The Housing Authority of the City & County of Sacramento 2009 Admissions And Continued Occupancy Policy (ACOP) Effective 1/1/2009 TABLE OF CONTENTS HOUSING AUTHORITY ADMISSIONS AND CONTINUED OCCUPANCY POLICY Chapter 1-STATEMENT OF POLICIES AND OBJECTIVES A. Public Housing Agency Mission Statement ..................................................................................1-1 B. Local Objectives...........................................................................................................................1-2 C. Purpose of the Policy....................................................................................................................1-2 D. Fair Housing Policy.......................................................................................................................1-2 E. Reasonable Accommodation Policy .............................................................................................1-3 F. Translation of Documents and Plan for Language Assistance for Limited English Proficiency (LEP) Persons........................................................................................................................ 1-5 G. Family Outreach...........................................................................................................................1-6 H. Privacy Rights ...............................................................................................................................1-7 I. Posting of Required Information ..................................................................................................1-7 J. Public Housing Management Assessment System (PHAS) Objectives.......................................1-8 Chapter 2-ELIGIBILITY FOR ADMISSION A. Factors Affecting Admission .........................................................................................................2-1 B. Family Composition......................................................................................................................2-3 C. Income Limitations ........................................................................................................................2-6 D. Social Security Numbers...............................................................................................................2-6 E. Citizenship/Eligible Immigration Status.........................................................................................2-7 F. Other Criteria for Admission..........................................................................................................2-7 G. Denial of Admission for Drug-Related and/or Other Criminal Activity ........................................2-13 Chapter 3-APPLYING FOR ADMISSION A. Overview of the Pre-Application Process......................................................................................3-1 B. Completion of a Full Application ...................................................................................................3-3 C. Final Determination and Notification of Eligibility..........................................................................3-5 Chapter 4-RESIDENT SELECTION AND ASSIGNMENT PLAN A. Management of the Waiting List ...................................................................................................4-1 B. Site Based Waiting Lists ...............................................................................................................4-2 C. Assignment of Units Designated for the Elderly, Disabled, or Mixed Use....................................4-3 D. General Occupancy Units .............................................................................................................4-4 E. Accessible Units...........................................................................................................................4-4 F. Offer of Placement on the Housing Choice Voucher (HCV) ........................................................4-4 G. Removal From Waiting List and Purging ......................................................................................4-5 H. Waiting List Preferences...............................................................................................................4-5 I. Preference Denial .........................................................................................................................4-6 J. Special Admissions .......................................................................................................................4-6 TOC-1 K. Matching Unit and Family Characteristics.....................................................................................4-7 L. Income Targeting ..........................................................................................................................4-8 M. Deconcentration of Poverty and Income-Mixing ...........................................................................4-9 N. Plan for Unit Offers......................................................................................................................4-10 O. Changes Prior to Unit Offer.........................................................................................................4-10 P. Applicant Status After Final Unit Offer........................................................................................4-11 Q. Time-Limit For Acceptance of Unit..............................................................................................4-11 R. Refusal of Offer..........................................................................................................................4-11 Chapter 5-OCCUPANCY GUIDELINES A. Determining Unit Size ...................................................................................................................5-1 B. Exceptions to Occupancy Standards............................................................................................5-2 C. Accessible Units...........................................................................................................................5-4 Chapter 6-DETERMINATION OF TOTAL TENANT PAYMENT A. Minimum Rent ...............................................................................................................................6-1 B. Income and Allowances................................................................................................................6-4 C. Disallowance of Earned Income from Rent Determinations-(EID) ...............................................6-5 D. Individual Savings Accounts .........................................................................................................6-8 E. Training Programs Funded By HUD.............................................................................................6-8 F. Wages From Employment with the PHA or Resident Organization .............................................6-8 G. Averaging and Annualizing Income ..............................................................................................6-8 H. Minimum Income..........................................................................................................................6-9 I. Income of Person Permanently Confined to Nursing Home.........................................................6-9 J. Regular Contributions and Gifts....................................................................................................6-9 K. Alimony and Child Support .........................................................................................................6-10 L. Lump Sum Receipts....................................................................................................................6-10 M. Assets and Asset Income............................................................................................................6-11 N. Contributions to Retirement Funds .............................................................................................6-11 O. Assets Disposed of For Less Than Market Value.......................................................................6-12 P. Childcare Expenses ....................................................................................................................6-12 Q Disability Assistance Expense....................................................................................................6-13 R. Medical Expenses .......................................................................................................................6-13 S. Proration of Assistance For “Mixed” Families ............................................................................6-14 T. Income Changes Resulting From Welfare Program Requirements ...........................................6-14 U. Utility Allowance and Utility Reimbursement Payments ............................................................6-14 V. Family Choice Rents ..................................................................................................................6-15 W. PHA’s Flat Rent Methodology.....................................................................................................6-16 Chapter 7-VERIFICATION PROCEDURES A. Methods of Verification and Time Allowed....................................................................................7-1 B. Release of Information..................................................................................................................7-6 C. Items to be Verified.......................................................................................................................7-6 D. Verification of Income....................................................................................................................7-7 E. Income from Assets ....................................................................................................................7-10 F. Verification of Assets...................................................................................................................7-11 G. Verification of Allowable Deductions From Income ....................................................................7-12 TOC-2 H. Verifying Non-Financial Factors..................................................................................................7-14 I. Verification ofWaiting List Preferences......................................................................................7-19 J. Verification of Suitability for Admission.......................................................................................7-19 Chapter 8-TRANSFER POLICY A. Involuntary (Mandatory) Transfers................................................................................................8-1 B. Voluntary Transfers......................................................................................................................8-2 C. Transfer Waiting List.....................................................................................................................8-3 Chapter 9-LEASING A. Lease Terms and Conditions........................................................................................................9-1 B. Lease Orientation.........................................................................................................................9-6 C. Execution of Lease........................................................................................................................9-6 D. Additions to the Lease...................................................................................................................9-7 E. Leasing Units with Accessible or Adaptable Features..................................................................9-9 F. Utility Services............................................................................................................................9-10 G. Security Deposits ........................................................................................................................9-10 H. Rent Payments...........................................................................................................................9-11 I. Fees and Nonpayment Penalties................................................................................................9-11 J. Schedule of Fees and Charges ..................................................................................................9-11 K. Modifications to the Lease ..........................................................................................................9-12 L. Cancellation of the Lease ...........................................................................................................9-12 M. Inspections of Public Housing Units............................................................................................9-12 N. Pest Control ...............................................................................................................................9-15 O. Trash Disposal and Recycle Program ........................................................................................9-15 P. Appliances..................................................................................................................................9-15 Q. Screen Doors ..............................................................................................................................9-16 R. Window Coverings ......................................................................................................................9-16 S. Gardening ..................................................................................................................................9-16 T. Parking.......................................................................................................................................9-17 U. Inoperative and Abandoned Vehicles .........................................................................................9-17 V. Miscellaneous Policies ................................................................................................................9-17 W. Key Control .................................................................................................................................9-18 X. Wading Pools……………………………………………………………………………………….……9-18 Chapter 10-PET POLICY A. Registration of Pets.....................................................................................................................10-1 B Non-Applicability of Pet Policy to Animals that Assist Persons with Disabilities.........................10-1 C. Advance Permission, Registration, and Pet Deposits ................................................................10-2 D. Prohibited Animals ......................................................................................................................10-4 E. Additional Prohibitions and Requirements..................................................................................10-4 F. Inspections and Other Rights of the Authority............................................................................10-5 G. Pet Removal...............................................................................................................................10-5 H. Termination of Tenancy ..............................................................................................................10-5 I. Disposition of Pet Deposit(s).......................................................................................................10-5 J. Liability .......................................................................................................................................10-6 K. Refusal to Register Pets .............................................................................................................10-6 TOC-3 L. Pets Temporarily on the Premises..............................................................................................10-6 Chapter 11-RECERTIFICATIONS A. Eligibility for Continued Occupancy ............................................................................................11-1 B. Annual Recertifications ...............................................................................................................11-1 C. Reporting Interim Changes .........................................................................................................11-4 D. Income Changes Resulting From Welfare Program Requirements ...........................................11-9 E. Timely Reporting of Changes in Income (and Assets) .............................................................11-10 F. Remaining Member of Resident Family – Retention of Unit ....................................................11-11 G. Changes in Unit Size ................................................................................................................11-11 H. Continuance of Assistance for “Mixed” Families ......................................................................11-11 Chapter 12-LEASE TERMINATIONS A. Termination by Resident.............................................................................................................12-1 B. Termination by PHA....................................................................................................................12-1 C. Notification Requirements...........................................................................................................12-2 D. Record Keeping ..........................................................................................................................12-4 E. Terminations Due to Ineligible Immigration Status .....................................................................12-4 Chapter 13-COMPLAINTS, GRIEVANCES AND APPEALS A. Complaints .................................................................................................................................13-1 B. Informal Review Procedures for Applicants................................................................................13-2 C. Informal Hearing Procedures for Residents................................................................................13-4 D. Formal Hearing Procedures........................................................................................................13-4 E. Hearing And Appeal Provisions for “Restrictions On Assistance To Non-Citizens……………....13-9 F. Expedited Grievance Procedure……………………………………………………………………..13-10 Chapter 14-FAMILY DEBTS TO THE PHA A. Payment Agreement for Families................................................................................................14-1 B. Debts Due to Misrepresentation