2016-03-09 Housing Authority Item 2 Administrative Plan Amendments
MEETING DATE:
March 9, 2016
Kathy Noel
ACTING DEPT.
Management Analyst
PREPARED BY:
Manjeet Ranu, AICP
DIRECTOR:
Nikki Photinos
Program Coordinator
DEPARTMENT:CITY MANAGER:
Planning &BuildingKaren P. Brust
SUBJECT:
Public hearing to consider amendments to the Section 8 Housing Choice Voucher Program
Administrative Plan and adoption of Resolution No. EHA2016-01 approving the amendments.
RECOMMENDED ACTION:
1. Adopt EHAResolution No. 2016-01, a Resolution of the Encinitas Housing Authority to
amend the Section 8 Housing Choice Voucher Program Administrative Plan (Attachment
A).
STRATEGIC PLAN:
This agenda item relates to the Community Planning Focus Area Goal #1,
which is to pursue a range of diverse housing opportunities balanced throughout the community
and the Organizational Effectiveness and Efficiency Focus Area Goal #3 which is to review
policies and procedures to ensure a customer-focused government through transparent
services and a positive organizational culture.
FISCAL CONSIDERATIONS:
There are no direct fiscal or staff impacts as a result of the proposed amendments.
BACKGROUND:
The Section 8 Housing Choice Voucher Program (Section 8 HCV) is afederal rental assistance
program administered by the U.S. Department of Housing and Urban Development (HUD). The
annual grant is provided to qualifying housing authorities that have been allocated vouchers
from HUD for the purpose of providing a rental housing assistance payment (HAP) to very low
income household participants. The Section 8 HCV participant pays approximately 30 percent of
their income toward the rent and the housing authority pays the difference to participating
landlords.The City has received Section 8 HCV program funds through its Housing Authority
since 1995.
Housing agencies administering Section 8 programs must adopt a written Administrative Plan
that establishes local policies for administration of the program in accordance with HUD
requirements.The Administrative Plan and revisions to the plan must be adopted by the
Housing Authority and submitted to HUD.However, HUD approval of the Administrative Plan is
not required.
2016-03-09Item 21 of 149
The Encinitas Housing Authority (EHA) Board of Commissioners first adopted its Administrative
Plan on June 22, 1994,and, over the years, the Housing Authority has adopted a number of
amendments to reflect changes in federal regulations and policy adopted by the Housing
Authority. The last round of amendments were approved by the Board on July 19, 2006.
ANALYSIS:
Theproposed revisions are mostly minor corrections identified since the last revision, to reflect
the standard practices of the program implementation. The revisions to the Section 8 HCV
Administrative Plan are identified by strikeout and underline in Attachment B and reflected within
Attachment C.The more significant changes include:
has been expanded and brought up to date with current
practices.
A definiti
Preferences has been added as a priority.
A category has been added to the types of Local Preferences for voucher
issuance in order to enable further assistance.
Reasons for Denial of Admission have been updated and expanded in order to be
consistent with HUD regulations.
Steps have been added outlining how the EHA staff reaches out to encourage
participation by owners of units located outside areas of poverty or minority
concentration.
A section on Violence Against Women and Justice Department Reauthorization Act of
2005 (VAWA) has been added to be in compliance with HUD regulations.
A section on Debts Owed to the Encinitas Housing Authority has been added in order to
beconsistent with .
ENVIRONMENTAL CONSIDERATIONS:
The action before the EHA is to consider and approve amendments to the Section 8 HCV
Program Administrative Plan which is exempt from environmental review pursuant to Section
15060 (c) (2) and (c) (3) of the Guidelines of the California Environmental Quality Act (CEQA) in
that the activity will not result in a direct or reasonably foreseeable indirect physical change in
the environment; and the activity is not a project as defined in Section 15378 of the CEQA
Guidelines.
ATTACHMENTS:
Attachment A: Resolution No. 2016-01
Attachment B: Strikeout and Underline Version of the draft amendments to the Section 8
Housing Choice Voucher Program Administrative Plan
Attachment C: Clean Version of the Section 8 Housing Choice Voucher Program
Administrative Plan
Attachment D: Fact Sheet on the Section 8 Housing Choice Voucher Program
2016-03-09Item 22 of 149
Attachment A
Resolution No. 2016-01
2016-03-09Item 23 of 149
RESOLUTION NO. EHA2016-01
A RESOLUTION OF THE CITY OF ENCINITAS HOUSING AUTHORITY ADOPTING
AMENDMENTS TO THE SECTION 8 HOUSING CHOICE VOUCHER PROGRAM
ADMINISTRATIVE PLAN
WHEREAS, the Boardof Commissioners adopted anAdministrative Plan on June 22,
1994, in compliance with the Housing Authority Law of the State of California which incorporates
the applicable rules and regulations of the United States Department of Housing and Urban
Development promulgated pursuant to Section 8 of the United States Housing Act of 1937 as
amended, and;
WHEREAS, staff has prepared amendments to the Section 8 Housing Choice Voucher
Program Administrative Planto reflect changes in federal regulationsand to further clarify and
simplify the Administrative Plan, and;
WHEREAS, the Board of Commissioners has conducted a public hearing onMarch 9,
2016to consider these amendments, and;
WHEREAS, the Board of Commissioners has determined that it is in the best interest of
the Encinitas Housing Authority to adopt the amendments to said plan.
NOW, THEREFORE, BE IT RESOLVED by the Encinitas Housing Authority Board of
Commissioners as follows:
Section 1.The amendments to the Section 8 Housing Choice Voucher Program
Administrative Plan are hereby adopted and staff is authorized to implement said amendments
in accordance with its terms.
Section 2.This resolution shall take effect immediately.
Section 3.The action before the EHA is to consider and approve amendments to the
Section 8 HCV Program Administrative Plan which is exempt from environmental review
pursuant to Section 15060 (c) (2) and (c) (3) of theGuidelines of the California Environmental
Quality Act (CEQA) in that theactivity will not result in a direct or reasonably foreseeable
indirectphysical change in the environment; and the activity is not a project as defined in
Section 15378 of the CEQA Guidelines.
th
PASSED AND ADOPTED
this 9dayofMarch 2016, by the following vote, to wit:
AYES:
NOES:
ABSTAIN:
ABSENT:
________________________
Kristin Gaspar, Chairperson
ATTEST:
_________________________
Kathy Hollywood, Secretary
2016-03-09Item 24 of 149
Attachment B
Strikeout and Underline Version of the
Draft Amendments to the Section 8
Housing Choice Voucher Program Administrative Plan
2016-03-09Item 25 of 149
ATTACHMENTB
ATTACHMENTB
ADMINISTRATIVE PLAN
SECTION 8 HOUSING CHOICE VOUCHER ASSISTANCE PAYMENTS PROGRAM
HOUSING AUTHORITY OF THE CITY OF ENCINITAS, CA
"POLICY HANDBOOK"
Approved by Board of Commissioners: June 22, 1994
Amended by Board:November 16, 1994
Clarified for HUD: February 17, 1995
Amended by Board:November 15, 1995
Amended by Board:March 25, 1998
Amended by Board:April 28, 1999
Amended by Board:May 22, 2002
Amended by Board:March 26, 2003
Amended by Board:December 17, 2003
Amended by Board:August 25, 2004
Amended by Board: July 19, 2006
Amended by Board: March 9, 2016
2016-03-09Item 26 of 149
ATTACHMENTB
ATTACHMENTB
"POLICY HANDBOOK"
TABLE OF CONTENTS
TITLE PAGE
SECTION I. ADMINISTRATIVE POLICY 1
SECTION II. GENERAL INFORMATION. 2
A. Definition of Terms
1. Agreement for Mutual Recision of Lease. 2
2. Allowance for Utilities. 2
3. Annual Contributions Contract ("ACC") 2
4. Gross Annual Income. 2
5. Adjusted Gross Income 2
6. Applicant. 2
7. Child Care Expenses 2
8. Citizenship and Immigration Status 2
9. Contract. 3
10. Contract Rent 3
11. Continuously Assisted Person 3
12. Dependent. 3
13. Disabled Individual. 3
14. Displaced by Government Action 3
15. Elderly Individual. 43
16. Fair Market Rent. 4
17. Family. 4
18. Full-Time Student. 6
19. Gross Rent. 6
20. Hard to House Family. 6
21. Head of Household. 6
22. Homeless Family. 6
23. Homeless Individual. 6
24. Housing Assistance Payments Contract ("Contract") 6
25. Household. 6
26. HUD. 6
27. Lease. 6
28. Lower-Income Household. 6
29. Medical Expenses. 7
30. Mutual Recision. 7
31. Mutual Recision With Continued Eligibility 7
32. Mutual Recision Without Continued Eligibility 7
33. Net Household Assets. 7
34. Owner. 7
35. Participant. 7
36. Payment Standard. 7
37. Portability7
38. Remaining Member of a Tenant Household. 8
39. Resident. 8
ii
ii
2016-03-09Item 27 of 149
ATTACHMENTB
ATTACHMENTB
40. Subsidy Standards. 8
41. Suspension 8
42. Tenant Rent. 8
43. Total Tenant Payment. 8
44. Utility Allowance 8
45. Utility Reimbursement 9
46. Very Low-Income Household. 9
47. Violent Criminal Activity 9
48. Voucher Contract 9
49. Voucher. 9
50. Voucher Payment 9
51. Working. 9
SECTION III. CONDITIONS GOVERNING ELIGIBILITY 10
A. Eligibility for Participation. 10
B. Eligibility for Continued Participation. 10
SECTION IV.APPLICATIONS AND WAITING LISTS 11
A. Public Notice to Lower-Income Families 11
B. Receipt of Applications 11
C. Establishment of a Waiting List 11
D. Denial of Admission 11
DE. Removal from Waiting List. 13
E.F. Notice to Families Determined to be Ineligible 13
F.G. Notice to Families Determined to be Eligible 13
G.H. Merger and Cross Listing. 13
H.I. Cooperative Waiting List 13
SECTION V. SELECTION OF FAMILIES FOR ISSUANCE OF 15
VOUCHERSCERTIFICATES OF FAMILY PARTICIPATION.
A. Governing Conditions. 15
B. Order of Preference in the Selection of Families to be Issued a 15
Certificate/Voucher of Family Participation.
C. Time and Date Sequence of Applications. 15
SECTION VI. DETERMINATION OF INCOME FOR ELIGIBILITY 16
AND TOTAL TENANT PAYMENT.
A. Procedure for Determination of Income for Eligibility. 16
B. Annual Income Sources and Computation. 16
C. Total Tenant Payment. 19
SECTION VII. DETERMINATION OF ELIGIBILITY FOR 20
ISSUANCEOF VOUCHERSCERTIFICATES OF FAMILY PARTICIPATION.
A. Verification of Eligibility 2019
B. Procedure Governing Determination of Eligibility 20
iii
iii
2016-03-09Item 28 of 149
ATTACHMENTB
ATTACHMENTB
C. Verification and Documentation of Application Data 21
D. Summary of Verification Data 22
SECTION VIII.SUBSIDY STANDARDS FOR ISSUANCE OF 23
CERTIFICATES AND VOUCHERS OF FAMILY PARTICIPATION.
SECTION IX.ISSUANCE OF CERTIFICATE OR VOUCHER. 24
A. Procedure Governing Issuance of Certificate or Voucher of 24
family Participation.
B. Expiration and Extension of VoucherCertificate. 26
C. Suspension. 26
D. Progress Reports.
DE. Payment Standard. 26
SECTION X.HOLDERS OF VOUCHERSCERTIFICATES OF FAMILY 27
PARTICIPATION.
A. Finders Keepers Policy/Where the Household Can Live. 27
B. Assistance of Public Housing Authority 27
C. Household Moves. 27
D. Portability. 28
SECTION XI.LEASING OF DWELLING UNITS TO CERTIFICATE 30
AND VOUCHER HOLDERS.
A. Information to Owner. 30
B. Request to Encinitas Housing Authority(EHA) for Lease Approval303
C. Rent ReasonablenessApproval of Contract Rent. 314
D. Decent, Safe, and Sanitary Condition of Unit. 31
E. Security Deposits 31
F. Household Move Out. 32
G. Household Move out with Continued Tenant Based Assistance.32
H. Approval of Lease. 33
I. Amount of Rent Payable by The Household. 34
J. Notice to Owner and Household. 34
K. Owners Responsibilities and Breach of Contract. 3534
L. Business in Unit 35
SECTION XII. REEXAMINATION OF HOUSEHOLD ELIGIBILITY 36
ANDREDETERMINATION OF INCOME.
A. Periodic Reexamination of Household Status and Income.36
B. Special Reexaminations. 36
C. Interim Redetermination of Annual Income and Adjustment of36
Rent.
D. Reexamination Procedures. 38
E. Notice to Household and Owner Following Reexamination. 39
F. Termination of Payments Due to Household Ineligibility. 40
iv
iv
2016-03-09Item 29 of 149
ATTACHMENTB
ATTACHMENTB
G. Instances of Misrepresentation of Non-compliance by the 40
Household.
H. Annual Inspection of Unit. 41
I. Evictions/Termination of Tenancy. 41
J. Owner Term Notice 42
K. Absence From Unit. 43
L. Household Break Up 43
SECTION XIII. SPECIAL PROGRAMS 4447
A. Homeownership 4447
B. Project Based Vouchers 5359
SECTION XIV. TERMINATION OF ASSISTANCE 56
A. Termination Because of Household Action or Inaction. 56
B. Grounds for Denial or Termination of Assistance. 56
C. Encinitas Housing Authority(EHA) Discretion to Consider 57
Circumstances
D. Requirement to Sign Consent Forms. 57
E. Restriction on Assistance to Non-Citizens. 57
F. Violence Against Women Act (VAWA) 57
SECTION XV. HOUSEHOLD OBLIGATIONS. 58
SECTION XVI. DEBTS OWED TO ENCINITAS HOUSING AUTHORITY 59
A. Owner 59
B. Applicant 59
C. Participant 59
SECTION XVII. FAMILY SELF-SUFFICIENCY PROGRAM 60
v
v
2016-03-09Item 210 of 149
ATTACHMENTB
ATTACHMENTB
EXHIBITS
EXHIBIT TITLE
I Section 8 Housing Choice Voucher Program (HCV) Informal Review and
Hearing Procedures
II Section 8 Homeownership Family ObligationsII
Income Limits for Section 8 Housing
III Allowances for Tenant Purchased Utilities
IV Fair Market Rents (Section 8 Existing Certificates)
V Payment Standards (Section 8 Voucher Program)
vi
vi
2016-03-09Item 211 of 149
ATTACHMENTB
ATTACHMENTB
ADMINISTRATIVE PLAN
SECTION 8 HOUSING CHOICE VOUCHER ASSISTANCE PROGRAM
HOUSING AUTHORITY OF ENCINITAS, CALIFORNIA
SECTION I. ADMINISTRATIVE POLICY OF THE HOUSING AUTHORITY OF THE CITY OF
ENCINITAS (DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT PROGRAMS
(HUD).The Housing Authority Law of the State of California, Health and Safety Code Section
34327.5, provides that the federal agency from which the housing authority receives funds shall
have the exclusive power to determine the type, amount and manner of expenditure of those
funds so long as those determinations relate to the law or contract under which the funds are
received. This Administrative Plan is intended to comply with existing HUD regulations and
handbook provisions promulgated under Section 8of the United States Housing Act of 1937 as
amended. Any variation between this Administrative Plan and the rules and regulations of the
Department of Housing And Urban Development shall be resolved in favor of the determination
made by HUD. Changes in HUD rules regarding the type, amount and manner of expenditure
of any funds received from HUD shall be deemed incorporated into this Administrative Plan
automatically and staff changes to this Administrative Plan to incorporate such HUD rules shall
be deemed to have been authorized by the Housing Authority Board of Commissioners unless
expressly repudiated by said Board at its next regular meeting.
It is the intent of this provision to allow staff to comply with HUD rules in order to facilitate the
administration of these HUD programs for the best interests of the program recipients with the
least amount of administrative disruption and controversy.
Inaddition to the HUD regulations which this Administrative Plan embodies, the State Housing
Comment [KN1]:
Comment [KN1]:
Struckouttheoriginal
Struckouttheoriginal
wordingbecauseitrelatestoPublicHousing,of
Authority Law specifiescertain prohibited acts and certain duties which govern the activities of wordingbecauseitrelatestoPublicHousing,of
whichtheCityofEncinitashasnone.Consulted
whichtheCityofEncinitashasnone.Consulted
the this Housing Authority to the extent that the State Housing Authority Law is not preempted
withNanMcKayandAssociatesandtheyagreed
withNanMcKayandAssociatesandtheyagreed
by the HUD rules, the Board of Commissioners hereby acknowledges the mandate of the
withthestrikeout.Replacedwithmoreappropriate
withthestrikeout.Replacedwithmoreappropriate
wordingtoaddresscompliancewithstateand
Housing Authority Law and expressly incorporated Section 34331 "Prohibited Acts" and Section wordingtoaddresscompliancewithstateand
federallaw.Newwordingisconsistentwithother
federallaw.Newwordingisconsistentwithother
34332 "Duties of Authority" into this Administrative Plan as Exhibit VI.
localAdmin.Plans.
localAdmin.Plans.
Where there is no mandatory federal guidance, PHAs must comply with state law, if it exists.
Where state law is more restrictive than federal law, but does not conflict with it, the PHA
should follow the state law.Where no law or HUD authority exists on a particular subject,
industry practice may support Public Housing Authority (PHA) policy. An industry practice is a
way of doing things that is followed by most housing authorities.
A.Administrative Fee Reserves
Comment [KN2]:
Comment [KN2]:
Addedlaguageinordertobe
Addedlaguageinordertobe
consistentwithHUDsHCVProgramGuidebookas
consistentwithHUDsHCVProgramGuidebookas
towhichareasshouldbeaddressedinanAdmin.
towhichareasshouldbeaddressedinanAdmin.
The Encinitas Housing Authority (EHA) Board of Commissioners must approve expenditures of
Plan.WordingisconsistentwithotherlocalAdmin.
Plan.WordingisconsistentwithotherlocalAdmin.
the administrative fee reserve in excess of $100,000. Such expenditures must be used for
Plans.
Plans.
other housing purposes, as defined by HUD.
1
1
2016-03-09Item 212 of 149
ATTACHMENTB
ATTACHMENTB
SECTION II. GENERAL INFORMATION
A. Definition Of Terms.
1. Agreement for Mutual Recision of Lease.The legal document accomplishing the
mutual recision which is signed by both lessor and lessee and states the
effective date of the action.
2. Allowance for Utilities. An amount determined by the EHA (see Exhibit III) as an
allowance for the cost of utilities (except telephone) and other services paid
directly by the Household.Current utility allowances can be found on the City
Comment [KN3]:
Comment [KN3]:
Makereferencetomostupto
Makereferencetomostupto
datedataavailableonthewebsite.
website located at www.encinitasca.gov.datedataavailableonthewebsite.
3. Annual Contributions Contract ("ACC").A written agreement between HUD and
the EHA to provide annual contribution to the EHA to cover Housing Assistance
Payments (HAP) and other expenses pursuant to the Act.
4. Gross Annual Income.The anticipated total annual income of an eligible
household from all sources before deductions for the 12-month period following
the date of determination of income, computed in accordance with Section IVVI.
5. Adjusted Gross Income.The annual gross income less:
A. $480.00 for each dependent (see Section II.A.13), and $400.00 for any
Elderly Individual or Family
B. Medical expenses (see SectionII.A.2831) which exceed 3 percent of the
annual income, and for any Elderly/Disabled Individual or Family.
C. Child care expenses (see SectionII.A.8).
6. Applicant. Designates one who has submitted an application for Section 8 HCV
housing assistance. This application does not create an entitlement of any
individual to Section 8 HCV assistance.
7. Asset Income.Eligibility/annual income includes the higher of (1) annual income
from assets; or (2) if the net Household assets exceed $5,000, passbook rate set
by HUD.
8. Child Care Expenses.Amount anticipated to be paid by the Household for the
care of children under 13 years of age during the period of which annual income
is computed, but only where such care is necessary to enable a Household
member to be gainfully employed or to further his or her education. The amount
deducted shall reflect reasonable charges for child care, and, in the case of child
care necessary to permit employment, the amount deducted shall not exceed the
amount of income received from such employment.
9. Citizenship and Immigration Status.Citizen means a citizen or national of the
United States. Evidence of citizenship or eligible immigration status means the
2
2
2016-03-09Item 213 of 149
ATTACHMENTB
ATTACHMENTB
documents which must be submitted to evidence citizenship or eligible
immigration status.
10. Contract.See Housing Assistance Payment Contract.
11. Contract Rent.The rent payable to the owner under his contract including the
portion of the rent payable by the Household.
12. Continuously Assisted Person.An applicant is continuously assisted under the
1937 Housing Act if the Household is already receiving assistance under any
1937 Housing Act program when the Household is admitted to the certificate or
voucher program.
13. Dependent.A member of the household (excluding foster children) other than
the Family head or spouse, who is under 18 years of age or is an individual with
disabilities disabled person or handicapped person, or is a full-time student.
14. Disabled Individual.The EHA defines anAn individual with disabilities in
accordance with the Americans with Disabilities Act as amended pursuant to 28
Comment [KN4]:
Comment [KN4]:
Updateddefinitionof
Updateddefinitionof
disabledindividualtobeconsistentwithADAs
1 disabledindividualtobeconsistentwithADAs
CFR Part 35 §35.104.who (1) is under a disability as defined in Section 223of
definition.Alsoreplacedthewordhandicapwith
definition.Alsoreplacedthewordhandicapwith
the Social Security Act or in Section 102(5) of the Developmental Disabilities
disabilitythroughoutthePlan.
disabilitythroughoutthePlan.
2
Services and Facilities Construction Amendments of 1970; or (2) is handi-
3
cappedwith the meaning of Section 202 of the Housing Act of 1959.
15. Displaced by Government Action.An applicant is or will be involuntarily
displaced if the applicant has vacated or will have to vacate his or her housing
unit as a result of:
Activity carried on by an agency or U.S. or by any state or local
governmental body or agency in connection with code enforcement or a
public improvement or development program.
1
1
Thetermistheredefinedas"inabilitytoengageinanysubstantialgainfulemploymentbyreasonofanymedically
Thetermistheredefinedas"inabilitytoengageinanysubstantialgainfulemploymentbyreasonofanymedically
determinablephysicalormentalimpairmentwhichcanbeexpectedtoresultindeathorwhichhaslastedorcanbe
determinablephysicalormentalimpairmentwhichcanbeexpectedtoresultindeathorwhichhaslastedorcanbe
expectedtolastforacontinuousperiodofnotlessthan12months";or"inthecaseofanindividualwhohasattained
expectedtolastforacontinuousperiodofnotlessthan12months";or"inthecaseofanindividualwhohasattained
theageof55andisblind,andbyreasonofsuchblindnessisunabletoengageinsubstantialgainfulactivity
theageof55andisblind,andbyreasonofsuchblindnessisunabletoengageinsubstantialgainfulactivity
requiringskillsorabilitiescomparabletothoseofanygainfulactivityinwhichhehaspreviouslyengagedwithsome
requiringskillsorabilitiescomparabletothoseofanygainfulactivityinwhichhehaspreviouslyengagedwithsome
regularityandoverasubstantialperiodoftime."
regularityandoverasubstantialperiodoftime."
2
2
Theamendmentsdefinetheterm"developmentaldisability"tomeansadisabilityattributabletomentalretardation,
Theamendmentsdefinetheterm"developmentaldisability"tomeansadisabilityattributabletomentalretardation,
cerebralpalsy,epilepsyoranotherneurologicalconditioncloselyrelatedtomentalretardationorwhichrequires
cerebralpalsy,epilepsyoranotherneurologicalconditioncloselyrelatedtomentalretardationorwhichrequires
treatmentsimilartothatrequiredformentallyretardedindividuals,whichdisabilityoriginatesbeforesuchindividual
treatmentsimilartothatrequiredformentallyretardedindividuals,whichdisabilityoriginatesbeforesuchindividual
attainsage18,whichhascontinuedorcanbeexpectedtocontinueindefinitely,andwhichconstitutesasubstantial
attainsage18,whichhascontinuedorcanbeexpectedtocontinueindefinitely,andwhichconstitutesasubstantial
[disability]handicaptosuchindividual.
[disability]handicaptosuchindividual.
3
3
Apersonshallbeconsideredanindividualwithdisabilitiesashandicappedifsuchpersonisdeterminedtohavea
Apersonshallbeconsideredanindividualwithdisabilitiesashandicappedifsuchpersonisdeterminedtohavea
physicalimpairmentwhich(a)isexpectedtobelongcontinuedandindefiniteduration,(b)substantiallyimpedeshis
physicalimpairmentwhich(a)isexpectedtobelongcontinuedandindefiniteduration,(b)substantiallyimpedeshis
abilitytoliveindependently,and(c)isofsuchnaturethatsuchabilitycouldbeimprovedbymoresuitablehousing.
abilitytoliveindependently,and(c)isofsuchnaturethatsuchabilitycouldbeimprovedbymoresuitablehousing.
3
3
2016-03-09Item 214 of 149
ATTACHMENTB
ATTACHMENTB
16. Elderly Individual.An individual who has attained age 62.
17.Extremely Low Income Household.A Household whose annual income does not
Comment [KN5]:
Comment [KN5]:
Definitionwasaddeddueto
Definitionwasaddeddueto
referencetoExtremelyLowIncomeinotherareas
exceed 30 percent of the median income for the area, as determined by HUD, referencetoExtremelyLowIncomeinotherareas
ofthisAdmin.Plan.Definitionisconsistentwith
ofthisAdmin.Plan.Definitionisconsistentwith
with adjustments for smaller or larger Households.
HUDSHCVProgramGuidebook.
HUDSHCVProgramGuidebook.
18.Fair Market Rent.The rent, including utilities (except telephone, cable), ranges
and refrigerators, and all maintenance, management and other services, which
as determined at least annually by HUD, would be required to be paid in order to
obtain privately owned, existing, decent, safe, and sanitary rental housing of
modest (non-luxury) nature with suitable amenities. Separate fair market rents
(FMR) shall be established for dwelling units of varying sizes (number of
bedrooms).
198.Family.Thetermfamilyincludes,butisnotlimitedtothefollowing,regardless
Family.Thetermfamilyincludes,butisnotlimitedtothefollowing,regardless
Comment [KN6]:
Comment [KN6]:
ThedefinitionofFamilyhas
ThedefinitionofFamilyhas
beenexpandedandbroughtuptodatewithcurrent
ofactualorperceivedsexualorientation,genderidentity,ormaritalstatus:beenexpandedandbroughtuptodatewithcurrent
ofactualorperceivedsexualorientation,genderidentity,ormaritalstatus:
practices.Definitionisconsistemtwithotherlocal
practices.Definitionisconsistemtwithotherlocal
Admin.Plans.
Admin.Plans.
1.Afamilymaybeasinglepersonortwoormorepersonswhoshare
1.Afamilymaybeasinglepersonortwoormorepersonswhoshare
residencyandwhosecombinedincomeandresourcesareusedtodetermine
residencyandwhosecombinedincomeandresourcesareusedtodetermine
financialeligibility.
financialeligibility.
2.Afamilyincludesahouseholdwithorwithoutachildorchildren.
2.Afamilyincludesahouseholdwithorwithoutachildorchildren.
3.Afamilymaybeagroupofpersonsconsistingoftwoormoreelderly
3.Afamilymaybeagroupofpersonsconsistingoftwoormoreelderly
personsordisabledpersonslivingtogether,oroneormoreelderlyor
personsordisabledpersonslivingtogether,oroneormoreelderlyor
disabledpersonslivingwithoneormorelive-inaides.
disabledpersonslivingwithoneormorelive-inaides.
4.Afamilymaybeasingleperson.
4.Afamilymaybeasingleperson.
5.Asinglepersonmaybe:
5.Asinglepersonmaybe:
a.anelderlyperson;
a.anelderlyperson;
b.adisplacedperson;
b.adisplacedperson;
c.adisabledperson;or
c.adisabledperson;or
d.anyothersingleperson,suchastheremainingmemberofanassisted
d.anyothersingleperson,suchastheremainingmemberofanassisted
family.
family.
Family.Family means a group of two or more persons related by blood, marriage or
operation of law (for example, adoption or common law), who will live regularly
together in the same dwelling unit and whose head of Family is at least 18 years
of age. A couple living together with shared resources shall be considered a
family. Proof of combined financial resources will be required.There may also be
considered as part of the Family other persons who will live regularly as part of
the Family group (including members of the Family temporarily absent whose
income and resources are available for use in meeting the living expenses of the
group, and including foster children, payment for whom is not considered Family
income. Lodgers or room mates (except foster children or person required to
care for a sick or incapacitated member of the Family) may not be included in the
Family.
6.A.Elderly Family. A Family as defined above with a head of household
who has attained age 62.
7.B.Disabled Family. A Family as defined above with a head of
Comment [KN7]:
Comment [KN7]:
Updateddefinitionof
Updateddefinitionof
household that is a disabled individual. (see Section II.A.14)(1) is under a
disabledindividualtobeconsistentwithADAs
disabledindividualtobeconsistentwithADAs
definition.Alsoreplacedthewordhandicapwith
definition.Alsoreplacedthewordhandicapwith
disabilitythroughoutthePlan.
disabilitythroughoutthePlan.
4
4
2016-03-09Item 215 of 149
ATTACHMENTB
ATTACHMENTB
4
disability as defined in Section 223of the Social Security Act or in Section
102(5) of the Developmental Disabilities Services and Facilities Construction
5
Amendments of 1970; or (2) is handicappedwith the meaning of Section
6
202 of the Housing Act of 1959.It may include two or more elderlyor,
disabled or handicapped persons living together or one or more such
persons living with any other person who is determined to be essential to
their care or well-being.
8.C.The definition of "Family" does not exclude a person living alone during
7
the temporaryabsence of a Family member who will later live regularly as a
part of the Family.
9. D. A person necessarily residing with a Family by reason of employment by
or for such a Family (1) to permit the employment of a sole wage earner, or
(2) for the health and welfare of a sick or incapacitated member of the
Family, shall be considered as a member of the Family for the purpose of
determining Family income or established rent, providing that (1) such
person maintains no other home; (2) his or her income is available to the
Family; and (3) if the person is expected to contribute towards the Family's
support. In such cases, only that part of the income which is over and above
wages paid by the Family shall be included. Conversely, if the person is not
expected to and does not, therefore, contribute to the Family's support, his or
her income should not be counted. However, the head of the household
must then submit a doctor's certificate or such other certificate as may be
deemed necessary stating that his employment is necessary to the care and
well-being of the sick or incapacitated Family member, or to enable another
Family member to seek or obtain employment outside the home. If the
Family pays out-of-pocket for the care provided, such payments may be
deducted as unusual medical expenses (see Section II.A.2531). Under no
circumstances will such an arrangement be continued longer than necessary
4
4
Thetermistheredefinedas"inabilitytoengageinanysubstantialgainfulemploymentbyreasonofanymedically
Thetermistheredefinedas"inabilitytoengageinanysubstantialgainfulemploymentbyreasonofanymedically
determinablephysicalormentalimpairmentwhichcanbeexpectedtoresultindeathorwhichhaslastedorcanbe
determinablephysicalormentalimpairmentwhichcanbeexpectedtoresultindeathorwhichhaslastedorcanbe
expectedtolastforacontinuousperiodofnotlessthan12months";or"inthecaseofanindividualwhohasattained
expectedtolastforacontinuousperiodofnotlessthan12months";or"inthecaseofanindividualwhohasattained
theageof55andisblind,andbyreasonofsuchblindnessisunabletoengageinsubstantialgainfulactivity
theageof55andisblind,andbyreasonofsuchblindnessisunabletoengageinsubstantialgainfulactivity
requiringskillsorabilitiescomparabletothoseofanygainfulactivityinwhichhehaspreviouslyengagedwithsome
requiringskillsorabilitiescomparabletothoseofanygainfulactivityinwhichhehaspreviouslyengagedwithsome
regularityandoverasubstantialperiodoftime."
regularityandoverasubstantialperiodoftime."
5
5
Theamendmentsdefinetheterm"developmentaldisability"tomeansadisabilityattributabletomentalretardation,
Theamendmentsdefinetheterm"developmentaldisability"tomeansadisabilityattributabletomentalretardation,
cerebralpalsy,epilepsyoranotherneurologicalconditioncloselyrelatedtomentalretardationorwhichrequires
cerebralpalsy,epilepsyoranotherneurologicalconditioncloselyrelatedtomentalretardationorwhichrequires
treatmentsimilartothatrequiredformentallyretardedindividuals,whichdisabilityoriginatesbeforesuchindividual
treatmentsimilartothatrequiredformentallyretardedindividuals,whichdisabilityoriginatesbeforesuchindividual
attainsage18,whichhascontinuedorcanbeexpectedtocontinueindefinitely,andwhichconstitutesasubstantial
attainsage18,whichhascontinuedorcanbeexpectedtocontinueindefinitely,andwhichconstitutesasubstantial
disabilityhandicaptosuchindividual.
disabilityhandicaptosuchindividual.
6
6
Apersonshallbeconsideredasanindividualwithdisabilitieshandicappedifsuchpersonisdeterminedtohavea
Apersonshallbeconsideredasanindividualwithdisabilitieshandicappedifsuchpersonisdeterminedtohavea
physicalimpairmentwhich(a)isexpectedtobelongcontinuedandindefiniteduration,(b)substantiallyimpedeshis
physicalimpairmentwhich(a)isexpectedtobelongcontinuedandindefiniteduration,(b)substantiallyimpedeshis
abilitytoliveindependently,and(c)isofsuchnaturethatsuchabilitycouldbeimprovedbymoresuitablehousing.
abilitytoliveindependently,and(c)isofsuchnaturethatsuchabilitycouldbeimprovedbymoresuitablehousing.
