must be included in the lease. The terms of
the tenancy addendum prevail over other provisions of the lease.
Initial Term and Lease Renewal [24 CFR 983.256(f)]
The initial lease term must be for at least one year. The lease must provide for automatic renewal after
the initial term of the lease in either successive definitive terms (e.g. month-to-month or year-to-year)
or an automatic indefinite extension of the lease term. For automatic indefinite extension of the lease
term, the lease terminates if any of the following occur:
• The owner terminates the lease for good cause
• The tenant terminates the lease
• The owner and tenant agree to terminate the lease
• The PHA terminates the HAP contract
• The PHA terminates assistance for the family
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Changes in the Lease [24 CFR 983.256(e)]
If the tenant and owner agree to any change in the lease, the change must be in writing, and the owner
must immediately give the PHA a copy of all changes.
The owner must notify the PHA in advance of any proposed change in the lease regarding the
allocation of tenant and owner responsibilities for utilities. Such changes may only be made if
approved by the PHA and in accordance with the terms of the lease relating to its amendment. The
PHA must redetermine reasonable rent, in accordance with program requirements, based on any
change in the allocation of the responsibility for utilities between the owner and the tenant. The
redetermined reasonable rent will be used in calculation of the rent to owner from the effective date of
the change.
Owner Termination of Tenancy [24 CFR 983.257]
With two exceptions, the owner of a PBV unit may terminate tenancy for the same reasons an owner
may in the tenant-based voucher program (see Section 12-III.B. and 24 CFR 982.310). In the PBV
program, terminating tenancy for “good cause” does not include doing so for a business or economic
reason, or a desire to use the unit for personal or family use or other non-residential purpose.
Tenant Absence from the Unit [24 CFR 983.256(g) and 982.312(a)]
The lease may specify a maximum period of family absence from the unit that may be shorter than the
maximum period permitted by PHA policy. According to program requirements, the family’s
assistance must be terminated if they are absent from the unit for more than 180 consecutive days.
PHA termination of assistance actions due to family absence from the unit are subject to 24 CFR
981.312, except that the unit is not terminated from the HAP contract if the family is absent for longer
than the maximum period permitted.
Continuation of Housing Assistance Payments [24 CFR 982.258]
Housing assistance payments shall continue until the tenant rent equals the rent to owner. The
cessation of housing assistance payments at such point will not affect the family's other rights under its
lease, nor will such cessation preclude the resumption of payments as a result of later changes in
income, rents, or other relevant circumstances if such changes occur within 180 days following the
date of the last housing assistance payment by the PHA. After the 180-day period, the unit shall be
removed from the HAP contract pursuant to 24 CFR 983.211.
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.
Security Deposits [24 CFR 983.259]
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.
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PHA Policy
The PHA will allow the owner to collect a security deposit amount the owner determines is
appropriate.
When the tenant moves out of a contract unit, the owner, subject to state and local law, may use the
security deposit, including any interest on the deposit, in accordance with the lease, as reimbursement
for any unpaid tenant rent, damages to the unit, or other amounts owed by the tenant under the lease.
The owner must give the tenant a written list of all items charged against the security deposit and the
amount of each item. After deducting the amount used to reimburse the owner, the owner must
promptly refund the full amount of the balance to the tenant.
If the security deposit does not cover the amount owed by the tenant under the lease, the owner may
seek to collect the balance from the tenant. The PHA has no liability or responsibility for payment of
any amount owed by the family to the owner.
19-VII.C. MOVES
Overcrowded, Under-Occupied, and Accessible Units [24 CFR 983.260]
If the PHA determines that a family is occupying a wrong size unit, based on the PHA’s subsidy
standards, or a unit with accessibility features that the family does not require, and the unit is needed
by a family that does require the features, the PHA must promptly notify the family and the owner of
this determination, and the PHA must offer the family the opportunity to receive continued housing
assistance in another unit.
PHA Policy
The PHA will notify the family and the owner of the family’s need to move based on the
occupancy of a wrong-size or accessible unit within 10 business days of the PHA’s
determination. The PHA will offer the family the following types of continued assistance in the
following order, based on the availability of assistance:
PBV assistance in the same building or project;
PBV assistance in another project; and
Tenant-based voucher assistance.
If the PHA offers the family a tenant-based voucher, the PHA must terminate the housing assistance
payments for a wrong-sized or accessible unit at the earlier of the expiration of the term of the family’s
voucher (including any extension granted by the PHA) or the date upon which the family vacates the
unit. If the family does not move out of the wrong-sized unit or accessible unit by the expiration of the
term of the family's voucher, the PHA must remove the unit from the HAP contract.
If the PHA offers the family another form of assistance that is not a tenant-based voucher, and the
family does not accept the offer, does not move out of the PBV unit within a reasonable time as
determined by the PHA, or both, the PHA must terminate the housing assistance payments for the unit
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at the expiration of a reasonable period as determined by the PHA and remove the unit from the HAP
contract.
PHA Policy
When the PHA offers a family another form of assistance that is not a tenant-based voucher,
the family will be given 30 days from the date of the offer to accept the offer and move out of
the PBV unit. If the family does not move out within this 30-day time frame, the PHA will
terminate the housing assistance payments at the expiration of this 30-day period.
The PHA may make exceptions to this 30-day period if needed for reasons beyond the family’s
control such as death, serious illness, or other medical emergency of a family member.
Family Right to Move [24 CFR 983.261]
The family may terminate the lease at any time after the first year of occupancy. The family must give
advance written notice to the owner in accordance with the lease and provide a copy of such notice to
the PHA. If the family wishes to move with continued tenant-based assistance, the family must contact
the PHA to request the rental assistance prior to providing notice to terminate the lease.