of Information ..........................................................................14-2 C. Writing Off Debts.........................................................................................................................14-3 Chapter 15-COMMUNITY SERVICE AND SELF-SUFFICIENCY A. Program Requirements.................................................................................................................15-1 B. PHA Responsibilities ....................................................................................................................15-2 C. Exempt Adults ..............................................................................................................................15-2 D. Noncompliance of Family Members.............................................................................................15-3 Chapter 16-GLOSSARY I. Terms Used in Determining Rent................................................................................................16-1 TOC-4 II. Glossary of Housing Terms ........................................................................................................16-7 III. Glossaryof Terms Used in the Non-citizens Rule....................................................................16-19 Chapter 17-PROGRAM INTEGRITY ADDENDUM A. Criteria for Investigation of Suspected Abuse and Fraud...........................................................17-1 B. Steps the PHA will Take to Prevent Program Abuse and Fraud ................................................17-2 C. Steps the PHA will Take to Detect Program Abuse and Fraud ..................................................17-2 D. The PHA’s Handling of Allegations of Possible Abuse and Fraud .............................................17-3 E. How the PHA will Investigate Allegations of Abuse and Fraud ..................................................17-4 F. Placement of Documents, Evidence, and Statements Obtained by the PHA.............................17-5 G. Conclusion of the PHA’s Investigative Review ...........................................................................17-5 H. Evaluation of the Findings...........................................................................................................17-5 I. Action Procedures for Violations Which Have Been Documented .............................................17-5 TOC-5 1-1 CHAPTER 1 STATEMENT OF POLICIES AND OBJECTIVES INTRODUCTION The U.S. Housing Act of 1937 created the low rent Public Housing program. Administration of the Public Housing program and the functions and responsibilities of the Public Housing Agency (PHA) of the City and County of Sacramento staff shall be in compliance with the PHA’s Personnel Policy, any union agreements of the PHA, and this Admissions and Continued Occupancy Policy (ACOP). The administration of this PHA’s housing program will also meet the requirements of the Department of Housing and Urban Development (HUD). Such requirements include any Public Housing regulations, handbooks, and applicable notices. All applicable federal, state and local laws, including Fair Housing Laws and regulations also apply. Changes in applicable federal laws or regulations shall supersede provisions in conflict with this policy. Federal regulations shall include those found in Volume 24 CFR, Parts 1, 5, 8, 100 and 900-966 (Code of Federal Regulations). A. PUBLIC HOUSING AGENCY MISSION STATEMENT The mission of the PHA is to promote adequate and affordable housing, economic opportunity and a suitable living environment free from discrimination. Our mission is to assist applicants in obtaining housing. Our task is to determine what we can and must do to achieve that goal fairly and with the highest degree of integrity. We will perform our mission with: . Dignity - allowing each applicant and participant a sense of pride . Fairness - remaining objective at all times, remembering that there are two sides to every story . Respect - treating others as we would like to be treated, in a nonjudgmental manner . Sensitivity - demonstrating empathy (not sympathy) by ensuring that program information provided is not only complete and accurate, but also offers positive solutions that foster hope 1-2 B. LOCAL OBJECTIVES . To provide improved living conditions for very low and low-income families while maintaining their rent payments at an affordable level . To operate a socially and financially sound Public Housing Agency that provides decent, safe, and sanitary housing within a drug free, suitable living environment for residents and their families, insuring that all units meet the Uniform Physical Condition Standards (UPCS) . To avoid concentrations of economically and socially deprived families in any one, or all of the PHA’s public housing developments . Promote a safe environment by denying initial or continued assistance to families who have demonstrated a history of violent criminal or drugrelated activity . Promote a safe environment by denying initial or continued assistance to families who have shown a pattern or repeated acts of any criminal activity . To attempt to house a resident body in each development, that is composed of families with a broad range of incomes and rent-paying abilities that are representative of the range of incomes of low-income families in the PHA’s jurisdiction . To provide opportunities for upward mobility for families who desire to achieve self-sufficiency . To facilitate the judicious management of the PHA inventory and the efficient management of the PHA staff . To ensure compliance with Title VI of the Civil Rights Act of 1964, and all other applicable federal laws and regulations, so that the admissions and continued occupancy are conducted without regard to race, color, religion, creed, sex, national origin, disability or familial status C. PURPOSE OF THE POLICY The purpose of this ACOP is to establish policies for the PHA staff to follow in determining eligibility for admission and continued occupancy. These policies are governed by the requirements of HUD with latitude for local policies and procedures. If any changes conflict with this plan, HUD regulations will have precedence. The PHA Board of Commissioners will approve the original policy and significant amendments. Required portions of this plan will be provided to HUD. D. FAIR HOUSING POLICY It is the policy of the PHA to comply fully with all federal, state, and local nondiscrimination laws and with the rules and regulations governing Fair Housing and Equal Opportunity in housing and employment. The PHA shall not deny any family or individual the opportunity to apply for or receive assistance under the Conventional/Public Housing programs on the basis of race, color, sex, religion, creed, national or ethnic origin, ancestry, source of income, veteran’s status, age, familial or marital status, handicap/ disability or sexual orientation. To further its commitment to full compliance with applicable Civil Rights laws, the PHA will provide federal/state/local information to voucher holders and public housing residents regarding discrimination and any recourse available to them. The PHA provides and reviews information regarding Fair Housing rights and responsibilities during family briefing sessions. Such information will be made available during the family briefing session in each briefing packet. Except as otherwise provided in 24 CFR 8.21, 8.24, 8.25, and 8.31, no individual with disabilities shall be denied the benefits of, be excluded from participation in, or otherwise be subjected to discrimination because the PHA's facilities are inaccessible to or unusable by persons with disabilities. Posters and housing information are displayed in locations throughout the PHA's office in such a manner as to be easily readable from a wheelchair. The office of Application/Intake and Eligibility and the Conventional Housing programs are accessible to persons with disabilities. Accessibility for the hearing impaired is provided by the TTD/TDY telephone service provider. E. REASONABLE ACCOMMODATION POLICY This policy is applicable to all situations described in this ACOP when a family initiates contact with the PHA, when the PHA initiates contact with a family including when a family applies for housing, and when the PHA schedules or reschedules appointments of any kind. An applicant and participant with a disability must first ask for a specific accommodation for their disability before the PHA will deviate from standard policies. The PHA's policies and practices will be designed to provide assurances that persons with disabilities will be given reasonable accommodations, upon request, so that they may fully access and utilize the housing program and related services. The availability of request for accommodation will be made known by including notices on PHA forms and letters. This policy is intended to afford persons with disabilities an equal opportunity to obtain the same result, to gain the same benefit, or to reach the same level of achievement as those who do not have disabilities and is applicable to all situations described in this ACOP. The PHA utilizes organizations that provide assistance for disabled persons when needed. 1-3 1-4 The PHA will fully comply with the obligations found in HUD Notice PIH 2002-01 (HA) [Accessibility Notice: Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990; the Architectural Barriers Act of 1968 and the Fair Housing Act of 1988]. To request a reasonable accommodation due to a disability, an applicant or participant must qualify under the following American with Disabilities Act (ADA) definition of disability: . A physical or mental impairment that limits an individual’s ability to participate in major life activities . A record of such impairment . Being regarded as having such impairment Notwithstanding any other provision of law, no individual shall be considered a person with disabilities for purposes of eligibility for low-income housing solely on the basis of any current drug use or alcohol dependence. Individuals whose drug or alcohol addiction is a material factor to their disability are excluded from the definition. Individuals are considered disabled if disabling mental and physical limitations would persist if drug or alcohol abuse discontinued. METHODS USED TO CERTIFY A PERSON WITH A DISABILITY To verify that an applicant or program participant is a person with a disability, PHA staff will first check to see whether the applicant is under the age 62 and receives either Social Security Disability or SSI Disability income. Some residents or applicants may be persons with disabilities even though they do not have such income. In these cases, a verification form will be sent to a qualified professional having knowledge of the person’s disability who can verify the person’s status. METHODS USED TO CERTIFY THE NEED FOR A REASONABLE ACCOMMODATION Once the person's status as a qualified person with a disability is confirmed, the PHA will require that a professional third party, competent to make the assessment, provide written verification that the person needs the specific accommodation, due to their disability, and the change is required for them to have equal access to the housing program. (Refer to Verification Procedures Chapter 7). The PHA will provide a written decision to the person requesting the accommodation within a reasonable time. If a person is denied the accommodation, or feels that the alternative suggestions are inadequate, they may request an informal hearing to review the PHA’s decision. (Refer to chapter 13, Complaints, Grievances and Appeals). Reasonable accommodation will be made for persons with a disability that requires an advocate, or accessible offices. A designee will be allowed to provide some information, but only with the permission of the person with the disability. 1-5 All PHA mailings will be made available in an accessible format, upon request, as a reasonable accommodation. All PHA communities and programs are open to all eligible persons without regard to race, color, religion, sex, sexual orientation, marital status, national origin, ancestry, family status, source of income, veteran status, or the presence of qualified disability. A reasonable accommodation will be made in policies, practices, and services, when such accommodation may be necessary to afford a disabled person equal opportunity to fully access and utilize housing programs and related services, unless such accommodation will impose an undue financial or administrative burden on the (PHA), or will require a fundamental alteration in the nature of its program. UNDUE HARDSHIP Requests for reasonable accommodation from persons with disabilities will be granted upon verification that they meet the need presented by the disability, and they do not create an undue financial and/or administrative burden. The PHA will deny the request and/or present an alternate accommodation that will still meet the need of the person. An undue administrative burden is one that requires a fundamental alteration of the essential functions of the PHA (i.e., waiving a family obligation). An undue financial burden is one that when considering the available resources of the agency as a whole the requested accommodation would pose a severe financial hardship on the PHA. In determining whether an accommodation would create an undue hardship, the following guidelines will apply: . The nature and cost of the accommodation needed . The overall current financial resources of the facility, or facilities involved in the provision of the reasonable accommodation . The number of persons currently employed at such facility, the number of families likely needing such accommodation, the effect on expenses and resources, or the likely impact on the operation of the facility as a result of the accommodation F. TRANSLATION OF DOCUMENTS AND PLANS FOR LANGUAGE ASSISTANCE FOR LIMITED ENGLISH PROFICIENCY (LEP) PERSONS It is the goal of the Housing Authority to be accessible to all residents of Sacramento County, regardless of race, color, or national origin. Therefore, we will endeavor to provide all families the same high quality customer service no matter what language they speak. In order to serve limited English proficiency (LEP) families, the Housing Authority is implementing the following activities: 1. When the adult members of the family are LEP, staff will show them the Language Identification Flashcard, created by the Census Bureau, so that the family can identify what language they speak. The Housing Authority has identified staff who speak American Sign Language, Chinese and Spanish to assist with these languages. For other languages, an interpreter will be called to assist the staff person in serving the family. 2. All LEP families will be identified on the computer, and in their file, as to their primary language so that appropriate resources can be identified in advance of the family’s needing assistance with an appointment. 3. When the number of families speaking one non-English language exceeds 5% of the number of program participants, the Housing Authority will translate “important” documents into this language. “Important” is defined as those documents addressing safety, participant rights, participant obligations, or communication regarding the loss of housing (i.e., eviction or program termination). 4. When the number of families speaking one non-English language exceeds 5% of the number of program participants, the Housing Authority will actively recruit staff that speak, read and write this language. 5. The Housing Authority will post signs in public spaces, in languages known to be spoken by LEP families involved with the agency, telling them that help is available in the language they know. 6. The Housing Authority will provide training to current and new staff, on an annual basis, about the resources available for LEP families and how to utilize these resources for participating families. G. FAMILY OUTREACH The PHA will publicize and disseminate information to make known the availability of housing assistance, and related services, for low-income families on a regular basis. When the PHA's waiting list is open, the PHA will publicize the availability, and nature of housing assistance for low-income families, in newspapers of general circulation, minority media, and by other suitable means. To reach persons who cannot read the newspaper, the PHA will distribute fact sheets to the broadcasting media, and initiate personal contacts with members of the news media and community service personnel. The PHA will also utilize public service announcements. The PHA will communicate the status of housing availability to other service providers in the community and advise them of housing eligibility factors/guidelines, in order that they can make proper referrals for housing assistance. 