7
7
Theterm,temporarilyortemporaryasusedinthissection,isdefinedasaperiodof6monthsorless.
Theterm,temporarilyortemporaryasusedinthissection,isdefinedasaperiodof6monthsorless.
5
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2016-03-09Item 216 of 149
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or permitted only for the convenience of the tenant or such employee. This
provision is applicable both for initial occupancy and continued participation
and is not restricted to Elderly Families.
2019. Full-Time Student.A person who is carrying a subject load that is considered full
time for day students under the standards and practices of the educational
institution attended. An educational institution includes a vocational school with
a diploma or certificate program, as well as an institution offering a college
degree.
210. Gross Rent. The total monthly cost of housing an eligible Household, which is
the same of the contract rent and any utility allowance for the assisted unit. In
the case of rental of only a manufactured home space, gross rent also includes
the Household's monthly payment to amortize the purchase price of the
manufactured home.
221. Hard to House Family. Families who experience difficulty renting appropriate
housing.
232. Head of Household.The "head of a Household" is that member actually looked
to and held accountable for the Household's needs.
243. Homeless Family. A family which is without housing, or residents of a recognized
homeless shelter or transitional housing facility, through no fault of their own.
254. Homeless Individual. An individual who is without housing, or resident of a
recognized homeless shelter or transitional housing facility, through no fault of
their own.
265. Housing Assistance Payments Contract ("Contract").A written contract between
EHA and an owner on behalf of an eligible Household.
276. Household. Refers to the person/s that reside within a residential unit. The
287. HUD.The United States Department of Housing and Urban Development or its
designee.
298. Lease.A written agreement between an owner and an eligible Household for the
leasing of an existing housing unit in accordance with the contract, which
agreement is in compliance with the provisions of this part.
3029. Lower-Income Household.A Household whose annual income is between 50%
and 80% of the median income for the area, as determined by HUD with
adjustments for smaller and larger households. HUD may establish income
limits higher or lower than 80% of the median income for the area on the basis of
its finding that such variations are necessary because of the prevailing levels of
construction costs or unusually high or low household incomes.
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310. Medical Expenses. Those medical expenses for Elderly/Disabled households
which are to be anticipated during the 12-month period for which the annual
income is computed, and which are not covered by insurance; however,
premiums for such insurance may be included as medical expenses.
321. Mutual Recision.When the lessor and lessee agree to completely rescind and
release each other from further responsibility in accordance with any executed
lease.
332. Mutual Recision With Continued Eligibility.A mutual recision where the lessee is
reissued their Voucher for the use on another approval unit.
343. Mutual Recision Without Continued Eligibility.A mutual recision where the
lessee is not reissued their Voucher for use on another approved unit.
354.Net Household Assets.Value of equity in real property, savings, checking, IRA
Comment [KN8]:
Comment [KN8]:
Updateddefinitionin
Updateddefinitionin
accordancewithHUD.
and Keogh accounts, real property, stocks, bonds and other forms of capital accordancewithHUD.
investment. , excluding interests in Indian trust land. 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 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 813.106.
In determining net Household assets, EHA and owners shall include the value of
any assets disposed of by an applicant or tenant for less than fair market value
(including a disposition in trust, but not in a foreclosure or bankruptcy sale)
during the two years preceding the date of application for the program or
reexamination, as applicable, in excess of the consideration received therefore.
In the case of a disposition as part of a separation or divorce settlement, the
disposition will not be considered to be for less than fair market value if the
applicant or tenant receives important consideration not measurable in dollar
terms.
365. Owner.Any person or entity, such as a cooperative or HUD, having the legal
right to lease or sublease existing housing.
376. Participant.A Household becomes a participant when the EHA executes a
contract with an owner for housing assistance payments on behalf of the
Household.
387. Payment Standard.The amount of the monthly maximum subsidy payment on
behalf of an eligible Household based on unit size. The payment standard for the
Comment [KN9]:
Comment [KN9]:
Thiswordingreflectsthe
Thiswordingreflectsthe
simpledefinitionofwhatapaymentstandardis.
EHA is established at 100% of Fair Market Rent. simpledefinitionofwhatapaymentstandardis.
Furhterdetailonhowitisdeterminedisdescribedin
Furhterdetailonhowitisdeterminedisdescribedin
SectionIX.DunderIssuanceofVoucher.
SectionIX.DunderIssuanceofVoucher.
398. Portability.Renting a dwelling unit with Section 8 HCV tenant based assistance
outside the jurisdiction of the initial housing authority.
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4039. Remaining Member of a Tenant Household.A Person left in anassisted unit
who may or may not normally qualify for assistance on their own circumstances
(for example, a widow, age 47, that is neither disabled nor elderly).
410.Resident.For the purpose of determining eligibility and applying preference, a
.
resident Household is one who is currently living in the City of Encinitas, or
whose head of household or spouse is employed in the City of Encinitas or who
has accepted employment in the City of Encinitas which will become effective
within 14 days from the date of application. For homeless persons to meet
residency test, applicant must prove that they normally stay within the City of
Encinitas. Examples of acceptable documentation include: letter from a social
services agency verifying that the applicant is homeless in Encinitas, or
421. Subsidy Standards.Standards to determine the appropriate number of
bedrooms and amount of subsidy for families of different sizes and compositions.
432. Suspension. Stop of the clock on the term of a certificate or voucher for the
period of time necessary for the EHA to approve/disapprove a request for lease
approval.
443. Tenant Rent.(Formerly called Net Family Contribution). The amount payable
monthly by the Household as rent to the owner minus any utilities. Where all
utilities (except telephone) and other essential housing services are supplied by
the owner, tenant rent equals Total Tenant Payment. Where some or all utilities
(except telephone) and other essential housing services are not supplied by the
owner and the cost thereof is not included in the amount as rent to the owner,
tenant rent equals Total Tenant Payment less the utility allowance.
In the case of a Household renting only a manufactured home space, tenant rent
equals the space rental minus the housing assistance payment, as defined in the
applicable Section 8 HCV program regulation.
454. Total Tenant Payment.(Formerly called Gross Family Contribution). The
portion of rent the Household is obligated to pay toward the contract rent. This
amount will be reduced by any allowance for tenant paid utilities and services.
465. 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 Household occupying the unit, an amount equal to the
estimate made or approved by aEHA or HUD under applicable sections of the
regulations (see 24 CFRC.F.R. §§ 880, 881, 882, 883, 884 an 886) of the
monthly costs of a reasonable consumption of such utilities and other services
for the unit by an energy-conservative household of modest circumstances
consistent with the requirements of a safe, sanitary and healthful living
environment.
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476. Utility Reimbursement.In the vouchercertificate program, the amount, if any, by
which the utility allowance for the unit, if applicable, exceeds the Total Tenant
Payment for the Household occupying the unit.
487. Very Low-Income Household.A lower income Household whose annual income
does not exceed 50 percent of the median income for the area, as determined by
HUD, with adjustments for smaller and larger Households. HUD may establish
income limits higher or lower than 50 percent of the median income for the area
on the basis of its finding that such variations are necessary because of unusu-
ally high or low Household incomes.
49.Veteran. Forthepurposeofdeterminingeligibilityandapplyingpreference,a
Forthepurposeofdeterminingeligibilityandapplyingpreference,a
Comment [KN10]:
Comment [KN10]:
DefinitionofVeteranwas
DefinitionofVeteranwas
neededbecauseanewlocalprefenceforveterans
Veteranisaheadofhouseholdorspousewhohasdischargedfrommilitary neededbecauseanewlocalprefenceforveterans
Veteranisaheadofhouseholdorspousewhohasdischargedfrommilitary
wasaddedeasapriority.Thiswordingisconsistent
wasaddedeasapriority.Thiswordingisconsistent
serviceunderhonorableorgeneralconditions(withtheexceptionof
serviceunderhonorableorgeneralconditions(withtheexceptionof
withotherlocalAdmin.Plans.
withotherlocalAdmin.Plans.
dishonorable),oraspouseofadeceasedveteran.
dishonorable),oraspouseofadeceasedveteran.
5048. 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
another person or property of another.
5149. Voucher Contract.A written contract between the EHA and owner whereby the
EHA makes voucher payments to the owner on behalf of an eligible Household.
5250. Voucher.A document issued by the EHA declaring a Household to be eligible
for participation in the Voucher Program and stating certain terms and conditions
of participation.
5351. Voucher Payment.Housing assistance payments made to owners on behalf of
eligible households.Families (voucher holders).
5452. Working. To be eligible for the working priority, a head of household must be
engaged in gainful employment averaging a minimum of fifteen (15) hours per
week or seven hundred eighty (780) hours per year. Documentation will be
required to receive credit for this priority.
9
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SECTION III. CONDITIONS GOVERNING ELIGIBILITY
A. Eligibility for Participation.To be eligible for participateion in the Section 8 HCV Housing
Assistance Paymen t Pprogram (HAP) administered by the Encinitas Housing Authority
(EHA) only those applicants are eligible:
1. Whose Eligibility Income (see Section VI), does not exceed the applicable
income limit for participation as established by HUD (see Exhibit II).Current
Comment [KN11]:
Comment [KN11]:
Makereferencetomostupto
Makereferencetomostupto
datedataavailableonthewebsite.
income limits can be found on the City website located at www.encinitasca.gov.
datedataavailableonthewebsite.
Except with the prior approval of HUD, no Lower-Income Household other than
a Very Low-Income Household shall be approved for admission.
The applicable income limit for voucher/certificate issuance is the income limit
for the EHA Housing Authority of the City of Encinitas jurisdiction. The
applicable income limit for admission (initial lease up) is the income limit for the
location where the Household actually leases the unit.
2. Who do not have an outstanding validated claim for rent and/or damages owed
to a Public Housing Authority (PHA) or Owner relative to previous participation
in a housing program administered by a PHA.
B. Eligibility for Continued Participation.To be eligible for continued participation in the
Section 8 HCV program HAP administered by theis EHA, only those occupants are
eligible:
1. Who qualify as the remaining member of an assisted Household:
a. In the event a participant Household separates, the VoucherCertificate for
continued participation shall stay with the members of the household who
continue to meet an EHA priorit
residence. An additional voucher can not be expected to be issued to
accomodate a separated Household.
2. Whose monthly Total Tenant Payment (see Section II.A.45) is less than the
gross rent as paid to the owner for the unit occupied.
3. Who follow the requirements of the program (see Section VIIIXV).
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2016-03-09Item 221 of 149
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SECTION IV. APPLICATIONS AND WAITING LISTS
A. Public Notice to Lower-Income Families.
1.Upon opening the wait list, tThis EHA shall make known to the public through
publication in a newspaper of general circulation, as well as through minority
media and other suitable means, the initial availability and nature of housing
assistance for Very-Low Income Families. (See Equal Housing Opportunity Plan)
B. Receipt of Applications.
1. Applications which are in compliance with the EHA advertisement are to be
accepted from all households apparently eligible for the issuance of a Voucher.
This rule is to hold unless the number of applicants with the maximum
preference points on the waiting list for VouchersCertificates is such that there is
no reasonable prospect that additional applicants could be issued
VouchersCertificates within a time deemed reasonable by staff. In such case,
application taking will be temporarily suspended. The suspension of application
taking will be publicly announced by publication of a notice in the media as
specified in Paragraph A above. The announcement will be utilized prior to the
resumption of application taking.
2. Each application shall reflect the date and time received, and shall be processed
as set forth in Section III.
3. The EHA must maintain records of applicants and participants which provide
HUD with data on race, gender and ethnicity.
C. Establishment of a Waiting List. The EHA shall maintain a waiting list of potentially
eligible applicant Households.
1.Aseparate waiting list will be established for both tenant-based and project-
Comment [KN12]:
Comment [KN12]:
Currentlythereisonlyone
Currentlythereisonlyone
waitinglist.
based rental assistance. Applicants can apply for either one or both waiting lists. waitinglist.
Each apparentlypotentiallyeligible applicant Householdshall be placed on the
waitinglist and the file (or appropriate type of control records) maintained in a
manner so as to assure compliance with the policies of selection set forth in
Section V. Submission of an application does not create an entitlement of any
individual to Section 8 HCV HousingAassistance.
D.Denial of Admission.2.The EHA may refuse to issue a Voucher to an applicant or
Comment [KN13]:
Comment [KN13]:
Thissectionwasexpandedto
Thissectionwasexpandedto
beconsistentwithHUDregualtionsaswellasother
participant if:
beconsistentwithHUDregualtionsaswellasother
localAdmin.Plans.
localAdmin.Plans.
1. (a). The applicant or any member of his/her household has a documented
history of destruction and abuse of property.
2. (b). The applicant or any member of his/her household has a history of
criminal activity involving crimes of physical violence to persons or property.
3. (c). The applicant or any member of his/her household has engaged in drug-
related criminal activity or violent criminal activity as defined in 24 CFRC.F.R.
11
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2016-03-09Item 222 of 149
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§882.118(b)(4)982.553, or which could discredit the Housing Assistance
Payments (HAP) Program.
4. The EHA has reasonable cause to believe that illegal drug use or a pattern of
illegal drug use by a household member may threaten the health, safety, or
right to peaceful enjoyment of the premises by other residents.
5. The EHA has reasonable cause to believe that abuse or a pattern of abuse
of alcohol by a household member may threaten the health, safety, or right to
peaceful enjoyment of the premises by other residents.
6. Any household member has ever been convicted of drug-related criminal
activity for the manufacturing or production of methamphetamine on the
premises of federally assisted housing.
7. A member of the family engaged in illegal drug-related activity during the
past five years that involved: sales, transportation, manufacturing or
posession for sale.
8. A member of the family engaged in violent criminal activity during the past
five years. Violent criminal activity is 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 likely to cause, serious bodily injury or
property damage.
9. (d). The applicant or any member of his/her household currently owes rent or
other amounts to the EHA or to another PHA in connection with Section 8
HCV, Public Housing Assistance under the 1937 Housing Act or any other
program administered by the EHAncinitas Housing Authority.
10. (e). As a previous participant in the Section 8 HCV program, or as participant
in any EHA program, has not reimbursed the EHA or another PHA for any
amounts paid to an owner under a housing assistance contract for rent or
other amounts owed by the Household under its lease, or for a vacated unit.
11. (f). Has violated any HouseholdFamilyOobligations as a participant in any of
the EHA's assisted housing programs.
12. (g). Breaches or has breached a repayment agreement with the EHA.
13. (h). Any family member hHas committed any fraud in connection with any
federal housing assistance program. participation in the family self
sufficiency program.
14. If any member of the household is subject to a lifetime registration
requirement under a State Sex Offender Registration program.
15. If the household has engaged in or threatened abusive or violent behavior
towards EHA personnel.
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2016-03-09Item 223 of 149
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E.D.Removal from Waiting List.
The EHA may remove an applicant from the waiting list for a failure to respond to
requests for information or updates or refusal of assistance under the both Certificate
andVoucher programs. The EHA updates the waiting list periodically, purging those
applicants who do not respond or are no longer interested.
F.E.Notice to Families Determined to be Ineligible
If an applicant is determined to be ineligible on the basis of income, Household
composition or for any other reason, the applicant shall be notified promptly by letter of
the determination and their reasons therefore. The applicant shall be informed in the
letter of their right to an informal review, if requested within 10 days from the date of the
letter, to make written or oral objections to the EHA determination. This review will be
Comment [KN14]:
Comment [KN14]:
Addedforclarification;itis
Addedforclarification;itis
alsostatedinExhibitIInformalReviewand
conducted by someone other than the person who made the initial determination. If, alsostatedinExhibitIInformalReviewand
HearingProcess.
HearingProcess.
after the review, the applicant is still determined to be ineligible, the applicant shall be
notified in writing, including a brief statement of the reasons for the final decision. The
EHA shall retain for three years a copy of the application, notice to the applicant, and
the applicant's responses.
G.F.Notice to Families Determined to be Eligible
When a Voucher is available, the next Household on the waiting list shall be notified in
writing, advising its members to contact the Housing Authority office of said availability,
and giving them no less than seven (7) calendar days to schedule an appointment to
complete an application, provide required verifications and attend a briefing on the
Section 8 HCV program and issuance of a Voucher. In the event the Household
members fail to respond within the prescribed time or fail to keep their appointment for
the completion of an application, fail to provide required verification within the time
prescribed or fails to attend the briefing session, the application shall be canceled, and
the reason for cancellation noted on the face of the application, including the date of
cancellation, and the initials of the EHA staff person canceling the application. In the
event the Household fails to keep any of its scheduled appointments with good cause, at
the discretion of the Section 8 HCV Assisted ProgramsSupervisor, the Household
members may be given the option to schedule a 2nd appointment as long as it occurs
given prior to the next issuance of VouchersCertificates.
H.G. Merger and Cross Listing.
The Housing Authority will merge the EHA tenant-based waiting list with other assisted
housing programs including federal or local programs. HUD program requirements still
apply to each separate housing program.
I.H.Cooperative Waiting List.
The Encinitas Housing Authority, the Housing Authority of the County of San Diego, the
City of San Diego Housing Commission, the cities of Oceanside and Carlsbad, agree to
maintain a cooperative waiting list for those applicants who live in the jurisdiction of the
other housing agency.
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2016-03-09Item 224 of 149
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Each housing agency will exchange waiting list applications (preserving the original time
and date of application for applicants residing in the jurisdiction of the other agency)
provided that the Housing agency had an open waiting list during that time period, or
provide the earliest date available to the applicant.
Upon receipt of this data, each housing agency will place such applicants into their
current waiting list using the orginal time and date of application.
14
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2016-03-09Item 225 of 149
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SECTION V. SELECTION OF FAMILIES FOR ISSUANCE OF VOUCHERSCERTIFICATES
OF FAMILY PARTICIPATION.
A. Governing Conditions.Among eligible applicants, selection for the issuance of
VouchersCertificates of Family Participation shall be made without regard to race, color,
creed, religion, sex, disability,handicap,familial status, or national or ethnic origin; and
Comment [KN15]:
Comment [KN15]:
Languageupdatedtobe
Languageupdatedtobe
on the basis of the priorities as set forth in Section V.B and V.Paragraphs B and C.consistentwithFairHousingcategories.
consistentwithFairHousingcategories.
B. Order of Preference in the Selection of Families to be Issued a Certificate/Voucher of
Family Participation.(seeSection IIA.13).Each of the preferences shall carry carries a
point value, and all applications shall will be ranked by the highest number of points
being given highest priority in the waiting list.
1. Types of Preferences.
(a). Local Preference: resident of or employed in the City of Encinitas. (50
points) (Section II.A.3941 andA.54)
(b). Priorities:applicantswith any one or combination of the
priorities listed below.(50 points)
Elderly individual or family,
Disabled individual or family,
Families with dependent children/adults where a head of
household works and/or attends school/a training program,
Homeless individual or family,or
Involuntarily displaced individual or family due to Government
action, or.
Veteran.(Section II.A.49)
Comment [KN16]:
Comment [KN16]:
Localpreferencefor
Localpreferencefor
Veteranswasaddedinordertoenablefurther
Veteranswasaddedinordertoenablefurther
assistance.Wordingisconsistentwithotherlocal
assistance.Wordingisconsistentwithotherlocal
(c). Date/Time: date/time of applicationshall be utilized to (sorts applicants
Admin.Plans.
Admin.Plans.
within the same point category,)
(d) In order to meet HUD income targeting requirements, the EHA may
select persons off the waiting list who are at or below the extremely low
income level.
2. Section 8 HCV applicants receiving tenant based HOME subsidies retain the
date of original application for the Section 8 HCV waiting List.
C. Time and Date Sequence of Applications.In the event that two or more eligible
applicant Families requiring the same unit size have identical preference or priority
status, the date and time sequence of applications shall govern selection with the
applicant who filed the earliest application shall be issued a Voucher first (subject to the
provisions contained in Section V.Paragraphs AB.1 and AB.2).
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2016-03-09Item 226 of 149
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SECTION VI. DETERMINATION OF INCOME FOR ELIGIBILITY AND TOTAL TENANT
PAYMENT.This section sets forth the policies and procedures for determining Income for
Eligibility, and the Total Tenant Payment (Rent) for Eligible HouseholdsFamilies. These policies
and procedures shall be applicable in making such determinations for purposes of initial
occupancy as well as in connection with periodic or interim re-examinations of Household
income, composition and the extent of medical or child care expenses.
A. Procedure for Determination of Income for Eligibility.For purposes of determining if a
Household is a Very Low-Income Household, its income shall be determined in
accordance with Section VI.B.1 and B.2the following paragraphs B1 and B2, except that
where a Household has net Household assets in excess of $5,000, its income shall
include the actual amount of income, if any, derived from all the net Household assets or
the current passbook rate as established by the U.S. Department of HUD of the value of
such assets, whichever is greater. For purposes of this determination, Net Household
Asset means value of equity in real property, savings, stocks, bonds, and other forms of
capital investment. The value of necessary items such as furniture and automobiles
shall be excluded.
B. Annual Income Sources and Computation.Annual income shall include all payments
from all sources received or anticipated to be received during the twelve months
8
following initial occupancy or re-determination of Household income by (1) the head of
the household and spouse, and (2) each additional member residing in the household
who is at least eighteen years of age. Annual income shall include that of the head of
the household or spouse temporarily absent which, in the determination of the EHA is
(or shall be) available to meet the Household's needs. Excluded in the computation of
annual income shall be (1) temporary, non-recurring or sporadic income.
1. Income Sources shall include, but not be limited to:
(a). The gross amount, before any payroll deductions, of wages and salaries,
overtime pay, commissions, fees, tips and bonuses, and other
compensation for personal service.
(b). The net income from operation of a business or profession or from rental
of real or personal property (for this purpose, expenditures for business
expansion or amortization of capital indebtedness and an allowance for
depreciation of capital assets shall not be deducted to determine the net
income from a business).
(c). Interests, dividends, and net income of any kind from real or personal
property. When the applicant's total assets exceed $5,000, the EHA shall
will calculate the dollar amount included in the Household's annual
income which is specifically derived from assets. In addition, if assets are
greater than $5,000, annual income shall include the greater of the actual
8
8
Inmakingtheestimate,dueconsiderationshouldbegiventopastrecipientsofincome.Arbitraryassumptionsor
Inmakingtheestimate,dueconsiderationshouldbegiventopastrecipientsofincome.Arbitraryassumptionsor
imputationofincomeofperiodicreceiptsshallbeavoided,includingalump-sumpaymentforthedelayedstartofa
imputationofincomeofperiodicreceiptsshallbeavoided,includingalump-sumpaymentforthedelayedstartofa
periodicpayment.Benefitspaidonbehalfofachildareconsideredasincomeaccruingtotheparent.
periodicpayment.Benefitspaidonbehalfofachildareconsideredasincomeaccruingtotheparent.
16
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2016-03-09Item 227 of 149
ATTACHMENTB
ATTACHMENTB
income derived from all Net Household Assets or a percentage of the
value of such assets based on the current passbook savings rate as
determined by HUD.
(d). The full amount of periodic payments received from Social Security,
pensions, retirement funds, annuities, insurance policies, disability or
death benefits and other similar types.
(e). Payments in lieu of earnings, such as unemployment and disability
compensation, workers' compensation and severance pay (but see
paragraph Section VI.B.2(c) of this section).
(f). Public Assistance, such as AFDC, SSI, and General Relief income shall
include the amount of the allowance specifically designated for shelter
and utilities plus the allowance paid directly to the recipient.
(g). Periodic and determinable allowances, such as alimony and child support
payments, and regular contributions or gifts received from persons not
residing in the dwelling. Child support is considered as income accruing
to the parent.
(h). All regular pay, special pay and allowances of a member of the Armed
Forces, except hazardous duty pay while away from home and exposed
to hostile fire, whether or not living in the dwelling, who is head of the
Household or spouse; or other person whose dependents are residing in
the unit.
(i). The amount of educational scholarships, benefits, or grants paid to the
student or educational institution which are available for or used for
subsistence purposes (see paragraphSection VI.B.2(d) of this section).
(j). Any earned income of household members- age 18 or older. (Exception:
earnings in excess of $480 for dependents over age 18 who are full-time
students)
2. Temporary, Non-Recurring or Sporadic Income Not Included in the Computation
of Annual Income:
(a). Casual, sporadic or irregular gifts.
(b). Amounts which are specifically for or in reimbursement of the cost of
medical expenses.
(c). Lump-sum additions to Household assets, such as inheritances,
insurance payments (including payments under health and accident
insurance and workers compensation), capital gains and settlement for
personal or property losses, or for the delayed start of Social Security or
SSI benefits. Such sums, however, may be included as assets in the
determination of income for eligibility.
17
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2016-03-09Item 228 of 149
ATTACHMENTB
ATTACHMENTB
(d). Amounts of educational scholarships paid directly to the student or to the
educational institution, and amounts paid by the government to a veteran
for use in meeting the costs of tuition, fees, books and equipment. Any
amounts of such scholarships, or payments to veterans, not used for the
above purposes or which are available for subsistence are to included in
income.
(e). Student Loans, regardless of what the loan is used for.
(f). The special pay to a serviceman head of Household away from home
and exposed to hostile fire.
(g). Relocation payments made pursuant to Title II of the Uniform Relocation
Assistance and Real Property Acquisition Policies Act of 1970.
(h). Foster child care payments.
(i). The value of the allotment provided to an eligible household for coupons
under the Food Stamp Act of 1977.
(j). Payments received pursuant to participation in the following volunteer
programs under the ACTION Agency:
(1). National Volunteer Anti-Poverty Programs which include VISTA,
Service Learning Programs and Special Volunteer Programs.
(2). National Older American Volunteer Programs for persons aged 60
and over which include Retired Senior Volunteer Programs,
Foster Grandparent Programs, Older American Community
Service Programs and National Volunteer Programs to assist
Small Business Experience, Service Corps of Retired Executives
(SCORE) and Active Corps of Executives (ACE).
(3). Payments to under the Domestic Volunteer Services Act of 1973.
(4). Payments received under the Alaska Native Claims Settlement
Act.
(5). Income derived from certain sub-marginal land of the United
States that is held in trust for certain Indian tribes.
(6). Payments or allowances made under the Department of Health
and Human Services' Low-Income Energy Assistance Program.
(7). Payments received from the Job Training Partnership Act.
(8). Income derived from the disposition of funds of the Grand River
Bank of Ottawa Indians.
18
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2016-03-09Item 229 of 149
ATTACHMENTB
ATTACHMENTB
(9). The first $2,000 of per capita shares received from judgement
funds awarded by the Indian Claims Commission or the Court of
Claims or from funds held in trust for an Indian tribe by the
Secretary of Interior.
(10). Subsidy allowance to recipients of SSI, in lieu of food stamps.
3. Disallowance of Earned Income for Persons with Disabilities.The EHA will apply
the regulation according to 24 CFR 5.617; 982.201(b)(3).The annual income for
qualified families may not be increased as a result of increases in earned income
of a family member who is a person with disabilities beginning on the date on
which the increase in earned income begins and continuing for a cumulative
twelve-month period. After the disabled family member receives twelve
cumulative months of the full exclusion, annual income will include a phase-in of
half the earned income excluded from annual income.
C. Total Tenant Payment.Each eligible Household's Total Tenant Payment shall be either
the greater of 30 percent of net income after allowable deductions or 10 percent of
gross income, with a minimum rent of $50.00.
Allowable Deductions:
1. $480 for each dependent (excluding head of household or spouse).
2.Medical expenses which exceed 3% of the annual income for Elderly/Disabled
Comment [KN17]:
Comment [KN17]:
InaccordancewithHUD
InaccordancewithHUD
regulations.
Households.
regulations.
3. $400 household allowance for each elderly or disabled household.
4. Child care expenses: Amounts paid by the Household for the care of minors
under 13 years of age or for the care of disabled or handicapped Household
members, but only where such care is necessary to enable a Household
member to be gainfully employed, or to further his or her education, and the
amount allowable as child care expenses shall not exceed the amount of income
from such employment. Verification of child care expenses must be provided on
a Housing Authority form, including name, address, social security number and a
copy of the license of the child care provider must be included in the form. Also,
if the Household is entitled to file for federal and state income tax, the amount
claimed through the Housing Authority for child care must be reflected in the
State and Federal Tax claim for the appropriate year, if the Household is eligible
for a tax deduction for said child care. In the event the child care expenses are
in part or whole paid for or reimbursed to the Household by any other
government agency, the amount paid for or reimbursed to the Household shall
not be counted as a deduction in the calculation of tenant rent.
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2016-03-09Item 230 of 149
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ATTACHMENTB
SECTION VII.DETERMINATION OF ELIGIBILITY FOR ISSUANCE OF VOUCHERSCERTIFI-
CATES OF FAMILY PARTICIPATION. This section sets forth the basic steps which are to be
taken in obtaining and verifying information from applicant Households Families for the
purposes of (1) determining whether they meet the conditions of eligibility for participation as
set forth in Section III; (2) applying the priority and preference requirements established in
Section V; (3) determining the size of dwelling required in accordance with Section VIII; and (4)
determining the tenant portion of the rent in accordance with Section VI. to be charged in
accordance with Exhibit IV.
A. Verification of Eligibility.
1. Verification of Citizenship/Eligible Immigration Status. The EHA will apply the
regulation according to 24 CFR 5.508, 5.510, 5.512, 5.514. To be eligible for
assistance, individuals must be U.S. citizens or eligible immigrants. Individuals
who are neither may elect not to contend their status. Eligible immigrants must
fall into one of the categories specified by the regulations and must have their
status verified by the Immigration and Naturalization Service (INS). Each
Household member must declare their status once. Assistance cannot be
delayed, denied, or terminated while the verification of status is pending except
that assistance to the applicants may be delayed while the EHA hearing is
pending.
2. Failure to Provide. If an applicant or participant Household member fails to sign
the required declarations and consent forms or provide the required documents,
they will be listed as an ineligible member. If the entire Household fails to
sistance may be denied or
terminated.
3. If the EHA determines that a Household member has knowingly permitted
another individual who is not eligible for assistance to reside permanently in the
ed for 24 months,
unless the ineligible individual has already been considered in prorating the
B. Procedure Governing Determination of Eligibility
1. Before issuance of the Voucher by the EHA, the applicant will be interviewed by
a staff member who will complete the Certification of Tenant Eligibility (HUD
50058). The applicant must submit verification of all information requested to
assure that the data upon which determination of eligibility, priority and
preference status, size of dwelling and Total Tenant Payment (rent) are full, true,
and complete.
2. This Certification of Tenant Eligibility (HUD 50058) constitutes the basic record
of each applicant Household and together with all other materials relating to the
Household's eligibility and preference rating, etc. is to be maintained in a file for
each applicant.
3. If, during the application process it is determined that the applicant is not eligible,
the applicant is to be so informed in writing and classified as ineligible (see
20
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2016-03-09Item 231 of 149
ATTACHMENTB
ATTACHMENTB
Section IVI.FE). In such instances, sufficient information to establish the fact is
to be attached to the application which is to be maintained for at least three (3)
years. If the applications received are not consistent with the public
Comment [KN18]:
Comment [KN18]:
Uneccessarywording.Does
Uneccessarywording.Does
notapply.
advertisement, no written response is required.notapply.
4. All entries on the application of applicant history are to be made in ink, indelible
pencil, or typed in. Corrections or changes are to be made by lining through the
original entry and entering the correct data. Such changes are to be dated and
initialed by the person recording the change and the reason and authority for
such changes noted in the record.
5. The applicant is to review and sign the application.
C. Verification and Documentation of Application Data
1. Verifications will be required for information submitted by an applicant to assure
accuracy in determining eligibility, and priority, preference status, rent to be paid,
and size of dwelling required. Verifications must be current (no more than 60
days old for new leases, no more than 120 days old for annual reexaminations).
The EHA will provide forms to applicants to assure receipt of required
information.
2. Verification Methods: The following methods of verification are acceptable for
the tenant file to be properly documented. In order of acceptabilitypreference
they are:
a) Third party - : Written (provided directly to the EHA by the source and not
hand-carried by the family) or oral (direct contact by EHA with a reliable
source).
b) Review of documents - : Documents provided by householdfamily (e.g. pay
stubs, bank statements, social security award letters, computerized
printouts).
c)Household Family certification or notarized statement - : Written statement
signed by the family certifying that the information provided is complete and
correct.
When the preferred verification form is not received in a timely fashion
and staff uses the second or third alternative, staff shallwill record in the
tenant file the reason an alternative method was used.
If obtaining a third party verification will impose a financial burden on
the participant, the EHA may use the second or third alternative.
3. The EHA should may verify and maintain documentation in case files pertaining to:
a)Household Family income (including expenses for self employment income)
b) Asset information
c) Eligible household deductions
d) Family size and status
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2016-03-09Item 232 of 149
ATTACHMENTB
ATTACHMENTB
e) Verification of local preferences
f) Verification of residency in the City of Encinitas (see Section II.A.3941).
g) Documentation for status of citizenship / immigration (see Section II.A.9).
h) Criminal history
D. Summary of Verification Data
1. Verification data is to be reviewed and evaluated as received for completeness,
accuracy, and conclusiveness. Where the information received is not completely
adequate in all respects, follow-ups or new efforts to obtain such information are
to be made and carried through to conclusion. If during the verification process,
it becomes evident that for one or more reasons an applicant is ineligible, the
investigation is to be discontinued and the applicant promptly notified in writing of
their ineligibility and the reasons therefore (see Section IVEIV.F). The EHA is re-
quired to offer the applicant the opportunity to present objections to a EHA
decision denying assistance to the applicant. However, the regulation provides
that the informal review requirements for applicants does not apply to the
following types of determinations, which are properly left to the administrative
discretion of the EHA, or which are controlled by applicable program
requirements:
(a). To review discretionary administrative determinations by the EHA, or to
consider general policy issues or class grievances.