If the family terminates the lease in accordance with these requirements, the PHA is required to offer
the family the opportunity for continued tenant-based assistance, in the form of a voucher or other
comparable tenant-based rental assistance. If voucher or other comparable tenant-based assistance is
not immediately available upon termination of the family’s lease in the PBV unit, the PHA must give
the family priority to receive the next available opportunity for continued tenant-based assistance.
If the family terminates the assisted lease before the end of the first year, the family relinquishes the
opportunity for continued tenant-based assistance.
Emergency Transfers under VAWA [Notice PIH 2017-08]
Except where special consideration is needed for the project-based voucher program, the PHA will
follow VAWA policies as outlined in Chapter 16 Part IX of this administrative plan, including using
the Emergency Transfer Plan as the basis for PBV transfers under VAWA (Exhibit 16-4).
HUD requires that the PHA include policies that address when a victim has been living in a unit for
less than a year or when a victim seeks to move sooner than a tenant-based voucher is available.
PHA Policy
When the victim of domestic violence, dating violence, sexual assault, or stalking has lived in
the unit for less than one year, the PHA will provide several options for continued assistance.
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The PHA will first try to transfer the participant to another PBV unit in the same development
or transfer to a different development where the PHA has PBV units. The PHA will expedite
the administrative processes in this case in an effort to conduct the transfer as quickly as
possible.
If no units are available for an internal transfer, or if there is reasonable cause to believe that
such a transfer would put the victim in jeopardy, the participant may receive continued
assistance through an external transfer to either tenant-based rental assistance (HCV) or
assistance in the PHA’s public housing program. Such a decision will be made by the PHA
based on the availability of tenant-based vouchers and/or vacancies in public housing units.
Such families must be selected from the waiting list for the applicable program. The PHA has
adopted a waiting list preference for victims of domestic violence, dating violence, sexual
assault, and stalking in both its HCV and public housing programs in order to expedite this
process. See Section 4-III.C. of this administrative plan.
If a victim wishes to move after a year of occupancy in the unit, but no tenant-based vouchers
are available, the PHA will offer the participant an internal transfer to another PBV unit in the
same development or a transfer to a different development where the PHA has PBV units. The
PHA will expedite the administrative processes in this case in an effort to conduct the transfer
as quickly as possible.
If no units are available for an internal transfer, or if there is reasonable cause to believe that
such a transfer would put the victim in jeopardy, the participant may receive continued
assistance through an external transfer to the PHA’s public housing program. The PHA has
adopted a waiting list preference for victims of domestic violence, dating violence, sexual
assault, and stalking as part of the public housing ACOP in order to expedite this process.
19-VII.D. EXCEPTIONS TO THE OCCUPANCY CAP [24 CFR 983.262]
As of April 19, 2018, the PHA may not pay housing assistance under a PBV HAP contract for more
than the greater of 25 units or 25 percent of the number of dwelling units in a project unless:
• The units are exclusively for elderly families
• The units are for households eligible for supportive services available to all families receiving PBV
assistance in the project
If the project is located in a census tract with a poverty rate of 20 percent or less, as determined in the
most recent American Community Survey Five-Year estimates, the project cap is the greater of 25
units or 40 percent (instead of 25 percent) of the units in the project [FR Notice 7/14/17].
If a family at the time of initial tenancy is receiving and while the resident of an excepted unit has
received Family Self-Sufficiency (FSS) supportive services or any other service as defined by the PHA
and successfully completes the FSS contract of participation or the supportive services requirement,
the unit continues to count as an excepted unit for as long as the family resides in the unit. However, if
the FSS family fails to successfully complete the FSS contract of participation or supportive services
objective and consequently is no longer eligible for the supportive services, the family must vacate the
unit within a reasonable period of time established by the PHA, and the PHA shall cease paying HAP
on behalf of the family.
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Further, when a family (or remaining members of a family) residing in an excepted unit no longer
meets the criteria for a “qualifying family” because the family is no longer an elderly family due to a
change in family composition, the PHA has the discretion to allow the family to remain in the excepted
unit. If the PHA does not exercise this discretion, the family must vacate the unit within a reasonable
period of time established by the PHA, and the PHA must cease paying housing assistance payments
on behalf of the non-qualifying family.
Individuals in units with supportive services who choose to no longer participate in a service or who no
longer qualify for services they qualified for at the time of initial occupancy cannot subsequently be
denied continued housing opportunity because of this changed circumstance. A PHA or owner cannot
determine that a participant’s needs exceed the level of care offered by qualifying services or require
that individuals be transitioned to different projects based on service needs.
If the family fails to vacate the unit within the established time, the unit must be removed from the
HAP contract unless the project is partially assisted, and it is possible for the HAP contract to be
amended to substitute a different unit in the building in accordance with program requirements; or the
owner terminates the lease and evicts the family. The housing assistance payments for a family
residing in an excepted unit that is not in compliance with its family obligations to comply with
supportive services requirements must be terminated by the PHA.
The PHA may allow a family that initially qualified for occupancy of an excepted unit based on elderly
family status to continue to reside in a unit, where through circumstances beyond the control of the
family (e.g., death of the elderly family member or long-term or permanent hospitalization or nursing
care), the elderly family member no longer resides in the unit. In this case, the unit may continue to be
counted as an excepted unit for as long as the family resides in that unit. Once the family vacates the
unit, in order to continue as an excepted unit under the HAP contract, the unit must be made available
to and occupied by a qualified family.
PHA Policy
The PHA will allow families who initially qualified to live in an excepted unit to remain when
circumstances change due to circumstances beyond the remaining family members’ control.
In all other cases, the PHA will provide written notice to the family and owner within 10
business days of making the determination. The family will be given 30 days from the date of
the notice to move out of the PBV unit. If the family does not move out within this 30-day time
frame, the PHA will terminate the housing assistance payments at the expiration of this 30-day
period.