1-6 1-7 H. PRIVACY RIGHTS Applicants and participants, including all adults in their households, are required to sign the HUD 9886 Authorization for Release of Information. This document incorporates the Federal Privacy Act statement, and describes the conditions under which HUD/PHA will release family information. The PHA's policy regarding release of information is in accordance with state and local laws, which may restrict the release of family information. Any and all information, which would lead one to determine the nature and/or severity of a person’s disability, must be kept in a separate folder and marked "confidential". The personal information in this folder must not be released except on an "as needed" basis, in cases where an accommodation is under consideration. Designated staff must approve all requests for access and granting of accommodations based on this information. The PHA's practices and procedures are designed to safeguard the privacy of applicants and program participants. All applicant and participant files will be stored in a secure location, which is only accessible by authorized staff. PHA staff will not discuss family information contained in files unless there is a business reason to do so. Staff will be required to disclose whether s/he has relatives living in Public Housing. Inappropriate discussion of family information, or improper disclosure of family information by staff, will result in disciplinary action. The staff person, who is utilizing a file, is responsible for its security. Files will never be left unattended in common areas. I. POSTING OF REQUIRED INFORMATION The PHA will maintain a bulletin board in a conspicuous area of each Area Management Office lobby that will contain: . Statement of policies and procedures governing ACOP or a notice of where the policy is available . A notice of where the PHA 5-year Plan and PHA Annual Plans are available . Information on application process . Directory of the PHA’s housing sites including names, address of offices and office hours at each facility . Income limits for admission . Current schedule of routine maintenance charges . A copy of the lease . The PHA’s grievance procedures 1-8 . A Fair Housing poster . An Equal Opportunity in Employment poster . Current resident notices . Required public notices Site developments with Community Rooms will maintain a bulletin board, in a conspicuous place, that will contain: . Resident selection policies [24 CFR 960.202 and 960.203] . Information on application process . Income limits for admission . Current schedule of maintenance charges . Copy of lease . PHA’s grievance procedures . Fair Housing poster . Equal Opportunity in Employment poster . Current resident notices J. PUBLIC HOUSING MANAGEMENT ASSESSMENT SYSTEM (PHAS) OBJECTIVES The PHA operates its Public Housing program with efficiency and can demonstrate to HUD or independent auditors that the PHA is using its resources in a manner that reflects its commitment to quality and service. The PHA policies and practices are consistent with the new Public Housing Assessment System (PHAS) outlined in the 24 CFR Parts 901 and 902 final published regulations. The PHA is continuously assessing its program and consistently strives to make improvements. The PHA acknowledges that its performance ratings are important to sustaining its capacity to maintain flexibility and authority. The PHA intends to diligently manage its current program operations and continuously make efforts to be in full compliance with PHAS. The policies and procedures of this program are established so that the standards set forth by PHAS are demonstrated and can be objectively reviewed by an auditor whose purpose is to evaluate performance. 2-1 CHAPTER 2 ELIGIBILITY FOR ADMISSION INTRODUCTION This chapter defines both HUD's and the PHA's criteria for admission and denial of admission to the program. The policy of this PHA is to strive for objectivity and consistency in applying these criteria to evaluate the qualifications of families who apply. The PHA staff will review all information provided by the family carefully and without regard to factors other than those defined in this chapter. Families will be provided the opportunity to explain their circumstances, to furnish additional information, if needed, and to receive an explanation of the basis for any decision made by the PHA pertaining to their eligibility. A. FACTORS AFFECTING ADMISSION The family's initial eligibility for Conventional Public Housing issuance will be made in accordance with the eligibility factors, which will be verified before the family is admitted to the program. The PHA accepts applications only from families whose head or spouse is at least eighteen (18) years of age or an emancipated minor under state law. To be eligible for participation, an applicant must meet HUD's criteria, as well as any permissible additional criteria established by the PHA. HUD FACTORS An applicant is qualified if he or she meets the following criteria: . Is a "family" as defined in this chapter . Heads a household where at least one member of the household is either a citizen or eligible non-citizen . Has an Annual Income at the time of admission that does not exceed the low income limit for occupancy established by HUD and posted separately in the PHA offices . Provides a Social Security number for all family members, age 6 or older, or will provide written certification that they do not have Social Security numbers . Meets or exceeds the tenant Selection and Suitability Criteria set forth in this policy 2-2 . The PHA will permanently deny admission to public housing persons convicted of manufacturing or producing methamphetamine on the premises of federally assisted housing in violation of any federal or state law AGENCY FACTORS The PHA will apply the following criteria, in addition to the HUD eligibility criteria, as grounds for denial of admission to the program: . The family must furnish declaration of citizenship or eligible immigrant status and verification where required . The PHA will permanently deny admission to public housing persons convicted of manufacturing or producing methamphetamine on the premises of federally assisted or non-federally assisted housing in violation of any federal or state law . The PHA will permanently deny admission to sex offenders who are subject to a lifetime registration requirement under a state sex offender registration program . The family must pay or resolve any debt owed the PHA, or another PHA, as a result of prior participation in any federal housing program within thirty (30) days notification by the admissions staff. A family that has been approved for bankruptcy (Chapter 7) does not owe any debt to the PHA. . A family will be denied admission to the program if any member of the family fails to sign and submit consent forms for obtaining information required by the PHA, including Form HUD-9886 . A family will be denied admission to the program if any member of the family has been evicted from federally assisted housing for serious violation of the lease . The family must not have violated any family obligation during a previous participation in a federally assisted housing program for five (5) years prior to final eligibility determination (The PHA may make an exception if the family member who violated the family obligation is not a current member of the household. The PHA may request the family to provide verifiable documentation) . The family must not engage in criminal activity, illegal drugs, or alcohol abuse that threatens the health, safety or right to peaceful enjoyment of other residents . Admission of applicants with any current criminal charges will be delayed pending final court decision. After the final court decision, the applicant will be reviewed to determine if they meet all admission criteria. B. FAMILY COMPOSITION (HUD CFR 5.403) DEFINITION OF FAMILY AT ADMISSION The applicant must qualify as a family. A family may be a single person or a group of persons. The PHA defines a group of persons as two or more persons who intend to share residency, whose income and resources are available to meet the family's needs, and who will live together in PHA housing. Discrimination on the basis of familial status is prohibited, and a group of persons may not be denied solely on the basis that blood, marriage or operation of law does not relate them. For occupancy standards purposes, the applicant may claim a spousal relationship. (See Chapter 5 -Occupancy Guidelines) HUD defines elderly, disabled and displaced families (see glossary in this policy for definitions). The PHA further defines a family as: All of the federally defined families, including elderly family, near-elderly family, disabled family, displaced family, remaining member of a tenant family, and a single person and two or more persons related by blood, marriage, adoption or other operation of law, or two or more persons who are not so related but who will live together as domestic partners and share resources. TEMPORARY ABSENCE OF CHILD The temporary absence of a child from the home due to placement in foster care is defined as a period of time that is anticipated to be less than six months (6 mos.) from the time the family is determined eligible for admission to the program. The child who is temporarily absent from the home due to placement in foster care shall be considered part of the family in determining the family composition and unit size. All temporary absences will be verified through the appropriate agencies. Any child absent for a period exceeding six months will be considered permanently absent from the home. The child may be added to the family composition when the PHA receives documentation from the court or social service agency that the child has been returned to the home. OCCUPANCY BY POLICE OFFICERS In order to provide an increased sense of security for public housing residents the PHA may allow public housing units to be occupied by police officers. Police officers will not be required to be income eligible to qualify for admission to the PHA's public housing program. 2-3 2-4 HEAD OF HOUSEHOLD The head of household is the adult member of the household who is designated by the family as head, is wholly or partly responsible for paying the rent, and has the legal capacity to enter into a lease under State or local law. Emancipated minors who qualify under state law will be recognized as head of household if there is a court order recognizing them as an emancipated minor. Persons who are married are legally recognized as adults under State law. SPOUSE OF HEAD Spouse means the husband or wife of the head. For proper application of the Non-Citizens Rule, the definition of spouse is the marriage partner who in order to dissolve the relationship would have to be divorced. It includes the partner in a common law marriage. The term "spouse" does not apply to boyfriends, girlfriends, significant others/partners, or co-heads. CO-HEAD A co-head is an individual in the household who is equally responsible for the lease with the head of household. A head of household may have either a spouse or co-head, but not both. A co-head never qualifies as a dependent. LIVE-IN AIDES A household may include a live-in aide provided that such live-in aide: . Is determined by the PHA to be essential to the care and well being of an elderly person, a near-elderly person, or a person with disabilities . Is not obligated for the support of the person(s) . Would not be living in the unit except to provide care for the person(s) . A live-in aide is not considered to be an assisted family member and has no rights or benefits under the program . Income of the live-in aide will not be counted for purposes of determining eligibility or level of benefits . Is approved by the PHA after normal screening criteria . Live-in aides are not subject to Non-Citizen Rule requirements . Live-in aides may not be considered as a remaining member of the resident family Relatives are not automatically excluded from being live-in aides, but they must meet all of the elements in the live-in aide definition described above. Family members of a live-in aide may also reside in the unit, providing doing so does not increase the subsidy by the cost of an additional bedroom and that the presence of the family member(s) does not overcrowd the unit. A live-in aide may only reside in the unit with the approval of the PHA and is subject to the Admission’s screening criteria. Written verification certifying that a live-in aide is needed for the care of the family member who is elderly, near elderly or disabled will be required from a reliable, knowledgeable professional, such as a doctor, social worker, or caseworker. The PHA will approve a live-in aide if needed as a reasonable accommodation to make the program accessible to and usable by the family member with a disability. If the live-in aide or their family members participate in drug-related or criminal activity, the PHA will rescind the aide’s right to occupy the unit. When the agency takes such action against the live-in aide, the aide is not entitled to the grievance hearing process of the agency. The PHA has the right to disapprove a request for a live-in aide based on the "Other Eligibility Criteria" described in this chapter. A live-in aid who is an applicant to the conventional housing program may not be approved for his/her own conventional housing unit while maintaining a bedroom in the conventional housing unit of another resident. Once an applicant who is residing as a live-in with an existing conventional housing resident is approved to receive his/her own low income or subsidized housing, they must immediately be removed from the residence of the existing conventional housing program resident. A person who is or will receive housing assistance as a primary participant or family member cannot be approved as a live-in aide. SPLIT HOUSEHOLDS PRIOR TO BEING HOUSED 1. When a family on the waiting list splits into two otherwise eligible families due to divorce or legal separation, and the new families both claim placement on the waiting list, the PHA will place both families on the appropriate sized wait list based on the split family composition, the date they applied, and any preferences for which they are eligible. Duplicate application including applications from a segment of an applicant household, will not be accepted. Documentation of these factors is the responsibility of the applicant families. If either or both of the families do not provide the documentation, they may be denied placement on the waiting list for failure to supply information requested by the PHA. 2-5 MULTIPLE FAMILIES IN THE SAME HOUSEHOLD When applicant families consist of two families living together, (such as a mother and father, and a daughter with her own husband or children), and they apply as a family unit, they will be treated as a family unit. JOINT CUSTODY OF CHILDREN Children who are subject to a joint custody agreement but, live with one parent at least fifty-one percent (51%) of the time will be considered members of that household. Fifty- one percent (51%) of the time is defined as one hundred eighty-three (183) days of the year and do not have to run consecutively. There will be a self-certification required of families who claim joint custody or temporary guardianship. When both parents share equal custody of the children, the parent whose address is listed in the school records will be allowed to claim the school-age child as a dependent. C. INCOME LIMITATIONS No family other than a low-income family is eligible for admissions to a PHA’s public housing program. HUD establishes income limits annually (by family size) for the area in which the PHA is located. Those considered low-income have income that is eighty percent (80%) or below the median income for that area. Annual income is compared to the income limit and is applied only at admission as a test for eligibility. Once admitted, a family is no longer subject to initial income limit requirements in order to retain eligibility, or for unit transfers. D. SOCIAL SECURITY NUMBERS Families are required to provide verification of Social Security numbers for all family members. Applicants who disclose their Social Security number but do not provide verification of that number must apply to the Social Security Administration for a replacement card. No applicant will be approved for housing until the Socials Security number has been certified by the Social Security Administration and a Social Security card has been provided to the SHRA by the applicant for all household members who have been issued a social security number. Failure to furnish verification of social security numbers is grounds for denial of admission or termination of tenancy. 2-6 E. CITIZENSHIP/ELIGIBLE IMMIGRATION STATUS In order to receive assistance, a family member must be an U.S. citizen or eligible immigrant. Individuals who are neither may elect not to contend their status. Eligible immigrants are persons who are in one of the immigrant categories as specified by HUD. For the citizenship/eligible immigration requirement, the status of each member of the family is considered individually before the family's status is defined. MIXED FAMILIES A family is eligible for assistance as long as at least one member is a citizen or eligible immigrant. Families that include eligible and ineligible individuals are called "mixed families". Such applicant families will be given notice that their income-based assistance will be prorated and that they may request a hearing if they contest this determination. If such a family chooses flat rent, the flat rent will not be prorated if the flat rent is greater than the Public Housing Maximum Rent. If the Public Housing Maximum Rent is greater than the flat rent, and the family chooses flat rent, then the family’s maximum subsidy will be calculated and prorated. NON ELIGIBLE MEMBERS Applicant families that include no eligible members will be ineligible for assistance. Such families will be denied admission and offered an opportunity for a hearing. NON-CITIZEN STUDENTS Non–citizen students as defined by HUD in the non-citizen regulations are not eligible for assistance even if they marry an eligible individual VERIFICATION OF STATUS BEFORE ADMISSION The PHA will not provide assistance to families prior to the verification of eligibility for the individual or at least one member of the family pursuant to this section. Assistance to a family may not be delayed, denied or terminated on the basis of the family's ineligible immigration status unless and until the family completes all the verification and appeals processes to which they are entitled under both Immigration and Naturalization Services (INS) and PHA procedures, except for a pending PHA hearing. F. OTHER CRITERIA FOR ADMISSION In developing its admission policies the aim of the PHA is to attain a resident body composed of families with a broad range of incomes whose habits and practices will not be a detriment to other residents, and/or the surrounding community. . Therefore, it is 2-7 2-8 the policy of the PHA to deny admission to applicants whose present or past habits and practices may reasonably be expected to increase the likelihood of interference with other residents’ right to peaceful enjoyment of the premises or may have an adverse effect on the health, safety and welfare of other residents. All applicants will be screened in accordance with HUD's regulations and the PHA’s Applicant Screening. The regulations require an assessment of the behavior of each applicant with respect to the essential obligations of tenancy as expressed in the Authority’s lease as summarized below. All applicants must demonstrate through an assessment of current and past behavior the ability: . To pay rent and other charges as required by the lease in a timely manner . To care for and avoid damaging the unit and common areas . To use facilities, appliances and equipment in a reasonable way . To create no health or safety hazards and to report maintenance needs in a timely manner . Not to interfere with the rights and peaceful enjoyment of others and to avoid damaging the property of others . Not to allow guests and visitors under the applicant’s control to engage in any activity that threatens the health, safety or right to peaceful enjoyment of other residents or staff . Not to engage in criminal activity or alcohol abuse that threatens the health, safety or right to peaceful enjoyment of other residents or staff and not to engage in drug-related or violent criminal activity on or off the PHA premises . To comply with necessary and reasonable rules and program requirements of HUD and the PHA . To comply with local health and safety codes Previous outstanding debts to this PHA or any PHA resulting from a previous tenancy in the Public Housing or Housing Choice Voucher (HCV, AKA: Section 8) programs must be paid in full or be resolved prior to admission. No re-payment agreement will be accepted. Head of household, spouse or co-head is responsible for the entire debt incurred as a previous PHA resident. Children of the head of household, spouse or co-head who had incurred a debt to the PHA will not be held responsible for the parent's previous debt unless they resided in the unit with the parent(s) as an adult and the debt was the result of the adult child’s unreported income. The PHA will conduct a detailed interview of all applicants. The interview form will contain questions designed to evaluate the qualifications of applicants to meet the essential requirements of tenancy. Interview responses will be subject to third party verification. 