(b). To review the EHA's determination of the number of bedrooms entered
on the Voucher under the EHA's unit size standard.
(c). To review the EHA's determination that a unit located by a Voucher
holder does not comply with the Housing Quality Standards (HQS), or the
EHA's determination not to approve the lease for the unit.
(d). To review the EHA's decision not to approve a request by a Voucher
holder for an extension of the term of the VoucherCertificate.
When verification of all necessary items for each application is
completed, the Certification of Tenant Eligibility (HUD-50058) is to be
completed and signed by the staff member completing the form. This
form, along with documentation of verification shall be retained for HUD
audit or inspection in a file for each application or assisted Household.
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2016-03-09Item 233 of 149
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SECTION VIII. SUBSIDY STANDARDS FOR ISSUANCE OF VOUCHERSCERTIFICATES
AND VOUCHERS OF FAMILY PARTICIPATION. Prior to issuing the Voucher, the appropriate
dwelling unit size for the Household will be determined by applying the following criteria:
A.One bedroom is assigned forthe head of household(including spouse or significant
Comment [KN19]:
Comment [KN19]:
Wordingaddedfor
Wordingaddedfor
clarificationpurposes.
other,if applicable)and another bedroom is assigned for eachadditional two persons clarificationpurposes.
residing in the household, regardlessof gendersex, age, or relationship.
B. Every Household member regardless of age is to be counted as a person. A pregnant
woman will be counted as two persons. The Household may rent a smaller bedroom
sl
C. Any live-in aide approved by EHA to reside in the unit is counted in determining unit
size.
D. A Household unit size for any Household consisting of a single person must be zero or
one-bedroom unit unless a live-in aide resides with the Household.
E. The EHA must approve composition of the resident Household at admission and must
also approve later changes in Household composition. The Household must request
EHA approval to add any Household member as an occupant of the unit (exception is
newborn, adoption or court-awarded custody of a child). EHA must approve addition of
a foster child or live-in aide.
F. A child who is temporarily away from the home because of placement in foster care is
Comment [KN20]:
Comment [KN20]:
Addedtobeconsistentwith
Addedtobeconsistentwith
HUDregulationsandwithotherlocalAdmin.Plans.
considered a member of the HUDregulationsandwithotherlocalAdmin.Plans.
23
23
2016-03-09Item 234 of 149
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ATTACHMENTB
SECTION IX. ISSUANCE OF CERTIFICATE OR VOUCHER.
A. Procedure Governing Issuance of Certificate or Voucher of Family Participation.
1. After a Household has been determined to be eligible and is selected for
participation, a Voucher shall be prepared and signed by a designated staff
member. The Voucher shall state the number of bedrooms approved for the
Household (see Subsidy Standard, Section VIII); and the Total Tenant Payment
(see Section VI.C).
2. The Certificate/Voucher, along with a Voucher holder's packet, shall be
presented to the Household at a briefing session which the Household will be
required to attend. The staff person conducting the briefing program will explain
the program in detail and answer any questions the Voucher holder may have.
Each Certificate/Voucher holder's packet shall include the following:
(a) Request for Lease Approval (HUD 52517);
(b) The EHA's statement of housing quality standards and the forms for
inspection for dwelling units.
(c) Information regarding lead based paint, poisoning hazards, symptoms,
and precautions;
(d) "Fair Housing U.S.A." (HUD-63-EO(6));
(e) Information on the tenant rent, the housing assistance payment, and the
payment standard or Fair Market Rent.
(f) The EHA's schedule of Allowance for Utilities and Other Services;
(g) Housing Discrimination Complaint Form (HUD-903);
(h) Information on the EHA's procedure for conducting informal hearings for
participants. This information shall contain a general description of the
procedures for conducting informal hearings for participants in the EHA
program; including a description of the circumstances in which the EHA is
required to provide the opportunity for an informal hearing and how to
request a hearing.
(i) Information on the term of the certificate or voucher and the EHA policy
on extensions.
(j) Information on what the Household should consider in deciding to lease a
unit.
(k) Information as to where the Household may lease a unit including
portability procedures.
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2016-03-09Item 235 of 149
ATTACHMENTB
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(l) A statement about the EHA's policy on providing information about a
Household to prospective owners.
(m) HUD brochure on selecting a unit.
(o) If the Household includes a disabled person, the Household may request
current listings of accessible units.
(p) A list of the Household's obligations under the Program.
(q) A copy of the policy regarding the grounds on which the EHA may
terminate assistance.
(r) A copy of the Subsidy Standards.
(s) A copy of the Lease Addendum (HUD 52647.3 for VouchersandHUD
Comment [KN21]:
Comment [KN21]:
Certificatesarenolonger
Certificatesarenolonger
applicable.
52535.3 for Certificates).applicable.
(t) Such other items as the EHA may determine should be included.
3. The briefing session shall provide a full explanation and time for discussion of
the following:
(a) A description of how the program works, including portability.
(b) Household and owner responsibilities under the lease and contract;
(c) How to find a suitable unit;
(d) The general locations and characteristics of the full range of
neighborhoods in which the EHA is able to execute contracts. The units
may be inside and outside the jurisdiction, including areas that do not
have a high concentration of poor low income families.
Comment [KN22]:
Comment [KN22]:
Properwording.
Properwording.
(e) Applicable housing quality standards and procedures for Household and
owner inspections and for their individual certifications of compliance with
those standards;
(f) Significant aspects of applicable state and local laws;
(g) Significant aspects of federal, state and local Fair Housing laws;
(h) Applicable Fair Market Rent, determination of Total Tenant Payment,
establishment of housing assistance payments;
(i) Information regarding applicable regulations pertaining to the portability
of the VoucherCertificate;
25
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2016-03-09Item 236 of 149
ATTACHMENTB
ATTACHMENTB
(j) That the Household may obtain copies of the Housing Quality Standards,
the contract and other pertinent forms on request; and
(k) That the EHA will not be responsible for any damage caused by pets.
B. Expiration and Extension of VoucherCertificate.
1. The Voucher shall expire at the end of 60 days unless within that time the
Household submits a Request for Lease Approval.
2.Ifacertificate/voucher expires or is about to expire, a Household may submit the
Comment [KN23]:
Comment [KN23]:
Wordingwasaddedtothis
Wordingwasaddedtothis
sectionforclarificationpurposesandtoreflect
certificate/voucher to the EHA with a request for an extensionto the EHA.As sectionforclarificationpurposesandtoreflect
currentpractices.
currentpractices.
part of the extention request, the household shall document in writing The EHA
shall review with the Householdthe efforts it has made to find a suitable dwelling
unit and the problems it has encountered. The EHA shall determine what advice
or assistance might be helpful. If the EHA believes that there is a reasonable
possibility that the Household may, with additional advice or assistance, find a
suitable unit, the EHA may grant one or two extensions of 30 days not to exceed
a total of 60 days. The maximum amount of time a Household may hold a
certificate/voucher is a total of 120 calendar days from the beginning of the initial
term. If a member of the Household is a disabled person, and the Household
needs an extension because of the disability, the EHA may grant an additional
extension of 60 days as a reasonable accommodation. Expiration of a Voucher
shall not preclude the Household from reapplying to the Section 8 HCV waiting
list filing a new application for another certificate/voucherat the time the program
resumes accepting applications.
C. Suspension.The timeline for the voucher expiration date may be suspended Stop of
the clock on the term of a certificate or voucher for the period of time necessary for the
EHA to approve/disapprove a request for lease approval.
D. Progress Reports.Progress reports are required by the EHA during the extended term
of acertificate/voucher.
DE.Payment Standard.TheEHA will review the voucher payment standard as needed to
Comment [KN24]:
Comment [KN24]:
Addedclarification.
Addedclarification.
WordingisconsistentwithHUDregualtionsand
ensure effective utilization of vouchers. The EHA will take into consideration available WordingisconsistentwithHUDregualtionsand
currentpractices.
currentpractices.
funding,and the prevailing fair market rents (FMR) in the community for decent, safe
and sanitary housing.TheEHAmayestablishthepaymentstandardamountfrom90to
TheEHAmayestablishthepaymentstandardamountfrom90to
110percentofthepublishedFMRforeachunitsize.The Board has authorized the
110percentofthepublishedFMRforeachunitsize.
Executive Director and/ or their designee to approve changes to the payment standard
based onthe annual HUD determination of the Fair Market Rent.
26
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2016-03-09Item 237 of 149
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SECTION X. HOLDERS OF VOUCHERSCERTIFICATES OF FAMILY PARTICIPATION.
A. Finders Keepers Policy/Where the Household Can Live.
1. Each holder of a Voucher shall be responsible for finding an eExisting hHousing
uUnit suitable to the holder's needs and desires, within the area of jurisdiction of
the Housing Authority, or as authorized under the portability regulations.
2. A holder of a Voucher may keep the dwelling unit that the holder already
occupies, if the unit meets HUD requirements.
3. Holder may select any eligible unit, including a HUD owned unit. However, a
Household may not receive tenant based assistance for housing currently
assisted by state or local rent subsidy. This does not include reduced rent from
tax credits. The EHA must inform the Household both orally and in writing that
the Household has the right to select any eligible dwelling unit and an EHA
owned unit is freely selected by the Household without EHA pressure or steering.
4. Ineligible housing units are:
public housing;
those that receive project based Section 8;
board and care homes;
college or other school dormitories;
those located on penal, reformatory, medical, mental or similar
institutions; or
those occupied by its owner or by a person with any interest in the
dwelling unit.
B. Assistance of Public Housing Authority.This EHA will provide assistance in finding a
unit for those Households Families who, because of age, disabilityhandicap, or other
reasons, are unable to locate approvable units. Assistance will also be provided in
finding a unit for any HouseholdFamily which alleges that discrimination is preventing it
from locating a suitable unit.
C. Household Moves.
1. The EHA may deny eligibility to those participants who have violated their lease
under the existing Section 8 HCV Existing Pprogram.
2. If an assisted Household wishes to move, in accordance with the lease
provisions, the Household must obtain approval from the EHA. The EHA shall
issue another certificate or voucher or process a Request for Lease Approval, if
the recertification is completed and the Household meets the following criteria:
(a). The Household has no unmet financial obligations to the EHA or any
other Housing Authority.
(b). The Household has not violated its Voucher of Participation in the Section
8HCV program.
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2016-03-09Item 238 of 149
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ATTACHMENTB
(c). The Household has not moved during the past year. The Executive
Director can make an exception to this rule on a case-by-case basis for
good cause.
(d). The assisted lease for the old unit has terminated because of the EHA
terminating the HAP contract for the owner's breach, or the lease was
terminated by mutual agreement of the owner and the tenant.
(e). The owner has given the tenant notice to vacate, or has commenced an
action to evict the tenant, or has obtained a court judgement or other
process allowing the owner to evict the tenant.
(f). The tenant has given notice of lease termination.
(g). The Household is in compliance with the terms of the lease.
(h). The Household continues to be eligible for housing assistance.
(i). Sufficient funds are available under the ACC.
3. A Household shall not be eligible for another Voucher if it was evicted from an
assisted unit in accordance with local law and the provisions of the contract,
unless the Household has satisfied any liability to the owner and/or the EHA.
4. The EHA may refuse to issue a Voucher to a Household wishing to move to
another assisted unit if the EHA has determined that any member of the
Household has been involved in drug-related or other criminal activity, as defined
in the Code of Federal Regulations.
5. The EHA may refuse to issue a Voucher to a Household at the time of
recertification or move out, if it has been determined by a EHA conducted pre-
move out inspection of the dwelling unit that abuse of the property through
participant negligence exists over and above normal wear and tear.
6. The EHA may allow a Household to receive another Voucher on a conditional
basis for the purpose of moving to a new unit with continued assistance, if the
Household meets the criteria outlined in Section X.C.2 above.
D. Portability.
1. A Household may move to any jurisdiction of a housing authority administering the
Section 8 HCV program in the United States after the initial year of admission to the
Program. The EHA could allow exceptions on a case by case basis for cause, such
as a change of work location, change in family status, or an illness or death in the
family that requires a move.
2. The EHA will accept certi
determines whether the Household is income eligible in the area where the
Household wants to rent.
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2016-03-09Item 239 of 149
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3. If a Household is requesting to move to the jurisdiction of another housing authority
which will increase the amount of the housing assistance payment, the EHA will
determine whether it has sufficient funding to cover the increase. In the event that
there is insufficient funding, then the EHA may will deny the request.
29
29
2016-03-09Item 240 of 149
ATTACHMENTB
ATTACHMENTB
SECTION XI. LEASING OF DWELLING UNITS TO CERTIFICATE AND VOUCHER
HOLDERS.
A. Information to Owner.The EHA will respond to inquiries from owners who have been
approached by Certificate/Voucher holders by explaining major program procedures,
including lease provisions, lease approval procedures, housing quality inspections,
contract provisions and payment procedures. The EHA will also furnish copies of the
pertinent forms.
The EHA must inform the owner that the EHA has not screened the Household's
behavior or suitability for tenancy and that such screening is the owner's responsibility.
Owners are permitted and encouraged to screen householdsfamilies on the basis of
their tenancy histories including factors such as:
the payment of rent and utilities;
the care for a unit and premises;
respecting the rights of others;
drug related criminal activity or other criminal activity that is a threat to the life, safety or
property of others; and
compliance with other essential conditions of tenancy.
TheEHA encourages owners of decent, safe and sanitary rental units to rent to Section
Comment [KN25]:
Comment [KN25]:
AsperSection8
AsperSection8
ManagementAssessmentProgram(SEMAP)
8HCVparticipants. The EHA shall take the following actions to encourage participation
ManagementAssessmentProgram(SEMAP)
Finding#7,wordinghasbeenaddedinorderto
Finding#7,wordinghasbeenaddedinorderto
by owners of units located outside areas of poverty or minority concentration:
clarifystepsEHAstafftakestoencourage
clarifystepsEHAstafftakestoencourage
participationbyownersofunitslocatedoutside
participationbyownersofunitslocatedoutside
areasofpovertyorminorityconcentration
1. The EHA shall maintain communication with local property management companies. areasofpovertyorminorityconcentration
These resources will be used to make owners aware of the benefits of the Section 8
HCV Rental Assistance Program.
2. In order to expand participation of new owners who are interested in the program or
who are unfamiliar with the program, EHA staff shall call the prospective owner to
explain the benefits of the Section 8 HCV program and encourage their participation.
3. Housing representatives will attend local agency and community fairs to increase
awareness of the program and benefits for owners.
B. Request to EHA for Lease Approval.When a Household has found a unit it wants and
the owner is willing to lease, the Household shall submit to the EHA a request for lease
approval signed by the owner and the Household. In addition, any further agreements
between the owner and Section 8 HCVparticipant must be approved by the EHA.
Failure to secure such approval could result in cancellation of the participant from the
program.
1. A Household becomes a participant in the existing Section 8 HCV Existing
Housing Pprogram when the EHA executes a contract with an owner for housing
assistance on behalf of the Household.
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2. Requests for Lease Approval may not be approved for a single dwelling unit with
a swimming pool, or multi-family units if a member of the household is a
child/children under the age of 12 and there exists an un-enclosed swimming
pool that is accessible to said child/children.
C.Rent Reasonableness
C.
The purpose of the Rent Reasonableness Test is to assure that a fair rent is paid for
units selected for participation in the Rental Assistance Program and the program does
not have the effect of inflating rents in the community. Rent reasonableness
determinations are made when units are placed under contract for the first time, before
any increase in rent to the owner, and if there is a 5% decrease in the published Fair
Market Rent. The EHA will determine whether the rent to owner is a reasonable rent in
comparison to rent for other comparable unassisted units. To make this determination,
the EHA will consider:
The location, size, unit type, quality, and age of the unit.
Any amenities, housing services, maintenance and utilities provided by the owner
under the lease.
D. Decent, Safe, and Sanitary Condition of Unit.Before approving a lease, the EHA shall
inspect the unit to determine that it is in decent, safe and sanitary condition in
accordance with 24 CFR 882.109 as amended by 982.401, 982.402, and 982.405
(Housing Quality Standards).
1. If there are defects or deficiencies which must be corrected in order for the unit
to be decent, safe and sanitary, the EHA shall so advise the owner in writing,,
utilizing the Agency Determination form for this purpose.Before a contract is
executed, the unit must be re-inspected to ascertain that the necessary work has
been done and the unit is decent, safe and sanitary.
2. A report for every inspection and re-inspection under this paragraph shall be
prepared and maintained in the files of the EHA. Each report shall specify (a)
any defects or deficiencies which must be corrected in order for the unit to be
decent, safe and sanitary, and (b) any other defects or deficiencies, a record of
which shall be maintained for use in the event of a subsequent claim by the
owner that damages were caused during the period of occupancy by the
Household.
E. Security Deposits
The owner may collect a security deposit that does not exceed an amount allowed by
state law nor exceeds deposit requirements for other unassisted units.
When the tenant moves out, the owner, subject to state or local law, may use the
security deposit, including any interest on the deposit, in accordance with the lease as
reimbursement for any unpaid rent payable by the tenant, damages to the unit or for
other amounts the tenant owes under the lease. The owner must give the tenant a
written list of all items charged against the security deposit and the amount of each item.
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After deducting the amount, if any, used to reimburse the owners, the owner must
refund promptly the full amount of the unused balance to the tenant.
If the security deposit is not sufficient to cover amounts the tenant owes under the
lease, the owner may seek to collect the balance from the tenant.
F. Household Move Out.
If the Household moves out of the unit, the EHA may not make any housing assistance
payment to the owner for any month after the month when the Household moves out.
The owner may keep the housing assistance payment for the month when the
Household moves out of the unit.
If the Household terminates the lease on notice to the owner, the Household must give
the EHA a copy of the notice at the same time. If the Household wants to move to a
new unit, the Household must notify the EHA and the owner before moving from the old
unit. If the Household wants to move to a new unit that is located outside the initial
housing authority jurisdiction, the notice to the initial housing authority must specify the
area where the Household wants to move.
G. Household Move out with Continued Tenant Based Assistance.
A Household may move to a new unit withcontinued tenant based assistance if:
Comment [KN26]:
Comment [KN26]:
Clarification.
Clarification.
The assisted lease for the old unit has terminated because of the EHA terminating the
HAP contract for the owner's breach, or the lease was terminated by mutual agreement
of the owner and the tenant.
The owner has given the tenant notice to vacate, or has commenced an action to evict
the tenant, or has obtained a court judgement or other process allowing the owner to
evict the tenant.
The tenant has given notice of lease termination.
The Household has no unmet financial obligations to the EHA or any other Housing
Authority.
The Household has not violated its Voucher of Participation in the Section 8 HCV
program.
The Household has not moved during the past year.
If a participant Household 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 Household moves out of the first assisted unit. Overlap of the last housing
assistance payment, for the month when the Household moves out of the old unit, and
the first assistance payment for the new units, is not considered to constitute a duplicate
housing subsidy.
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The EHA may deny permission to move if the EHA does not have sufficient funding for
continued assistance.
H. Approval of Lease.
1. The EHA shall approve the lease upon determining that the Contract Rent can
be approved, that the unit the Household wishes to lease is in decent, safe and
sanitary condition, and that the proposed lease complies with the program re-
quirements.
(a) No otherwise acceptable unit shall be disapproved on the grounds that it
is either larger or smaller than the size unit specified on the Household's
Voucher provided that:
(1) Undersized Unit. The dwelling unit contains at least one sleeping
room or living/sleeping room or appropriate size for each two
persons.
9
(2) Oversized Unit.The Contract Rent plus any allowancesdoes
not exceed the fair market rent for the smaller size unit as stated
on the Household's VoucherCertificate, or such higher rent can be
approved by the EHA or HUD.
(3) Household Requests for Transfers to Larger Units.In the event a
Household requests a transfer to a larger unit due to a change in
Household composition (which the EHA must approve except for
newborn, adoption or court awarded custody of a child), the unit
into which the Household wishes to transfer will have a minimum
number of bedrooms equivalent to the bedroom size specified in
the Voucher.
2. The HAP contract must be executed no later than 60 days from the beginning of
the lease term. No payments may be made to the owner until the HAP contract
is executed. Within the 60 day period HAP payments can be made retroactive to
the beginning of the lease.
3. The EHA must not approve a unit if:
the owner has been debarred, suspended or subject to a limited denial of
participation under 24 CFR part 24.
the federal government has instituted an administrative or judicial action against
the owner for violation of the Fair Housing Act or other federal equal opportunity
requirements and such action is pending or the court has determined that the
owner violated the Fair Housing Act
9
9
TheUtilityandotherallowancesshallbeforthesizeunitstatedontheVoucherCertificateofFamilyParticipation.
TheUtilityandotherallowancesshallbeforthesizeunitstatedontheVoucherCertificateofFamilyParticipation.
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the owner has violated obligations under a HAP contract.
the owner has committed fraud, bribery or any other corrupt or criminal act in
connection with any federal housing program.
the owner has a history or practices of non-compliance with the HQS for units
leased under the tenant-based programs or with applicable housing standards
for units leased with project-based Section 8 HCV assistance.
the owner has a history or practices of renting units that fail to meet state or local
housing codes, such as illegal units.
the owner has not paid state or local real estate taxes, fines or assessments.
I. Amount of Rent Payable by The Household.
1. The EHA shall determine the amount of rent payable by the Household to the
owner, which shall be the amount of the Total Tenant Payment, or the amount of
such contribution less the amount of any allowance for utilities and other services
not to be provided by the owner.
2. If the Total Tenant Payment is less than the allowance for utilities and other
services, resulting in utility reimbursement, the EHA shall pay the difference
directly to the Household.
3. A voucher holder may pay more than the payment standard providing they are
willing to pay the difference from their own income sources.
4. When a voucher holder pays less than the payment standard, they receive the
savings in the form of a reduction in their contribution toward the rent, except in
no case shall they pay less than 10 percent of their total monthly income.
J. Notice to Owner and Household.
1. Lease Disapproval. If the EHA determines that the lease cannot be approved
for any reason, including the condition of the unit, the EHA shall so notify the
owner and the Household in writing., utilizing the agency determination form.
2. Lease Approval.
(a). Upon approval of the lease, a Housing Assistance Payments Contract
shall be prepared by the EHA and presented to the owner for signature
along with the lease and unit inspection form.
(b). Immediately upon the return and execution of the above documents, the
EHA shall mail the lease/addendum to lease, copy of HAP Contract and
unit inspection form to the owner, and a copy of the lease and unit
inspection form to the Household.
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3. Files.
(a). The EHA shall maintain files on all requests for lease approval together
with dwelling inspection reports (see Section XI.J.3(b)) and agency
determination notices relating to any unit with deficiencies.
(b). All complaints by HouseholdsFamiliesconcerning compliance by the
owner with the EHA's housing quality standards shall be retained in the
EHA's files for three years.
K. Owners Responsibilities and Breach of Contract
1. Late Fee to Owner. The EHA must pay the Housing Assistance Payment
promptly in accordance with the HAP contract. If the EHA fails to make timely
payment, the EHA may be obligated to pay a late payment fee in accordance
with State or local law. The EHA may use only administrative fee income or
administrative fee reserve (formerly operating reserve) to pay the fee. If the
owner claims non-receipt of HAP and EHA or contractor records show the check
was issued in a timely manner, the EHA or contractor will reissue the check no
more than one time during a six month period without a charge for reissuance. If
check must be issued more frequently, there will be a $10 charge to the owner
for reissuance.
2. Owner responsibilities. The owner is responsible for performing all the owner's
obligations under the HAP contract and the lease.
3. Breach of Contract. Any of the following actions by the owner is a breach of
contract:
(a). Any violation of the HAP contract,
(b). Owner has committed fraud, bribery or any other corrupt or criminal act in
connection with any federal housing program,
(c). Owner has failed to comply with regulations for applicable mortgage
insurance or loan program,
(d). Owner engaged in drug trafficking.
4. Remedy for Breach of Contract. ForHQS failures, the EHA will abate HAP
Comment [KN27]:
Comment [KN27]:
Clarification.
Clarification.
payments until the breach is corrected., asfor HQS failures. EHA will terminate
HAP payments for other breaches, such as drug trafficking.
L. Business in Unit
Legal profit-making activities in the unit are allowed to encourage work and earnings by
assisted householdsfamilies, provided the use of the unit for business purposes is incidental to
the primary use of the unit for residence by the Household. Owner consent is not required.
However, the owner may attach "house rules" that restrict or govern business activity in the unit.
Business cannot violate related City codes nor HQS.
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SECTION XII. REEXAMINATION OF HOUSEHOLD ELIGIBILITY AND REDETERMINATION
OF INCOME.
A. Periodic Reexamination of Household Status and Income.To assure that a Household
continues to remain eligible for Housing Assistance Payments and to make appropriate
adjustments in the rent paid by the Household, the reexamination of Household income,
composition, and extent of exceptional medical and other child care expenses shall be
made by the EHA at least annually from the effective date of the lease.
After the Household's eligibility status and annual income have been redetermined, such
action as necessary may be taken (see Section XII.DParagraph D for procedures and
Section XII.Paragraphs E, F, and G for actions required). HouseholdsFamilies shall be
advised of the applicable portability regulations at the time of recertification.
B. Special Reexaminations.If at time of initial occupancy or periodic reexamination, a
Household is clearly very low-income, but it is not possible to make a reasonable
accurate estimate of anticipated income for the next 12 month period, the following shall
apply:
10
1. A special reexamination shall be scheduled for specified times (either 30, 60
or 90 days) depending upon the staff member's estimate of time for Household's
circumstances to stabilize. Controls must be established to assure compliance.
(a). If at the time of such special reexamination, it is still not possible to make
a reasonably accurate estimate of the Household's income, special
reexaminations shall continue to be scheduled and conducted until such
time as a reasonable estimate can be made for a 12-month period.
2. For rent determination purposes, the Household's rate of income, based on the
amount expected to be received by the Household from the date of the current
determination to the date of the special reexamination, shall be projected for a
12-month period, even though it is known that income in such amount or from
such sources will not continue for that period.
3. Families whose past employment has been sporadic or who are on welfare, then
work, then are unemployed, should not be given a special reexamination if such
an income pattern is expected to continue, as a reasonable twelve months'
estimate of their income may be based upon past and present rate of income.
C. Interim Redetermination of Annual Income and Adjustment of Rent.No adjustments to
Household's Total Tenant Payment are to be effected between dates of periodic
reexaminations or pre-scheduled reexaminations (as set forth in Section
XII.Bparagraph B above) except as provided below in the following subparagraph 1:
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10
UseofspecialreexaminationprovisionsassumesthatintheyeartheContractterminates,therequiredperiodic
UseofspecialreexaminationprovisionsassumesthatintheyeartheContractterminates,therequiredperiodic
reexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriortotheContract
reexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriortotheContract
terminationdateandcompletedpriortothelastmonthoftheContractRent.
terminationdateandcompletedpriortothelastmonthoftheContractRent.
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1. In addition to submitting such information as may be required at time of periodic
or special reexamination of eligibility and redetermination of Household
contribution, Section 8 HCV participants and Voucher holders shall holders are
to be required to report to the EHA within fourteen calendar (14) days frorm the
effective day the following defined changes in Household circumstances:
(a). Changes Affecting Head of Household - Loss of a head of household
through death, divorce or other continuing circumstances, or addition of a
Household member who in accordance with EHA policy should become a
Head of Household.
(b). Changes Affecting Head or Spouse or Household Member over the Age
of Eighteen.
(1) The loss or addition to the Household through marriage,
reconciliation, divorce, permanent separation, death, birth,
desertion and/or other continuing circumstances;
(2) Commencement, discontinuance or change in the amount of
welfare assistance, social security, SSI, private retirement,
disability, and/or unemployment benefits;
(3) Entry into or discharge from military service;
(4) Unemployment for whatever reasons;
(5) Employment or reemployment;
(6) Monthly increases or decreases in total Household income in
excess of $50.00; monthly decreases in income less than $50.00
may be considered by the Authority's office in extreme hardship
cases.
(7) Commencement or discontinuance of other sources of income
which substantially affect the total income of the Household (to be
determined by EHA staffthe Eligibility/Occupancy Specialist, or the
Assisted Programs Supervisor).
Reports of the above defined circumstantial changes are to be made on or before the
first rent payment period subsequent to the occurrence of the change. Upon receipt of
such report, an Interim Reexamination of Household iIncome and Total Tenant Payment
will be conducted. Failure to report such occurrence of the above defined circumstantial
changes will require retroactive charges when necessary, and may be grounds for
termination from the Section 8 HCV program.
In addition, a Household may at any time request a redetermination of its Total Tenant
Payment on the basis of changes in Household iIncome or other relevant
circumstances. If persons related to the assisted Household move into the unit (with
owner's permission) the EHA will continue assistance only if additional income is ac-
counted for in the Household rent calculation, the occupancy standards are maintained
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including the sleeping room provision, and any resulting increase in rent remains with
the FMR for the original size.
2. An assisted Household who reports a decrease in income (lasting in excess of
30 days) will be given an interim redetermination of income. If upon verification,
it is determined that the Total Tenant Payment exceeds 30 percent of the annual
11
income, an appropriate adjustment shall be made.
3. In the event the rent is decreased in accordance with this provision, the
Household shall be required to report all income increases which occur prior to
12
the rent reexamination and rent will be appropriately adjusted.Reports of the
above defined circumstantial changes are to be made on or before the first rent
payment period subsequent to the occurrence of the change. Upon receipt of
such report, an interim redetermination of Household income and rent will again
be conducted.
4. The EHA will notify the Household of any change in the Household portion of
rent payable to the owner and will notify the owner of any change in the Housing
Assistance Payment (HAP) to be effective according to the following:
(a). Increases in rent are to be made effective the first of the second month
following that in which the change occurred (retroactively if necessary).
(b). Decreases in rent are to be made effective the first of the month following
that in which the EHA is able to verify the reported change/(s). No
downward rent adjustments are to be processed until all the facts have
been verified.
D. Reexamination Procedures.
1. Application for Tenant Eligibility and Recertification.The head of household of
each assisted Household is to be required at the time of the reexamination to
submit information for completion of the certification and recertification of tenant
eligibility (HUD-50058) on a EHA form, and to sign that form. All entries are to
be made in ink, indelible pencil, or typed in. Corrections and changes are to be
made by lining through the original entry and entering the correct data. Such
changes are to be dated and initialed by the person recording the changed data,
and the reasons and authority for such changes are to be noted in the record.
2. Verification and Documentation of Reexamination Data.To assure that the data
on which the determinations of eligibility for rent to be paid and the size of
dwelling required are true and complete, the information submitted by each
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11
UseofSpecialReexaminationprovisionsassumesthatintheyearthecontractterminates,therequiredperiodic
UseofSpecialReexaminationprovisionsassumesthatintheyearthecontractterminates,therequiredperiodic
reexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriortothecontract
reexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriortothecontract
terminationdateandcompletedpriortothelastmonthofthecontractrent.
terminationdateandcompletedpriortothelastmonthofthecontractrent.
12
12
Interimadjustmentswillbemadeonlyifthereisaminimum$10.00increaseordecreaseinthemonthlyTotal
Interimadjustmentswillbemadeonlyifthereisaminimum$10.00increaseordecreaseinthemonthlyTotal
TenantPayment.DataassembledatthetimeofthereexaminationistobefiledinthefoldersetupfortheFamily.
TenantPayment.DataassembledatthetimeofthereexaminationistobefiledinthefoldersetupfortheFamily.
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tenant is to be verified. Complete and accurate verification records as specified
in Section VIB are to be maintained in the Household folder.
Verification data are to be reviewed and evaluated as they are received for
completeness, adequacy, and conclusiveness. Where the information received
is not completely adequate in all respects, follow-ups, or new efforts to obtain
such information are to be made and carried through to conclusion. When
verification of all necessary items for each application are completed, the
certification/recertification of tenant eligibility form is to be completed and signed
by a designated staff member. This summary is to cover the following
determinations and the basis for such determinations:
3. Summary of Verified Data
(a). Eligibility of the tenant group as Household or as the residual of a
Household
(b). Size of dwelling required;
(c). Eligibility of the Household with respect to income limits for continued
participation;
(d). Extent of medical or other child care expenses;
(e). Rent which Household is to pay;
(f). Amount of Housing Assistance Payment;
(g). Social Security Numbers for all Household members, or certifications for
Household members who do not have a social security number.
E. Notice to Household and Owner Following Reexamination.Within 30 days after the
Household has submitted all the required information, the EHA is to notify the
Household and owner of any increase or decrease in the amount of rent payable by the
Household and housing assistance payments to the owner.
1. Overcrowded Unit. If the EHA determines that the unit is overcrowded due to
an increase in Household size, a Voucher shall be issued to the Household in
accordance with the terms of the lease or upon mutual rescission of the existing
lease and the Household and the EHA shall try to find an acceptable unit as
soon as possible. If an acceptable unit is found that is available for occupancy
by the Household, and the lease with the first owner can be terminated in
accordance with its terms, the contract with the first owner shall be terminated
and Housing Assistance Payments shall be made available to the Household for
occupancy in the acceptable unit. Housing assistance payments will not be
terminated unless the Household rejects without good reason the offer of a unit
which the EHA judges acceptable.