The PHA may make exceptions to this 30-day period if needed for reasons beyond the family’s
control such as death, serious illness, or other medical emergency of a family member.
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PART VIII: DETERMINING RENT TO OWNER
19-VIII.A. OVERVIEW
The amount of the initial rent to an owner of units receiving PBV assistance is established at the
beginning of the HAP contract term. Although for rehabilitated or newly constructed housing, the
agreement to enter into HAP Contract (Agreement) states the estimated amount of the initial rent to
owner, the actual amount of the initial rent to owner is established at the beginning of the HAP
contract term.
During the tem of the HAP contract, the rent to owner is redetermined at the owner’s request in
accordance with program requirements, and at such time that there is a tenfive percent or greater
decrease in the published FMR.
19-VIII.B. RENT LIMITS [24 CFR 983.301]
Except for certain tax credit units (discussed below), the rent to owner must not exceed the lowest of
the following amounts:
• An amount determined by the PHA, not to exceed 110 percent of the applicable fair market rent (or
any HUD-approved exception payment standard) for the unit bedroom size minus any utility
allowance;
• The reasonable rent; or
• The rent requested by the owner.
Certain Tax Credit Units [24 CFR 983.301(c)]
For certain tax credit units, the rent limits are determined differently than for other PBV units.
Different limits apply to contract units that meet all of the following criteria:
• The contract unit receives a low-income housing tax credit under the Internal Revenue Code of
1986;
• The contract unit is not located in a qualified census tract;
• There are comparable tax credit units of the same bedroom size as the contract unit in the same
project, and the comparable tax credit units do not have any form of rental assistance other than the
tax credit; and
• The tax credit rent exceeds 110 percent of the fair market rent or any approved exception payment
standard;
For contract units that meet all of these criteria, the rent to owner must not exceed the lowest of:
• The tax credit rent minus any utility allowance;
• The reasonable rent; or
• The rent requested by the owner.
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Definitions
A qualified census tract is any census tract (or equivalent geographic area defined by the Bureau of the
Census) in which at least 50 percent of households have an income of less than 60 percent of Area
Median Gross Income (AMGI), or where the poverty rate is at least 25 percent and where the census
tract is designated as a qualified census tract by HUD.
Tax credit rent is the rent charged for comparable units of the same bedroom size in the project that
also receive the low-income housing tax credit but do not have any additional rental assistance (e.g.,
tenant-based voucher assistance).
Reasonable Rent [24 CFR 983.301(e) and 983.302(c)(2)]
The PHA must determine reasonable rent in accordable with 24 CFR 983.303. The rent to owner for
each contract unit may at no time exceed the reasonable rent, except in cases where the PHA has
elected within the HAP contract not to reduce rents below the initial rent to owner and, upon
redetermination of the rent to owner, the reasonable rent would result in a rent below the initial rent.
However, the rent to owner must be reduced in the following cases:
• To correct errors in calculations in accordable with HUD requirements
• If additional housing assistance has been combined with PBV assistance after the execution of the
initial HAP contract and a rent decrease is required pursuant to 24 CFR 983.55
• If a decrease in rent to owner is required based on changes in the allocation of the responsibility for
utilities between owner and tenant
If the PHA has not elected within the HAP contract to establish the initial rent to owner as the rent
floor, the rent to owner shall not at any time exceed the reasonable rent.
PHA Policy
The PHA will elect within the HAP contract not to reduce rents below the initial level, with the
exception of circumstances listed in 24 CFR 983.302(c)(2). If, upon redetermination of the rent
to owner, the reasonable rent would result in a rent below the initial rent, the PHA will use the
higher initial rent to owner amount.
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Use of FMRs, Exception Payment Standards, and Utility Allowances [24 CFR 983.301(f)]
When determining the initial rent to owner, the PHA must use the most recently published FMR in
effect and the utility allowance schedule in effect at execution of the HAP contract. When
redetermining the rent to owner, the PHA must use the most recently published FMR and the utility
allowance schedule in effect at the time of redetermination. At its discretion, the PHA may for initial
rent, use the amounts in effect at any time during the 30-day period immediately before the beginning
date of the HAP contract, or for redeterminations of rent, the 30-day period immediately before the
redetermination date.
Any HUD-approved exception payment standard amount under the tenant-based voucher program also
applies to the project-based voucher program. HUD will not approve a different exception payment
stand amount for use in the PBV program.
Likewise, the PHA may not establish or apply different utility allowance amounts for the PBV
program. The same utility allowance schedule applies to both the tenant-based and project-based
voucher programs.
PHA Policy
Upon written request by the owner, the PHA will consider using the FMR or utility allowances
in effect during the 30-day period before the start date of the HAP, or redetermination of rent.
The owner must explain the need to use the previous FMRs or utility allowances and include
documentation in support of the request. The PHA will review and make a decision based on
the circumstances and merit of each request.
In addition to considering a written request from an owner, the PHA may decide to use the
FMR or utility allowances in effect during the 30-day period before the start date of the HAP,
or redetermination of rent, if the PHA determines it is necessary due to PHA budgetary
constraints.
Use of Small Area FMRs (SAFMRs) [24 CFR 888.113(h)]
While small area FMRs (SAFMRs) do not apply to PBV projects, PHAs that operate a tenant-based
program under SAFMRs may apply SAFMRs to all future PBV HAP contracts. If the PHA adopts this
policy, it must apply to all future PBV projects and the PHA’s entire jurisdiction. The PHA and owner
may not subsequently choose to revert back to use of the FMRs once the SAFMRs have been adopted,
even if the PHA subsequently changes its policy.