2-9 Applicants must be able to demonstrate the ability and willingness to comply with the terms of the lease, either with or without assistance, and that they can demonstrate that they have or will have this ability and willingness at the time of admission. The availability of assistance is subject to verification by the PHA. The PHA does not permit a parent or legal guardian to co-sign the lease on the applicant’s behalf if the head of household is under eighteen (18) and, under State/local law, does not have the legal capacity to enter into a legally binding contract. As a part of the final eligibility determination, the PHA will screen each applicant household to assess their suitability as renters. The PHA shall rely upon sources of information which may include, but not be limited to: . PHA records . Personal interviews with the applicant or resident . Credit check and unlawful detainer report . Interviews with previous landlords, employer, family, social workers, clinics, physicians, parole officers, or the police department . Criminal and court records . Home visits Home visits may be conducted at the current residence of all applicants, as the PHA deems necessary, whenever there is a potential of instability, unfavorable landlord comments, or lack of prior landlord history. Applicants shall have at least two working days advance written notice of home visits. This will be done in order to determine whether the individual attributes, prior conduct, and behavior of a particular applicant are likely to interfere with other residents in such a manner as to diminish their enjoyment of the premises by adversely affecting their health, safety or welfare. The PHA's examination of relevant information pertaining to past and current habits or practices will include, but is not limited to, an assessment of: . The applicant's past performance in meeting financial obligations, especially rent and utilities . Eviction or a record of disturbance of neighbors sufficient to warrant a police call, destruction of property, or living or housekeeping habits at present or prior residences which may adversely affect the health, safety, or welfare of other residents or neighbors . History or pattern of repeated acts of criminal activity on the part of any applicant family member involving criminal acts, including drug-related criminal activity; . History or pattern of repeated acts of violence on the part of an individual, or a pattern of conduct constituting a danger or interfering with the peaceful occupancy of neighbors 2-10 . History of initiating threats or behavior indicating intent to assault employees or other residents . History or pattern of repeated acts of alcohol or substance abuse that would threaten the health, welfare, or right to peaceful enjoyment of the premises by other residents The ability and willingness of an applicant to comply with the essential lease requirements will be verified and documented by the PHA. The information to be considered in the screening process shall be reasonably related to assessing the conduct of the applicant and other family members listed on the application in present and prior housing. The history of applicant conduct and behavior must demonstrate that the applicant family can reasonably be expected not to: . Interfere with other residents in such a manner as to diminish their peaceful enjoyment of the premises by adversely affecting their health, safety, or welfare . Adversely affect the physical environment or financial stability of the project . Violate the terms and conditions of the lease . Require services from PHA staff that would alter the fundamental nature of the PHA's program RENT PAYING HABITS The PHA will examine any records from a prior tenancy, and will request written references from the applicant's current landlord and may request written references from former landlords. Based upon these verifications, the PHA will determine if the applicant was chronically late with rent payments, was evicted at any time, for nonpayment of rent, or had other legal actions initiated against him/her for debts owed. Any of these circumstances may be grounds for an ineligibility determination, depending on any mitigating circumstances. SCREENING APPLICANTSWHO CLAIM MITIGATING CIRCUMSTANCES Mitigating circumstances are facts relating to the applicant's record of unsuitable rental history or behavior, which, when verified would indicate both: (1) the reason for the unsuitable rental history and/or behavior; and (2) that the reason for the unsuitable rental history and behavior is no longer in effect or is under control, and the applicant's prospect for lease compliance is an acceptable one, justifying admission. If unfavorable information is received about an applicant, consideration shall be given to the time, nature, and extent of the applicant's conduct and to factors that might indicate a reasonable probability of favorable future conduct. In order to be factored into the 2-11 PHA's screening assessment of the applicant, mitigating circumstances must be verifiable. If the mitigating circumstances claimed by the applicant relate to a change in disability, medical condition or course of treatment, the PHA shall have the right to refer such information to persons who are qualified and knowledgeable to evaluate the evidence and to verify the mitigating circumstance. The PHA shall also have the right to request further information reasonably needed to verify the mitigating circumstance. Such inquiries will be limited to the information necessary to verify the mitigating circumstances or, in the case of a person with disabilities, to verify the need for a reasonable accommodation. Examples of Mitigating Circumstances . Evidence of successful rehabilitation . Evidence of the applicant family's participation in and completion of social service or other appropriate counseling service approved by the PHA . Evidence of successful and sustained modification of previous disqualifying behavior Consideration of mitigating circumstances does not guarantee that the applicant will qualify for admission. Consideration of Rehabilitation When making determinations concerning applicant eligibility, PHA may consider whether the applicant household member in question can demonstrate that: . They have successfully completed a supervised drug or alcohol rehabilitation program, are no longer engaging in illegal use of a controlled substance or abuse of alcohol, and have been “clean and sober” for a period of no less than twelve (12) months; or The Sacramento Housing Authority may make inquiries to a drug abuse treatment facility that are solely related to whether the applicant household member in question is currently engaging in the illegal use of a controlled substance in cases where: . The Authority receives information from the criminal record of the applicant that indicates evidence of a prior arrest or conviction for such offense; or . The Authority receives information from the records of prior tenancy of the applicant that demonstrates that the applicant engaged in the destruction of property; engaged in violent activity against another person; or interfered with the right of peaceful enjoyment of the premises of another tenant. For persons who previously have been evicted from public housing for drug-related or violent criminal activity, they must provide the PHA with verifiable evidence that the circumstances leading to the eviction no longer exist. 2-12 DOCUMENTING FINDINGS An authorized representative of the PHA shall document any pertinent information received relative to the following: . Criminal Activity includes the activities listed in the definition of criminal activity in this chapter. . Pattern of Criminal Activity includes evidence of repeated criminal activities on the part of an individual, or a pattern of conduct, which might interfere with the health, safety, or right to peaceful enjoyment of the premises by other residents. . Pattern of Violent Behavior includes evidence of repeated acts of violence on the part of an individual, or a pattern of conduct constituting a danger to peaceful occupancy of neighbors. . Pattern of Drug Use includes a determination by the PHA that the applicant has exhibited repeated acts of illegal use of a controlled substance, which might interfere with the health, safety, or right to peaceful enjoyment of the premises by other residents. . Drug Related Criminal Activity includes a determination by the PHA that the applicant has been involved in the illegal manufacture, sale, distribution, use or possession of a controlled substance. . Pattern of Alcohol Abuse includes a determination by the PHA that the applicant's repeated abuse of alcohol might interfere with the health, safety or right to peaceful enjoyment of the premises by other residents. . Initiating Threats or behaving in a manner, which indicates intent to assault employees or other residents. . Abandonment of a Public Housing Unit without advising PHA officials so that staff may secure the unit and protect its property from vandalism. . Non-Payment of Rightful Obligations including rent and/or utilities and other charges owed to the PHA or any other PHA. . Falsifying an Application for Leasing including verbalizing or otherwise providing false information about family income and size, using an alias on the application for housing, or making any other material false statement or omission intended to mislead. . Record of Disturbances of Neighbors, Destruction of Property or Other Disruptive or Dangerous Behavior consists of patterns of behavior, which endanger the life, safety, or welfare of other persons by physical violence, gross negligence or irresponsibility. This also includes behavior which damages the equipment or premises in which the applicant resides, or which is seriously disturbing to neighbors or disrupts sound family and community life, indicating the applicant's inability to adapt to living in a multi-family setting. Furthermore, it includes judicial termination of tenancy in previous housing on the grounds of nuisance or objectionable conduct, or frequent loud parties, which have resulted in repeated disturbance of the neighbors. 2-13 . Unsanitary or Hazardous Housekeeping includes the creation of a fire hazard through acts such as hoarding rags, papers, or other materials. It also includes severe damages to premises or equipment. When it is determined that the family is responsible for conditions that may affect neighbors by causing infestation and foul odors or depositing garbage in halls or other neglect of the premises, this may also be cause for denial. This category does not include families whose housekeeping is found to be superficially unclean or due to lack of orderliness, where such conditions do not create a problem for neighbors. . Whether Applicant or Resident is Capable of Maintaining the Responsibilities of Tenancy in the case of applicants for admission, the person's present living arrangements and a statement obtained from applicant's physician, social worker, or other health professional will be among factors considered in making this determination. The availability of a live-in attendant will be considered in making this determination. In the event of the receipt of unfavorable information with respect to an applicant, consideration shall be given to the time, nature, and extent of the applicant's conduct and to factors, which might indicate a reasonable probability of favorable future conduct or financial prospects. Applicants who are determined to be unqualified for admission will be promptly notified with a Notice of Denial of Admission stating the reason for the denial. The PHA shall provide applicants an opportunity for an informal hearing (see Chapter 13 - Complaints, Grievances, and Appeals). G. DENIAL OF ADMISSION FOR DRUG RELATED AND/OR OTHER CRIMINAL ACTIVITY PURPOSE All federally assisted housing is intended to provide a place to live and raise families, not a place to commit crime, to use or sell drugs or terrorize neighbors. It is the intent of the PHA of the City and County of Sacramento to fully endorse and implement a policy that is designed to help create and maintain a safe crime and drug-free community and keep our program participants free from threats to their personal and family safety. ADMINISTRATION All screening procedures shall be administered fairly and in such a way as not to discriminate on the basis of race, color, nationality, religion, sex, familial status, disability or against other legally protected groups, and not to violate right to privacy. To the maximum extent possible, the PHA will involve other community and governmental entities in the promotion and enforcement of this policy. 2-14 This policy will be posted on the bulletin boards of the PHA's area management offices and copies made readily available to applicants and residents upon request. SCREENING FOR DRUG ABUSE AND OTHER CRIMINAL ACTIVITY In an effort to prevent drug related and other criminal activity, as well as other patterns of behavior that pose a threat to the health, safety or the right to peaceful enjoyment of the premises by other residents, the PHA will endeavor to screen applicants thoroughly and fairly. Obtaining summary criminal history information for the purpose of screening a prospective participant/applicant includes: . Any information concerning any arrest, conviction or release from custody that occurred within at least the past seven (7) years by applicants. Any information regarding a pattern or repeated acts of criminal or drug related behavior that occurred within at least the past seven (7) years by applicants . Any felony offense that involved any activity related to controlled substances or alcoholic beverages within at least the past seven (7) years [CA Penal Code § 1105.3] . In evaluating evidence of negative past behavior, the PHA will give fair consideration to the seriousness of the activity with respect to how it would affect other residents, and/or likelihood of favorable conduct in the future which could be supported by evidence of rehabilitation SECURITY AND CRIMINAL BACKGROUND CHECK The PHA will verify any involvement in criminal activity on the part of any applicant family or household member who intends to reside in the PHA leased premises: . Applicants will be advised at the time of intake and at the start of the screening interview that criminal behavior will jeopardize admission to a PHA community. Criminal activity that occurs while an applicant’s family is on the PHA's waiting list will result in PHA’s decision to reject an applicant family. . Involvement in criminal activity by any member of an applicant family or household member that would adversely affect the health, safety or welfare of other tenants will be verified using information from the criminal records system of the City and County of Sacramento, the State of California, and the federal National Crime Information Center (the "NCIC"). The PHA will also examine criminal histories provided by other States or municipalities, court records, and other evidence that might document any criminal activity. In addition, the current and former landlords and housing providers will be asked to indicate problems during the applicant’s tenancy. The Authority will review police reports for any criminal activity during the seven (7) year period prior to consideration for admission. 