2. If the EHA determines that the unit is too large for the Household due to
decrease in Household size, provisions of the paragraph above apply, except
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that if the contract rent plus any allowances does not exceed the fair market rent
for the smaller size unit required, the Household may remain in the dwelling
occupied.
F. Termination of Payments Due to Household Ineligibility. If it is found that the Household
is ineligible for continued participation as the result of the portion of rent payable by the
Household (contract rent plus any utility allowances for utilities and/or equipment, if any)
equaling or exceeding the owner's rent for the dwelling it occupies, the EHA shall notify
the Household and the owner of termination of Housing Assistance Payments to the
owner, effective with a 30 day notice to the owner or expiration of the current HAP
contract, whichever occurs first (the HAP Contract shall expire upon termination of the
lease or expiration of the EHA's ACC with the U.S. Department of HUD, whichever
occurs first).
1. This notice shall also state that such termination of eligibility shall not affect the
Household's other rights under its lease, nor shall such termination preclude
resumption of payments as result of subsequent changes in income or rents or
other relevant circumstances during the term of the contract.
2. If the contract terminates at such time that Household is ineligible for payments,
the contract shall not be renewed. In addition, if six months has elapsed since
the date of the last housing assistance payment, the contract shall be terminated
even if the termination date has not yet been reached.
G. Instances of Misrepresentation of Non-compliance by the Household.
1. If it is found, upon reexamination that at the time of issuance of the
Certificate/Voucher or any subsequent interim or periodic reexamination, the
Household made misrepresentations which have resulted in their paying a lower
rent than they should, they will be required to pay the difference between the rent
they have paid and what they should have paid. HAPsousing assistance
payments will be adjusted to reflect this increased rental payment. Misrepre-
sentations by the Household shall also be grounds for termination by the EHA
from the Section 8 HCV rental assistance program.
2. If it is found at the time of reexamination, or any other time, that the Household
has failed to report changes in income as required after the interim adjustment
lowering the rent and such changes would have required them to pay a higher
rent, the increased rent is to be made retroactive to the second month after the
date on which the change occurred. Failure to report changes in income or
Household circumstances within 10 days from the date the change took place
shall be grounds for termination by the EHA from the Section 8 HCV rental
assistance program.
3. If the Household fails to comply with its responsibilities under the Voucher, the
EHA may determine the Household ineligible for further HAPs Housing Assis-
tance Payments provided that the Household has been given reasonable notice
(with a copy to the owner) and the opportunity to respond.
(a). The EHA shall notify the Household and owner of such determination.
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(b). Such determination shall be grounds for termination of the lease by the
owner.
4. The EHA shall deny eligibility to previous program participants for whom the EHA
has processed damage, vacancy and/or unpaid rent claims, or who have violated
their Family Obligations.Certificates of Family Participation.This provision does
not apply to those participants who did not violated their Family
ObligationsCertificates of Family Participationand/or who have fully reimbursed
the EHA such claims.
H. Annual Inspection of Unit.As a condition for continuing to make HAPsHousing
Assistance Payments, the EHA requires the inspection of each dwelling unit being
assisted at least annually to assure that decent, safe and sanitary conditions are being
maintained by the owner and that the agreed upon services are being furnished.
1. In the case of Families being reexamined annually, this inspection shall be a part
of the reexamination procedure.
2. If the EHA determines that the dwelling unit no longer qualifies for the
HAPsHousing Assistance Payments, the owner shall be so notified and if he
refuses to or fails to bring the dwelling up to standard, the HAPsHousing
Assistance Payments Contract shall be terminated.
3. If the Household is still eligible in accordance with Section XII.EParagraph E of
this section, and the reason the unit failed to meet HQS was not due to tenant
damage or abuse above normal wear and tear, and the Household wishes to
move to a dwelling where it can continue to be assisted, the EHA shall issue
another Voucher or process a request for lease approval, as the case may be in
accordance with Section X.(C).
4. The owner is not responsible for a breach of HQS that is not caused by the
owner, but is caused by the Household. The EHA may terminate assistance to a
Household because of HQS breach by the Household.
I. Evictions/Termination of Tenancy.
1. For leases/tenancies entered into on or after October 1, 1981, the owner shall
not terminate tenancy during the term of the HAP contract/lease nor refuse to enter into
a new assisted lease with the same Household, except for;
(a). Serious or repeated violation of the terms of the lease;
(b). Violation of federal, state or local law which imposes specific
requirements on a tenant in connection with the occupancy or use of the
dwelling unit and surrounding premises;
(c). Drug related criminal activity or violent criminal activity;
(d). Other good cause.
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2. The following are some examples of "other good cause" for termination of
tenancy by the landlord: failure by the tenant Household to accept the offer of a
new lease; a tenant Household history of disturbance of neighbors or destruction
of property, or of living or housekeeping habits resulting in damage to the unit or
property; criminal activity by tenant Household members or other persons under
tenant's control; the landlord's desire to utilize the unit for personal or Household
use or for a purpose other than use 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, desire to rent the unit at a higher rental). This list of
examples is intended as a non-exclusive statement of some situations included
in "other good cause, but shall in no way be construed as a limitation on the
application of "other good cause" to situations not included in the list.
3. The landlord may evict the tenant from the unit only by instituting a court action.
The landlord must notify the EHA, in writing, of the commencement of
procedures for termination of tenancy, at the same time that landlord gives
notice to the tenant under state or local law. The notice to the EHA may be
given by furnishing the EHA a copy of the notice to the tenant.
4. The EHA does not play any role in the actual eviction process. The EHA policy,
however, allows for:
(a). Determination of continued Household participation in the Section 8 HCV
program, (regardless of whether or not there is a court "authorized"
eviction),
(b). Tenant appeal process (Exhibit I), if, in fact, tenant is denied continued
program participation and
(c). Determination of continued landlord participation, based upon "findings"
by the EHA. If the landlord is guilty of any of the following "findings," the
EHA may bar future continued participation:
Discriminatory tenant selection practices
Claiming/collecting monies not due the owner (i.e., rental for vacant
unit, non-existent repairs, vacancy loss, etc.)
"Manufacturing" evidence against existing tenant to justify "eviction
action"
J. Owner Term Notice
Owner must give 90 days notice to EHA and Household before terminating the lease and HAP
Contract because of business or economic reasons ("opt-out"). The EHA must notify the owner
that the HAP Contract will terminate due to insufficient funding ("expiration").The HAP
Contract automatically terminates after 180 calendar days after the last housing assistance
payment to the owner.
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K. Absence from Unit
Household may be absent from the unit no more than 180 consecutive calendar days for any
reason. If the absence is due to illness, tenant is allowed up to the maximum days dependent
on a doctor's recommendation. If absence is due to vacation or visits to relatives, the maximum
time allowed is two months.
L. Household Break-Up
When a court determines the disposition of property between members of the assisted
Household in a divorce or separation under a settlement or judicial decree, the EHA is bound by
the court's determination of which Household members continue to receive assistance. If there
is no court order, then assistance remains with the adult Household members of the original
assisted unit.
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SECTIONection XIII.SPECIAL PROGRAMS
A. Homeownership
1. GENERAL PROVISIONS.
The Section 8 Homeownership Program of the EHA permits Eligible participants in the
Section 8 HCV program, housing choice voucher program, including participants with
portable vouchers, the option of purchasing a home with their Section 8 HCV assistance
rather than renting. The homeownership option is limited to five percent (5%) of the total
Section 8 HCV voucher program administered by the EHA in any fiscal year, provided
that disabled families shall not be subject to the 5% limit.
Eligible applicants for the Section 8 homeownership program must have completed an
initial Section 8 HCV lease term, must not owe the EHA or any other Housing Authority
any outstanding debt, and must meet the eligibility criteria set forth herein.
Section 8 homeownership assistance may be used to purchase the following type of
homes within the City of Encinitas: new or existing single-family, condominium, planned
use developments, cooperatives, lofts, live/work units, or manufactured homes. The
EHA also will permit portability of Section 8 homeownership assistance to another
jurisdiction, provided the receiving jurisdiction operates a Section 8 homeownership
program for which the Section 8 homeownership applicant qualifies or authorizes the
EHA to administer the homeownership assistance in their jurisdiction.
2. PARTICIPANT ELIGIBILITY REQUIREMENTS.
Participation in the Section 8 homeownership program is voluntary. Each Section 8
homeownership participant must meet the general requirements for admission to the
Section 8 HCV housing choice voucher program as set forth in the
Plan.
Such Section 8 HCV participants also must be "eligible" to participate in the
homeownership program. The additional eligibility requirements for participation in
the
first-time homebuyer or have a family member who is a person with disabilities; (B) with
the exception of elderly and disabled households, meet a minimum income requirement
without counting income from "welfare assistance" sources; (C) with the exception of
elderly and disabled households, meet the requisite employment criteria; (D) have
completed an initial lease term in the Section 8 HCV housing choice voucher program;
(E) have fully repaid any outstanding debt owed to the EHA or any other Housing
Authority; (F) not defaulted on a mortgage securing debt to purchase a home under
the Section 8 homeownership option; and (G) not have any family member who has a
present ownership interest in a residence at the commencement of the homeownership
assistance.
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aA. First-Time Homebuyer.
Each Section 8 HCV participant, except families with a disabled member, must
be a first-time homebuyer. A "first-time homebuyer" means that no member of
the household has had an ownership interest in any residence during the three
yearspreceding commencement of the homeownership assistance.
However, the following exceptions are allowed: 1) a single parent or displaced
homemaker who, while married, owned a home with a spouse (or resided in a
home owned by a spouse) is considered a "first-time homebuyer"; 2) the right to
purchase title to a residence under a lease-purchase agreement shall not be
considered an "ownership interest."; and 3) a member of a cooperative (as
defined in 24 CFR § 982.4) also qualifies as a "first time homebuyer".
bB. Minimum Income Requirement.
(1) Amount of Income.
At the time the participant begins receiving the homeownership
assistance, the head of household, spouse, and/or other adult household
members who will own the residence, must have a gross annual income
at least equal to the Federal minimum hourly wage multiplied by 2000
hours.
(2) Exclusion of Welfare Assistance Income.
With the exception of elderly and disabled families, the EHA will disregard
any "welfare assistance" income in determining whether the participant
meets the minimum income requirement. Welfare assistance includes
assistance from Temporary Assistance for Needy Families ("TANF");
Supplemental Security Income ("SSI") that is subject to an income
eligibility test; food stamps; general assistance; or other welfare
assistance specified by HUD. The disregard of welfare assistance income
under this section affects the determination of minimum monthly income
in determining initial qualification for the homeownership program. It does
not affect the determination of income-eligibility for admission to the
Section 8 HCV housing choice voucher program, calculation of the
homeownership assistance payments.
cC. Employment History.
With the exception of disabled and elderly households, each participant must
demonstrate that one or more adult members of the household who will own the
home at commencement of the homeownership assistance is employed full-time
(an average of 30 hours per week) and has been continuously employed for one
year prior to execution of the sales agreement. In order to reasonably
accommodate a particithe EHA will exempt
families that include a person with disabilities from this requirement. The
Executive Director may also consider whether, and to what extent, an
employment interruption is considered permissible in satisfying the employment
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requirement.The Executive Director may also consider successive employment
during the one-year period and self-employment in a business.
dD. Completion of Initial Lease Term.
Applicants for and new participants in the Section 8 HCV housing choice voucher
program shall be ineligible for participation in the Section 8 homeownership
program until completion of an initial Section 8 HCV lease term and the
HCV housing choice
voucher program. Nothing in this provision will preclude Section 8 HCV
participants that have completed an initial lease term in another jurisdiction from
participating in the Section 8 homeownership program.
Ee. Repayment of Any Housing Authority Debts.
Participants in the Section 8 HCV housing choice voucher program shall be
ineligible for participation in the Section 8 homeownership program in the event
any debt or portion of a debt remains owed to the EHA or any other Housing
Authority. Nothing in this provision will preclude Section 8 HCV participants that
have fully repaid such debt(s) from participating in the Section 8 homeownership
program.
fF. Additional Eligibility Factors.
(1) Elderly and Disabled Households.
Elderly and disabled families are exempt from the employment
requirements set forth in Section XIII.A.2.c C.. above. In the case of an
elderly or disabled participant, the EHA will consider income from all
sources, including welfare assistance in evaluating whether the
household meets theminimum income required to purchase a home
through the Section 8 homeownership program.
(2) Prior Mortgage Defaults.
If a head of household, spouse, or other adult household member who
will execute the contract of sale, mortgage and loan documents has
previously defaulted on a mortgage obtained through the Section 8
homeownership program, the participant will be ineligible to participate in
the homeownership program.
3. PARTICIPATION REQUIREMENTS.
Once a participant is determined to be eligible to participate in the program, theyit must
comply with the following additional requirements: (A) complete a homeownership
counseling program approved by the EHA prior to commencement of homeownership
assistance; (B) within a specified time, locate the home proposed for purchase; (C)
submit a sales agreement containing specific components to the EHA for approval; (D)
allow the EHA to inspect the proposed homeownership dwelling to ensureassure that
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the dwelling meets appropriate housing quality standards; (E) obtain an independent
inspection covering major building systems; (F) obtain EHA approval of the
proposed mortgage (which must comply with generally accepted mortgage
underwriting requirements); and (G) enter into a written agreement with the EHA to
comply with all of its obligations under the Section 8 homeownership program.
Aa. Homeownership Counseling Program.
d on the
participant attending and successfully completing a homeownership and housing
counseling program provided or approved by the EHA prior to commencement of
homeownership assistance. The homeownership andcounseling program will
cover home maintenance; budgeting and money management; credit
counseling; negotiating purchase price; securing mortgage financing; finding a
home; fair housing; Real Estate Settlement Procedures Act (RESPA) obligations;
predatory lending issues and the advantages of purchasing and locating homes
in areas that do not have a high concentration of low-income families.
The counseling agency providing the homeownership and housing counseling
program shall either be approved by HUD or the program shall be consistent with
program. The EHA may require participants to partake in an EHA-approved
homeownership counseling program on a continuing basis.
Bb. Locating and Purchasing a Home.
(1) Type of Home.
AparticipantapprovedforSection8homeownershipassistancemay
AparticipantapprovedforSection8homeownershipassistancemay
purchasethefollowingtypeofhomeswithintheCityofEncinitas:anew
purchasethefollowingtypeofhomeswithintheCityofEncinitas:anew
orexistinghome,asingle-familyhome,acondominium,ahomeina
orexistinghome,asingle-familyhome,acondominium,ahomeina
plannedusedevelopment,acooperative,aloftorlive/workunit,ora
plannedusedevelopment,acooperative,aloftorlive/workunit,ora
manufacturedhometobesituatedonaprivatelyownedlotinamobile
manufacturedhometobesituatedonaprivatelyownedlotinamobile
homepark.Thehomemustbealreadyexistingorunderconstructionat
homepark.Thehomemustbealreadyexistingorunderconstructionat
thetimetheEHAdeterminestheparticipanteligibleforhomeownership
thetimetheEHAdeterminestheparticipanteligibleforhomeownership
assistance.InaccordancewithFederalRegulationsregardingportability,
assistance.InaccordancewithFederalRegulationsregardingportability,
participantsmaypurchaseahomeinanotherjurisdiction,providedthe
participantsmaypurchaseahomeinanotherjurisdiction,providedthe
receivingjurisdictionoperatesaSection8homeownershipprogramfor
receivingjurisdictionoperatesaSection8homeownershipprogramfor
whichtheSection8homeownershipapplicantqualifiesorauthorizesthe
whichtheSection8homeownershipapplicantqualifiesorauthorizesthe
EHAtoadministerthehomeownershipassistanceintheirjurisdiction.In
EHAtoadministerthehomeownershipassistanceintheirjurisdiction.In
theformercase,aparticipantsinvolvementintheSection8
theformercase,aparticipantsinvolvementintheSection8
homeownershipprogramwillbesubjecttotheSection8homeownership
homeownershipprogramwillbesubjecttotheSection8homeownership
programandpoliciesofthereceivingjurisdiction.
programandpoliciesofthereceivingjurisdiction.
(2) Purchasing a Home.
Once a home is located and a sales agreement approved by the EHA is
signed by the participant, the participant shall have up to three (3)
months, or such other time as is approved by the
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Director or set forth in the EHA-approved sales agreement, to purchase
the home.
(3) Failure to Complete Purchase.
If a Section 8 HCV participant is unable to purchase the home within the
maximum time permitted by the EHA, the EHA shall continue the
HCV housing choice voucher
program. The participant may not re-apply for the Section 8
homeownership program until they have been determined eligible for the
homeownership option.
(4) Lease-Purchase
Participants may enter into lease-purchase agreements while receiving
Section 8 HCVrental assistance. All requirements of the Section 8 HCV
housing choice voucher program apply to lease-purchase agreements,
except that participants are permitted to pay an extra amount out-of-
pocket to the owner for purchase related expensesa "homeownership
premium." Any "homeownership premium," defined as an increment of
value attributable to the value of the lease-purchase right or agreement,
is excluded from the
subsidy calculation, and must be absorbed by the participant. When a
lease-purchase participant is ready to exercise their option, they must
notify the EHA and apply for the homeownership option. If determined
eligible for homeownership assistance, the participant may be
admitted to the homeownership program and must meet all the
requirements of these policies.
Cc. Sales Agreement.
Prior to execution of the offer to purchase or sales agreement, the participant
must provide the financing terms to the EHA for approval. The sales agreement
must provide for inspection by the EHA and the independent inspection referred
to in Section XIII.A. 3.(d.E) and must state that the purchaser is not obligated to
purchase unless such inspections are satisfactory to the EHA. The contract also
must provide that the purchaser is not obligated to pay for any necessary repairs
without approval by the EHA. The sales agreement must provide that the
purchaser is not obligated to purchase if the mortgage financing terms are not
approved by the EHA pursuant to Section XIII.A.3.e. 3(F). The sales agreement
must also contain a seller certification that the seller is not debarred, suspended,
or subject to a limited denial of participation under 24 CFR part 24.
Dd. Independent Initial Inspection Conducted.
To ensure assure the home complies with the housing quality standards of the
Section 8program, homeownership assistance payments may not
commence until the EHA first inspects the home. An independent inspection of
existing homes covering major building systems also must be completed by a
professional selected by the participant and approved by the EHA. The EHA will
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not pay for the independent inspection. The independent inspection report
must be provided to the EHA. The EHA may disapprove the unit due to
information contained in the report or for failure to meet federal housing quality
standards.
Ee. Financing Requirements.
The proposed financing terms shall must be submitted to and approved by the
EHAprior to close of escrow. The EHA shall determine the affordability of the
ancing. In making such determination, the EHA may
take into account other participant expenses, including but not limited to child
care, unreimbursed medical expenses, education and training expenses and the
like. Certain types of financing, including but not limited to, balloon payment
mortgages, unless convertible to a variable rate mortgage, are prohibited and
may not be approved by the EHA. Seller-financing mortgages shall be
considered by the EHA on a case by case basis. If a mortgage is not FHA-
insured, the EHA will require the lender to comply with generally accepted
mortgage underwriting standards consistent with those of HUD/ FHA, Ginnie
Mae, Fannie Mae, Freddie Mac, California Housing Finance Agency (CHFA),
USDA Rural Housing Services, the Federal Home Loan Bank, or other private
lending institution.
Ff. Compliance with Family Obligations.
A participant must agree in writing to comply with all Ffamily Oobligations under
the Section 8 HCV Pprogram and the
obligations include (1) attending ongoing homeownership counseling, if required
by the EHA; (2) complying with the mortgage terms; (3) not selling or transferring
the home to anyone other than a member of the assisted family participant who
resides in the home while receiving homeownership assistance; (4) not
refinancing or adding debt secured by the home without prior approval by the
EHA; (5) not havingobtaining a present ownership interest and/or not acquiring
an ownership interest in another residence while receiving homeownership
assistance; and (6) supplying all required information to the EHA, including but
not limited to annual verification of household income, notice of change in
homeownership expenses, notice of move-out, and notice of mortgage default.
The Exhibit
IIAppendix A hereto.
Gg. Compliance Lien
Upon purchase of a home, the participant must execute documentation as
required by HUD and the EHA, consistent with State and local law, securing the
right to recapture the homeownership assistance in accordance with
Section XIII.5.c. C. below. The lien securing the recapture of homeownership
subsidy may be subordinated to a refinanced mortgage.
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4. AMOUNT OF ASSISTANCE.
The amount of the monthly assistance payment will be based on three factors: the
voucher payment standard for which the participant is eligible; the monthly
The EHA will pay the
lower of either the payment standard minus the total family contribution ("TFC") or the
ip expenses minus the TFC. The Section 8
participant will pay the difference.
aA. Determining the Payment Standard.
The voucher payment standard is the fixed amount the EHA annually establishes
as the "fair market" rent for a unit of a particular size located within the EHA
jurisdiction. In the homeownership program, the initial payment standard will be
the lower of either (1) the payment standard for which the participant is eligible
based on family size; or (2) the payment standard which is applicable to the size
of the home the participant decides to purchase. The payment standard for
subsequent years will be based on the higher of: (1) the payment standard in
effect at commencement of the homeownership assistance; or (2) the payment
income and size. The initial payment standard, for purposes of this comparison,
shall not be adjusted even if there is a subsequent decrease in participant size.
bB. Determining the Monthly Homeownership Expense.
Monthly homeownership expense includes all of the following: principal and
interest on the initial mortgage and any mortgage insurance premium (MIP)
incurred to finance the purchase and any refinancing of such debt; real estate
perthe EHA allowance; costs of major repairs and replacements per the EHA
allowance (replacement reserves); utility allowance per the
of utility allowances; principal and interest on mortgage debt incurred to finance
major repairs, replacements or improvements for the home including changes
needed to make the home accessible; and homeowner association dues, fees or
regular charges assessed, if any. Homeownership expenses for a cooperative
member may only include EHA approved amounts for 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 allowances for maintenance
expenses, major repairs and replacements and utilities; and principal and
interest on debt incurred to finance major repairs, replacements, or
improvements, including changes needed to make the home accessible.
cC. Determining the Total Family Contribution
The TFC is that portion of the homeownership expense that the participant must
lus any
gap between the payment standard and the actual housing cost. All participant
income (including publicassistance) will be counted to determine the
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assistance.
dD. Payment to Lender
The EHA will provide the lender with notice of the amount of the housing
assistance payment prior to close of escrow and will pay the
toward
otherwiserequired by the lender. The participant will be responsible to submit
their contribution to the lender unless otherwise required by the lender.
5. TERMINATION OF SECTION 8 HOMEOWNERSHIP ASSISTANCE.
a.Grounds for Termination of Homeownership Assistance
(1) Failure to Comply with Family Obligations Under Section 8 HCV Program
Homeownership Policies.
eownership assistance may be terminated if the
participant fails to comply with its obligations under the Section 8 HCV
program, the EHA homeownership policies, or if the participant defaults
on the mortgage. If required, the participant must attend and complete
ongoing homeownership and housing counseling classes. The participant
must comply with the terms of any mortgage incurred to purchase and/or
refinance the home. The participant must provide the EHA with written
notice of any sale or transfer of any interest in the home; any plan to
move out of the
income and homeownership expenses on an annual basis; any notice of
mortgage default received by the participant; and any other notices which
may be required pursuant to EHA homeownership policies. Except as
otherwise provided in this Section, the participant may not convey or
transfer the home to any entity or person other than a member of the
meownership assistance.
(2) Occupancy of Home.
Homeownership assistance will only be provided while the participant
resides in the home. If the participant moves out of the home, the EHA
will not continue homeownership assistance commencing with the month
after the participant moves out.
(3) Changes in Income Eligibility.
following annual recertification of the household income, but participation
in the Section 8 Homeownership Program shall continue until such time
as the assistance payment amounts to $0 for a period of six (6)
consecutive months.
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(4) Maximum Term of Homeownership Assistance.
Notwithstanding the provisions of Section XIII.A.5.a5(A), subparagraphs
(1) through (3), except for disabled and elderly families, a participant may
receive Section 8 homeownership assistance for not longer than ten (10)
years from the date of close of escrow unless the initial mortgage
incurred to finance purchase of the home has a term that is 20 years
or longer, in which case the maximum term is 15 years. Families that
qualify as elderly at the commencement of homeownership
assistance are not subject to a maximum term limitation. Families that
qualify as disabled families at the commencement of homeownership
assistance or at any time during the provision of homeownership
assistance are not subject to a maximum term limitation. If a disabled
participant or elderly participant ceases to qualify as disabled or elderly,
the appropriate maximum term becomes applicable from the date
homeownership assistance commenced; provided, however, that such
participant shall be eligible for at least six additional months of
homeownership assistance after the maximum term becomes applicable.
The time limit applies to any member of the household who has an
ownership interest in the unit during any time that homeownership
payments are made, or is a spouse of any member of the household who
has an ownership interest.
Bb. Procedure for Termination of Homeownership Assistance.
A participant in the Section 8 Homeownership program shall be entitled to the
same termination notice and informal hearing procedures as set forth in the
Administrative Plan of the EHA for the Section 8 HCV housing choice voucher
program.
cC. Recapture of Homeownership Assistance
In certain circumstances the homeownership assistance provided to the
participant is subject to total or partial recapture upon the sale or refinancing of
the home.Sales proceeds that are used by the participant to purchase a new
home with Section 8 homeownership assistance are not subject to recapture.
Further, a participant may refinance to take advantage of better terms without
any recapture penalty, provided that no proceeds are realized ("cash-out"). Only
"cash-out" proceeds from refinancing and sales proceeds not used to purchase a
new home with Section 8 assistance less those amounts provided for in CFR
§982.640 are subject to recapture. Further, the amount of homeownership
assistance subject to recapture shall automatically be reduced in annual
increments of 10% beginning one year from the purchase date. At the end of 10
years the amount of homeownership assistance subject to recapture will be zero.
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6. CONTINUED PARTICIPATION IN SECTION 8 HCV HOUSING CHOICE VOUCHER
PROGRAM.
aA. Default on FHA-Insured Mortgage.
If the participant defaults on an FHA-insured mortgage, the EHA may permit the
participant to move with continued Section 8 housing HCV choice rental
assistance if the participant demonstrates that they have it has (a) conveyed title
to the home to HUD or its designee, as required by HUD; and (b) moved from
the home within the period established or approved by HUD.
Bb. Default on non-FHA-Insured Mortgage.
If the participant defaults on a mortgage that is not FHA-insured, the EHA may
permit the participant to move with continued Section 8 HCV housing choice
voucher rental assistance if the participant demonstrates that they have it has (a)
conveyed title to the home to the lender, to the EHA or to its designee, as may
be permitted or required by the lender; and (b) moved from the home within the
period established or approved by the lender and/or the EHA. The EHA may or
7. EHA ADMINISTRATIVE FEE.
For each month that homeownership assistance is paid by the EHA on behalf of the
participant, the EHA shall be paid the ongoing administrative fee described in 24 CFR
§982.152(b).
8. WAIVER OR MODIFICATION OF HOMEOWNERSHIP POLICIES.
The Executive Director of the EHA shall have the discretion to waive or modify any
provision of the Section 8 homeownership program or policies not governed by statute
or regulation for good cause or to comply with changes in HUD regulations or directives.
B. ProjectBased Vouchers
Comment [KN28]:
Comment [KN28]:
Movedfromprevious
Movedfromprevious
location.Wordingstayedthesame.
location.Wordingstayedthesame.
The EHA may issue up to 20 vouchers for Project Based Rental Assistance. Administration of
the vouchers will comply with applicable regulations found in 24 CFR 983.
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APPENDIX A: SECTION 8 HOMEOWNERSHIP OBLIGATIONS
Comment [KN29]:
Comment [KN29]:
AppendixAwaschangedto
AppendixAwaschangedto
ExhibitIIandwasmovedtotheendoftheAdmin.
ExhibitIIandwasmovedtotheendoftheAdmin.
Plan,followingExhibitI.
Plan,followingExhibitI.
This form is to be signed by the homebuyer(s) in the presence of the Encinitas Housing
all clauses which you, the homebuyer(s), may not understand.
The following paragraphs describe your responsibilities under the Section 8 Homeownership
Program. If you or members of your household do not meet these responsibilities, through your
actions or your failure to act, you may be terminated from the Section 8 Homeownership
Program.
Family Obligations: You must comply with all Family Obligations of the Section 8
1.
Housing Choice Voucher Program, excepting only the prohibition against owning or
having an interest in the unit. Family Obligations §§ 982.551(c), (d), (e), (f), (g) and (j)
do not apply to the Section 8 Homeownership Program.
2.
Housing Counseling: All participant family members (i.e. those signing the purchase
offer and loan documents) must satisfactorily complete an EHA provided or approved
counseling program prior to commencement of homeownership assistance. EHA may
require any or all participant family members to attend additional housing counseling
classes as a condition of continued assistance.
3.
Purchase Contract: You must include contract conditions in any Offer to Purchase that
Quality Standards; (b) to review and approve a professional home inspection report
obtained by you from a EHA approved inspector; and (c) approve the terms of your
proposed financing. Advise your Realtor of these requirements.
4.
Mortgage Obligations: You must comply with the terms of any mortgage incurred in the
ounselor
within five (5) days of receipt of any late payment or default notice.
5.
Occupancy: You must occupy the unit as your principal residence. You may not transfer,
ay
notify EHA in writing at least 30 days prior to moving out of the house for a period of 30
days or longer or prior to any sale, transfer, assignment, lease or other form of
alienation of the assisted property.
6.
Maintenance: You must maintain the property in a decent, safe and sanitary manner.
You must allow EHA to inspect the property within one-week of a demand by EHA to
conduct an inspection. You must correct any notice of deficiency issued by EHA within
the time limit specified in the notice. If you fail to adequately maintain the property, EHA
may divert the maintenance and replacement reserves portions of the Homeownership
Assistance Payment to an escrow account to be used to pay for reasonable and
necessary maintenance expenses.
7.
Annual Re-examination: You must annually provide EHA with current information
regarding participant income and composition in a format required by EHA.
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8.
Refinancing: You must notify EHA in writing of any proposal to refinance the original
purchase mortgage or of any proposal to encumber the property with secondary
documents.
9.
Default: In the event of a default on your mortgage obligation, you must cooperate with
EHA and the lender to minimize any loss to the lender in order to maintain your eligibility
to continue as a participant in the Section 8 Housing Choice Voucher Program.
10.
Recapture: You must sign and have recorded a lien, in a form required by HUD,
to you upon your sale or refinancing of the home within a 10 year period after the
purchase date. The amount of recapture shall be calculated in accordance with HUD
regulations and shall be subject to automatic reduction in 10% increments annually
beginning one year from the purchase date.
By signing below, I attest that I have read and understood my obligations as a participant in the
Section 8 Homeownership Program and I agree to abide by these responsibilities. I understand
that EHA may terminate my homeownership assistance if I violate any of these obligations, but
that I may request an informal review of any proposed notice of termination prior to it becoming
effective.
Participant Date
Participant Date
B. Project Based Vouchers
The Housing Authority may issue up to 20 vouchers for Project Based Rental Assistance.
Administration of the vouchers will comply with applicable regulations found in 24 CFR 983.
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SECTION XIV. TERMINATION OF ASSISTANCE
A. Termination Because of Household Action or Inaction.
1. Denial of assistance for an applicant may include any or all of the following:
denying listing on the EHA waiting list,
denying or withdrawing a certificate or voucher,
refusing to enter into a HAP contract or approve a lease; and
refusing to process or provide assistance under portability procedures.
2. 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 existing outstanding HAP
contract; and
refusing to process or provide assistance under portability procedures.
B. Grounds for Denial or Termination of Assistance.
1. If the Household violates any Household obligations under the program.
2. If any member of the Household has ever been evicted from public housing.
3. If any Housing Authority has ever terminated assistance under the certificate or
voucher program for any member of the Household.
4. If any member of the Household commits drug-related criminal activity or violent
criminal activity.
5. If any member of the Household commits fraud, bribery or any other corrupt or
criminal act in connection with any federal housing program.
6. If the Household currently owes rent or other amounts to the EHA or to another
Housing Authority in connection with Section 8 HCV program or public housing
assistance.
7. If the Household has not reimbursed any housing authority for amounts paid to
an owner under a HAP contract for rent, damages to the unit, or other amounts
owed by the Household under the lease.
8. If the Household breaches an agreement with the EHA to pay amounts owed to
the EHA or amounts paid to an owner by the EHA.
9. If a Household participating in the Family Self-Sufficiency (FSS) program fails to
comply, without good cause, with the Household's FSS contract of participation.
10. If the Household has engaged in or threatened abusive or violent behavior
toward EHA personnel or contractors.
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C. EHA Discretion to Consider Circumstances.
In deciding whether to deny or terminate assistance, the EHA has discretion to consider all of
the circumstances in each case, including the seriousness of the case, the extent of
participation or culpability of individual Household members, and the effects of denial or
termination of assistance on other Household members who were not involved in the action or
failure.
The EHA may impose, as a condition of continued assistance, a requirement that Household
members who participated in or were culpable for the action or failure will not reside in the unit.
With this condition, tThe EHA may permit the other members of a participant Household to
continue receiving assistance.
D. Requirement to Sign Consent Forms.
The EHA shall must deny or terminate assistance if any member of the Household fails to sign
or submit consent forms for obtaining information.
E. Restriction on Assistance to Non-citizens.
The Household shallmust submit required evidence of citizenship or eligible immigration status.