Further, the PHA may apply SAFMRs to current PBV projects where the notice of owner selection
was made on or before the effective date of PHA implementation, provided the owner is willing to
mutually agree to doing so and the application is prospective. The PHA and owner may not
subsequently choose to revert back to use of the FMRs once the SAFMRs have been adopted, even if
the PHA subsequently changes its policy. If rents increase as a result of the use of SAFMRs, the rent
increase may not be effective until the first anniversary of the HAP contract.
PHA Policy
The PHA will not apply SAFMRs to the PHA’s PBV program.
19-44
Redetermination of Rent [24 CFR 983.302]
The PHA must redetermine the rent to owner upon the owner’s request or when there is a 10 percent or
greater decrease in the published FMR.
Rent Increase
If an owner wishes to request an increase in the rent to owner from the PHA, it must be requested at
the annual anniversary of the HAP contract (see Section 19-V.D.). The request must be in writing and
in the form and manner required by the PHA. The PHA may only make rent increases in accordance
with the rent limits described previously. There are no provisions in the PBV program for special
adjustments (e.g., adjustments that reflect increases in the actual and necessary expenses of owning
and maintaining the units which have resulted from substantial general increases in real property taxes,
utility rates, or similar costs).
PHA Policy
An owner’s request for a rent increase must be submitted to the PHA 60 days prior to the
anniversary date of the HAP contract and must include the new rent amount the owner is
proposing.
The PHA may not approve and the owner may not receive any increase of rent to owner until and
unless the owner has complied with requirements of the HAP contract, including compliance with
HQS. The owner may not receive any retroactive increase of rent for any period of noncompliance.
Rent Decrease
If there is a decrease in the rent to owner, as established in accordance with program requirements such
as a change in the FMR or exception payment standard, or reasonable rent amount, the rent to owner
must be decreased regardless of whether the owner requested a rent adjustment, except where the PHA
has elected within the HAP contract to not reduce rents below the initial rent under the initial HAP
contract.
Notice of Rent Change
The rent to owner is redetermined by written notice by the PHA to the owner specifying the amount of
the redetermined rent. The PHA notice of rent adjustment constitutes an amendment of the rent to
owner specified in the HAP contract. The adjusted amount of rent to owner applies for the period of 12
calendar months from the annual anniversary of the HAP contract.
PHA Policy
The PHA will provide the owner with at least 30 days written notice of any change in the
amount of rent to owner.
PHA-Owned Units [24 CFR 983.301(g)]
For PHA-owned PBV units, the initial rent to owner and the annual redetermination of rent at the
anniversary of the HAP contract are determined by the independent entity approved by HUD. The
PHA must use the rent to owner established by the independent entity.
19-45
19-VIII.C. REASONABLE RENT [24 CFR 983.303]
At the time the initial rent is established and all times during the term of the HAP contract, the rent to
owner for a contract unit may not exceed the reasonable rent for the unit as determined by the PHA,
except where the PHA has elected within the HAP contract to not reduce rents below the initial rent
under the initial HAP contract.
When Rent Reasonable Determinations Are Required
The PHA must redetermine the reasonable rent for a unit receiving PBV assistance whenever any of
the following occur:
• There is a 10 percent or greater decrease in the published FMR in effect 60 days before the contract
anniversary (for the unit sizes specified in the HAP contract) as compared with the FMR that was
in effect one year before the contract anniversary date;
• The PHA approves a change in the allocation of responsibility for utilities between the owner and
the tenant;
• The HAP contract is amended to substitute a different contract unit in the same building or project;
or
• There is any other change that may substantially affect the reasonable rent.
How to Determine Reasonable Rent
The reasonable rent of a unit receiving PBV assistance must be determined by comparison to rent for
other comparable unassisted units. When making this determination, the PHA must consider factors
that affect market rent. Such factors include the location, quality, size, type and age of the unit, as well
as the amenities, housing services maintenance, and utilities to be provided by the owner.
Comparability Analysis
For each unit, the comparability analysis must use at least three comparable units in the private
unassisted market. This may include units in the premises or project that is receiving project-based
assistance. The analysis must show how the reasonable rent was determined, including major
differences between the contract units and comparable unassisted units, and must be retained by the
PHA. The comparability analysis may be performed by PHA staff or by another qualified person or
entity. Those who conduct these analyses or are involved in determining the housing assistance
payment based on the analyses may not have any direct or indirect interest in the property.
PHA-Owned Units
For PHA-owned units, the amount of the reasonable rent must be determined by an independent
agency approved by HUD in accordance with PBV program requirements. The independent entity
must provide a copy of the determination of reasonable rent for PHA-owned units to the PHA and to
the HUD field office where the project is located.
19-46
Owner Certification of Reasonable Rent
By accepting each monthly housing assistance payment, the owner certifies that the rent to owner is
not more than rent charged by the owner for other comparable unassisted units in the premises. At any
time, the PHA may require the owner to submit information on rents charged by the owner for other
units in the premises or elsewhere.
19-VIII.D. EFFECT OF OTHER SUBSIDY AND RENT CONTROL
In addition to the rent limits discussed in Section 19-VIII.B above, other restrictions may limit the
amount of rent to owner in a PBV unit. In addition, certain types of subsidized housing are not even
eligible to receive PBV assistance (see Section 19-II.D).
Other Subsidy [24 CFR 983.304]
To comply with HUD subsidy layering requirements, at the discretion of HUD or its designee, a PHA
shall reduce the rent to owner because of other governmental subsidies, including tax credits or tax
exemptions, grants, or other subsidized funding.
For units receiving assistance under the HOME program, rents may not exceed rent limits as required
by that program.
For units in any of the following types of federally subsidized projects, the rent to owner may not
exceed the subsidized rent (basic rent) or tax credit rent as determined in accordance with requirements
for the applicable federal program:
• An insured or non-insured Section 236 project;
• A formerly insured or non-insured Section 236 project that continues to receive Interest Reduction
Payment following a decoupling action;
• A Section 221(d)(3) below market interest rate (BMIR) project;
• A Section 515 project of the Rural Housing Service;
• Any other type of federally subsidized project specified by HUD.