2-15 . The PHA will use a third party service to check criminal history. . The PHA will use the criminal records system of the City and County of Sacramento, the State of California, the NCIC, and other states and/or municipalities to check all applicants for any evidence of: (1) Any and all information relative to any criminal convictions or activity, both felonies and misdemeanors within the past seven (7) years; (2) Any and all information relative to any criminal charges that are currently pending before the court of the State of California or any jurisdiction, including the federal courts; (3) Lifetime sex offender registration requirement for any household member. The PHA will check in California and any other states where any family member is known to have resided. . The criminal records system shall be used to assess the applicant's past behavior especially the commission of violent crimes, drug related criminal activity of any kind, disturbance of neighbors, or destruction of property . Without substantial evidence of mitigating circumstances (including serving jail time and rehabilitation) the PHA will not admit persons engaging in any criminal activity violating state and/or federal law . Examples of criminal offenses that will be considered include, but are not limited to: felonies, disturbing the peace, drunk and disorderly conduct, threats or harassment, domestic violence, including actual or threatened violence toward members of an applicant household, assaults, destruction of property, vandalism, citations for health and sanitary code violation, possession of an unlawful weapon, criminal damage, arson, and home invasion . In applying the above provisions, the PHA will consider the nature of the offense and any mandatory penalties in accordance with state and federal law . Documentation of any of the following criminal activity by any applicant family or household member who intends to reside in the PHA leased premises may result in rejection of the applicant family. Documentation of such activity may be considered alone or in conjunction with other criminal activity such as: (1) Use, distribution, or possession of illegal drugs by an applicant family or household member who intends to reside in the PHA leased premises 2-16 (2) Documentation from the criminal records system, or other verification of criminal activity, that shows a history of propertyrelated crimes such as, but not limited to, burglary, robbery, larceny, weapon charges, and possession and receipt of stolen goods (3) Documentation from the criminal records system, or other verification of criminal activity, that shows a history of crimes that endanger the health or safety of others such as assault, battery, public intoxication (drunk & disorderly), or prostitution (4) Documentation from the criminal records system, or other verification of criminal activity, that shows a history of crimes that endanger the health or safety of others such as homicide/murder, rape, child molestation, spousal or child abuse, or drug related crimes as referenced STANDARD FOR VIOLATION The PHA will deny admission to the program to applicants for five (5) years from the date of eviction if a household member has been evicted from federally assisted housing for drug-related criminal activity. However, the PHA may admit the household if the PHA determines: . That the evicted household member who engaged in drug-related criminal activity has successfully completed a supervised drug rehabilitation program approved by the PHA and has met the rehabilitation standard set forth in this policy . That the circumstances leading to eviction no longer exist The PHA will deny admission to the program to applicants for five (5) years from the date of arrest, if convicted, or if incarcerated for one year or more, the date the applicant completed his/her sentence due to drug-related and other criminal activity that pose a threat to the health, safety or the right to peaceful enjoyment of the premises by other residents. The PHA will deny admission to the program, applicants either currently on parole or probation or whose parole or probation release is within 12 months of the date of application. The PHA will deny participation in the program to applicants where the PHA determines there is reasonable cause to believe that the person is illegally using a controlled substance or engages in drug-related or other criminal activity. The same will apply if it is determined that the person abuses alcohol in a way that may interfere with the health, safety or right to peaceful enjoyment of the premises by other residents. This includes cases where the PHA determines that there is a pattern or repeated acts of illegal use of controlled substances or a pattern or repeated acts of alcohol abuse. The PHA will consider the illegal use of a controlled substance or alcohol abuse to be a pattern if there is more than one incident, during the previous 18 months, that may interfere or threaten the health, safety or right to peaceful enjoyment of the public housing premises by other residents or employees of the PHA. In evaluating evidence or a pattern of negative past behavior, the PHA will give fair consideration to the seriousness of the activity with respect to how it would affect other residents, and/or likelihood of favorable conduct in the future which could be supported by evidence of rehabilitation. No family member may have engaged in or threatened abusive or violent behavior toward PHA personnel at any time. No family member may have committed fraud, bribery, or any other corrupt or criminal act in connection with any federal housing program in the last five (5) years. EVIDENCE The PHA must have credible evidence of the violation. Credible evidence may be obtained from police and/or court records. Testimony from neighbors, when combined with other factual evidence can be considered credible evidence. Other credible evidence includes documentation of drug raids or arrest warrants and evidence gathered by PHA inspectors and/or investigators. The PHA may pursue fact-finding efforts as needed to obtain credible evidence. CONFIDENTIALITY OF CRIMINAL RECORDS The PHA will ensure that any criminal record received is maintained confidentially, not misused or improperly disseminated, and destroyed once the purpose for which it was requested is accomplished or in accordance with HUD regulation. If the family is determined eligible for initial or continued assistance, the PHA's copy of the criminal report shall be shredded as soon as the information is no longer needed for eligibility or continued assistance determination. If the family's assistance is denied or terminated, the criminal record information shall be shredded immediately upon completion of the review or hearing procedures and a final decision has been made. The PHA will document in the family's file that the family was denied admission or the tenancy was terminated due to findings in the Criminal History Report. 2-17 DISCLOSURE OF CRIMINAL RECORDS TO FAMILY Before the PHA takes any adverse action based on a criminal conviction record, upon request, the applicant will be provided with a copy of the criminal record and an opportunity to dispute the record. RECOMMENDATION OF ADMISSION OR REJECTION Recommendation for admission or rejection will be based on the aforementioned criteria in this section. SUPERVISORY REVIEW AND HEARINGS If information is revealed that would cause the PHA to deny admission to the household and the person disputes the information, s/he shall be given an opportunity for an informal hearing according to the PHA's hearing procedures outlined in Chapter 13 – Complaints, Grievances and Appeals. The applicant must request the informal review no later than ten (10) days after receipt of the notification. Difficult cases will be referred to the Eligibility Supervisor for further review and determination. 2-18 3-1 CHAPTER 3 APPLYING FOR ADMISSION INTRODUCTION The policy of the PHA is to ensure that all families who express an interest in housing assistance are given an equal opportunity to apply, and are treated in a fair and consistent manner. This chapter describes the policies and procedures for completing an initial application for assistance, placement and denial of placement on the waiting list, and limitations on who may apply. The primary purpose of the intake function is to gather information about the family, but the PHA will also utilize this process to provide information to the family so that an accurate and timely decision of eligibility can be made. Applicants will be placed on the waiting list in accordance with this policy. APPLICATION PROCESS The application process is as follows: . The pre-application will be recorded by date and time received . The “initial” or pre-application is used to determine the family’s placement on the waiting list - Applications submitted during a waitlist opening during which a lottery selection system has been used will be maintained and pulled from the waitlist through a computerized random selection process . The "final determination of eligibility for admission" (referred as the full application) takes place when the family reaches the top of the waiting list. At this time the PHA ensures that verification of all HUD and PHA eligibility factors is current, in order to determine the family’s eligibility for an offer of a suitable unit A. OVERVIEW OF PRE-APPLICATION PROCESS PRE-APPLICATION Families who wish to apply for any of the PHA’s programs must complete a written preliminary application (pre-application) when the waiting list is open. The information is to be filled out by the applicant whenever possible. To provide specific accommodation for persons with disabilities, a staff person may complete the information over the telephone. It may also be mailed to the applicant and, if requested, it will be mailed in an accessible format. Pre-applications will not require interviews. Information on the application will not be verified until the applicant has been selected for final eligibility determination. Final eligibility will be determined when the full application process is completed and all information is verified. The purpose of the pre-application is to permit the PHA to preliminarily assess family eligibility or ineligibility and to determine placement on the waiting list. Applications will be accepted at central location(s) for all waiting lists. Unless Admissions is collecting family income information for income limits verification purposes and/or reviewing the pre-application for criminal activity that would prevent program participation, the pre- application does not preliminarily determine eligibility. NOTIFICATION OF PRELIMINARY STATUS After a review of the pre-application a written notification of preliminary eligibility will be mailed to the applicant by first class mail. If the family is determined to be eligible, they will be placed on the waiting list, based on the date and time of application and any claimed preferences. If the family is determined to be ineligible based on the information provided in the pre- application, the PHA will notify the family in writing (in an accessible format upon request as a reasonable accommodation), state the reason(s), and inform them of their right to an informal review. Persons with disabilities may request to have an advocate attend the informal review as an accommodation. (See Chapter 13 -Complaints, Grievances and Appeals) APPLICANT STATUS WHILE ON WAITING LIST Applicants are required to inform the PHA in writing, within thirty (30) days of changes in family composition, income, and address, as well as any changes in their preference status. Applicants are also required to respond to requests from the PHA to update information on their application, or to determine their continued interest in assistance. Failure to provide information or to respond to mailings will result in the applicant being removed from the waiting list. (See Chapter 13 -Complaints, Grievances and Appeals) STATUS OF THE WAITING LISTS The PHA, at its discretion, may restrict application intake, suspend application intake, and close waiting lists in whole or in part. The open period shall be long enough to achieve a waiting list adequate to cover projected turnover and new allocations over the next twenty-four (24) months. 3-2 3-3 The PHA will update the waiting list periodically by removing the names of those families who are no longer interested or cannot be reached by mail. At the time of initial intake, the PHA will advise families of their responsibility to notify the PHA when changes in family composition, income, mailing address, telephone numbers and/or when other changes occur. When the PHA opens the waiting list, the PHA will advertise through public notice in the following newspapers, minority publications and media entities: . Sacramento Bee, Sacramento Observer, El Hispano, Hmong Women’s Heritage, Thang Mo Magazine, and Vesti, LLC . City and County offices . Sacramento City Council and Sacramento County Board of Supervisors The notices will be made in an accessible format if requested. They will provide potential applicants with information that includes the PHA address and telephone number, how to submit an application, information on eligibility requirements and the availability of local preferences. Upon request from a person with a disability, additional time will be given as an accommodation for submission of an application after the closing deadline. This accommodation is to allow persons with disabilities the opportunity to submit an application in cases when a social service organization provides inaccurate or untimely information about the closing date. The PHA may stop the acceptance of applications if there are enough applicants to fill anticipated openings for the next twenty-four (24) months. The waiting list may not be closed if it would have a discriminatory effect inconsistent with applicable civil rights laws. The PHA will give at least thirty (30) calendar days notice prior to closing the list. When the period for accepting applications is over, the PHA will add the new applicants to the list by separating the new applicants into groups based on bedroom size, unit type, preferences and date and time of application. The PHA will announce the closing of the waiting list by public notice as previously described. B. COMPLETION OF A FULL APPLICATION When the PHA is ready to select pre-applicants from the waiting list, the PHA will send the applicant a letter including various authorizations for the release of information to complete a criminal, credit, eviction and rental history screening of all adults who will reside in the unit. Applicants will be required to complete a full application in his or her own handwriting, unless assistance is needed, or a person with a disability makes a request for accommodation. Applicants will then be interviewed by PHA staff to review the information on the full application form. Verification of disability as it relates to 504, Fair Housing, ADA or a reasonable accommodation can be requested at this time. The qualification for preference(s) must exist at the time the preference is verified regardless of the length of time that an applicant has been on the waiting list because the preference is based on current status. The full application is mailed to all applicants once their name is pulled form the waitlist, as an accommodation to a person with a disability or at the discretion of the PHA. REQUIREMENT TO ATTEND INTERVIEW The PHA utilizes the full application interview to discuss the family’s circumstances in greater detail, to clarify information, which has been provided by the family, and to ensure that the information is complete. The interview is also used as a vehicle to meet the informational needs of the family by providing information about the application and verification process, as well as to advise the family of other PHA services or programs, which may be available. All adult members are required to attend the interview and sign the housing application. Exceptions may be made for adult students attending school out of state or for members for whom attendance would be a hardship, on a case by case basis. If the head of household cannot attend the interview due to a disability, a reasonable accommodation may be made. The head of household, however, will be required to certify by signature that all the information is complete and accurate. The head of household will be responsible for the application. If the applicant fails to appear for an appointment, the PHA will send the applicant a withdrawal notice and they may request an informal review. If the applicant requests to have the pre-scheduled appointment rescheduled prior to the day of the appointment, s/he will be rescheduled.. If the applicant misses the rescheduled appointment, the application is removed from the waiting list. (See Chapter 13 -Complaints, Grievances and Appeals) Applicants that do not return the information requested during the interview or when requested in writing from the PHA within ten (10) days of their interview or the written request will have their case closed for lack of verification. A notice will be mailed to the applicant. It is the applicant’s responsibility to contact the PHA to ask for another opportunity to bring back the requested information. (Another ten (10) days may be granted with a valid reason or emergency.) Being incarcerated is not a valid emergency. Notices to applicant will include applicant’s hearing rights. 3-4 A reasonable accommodation will be made for persons with a disability that requires an advocate or accessible offices. A designee will be allowed to participate in the interview process, but only with permission of the person with a disability. All adult members must sign the HUD Form 9886, Release of Information, the application form and all supplemental forms required by the PHA, the declarations and consents related to citizenship/immigration status and any other documents required by the PHA. Applicants will be required to sign specific verification forms for information, which is not covered, by the HUD form 9886. Failure to do so will be cause for denial of the application for failure to provide necessary certifications and release as required by the PHA. Every adult household member must sign a consent form to release criminal conviction records and to allow the PHA to receive records and use them in accordance with HUD regulations. If the PHA determines at or after the interview that additional information or document(s) are needed, the PHA will request the document(s) or information in writing. The family will be given ten (10) days to supply the information. If the information is not supplied in this time period or if an extension is not requested and granted, the PHA will provide the family a notification of denial of assistance. (See "Complaints and Appeals" chapter 13) VERIFICATION Information provided by the applicant will be verified, using the verification procedures in the “Verification Procedures” chapter. Family composition, income, allowances and deductions, assets, full-time student status, eligibility and rent calculation factors, and other pertinent information will be verified. Verified information that is less than 120 days old at the time of admission is considered current and need not be re-verified. C. FINAL DETERMINATION AND NOTIFICATION OF ELIGIBILITY After the verification process is completed, the PHA will make a final determination of eligibility. This decision is based upon information provided by the family, the verification completed by the PHA and the resident suitability determination. (see Chapter 2 – Eligibility for Admission) Because HUD can make changes in rules or regulations and family circumstances may have changed during the review process that affect an applicant’s eligibility, it is necessary to make final eligibility determination. The household is not actually eligible for a unit offer until this final determination has been made, even though they may have been preliminarily determined eligible and may have been listed on the waiting list and moved to the wait pool. 3-5 The PHA will make every effort to accurately estimate an approximate date of occupancy. However, the date given by the PHA does not mean that applicants should expect to be housed by that date. The availability of a suitable unit to offer a family is contingent upon factors not directly controlled by the PHA, such as turnover rates, and market demands as they affect bedroom sizes and project location. 