F.Violence Against Women Act (VAWA)
Comment [KN30]:
Comment [KN30]:
Thisitemwasaddedin
Thisitemwasaddedin
accordancewithHUDregulations.
accordancewithHUDregulations.
Denial of assistance to an applicant or termination of assistance of a participant for criminal
activity is subject to the provisions of the Violence Against Women Act of 2005 as described
below:
1. Being a victim of domestic violence, dating violence or stalking is not a basis for
denial of assistance or admission to assisted housing if the applicant otherwise
qualifies for assistance or admission.
2. Incidents or threats of abuse will not be construed as serious or repeated violations
of the lease agreement or other ,
tenancy, or occupancy rights of a victim or abuse.
3. The EHA has authority to terminate voucher assistance for certain family members
while permitting other members of a participant family to continue receiving
assistance (providing the culpable family member will no longer reside in the unit).
this administrative discretion is not dependent on a
bifurcated lease or other eviction action by the owner against an individual family
member.
4. Certification of Abuse: The EHA will request that the victim of abuse complete the
HUD form 50066 Certification of Domestic Violence, Dating Violence or Stalking.
This form must be provided within fourteen (14) business days from the date the
EHA requests it. Without the certification, the EHA may terminate assistance.
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SECTION XV. HOUSEHOLD OBLIGATIONS.
A. The Household must supply any information that the EHA or HUD determines is
necessary in the administration of the program, including submission of required
evidence of citizenship or immigration status. The information requested for the use in
regularly scheduled reexamination or interim reexamination of income and composition
must be supplied. Social security numbers must be disclosed and verified. All
information must be true and complete.
B. The Household is responsible for any violation of HQS caused by the Household. The
Household must allow the EHA to inspect the unit.
C. The Household may not commit any serious or repeated violation of the lease.
D. The Household must notify the EHA and the owner before the Household moves out of
the unit, or terminates the lease on notice to the owner.
E. The Household must promptly give the EHA a copy of any owner eviction notice.
F. The Household must use the assisted unit for residence by the Household. The unit
must be the Household's only residence.
The members of the household may engage in legal profit making business, but only if
such activities are incidental to the primary use of the unit as a residence for the
members of the Household.
G. The composition of the assisted Household residing in the unit must be approved by the
EHA. The Household must promptly inform the EHA of the birth, adoption or court-
awarded custody of a child. The Household must request the EHA approval to add any
other Household member as an occupant of the unit. A foster child or a live-in-aide may
reside in the unit with EHA approval.
H. The Household must not sublease or let the unit. The Household must not assign the
lease nor transfer the unit.
I. The Household must promptly notify the EHA if any Household member no longer
resides in the unit.
J. The Household must promptly notify the EHA of absence from the unit.
K. The Household must not own or have any interest in the unit.
L. The members of the Household must not commit fraud, bribery or any other corrupt or
criminal act in connection with the programs. Members of the Household may not
engage in drug-related criminal activity or violent criminal activity.
M. An assisted Household, or members of the Household, may not receive Section 8 HCV
tenant-based assistance while receiving another housing subsidy for another unit or for
a different unit under any duplicate federal, State or local housing assistance program.
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SECTION XVI. DEBTS OWED TO ENCINITAS HOUSING AUTHORITY
Comment [KN31]:
Comment [KN31]:
ThisSectionwasaddedin
ThisSectionwasaddedin
ordertobeconsistentwithHUDsHCVProgram
ordertobeconsistentwithHUDsHCVProgram
Guidebook,Chapter3,astowhichareasshouldbe
Guidebook,Chapter3,astowhichareasshouldbe
A. Owner
addressedinaHousingAuthoroitysAdmin.Plan
addressedinaHousingAuthoroitysAdmin.Plan
andisconsistentwithotherlocalAdmin.Plans.
andisconsistentwithotherlocalAdmin.Plans.
If an owner is indebted to the EHA as a result of an overpayment, the owner will be
requested to either pay the amount due in full or be advised that the overpayment will be
deducted from future housing assistance payment(s) until the overpayment is paid. If
the owner fails to pay the amount owed and there is not a future Housing Assistance
Payment to offset the overpayment, the owner will be banned from renting to future
Section 8 HCV participants until the debt is resolved.
B. Applicant
An applicant must pay in full all debts, if any, owed to the EHA or any other Housing
Agency before being admitted to the rental assistance program. An exception may be
made if the applicant is current on a repayment agreement.
C. Participant
A participant, including a participant under portability, with repayment agreements in
good standing will be allowed to continue making payments under such agreements
until the debt is paid in full. Failure to make timely payments will be grounds for
termination of benefits. However, if a participant wishes to move or port to another
jurisdiction, the balance must be paid in full prior to execution of a new contract. The
EHA may approve an exception to this provision if the family demonstrates that they
have made timely payments in accordance with the Repayment Agreement and the
family may suffer a hardship if they are unable to relocate or exercise portability.
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SECTION XVII.FAMILY SELF-SUFFICIENCY PROGRAM
A. Purpose.The purpose of the Family Self-Sufficiency (FSS) program is to provide
supportive services which enable Section 8HCVfamilies to achieve economic independence
and self-sufficiency. To participate in the FSS, tThe Household and the EHA Housing Authority
of the City of Encinitas shall enter into a contract which outlines resources and services
available for the Household. The Household has special responsibilities under the FSS contract.
A special escrow account is established with increased rents which would have been paid to the
EHAAuthority if the Household's income is increased through suitable employment.
B. Selection of Participants.
Only Section 8 HCV participants may be selected considering the following criteria:
1. Participants who have expressed interest.
2. Fifty percent (50%) of the slots in the FSS program may be targeted to
participants with one or more Household members currently enrolled or on the
waiting list for one or more FSS related service programs such as Job
Opportunities and Basic Skills Training (JOBS) or Jobs Training Partnership Act
(JTPA).
3. Fifty percent (50%) of the FSS slots will be based on the date the Household
expressed interest.
4. FSS families moving to the EHAsHousing Authority of the City of Encinitas'
jurisdiction (portables) will be selected for the FSS program based on criteria
selection.
5. If a Household previously participated in the FSS program with either the EHA
Housing Authority of the City of Encinitas or another authority and was
terminated from the FSS Program, the Household may not be selected for
participation a second time.
6. If the Household owes the EHA Housing Authority of the City of Encinitas money
in connection with Section 8 HCV assistance, they may be denied participation in
the FSS Program.
7. Families shall be selected without regard to race, color, creed, religion, sex,
disability, handicap or national origin.
C. Terminating FSS and Section 8 HCV Assistance.
1. Committing program fraud, such as misrepresentation of income, assets, and
deductions; misrepresentation of Household composition; or illegal activity, is
grounds for termination from the Section 8 programs and the FSS program.
Withholding services is not an option for the above families.
2. If the head of the FSS Household does not seek and maintain employment as
specified in the FSS contract of participation or never finds employment during
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the contract's five year term, the Household has not met its FSS obligations and
shall will beterminated from the FSS program and the Section 8 HCV assis-
tance.
3. Section 8 HCV Informal Hearing Procedures will apply to the families terminated
from the Family Self- Sufficiency Program as set forth in Exhibit I hereto.
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EXHIBIT I
SECTION 8 HOUSING CHOICE VOUCHER PROGRAM (HCV) INFORMAL REVIEW AND
HEARING PROCEDURES
INFORMAL REVIEW FOR APPLICANTS
If an applicant is determined to be ineligible for a Section 8 program on the basis of income,
Household composition or for any other reason, the applicant shall be notified promptly by letter
of the determination including the reasons. The applicant shall be informed in the letter of their
right to an informal review, if requested within 10 days from the date of the letter, to make
written or oral objections to the EHA determination.
The review shall be conducted by any person or persons designated by the EHA, other than the
person who made or approved the decision under review or a subordinate of this person.
If, after the review, the applicant is still determined to be ineligible, the applicant shall be notified
in writing, including a brief statement of the reasons for the final decision. The EHA shall retain
for three years a copy of the application, notice to the applicant, and the applicant's responses.
INFORMAL HEARINGS FOR PARTICIPANTS
A1. When a hearing is required.
The EHA must give a participant Household an opportunity for an informal hearing to consider
whether the following EHA decisions relating to the individual circumstances of a participant
Household are in accordance with the law, HUD regulations, and EHA policies:
1A. A determination of the Household's annual or adjusted income, and the
computation of the housing assistance payment.
2B. A determination on the appropriate utility allowance.
3C. A decision to deny or terminate assistance on behalf of the participant because
of the Household's action or inaction.
4D. A determination that a certificate Household is residing in a unit with a larger
number of bedrooms than appropriate under the EHA standards together with
the EHA's denial of the Household's request for an exception from the standards.
5E. A determination of the Household unit size under the EHA subsidy standards.
6F. A determination to terminate assistance because the participant Household has
been absent from the assisted unit for longer than the maximum period permitted
under EHA policy and HUD rules.
The EHA must give the opportunity for an informal hearing under items 3, 4, and6c,d,f above
before the EHA terminates housing assistance payments for the Household under an existing
outstanding HAP contract.
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B2. When a hearing is not required.
The EHA is not required to provide the Household an opportunity for an informal hearing for any
of the following:
1.A.Discretionary administrative determinations by the EHA.
2.B.General policy issues or class grievances.
3.C.Establishment of the EHA schedule of utility allowances.
4.D.An EHA determination not to approve an extension or suspension of a certificate
or voucher term.
5.E.An EHA determination not to approve a unit or lease.
6.F.An EHA determination that an assisted unit is not in compliance with HQS.
(However, the EHA must provide the opportunity for a hearing on a decision to
terminate assistance for a breach of the HQS caused by the Household.)
7.G.An EHA determination that the unit is not in accordance with HQS because of
the Household size.
8.H. A determination by the EHA to exercise or not to exercise any right or remedy
against the owner under a HAP Contract.
C3. Procedure.
The EHA must notify the Household promptly, in writing, that they may ask for an informal
review which would include an explanation of the basis of the EHA determination, and if they
do not agree, the Household may request an informal hearing on the decision. The Household
must submit, in writing, a request for an informal hearing within ten (10) working days of receipt
of their notification of the termination. The written request is not subject to any formal format,
but must include a statement as to why the decision is unfair and what relief is sought by the
applicant/participant.
The informal hearing shall be conducted by an agency-appointed Hearing Officer. The Hearing
Officer shall will not have made or approved the decision under review or be a subordinate of
theis person who made the decision.
The Household shall must be given the opportunity to examine, before the hearing, any EHA
documents that are directly relevant to the hearing. The Household shall must be allowed to
copy any such document at the Household's expense. If the EHA does not make the document
available for examination on request of the Household, the EHA may not rely on the document
at the hearing.
The EHA shall must be given the opportunity to examine at the EHA or contractor's offices any
Household documents that are directly relevant to the hearing. The EHA or contractor shall y
must be provided this opportunity before the hearing. The EHA shall must be allowed to copy
any such documents at their own expense. If the Household does not make the document
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available for examination, the Household may not rely on the document at the hearing.
The Household may, at its own expense, have an attorney or other representative.
This is a non-judicial hearing, so no formal procedure need be followed. It is the discretion of
the Hearing Officer as to how the hearing is to be conducted. However, it shall be the respon-
sibility of the Officer to insure the adequate information is brought and that the order of the
hearing proceeds as follows:goes accordingly. The Officer shall will always identify the session
(parties present, date, time and place), and read the initial agency determination which
prompted the hearing. The Officer is to make pertinent notes and acknowledge material and
testimony needed to make a reasonable determination. (The need or use of foran audioa tape
recording and/oratranscript of the proceedings shall be at the discretion of the Hearing Offi-
cer). However, a request by the Household for an audio taping to be done, shall willbe
honored.
The Household has the right to present evidence and question all witnesses. Evidence may be
considered without regard to admissibility under the rules of evidence applicable to judicial
proceedings.
D4. Decision
.
The decision, in writing, shall be issued in writing by the Hearing Officer and shall briefly state
the reasons (applicable federal regulations and program guidelines) for the particular
determination. Factual determinations relating to the individual circumstances of the Household
shall be based on a preponderance of the evidence presented at the hearing. A copy of the
decision shall be sent to the Household by certified and first class mail, return receipt
requested, within ten (10) working days after the conclusion of the hearing. If the landlord is to
have a notice of the decision, it shall not contain the entire determination; but only the final
decision "summary."
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EXHIBIT II
Comment [KN32]:
Comment [KN32]:
ExhibitIIwasrenamedfrom
ExhibitIIwasrenamedfrom
AppendixAandwasmovedherefromSection
AppendixAandwasmovedherefromSection
XIII.
XIII.
SECTION 8 HOMEOWNERSHIP FAMILY OBLIGATIONS
This form is to be signed by the homebuyer(s) in the presence of the Encinitas Housing
staff. The EHA staff will explain any and all clauses which you, the
homebuyer(s), may not understand.
The following paragraphs describe your responsibilities under the Section 8 Homeownership
Program. If you or members of your household do not meet these responsibilities, through your
actions or your failure to act, you may be terminated from the Section 8 Homeownership
Program.
1. Family Obligations: You must comply with all Family Obligations of the Section 8 HCV
program, excepting only the prohibition against owning or having an interest in the unit.
Family Obligations §§ 982.551(c), (d), (e), (f), (g) and (j) do not apply to the Section 8
Homeownership Program.
2.Homeownership Counseling: All participant family members (i.e. those signing the
purchase offer and loan documents) must satisfactorily complete an EHA provided or
approved homeownership counseling program prior to commencement of
homeownership assistance. The EHA may require any or all participant family members
to attend additional homeownership counseling classes as a condition of continued
assistance.
3. Purchase Contract: You must include contract conditions in any Offer to Purchase that
give the
Housing Quality Standards; (b) to review and approve a professional home inspection
report obtained by you from an EHA approved inspector; and (c) approve the terms of
your proposed financing.Advise your Realtor of these requirements.
4. Mortgage Obligations: You must comply with the terms of any mortgage incurred in the
purchase of the property and must notify the EHA and the
Program Counselor within five (5) days of receipt of any late payment or default notice.
5. Occupancy: You must occupy the unit as your principal residence. You may not transfer,
sell, or assign any interest in the property without the
may not rent or lease any part of the premises without the
You must notify the EHA in writing at least 30 days prior to moving out of the house for a
period of 30 days or longer or prior to any sale, transfer, assignment, lease or other form
of alienation of the assisted property.
6. Maintenance: You must maintain the property in a decent, safe and sanitary manner.
You must allow the EHA to inspect the property within one-week of a demand by the
EHA to conduct an inspection. You must correct any notice of deficiency issued by the
EHA within the time limit specified in the notice. If you fail to adequately maintain the
property, the EHA may divert the maintenance and replacement reserves portions of the
Homeownership Assistance Payment to an escrow account to be used to pay for
reasonable and necessary maintenance expenses.
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7. Annual Reexamination: You must annually provide the EHA with current information
regarding participant income and composition in a format required by the EHA.
8. Refinancing: You must notify the EHA in writing of any proposal to refinance the original
purchase mortgage or of any proposal to encumber the property with secondary
financing and obtain the
loan documents.
9. Default: In the event of a default on your mortgage obligation, you must cooperate with
the EHA and the lender to minimize any loss to the lender in order to maintain your
eligibility to continue as a participant in the Section 8 HCV program.
10. Recapture: You must sign and have recorded a lien, in a form required by HUD,
securing the ship assistance
provided to you upon your sale or refinancing of the home within a 10 year period after
the purchase date. The amount of recapture shall be calculated in accordance with HUD
regulations and shall be subject to automatic reduction in 10% increments annually
beginning one year from the purchase date.
By signing below, I attest that I have read and understood my obligations as a participant in the
Section 8 Homeownership Program and I agree to abide by these responsibilities. I understand
that the EHA may terminate my homeownership assistance if I violate any of these obligations,
but that I may request an informal review of any proposed notice of termination prior to it
becoming effective.
Participant Date
Participant Date
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Attachment C
Clean Version of the
Section 8 Housing Choice Voucher Program
Administrative Plan
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ADMINISTRATIVE PLAN
SECTION 8 HOUSING CHOICE VOUCHER PROGRAM
HOUSING AUTHORITY OF THE CITY OF ENCINITAS, CA
"POLICY HANDBOOK"
Approved by Board of Commissioners: June 22, 1994
Amended by Board:November 16, 1994
Clarified for HUD: February 17, 1995
Amended by Board:November 15, 1995
Amended by Board:March 25, 1998
Amended by Board:April 28, 1999
Amended by Board:May 22, 2002
Amended by Board:March 26, 2003
Amended by Board:December 17, 2003
Amended by Board: August 25, 2004
Amended by Board: July 19, 2006
Amended by Board: March 9, 2016
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"POLICY HANDBOOK"
TABLE OF CONTENTS
TITLE PAGE
SECTION I. ADMINISTRATIVE POLICY 1
SECTION II. GENERAL INFORMATION 2
A. Definition of Terms
1. Agreement for Mutual Recision of Lease 2
2. Allowance for Utilities 2
3. Annual Contributions Contract ("ACC") 2
4. Gross Annual Income 2
5. Adjusted Gross Income 2
6. Applicant 2
7. Asset Income 2
8. Child Care Expenses 2
9. Citizenship and Immigration Status 2
10. Contract 3
11. Contract Rent 3
12. Continuously Assisted Person 3
13. Dependent 3
14. Disabled Individual 3
15. Displaced by Government Action 3
16. Elderly Individual 3
17. Extremely Low Income Household 3
18. Fair Market Rent 3
19. Family 3
20. Full-Time Student 4
21. Gross Rent 5
22. Hard to House Family 5
23. Head of Household 5
24. Homeless Family 5
25. Homeless Individual 5
26. Housing Assistance Payments Contract ("Contract") 5
27. Household 5
28.HUD 5
29. Lease 5
30. Lower-Income Household 5
31. Medical Expenses 5
32. Mutual Recision 5
33. Mutual Recision With Continued Eligibility 5
34. Mutual Recision Without Continued Eligibility 6
35. Net Household Assets 6
36. Owner 6
37. Participant 6
38. Payment Standard 6
39. Portability 6
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40. Remaining Member of a Tenant Household 6
41. Resident 6
42. Subsidy Standards 6
43. Suspension 6
44. Tenant Rent 6
45. Total Tenant Payment 7
46. Utility Allowance 7
47. Utility Reimbursement 7
48. Very Low-Income Household 7
49. Veteran 7
50. Violent Criminal Activity 7
51. Voucher Contract 7
52. Voucher 7
53. Voucher Payment 8
54. Working 8
SECTION III. CONDITIONS GOVERNING ELIGIBILITY 9
A. Eligibility for Participation 9
B. Eligibility for Continued Participation 9
SECTION IV.APPLICATIONS AND WAITING LISTS 10
A. Public Notice to Lower-Income Families 10
B. Receipt of Applications 10
C. Establishment of a Waiting List 10
D. Denial of Admission 10
E. Removal from Waiting List 12
F. Notice to Families Determined to be Ineligible 12
G. Notice to Families Determined to be Eligible 12
H. Merger and Cross Listing 12
I. Cooperative Waiting List 12
SECTION V. SELECTION OF FAMILIES FOR ISSUANCE OF 14
VOUCHERS
A. Governing Conditions 14
B. Order of Preference in the Selection of Families to be Issued a 14
Voucher
C. Time and Date Sequence of Applications 14
SECTION VI. DETERMINATION OF INCOME FOR ELIGIBILITY 15
AND TOTAL TENANT PAYMENT
A. Procedure for Determination of Income for Eligibility 15
B. Annual Income Sources and Computation 15
C. Total Tenant Payment 18
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SECTION VII. DETERMINATION OF ELIGIBILITY FOR 19
ISSUANCE OF VOUCHERS
A. Verification of Eligibility 19
B. Procedure Governing Determination of Eligibility 19
C. Verification and Documentation of Application Data 20
D. Summary of Verification Data 21
SECTION VIII.SUBSIDY STANDARDS FOR ISSUANCE OF 22
VOUCHERS
SECTION IX.ISSUANCE OF VOUCHER 23
A. Procedure Governing Issuance of Voucher 23
B. Expiration and Extension of Voucher 25
C. Suspension 25
D. Payment Standard 25
SECTION X.HOLDERS OF VOUCHERS 26
A. Finders Keepers Policy/Where the Household Can Live 26
B. Assistance of Public Housing Authority 26
C. Household Moves 26
D. Portability 27
SECTION XI.LEASING OF DWELLING UNITS TO VOUCHER 29
HOLDERS
A. Information to Owner 29
B. Request to Encinitas Housing Authority (EHA) for Lease Approval 29
C. Rent Reasonableness 30
D. Decent, Safe, and Sanitary Condition of Unit 30
E. Security Deposits 30
F. Household Move Out 31
G. Household Move out with Continued Tenant Based Assistance 31
H. Approval of Lease 32
I. Amount of Rent Payable by The Household 33
J. Notice to Owner and Household 33
K. Owners Responsibilities and Breach of Contract 34
L. Business in Unit 34
SECTION XII. REEXAMINATION OF HOUSEHOLD ELIGIBILITY 35
AND REDETERMINATION OF INCOME
A. Periodic Reexamination of Household Status and Income 35
B. Special Reexaminations 35
C. Interim Redetermination of Annual Income and Adjustment of 35
Rent
D. Reexamination Procedures 37
E. Notice to Household and Owner Following Reexamination 38
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F. Termination of Payments Due to Household Ineligibility 39
G. Instances of Misrepresentation of Non-compliance by the 39
Household
H. Annual Inspection of Unit 40
I. Evictions/Termination of Tenancy 40
J. Owner Term Notice 41
K. Absence From Unit 41
L. Household Break Up 42
SECTION XIII. SPECIAL PROGRAMS 43
A. Homeownership 43
B. Project Based Vouchers 52
SECTION XIV. TERMINATION OF ASSISTANCE 53
A. Termination Because of Household Action or Inaction 53
B. Grounds for Denial or Termination of Assistance 53
C. Encinitas Housing Authority (EHA) Discretion to Consider 54
Circumstances
D. Requirement to Sign Consent Forms 54
E. Restriction on Assistance to Non-Citizens 54
F. Violence Against Women Act (VAWA) 54
SECTION XV. HOUSEHOLD OBLIGATIONS 55
SECTION XVI. DEBTS OWED TO ENCINITAS HOUSING AUTHORITY 56
A. Owner 56
B. Applicant 56
C. Participant 56
SECTION XVII.FAMILY SELF-SUFFICIENCY PROGRAM 57
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EXHIBITS
EXHIBIT TITLE
I Section 8 Housing Choice Voucher Program (HCV) Informal Review and
Hearing Procedures
II Section 8 Homeownership Family Obligations
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ADMINISTRATIVE PLAN
SECTION 8 HOUSING CHOICE VOUCHER PROGRAM
HOUSING AUTHORITY OF ENCINITAS, CALIFORNIA
SECTION I. ADMINISTRATIVE POLICY OF THE HOUSING AUTHORITY OF THE CITY OF
ENCINITAS DEPARTMENT OF HOUSING AND URBANDEVELOPMENT PROGRAMS
(HUD).The Housing Authority Law of the State of California, Health and Safety Code Section
34327.5, provides that the federal agency from which the housing authority receives funds shall
have the exclusive power to determine the type, amount and manner of expenditure of those
funds so long as those determinations relate to the law or contract under which the funds are
received. This Administrative Plan is intended to comply with existing HUD regulations and
handbook provisions promulgated under Section 8 of the United States Housing Act of 1937 as
amended. Any variation between this Administrative Plan and the rules and regulations of the
Department of Housing And Urban Development shall be resolved in favor of the determination
made by HUD. Changes in HUD rules regarding the type, amount and manner of expenditure
of any funds received from HUD shall be deemed incorporated into this Administrative Plan
automatically and staff changes to this Administrative Plan to incorporate such HUD rules shall
be deemed to have been authorized by the Housing Authority Board of Commissioners unless
expressly repudiated by said Board at its next regular meeting.
It is the intent of this provision to allow staff to comply with HUD rules in order to facilitate the
administration of these HUD programs for the best interests of the program recipients with the
least amount of administrative disruption and controversy.
Where there is no mandatory federal guidance, PHAs must comply with state law, if it exists.
Where state law is more restrictive than federal law, but does not conflict with it, the PHA
should follow the state law.Where no law or HUD authority exists on a particular subject,
industry practice may support Public Housing Authority (PHA) policy. An industry practice is a
way of doing things that is followed by most housing authorities.
A. Administrative Fee Reserves
The Encinitas Housing Authority (EHA) Board of Commissioners must approve expenditures of
the administrative fee reserve in excess of $100,000. Such expenditures must be used for
other housing purposes, as defined by HUD.
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SECTION II. GENERAL INFORMATION
A. Definition Of Terms.
1. Agreement for Mutual Recision of Lease.The legal document accomplishing the
mutual recision which is signed by both lessor and lessee and states the
effective date of the action.
2. Allowance for Utilities. An amount determined by the EHA as an allowance for
the cost of utilities (except telephone) and other services paid directly by the
Household.Current utility allowances can be found on the City website located
at www.encinitasca.gov.
3. Annual Contributions Contract ("ACC").A written agreement between HUD and
the EHA to provide annual contribution to the EHA to cover Housing Assistance
Payments (HAP) and other expenses pursuant to the Act.
4. Gross Annual Income.The anticipated total annual income of an eligible
household from all sources before deductions for the 12-month period following
the date of determination of income, computed in accordance with Section VI.
5. Adjusted Gross Income.The annual gross income less:
A. $480.00 for each dependent (see Section II.A.13), and $400.00 for any
Elderly Individual or Family
B. Medical expenses (see Section II.A.31) which exceed 3 percent of the
annual income, and for any Elderly/Disabled Individual or Family.
C. Child care expenses (see Section II.A.8).
6. Applicant. Designates one who has submitted an application for Section 8 HCV
assistance. This application does not create an entitlement of any individual to
Section 8 HCVassistance.
7. Asset Income.Eligibility/annual income includes the higher of (1) annual income
from assets; or (2) if the net Household assets exceed $5,000, passbook rate set
by HUD.
8. Child Care Expenses.Amount anticipated to be paid by the Household for the
care of children under 13 years of age during the period of which annual income
is computed, but only where such care is necessary to enable a Household
member to be gainfully employed or to further his or her education. The amount
deducted shall reflect reasonable charges for child care, and, in the case of child
care necessary to permit employment, the amount deducted shall not exceed the
amount of income received from such employment.
9. Citizenship and Immigration Status.Citizen means a citizen or national of the
United States. Evidence of citizenship or eligible immigration status means the
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documents which must be submitted to evidence citizenship or eligible
immigration status.
10. Contract.See Housing Assistance Payment Contract.
11. Contract Rent.The rent payable to the owner under his contract including the
portion of the rent payable by the Household.
12. Continuously Assisted Person.An applicant is continuously assisted under the
1937 Housing Act if the Household is already receiving assistance under any
1937 Housing Act program when the Household is admitted to the voucher
program.
13. Dependent.A member of the household (excluding foster children) other than
the Family head or spouse, who is under 18 years of age or is an individual with
disabilities , or is a full-time student.
14. Disabled Individual.The EHA defines an individual with disabilities in
accordance with the Americans with Disabilities Act as amended pursuant to 28
CFR Part 35 §35.104.
15. Displaced by Government Action.An applicant is or will be involuntarily
displaced if the applicant has vacated or will have to vacate his or her housing
unit as a result of:
Activity carried on by an agency or U.S. or by any state or local
governmental body or agency in connection with code enforcement or a
public improvement or development program.
16. Elderly Individual.An individual who has attained age 62.
17. Extremely Low Income Household.A Household whose annual income does not
exceed 30 percent of the median income for the area, as determined by HUD,
with adjustments for smaller or larger Households.
18. Fair Market Rent.The rent, including utilities (except telephone, cable), ranges
and refrigerators, and all maintenance, management and other services, which
as determined at least annually by HUD, would be required to be paid in order to
obtain privately owned, existing, decent, safe, and sanitary rental housing of
modest (non-luxury) nature with suitable amenities. Separate fair market rents
(FMR) shall be established for dwelling units of varying sizes (number of
bedrooms).
19. Family.Thetermfamilyincludes,butisnotlimitedtothefollowing,regardless
Family.Thetermfamilyincludes,butisnotlimitedtothefollowing,regardless
ofactualorperceivedsexualorientation,genderidentity,ormaritalstatus:
ofactualorperceivedsexualorientation,genderidentity,ormaritalstatus:
1.Afamilymaybeasinglepersonortwoormorepersonswhoshare
1.Afamilymaybeasinglepersonortwoormorepersonswhoshare
residencyandwhosecombinedincomeandresourcesareusedtodetermine
residencyandwhosecombinedincomeandresourcesareusedtodetermine
financialeligibility.
financialeligibility.
2.Afamilyincludesahouseholdwithorwithoutachildorchildren.
2.Afamilyincludesahouseholdwithorwithoutachildorchildren.
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3.Afamilymaybeagroupofpersonsconsistingoftwoormoreelderly
3.Afamilymaybeagroupofpersonsconsistingoftwoormoreelderly
personsordisabledpersonslivingtogether,oroneormoreelderlyor
personsordisabledpersonslivingtogether,oroneormoreelderlyor
disabledpersonslivingwithoneormorelive-inaides.
disabledpersonslivingwithoneormorelive-inaides.
4.Afamilymaybeasingleperson.
4.Afamilymaybeasingleperson.
5.Asinglepersonmaybe:
5.Asinglepersonmaybe:
a.anelderlyperson;
a.anelderlyperson;
b.adisplacedperson;
b.adisplacedperson;
c.adisabledperson;or
c.adisabledperson;or
d.anyothersingleperson,suchastheremainingmemberofanassisted
d.anyothersingleperson,suchastheremainingmemberofanassisted
family.
family.
6. Elderly Family. A Family as defined above with a head of household who has
attained age 62.
7. Disabled Family. A Family as defined above with a head of household that
is a disabled individual. (see Section II.A.14)It may include two or more
elderly ordisabledpersons living together or one or more such persons living
with any other person who is determined to be essential to their care or well-
being.
8. The definition of "Family" does not exclude a person living alone during the
1
temporary absence of a Family member who will later live regularly as a
part of the Family.
9. A person necessarily residing with a Family by reason of employment by or
for such a Family (1) to permit the employment of a sole wage earner, or (2)
for the health and welfare of a sick or incapacitated member of the Family,
shall be considered as a member of the Family for the purpose of
determining Family income or established rent, providing that (1) such
person maintains no other home; (2) his or her income is available to the
Family; and (3) if the person is expected to contribute towards the Family's
support. In such cases, only that part of the income which is over and above
wages paid by the Family shall be included. Conversely, if the person is not
expected to and does not, therefore, contribute to the Family's support, his or
her income should not be counted. However, the head of the household
must then submit a doctor's certificate or such other certificate as may be
deemed necessary stating that his employment is necessary to the care and
well-being of the sick or incapacitated Family member, or to enable another
Family member to seek or obtain employment outside the home. If the
Family pays out-of-pocket for the care provided, such payments may be
deducted as unusual medical expenses (see Section II.A.31). Under no
circumstances will such an arrangement be continued longer than necessary
or permitted only for the convenience of the tenant or such employee. This
provision is applicable both for initial occupancy and continued participation
and is not restricted to Elderly Families.
20. Full-Time Student.A person who is carrying a subject load that is considered full
time for day students under the standards and practices of the educational
institution attended. An educational institution includes a vocational school with
a diploma or certificate program, as well as an institution offering a college
degree.
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21. Gross Rent. The total monthly cost of housing an eligible Household, which is
the same of the contract rent and any utility allowance for the assisted unit. In
the case of rental of only a manufactured home space, gross rent also includes
the Household's monthly payment to amortize the purchase price of the
manufactured home.
22. Hard to House Family. Families who experience difficulty renting appropriate
housing.
23. Head of Household.The "head of a Household" is that member actually looked
to and held accountable for the Household's needs.
24. Homeless Family. A family which is without housing, or residents of a recognized
homeless shelter or transitional housing facility, through no fault of their own.
25. Homeless Individual. An individual who is without housing, or resident of a
recognized homeless shelter or transitional housing facility, through no fault of
their own.
26. Housing Assistance Payments Contract ("Contract").A written contract between
EHA and an owner on behalf of an eligible Household.
27. Household. Refers to the person/s that reside within a residential unit. The
28. HUD.The United States Department of Housing and Urban Development or its
designee.
29. Lease.A written agreement between an owner and an eligible Household for the
leasing of an existing housing unit in accordance with the contract, which
agreement is in compliance with the provisions of this part.
30. Lower-Income Household.A Household whose annual income is between 50%
and 80% of the median income for the area, as determined by HUD with
adjustments for smaller and larger households. HUD may establish income
limits higher or lower than 80% of the median income for the area on the basis of
its finding that such variations are necessary because of the prevailing levels of
construction costs or unusually high or low household incomes.
31. Medical Expenses. Those medical expenses for Elderly/Disabled households
which are to be anticipated during the 12-month period for which the annual
income is computed, and which are not covered by insurance; however,
premiums for such insurance may be included as medical expenses.
32. Mutual Recision.When the lessor and lessee agree to completely rescind and
release each other from further responsibility in accordance with any executed
lease.
33. Mutual Recision With Continued Eligibility.A mutual recision where the lessee is
reissued their Voucher for the use on another approval unit.
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34. Mutual Recision Without Continued Eligibility.A mutual recision where the
lessee is not reissued their Voucher for use on another approved unit.