Combining Subsidy
Rent to owner may not exceed any limitation required to comply with HUD subsidy layering
requirements.
Rent Control [24 CFR 983.305]
In addition to the rent limits set by PBV program regulations, the amount of rent to owner may also be
subject to rent control or other limits under local, state, or federal law.
19-47
PART IX: PAYMENTS TO OWNER
19-IX.A. HOUSING ASSISTANCE PAYMENTS [24 CFR 983.351]
During the term of the HAP contract, the PHA must make housing assistance payments to the owner in
accordance with the terms of the HAP contract. During the term of the HAP contract, payments must
be made for each month that a contract unit complies with HQS and is leased to and occupied by an
eligible family. The housing assistance payment must be paid to the owner on or about the first day of
the month for which payment is due, unless the owner and the PHA agree on a later date.
Except for discretionary vacancy payments, the PHA may not make any housing assistance payment to
the owner for any month after the month when the family moves out of the unit (even if household
goods or property are left in the unit).
The amount of the housing assistance payment by the PHA is the rent to owner minus the tenant rent
(total tenant payment minus the utility allowance).
In order to receive housing assistance payments, the owner must comply with all provisions of the
HAP contract. Unless the owner complies with all provisions of the HAP contract, the owner does not
have a right to receive housing assistance payments.
19-IX.B. VACANCY PAYMENTS [24 CFR 983.352]
If an assisted family moves out of the unit, the owner may keep the housing assistance payment for the
calendar month when the family moves out. However, the owner may not keep the payment if the PHA
determines that the vacancy is the owner’s fault.
PHA Policy
If the PHA determines that the owner is responsible for a vacancy and, as a result, is not
entitled to the keep the housing assistance payment, the PHA will notify the landlord of the
amount of housing assistance payment that the owner must repay. The PHA will require the
owner to repay the amount owed in accordance with the policies in Section 16-IV.B.
At the discretion of the PHA, the HAP contract may provide for vacancy payments to the owner. The
PHA may only make vacancy payments if:
• The owner gives the PHA prompt, written notice certifying that the family has vacated the unit and
identifies the date when the family moved out (to the best of the owner’s knowledge);
• The owner certifies that the vacancy is not the fault of the owner and that the unit was vacant
during the period for which payment is claimed;
• The owner certifies that it has taken every reasonable action to minimize the likelihood and length
of vacancy; and
• The owner provides any additional information required and requested by the PHA to verify that
the owner is entitled to the vacancy payment.
19-48
The owner must submit a request for vacancy payments in the form and manner required by the PHA
and must provide any information or substantiation required by the PHA to determine the amount of
any vacancy payment.
PHA Policy
If an owner’s HAP contract calls for vacancy payments to be made, and the owner wishes to
receive vacancy payments, the owner must have properly notified the PHA of the vacancy in
accordance with the policy in Section 19-VI.F. regarding filling vacancies.
In order for a vacancy payment request to be considered, it must be made within 10 business
days of the end of the period for which the owner is requesting the vacancy payment. The
request must include the required owner certifications and the PHA may require the owner to
provide documentation to support the request. If the owner does not provide the information
requested by the PHA within 10 business days of the PHA’s request, no vacancy payments will
be made.
19-IX.C. TENANT RENT TO OWNER [24 CFR 983.353]
The tenant rent is the portion of the rent to owner paid by the family. The amount of tenant rent is
determined by the PHA in accordance with HUD requirements. Any changes in the amount of tenant
rent will be effective on the date stated in the PHA notice to the family and owner.
The family is responsible for paying the tenant rent (total tenant payment minus the utility allowance).
The amount of the tenant rent determined by the PHA is the maximum amount the owner may charge
the family for rental of a contract unit. The tenant rent covers all housing services, maintenance,
equipment, and utilities to be provided by the owner. The owner may not demand or accept any rent
payment from the tenant in excess of the tenant rent as determined by the PHA. The owner must
immediately return any excess payment to the tenant.
Tenant and PHA Responsibilities
The family is not responsible for the portion of rent to owner that is covered by the housing assistance
payment and the owner may not terminate the tenancy of an assisted family for nonpayment by the
PHA.
Likewise, the PHA is responsible only for making the housing assistance payment to the owner in
accordance with the HAP contract. The PHA is not responsible for paying tenant rent, or any other
claim by the owner, including damage to the unit. The PHA may not use housing assistance payments
or other program funds (including administrative fee reserves) to pay any part of the tenant rent or
other claim by the owner.
Utility Reimbursements
If the amount of the utility allowance exceeds the total tenant payment, the PHA must pay the amount
of such excess to the tenant as a reimbursement for tenant-paid utilities, and the tenant rent to the
owner must be zero.
19-49
The PHA may pay the utility reimbursement directly to the family or to the utility supplier on behalf of
the family. If the PHA chooses to pay the utility supplier directly, the PHA must notify the family of
the amount paid to the utility supplier.
PHA Policy
The PHA will make utility reimbursements to the utility supplier on behalf of the family.
19-IX.D. OTHER FEES AND CHARGES [24 CFR 983.354]
Meals and Supportive Services
With the exception of PBV assistance in assisted living developments, the owner may not require the
tenant to pay charges for meals or supportive services. Non-payment of such charges is not grounds for
termination of tenancy.
In assisted living developments receiving PBV assistance, the owner may charge for meals or
supportive services. These charges may not be included in the rent to owner, nor may the value of
meals and supportive services be included in the calculation of the reasonable rent. However, non-
payment of such charges is grounds for termination of the lease by the owner in an assisted living
development.