3-6 4-1 CHAPTER 4 RESIDENT SELECTION AND ASSIGNMENT PLAN INTRODUCTION This chapter describes the PHA’s policies with regard to local preferences, management of waiting lists, and the number of unit offers that will be made to qualified applicants selected from the wait pool. PHA policies will be followed consistently and will affirmatively further HUD’s fair housing goals. It is the PHA’s policy that each applicant shall be assigned an appropriate place on a jurisdiction-wide waiting list and/or on the waiting list for the developments in which the applicant wishes to reside. Applicants will be listed in sequence based upon the waiting list guidelines stated below. In filling an actual or expected vacancy, the PHA will offer the dwelling unit to an applicant in the appropriate sequence. A. MANAGEMENT OF THEWAITING LIST The PHA will administer its waiting list as required by 24 CFR Part 5, Part 945 and 960 Subparts A and B. The waiting list will be maintained in accordance with the following guidelines: . The application will be a permanent file . The list will state the family name and family type . The list will state the racial and ethnic designations of the head of household . All applicants in the wait pool will be maintained in order of preference and the date of the application . Applications equal in preference will be maintained by date and time sequence . Applicants will be listed by size and type of unit required All applicants must meet applicable income eligibility requirements as established by HUD. . Applications submitted during a waitlist opening during which a lottery selection system has been used will be maintained and pulled from the waitlist through a computerized random selection process By maintaining an accurate waiting list, the PHA will be able to perform the activities, which ensure that an adequate pool of qualified applicants will be available to fill unit vacancies in a timely manner. Based on the PHA’s turnover and the availability of appropriate sized units, groups of families will be selected from the waiting list to form a final eligibility “wait pool”. Selection from the “wait pool” will be in order of the date and time of the completion of verification. 4-2 TYPES OFWAITING LISTS This PHA may maintain the following types of wait lists: . Mixed Population . General Occupancy . Designated Elderly . Designated Disabled . Site-based . Accessible Units APPLYING TO MULTIPLEWAIT LISTS A family may put their name on multiple wait lists but when the family is admitted to a public housing site, they will be taken off all other public housing waiting lists. If they are on the Housing Choice Voucher waiting list they may remain on that list while being housed in public housing. Applicants accepting a rental unit in public housing may significantly delay their selection from the Housing Choice Voucher (HCV) waiting list. This is due to the fifty percent (50%) rent burden preference established for the HCV program. B. SITE-BASEDWAITING LISTS If the PHA establishes site-based waiting lists, both current and new applicants may choose which site-based waiting list they wish to be placed on, regardless of their application site. When there are insufficient applicants on a site-based waiting list, the PHA will contact applicants on all other waiting lists who may qualify for the type of housing with insufficient applicants. "Insufficient applicants" on a list will be defined as not enough families to fill vacancies for at least three (3) months, based on anticipated turnover at the development. Every reasonable action will be taken by the PHA to assure that applicants can make informed choices regarding the development(s) in which they wish to reside. The PHA will disclose information to applicants regarding the location of available sites, occupancy number and size of accessible units. The PHA will also include basic information relative to amenities such as day care, security, transportation, training programs, and an estimate of the period of time that the applicant will likely have to wait to be admitted to units of different types. 4-3 MONITORING SITE-BASEDWAITING LISTS The system of site-based waiting lists will be carefully monitored to assure that civil rights and fair housing are affirmatively furthered. In order to monitor the site-based waiting lists the PHA will: . Self-monitor its system of site-based waiting lists at least biannually to assure that racial steering does not occur. If the PHA’s biannual analysis of its sitebased waiting list indicates that a pattern of racial steering is or may be occurring, the PHA will take corrective action . At least every three years, use independent testers to ensure that applicants are not treated differently based upon race or ethnicity, and that no patterns of discrimination exist . Assess changes in racial, ethnic or disability-related resident composition at each PHA site that has occurred during the implementation of the site-based waiting lists. Each year the PHA will make this assessment based on PIH Information Center (PIC) data that has been confirmed to be complete and accurate by an independent public auditor. C. ASSIGNMENT OF UNITS DESIGNATED FOR THE ELDERLY, DISABLED, OR MIXED USE In accordance with the 1992 Housing Act, families with a head, spouse, co-head or sole member who qualifies as a person who is elderly, disabled, or near elderly as defined in 24 CFR 945.105 will be offered admission to buildings/units that are designated as elderly only, disabled only or mixed use for the elderly and disabled subject to a HUDapproved allocation plan. ELDERLY, NEAR ELDERLY, AND DISABLED Elderly families are defined as families whose head, spouse, co-head, or sole member is at least sixty-two (62) years of age. Disabled families are defined as families whose head or spouse or sole member is a person with disabilities. A near elderly family is a family whose head, spouse, co-head or sole member is at least fifty (50) years of age but below sixty-two (62) years of age. DESIGNATED HOUSING PLAN Until such time as HUD approves a development as designated elderly /near elderly only, the PHA will continue to fill vacancies with the next eligible applicant on the waiting list who accepts a unit offer, regardless of age. After Resident Advisory Board and PHA Board of Commissioners review and HUD approval of a designated plan for elderly/near elderly only housing, the PHA will fill vacancies at designated developments with elderly and near elderly families only. 4-4 Younger disabled families who currently reside in developments approved for elderly/near elderly designed housing will be relocated on a voluntary basis only. All PHA local preferences apply to elderly, disabled and near-elderly applicants. MIXED POPULATION A mixed population development is reserved for elderly, near elderly, and disabled families. Elderly, near elderly, and disabled families are given equal preference in admission. The PHA does not establish a limit on the number of elderly, near elderly, or disabled families accepted in a mixed population development. D. GENERAL OCCUPANCY UNITS General occupancy units are designed to house all populations of eligible families. In accordance with the PHA’s occupancy standards, eligible families not needing units designed with special features or units designed for special populations will be admitted to the PHA’s general occupancy units. E. ACCESSIBLE UNITS The PHA has units designed for persons with mobility, sight and hearing impairments, referred to as accessible units. No non-mobility-impaired families will be offered these units until all eligible mobility-impaired applicants have been considered. Before offering a vacant accessible unit to a non-disabled applicant, the PHA will offer such units: . First, to a current occupant of another unit of the same development, or other public housing developments under the PHA’s control who has a disability that requires the special features of the vacant unit . Second, to an eligible qualified applicant in the waiting pool having a disability that requires the special features of the vacant unit When offering an accessible/adaptable unit to a non-disabled applicant, the PHA will require the applicant to agree to move to an available non-accessible unit within thirty (30) days when either a current resident or an applicant needs the features of the unit and there is another unit available for the applicant. (see Chapter 9 - Leasing) F. OFFER OF PLACEMENT ON THE HOUSING CHOICE VOUCHER (HCV)WAITING LIST If the PHA maintains separate lists for its Public Housing and Housing Choice Voucher programs, the PHA will offer to place the family on both lists. If the public housing 4-5 waiting list is open at the time an applicant applies for the HCV Program, the PHA will offer to place the family on the public housing waiting list. However, the PHA may merge its waiting lists for all programs. G. REMOVAL FROMWAITING LIST AND PURGING The waiting list will be purged at least periodically by a mailing to all applicants to ensure that the waiting list is current and accurate. The mailing will ask for current information and confirmation of continued interest. If an applicant fails to respond within thirty (30) days the applicant will be removed from the waiting list. If a letter is returned by the Post Office without a forwarding address, the applicant will be removed without further notice and the envelope and letter will be maintained in the file. If an applicant is removed from the waiting list for failure to respond, they will not be entitled to reinstatement unless a person with a disability requests a reasonable accommodation for being unable to reply with the prescribed period. The PHA allows a grace period of one hundred and ninety (90) days after completion of the purge. Applicants who respond during this grace period will be reinstated. The PHA may also remove a name from the waiting list for the following reasons: . Applicant requests it . Applicant was clearly advised of a requirement to notify the PHA of his/her continued interest by a particular time and failed to do so . PHA has made reasonable efforts to contact the applicant to determine if there is continued interest, but has been unsuccessful . PHA has notified the applicant of its intention to remove the applicant’s name because of ineligibility H. WAITING LIST PREFERENCES A preference does not guarantee admission to the program. Preferences are used to establish the order of placement on the waiting list. Every applicant must meet the PHA’s selection criteria as defined in this policy. The PHA’s preference system will work in combination with requirements to match the characteristics for the family to the type of unit available, including units with targeted populations, and further deconcentration of poverty in public housing. When such matching is required or permitted by current law, the PHA will give preference to qualified families. The PHA uses the following local preferences: (2 Points) Involuntary Displacement: Families displaced by government action through no fault of their own or families displaced by a natural disaster recognized by the Federal government (i.e. flood, earthquake, fire) and documented by the local Building Department or Board of Health will be granted this preference. Displaced by government action also includes families wishing to reside in Public Housing, who were displaced from the Housing Choice Voucher program due to lack of funding. All other applicants that do not qualify for any preference will be placed on the waiting list by the date and time of application. Families with equal preference points will be contacted to complete the full application in order of date and time of placement on the waiting list. Families who reach the top of the waiting list will be contacted by the PHA to complete a full application at which time their preference will be verified. An applicant may not be granted any preference if any member of the family has been evicted from any federally assisted housing during the past five (5) years because of drug-related or violent criminal activity. The PHA may grant an exception to such a family if the responsible member has successfully completed a rehabilitation program. I. PREFERENCE DENIAL If the preference verification indicates that an applicant does not qualify for the preference, the applicant will be returned to the waiting list and ranked without the local preference. Applicants may exercise other rights if they believe they have been discriminated against. If the applicant falsifies documents or makes false statements in order to qualify for any preference, they will be removed from the waiting list with notification to the family. CHANGE IN CIRCUMSTANCES Changes in an applicant’s circumstances while on the waiting list may affect the family’s entitlement to a preference. Applicants are required to notify the PHA in writing when their circumstances change. When an applicant claims an additional preference, the applicant will be placed on the waiting list in the proper order of their newly claimed preference. J. SPECIAL ADMISSIONS When HUD awards a PHA program funding that is targeted for families, the PHA will admit these families under a special admission procedure. Special admissions families will be admitted outside of the regular waiting list process. They do not have to qualify 4-6 4-7 for any preferences, nor are they required to be on the program waiting list. The PHA maintains separate records of these admissions. The following are examples of types of program funding that may be designated by HUD for families living in a specified unit: . A family displaced because of demolition or disposition of a public or Indian housing project . A family residing in a multifamily rental housing project when HUD sells, forecloses or demolishes the project . For housing covered by the Low Income Housing Preservation and Resident Home-ownership Act of 1990 . A family residing in a project covered by a project-based Section 8 HAP contract at or near the end of the HAP contract term . A non-purchasing family residing in a HOPE 1 or HOPE 2 project . A family has been displaced by a natural disaster recognized by the Federal government such as Hurricane Katrina Applicants who are admitted under special admissions, rather than from the waiting list, are identified by codes in the automated system. K. MATCHING UNIT AND FAMILY CHARACTERISTICS Factors such as unit size, accessible features, de-concentration or income mixing, income targeting, or units in housing designated for the elderly limit the admission of families to those characteristics that “match” the characteristics and features of the available vacant unit. By matching unit and family characteristics, it is possible that some families in the waiting pool may receive an offer of housing ahead of families with an earlier date and time of application. Any admission mandated by court order related to desegregation or Fair Housing and Equal Opportunity will take precedence over the preference system. Other admissions required by court order will also take precedence over the preference system. 4-8 L. INCOME TARGETING The PHA will monitor its admissions to ensure that at least forty percent (40%) of families admitted to public housing in each fiscal year shall have incomes that do not exceed thirty percent (30%) of area median income of the PHA’s jurisdiction. Hereafter families whose incomes do not exceed thirty percent (30%) of area median income will be referred to as "extremely low-income families". The PHA shall have the discretion, at least annually, to exercise the “fungibility” provision of the Quality Housing and Work Responsibility Act (QHWRA) by admitting less than forty percent (40%) of “extremely low-income families” to public housing in a fiscal year, to the extent that the PHA has provided more than seventy-five percent (75%) of newly available vouchers and certificates to “extremely low-income families.” This fungibility provision discretion by the PHA is also reflected in the PHA’s administrative plan. The fungibility credits will be used to drop the annual requirement below forty percent (40%) of admissions to public housing for extremely low-income families by the lowest of the following amounts: . The number of units equal to ten percent (10%) of the number of newly available vouchers and certificates in the fiscal year . The number of public housing units that: (1) are in public housing developments located in census tracts having a poverty rate of thirty percent (30%) or more, and (2) are made available for occupancy by and actually occupied in that year by, families other than extremely low-income families. THE FUNGIBILITY FLOOR Regardless of the above two amounts, in a fiscal year, at least thirty percent (30%) of the PHA’s admissions to public housing will be to extremely low-income families. The fungibility floor is the number of units that cause the PHA’s overall requirement for housing extremely low-income families to drop to thirty percent (30%) of its newly available units. Fungibility shall only be utilized if the PHA is anticipated to fall short of its forty percent (40%) goal for new admissions to public housing. COMBINING LOW AND VERY LOW-INCOME FAMILY ADMISSIONS Once the PHA has met the forty percent (40%) targeted income requirement for new admissions of extremely low-income families, the PHA will fill the remaining sixty percent (60%) of its new admission units with both low and very low-income families. M. DE-CONCENTRATION OF POVERTY AND INCOME-MIXING The PHA’s admission policy is designed to provide for de-concentration of poverty and income mixing by bringing higher income residents into lower income projects and lower income residents into higher income projects. Gross annual income is used for income limits at admission and for income-mixing purposes. Skipping of a family on the waiting list specifically to reach another family with a lower or higher income is not to be considered an adverse action to the family. Such skipping will be uniformly applied until the target threshold is met. The PHA will gather data and analyze, at least annually, the resident characteristics of its public housing stock, including information regarding resident incomes, to assist in the PHA's de-concentration efforts. The PHA will use the gathered resident income information in its assessment of its public housing developments to determine the appropriate designation to be assigned to the project for the purpose of assisting the PHA in its de-concentration goals. DE-CONCENTRATION AND INCOME-MIXING GOALS Admission policies related to the de-concentration efforts of the PHA do not impose specific quotas. Therefore, the PHA will not set specific quotas, but will strive to achieve de-concentration and income mixing in its developments. DEVELOPMENT DESIGNATION METHODOLOGY The PHA’s goal is to have eligible families having higher incomes occupy dwelling units in developments predominantly occupied by eligible families having lower incomes, and eligible families having lower incomes occupy dwelling units in developments predominantly occupied by eligible families having higher incomes. Families having lower incomes include very low and extremely low-income families. Skipping of families for de-concentration purposes will be applied uniformly to all families. INCOME LIMIT METHOD The PHA will compare the gross annual income of all families in all multi-unit developments to the jurisdiction’s income limits. The PHA will designate as higher income developments those developments where twenty percent (20%) or more of the families residing in the development have incomes at or above the low-income limit eighty percent (80%) of area median income. 