35. Net Household Assets. Value of equity in savings, checking, IRA and Keogh
accounts, real property, stocks, bonds and other forms of capital investment.
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 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.
36. Owner.Any person or entity, such as a cooperative or HUD, having the legal
right to lease or sublease existing housing.
37. Participant.A Household becomes a participant when the EHA executes a
contract with an owner for housing assistance payments on behalf of the
Household.
38. Payment Standard.The amount of the monthly maximum subsidy payment on
behalf of an eligible Household based on unit size.
39. Portability.Renting a dwelling unit with Section 8 HCVtenant based assistance
outside the jurisdiction of the initial housing authority.
40. Remaining Member of a Tenant Household.A Person left in anassisted unit
who may or may not normally qualify for assistance on their own circumstances
(for example, a widow, age 47, that is neither disabled nor elderly).
41.Resident.For the purpose of determining eligibility and applying preference, a
.
resident Household is one who is currently living in the City of Encinitas, or
whose head of household or spouse is employed in the City of Encinitas or who
has accepted employment in the City of Encinitas which will become effective
within 14 days from the date of application. For homeless persons to meet
residency test, applicant must prove that they normally stay within the City of
Encinitas. Examples of acceptable documentation include: letter from a social
services agency verifying that the applicant is homeless in Encinitas, or
42. Subsidy Standards.Standards to determine the appropriate number of
bedrooms and amount of subsidy for families of different sizes and compositions.
43. Suspension. Stop of the clock on the term of a voucher for the period of time
necessary for the EHA to approve/disapprove a request for lease approval.
44. Tenant Rent.(Formerly called Net Family Contribution). The amount payable
monthly by the Household as rent to the owner minus any utilities. Where all
utilities (except telephone) and other essential housing services are supplied by
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the owner, tenant rent equals Total Tenant Payment. Where some or all utilities
(except telephone) and other essential housing services are not supplied by the
owner and the cost thereof is not included in the amount as rent to the owner,
tenant rent equals Total Tenant Payment less the utility allowance.
In the case of a Household renting only a manufactured home space, tenant rent
equals the space rental minus the housing assistance payment, as defined in the
applicable Section 8 HCV program regulation.
45. Total Tenant Payment.(Formerly called Gross Family Contribution). The
portion of rent the Household is obligated to pay toward the contract rent. This
amount will be reduced by any allowance for tenant paid utilities and services.
46. 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 Household occupying the unit, an amount equal to the
estimate made or approved by EHA or HUD under applicable sections of the
regulations (see 24 CFR §§ 880, 881, 882, 883, 884 an 886) of the monthly
costs 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.
47. Utility Reimbursement.In the voucher program, the amount, if any, by which the
utility allowance for the unit, if applicable, exceeds the Total Tenant Payment for
the Household occupying the unit.
48. Very Low-Income Household.A lower income Household whose annual income
does not exceed 50 percent of the median income for the area, as determined by
HUD, with adjustments for smaller and larger Households. HUD may establish
income limits higher or lower than 50 percent of the median income for the area
on the basis of its finding that such variations are necessary because of unusu-
ally high or low Household incomes.
49. Veteran.Forthepurposeofdeterminingeligibilityandapplyingpreference,a
Forthepurposeofdeterminingeligibilityandapplyingpreference,a
Veteranisaheadofhouseholdorspousewhohasdischargedfrommilitary
Veteranisaheadofhouseholdorspousewhohasdischargedfrommilitary
serviceunderhonorableorgeneralconditions(withtheexceptionof
serviceunderhonorableorgeneralconditions(withtheexceptionof
dishonorable),oraspouseofadeceasedveteran.
dishonorable),oraspouseofadeceasedveteran.
50. 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
another person or property of another.
51. Voucher Contract.A written contract between the EHA and owner whereby the
EHA makes voucher payments to the owner on behalf of an eligible Household.
52. Voucher.A document issued by the EHA declaring a Household to be eligible
for participation in the Voucher Program and stating certain terms and conditions
of participation.
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53. Voucher Payment.Housing assistance payments made to owners on behalf of
eligible households.
54. Working. To be eligible for the working priority, a head of household must be
engaged in gainful employment averaging a minimum of fifteen (15) hours per
week or seven hundred eighty (780) hours per year. Documentation will be
required to receive credit for this priority.
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SECTION III. CONDITIONS GOVERNING ELIGIBILITY
A. Eligibility for Participation.To participate in the Section 8 HCV program only those
applicants are eligible:
1. Whose Eligibility Income (see Section VI), does not exceed the applicable
income limit for participation as established by HUD .Current income limits can
be found on the City website located at www.encinitasca.gov.Except with the
prior approval of HUD, no Household other than a Very Low-Income Household
shall be approved for admission.
The applicable income limit for voucher issuance is the income limit for the EHA
jurisdiction. The applicable income limit for admission (initial lease up) is the
income limit for the location where the Household actually leases the unit.
2. Who do not have an outstanding validated claim for rent and/or damages owed
to a Public Housing Authority (PHA) or Owner relative to previous participation
in a housing program administered by a PHA.
B. Eligibility for Continued Participation.To continue participation in the Section 8 HCV
program administered by the EHA, only those occupants are eligible:
1. Who qualify as the remaining member of an assisted Household:
a. In the event a participant Household separates, the Voucher for
continued participation shall stay with the members of the household who
continue to meet an
residence. An additional voucher can not be expected to be issued to
accomodate a separated Household.
2. Whose monthly Total Tenant Payment (see Section II.A.45) is less than the
gross rent as paid to the owner for the unit occupied.
3. Who follow the requirements of the program (see Section XV).
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SECTION IV. APPLICATIONS AND WAITING LISTS
A. Public Notice to Lower-Income Families.
1. Upon opening the wait list, this EHA shall make known to the public through
publication in a newspaper of general circulation, as well as through minority
media and other suitable means, the initial availability and nature of housing
assistance for Very-Low Income Families. (See Equal Housing Opportunity Plan)
B. Receipt of Applications.
1. Applications which are in compliance with the EHA advertisement are to be
accepted from all households apparently eligible for the issuance of a Voucher.
This rule is to hold unless the number of applicants with the maximum
preference points on the waiting list for Vouchers is such that there is no
reasonable prospect that additional applicants could be issued Vouchers within a
time deemed reasonable by staff. In such case, application taking will be
temporarily suspended. The suspension of application taking will be publicly
announced by publication of a notice in the media as specified in Paragraph A
above. The announcement will be utilized prior to the resumption of application
taking.
2. Each application shall reflect the date and time received, and shall be processed
as set forth in Section III.
3. The EHA must maintain records of applicants and participants which provide
HUD with data on race, gender and ethnicity.
C. Establishment of a Waiting List. The EHA shall maintain a waiting list of potentially
eligible applicant Households.
1. Each potentially eligible applicant shall be placed on the list and the file (or
appropriate type of control records) maintained in a manner so as to assure
compliance with the policies of selection set forth in Section V. Submission of an
application does not create an entitlement of any individual to Section 8 HCV
assistance.
D. Denial of Admission.The EHA may refuse to issue a Voucher to an applicant or
participant if:
1. The applicant or any member of his/her household has a documented history
of destruction and abuse of property.
2. The applicant or any member of his/her household has a history of criminal
activity involving crimes of physical violence to persons or property.
3. The applicant or any member of his/her household has engaged in drug-
related criminal activity or violent criminal activity as defined in 24 CFR §
982.553, or which could discredit the Housing Assistance Payments (HAP)
Program.
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4. The EHA has reasonable cause to believe that illegal drug use or a pattern of
illegal drug use by a household member may threaten the health, safety, or
right to peaceful enjoyment of the premises by other residents.
5. The EHA has reasonable cause to believe that abuse or a pattern of abuse
of alcohol by a household member may threaten the health, safety, or right to
peaceful enjoyment of the premises by other residents.
6. Any household member has ever been convicted of drug-related criminal
activity for the manufacturing or production of methamphetamine on the
premises of federally assisted housing.
7. A member of the family engaged in illegal drug-related activity during the
past five years that involved: sales, transportation, manufacturing or
posession for sale.
8. A member of the family engaged in violent criminal activity during the past
five years. Violent criminal activity is 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 likely to cause, serious bodily injury or
property damage.
9. The applicant or any member of his/her household currently owes rent or
other amounts to the EHA or to another PHA in connection with Section 8
HCV, Public Housing Assistance under the 1937 Housing Act or any other
program administered by the EHA.
10. As a previous participant in the Section 8 HCVprogram, or as participant in
any EHA program, has not reimbursed the EHA or another PHA for any
amounts paid to an owner under a housing assistance contract for rent or
other amounts owed by the Household under its lease, or for a vacated unit.
11. Has violated any Family Obligations as a participant in any of the EHA's
assisted housing programs.
12. Breaches or has breached a repayment agreement with the EHA.
13. Any family member has committed fraud in connection with any federal
housing assistance program.
14. If any member of the household is subject to a lifetime registration
requirement under a State Sex Offender Registration program.
15. If the household has engaged in or threatened abusive or violent behavior
towards EHA personnel.
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E. Removal from Waiting List.
The EHA may remove an applicant from the waiting list for a failure to respond to
requests for information or updates or refusal of assistance under the Voucher program.
The EHA updates the waiting list periodically, purging those applicants who do not
respond or are no longer interested.
F. Notice to Families Determined to be Ineligible
If an applicant is determined to be ineligible on the basis of income, Household
composition or for any other reason, the applicant shall be notified promptly by letter of
the determination and their reasons therefore. The applicant shall be informed in the
letter of their right to an informal review, if requested within 10 days from the date of the
letter, to make written or oral objections to the EHA determination. This review will be
conducted by someone other than the person who made the initial determination. If,
after the review, the applicant is still determined to be ineligible, the applicant shall be
notified in writing, including a brief statement of the reasons for the final decision. The
EHA shall retain for three years a copy of the application, notice to the applicant, and
the applicant's responses.
G. Notice to Families Determined to be Eligible
When a Voucher is available, the next Household on the waiting list shall be notified in
writing, advising its members to contact the Housing Authority office of said availability,
and giving them no less than seven (7) calendar days to schedule an appointment to
complete an application, provide required verifications and attend a briefing on the
Section 8 HCVprogram and issuance of a Voucher. In the event the Household
members fail to respond within the prescribed time or fail to keep their appointment for
the completion of an application, fail to provide required verification within the time
prescribed or fails to attend the briefing session, the application shall be canceled, and
the reason for cancellation noted on the face of the application, including the date of
cancellation, and the initials of the EHA staff person canceling the application. In the
event the Household fails to keep any of its scheduled appointments with good cause, at
the discretion of the Section 8 HCV Program Supervisor, the Household members may
be given the option to schedule a 2nd appointment as long as it occurs prior to the next
issuance of Vouchers.
H. Merger and Cross Listing.
The Housing Authority will merge the EHA tenant-based waiting list with other assisted
housing programs including federal or local programs. HUD program requirements still
apply to each separate housing program.
I. Cooperative Waiting List.
The EHA, the Housing Authority of the County of San Diego, the City of San Diego
Housing Commission, the cities of Oceanside and Carlsbad, agree to maintain a
cooperative waiting list for those applicants who live in the jurisdiction of the other
housing agency.
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Each housing agency will exchange waiting list applications (preserving the original time
and date of application for applicants residing in the jurisdiction of the other agency)
provided that the Housing agency had an open waiting list during that time period, or
provide the earliest date available to the applicant.
Upon receipt of this data, each housing agency will place such applicants into their
current waiting list using the orginal time and date of application.
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SECTION V. SELECTION OF FAMILIES FOR ISSUANCE OF VOUCHERS.
A. Governing Conditions.Among eligible applicants, selection for the issuance of
Vouchers shall be made without regard to race, color, , religion, sex, disability,, familial
status, or national or ethnic origin; and on the basis of the priorities as set forth in
Section V.B and V.C.
B. Order of Preference in the Selection of Families to be Issued a Voucher.Each of the
preferences shall carry a point value, and all applications shall be ranked by the highest
number of points being given highest priority in the waiting list.
1. Types of Preferences.
(a). Local Preference: resident of or employed in the City of Encinitas. (50
points) (Section II.A.41 andA.54)
(b). Priorities:applicantswith any one or combination of the priorities listed
below.(50 points)
Elderly individual or family,
Disabled individual or family,
Families with dependent children where a head of household
works and/or attends school/a training program,
Homeless individual or family,
Involuntarily displaced individual or family due to Government
action, or
Veteran.(Section II.A.49)
(c). Date/Time: date/time of applicationshall be utilized to sort applicants
within the same point category,
(d) In order to meet HUD income targeting requirements, the EHA may
select persons off the waiting list who are at or below the extremely low
income level.
2. Section 8 HCVapplicants receiving tenant based HOME subsidies retain the
date of original application for the Section 8 HCVwaiting List.
C. Time and Date Sequence of Applications.In the event that two or more eligible
applicant Families requiring the same unit size have identical preference or priority
status, the date and time sequence of applications shall govern selection with the
applicant who filed the earliest application shall be issued a Voucher first (subject to the
provisions contained in Section V.B.1 and B.2).
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SECTION VI. DETERMINATION OF INCOME FOR ELIGIBILITY AND TOTAL TENANT
PAYMENT.This section sets forth the policies and procedures for determining Income for
Eligibility, and the Total Tenant Payment (Rent) for Eligible Households. These policies and
procedures shall be applicable in making such determinations for purposes of initial occupancy
as well as in connection with periodic or interim reexaminations of Household income, composi-
tion and the extent of medical or child care expenses.
A. Procedure for Determination of Income for Eligibility.For purposes of determining if a
Household is a Very Low-Income Household, its income shall be determined in
accordance with Section VI.B.1 and B.2, except that where a Household has net
Household assets in excess of $5,000, its income shall include the actual amount of
income, if any, derived from all the net Household assets or the current passbook rate
as established by the U.S. Department of HUD of the value of such assets, whichever is
greater. For purposes of this determination, Net Household Asset means value of
equity in real property, savings, stocks, bonds, and other forms of capital investment.
The value of necessary items such as furniture and automobiles shall be excluded.
B. Annual Income Sources and Computation.Annual income shall include all payments
from all sources received or anticipated to be received during the twelve months
2
following initial occupancy or redetermination of Household income by (1) the head of
the household and spouse, and (2) each additional member residing in the household
who is at least eighteen years of age. Annual income shall include that of the head of
the household or spouse temporarily absent which, in the determination of the EHA is
(or shall be) available to meet the Household's needs. Excluded in the computation of
annual income shall be (1) temporary, non-recurring or sporadic income.
1. Income Sources shall include, but not be limited to:
(a). The gross amount, before any payroll deductions, of wages and salaries,
overtime pay, commissions, fees, tips and bonuses, and other
compensation for personal service.
(b). The net income from operation of a business or profession or from rental
of real or personal property (for this purpose, expenditures for business
expansion or amortization of capital indebtedness and an allowance for
depreciation of capital assets shall not be deducted to determine the net
income from a business).
(c). Interests, dividends, and net income of any kind from real or personal
property. When the applicant's total assets exceed $5,000, the EHAshall
calculate the dollar amount included in the Household's annual income
which is specifically derived from assets. In addition, if assets are greater
than $5,000, annual income shall include the greater of the actual income
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Inmakingtheestimate,dueconsiderationshouldbegiventopastrecipientsofincome.Arbitrary
Inmakingtheestimate,dueconsiderationshouldbegiventopastrecipientsofincome.Arbitrary
assumptionsorimputationofincomeofperiodicreceiptsshallbeavoided,includingalump-sumpayment
assumptionsorimputationofincomeofperiodicreceiptsshallbeavoided,includingalump-sumpayment
forthedelayedstartofaperiodicpayment.Benefitspaidonbehalfofachildareconsideredasincome
forthedelayedstartofaperiodicpayment.Benefitspaidonbehalfofachildareconsideredasincome
accruingtotheparent.
accruingtotheparent.
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derived from all Net Household Assets or a percentage of the value of
such assets based on the current passbook savings rate as determined
by HUD.
(d). The full amount of periodic payments received from Social Security,
pensions, retirement funds, annuities, insurance policies, disability or
death benefits and other similar types.
(e). Payments in lieu of earnings, such as unemployment and disability
compensation, workers' compensation and severance pay (but see
Section VI.B.2(c)).
(f). Public Assistance, such as AFDC, SSI, and General Relief income shall
include the amount of the allowance specifically designated for shelter
and utilities plus the allowance paid directly to the recipient.
(g). Periodic and determinable allowances, such as alimony and child support
payments, and regular contributions or gifts received from persons not
residing in the dwelling. Child support is considered as income accruing
to the parent.
(h). All regular pay, special pay and allowances of a member of the Armed
Forces, except hazardous duty pay while away from home and exposed
to hostile fire, whether or not living in the dwelling, who is head of the
Household or spouse; or other person whose dependents are residing in
the unit.
(i). The amount of educational scholarships, benefits, or grants paid to the
student or educational institution which are available for or used for
subsistence purposes (see Section VI.B.2(d)).
(j). Any earned income of household members - age 18 or older. (Exception:
earnings in excess of $480 for dependents over age 18 who are full-time
students)
2. Temporary, Non-Recurring or Sporadic Income Not Included in the Computation
of Annual Income:
(a). Casual, sporadic or irregular gifts.
(b). Amounts which are specifically for or in reimbursement of the cost of
medical expenses.
(c). Lump-sum additions to Household assets, such as inheritances,
insurance payments (including payments under health and accident
insurance and workers compensation), capital gains and settlement for
personal or property losses, or for the delayed start of Social Security or
SSI benefits. Such sums, however, may be included as assets in the
determination of income for eligibility.
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(d). Amounts of educational scholarships paid directly to the student or to the
educational institution, and amounts paid by the government to a veteran
for use in meeting the costs of tuition, fees, books and equipment. Any
amounts of such scholarships, or payments to veterans, not used for the
above purposes or which are available for subsistence are to included in
income.
(e). Student Loans, regardless of what the loan is used for.
(f). The special pay to a serviceman head of Household away from home
and exposed to hostile fire.
(g). Relocation payments made pursuant to Title II of the Uniform Relocation
Assistance and Real Property Acquisition Policies Act of 1970.
(h). Foster child care payments.
(i). The value of the allotment provided to an eligible household for coupons
under the Food Stamp Act of 1977.
(j). Payments received pursuant to participation in the following volunteer
programs under the ACTION Agency:
(1). National Volunteer Anti-Poverty Programs which include VISTA,
Service Learning Programs and Special Volunteer Programs.
(2). National Older American Volunteer Programs for persons aged 60
and over which include Retired Senior Volunteer Programs,
Foster Grandparent Programs, Older American Community
Service Programs and National Volunteer Programs to assist
Small Business Experience, Service Corps of Retired Executives
(SCORE) and Active Corps of Executives (ACE).
(3). Payments to under the Domestic Volunteer Services Act of 1973.
(4). Payments received under the Alaska Native Claims Settlement
Act.
(5). Income derived from certain sub-marginal land of the United
States that is held in trust for certain Indian tribes.
(6). Payments or allowances made under the Department of Health
and Human Services' Low-Income Energy Assistance Program.
(7). Payments received from the Job Training Partnership Act.
(8). Income derived from the disposition of funds of the Grand River
Bank of Ottawa Indians.
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(9). The first $2,000 of per capita shares received from judgement
funds awarded by the Indian Claims Commission or the Court of
Claims or from funds held in trust for an Indian tribe by the
Secretary of Interior.
(10). Subsidy allowance to recipients of SSI, in lieu of food stamps.
3. Disallowance of Earned Income for Persons with Disabilities.The EHA will apply
the regulation according to 24 CFR 5.617; 982.201(b)(3).The annual income for
qualified families may not be increased as a result of increases in earned income
of a family member who is a person with disabilities beginning on the date on
which the increase in earned income begins and continuing for a cumulative
twelve-month period. After the disabled family member receives twelve
cumulative months of the full exclusion, annual income will include a phase-in of
half the earned income excluded from annual income.
C. Total Tenant Payment.Each eligible Household's Total Tenant Payment shall be either
the greater of 30 percent of net income after allowable deductions or 10 percent of
gross income, with a minimum rent of $50.00.
Allowable Deductions:
1. $480 for each dependent (excluding head of household or spouse).
2.Medical expenses which exceed 3% of the annual income for Elderly/Disabled
Households.
3. $400 household allowance for each elderly or disabled household.
4. Child care expenses: Amounts paid by the Household for the care of minors
under 13 years of age or for the care of disabledHousehold members, but only
where such care is necessary to enable a Household member to be gainfully
employed, or to further his or her education, and the amount allowable as child
care expenses shall not exceed the amount of income from such employment.
Verification of child care expenses must be provided on a Housing Authority
form, including name, address, social security number and a copy of the license
of the child care provider must be included in the form. Also, if the Household is
entitled to file for federal and state income tax, the amount claimed through the
Housing Authority for child care must be reflected in the State and Federal Tax
claim for the appropriate year, if the Household is eligible for a tax deduction for
said child care. In the event the child care expenses are in part or whole paid for
or reimbursed to the Household by any other government agency, the amount
paid for or reimbursed to the Household shall not be counted as a deduction in
the calculation of tenant rent.
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SECTION VII.DETERMINATION OF ELIGIBILITY FOR ISSUANCE OF VOUCHERS. This
section sets forth the basic steps which are to be taken in obtaining and verifying information
from applicant Households for the purposes of (1) determining whether they meet the
conditions of eligibility for participation as set forth in Section III; (2) applying the priority and
preference requirements established in Section V; (3) determining the size of dwelling required
in accordance with Section VIII; and (4) determining the tenant portion of the rent in accordance
with Section VI.
A. Verification of Eligibility.
1. Verification of Citizenship/Eligible Immigration Status. The EHA will apply the
regulation according to 24 CFR 5.508, 5.510, 5.512, 5.514. To be eligible for
assistance, individuals must be U.S. citizens or eligible immigrants. Individuals
who are neither may elect not to contend their status. Eligible immigrants must
fall into one of the categories specified by the regulations and must have their
status verified by the Immigration and Naturalization Service (INS). Each
Household member must declare their status once. Assistance cannot be
delayed, denied, or terminated while the verification of status is pending except
that assistance to the applicants may be delayed while the EHA hearing is
pending.
2. Failure to Provide. If an applicant or participant Household member fails to sign
the required declarations and consent forms or provide the required documents,
they will be listed as an ineligible member. If the entire Household fails to
provide and sign as required, the House
terminated.
3. If the EHA determines that a Household member has knowingly permitted
another individual who is not eligible for assistance to reside permanently in the
terminated for 24 months,
unless the ineligible individual has already been considered in prorating the
B. Procedure Governing Determination of Eligibility
1. Before issuance of the Voucher by the EHA, the applicant will be interviewed by
a staff member who will complete the Certification of Tenant Eligibility (HUD
50058). The applicant must submit verification of all information requested to
assure that the data upon which determination of eligibility, priority and
preference status, size of dwelling and Total Tenant Payment (rent) are full, true,
and complete.
2. This Certification of Tenant Eligibility (HUD 50058) constitutes the basic record
of each applicant Household and together with all other materials relating to the
Household's eligibility and preference rating, etc. is to be maintained in a file for
each applicant.
3. If, during the application process it is determined that the applicant is not eligible,
the applicant is to be so informed in writing and classified as ineligible (see
Section IV.F). In such instances, sufficient information to establish the fact is to
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be attached to the application which is to be maintained for at least three (3)
years.
4. All entries on the application of applicant history are to be made in ink, indelible
pencil, or typed in. Corrections or changes are to be made by lining through the
original entry and entering the correct data. Such changes are to be dated and
initialed by the person recording the change and the reason and authority for
such changes noted in the record.
5. The applicant is to review and sign the application.
C. Verification and Documentation of Application Data
1. Verifications will be required for information submitted by an applicant to assure
accuracy in determining eligibility, and priority, preference status, rent to be paid,
and size of dwelling required. Verifications must be current (no more than 60
days old for new leases, no more than 120 days old for annual reexaminations).
The EHA will provide forms to applicants to assure receipt of required
information.
2. Verification Methods: The following methods of verification are acceptable for
the tenant file to be properly documented. In order of acceptabilitythey are:
a) Third party - Written (provided directly to the EHA by the source and not
hand-carried by the family) or oral (direct contact by EHA with a reliable
source).
b) Review of documents - Documents provided by household (e.g. pay stubs,
bank statements, social security award letters, computerized printouts).
c) Household certification or notarized statement - Written statement signed by
the family certifying that the information provided is complete and correct.
When the preferred verification form is not received in a timely fashion
and staff uses the second or third alternative, staff shall record in the
tenant file the reason an alternative method was used.
If obtaining a third party verification will impose a financial burden on
the participant, the EHA may use the second or third alternative.
3. The EHA should verify and maintain documentation in case files pertaining to:
a) Household income (including expenses for self employment income)
b) Asset information
c) Eligible household deductions
d) Family size and status
e) Verification of local preferences
f) Verification of residency in the City of Encinitas (see Section II.A.41).
g) Documentation for status of citizenship / immigration (see Section II.A.9).
h) Criminal history
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D. Summary of Verification Data
1. Verification data is to be reviewed and evaluated as received for completeness,
accuracy, and conclusiveness. Where the information received is not completely
adequate in all respects, follow-ups or new efforts to obtain such information are
to be made and carried through to conclusion. If during the verification process,
it becomes evident that for one or more reasons an applicant is ineligible, the
investigation is to be discontinued and the applicant promptly notified in writing of
their ineligibility and the reasons therefore (see Section IV.F). The EHA is re-
quired to offer the applicant the opportunity to present objections to a EHA
decision denying assistance to the applicant. However, the regulation provides
that the informal review requirements for applicants does not apply to the
following types of determinations, which are properly left to the administrative
discretion of the EHA, or which are controlled by applicable program
requirements:
(a). To review discretionary administrative determinations by the EHA, or to
consider general policy issues or class grievances.
(b). To review the EHA's determination of the number of bedrooms entered
on the Voucher under the EHA's unit size standard.
(c). To review the EHA's determination that a unit located by a Voucher
holder does not comply with the Housing Quality Standards (HQS), or the
EHA's determination not to approve the lease for the unit.
(d). To review the EHA's decision not to approve a request by a Voucher
holder for an extension of the term of the Voucher.
When verification of all necessary items for each application is
completed, the Certification of Tenant Eligibility (HUD-50058) is to be
completed and signed by the staff member completing the form. This
form, along with documentation of verification shall be retained for HUD
audit or inspection in a file for each application or assisted Household.
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SECTION VIII. SUBSIDY STANDARDS FOR ISSUANCE OF VOUCHERS. Prior to issuing the
Voucher, the appropriate dwelling unit size for the Household will be determined by applying the
following criteria:
A. One bedroom is assigned for the head of household (including spouse or significant
other, if applicable) and another bedroom is assigned for each additional two persons
residing in the household, regardless of gender, age, or relationship.
B. Every Household member regardless of age is to be counted as a person. A pregnant
woman will be counted as two persons. The Household may rent a smaller bedroom
size unit provided the unit meets the standards of acce
C. Any live-in aide approved by EHA to reside in the unit is counted in determining unit
size.
D. A Household unit size for any Household consisting of a single person must be zero or
one-bedroom unit unless a live-in aide resides with the Household.
E. The EHA must approve composition of the resident Household at admission and must
also approve later changes in Household composition. The Household must request
EHA approval to add any Household member as an occupant of the unit (exception is
newborn, adoption or court-awarded custody of a child). EHA must approve addition of
a foster child or live-in aide.
F. A child who is temporarily away from the home because of placement in foster care is
considered a member of the
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SECTION IX. ISSUANCE OF VOUCHER.
A. Procedure Governing Issuance of Voucher.
1. After a Household has been determined to be eligible and is selected for
participation, a Voucher shall be prepared and signed by a designated staff
member. The Voucher shall state the number of bedrooms approved for the
Household (see Subsidy Standard, Section VIII); and the Total Tenant Payment
(see Section VI.C).
2. The Voucher, along with a Voucher holder's packet, shall be presented to the
Household at a briefing session which the Household will be required to attend.
The staff person conducting the briefing program will explain the program in
detail and answer any questions the Voucher holder may have. Each Voucher
holder's packet shall include the following:
(a) Request for Lease Approval (HUD 52517);
(b) The EHA's statement of housing quality standards and the forms for
inspection for dwelling units.
(c) Information regarding lead based paint, poisoning hazards, symptoms,
and precautions;
(d) "Fair Housing U.S.A." (HUD-63-EO(6));
(e) Information on the tenant rent, the housing assistance payment, and the
payment standard or Fair Market Rent.
(f) The EHA's schedule of Allowance for Utilities and Other Services;
(g) Housing Discrimination Complaint Form (HUD-903);
(h) Information on the EHA's procedure for conducting informal hearings for
participants. This information shall contain a general description of the
procedures for conducting informal hearings for participants in the EHA
program; including a description of the circumstances in which the EHA is
required to provide the opportunity for an informal hearing and how to
request a hearing.
(i) Information on the term of the voucher and the EHA policy on extensions.
(j) Information on what the Household should consider in deciding to lease a
unit.
(k) Information as to where the Household may lease a unit including
portability procedures.
(l) A statement about the EHA's policy on providing information about a
Household to prospective owners.
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(m) HUD brochure on selecting a unit.
(n) If the Household includes a disabled person, the Household may request
current listings of accessible units.
(o) A list of the Household's obligations under the Program.
(p) A copy of the policy regarding the grounds on which the EHA may
terminate assistance.
(q) A copy of the Subsidy Standards.
(r) A copy of the Lease Addendum (HUD 52647.3 for Vouchers).
(s) Such other items as the EHA may determine should be included.
3. The briefing session shall provide a full explanation and time for discussion of
the following:
(a) A description of how the program works, including portability.
(b) Household and owner responsibilities under the lease and contract;
(c) How to find a suitable unit;
(d) The general locations and characteristics of the full range of
neighborhoods in which the EHA is able to execute contracts. The units
may be inside and outside the jurisdiction, including areas that do not
have a high concentration of low income families.
(e) Applicable housing quality standards and procedures for Household and
owner inspections and for their individual certifications of compliance with
those standards;
(f) Significant aspects of applicable state and local laws;
(g) Significant aspects of federal, state and local Fair Housing laws;
(h) Applicable Fair Market Rent, determination of Total Tenant Payment,
establishment of housing assistance payments;
(i) Information regarding applicable regulations pertaining to the portability
of the Voucher;
(j) That the Household may obtain copies of the Housing Quality Standards,
the contract and other pertinent forms on request; and
(k) That the EHA will not be responsible for any damage caused by pets.
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B. Expiration and Extension of Voucher.
1. The Voucher shall expire at the end of 60 days unless within that time the
Household submits a Request for Lease Approval.
2.If a voucher expires or is about to expire, a Household may submit a request for
an extension to the EHA.As part of the extention request, the household shall
document in writing the efforts it has made to find a suitable dwelling unit and
the problems it has encountered. If the EHA believes that there is a reasonable
possibility that the Household may, with additional advice or assistance, find a
suitable unit, the EHA may grant one or two extensions of 30 days not to exceed
a total of 60 days. The maximum amount of time a Household may hold a
voucher is a total of 120 calendar days from the beginning of the initial term. If a
member of the Household is a disabled person, and the Household needs an
extension because of the disability, the EHA may grant an additional extension of
60 days as a reasonable accommodation. Expiration of a Voucher shall not
preclude the Household from reapplying to the Section 8 HCV waiting list
C. Suspension.The timeline for the voucher expiration date may be suspended for the
period of time necessary for the EHA to approve/disapprove a request for lease
approval.
D. Payment Standard.The EHA will review the voucher payment standard as needed to
ensure effective utilization of vouchers. The EHA will take into consideration available
funding, and the prevailing fair market rents (FMR) in the community for decent, safe
and sanitary housing. TheEHAmayestablishthepaymentstandardamountfrom90to
TheEHAmayestablishthepaymentstandardamountfrom90to
110percentofthepublishedFMRforeachunitsize.The Board has authorized the
110percentofthepublishedFMRforeachunitsize.
Executive Director and/ or their designee to approve changes to the payment standard
based onthe annual HUD determination of the Fair Market Rent.
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SECTION X. HOLDERS OF VOUCHERS.
A. Finders Keepers Policy/Where the Household Can Live.
1. Each holder of a Voucher shall be responsible for finding an existing housing
unit suitable to the holder's needs and desires, within the area of jurisdiction of
the Housing Authority, or as authorized under the portability regulations.
2. A holder of a Voucher may keep the dwelling unit that the holder already
occupies, if the unit meets HUD requirements.
3. Holder may select any eligible unit, including a HUD owned unit. However, a
Household may not receive tenant based assistance for housing currently
assisted by state or local rent subsidy. This does not include reduced rent from
tax credits. The EHA must inform the Household both orally and in writing that
the Household has the right to select any eligible dwelling unit and an EHA
owned unit is freely selected by the Household without EHA pressure or steering.
4. Ineligible housing units are:
public housing;
those that receive project based Section 8;
board and care homes;
college or other school dormitories;
those located on penal, reformatory, medical, mental or similar
institutions; or
those occupied by its owner or by a person with any interest in the
dwelling unit.
B. Assistance of Public Housing Authority.This EHA will provide assistance in finding a
unit for those Households who, because of age, disability, or other reasons, are unable
to locate approvable units. Assistance will also be provided in finding a unit for any
Household which alleges that discrimination is preventing it from locating a suitable unit.
C. Household Moves.
1. The EHA may deny eligibility to those participants who have violated their lease
under the existing Section 8 HCVprogram.