Other Charges by Owner
The owner may not charge extra amounts for items customarily included in rent in the locality or
provided at no additional cost to unsubsidized tenants in the premises.
19-50
EXHIBIT 19-1: PBV DEVELOPMENT INFORMATION - SAMPLE
(Fill out one for each development)
Date: [Enter the date on which this form was completed]
DEVELOPMENT INFORMATION
Development Name: [Insert name of PBV development]
Address: [Insert full address of PBV development]
Owner Information: [Insert PBV development owner name and contact information. If development
is PHA-owned, enter “PHA-owned.”]
Property Management Company: [Insert property management company name and contact
information, or enter “None”]
PHA-Owned: [Enter “Yes” or “No.” If yes, enter name of independent entity]
Mixed Finance Development: [Enter “Yes” or “No.” If yes, list other types of funding and units to
which other funding applies.]
HAP CONTRACT
Effective Date of Contract: [Enter start date of HAP contract]
HOTMA Requirements: [If HAP contract was signed prior to April 18, 2017, enter “Pre-HOTMA.”
If HAP contract was signed on or after April 18, 2017, enter “Post-HOTMA.”]
Term of HAP Contract: [Enter term from HAP contract]
Expiration Date of Contract: [Enter expiration date from HAP contract]
PBV UNITS
0 BR
1 BR
2 BR
3 BR
4 BR
5 BR
Total
# of
Units
Initial
Contract
Rent
$
$
$
$
$
$
Structure Type: [Identify the structure type, i.e. Single Family Detached, Duplex or Two Family,
Row House or Town House, Low Rise (3,4 Stories, including Garden Apartment), Highrise (5 or more
stories)
Housing Type: [Identify if the units are an Independent Group Residence or Single Room
Occupancy]
19-51
UTILITY RESPONSIBILITY
[Enter in Accordance with the HAP Exhibit C]
Utility
Fuel Type
(Gas, Electric, Oil,
Coal, Other)
Paid By
(Tenant/Owner)
Provided By
(Tenant/Owner)
Heating
Electric
Tenant
Owner
Cooking
Electric
Tenant
Owner
Water Heating
Electric
Tenant
Owner
Other Electric
Tenant
Owner
Water
Owner
Owner
Sewer
Owner
Owner
Trash Collection
Owner
Owner
Air Conditioning
Tenant
Owner
Refrigerator
Range/Microwave
Other (specify)
Accessible Units and Features: [Identify which units are accessible and describe accessibility features
or enter “None”]
Target Population: [Describe targeted population in accordance with HAP contract or enter “None”]
Excepted Units: [Identify excepted unit types below or enter “None”]
• Supportive Services: [Enter “Yes, see Exhibit D of HAP Contract” or enter “No”]
• Elderly Units: [Enter “Yes” or “No.” If yes, identify which units are elderly units.]
• Disabled Units (only for HAP contracts executed prior to April 18, 2017) [Enter “Yes” or
“No.” If yes, identify which units are for persons with disabilities.]
• FUPY/FYI Units: [Enter “Yes” or “No.” If yes, identify which units are FUP units]
• Are units excepted because they are located in a low-poverty census tract area?: [Enter
“Yes” or “No”]
19-52
WAITING LIST AND SELECTION
Waiting List Type: [ Enter “Site-based waiting list,” “Combined with HCV,” “Waiting list for entire
PBV program,” or “Merged with another assisted housing program”]
Preferences: [Enter “Same as HCV; see Chapter 4” or describe preferences offered. If different from
HCV, also note in Section 17.1.B of this policy.]
Preference Verification: [Enter “Same as HCV; see Chapter 7” or describe for each preference listed
above. If different from HCV, note in Section 17.1.B of this policy.]
For the PBV program, is the income limit the same as the HCV program? (Note: In mixed finance
developments, other income limits may also apply.) [Enter “Same as HCV; see Chapter 3” or clearly
describe. If different from HCV, note in Section 19.1.B of this policy.]
OCCUPANCY
Subsidy Standards: [Enter “Same as HCV; see Chapter 5” or describe. If different from HCV, note in
Section 19.1.B of this policy]
Utilities: [Enter in accordance with HAP contract Exhibit C]
Vacancy Payments: [Enter in accordance with HAP contract Part 1, e, 2 and Section 19-V.F. within
this chapter]
19-53
EXHIBIT 19-2: Special Provisions Applying to TPVs Awarded as Part of a Voluntary
Conversion of Public Housing Units in Projects that Include RAD PBV Units
[24 CFR Part 972.200; Notice PIH 2019-05; Notice PIH 2019-23]
Under certain circumstances, HUD allows small PHAs to reposition a public housing project (or
portion of a project) by voluntarily converting units to tenant-based housing choice voucher assistance.
In order to preserve affordable housing for residents of the project, the PHA is given priority to receive
replacement tenant protection vouchers (TPVs). As part of the voluntary conversion, the PHA has the
option to continue to operate it as rental housing. If so, the PHA or subsequent owner must allow
existing families to remain in their units using the TPV in the form of tenant-based assistance. In this
situation, however, the PHA may choose to project-base these TPVs in the former public housing
project. Families must still be provided with the option to remain in their unit using tenant-based
assistance. In order for the PHA to project-base the assistance and include these units on the PBV HAP
contract, the family must voluntarily consent in writing to PBV assistance following the requirements
in Appendix A of Notice PIH 2019-05. If the family fails to consent to PBV assistance and chooses to
remain using tenant-based assistance, the family’s unit is excluded from the PBV HAP contract until
the family moves out or consents to switching to PBV assistance. In general, all applicable program
regulations and guidance for the standard PBV program apply to these units.