4-9 4-10 The PHA will designate as lower income developments those developments where eighty percent (80%) or more of the families residing in the development have incomes at or below the extremely low and very low-income families. PHA INCENTIVES FOR HIGHER AND LOWER INCOME FAMILIES The PHA may offer certain incentives to higher and lower income families willing to move into higher or lower income projects. The PHA will not take any adverse action against any family declining an offer by the PHA to move into a higher or lower income project. N. PLAN FOR UNIT OFFERS The PHA plan for selection of applicants and assignment of dwelling units to assure equal opportunity and non-discrimination on grounds of race, color, sex, religion, or national origin is: . Two offers- The applicant shall be offered a suitable unit in the location with the higher number of vacancies, oldest vacancy first. If the first offer is rejected, a final offer will be made at another location. . One offer- Upon approval by HUD of designated elderly housing developments, only one offer to a designated elderly unit will be permitted for an approved designated elderly applicant. If more than one unit of the appropriate type and size is available, the first unit to be offered will be the oldest vacancy first. The PHA will maintain a record of units offered and accepted or turned down. O. CHANGES PRIOR TO UNIT OFFER Changes that occur prior to the applicant’s acceptance of a unit may affect the family’s eligibility, number of bedrooms needed, and/or total tenant payment (TTP). Changes in family composition, status, or income between the time of the interview and the offer of a unit will be processed. If the family is subsequently determined ineligible, the applicant will be notified in writing of changes in their eligibility or level of benefits and offered their right to an informal hearing when applicable (see Chapter 13 - Complaints, Grievances, and Appeals). An applicant’s failure to notify the PHA of changes in their family status while on the waitlist is subject to be returned to the waitlist. A change in family size that alters the bedroom size for which the family was originally selected from the waitlist will result in the applicant being returned to the waitlist for the bedroom size they have been determined eligible. 4-11 P. APPLICANT STATUS AFTER FINAL UNIT OFFER When an applicant rejects the final unit offer the PHA will remove the applicant’s name from the waiting list. Removal from the waiting list means the applicant must reapply and must wait twelve (12) months from the date of the final turndown before re-applying for the Public Housing program. Q. TIME-LIMIT FOR ACCEPTANCE OF UNIT Applicants must respond to unit offers within the number of days specified by the PHA. The PHA will make unit offers by phone or letter. The offer will be noted as a refusal (turn down) if the applicant does not respond or accept a unit within the specified number of days. APPLICANTS UNABLE TO TAKE OCCUPANCY If an applicant is willing to accept the unit offered, but is unable to take occupancy at the time of the offer for "good cause," the offer will not be noted as a refusal. Examples of "good cause" reasons for the refusal to take occupancy of a housing unit include, but are not limited to: . Inaccessibility to source of employment or children’s daycare such that an adult household member must quit a job, drop out of an educational institution or a job-training program . Presence of lead paint in the unit offered when the applicant has children under the age specified by current law . A qualified, knowledgeable, health professional verifies the temporary hospitalization or recovery from illness of the principal household member, other household members, or a live-in aide necessary to care for the principal household member . The unit is inappropriate for the applicant’s disabilities R. REFUSAL OF OFFER If the unit offered is refused for other reasons, the PHA will follow the applicable policy as listed in Sections O and Q above. 5-1 CHAPTER 5 OCCUPANCY GUIDELINES INTRODUCTION The occupancy guidelines are established by the PHA to ensure that units are occupied by families of the appropriate size. This policy maintains the maximum usefulness of the units, while preserving them from excessive wear and tear or under utilization. This chapter explains the occupancy guidelines used to determine minimum and maximum unit sizes for various sized families when they are selected from the waiting list, or when a family’s size changes, or when a family requests an exception to the occupancy guidelines. A. DETERMINING UNIT SIZE The PHA does not determine who shares a bedroom/sleeping room, but there must be at least one (1) person per bedroom. The PHA’s occupancy guideline standards for determining unit size shall be applied in a manner consistent with Fair Housing guidelines. For occupancy standards, an adult is a person eighteen (18) years or older, or an emancipated minor. All guidelines in this section relate to the number of bedrooms in the unit. Dwelling units will be assigned so that generally the PHA will assign one (1) bedroom to two (2) people within the following guidelines: . Minors of the same sex and same generation (less than 10 years apart in age) shall be allocated one bedroom . Minors of the opposite sex, under 4 (four) years of age shall be allocated one bedroom . Adults (18 and over) who have a spousal relationship shall be allocated one bedroom . Exception infants under one year of age may be allowed to share a room with two other members of the household The PHA assigns an additional bedroom under the following conditions: . Minors of the same sex but who are more than 10 years apart in age shall be allocated separate bedrooms . Minors of the opposite sex, over the age of 4 (four) shall be allocated separate bedrooms 5-2 . Adults (18 and over) who are not in a spousal relationship shall be allocated separate bedrooms . Live-in aides will be provided a separate bedroom, unless requested otherwise by the family. A bedroom will not be provided for a live in aide that assists a disabled member of the household on a part-time or part-time rotational basis; or if the disabled person must have multiple part-time rotating attendants. No additional bedrooms are provided for the live in aide's family. Other consideration in determining the bedroom size: . Foster children may be considered when determining unit size at move in only . Space may be provided for a child who is away at school but who lives with the family during school recesses for as long as the child is considered a dependent . Space will not be provided for a family member who will be absent most of the time, such as a member who is away in the military unless the absence is considered temporary such as short-term reserve duty . Single person families shall be allocated zero (0) or one (1) bedroom . The living room will not be counted for use as a bedroom GUIDELINES FOR DETERMINING BEDROOM SIZE Bedroom Size Persons in Household: (Minimum #) Persons in Household: (Maximum #) 0 Bedroom 1 1 1 Bedroom 1 2 2 Bedrooms 2 4 3 Bedrooms 3 6 4 Bedrooms 4 8 5 Bedrooms 6 10 6 Bedrooms 8 12 B. EXCEPTIONS TO OCCUPANCY STANDARDS The unit considerations in this chapter should be used as a guide to determine whether and when the bedroom size should be changed. If an unusual situation occurs, which is not currently covered in this policy, the PHA will make a determination after review of the situation, the individual circumstances, and the verification provided (see Chapter 11 - Recertifications). 5-3 The PHA will grant exceptions from the guidelines in cases where it is the family’s request or the PHA determines the exceptions are justified by the relationship, age, sex, health or disability of family members, or other individual circumstances, and there is a vacant unit available. If an applicant requests to be listed on a smaller or larger bedroom size waiting list, the following guidelines will apply: . In all cases, where the family requests an exception to the general occupancy standards, the PHA will evaluate the relationship and ages of all family members and the overall size and accessibility features of the unit The family may request to be placed on a larger or smaller bedroom size waiting list than indicated by the PHA’s occupancy guidelines. The request must explain the need or justification for a larger or smaller bedroom size, and must be verified by the PHA before the family is placed on the larger or smaller bedroom size list. The PHA will consider these requests: . Person(s) with Disability . The PHA will grant an exception upon request as a reasonable accommodation for persons with disabilities if the need is appropriately verified and meets requirements in Chapter1 (E) - Reasonable Accommodations Policy. . Other Circumstances . Circumstances may dictate a larger size than the occupancy standards permit when persons cannot share a bedroom because of a need for medical equipment due to its size and/or function. A doctor must verify requests for a larger number of bedrooms due to medical equipment. A licensed physician or an attending health care professional, on a Verification of Need for Reasonable Accommodation form, must verify all requests based upon health related needs. The PHA will not assign a larger bedroom size due to additions of family members other than by birth, adoption, marriage, or court-awarded custody. The PHA must approve all members of the family residing in the unit. The family must obtain written approval of any additional family member before the person occupies the unit except for additions by birth, adoption, or court-awarded custody, in which case the family must inform the PHA within thirty (30) days. To avoid vacancies and when there are no other applicants to qualify for eligibility, the PHA may provide a family with a larger unit than the occupancy standards permit. The family must agree to move to a suitable, smaller unit when another family qualifies for the larger unit and there is a suitable smaller unit available. A suitable unit is defined as a unit that meets the occupancy standards outlined above in this plan for a family size. This requirement is a provision of the lease. Over-housed A family may be required to move if the PHA determines the family is over-housed for the family size based on the PHA occupancy standard, and the unit is needed by a family who qualifies for that bedroom size. Over-housed is defined as occupancy of a unit of a given bedroom size while qualifying for a smaller bedroom size as outlined in the occupancy standard of this plan, unless there is a reasonable accommodation in affect that qualifies the family for the larger bedroom size. The PHA will identify a unit for which the over-housed family qualifies and will give the family at least sixty days notice of the requirement to move. Under-housed A family may be required to move if the PHA determines the family is under-housed for the family size based on the PHA occupancy standard, and the unit is needed by a family who qualifies for that bedroom size. Under-housed is defined as occupancy of a unit of a given bedroom size while qualifying for a larger bedroom size as outlined in the occupancy standard of this plan. C. ACCESSIBLE UNITS The PHA has units designed for persons with mobility, sight and hearing impairments. These units were designed and constructed specifically to meet the needs of persons requiring the use of wheelchairs and persons requiring other modifications. Preference for occupancy of these units will be given to families with disabled family members who require the modifications or facilities provided in the units. Accessible units will be offered and accepted by non-mobility impaired applicants only with the understanding that such applicants must accept a transfer to a non-accessible unit at a later date (at applicants expense with a new security deposit) if a person with a mobility impairment requiring the unit applies for housing and is determined eligible. 5-4 6-1 CHAPTER 6 DETERMINATION OF TOTAL TENANT PAYMENT INTRODUCTION The accurate calculation of annual income and adjusted income will ensure that families are not paying more or less money for rent than their obligation under the regulations. This chapter defines the allowable deductions from annual income and how the presence or absence of household members may affect the total tenant payment (TTP). Income and TTP are calculated in accordance with 24 CFR Part 5, Subpart F and further instructions set forth in HUD notices, memoranda and addenda. The formula for the calculation of TTP is specific and not subject to interpretation. The PHA's policies in this chapter address those areas, which allow the PHA discretion to define terms and to develop standards in order to assure consistent application of the various factors that relate to the determination of TTP. A. MINIMUM RENT The minimum rent for this PHA is fifty dollars ($50). The Total Tenant Payment is the greater of: . Thirty percent (30%) of the adjusted monthly income . Ten percent (10%) of the gross monthly income . The minimum rent of $50 as established by the PHA The minimum rent refers to a minimum total tenant payment and not a minimum tenant rent. The total tenant payment does not include charges for excess utility consumption or other charges. The PHA recognizes that in some instances even the minimum rent may create a financial hardship for families. The PHA will review all relevant circumstances brought to the PHA’s attention regarding financial hardship as it applies to minimum rent. The PHA’s procedures and policies in regard to minimum rent financial hardship as set forth by the QHWRA are stated in the following section. PHA Procedures for Notification to Families of Hardship Exemptions The PHA will notify all participant families subject to a minimum rent of their right to request a minimum rent hardship exemption under the law. The housing technician will 6-2 document in the family’s file that the family has been notified of their right to request a minimum rent hardship exemption. The PHA notification will advise the family that hardship exemption determination is subject to the PHA’s grievance procedures (see Chapter 13- Complaints, Grievances and Appeals). The PHA will review all resident requests for exceptions from the minimum rent due to financial hardships. All requests for minimum rent exemption are required to be in writing. Requests for minimum rent exemption must state the family circumstances that qualify the family for an exception. EXCEPTIONS TO MINIMUM RENT When a family requests a minimum rent hardship exemption, application of the minimum rent will be suspended beginning the month following the family’s hardship request. During the minimum rent suspension period, the PHA will not charge the family a minimum rent, or if applicable, discontinue charging the family a minimum rent. The PHA will not evict the family for nonpayment of minimum rent during the ninety (90) day period beginning the month following the family’s request for a hardship exemption. The minimum rent will be suspended until the PHA determines whether the hardship is: . Covered by the exception criteria and; . Temporary or long term. If the PHA determines that the minimum rent is not covered by statute, the PHA will impose a minimum rent including payment for minimum rent from the time of suspension. The PHA will use its standard verification procedures to verify circumstances, which have resulted in financial hardship, such as loss of employment, death in the family, etc. HUD CRITERIA FOR HARDSHIP EXEMPTION In order for a family to qualify for a hardship exemption the family’s circumstances must fall into one of the following criteria: . The family has lost eligibility for or is awaiting an eligibility determination for a federal, state, or local assistance program, including a family that includes a member who is an alien lawfully admitted for permanent residence . The family would be evicted as a result of the imposition of the minimum rent requirement . The income of the family has decreased because of changed circumstances, including: 6-3 . Loss of Employment: Defined as being laid off or terminated through no fault of the employee. Loss of employment does not, for the purposes of exemption to minimum rent, include voluntarily quitting employment . Death in the family leading to loss of income . Other circumstances as determined by the PHA or HUD NO QUALIFYING HARDSHIP If the PHA determines that there is no hardship covered by the statute, a minimum rent will be imposed retroactively to the time of suspension. The family must pay any back rent and will be offered a reasonable repayment agreement. TEMPORARY HARDSHIP If the PHA determines that the hardship is temporary, a minimum rent may not be imposed for a period of ninety (90) days beginning the month following the date of the family’s request for a hardship exemption. At the end of the ninety (90) day suspension period, the PHA will reinstate the minimum rent retroactively to the beginning of the suspension. The family will be offered a reasonable repayment agreement for any amount to the back rent owed by the family. The PHA defines temporary as ninety (90) days. The minimum monthly amount for a repayment agreement incurred for minimum rent arrears is ten dollars ($10). The PHA will not enter into a repayment agreement that will take more than twelve (12) months to pay off. If the family goes into default on the repayment agreement for back rent incurred during a minimum rent period, the PHA will reevaluate the family’s ability to pay the increased rent amount and: . Determine whether the family has the means to meet the obligation and, if so determined, initiate eviction proceedings for nonpayment of rent; or . Determine that the repayment agreement is a financial hardship to the family and if so restructure the existing repayment agreement The PHA’s policies regarding repayment agreements are further discussed in Chapter 14 - Family Debts to the PHA. LONG TERM HARDSHIP If the PHA determines a qualifying financial hardship is long term, the PHA will exempt the family from the minimum rent requirements so long as such hardship continues. Such exemption will apply from the beginning of the month following the family’s request for a hardship exemption until the end of the qualifying financial hardship. B. INCOME AND ALLOWANCES INCOME Income is defined as the types of money that are to be used as income for purposes of calculating the TTP and are defined by local and federal regulations. In accordance with this definition, income from all sources of each member of the household is documented (see Income Inclusions and Income Exclusions in Chapter 15 -Glossary). ANNUAL INCOME Annual income is defined as the gross amount of income, monetary or not, anticipated to be received by the family during the twelve (12 ) months after admission, certification or recertification. Gross income is the amount of income prior to any allowable expenses or deductions, and does not include income, which has been specifically excluded by HUD. Annual income is used to determine whether or not applicants are within the applicable income limits. [24 CFR 960.201] ADJUSTED INCOME Adjusted income is defined as the annual income minus any allowable deductions. ALLOWABLE DEDUCTIONS HUD has five (5) allowable deductions from annual income: 1. Dependent allowance: Four hundred eighty dollars ($480) each for family members (other than the head, co-head or spouse), who are minors, and for family members who are eighteen (18) and older who are full-time students or who are disabled. 