2. If an assisted Household wishes to move, in accordance with the lease
provisions, the Household must obtain approval from the EHA. The EHA shall
issue another voucher or process a Request for Lease Approval, if the recertifi-
cation is completed and the Household meets the following criteria:
(a). The Household has no unmet financial obligations to the EHA or any
other Housing Authority.
(b). The Household has not violated its Voucher of Participation in the Section
8HCVprogram.
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(c). The Household has not moved during the past year. The Executive
Director can make an exception to this rule on a case-by-case basis for
good cause.
(d). The assisted lease for the old unit has terminated because of the EHA
terminating the HAP contract for the owner's breach, or the lease was
terminated by mutual agreement of the owner and the tenant.
(e). The owner has given the tenant notice to vacate, or has commenced an
action to evict the tenant, or has obtained a court judgement or other
process allowing the owner to evict the tenant.
(f). The tenant has given notice of lease termination.
(g). The Household is in compliance with the terms of the lease.
(h). The Household continues to be eligible for housing assistance.
(i). Sufficient funds are available under the ACC.
3. A Household shall not be eligible for another Voucher if it was evicted from an
assisted unit in accordance with local law and the provisions of the contract,
unless the Household has satisfied any liability to the owner and/or the EHA.
4. The EHA may refuse to issue a Voucher to a Household wishing to move to
another assisted unit if the EHA has determined that any member of the
Household has been involved in drug-related or other criminal activity, as defined
in the Code of Federal Regulations.
5. The EHA may refuse to issue a Voucher to a Household at the time of
recertification or move out, if it has been determined by a EHA conducted pre-
move out inspection of the dwelling unit that abuse of the property through
participant negligence exists over and above normal wear and tear.
6. The EHA may allow a Household to receive another Voucher on a conditional
basis for the purpose of moving to a new unit with continued assistance, if the
Household meets the criteria outlined in Section X.C.2 above.
D. Portability.
1. A Household may move to any jurisdiction of a housing authority administering the
Section 8 HCVprogram in the United States after the initial year of admission to the
Program. The EHA could allow exceptions on a case by case basis for cause, such
as a change of work location, change in family status, or an illness or death in the
family that requires a move.
2.
determines whether the Household is income eligible in the area where the
Household wants to rent.
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3. If a Household is requesting to move to the jurisdiction of another housing authority
which will increase the amount of the housing assistance payment, the EHA will
determine whether it has sufficient funding to cover the increase. In the event that
there is insufficient funding, then the EHA may deny the request.
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SECTION XI. LEASING OF DWELLING UNITS TO VOUCHER HOLDERS.
A. Information to Owner.The EHA will respond to inquiries from owners who have been
approached by Voucher holders by explaining major program procedures, including
lease provisions, lease approval procedures, housing quality inspections, contract
provisions and payment procedures. The EHA will also furnish copies of the pertinent
forms.
The EHA must inform the owner that the EHA has not screened the Household's
behavior or suitability for tenancy and that such screening is the owner's responsibility.
Owners are permitted and encouraged to screen households on the basis of their
tenancy histories including factors such as:
the payment of rent and utilities;
the care for a unit and premises;
respecting the rights of others;
drug related criminal activity or other criminal activity that is a threat to the life,
safety or property of others; and
compliance with other essential conditions of tenancy.
The EHA encourages owners of decent, safe and sanitary rental units to rent to Section
8HCVparticipants. The EHA shall take the following actions to encourage participation
by owners of units located outside areas of poverty or minority concentration:
1. The EHA shall maintain communication with local property management companies.
These resources will be used to make owners aware of the benefits of the Section 8
HCVRental Assistance Program.
2. In order to expand participation of new owners who are interested in the program or
who are unfamiliar with the program, EHA staff shall call the prospective owner to
explain the benefits of the Section 8 HCVprogram and encourage their participation.
3. Housing representatives will attend local agency and community fairs to increase
awareness of the program and benefits for owners.
B. Request to EHA for Lease Approval.When a Household has found a unit it wants and
the owner is willing to lease, the Household shall submit to the EHA a request for lease
approval signed by the owner and the Household. In addition, any further agreements
between the owner and Section 8 HCV participant must be approved by the EHA.
Failure to secure such approval could result in cancellation of the participant from the
program.
1. A Household becomes a participant in the existing Section 8 HCV program when
the EHA executes a contract with an owner for housing assistance on behalf of
the Household.
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2. Requests for Lease Approval may not be approved for a single dwelling unit with
a swimming pool, or multi-family units if a member of the household is a
child/children under the age of 12 and there exists an un-enclosed swimming
pool that is accessible to said child/children.
C.Rent Reasonableness
C.
The purpose of the Rent Reasonableness Test is to assure that a fair rent is paid for
units selected for participation in the Rental Assistance Program and the program does
not have the effect of inflating rents in the community. Rent reasonableness
determinations are made when units are placed under contract for the first time, before
any increase in rent to the owner, and if there is a 5% decrease in the published Fair
Market Rent. The EHA will determine whether the rent to owner is a reasonable rent in
comparison to rent for other comparable unassisted units. To make this determination,
the EHA will consider:
The location, size, unit type, quality, and age of the unit.
Any amenities, housing services, maintenance and utilities provided by the owner under
the lease.
D. Decent, Safe, and Sanitary Condition of Unit.Before approving a lease, the EHA shall
inspect the unit to determine that it is in decent, safe and sanitary condition in
accordance with 24 CFR 882.109 as amended by 982.401, 982.402, and 982.405
(Housing Quality Standards).
1. If there are defects or deficiencies which must be corrected in order for the unit
to be decent, safe and sanitary, the EHA shall so advise the owner in writing,
Before a contract is executed, the unit must be reinspected to ascertain that the
necessary work has been done and the unit is decent, safe and sanitary.
2. A report for every inspection and reinspection under this paragraph shall be
prepared and maintained in the files of the EHA. Each report shall specify (a)
any defects or deficiencies which must be corrected in order for the unit to be
decent, safe and sanitary, and (b) any other defects or deficiencies, a record of
which shall be maintained for use in the event of a subsequent claim by the
owner that damages were caused during the period of occupancy by the
Household.
E. Security Deposits
The owner may collect a security deposit that does not exceed an amount allowed by
state law nor exceeds deposit requirements for other unassisted units.
When the tenant moves out, the owner, subject to state or local law, may use the
security deposit, including any interest on the deposit, in accordance with the lease as
reimbursement for any unpaid rent payable by the tenant, damages to the unit or for
other amounts the tenant owes under the lease. The owner must give the tenant a
written list of all items charged against the security deposit and the amount of each item.
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After deducting the amount, if any, used to reimburse the owners, the owner must
refund promptly the full amount of the unused balance to the tenant.
If the security deposit is not sufficient to cover amounts the tenant owes under the
lease, the owner may seek to collect the balance from the tenant.
F. Household Move Out.
If the Household moves out of the unit, the EHA may not make any housing assistance
payment to the owner for any month after the month when the Household moves out.
The owner may keep the housing assistance payment for the month when the
Household moves out of the unit.
If the Household terminates the lease on notice to the owner, the Household must give
the EHA a copy of the notice at the same time. If the Household wants to move to a
new unit, the Household must notify the EHA and the owner before moving from the old
unit. If the Household wants to move to a new unit that is located outside the initial
housing authority jurisdiction, the notice to the initial housing authority must specify the
area where the Household wants to move.
G. Household Move out with Continued Tenant Based Assistance.
A Household may move to a new unit with continued tenant based assistance if:
The assisted lease for the old unit has terminated because of the EHA terminating the
HAP contract for the owner's breach, or the lease was terminated by mutual agreement
of the owner and the tenant.
The owner has given the tenant notice to vacate, or has commenced an action to evict
the tenant, or has obtained a court judgement or other process allowing the owner to
evict the tenant.
The tenant has given notice of lease termination.
The Household has no unmet financial obligations to the EHA or any other Housing
Authority.
The Household has not violated its Voucher of Participation in the Section 8 HCV
program.
The Household has not moved during the past year.
If a participant Household 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 Household moves out of the first assisted unit. Overlap of the last housing
assistance payment, for the month when the Household moves out of the old unit, and
the first assistance payment for the new units, is not considered to constitute a duplicate
housing subsidy.
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The EHA may deny permission to move if the EHA does not have sufficient funding for
continued assistance.
H. Approval of Lease.
1. The EHA shall approve the lease upon determining that the Contract Rent can
be approved, that the unit the Household wishes to lease is in decent, safe and
sanitary condition, and that the proposed lease complies with the program re-
quirements.
(a) No otherwise acceptable unit shall be disapproved on the grounds that it
is either larger or smaller than the size unit specified on the Household's
Voucher provided that:
(1) Undersized Unit. The dwelling unit contains at least one sleeping
room or living/sleeping room or appropriate size for each two
persons.
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(2) Oversized Unit.The Contract Rent plus any allowances does
not exceed the fair market rent for the smaller size unit as stated
on the Household's Voucher, or such higher rent can be approved
by the EHA or HUD.
(3) Household Requests for Transfers to Larger Units.In the event a
Household requests a transfer to a larger unit due to a change in
Household composition (which the EHA must approve except for
newborn, adoption or court awarded custody of a child), the unit
into which the Household wishes to transfer will have a minimum
number of bedrooms equivalent to the bedroom size specified in
the Voucher.
2. The HAP contract must be executed no later than 60 days from the beginning of
the lease term. No payments may be made to the owner until the HAP contract
is executed. Within the 60 day period HAP payments can be made retroactive to
the beginning of the lease.
3. The EHA must not approve a unit if:
The owner has been debarred, suspended or subject to a limited denial of
participation under 24 CFR part 24.
The federal government has instituted an administrative or judicial action against
the owner for violation of the Fair Housing Act or other federal equal opportunity
requirements and such action is pending or the court has determined that the
owner violated the Fair Housing Act
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3
TheUtilityandotherallowancesshallbeforthesizeunitstatedontheVoucher.
TheUtilityandotherallowancesshallbeforthesizeunitstatedontheVoucher.
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The owner has violated obligations under a HAP contract.
The owner has committed fraud, bribery or any other corrupt or criminal act in
connection with any federal housing program.
The owner has a history or practices of non-compliance with the HQS for units
leased under the tenant-based programs or with applicable housing standards
for units leased with project-based Section 8 HCVassistance.
The owner has a history or practices of renting units that fail to meet state or
local housing codes, such as illegal units.
The owner has not paid state or local real estate taxes, fines or assessments.
I. Amount of Rent Payable by The Household.
1. The EHA shall determine the amount of rent payable by the Household to the
owner, which shall be the amount of the Total Tenant Payment, or the amount of
such contribution less the amount of any allowance for utilities and other services
not to be provided by the owner.
2. If the Total Tenant Payment is less than the allowance for utilities and other
services, resulting in utility reimbursement, the EHA shall pay the difference
directly to the Household.
3. A voucher holder may pay more than the payment standard providing they are
willing to pay the difference from their own income sources.
4. When a voucher holder pays less than the payment standard, they receive the
savings in the form of a reduction in their contribution toward the rent, except in
no case shall they pay less than 10 percent of their total monthly income.
J. Notice to Owner and Household.
1. Lease Disapproval. If the EHA determines that the lease cannot be approved
for any reason, including the condition of the unit, the EHA shall so notify the
owner and the Household in writing.
2. Lease Approval.
(a). Upon approval of the lease, a Housing Assistance Payments Contract
shall be prepared by the EHA and presented to the owner for signature
along with the lease and unit inspection form.
(b). Immediately upon the return and execution of the above documents, the
EHA shall mail the lease/addendum to lease, copy of HAP Contract and
unit inspection form to the owner, and a copy of the lease and unit
inspection form to the Household.
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3. Files.
(a). The EHA shall maintain files on all requests for lease approval together
with dwelling inspection reports (see Section XI.J.3(b)) and agency
determination notices relating to any unit with deficiencies.
(b). All complaints by Households concerning compliance by the owner with
the EHA's housing quality standards shall be retained in the EHA's files
for three years.
K. Owners Responsibilities and Breach of Contract
1. Late Fee to Owner. The EHA must pay the Housing Assistance Payment
promptly in accordance with the HAP contract. If the EHA fails to make timely
payment, the EHA may be obligated to pay a late payment fee in accordance
with State or local law. The EHA may use only administrative fee income or
administrative fee reserve (formerly operating reserve) to pay the fee. If the
owner claims non-receipt of HAP and EHA or contractor records show the check
was issued in a timely manner, the EHA or contractor will reissue the check no
more than one time during a six month period without a charge for reissuance. If
check must be issued more frequently, there will be a $10 charge to the owner
for reissuance.
2. Owner responsibilities. The owner is responsible for performing all the owner's
obligations under the HAP contract and the lease.
3. Breach of Contract. Any of the following actions by the owner is a breach of
contract:
(a). Any violation of the HAP contract,
(b). Owner has committed fraud, bribery or any other corrupt or criminal act in
connection with any federal housing program,
(c). Owner has failed to comply with regulations for applicable mortgage
insurance or loan program,
(d). Owner engaged in drug trafficking.
4. Remedy for Breach of Contract. For HQS failures, the EHA will abate HAP
payments until the breach is corrected. EHA will terminate HAP payments for
other breaches, such as drug trafficking.
L. Business in Unit
Legal profit-making activities in the unit are allowed to encourage work and earnings by
assisted households, provided the use of the unit for business purposes is incidental to
the primary use of the unit for residence by the Household. Owner consent is not
required. However, the owner may attach "house rules" that restrict or govern business
activity in the unit. Business cannot violate related City codes nor HQS.
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SECTION XII. REEXAMINATION OF HOUSEHOLD ELIGIBILITY AND REDETERMINATION
OF INCOME.
A. Periodic Reexamination of Household Status and Income.To assure that a Household
continues to remain eligible for Housing Assistance Payments and to make appropriate
adjustments in the rent paid by the Household, the reexamination of Household income,
composition, and extent of exceptional medical and other child care expenses shall be
made by the EHA at least annually from the effective date of the lease.
After the Household's eligibility status and annual income have been redetermined, such
action as necessary may be taken (see Section XII.D for procedures and Section XII.E,
F, and G for actions required). Households shall be advised of the applicable portability
regulations at the time of recertification.
B. Special Reexaminations.If at time of initial occupancy or periodic reexamination, a
Household is clearly very low-income, but it is not possible to make a reasonable
accurate estimate of anticipated income for the next 12 month period, the following shall
apply:
4
1. A special reexamination shall be scheduled for specified times (either 30, 60 or
90 days) depending upon the staff member's estimate of time for Household's
circumstances to stabilize. Controls must be established to assure compliance.
(a). If at the time of such special reexamination, it is still not possible to make
a reasonably accurate estimate of the Household's income, special
reexaminations shall continue to be scheduled and conducted until such
time as a reasonable estimate can be made for a 12-month period.
2. For rent determination purposes, the Household's rate of income, based on the
amount expected to be received by the Household from the date of the current
determination to the date of the special reexamination, shall be projected for a
12-month period, even though it is known that income in such amount or from
such sources will not continue for that period.
3. Families whose past employment has been sporadic or who are on welfare, then
work, then are unemployed, should not be given a special reexamination if such
an income pattern is expected to continue, as a reasonable twelve months'
estimate of their income may be based upon past and present rate of income.
C. Interim Redetermination of Annual Income and Adjustment of Rent.No adjustments to
Household's Total Tenant Payment are to be effected between dates of periodic
reexaminations or pre-scheduled reexaminations (as set forth inSection XII.B above)
except as provided below:
4
4
UseofspecialreexaminationprovisionsassumesthatintheyeartheContractterminates,therequired
UseofspecialreexaminationprovisionsassumesthatintheyeartheContractterminates,therequired
periodicreexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriorto
periodicreexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriorto
theContractterminationdateandcompletedpriortothelastmonthoftheContractRent.
theContractterminationdateandcompletedpriortothelastmonthoftheContractRent.
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1. In addition to submitting such information as may be required at time of periodic
or special reexamination of eligibility and redetermination of Household
contribution, Section 8 HCVparticipants and Voucher holders shall report to the
EHA within fourteen calendar (14) days from the effective day the following
defined changes in Household circumstances:
(a). Changes Affecting Head of Household - Loss of a head of household
through death, divorce or other continuing circumstances, or addition of a
Household member who in accordance with EHA policy should become a
Head of Household.
(b). Changes Affecting Head or Spouse or Household Member over the Age
of Eighteen.
(1) The loss or addition to the Household through marriage,
reconciliation, divorce, permanent separation, death, birth,
desertion and/or other continuing circumstances;
(2) Commencement, discontinuance or change in the amount of
welfare assistance, social security, SSI, private retirement,
disability, and/or unemployment benefits;
(3) Entry into or discharge from military service;
(4) Unemployment for whatever reasons;
(5) Employment or reemployment;
(6) Monthly increases or decreases in total Household income in
excess of $50.00; monthly decreases in income less than $50.00
may be considered by the Authority's office in extreme hardship
cases.
(7) Commencement or discontinuance of other sources of income
which substantially affect the total income of the Household (to be
determined by EHA staff).
Reports of the above defined circumstantial changes are to be made on or
before the first rent payment period subsequent to the occurrence of the change.
Upon receipt of such report, an Interim Reexamination of Household Income and
Total Tenant Payment will be conducted. Failure to report such occurrence of
the above defined circumstantial changes will require retroactive charges when
necessary, and may be grounds for termination from the Section 8 HCV
program.
In addition, a Household may at any time request a redetermination of its Total
Tenant Payment on the basis of changes in Household Income or other relevant
circumstances. If persons related to the assisted Household move into the unit
(with owner's permission) the EHA will continue assistance only if additional
income is accounted for in the Household rent calculation, the occupancy stan-
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dards are maintained including the sleeping room provision, and any resulting
increase in rent remains with the FMR for the original size.
2. An assisted Household who reports a decrease in income (lasting in excess of
30 days) will be given an interim redetermination of income. If upon verification,
it is determined that the Total Tenant Payment exceeds 30 percent of the annual
5
income, an appropriate adjustment shall be made.
3. In the event the rent is decreased in accordance with this provision, the
Household shall be required to report all income increases which occur prior to
6
the rent reexamination and rent will be appropriately adjusted.Reports of the
above defined circumstantial changes are to be made on or before the first rent
payment period subsequent to the occurrence of the change. Upon receipt of
such report, an interim redetermination of Household income and rent will again
be conducted.
4. The EHA will notify the Household of any change in the Household portion of
rent payable to the owner and will notify the owner of any change in the Housing
Assistance Payment (HAP) to be effective according to the following:
(a). Increases in rent are to be made effective the first of the second month
following that in which the change occurred (retroactively if necessary).
(b). Decreases in rent are to be made effective the first of the month following
that in which the EHA is able to verify the reported change(s). No
downward rent adjustments are to be processed until all the facts have
been verified.
D. Reexamination Procedures.
1. Application for Tenant Eligibility and Recertification.The head of household of
each assisted Household is to be required at the time of the reexamination to
submit information for completion of the certification and recertification of tenant
eligibility (HUD-50058) on a EHA form, and to sign that form. All entries are to
be made in ink, indelible pencil, or typed in. Corrections and changes are to be
made by lining through the original entry and entering the correct data. Such
changes are to be dated and initialed by the person recording the changed data,
and the reasons and authority for such changes are to be noted in the record.
2. Verification and Documentation of Reexamination Data.To assure that the data
on which the determinations of eligibility for rent to be paid and the size of
5
5
UseofSpecialReexaminationprovisionsassumesthatintheyearthecontractterminates,therequired
UseofSpecialReexaminationprovisionsassumesthatintheyearthecontractterminates,therequired
periodicreexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriorto
periodicreexaminationsprocedureswillbestartednolaterthanthebeginningofthethirdmonthpriorto
thecontractterminationdateandcompletedpriortothelastmonthofthecontractrent.
thecontractterminationdateandcompletedpriortothelastmonthofthecontractrent.
6
6
Interimadjustmentswillbemadeonlyifthereisaminimum$10.00increaseordecreaseinthemonthly
Interimadjustmentswillbemadeonlyifthereisaminimum$10.00increaseordecreaseinthemonthly
TotalTenantPayment.Dataassembledatthetimeofthereexaminationistobefiledinthefoldersetup
TotalTenantPayment.Dataassembledatthetimeofthereexaminationistobefiledinthefoldersetup
fortheFamily.
fortheFamily.
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dwelling required are true and complete, the information submitted by each
tenant is to be verified. Complete and accurate verification records as specified
in Section VI are to be maintained in the Household folder.
Verification data are to be reviewed and evaluated as they are received for
completeness, adequacy, and conclusiveness. Where the information received
is not completely adequate in all respects, follow-ups, or new efforts to obtain
such information are to be made and carried through to conclusion. When
verification of all necessary items for each application are completed, the
certification/recertification of tenant eligibility form is to be completed and signed
by a designated staff member. This summary is to cover the following
determinations and the basis for such determinations:
3. Summary of Verified Data
(a). Eligibility of the tenant group as Household or as the residual of a
Household
(b). Size of dwelling required;
(c). Eligibility of the Household with respect to income limits for continued
participation;
(d). Extent of medical or other child care expenses;
(e). Rent which Household is to pay;
(f). Amount of Housing Assistance Payment;
(g). Social Security Numbers for all Household members, or certifications for
Household members who do not have a social security number.
E. Notice to Household and Owner Following Reexamination.Within 30 days after the
Household has submitted all the required information, the EHA is to notify the
Household and owner of any increase or decrease in the amount of rent payable by the
Household and housing assistance payments to the owner.
1. Overcrowded Unit. If the EHA determines that the unit is overcrowded due to
an increase in Household size, a Voucher shall be issued to the Household in
accordance with the terms of the lease or upon mutual rescission of the existing
lease and the Household and the EHA shall try to find an acceptable unit as
soon as possible. If an acceptable unit is found that is available for occupancy
by the Household, and the lease with the first owner can be terminated in
accordance with its terms, the contract with the first owner shall be terminated
and Housing Assistance Payments shall be made available to the Household for
occupancy in the acceptable unit. Housing assistance payments will not be
terminated unless the Household rejects without good reason the offer of a unit
which the EHA judges acceptable.
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2. If the EHA determines that the unit is too large for the Household due to
decrease in Household size, provisions of the paragraph above apply, except
that if the contract rent plus any allowances does not exceed the fair market rent
for the smaller size unit required, the Household may remain in the dwelling
occupied.
F. Termination of Payments Due to Household Ineligibility. If it is found that the Household
is ineligible for continued participation as the result of the portion of rent payable by the
Household (contract rent plus any utility allowances ) equaling or exceeding the owner's
rent for the dwelling it occupies, the EHA shall notify the Household and the owner of
termination of Housing Assistance Payments to the owner, effective with a 30 day notice
to the owner or expiration of the current HAP contract, whichever occurs first (the HAP
Contract shall expire upon termination of the lease or expiration of the EHA's ACC with
the U.S. Department of HUD, whichever occurs first).
1. This notice shall also state that such termination of eligibility shall not affect the
Household's other rights under its lease, nor shall such termination preclude
resumption of payments as result of subsequent changes in income or rents or
other relevant circumstances during the term of the contract.
2. If the contract terminates at such time that Household is ineligible for payments,
the contract shall not be renewed. In addition, if six months has elapsed since
the date of the last housing assistance payment, the contract shall be terminated
even if the termination date has not yet been reached.
G. Instances of Misrepresentation of Non-compliance by the Household.
1. If it is found, upon reexamination that at the time of issuance of the Voucher or
any subsequent interim or periodic reexamination, the Household made
misrepresentations which have resulted in their paying a lower rent than they
should, they will be required to pay the difference between the rent they have
paid and what they should have paid. HAPs will be adjusted to reflect this
increased rental payment. Misrepresentations by the Household shall also be
grounds for termination by the EHA from the Section 8 HCVrental assistance
program.
2. If it is found at the time of reexamination, or any other time, that the Household
has failed to report changes in income as required after the interim adjustment
lowering the rent and such changes would have required them to pay a higher
rent, the increased rent is to be made retroactive to the second month after the
date on which the change occurred. Failure to report changes in income or
Household circumstances within 10 days from the date the change took place
shall be grounds for termination by the EHA from the Section 8 HCVrental
assistance program.
3. If the Household fails to comply with its responsibilities under the Voucher, the
EHA may determine the Household ineligible for further HAPs provided that the
Household has been given reasonable notice (with a copy to the owner) and the
opportunity to respond.
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(a). The EHA shall notify the Household and owner of such determination.
(b). Such determination shall be grounds for termination of the lease by the
owner.
4. The EHA shall deny eligibility to previous program participants for whom the EHA
has processed damage, vacancy and/or unpaid rent claims, or who have violated
their Family Obligations.This provision does not apply to those participants who
did not violate their Family Obligations and/or who have fully reimbursed the EHA
such claims.
H. Annual Inspection of Unit.As a condition for continuing to make HAPs, the EHA
requires the inspection of each dwelling unit being assisted at least annually to assure
that decent, safe and sanitary conditions are being maintained by the owner and that the
agreed upon services are being furnished.
1. In the case of Families being reexamined annually, this inspection shall be a part
of the reexamination procedure.
2. If the EHA determines that the dwelling unit no longer qualifies for the HAPs, the
owner shall be so notified and if he refuses to or fails to bring the dwelling up to
standard, the HAPs Contract shall be terminated.
3. If the Household is still eligible in accordance with Section XII.E, and the reason
the unit failed to meet HQS was not due to tenant damage or abuse above
normal wear and tear, and the Household wishes to move to a dwelling where it
can continue to be assisted, the EHA shall issue another Voucher or process a
request for lease approval, as the case may be in accordance with Section X.C.
4. The owner is not responsible for a breach of HQS that is not caused by the
owner, but is caused by the Household. The EHA may terminate assistance to a
Household because of HQS breach by the Household.
I. Evictions/Termination of Tenancy.
1. For leases/tenancies entered into on or after October 1, 1981, the owner shall
not terminate tenancy during the term of the HAP contract/lease nor refuse to enter into
a new assisted lease with the same Household, except for;
(a). Serious or repeated violation of the terms of the lease;
(b). Violation of federal, state or local law which imposes specific
requirements on a tenant in connection with the occupancy or use of the
dwelling unit and surrounding premises;
(c). Drug related criminal activity or violent criminal activity;
(d). Other good cause.
2. The following are some examples of "other good cause" for termination of
tenancy by the landlord: failure by the tenant Household to accept the offer of a
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new lease; a tenant Household history of disturbance of neighbors or destruction
of property, or of living or housekeeping habits resulting in damage to the unit or
property; criminal activity by tenant Household members or other persons under
tenant's control; the landlord's desire to utilize the unit for personal or Household
use or for a purpose other than use 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, desire to rent the unit at a higher rental). This list of
examples is intended as a non-exclusive statement of some situations included
in "other good cause, but shall in no way be construed as a limitation on the
application of "other good cause" to situations not included in the list.
3. The landlord may evict the tenant from the unit only by instituting a court action.
The landlord must notify the EHA, in writing, of the commencement of
procedures for termination of tenancy, at the same time that landlord gives
notice to the tenant under state or local law. The notice to the EHA may be
given by furnishing the EHA a copy of the notice to the tenant.
4. The EHA does not play any role in the actual eviction process. The EHA policy,
however, allows for:
(a). Determination of continued Household participation in the Section 8 HCV
program,regardless of whether or not there is a court "authorized"
eviction,
(b). Tenant appeal process (Exhibit I), if, in fact, tenant is denied continued
program participation and
(c). Determination of continued landlord participation, based upon "findings"
by the EHA. If the landlord is guilty of any of the following "findings," the
EHA may bar future continued participation:
Discriminatory tenant selection practices
Claiming/collecting monies not due the owner (i.e., rental for vacant
unit, non-existent repairs, vacancy loss, etc.)
"Manufacturing" evidence against existing tenant to justify "eviction
action"
J. Owner Term Notice
Owner must give 90 days notice to EHA and Household before terminating the lease
and HAP Contract because of business or economic reasons ("opt-out"). The EHA must
notify the owner that the HAP Contract will terminate due to insufficient funding
("expiration").The HAP Contract automatically terminates after 180 calendar days after
the last housing assistance payment to the owner.
K. Absence from Unit
Household may be absent from the unit no more than 180 consecutive calendar days for
any reason. If the absence is due to illness, tenant is allowed up to the maximum days
dependent on a doctor's recommendation. If absence is due to vacation or visits to
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relatives, the maximum time allowed is two months.
L. Household Break-Up
When a court determines the disposition of property between members of the assisted
Household in a divorce or separation under a settlement or judicial decree, the EHA is
bound by the court's determination of which Household members continue to receive
assistance. If there is no court order, then assistance remains with the adult Household
members of the original assisted unit.
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SECTION XIII.SPECIAL PROGRAMS
A. Homeownership
1. GENERAL PROVISIONS.
The Section 8 Homeownership Program of the EHA permits Eligible participants in the
Section 8 HCVprogram, including participants with portable vouchers, the option
of purchasing a home with their Section 8 HCVassistance rather than renting. The
homeownership option is limited to five percent (5%) of the total Section 8 HCV
voucher program administered by the EHA in any fiscal year, provided that disabled
families shall not be subject to the 5% limit.
Eligible applicants for the Section 8 homeownership program must have completed an
initial Section 8 HCVlease term, must not owe the EHA or any other Housing Authority
any outstanding debt, and must meet the eligibility criteria set forth herein.
Section 8 homeownership assistance may be used to purchase the following type of
homes within the City of Encinitas: new or existing single-family, condominium, planned
use developments, cooperatives, lofts, live/work units, or manufactured homes. The
EHA also will permit portability of Section 8 homeownership assistance to another
jurisdiction, provided the receiving jurisdiction operates a Section 8 homeownership
program for which the Section 8 homeownership applicant qualifies or authorizes the
EHA to administer the homeownership assistance in their jurisdiction.
2. PARTICIPANT ELIGIBILITY REQUIREMENTS.
Participation in the Section 8 homeownership program is voluntary. Each Section 8
homeownership participant must meet the general requirements for admission to the
Section 8 HCVprogram as set forth in the Plan.
Such Section 8 HCVparticipants also must be "eligible" to participate in the
homeownership program. The additional eligibility requirements for participation in
the
first-time homebuyer or have a family member who is a person with disabilities; (B) with
the exception of elderly and disabled households, meet a minimum income requirement
without counting income from "welfare assistance" sources; (C) with the exception of
elderly and disabled households, meet the requisite employment criteria; (D) have
completed an initial lease term in the Section 8 HCVprogram; (E) have fully repaid any
outstanding debt owed to the EHA or any other Housing Authority; (F) not defaulted on a
mortgage securing debt to purchase a home under the Section 8 homeownership
option; and (G) not have any family member who has a present ownership interest in
a residence at the commencement of the homeownership assistance.
a. First-Time Homebuyer.
Each Section 8 HCVparticipant, except families with a disabled member, must
be a first-time homebuyer. A "first-time homebuyer" means that no member of
the household has had an ownership interest in any residence during the three
years preceding commencement of the homeownership assistance.
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However, the following exceptions are allowed: 1) a single parent or displaced
homemaker who, while married, owned a home with a spouse (or resided in a
home owned by a spouse) is considered a "first-time homebuyer"; 2) the right to
purchase title to a residence under a lease-purchase agreement shall not be
considered an "ownership interest."; and 3) a member of a cooperative (as
defined in 24 CFR § 982.4) also qualifies as a "first time homebuyer".
b. Minimum Income Requirement.
(1) Amount of Income.
At the time the participant begins receiving the homeownership
assistance, the head of household, spouse, and/or other adult household
members who will own the residence, must have a gross annual income
at least equal to the Federal minimum hourly wage multiplied by 2000
hours.
(2) Exclusion of Welfare Assistance Income.
With the exception of elderly and disabled families, the EHA will disregard
any "welfare assistance" income in determining whether the participant
meets the minimum income requirement. Welfare assistance includes
assistance from Temporary Assistance for Needy Families ("TANF");
Supplemental Security Income ("SSI") that is subject to an income
eligibility test; food stamps; general assistance; or other welfare
assistance specified by HUD. The disregard of welfare assistance income
under this section affects the determination of minimum monthly income
in determining initial qualification for the homeownership program. It does
not affect the determination of income-eligibility for admission to the
Section 8 HCV total tenant
payment, or calculation of the amount of homeownership assistance
payments.
c. Employment History.
With the exception of disabled and elderly households, each participant must
demonstrate that one or more adult members of the household who will own the
home at commencement of the homeownership assistance is employed full-time
(an average of 30 hours per week) and has been continuously employed for one
year prior to execution of the sales agreement. In order to reasonably
the EHA will exempt
families that include a person with disabilities from this requirement. The
Executive Director may also consider whether, and to what extent, an
employment interruption is considered permissible in satisfying the employment
requirement.The Executive Director may also consider successive employment
during the one-year period and self-employment in a business.
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d. Completion of Initial Lease Term.
Applicants for and new participants in the Section 8 HCVprogram shall be
ineligible for participation in the Section 8 homeownership program until
completion of an initial Section 8 HCV first
annual recertification in the Section 8 HCVprogram. Nothing in this provision will
preclude Section 8 HCV participants that have completed an initial lease term in
another jurisdiction from participating in the Section 8 homeownership program.
e. Repayment of Any Housing Authority Debts.
Participants in the Section 8 HCVprogram shall be ineligible for participation in
the Section 8 homeownership program in the event any debt or portion of a debt
remains owed to the EHA or any other Housing Authority. Nothing in this
provision will preclude Section 8 HCVparticipants that have fully repaid such
debt(s) from participating in the Section 8 homeownership program.
f. Additional Eligibility Factors.