The PHA may also convert units in the same former public housing project to the PBV program under
the rental assistance demonstration (RAD) program. The RAD statute authorizes HUD to waive certain
statutory and regulatory provisions governing the standard PBV program and specify alternative
requirements. In order to facilitate the uniform treatment of residents and units at the project, Notice
PIH 2019-23 extended some of the alternative requirements to non-RAD PBV units in the converted
project (i.e., the TPV units in the project). As such, while PBV TPV units in the converted project
generally follow the requirements for the standard PBV program listed in this chapter, where HUD has
specified alternative requirements for non-RAD PBV units in the project, PBV TPV units will instead
follow the requirements outlined in Chapter 18 of this policy for the RAD PBV program.
RAD Requirements Applicable to Non-RAD units in the Project
Alternative Requirement
under RAD as Listed in
Notice PIH 2019-23
Standard PBV Policy
That Does Not Apply
Applicable Policy in Chapter 18
1.6.A.4. Site Selection –
Compliance with PBV Goals
19-II.G. SITE
SELECTION
STANDARDS applies
with the exception of
deconcentration of
poverty and expanding
housing and economic
opportunity
requirements.
18-II.F. SITE SELECTION
STANDARDS
1.6.B.5.d. PBV Site-Specific
Utility Allowances
Alternative requirement
under RAD. No
18-VII.C. UTILITY
ALLOWANCES
19-54
corresponding policy in
Chapter 19.
1.6.C.1. No Rescreening of
Tenants upon Conversion
Policies contained in
Chapter 3 relating to
eligibility do not apply
to existing tenants who
receive TPVs.
18-V.B. PROHIBITED
RESCREENING OF EXISTING
TENANTS UPON
CONVERSION
1.6.C.2. Right to Return
Alternative requirement
under RAD. No
corresponding policy in
Chapter 19.
18-I.D. RELOCATION
REQUIREMENTS
1.6.C.3. Phase-in of Tenant
Rent Increases
Alternative requirements
under RAD. No
corresponding policy in
Chapter 19.
18-VIII.D. PHASE-IN OF
TENANT RENT INCREASES
1.6.C.4. Family Self
Sufficiency (FSS) and
Resident Opportunities and
Self-Sufficiency Service
Coordinator (ROSS-SC)
Programs
Not covered in
administrative plan.
18-VI.C. PUBLIC HOUSING
FSS AND ROSS
PARTICIPANTS
1.6.C.5. Resident Participation
and Funding
Alternative requirement
under RAD. No
corresponding policy in
Chapter 19.
18-VI.D. RESIDENT
PARTICIPATION AND
FUNDING
1.6.C.6. Resident Procedural
Rights
Policies related to
hearings in Chapter 16
apply, with added
procedural rights and
notice requirements as
outlined in Chapter 18.
18-VI.H. RESIDENTS’
PROCEDURAL RIGHTS
1.6.C.7. Earned Income
Disregard (EID)
Alternative requirements
under RAD for in-place
residents.
New admissions follow
policies in Chapter 6.
18-VI.G. EARNED INCOME
DISALLOWANCE
1.6.C.8. Jobs Plus
Not covered in
administrative plan.
No corresponding policy.
19-55
1.6.C.9. When Total Tenant
Payment Exceeds Gross Rent
Alternative requirements
under RAD for in-place
residents.
New admissions follow
policies in 19-VII.B.
LEASE, Continuation of
Housing Assistance
Payments.
18-VI.B. LEASE, Continuation
of Housing Assistance Payments
1.6.C.10. Under-Occupied
Unit
Alternative requirements
under RAD for in-place
residents.
New admissions follow
19-VII.C. MOVES,
Overcrowded, Under-
Occupied, and
Accessible Units
18-VI.E. MOVES, Overcrowded,
Under-Occupied, and Accessible
Units
1.6.D.4. Establishment of
Waiting List
Alternative requirements
under RAD for initial
establishment of the
waiting list.
Once waiting list is
established, follow 19-
VI.D. SELECTION
FROM THE WAITING
LIST
18-V.D. ORGANIZATION OF
THE WAITING LIST
1.6.D.10. Initial Certifications
and Tenant Rent Calculations
Alternative requirements
under RAD for in-place
residents. No
corresponding policy in
Chapter 19.
18-VIII.C. TENANT RENT TO
OWNER, Initial Certifications
Note, while Notice PIH 2019-05 states that the PHA must screen families for eligibility for a tenant
protection voucher and that families must be below the low-income limit (80 percent of AMI), Notice
PIH 2019-23 waives these requirements for residents in projects that include RAD PBV units.
20-1
Chapter 19Chapter 20
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)
ABLE
Achieving a better Life Experience Act of 2014
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”)
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)
DOJ
Department of Justice
EID
Earned Income Disallowance
EITC
Earned Income Tax Credit
EHV
Emergency Housing Vouchers
EIV
Enterprise Income Verification
EOP
End of Participation
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)
FUP
Family Unification Program
FY
Fiscal year
20-2
FYE
Fiscal year end
GAO
Government Accountability Office
GR
Gross rent
HA
Housing authority or housing agency
HCV
Housing choice voucher
HEA
Higher Education Act of 1965
HOME
Home Investment Partnerships Program
HOTMA
Housing Opportunity Through Modernization Act
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
IVT
Income Validation Tool
JTPA
Job Training Partnership Act
LBP
Lead-based paint
LEP
Limited English proficiency
LIHTC
Low Income Housing Tax Credit
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
PBV
Project Based Voucher
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
20-3
PIH
(HUD Office of) Public and Indian Housing
PS
Payment standard
PBV
Project Based Vouchers
QC
Quality control
QHWRA
Quality Housing and Work Responsibility Act of 1998
RAD
Rental Assistance Demonstration
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)
SAFMR
Small Area Fair Market Rent
SEMAP
Section 8 Management Assessment Program
SRO
Single room occupancy
SSA
Social Security Administration
SSI
Supplemental security income
SSN
Social Security Number
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
UIV
Upfront Income Verification
NSPIRE
Uniform Physical Conditions System for Vouchers
URP
Utility reimbursement payment
U.S.C.
United States Code
USCIS
United States Citizenship and Immigration Services
VASH
Veterans Affairs Supportive Housing
VAWA
Violence Against Women Reauthorization Act of 2013
20-4
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).
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“As-paid” States. States where the welfare agency adjusts the shelter and utility component of the
welfare grant in accordance with actual housing costs.
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 hertheir 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/NSPIRE for congregate housing. A special housing type: see §982.606 to §982.609.
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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.
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
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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 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.
Emergency Housing Vouchers (EHV) Program. The American Rescue Plan Act of 2021 (ARP)
(P.L. 117-2) was signed by President Biden on March 11, 2021 to appropriate $5 billion for the
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creation, administration, and renewal of new incremental emergency housing vouchers (EHVs)
and other eligible expenses related to COVID-19. ARP provides funding to administer the EHV
program for individuals and families who meet specific preferences.
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 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 within its jurisdiction, to promote self-sufficiency of assistedamong
participating families, including the coordination of supportive services for these families (42
U.S.C. 1437u) [24 CFR §984.103].
Family share. The portion of rent and utilities paid by the family. For calculation of family share,
see §982.515(a).
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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.
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 (HAP). 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 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 assistance payment contract (HAPC). 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.)
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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.
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.
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Landlord. Either the owner of the property or his/hertheir representative or the managing agent or
his/hertheir 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
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or damaged; or (f) the chimney or venting system on a fuel fired heating, ventilation, or
cooling system is misaligned, negatively pitched, or damaged which may cause improper
or dangerous venting of gases.
(6) Lack of alternative means of exit in case of fire or blocked egress. A life-threatening
condition under this standard is one of the following: (a) Any of the components that
affect the 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) 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. See 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/NSPIRE . A special housing type: See
§982.620 and §982.621.
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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
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
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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.
Overcrowded. A unit that does not meet the following HQS/NSPIRE space standards: (1) Provide
adequate space and security for the family; and (2) Have at least one bedroom or
living/sleeping room for each two persons.
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 [24
CFR §903].
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.
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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 Based Vouchers (PBV). The PBVs are administered by the local voucher agency, which enters
into a Housing Assistance Payments (HAP) contract with the project owner. The voucher agency
receives an Administrative Fee for these PBV units, in the same manner in which it receives an
Administrative Fee for other voucher units.
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.
Qualified family (under the earned income disallowance). A family participating in an applicable
assisted housing program or receiving HCV assistance:
• Whose annual income increases as a result of employment of a family member who is a person
with disabilities and who was previously unemployed for one or more years prior to
employment;
• Whose annual income increases as a result of increased earnings by a family member who is a
person with disabilities during participation in any economic self-sufficiency or other job
training program; or
• Whose annual income increases, as a result of new employment or increased earnings of a
family member who is a person with disabilities, during or within six months after receiving
assistance, benefits or services under any state program for temporary assistance for needy
families funded under Part A of Title IV of the Social Security Act, as determined by the
responsible entity in consultation with the local agencies administering temporary assistance
for needy families (TANF) and Welfare-to-Work (WTW) programs. The TANF program is not
limited to monthly income maintenance, but also includes such benefits and services as one-
time payments, wage subsidies and transportation assistance-- provided that the total amount
over a six-month period is at least $500.
Qualified census tract. With regard to certain tax credit units, any census tract (or equivalent
geographic area defined by the Bureau of the Census) in which at least 50 percent of households have
an income of less than 60 percent of Area Median Gross Income (AMGI), or where the poverty rate is
at least 25 percent, and where the census tract is designated as a qualified census tract by HUD.
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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.
Reasonable accommodation. A change, exception, or adjustment to a rule, policy, practice, or service
to allow a person with disabilities to fully access the PHA’s programs or services.
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.
Rental Assistance Demonstration (RAD). In 2012, Congress authorized the Rental Assistance
Demonstration (RAD) to test a new way of meeting the large and growing capital improvement needs
of the nation’s aging public housing stock, as well as to preserve projects funded under HUD's
“legacy” programs (Rental Supplement, Rental Assistance Payment, and Moderate Rehabilitation).
Properties “convert” their assistance to long-term, project-based Section 8 contracts. These new
contracts provide a more reliable source of operating subsidy that allow PHAs and owners to safely
leverage private capital – typically debt and equity – in order to finance the property rehabilitation or
replacement. The contracts as well as underlying use restrictions must be renewed each time they
expire, ensuring the long-term affordability of the improved properties.
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. Also known as Housing Choice
Voucher.
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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 24 CFR §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.
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 Person. 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 24 CFR
§982.602 to §982.605.
Small rural public housing agency (PHA). Section 38 defines the term “small public housing agency”
as a public housing agency “for which the sum of the number of public housing dwelling units
administered by the agency and the number of vouchers under section 8(o) administered by the agency
is 550 or fewer” and “that predominantly operates in a rural area, as described in section
1026.35(b)(2)(iv)(A) of title 12, Code of Federal Regulations.” After consideration of the public
comments discussed above, HUD is interpreting “predominantly operates in a rural area” to mean a
small PHA that:
(1)
Has a primary administrative building with a physical address in a rural area as described in 12
CFR 1026.35(b)(2)(iv)(A); or
(2)
more than 50 percent of its combined public housing units and voucher units under section 8(o)
are in rural areas as described in 12 CFR 1026.35(b)(2)(iv)(A). HUD also clarifies that voucher
units under section 8(o) include those in the tenant-based Housing Choice Voucher (HCV)
program and the Project-Based Voucher (PBV) program.
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.
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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.
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.
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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.
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 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.
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.