(1) Elderly and Disabled Households.
Elderly and disabled families are exempt from the employment
requirements set forth in Section XIII.A.2.c. above. In the case of an
elderly or disabled participant, the EHA will consider income from all
sources, including welfare assistance in evaluating whether the
household meets theminimum income required to purchase a home
through the Section 8 homeownership program.
(2) Prior Mortgage Defaults.
If a head of household, spouse, or other adult household member who
will execute the contract of sale, mortgage and loan documents has
previously defaulted on a mortgage obtained through the Section 8
homeownership program, the participant will be ineligible to participate in
the homeownership program.
3. PARTICIPATION REQUIREMENTS.
Once a participant is determined to be eligible to participate in the program, they must
comply with the following additional requirements: (A) complete a homeownership
counseling program approved by the EHA prior to commencement of homeownership
assistance; (B) within a specified time, locate the home proposed for purchase; (C)
submit a sales agreement containing specific components to the EHA for approval; (D)
allow the EHA to inspect the proposed homeownership dwelling to ensure that the
dwelling meets appropriate housing quality standards; (E) obtain an independent
inspection covering major building systems; (F) obtain EHA approval of the proposed
mortgage (which must comply with generally accepted mortgage underwriting
requirements); and (G) enter into a written agreement with the EHA to comply with all of
its obligations under the Section 8 homeownership program.
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a. Homeownership Counseling Program.
participant attending and successfully completing a homeownership counseling
program provided or approved by the EHA prior to commencement of
homeownership assistance. The homeownership counseling program will cover
home maintenance; budgeting and money management; credit counseling;
negotiating purchase price; securing mortgage financing; finding a home; fair
housing; Real Estate Settlement Procedures Act (RESPA) obligations; predatory
lending issues and the advantages of purchasing and locating homes in areas
that do not have a high concentration of low-income families.
The counseling agency providing the homeownership counseling program shall
either be approved by HUD or the program shall be consistent with the
homeownership sing Counseling program.
The EHA may require participants to partake in an EHA-approved
homeownership counseling program on a continuing basis.
b. Locating and Purchasing a Home.
(1) Type of Home.
AparticipantapprovedforSection8homeownershipassistancemay
AparticipantapprovedforSection8homeownershipassistancemay
purchasethefollowingtypeofhomeswithintheCityofEncinitas:anew
purchasethefollowingtypeofhomeswithintheCityofEncinitas:anew
orexistinghome,asingle-familyhome,acondominium,ahomeina
orexistinghome,asingle-familyhome,acondominium,ahomeina
plannedusedevelopment,acooperative,aloftorlive/workunit,ora
plannedusedevelopment,acooperative,aloftorlive/workunit,ora
manufacturedhometobesituatedonaprivatelyownedlotinamobile
manufacturedhometobesituatedonaprivatelyownedlotinamobile
homepark.Thehomemustbealreadyexistingorunderconstructionat
homepark.Thehomemustbealreadyexistingorunderconstructionat
thetimetheEHAdeterminestheparticipanteligibleforhomeownership
thetimetheEHAdeterminestheparticipanteligibleforhomeownership
assistance.InaccordancewithFederalRegulationsregardingportability,
assistance.InaccordancewithFederalRegulationsregardingportability,
participantsmaypurchaseahomeinanotherjurisdiction,providedthe
participantsmaypurchaseahomeinanotherjurisdiction,providedthe
receivingjurisdictionoperatesaSection8homeownershipprogramfor
receivingjurisdictionoperatesaSection8homeownershipprogramfor
whichtheSection8homeownershipapplicantqualifiesorauthorizesthe
whichtheSection8homeownershipapplicantqualifiesorauthorizesthe
EHAtoadministerthehomeownershipassistanceintheirjurisdiction.In
EHAtoadministerthehomeownershipassistanceintheirjurisdiction.In
theformercase,aparticipantsinvolvementintheSection8
theformercase,aparticipantsinvolvementintheSection8
homeownershipprogramwillbesubjecttotheSection8homeownership
homeownershipprogramwillbesubjecttotheSection8homeownership
programandpoliciesofthereceivingjurisdiction.
programandpoliciesofthereceivingjurisdiction.
(2) Purchasing a Home.
Once a home is located and a sales agreement approved by the EHA is
signed by the participant, the participant shall have up to three (3)
months, or such other time as is approved by the
Director or set forth in the EHA-approved sales agreement, to purchase
the home.
(3) Failure to Complete Purchase.
If a Section 8 HCVparticipant is unable to purchase the home within the
maximum time permitted by the EHA, the EHA shall continue the
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involvement in the Section 8 HCV program. The participant
may not reapply for the Section 8 homeownership program until they
have been determined eligible for the homeownership option.
(4) Lease-Purchase
Participants may enter into lease-purchase agreements while receiving
Section 8 HCVrental assistance. All requirements of the Section 8 HCV
program apply to lease-purchase agreements, except that participants
are permitted to pay an extra amount out-of-pocket to the owner for
purchase related expensesa "homeownership premium." Any
"homeownership premium," defined as an increment of value attributable
to the value of the lease-purchase right or agreement, is excluded from
the subsidy calculation,
and must be absorbed by the participant. When a lease-purchase
participant is ready to exercise their option, they must notify the EHA and
apply for the homeownership option. If determined eligible for
homeownership assistance, the participant may be admitted to the
homeownership program and must meet all the requirements of these
policies.
c. Sales Agreement.
Prior to execution of the offer to purchase or sales agreement, the participant
must provide the financing terms to the EHA for approval. The sales agreement
must provide for inspection by theEHA and the independent inspection referred
to in Section XIII.A.3.d. and must state that the purchaser is not obligated to
purchase unless such inspections are satisfactory to the EHA. The contract also
must provide that the purchaser is not obligated to pay for any necessary repairs
without approval by the EHA. The sales agreement must provide that the
purchaser is not obligated to purchase if the mortgage financing terms are not
approved by the EHA pursuant to Section XIII.A.3.e. The sales agreement
must also contain a seller certification that the seller is not debarred, suspended,
or subject to a limited denial of participation under 24 CFR part 24.
d. Independent Initial Inspection Conducted.
To ensure the home complies with the housing quality standards of the
Section 8 program, homeownership assistance payments may not
commence until the EHA first inspects the home. An independent inspection of
existing homes covering major building systems also must be completed by a
professional selected by the participant and approved by the EHA. The EHA will
not pay for the independent inspection. The independent inspection report
must be provided to the EHA. The EHA may disapprove the unit due to
information contained in the report or for failure to meet federal housing quality
standards.
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e. Financing Requirements.
The proposed financing terms shall be submitted to and approved by the EHA
prior to close of escrow. The EHA shall determine the affordability of the
financing. In making such determination, the EHA may
take into account other participant expenses, including but not limited to child
care, unreimbursed medical expenses, education and training expenses and the
like. Certain types of financing, including but not limited to, balloon payment
mortgages, unless convertible to a variable rate mortgage, are prohibited and
may not be approved by the EHA. Seller-financing mortgages shall be
considered by the EHA on a case by case basis. If a mortgage is not FHA-
insured, the EHA will require the lender to comply with generally accepted
mortgage underwriting standards consistent with those of HUD/ FHA, Ginnie
Mae, Fannie Mae, Freddie Mac, California Housing Finance Agency (CHFA),
USDA Rural Housing Services, the Federal Home Loan Bank, or other private
lending institution.
f. Compliance with Family Obligations.
A participant must agree in writing to comply with all Family Obligations under
the Section 8 HCV program and the
obligations include (1) attending ongoing homeownership counseling, if required
by the EHA; (2) complying with the mortgage terms; (3) not selling or transferring
the home to anyone other than a member of the assisted family who resides in
the home while receiving homeownership assistance; (4) not refinancing or
adding debt secured by the home without prior approval by the EHA; (5) not
having a present ownership interest and/or not acquiring an ownership interest in
another residence while receiving homeownership assistance; and (6) supplying
all required information to the EHA, including but not limited to annual verification
of household income, notice of change in homeownership expenses, notice of
move-out, and notice of mortgage default.The Homeownership Family
Obligation policies are set forth in Exhibit II hereto.
g. Compliance Lien
Upon purchase of a home, the participant must execute documentation as
required by HUD and the EHA, consistent with State and local law, securing the
right to recapture the homeownership assistance in accordance with
Section XIII.5.c. below. The lien securing the recapture of homeownership
subsidy may be subordinated to a refinanced mortgage.
4. AMOUNT OF ASSISTANCE.
The amount of the monthly assistance payment will be based on three factors: the
voucher payment standard for which the participant is eligible; the monthly
The EHA will pay the
lower of either the payment standard minus the total family contribution ("TFC") or the
participant will pay the difference.
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a. Determining the Payment Standard.
The voucher payment standard is the fixed amount the EHA annually establishes
as the "fair market" rent for a unit of a particular size located within the EHA
jurisdiction. In the homeownership program, the initial payment standard will be
the lower of either (1) the payment standard for which the participant is eligible
based on family size; or (2) the payment standard which is applicable to the size
of the home the participant decides to purchase. The payment standard for
subsequent years will be based on the higher of: (1) the payment standard in
effect at commencement of the homeownership assistance; or (2) the payment
income and size. The initial payment standard, for purposes of this comparison,
shall not be adjusted even if there is a subsequent decrease in participant size.
b. Determining the Monthly Homeownership Expense.
Monthly homeownership expense includes all of the following: principal and
interest on the initial mortgage and any mortgage insurance premium (MIP)
incurred to finance the purchase and any refinancing of such debt; real estate
taxes and public assessments; homeowne
per the EHA allowance; costs of major repairs and replacements per the EHA
allowance (replacement reserves); utility allowance per the
of utility allowances; principal and interest on mortgage debt incurred to finance
major repairs, replacements or improvements for the home including changes
needed to make the home accessible; and homeowner association dues, fees or
regular charges assessed, if any. Homeownership expenses for a cooperative
member may only include EHA approved amounts for 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 allowances for maintenance
expenses, major repairs and replacements and utilities; and principal and
interest on debt incurred to finance major repairs, replacements, or
improvements, including changes needed to make the home accessible.
c. Determining the Total Family Contribution
The TFC is that portion of the homeownership expense that the participant must
gap between the payment standard and the actual housing cost. All participant
income (including public assistance) will be counted to determine the
participan
assistance.
d. Payment to Lender
The EHA will provide the lender with notice of the amount of the housing
assistance payment prior to close of escrow and will pay the
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otherwise required by the lender. The participant will be responsible to submit
their contribution to the lender unless otherwise required by the lender.
5. TERMINATION OF SECTION 8 HOMEOWNERSHIP ASSISTANCE.
a. Grounds for Termination of Homeownership Assistance
(1) Failure to Comply with Family Obligations Under Section 8 HCVProgram
Homeownership Policies.
participant fails to comply with its obligations under the Section 8 HCV
program, the EHA homeownership policies, or if the participant defaults
on the mortgage. If required, the participant must attend and complete
ongoing homeownership counseling classes. The participant must
comply with the terms of any mortgage incurred to purchase and/or
refinance the home. The participant must provide the EHA with written
notice of any sale or transfer of any interest in the home; any plan to
move out of the
income and homeownership expenses on an annual basis; any notice of
mortgage default received by the participant; and any other notices which
may be required pursuant to EHA homeownership policies. Except as
otherwise provided in this Section, the participant may not convey or
transfer the home to any entity or person other than a member of the
(2) Occupancy of Home.
Homeownership assistance will only be provided while the participant
resides in the home. If the participant moves out of the home, the EHA
will not continue homeownership assistance commencing with the month
after the participant moves out.
(3) Changes in Income Eligibility.
A
following annual recertification of the household income, but participation
in the Section 8 Homeownership Program shall continue until such time
as the assistance payment amounts to $0 for a period of six (6)
consecutive months.
(4) Maximum Term of Homeownership Assistance.
Notwithstanding the provisions of Section XIII.A.5.a, subparagraphs
(1) through (3), except for disabled and elderly families, a participant may
receive Section 8 homeownership assistance for no longer than ten (10)
years from the date of close of escrow unless the initial mortgage
incurred to finance purchase of the home has a term that is 20 years
or longer, in which case the maximum term is 15 years. Families that
qualify as elderly at the commencement of homeownership
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assistance are not subject to a maximum term limitation. Families that
qualify as disabled families at the commencement of homeownership
assistance or at any time during the provision of homeownership
assistance are not subject to a maximum term limitation. If a disabled
participant or elderly participant ceases to qualify as disabled or elderly,
the appropriate maximum term becomes applicable from the date
homeownership assistance commenced; provided, however, that such
participant shall be eligible for at least six additional months of
homeownership assistance after the maximum term becomes applicable.
The time limit applies to any member of the household who has an
ownership interest in the unit during any time that homeownership
payments are made, or is a spouse of any member of the household who
has an ownership interest.
b. Procedure for Termination of Homeownership Assistance.
A participant in the Section 8 Homeownership program shall be entitled to the
same termination notice and informal hearing procedures as set forth in the
Administrative Plan of the EHA for the Section 8 HCV program.
c. Recapture of Homeownership Assistance
In certain circumstances the homeownership assistance provided to the
participant is subject to total or partial recapture upon the sale or refinancing of
the home.Sales proceeds that are used by the participant to purchase a new
home with Section 8 homeownership assistance are not subject to recapture.
Further, a participant may refinance to take advantage of better terms without
any recapture penalty, provided that no proceeds are realized ("cash-out"). Only
"cash-out" proceeds from refinancing and sales proceeds not used to purchase a
new home with Section 8 assistance less those amounts provided for in CFR
§982.640 are subject to recapture. Further, the amount of homeownership
assistance subject to recapture shall automatically be reduced in annual
increments of 10% beginning one year from the purchase date. At the end of 10
years the amount of homeownership assistance subject to recapture will be zero.
6. CONTINUED PARTICIPATION IN SECTION 8 HCVPROGRAM.
a. Default on FHA-Insured Mortgage.
If the participant defaults on an FHA-insured mortgage, the EHA may permit the
participant to move with continued Section 8 HCVrental assistance if the
participant demonstrates that they have (a) conveyed title to the home to HUD
or its designee, as required by HUD; and (b) moved from the home within the
period established or approved by HUD.
b. Default on non-FHA-Insured Mortgage.
If the participant defaults on a mortgage that is not FHA-insured, the EHA may
permit the participant to move with continued Section 8 HCV rental assistance if
the participant demonstrates that they have (a) conveyed title to the home to the
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lender, to the EHA or to its designee, as may be permitted or required by the
lender; and (b) moved from the home within the period established or approved
by the lender and/or the EHA. The
refusal in this instance.
7. EHA ADMINISTRATIVE FEE.
For each month that homeownership assistance is paid by the EHA on behalf of the
participant, the EHA shall be paid the ongoing administrative fee described in 24 CFR
§982.152(b).
8. WAIVER OR MODIFICATION OF HOMEOWNERSHIP POLICIES.
The Executive Director of the EHA shall have the discretion to waive or modify any
provision of the Section 8 homeownership program or policies not governed by statute
or regulation for good cause or to comply with changes in HUD regulations or directives.
B. Project Based Vouchers
The EHAmay issue up to 20 vouchers for Project Based Rental Assistance. Administration of
the vouchers will comply with applicable regulations found in 24 CFR 983.
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SECTION XIV. TERMINATION OF ASSISTANCE
A. Termination Because of Household Action or Inaction.
1. Denial of assistance for an applicant may include any or all of the following:
denying listing on the EHA waiting list,
denying or withdrawing a voucher,
refusing to enter into a HAP contract or approve a lease; and
refusing to process or provide assistance under portability procedures.
2. 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 existing HAP contract;
and
refusing to process or provide assistance under portability procedures.
B. Grounds for Denial or Termination of Assistance.
1. If the Household violates any Household obligations under the program.
2. If any member of the Household has ever been evicted from public housing.
3. If any Housing Authority has ever terminated assistance under the voucher
program for any member of the Household.
4. If any member of the Household commits drug-related criminal activity or violent
criminal activity.
5. If any member of the Household commits fraud, bribery or any other corrupt or
criminal act in connection with any federal housing program.
6. If the Household currently owes rent or other amounts to the EHA or to another
Housing Authority in connection with Section 8 HCV program or public housing
assistance.
7. If the Household has not reimbursed any housing authority for amounts paid to
an owner under a HAP contract for rent, damages to the unit, or other amounts
owed by the Household under the lease.
8. If the Household breaches an agreement with the EHA to pay amounts owed to
the EHA or amounts paid to an owner by the EHA.
9. If a Household participating in the Family Self-Sufficiency (FSS) program fails to
comply, without good cause, with the Household's FSS contract of participation.
10. If the Household has engaged in or threatened abusive or violent behavior
toward EHA personnel or contractors.
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C. EHA Discretion to Consider Circumstances.
In deciding whether to deny or terminate assistance, the EHA has discretion to consider
all of the circumstances in each case, including the seriousness of the case, the extent
of participation or culpability of individual Household members, and the effects of denial
or termination of assistance on other Household members who were not involved in the
action or failure.
The EHA may impose, as a condition of continued assistance, a requirement that
Household members who participated in or were culpable for the action or failure will not
reside in the unit.With this condition, the EHA may permit the other members of a
participant Household to continue receiving assistance.
D. Requirement to Sign Consent Forms.
The EHA shall deny or terminate assistance if any member of the Household fails to
sign or submit consent forms for obtaining information.
E. Restriction on Assistance to Non-citizens.
The Household shall submit required evidence of citizenship or eligible immigration
status.
F. Violence Against Women Act (VAWA)
Denial of assistance to an applicant or termination of assistance of a participant for
criminal activity is subject to the provisions of the Violence Against Women Act of 2005
as described below:
1. Being a victim of domestic violence, dating violence or stalking is not a basis for
denial of assistance or admission to assisted housing if the applicant otherwise
qualifies for assistance or admission.
2. Incidents or threats of abuse will not be construed as serious or repeated violations
of the lease agreement o
tenancy, or occupancy rights of a victim or abuse.
3. The EHA has authority to terminate voucher assistance for certain family members
while permitting other members of a participant family to continue receiving
assistance (providing the culpable family member will no longer reside in the unit).
this administrative discretion is not dependent on a
bifurcated lease or other eviction action by the owner against an individual family
member.
4. Certification of Abuse: The EHA will request that the victim of abuse complete the
HUD form 50066 Certification of Domestic Violence, Dating Violence or Stalking.
This form must be provided within fourteen (14) business days from the date the
EHA requests it. Without the certification, the EHA may terminate assistance.
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SECTION XV. HOUSEHOLD OBLIGATIONS.
A. The Household must supply any information that the EHA or HUD determines is
necessary in the administration of the program, including submission of required
evidence of citizenship or immigration status. The information requested for the use in
regularly scheduled reexamination or interim reexamination of income and composition
must be supplied. Social security numbers must be disclosed and verified. All
information must be true and complete.
B. The Household is responsible for any violation of HQS caused by the Household. The
Household must allow the EHA to inspect the unit.
C. The Household may not commit any serious or repeated violation of the lease.
D.The Household must notify the EHA and the owner before the Household moves out of
the unit, or terminates the lease on notice to the owner.
E. The Household must promptly give the EHA a copy of any owner eviction notice.
F. The Household must use the assisted unit for residence by the Household. The unit
must be the Household's only residence.
The members of the household may engage in legal profit making business, but only if
such activities are incidental to the primary use of the unit as a residence for the
members of the Household.
G. The composition of the assisted Household residing in the unit must be approved by the
EHA. The Household must promptly inform the EHA of the birth, adoption or court-
awarded custody of a child. The Household must request the EHA approval to add any
other Household member as an occupant of the unit. A foster child or a live-in-aide may
reside in the unit with EHA approval.
H. The Household must not sublease or let the unit. The Household must not assign the
lease nor transfer the unit.
I. The Household must promptly notify the EHA if any Household member no longer
resides in the unit.
J. The Household must promptly notify the EHA of absence from the unit.
K. The Household must not own or have any interest in the unit.
L. The members of the Household must not commit fraud, bribery or any other corrupt or
criminal act in connection with the programs. Members of the Household may not
engage in drug-related criminal activity or violent criminal activity.
M. An assisted Household, or members of the Household, may not receive Section 8 HCV
tenant-based assistance while receiving another housing subsidy for another unit or for
a different unit under any duplicate federal, State or local housing assistance program.
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SECTION XVI. DEBTS OWED TO ENCINITAS HOUSING AUTHORITY
A. Owner
If an owner is indebted to the EHA as a result of an overpayment, the owner will be
requested to either pay the amount due in full or be advised that the overpayment will be
deducted from future housing assistance payment(s) until the overpayment is paid. If
the owner fails to pay the amount owed and there is not a future Housing Assistance
Payment to offset the overpayment, the owner will be banned from renting to future
Section 8 HCVparticipants until the debt is resolved.
B. Applicant
An applicant must pay in full all debts, if any, owed to the EHA or any other Housing
Agency before being admitted to the rental assistance program. An exception may be
made if the applicant is current on a repayment agreement.
C. Participant
A participant, including a participant under portability, with repayment agreements in
good standing will be allowed to continue making payments under such agreements
until the debt is paid in full. Failure to make timely payments will be grounds for
termination of benefits. However, if a participant wishes to move or port to another
jurisdiction, the balance must be paid in full prior to execution of a new contract. The
EHAmay approve an exception to this provision if the family demonstrates that they
have made timely payments in accordance with the Repayment Agreement and the
family may suffer a hardship if they are unable to relocate or exercise portability.
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SECTION XVII.FAMILY SELF-SUFFICIENCY PROGRAM
A. Purpose.The purpose of the Family Self-Sufficiency (FSS) program is to provide
supportive services which enable Section 8 HCVfamilies to achieve economic
independence and self-sufficiency. To participate in the FSS, the Household and the
EHAshall enter into a contract which outlines resources and services available for the
Household. The Household has special responsibilities under the FSS contract. A
special escrow account is established with increased rents which would have been paid
to the EHA if the Household's income is increased through suitable employment.
B. Selection of Participants.
Only Section 8 HCVparticipants may be selected considering the following criteria:
1. Participants who have expressed interest.
2. Fifty percent (50%) of the slots in the FSS program may be targeted to
participants with one or more Household members currently enrolled or on the
waiting list for one or more FSS related service programs such as Job
Opportunities and Basic Skills Training (JOBS) or Jobs Training Partnership Act
(JTPA).
3. Fifty percent (50%) of the FSS slots will be based on the date the Household
expressed interest.
4. FSS families moving to the jurisdiction (portables) will be selected for the
FSS program based on criteria selection.
5. If a Household previously participated in the FSS program with either the EHA
or another authority and was terminated from the FSS Program, the Household
may not be selected for participation a second time.
6. If the Household owes the EHA money in connection with Section 8 HCV
assistance, they may be denied participation in the FSS Program.
7. Families shall be selected without regard to race, color, creed, religion, sex,
disability, or national origin.
C. Terminating FSS and Section 8 HCVAssistance.
1. Committing program fraud, such as misrepresentation of income, assets, and
deductions; misrepresentation of Household composition; or illegal activity, is
grounds for termination from the Section 8 programs and the FSS program.
Withholding services is not an option for the above families.
2. If the head of the FSS Household does not seek and maintain employment as
specified in the FSS contract of participation or never finds employment during
the contract's five year term, the Household has not met its FSS obligations and
shall be terminated from the FSS program and the Section 8 HCVassistance.
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3. Section 8 HCVInformal Hearing Procedures will apply to the families terminated
from the Family Self-Sufficiency Program as set forth in Exhibit I hereto.
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EXHIBIT I
SECTION 8 HOUSING CHOICE VOUCHER PROGRAM (HCV) INFORMAL REVIEW AND
HEARING PROCEDURES
INFORMAL REVIEW FOR APPLICANTS
If an applicant is determined to be ineligible for a Section 8 program on the basis of income,
Household composition or for any other reason, the applicant shall be notified promptly by letter
of the determination including the reasons. The applicant shall be informed in the letter of their
right to an informal review, if requested within 10 days from the date of the letter, to make
written or oral objections to the EHA determination.
The review shall be conducted by any person or persons designated by the EHA, other than the
person who made or approved the decision under review or a subordinate of this person.
If, after the review, the applicant is still determined to be ineligible, the applicant shall be notified
in writing, including a brief statement of the reasons for the final decision. The EHA shall retain
for three years a copy of the application, notice to the applicant, and the applicant's responses.
INFORMAL HEARINGS FOR PARTICIPANTS
A. When a hearing is required.
The EHA must give a participant Household an opportunity for an informal hearing to consider
whether the following EHA decisions relating to the individual circumstances of a participant
Household are in accordance with the law, HUD regulations, and EHA policies:
1. A determination of the Household's annual or adjusted income, and the
computation of the housing assistance payment.
2. A determination on the appropriate utility allowance.
3. A decision to deny or terminate assistance on behalf of the participant because
of the Household's action or inaction.
4. A determination that a Household is residing in a unit with a larger number of
bedrooms than appropriate under the EHA standards together with the EHA's
denial of the Household's request for an exception from the standards.
5. A determination of the Household unit size under the EHA subsidy standards.
6. A determination to terminate assistance because the participant Household has
been absent from the assisted unit for longer than the maximum period permitted
under EHA policy and HUD rules.
The EHA must give the opportunity for an informal hearing under items 3, 4, and6 above
before the EHA terminates housing assistance payments for the Household under an existing
HAP contract.
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B. When a hearing is not required.
The EHA is not required to provide the Household an opportunity for an informal hearing for any
of the following:
1. Discretionary administrative determinations by the EHA.
2. General policy issues or class grievances.
3. Establishment of the EHA schedule of utility allowances.
4. An EHA determination not to approve an extension or suspension of a voucher term.
5. An EHA determination not to approve a unit or lease.
6. An EHA determination that an assisted unit is not in compliance with HQS.
(However, the EHA must provide the opportunity for a hearing on a decision to
terminate assistance for a breach of the HQS caused by the Household.)
7. An EHA determination that the unit is not in accordance with HQS because of the
Household size.
8. A determination by the EHA to exercise or not to exercise any right or remedy
against the owner under a HAP Contract.
C. Procedure.
The EHA must notify the Household promptly, in writing, that they may ask for an informal
review which would include an explanation of the basis of the EHA determination, and if they
do not agree, the Household may request an informal hearing on the decision. The Household
must submit, in writing, a request for an informal hearing within ten (10) working days of receipt
of their notification of the termination. The written request is not subject to any formal format,
but must include a statement as to why the decision is unfair and what relief is sought by the
applicant/participant.
The informal hearing shall be conducted by an agency-appointed Hearing Officer. The Hearing
Officer shall not have made or approved the decision under review or be a subordinate of the
person who made the decision.
The Household shall be given the opportunity to examine, before the hearing, any EHA
documents that are directly relevant to the hearing. The Household shall be allowed to copy
any such document at the Household's expense. If the EHA does not make the document
available for examination on request of the Household, the EHA may not rely on the document
at the hearing.
The EHA shall be given the opportunity to examine at the EHA or contractor's offices any
Household documents that are directly relevant to the hearing. The EHA or contractor shall be
provided this opportunity before the hearing. The EHA shall be allowed to copy any such
documents at their own expense. If the Household does not make the document available for
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examination, the Household may not rely on the document at the hearing.
The Household may, at its own expense, have an attorney or other representative.
This is a non-judicial hearing, so no formal procedure need be followed. It is the discretion of
the Hearing Officer as to how the hearing is to be conducted. However, it shall be the respon-
sibility of the Officer to insure the adequate information is brought and that the order of the
hearing proceeds as follows: The Officer shall identify the session (parties present, date, time
and place), and read the initial agency determination which prompted the hearing. The Officer
is to make pertinent notes and acknowledge material and testimony needed to make a
reasonable determination. The need or use of an audio recording and/or atranscript of the
proceedings shall be at the discretion of the Hearing Officer. However, a request by the
Household for an audio taping to be done, shall be honored.
The Household has the right to present evidence and question all witnesses. Evidence may be
considered without regard to admissibility under the rules of evidence applicable to judicial
proceedings.
D. Decision
.
The decision shall be issued in writing by the Hearing Officer and shall briefly state the reasons
(applicable federal regulations and program guidelines) for the particular determination.
Factual determinations relating to the individual circumstances of the Household shall be based
on a preponderance of the evidence presented at the hearing. A copy of the decision shall be
sent to the Household by certified and first class mail, return receipt requested, within ten (10)
working days after the conclusion of the hearing. If the landlord is to have a notice of the
decision, it shall not contain the entire determination; but only the final decision "summary."
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EXHIBIT II
SECTION 8 HOMEOWNERSHIP FAMILY OBLIGATIONS
This form is to be signed by the homebuyer(s) in the presence of the Encinitas Housing
staff. The EHA staff will explain any and all clauses which you, the
homebuyer(s), may not understand.
The following paragraphs describe your responsibilities under the Section 8 Homeownership
Program. If you or members of your household do not meet these responsibilities, through your
actions or your failure to act, you may be terminated from the Section 8 Homeownership
Program.
1. Family Obligations: You must comply with all Family Obligations of the Section 8 HCV
program, excepting only the prohibition against owning or having an interest in the unit.
Family Obligations §§ 982.551(c), (d), (e), (f), (g) and (j) do not apply to the Section 8
Homeownership Program.
2. Homeownership Counseling: All participant family members (i.e. those signing the
purchase offer and loan documents) must satisfactorily complete an EHA provided or
approved homeownership counseling program prior to commencement of
homeownership assistance. The EHAmay require any or all participant family members
to attend additional homeownership counseling classes as a condition of continued
assistance.
3. Purchase Contract: You must include contract conditions in any Offer to Purchase that
give the EHA a reasonabl
Housing Quality Standards; (b) to review and approve a professional home inspection
report obtained by you from an EHA approved inspector; and (c) approve the terms of
your proposed financing. Advise your Realtor of these requirements.
4. Mortgage Obligations: You must comply with the terms of any mortgage incurred in the
purchase of the property and must notify the EHA and the
Program Counselor within five (5) days of receipt of any late payment or default notice.
5. Occupancy: You must occupy the unit as your principal residence. You may not transfer,
sell, or assign any interest in the property without the
may not rent or lease any part of the premises without the
You must notify the EHA in writing at least 30 days prior to moving out of the house for a
period of 30 days or longer or prior to any sale, transfer, assignment, lease or other form
of alienation of the assisted property.
6. Maintenance: You must maintain the property in a decent, safe and sanitary manner.
You must allow the EHA to inspect the property within one-week of a demand by the
EHA to conduct an inspection. You must correct any notice of deficiency issued by the
EHA within the time limit specified in the notice. If you fail to adequately maintain the
property, the EHA may divert the maintenance and replacement reserves portions of the
Homeownership Assistance Payment to an escrow account to be used to pay for
reasonable and necessary maintenance expenses.
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7. Annual Reexamination: You must annually provide the EHA with current information
regarding participant income and composition in a format required by the EHA.
8. Refinancing: You must notify the EHA in writing of any proposal to refinance the original
purchase mortgage or of any proposal to encumber the property with secondary
financing and obtain the
loan documents.
9. Default: In the event of a default on your mortgage obligation, you must cooperate with
the EHA and the lender to minimize any loss to the lender in order to maintain your
eligibility to continue as a participant in the Section 8 HCV program.
10. Recapture: You must sign and have recorded a lien, in a form required by HUD,
securing the
provided to you upon your sale or refinancing of the home within a 10 year period after
the purchase date. The amount of recapture shall be calculated in accordance with HUD
regulations and shall be subject to automatic reduction in 10% increments annually
beginning one year from the purchase date.
By signing below, I attest that I have read and understood my obligations as a participant in the
Section 8 Homeownership Program and I agree to abide by these responsibilities. I understand
that the EHA may terminate my homeownership assistance if I violate any of these obligations,
but that I may request an informal review of any proposed notice of termination prior to it
becoming effective.
Participant Date
Participant Date
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Attachment D
Fact Sheet on the
Section 8 Housing Choice Voucher Program
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SECTION 8 HOUSING CHOICE VOUCHER PROGRAM OVERVIEW
The Section 8 Housing Choice Voucher Program (HCV) is the largest and longest running
rental assistance program administered by the Federal Department of Housing and Urban
Development (HUD). Funding for the program is provided by HUD to local public housing
authorities to administer the rental assistance vouchers to eligible households. The HCV
Program assists very low-income (50 percent of Area Median Income) families, the elderly,
and the disabled to afford decent, safe, and sanitary housing in the private market through
the provision of rental assistance. Program participants pay approximately 30 percent of
their income towards the rent and a housing subsidy is paid directly to the landlord by the
housingauthority to cover the difference. The Encinitas Housing Authority currently assists
approximately 109 very-low income households, most of which are elderly and/or disabled.
The Encinitas Housing Authority is one of six housing authorities in San DiegoCounty, and
began receiving Section 8 HCV funds in 1995. The Encinitas Housing Authority Board is the
decision making body and is comprised of the five members of the City Council and two
tenant commissioners. The Encinitas Housing Authority Board meets on an as-needed
basis for HUD required reporting and financial matters. Encinitas Housing Authority staff are
located within the Advanced Planning division of the Planning and Building Department.
Additionally, the Housing Authority contracts with Nan McKayand Associates, a well-known
housing firm, for technical assistance.
Housing agencies administering Section 8 programs must adopt a written Administrative
Plan that establishes local policies for administration of the program in accordance with
HUD requirements. The Administrative Plan and revisions to the plan must be adopted by
the Housing Authority and submitted to HUD. However, HUD approval of the Administrative
Plan is not required.
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