2. Elderly/Disabled allowance: Four hundred dollars ($400) per household for families whose head, co-head or spouse is sixty-two (62) or over or disabled. 3. Allowable medical expenses: All medical expenses for all family members are deducted for elderly and disabled families. 4. Childcare expenses: Childcare expenses for children under thirteen (13) are deducted when childcare is necessary to allow an adult member to work, attend school, or actively seek employment. 5. Allowable Disability Assistance Expenses Disability expenses are deducted for attendant care or auxiliary apparatus for persons with disabilities if needed to enable the individual or an adult family member to work. 6-4 6-5 C. DISALLOWANCE OF EARNED INCOME FROM RENT DETERMINATIONS – EARNED INCOME DISALLOWANCE (EID) Effective October 1, 1999, EID replaced the 18-month earned income disregard for families going from training programs to work. For qualified families, EID excludes income earned by family members who start work or self-sufficiency programs or who have increases in employment income. ELIGIBILITY Family members who are ineligible non-citizens are also ineligible for EID. In mixed families only the eligible non-citizens or citizens are eligible for EID exclusions. A family qualified for the earned income exclusion is a family that occupies a dwelling unit in a public housing development, is paying income-based rent and whose annual income increases due to one of the following reasons: . Employment of a family member who was previously unemployed for one or more years prior to employment . Increased earnings by a family member during participation in any economic self-sufficiency or other job-training program . New employment or increased earnings of a family member during or within six (6) months after receiving assistance, benefits or services under any State program for Temporary Assistance to Needy Families (TANF) provided that the total amount over a six (6)-month period is at least five hundred ($500) The HUD definition of “previously unemployed” includes a person who has earned in the twelve (12) months previous to employment no more than the equivalent earnings for working ten (10) hours per week for fifty (50) weeks at the minimum wage. Minimum wage is the prevailing minimum wage in the State or locality. The HUD definition of an economic self-sufficiency program is any program designed to encourage, assist, train or facilitate economic independence of assisted families or to provide work for such families. Such programs may include job training, employment counseling, work placement, basic skills training, education, English proficiency, workfare, financial or household management, apprenticeship, or any other program necessary to ready a participant to work (such as substance abuse or mental health treatment). EXCLUDED INCOME Amounts to be excluded are any earned income increases of a family member during participation in an economic self-sufficiency or job training program and not increases that occur after participation, unless the training provides assistance, training or mentoring after employment. The amount of TANF received in the six (6) month period includes monthly income and such benefits and services as one-time payments, wage subsidies and transportation assistance. The amount that is subject to the disallowance is the amount of incremental increase in income of a family member. The incremental increase in income is calculated by comparing the amount of the family member’s income before the beginning of qualifying employment or increase in earned income to the amount of such income after the beginning of employment or increase in earned income. INITIAL TWELVE (12) MONTH EXCLUSION During the cumulative twelve (12) month period beginning on the date a member of a qualified family is first employed or the family member first experiences an increase in employment income, the PHA will exclude from annual income any increase in income of the family member, as a result of employment, over the prior income of that family member. SECOND TWELVE (12) MONTH PHASE-IN EXCLUSION During the second cumulative twelve (12) month period after the expiration of the initial cumulative twelve (12) month period referred to above, the PHA must exclude from annual income of a qualified family fifty percent (50%) of any increase in income of a family member as a result of employment over income of that family member prior to the beginning of such employment. MAXIMUM FOUR-YEAR DISALLOWANCE The earned income disallowance is limited to a lifetime forty-eight (48) month period for each family member. For each family member, the disallowance only applies for a maximum of twelve (12) months of full exclusion of incremental increase, and a maximum of twelve (12) months of phase-in exclusion during the forty-eight (48) month period starting from the date of the initial exclusion. If the period of increased income does not last for twelve (12) consecutive months, the disallowance period may be resumed at any time within the forty-eight (48) month period and continue until the disallowance has been applied for a total of twelve (12) months of each disallowance (the initial twelve (12) month full exclusion and the second twelve (12) month phase-in exclusion). No earned income disallowance will be applied after the forty-eight (48) month period following the initial date the exclusion was applied regardless of whether the family has received the full exclusion for a total of twelve (12) months or the phase-in exclusion for the total of twelve (12) months. 6-6 6-7 APPLICABILITY TO CHILD CARE AND DISABILITY ASSISTANCE EXPENSE DEDUCTIONS The amount deducted for childcare and disability assistance expenses necessary to permit employment shall not exceed the amount of employment income that is included in annual income. Therefore, for families entitled to the earned income disallowance, the amounts of the full and phase-in exclusions from income shall not be used in determining the cap for childcare and disability assistance expense deductions. TRACKING THE EARNED INCOME EXCLUSION The earned income exclusion will be reported on the HUD 50058 form. Documentation will be included in the family’s file to show the reason for the reduced increase in rent. Such documentation will include: . The date the increase in earned income was reported by the family . Name of the family member whose earned income increased . Reason {new employment, participation in job training program, within six (6) months after receiving TANF} for the increase in earned income . Amount of the increase in earned income (amount to be excluded) . Date the increase in income is first excluded from annual income . Date(s) earned income ended and resumed during the initial cumulative twelve (12) month period of the exclusion (if any) . Date the family member has received a total of twelve (12) months of the initial exclusion . Date the twelve (12) month phase-in period began . Date(s) earned income ended and resumed during the second cumulative twelve (12) month period (phase-in) of exclusion (if any) . Date the family member has received a total of twelve (12) months of the phase-in exclusion . Ending date of the maximum forty-eight (48) month, {four (4) year} disallowance period {forty-eight (48) months from the date of the initial earned income disallowance} The PHA will maintain a tracking system to ensure correct application of the earned income disallowance. If an interim reexamination is not done for income increase, the initial twelve (12)- month exclusion will still begin on the date on which the increase in earned income begins. INAPPLICABILITY TO ADMISSION The earned income disallowance does not apply for purposes of program admission. D. INDIVIDUAL SAVINGS ACCOUNTS The PHA chooses not to establish a system of individual savings accounts for families who qualify for the disallowance of earned income. E. TRAINING PROGRAMS FUNDED BY HUD All training income from a HUD sponsored or funded training program, whether incremental or not, is excluded from the resident’s annual income while the resident is in training. Income from a resident services training program, which is funded by HUD, is excluded. F. WAGES FROM EMPLOYMENT WITH THE PHA OR RESIDENT ORGANIZATION Upon employment with the PHA or officially recognized resident organization, the full amount of employment income received by the person is counted. There is no exclusion of income for wages funded under the 1937 Housing Act Programs, which includes Public Housing and the Housing Choice Voucher program. G. AVERAGING AND ANNUALIZING INCOME When annual income cannot be anticipated for a full twelve (12) months, the PHA will average known sources of income that vary to compute an annual income. If there are bonuses or overtime, which the employer cannot anticipate for the next twelve (12) months, bonuses and overtime received the previous year will be used. Income from the previous year may be analyzed to determine the amount to anticipate when third party or check-stub verification is not available. If by averaging, an estimate can be made for those families whose income fluctuates from month to month, this estimate will be used so that the total tenant rent will not change from month to month. The PHA may annualize income for a shorter period if it is not feasible to determine the value for a twelve (12) month period for example seasonal work or unemployment compensation. The method used depends on the regularity, source and type of income. 6-8 6-9 H. MINIMUM INCOME There is no minimum income requirement. Families who report zero (0) income are required to complete an interim reexamination every ninety (90) days. Families that report zero (0) income will also be required to provide information regarding their means of basic subsistence, such as food, utilities, transportation, etc. The PHA will request credit checks for all adult members of families that report zero (0) income. Where credit reports show credit accounts open and payments current, the PHA will take action to investigate the possibility of fraud or program abuse. If the family’s expenses exceed their known income, the PHA will make inquiry of the head of household as to the nature of the family’s accessible resources. In some cases a person with zero (0) income will receive a utility allowance reimbursement to help assist with paying utilities for their unit. I INCOME OF PERSON PERMANENTLY CONFINED TO NURSING HOME If a family member is permanently confined to a hospital or nursing home and there is a family member left in the household, the PHA will calculate the income by using the following methodology and use the income figure, which would result in a lower payment by the family: . Exclude the income of the person permanently confined to the nursing home and give the family no deductions for medical expenses of the confined family member; or . Include the income of the person permanently confined to the nursing home and give the family the medical deductions allowable on behalf of the person in the nursing home. J. REGULAR CONTRIBUTIONS AND GIFTS Regular contributions and gifts received from persons outside the household are counted as income for calculation of the Total Tenant Payment. Any contribution or gift received every three (3) months or more frequently will be considered a "regular" contribution or gift, unless the amount is less than four hundred dollars ($400) per year. This includes rent and utility payments made on behalf of the family and other cash or non-cash contributions provided on a regular basis. It does not include casual contributions or sporadic gifts (see Chapter 7 - Verification Procedures for further definition). 6-10 If the family's expenses exceed their known income, the PHA will make inquiry of the family about contributions and gifts. K. ALIMONY AND CHILD SUPPORT Regular alimony and child support payments are counted as income for calculation of Total Tenant Payment. If the amount of child support or alimony received is less than the amount awarded by the court, the PHA must use the amount awarded by the court unless the family can verify that they are not receiving the full amount. The PHA will accept as verification that the family is receiving an amount less than the award if: . The PHA receives verification from the agency responsible for enforcement or collection . The family furnishes documentation of child support or alimony collection action filed through a child support enforcement/collection agency, or has filed an enforcement or collection action through an attorney It is the family's responsibility to supply a certified copy of the divorce decree. L. LUMP-SUM RECEIPTS Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker's compensation), capital gains, and settlement for personal or property losses, are not included in income but may be included in assets. Lump-sum payments caused by delays in processing periodic payments such as unemployment or welfare assistance are counted as income. Lump sum payments from Social Security or SSI are excluded from income, but any amount remaining will be considered an asset. Deferred periodic payments which have accumulated due to a dispute will be treated the same as periodic payments which are deferred due to delays in processing. In order to determine the amount of retroactive tenant rent that the family owes as a result of the lump sum receipt the PHA uses a calculation method which calculates retroactively, depending on the circumstances. RETROACTIVE CALCULATION METHODOLOGY The PHA will calculate the lump sum retroactively by going back to the date the lumpsum payment was received, or to the date of admission, whichever is closer as long as the date is not prior to program admission. 6-11 The PHA will determine the amount of income for each certification period, including the lump sum, and recalculate the resident rent for each certification period to determine the amount due the PHA. This retroactive amount is due and payable to the PHA. At the PHA's option, the PHA may enter into a repayment agreement with the family, This retroactive amount is due and payable to PHA. The amount owed by the family is a collectible debt even if the family becomes unassisted. ATTORNEY FEES The family's attorney fees may be deducted from lump-sum payments when computing annual income if the attorney's efforts have recovered a lump-sum compensation, and the recovery paid to the family does not include an additional amount in full satisfaction of the attorney fees. M. ASSETS AND ASSET INCOME Income generated from some assets is used in the calculation of annual income for the purpose of determining the Total Tenant Payment. Net family assets are defined as the net cash value after deduction of reasonable costs that would be incurred in disposing of real property, savings, stocks, bonds, and other forms of capital investment. The following are excluded from assets: . Interests in Indian trust land . Equity accounts in HUD homeownership programs . The value of necessary items of personal property such as furniture and automobiles Where the family has net family assets in excess of five thousand dollars ($5,000) the PHA will use the greater of: . Actual income from all net family assets, or . Imputed asset income which is the cash value of listed assets multiplied by HUD-determined local passbook interest rate N. CONTRIBUTIONS TO RETIREMENT FUNDS Contributions to company retirement/pension funds are handled as follows: . While an individual is employed, assets counted are the amounts the family can withdraw without retiring or terminating employment . After retirement or termination of employment, assets counted are any amount the employee elects to receive as a lump sum. O. ASSETS DISPOSED OF FOR LESS THAN FAIR MARKET VALUE The PHA must count assets disposed of for less than fair market value during the two (2) years preceding certification or reexamination. The PHA will count the difference between the market value and the actual payment received in calculating total assets. Assets disposed of as a result of foreclosure or bankruptcy are not considered to be assets disposed of for less than fair market value. Assets disposed of as a result of a divorce or separation are not considered to be assets disposed of for less than fair market value. The PHA's minimum threshold for counting assets disposed of for less than fair market value is five thousand dollars ($5,000). If the total value of assets disposed of within the two (2) year period is less than five thousand dollars ($5,000) they will not be considered an asset. P. CHILDCARE EXPENSES Unreimbursed childcare expenses for children under thirteen (13) years of age shall be deducted from annual income if they enable a family member to actively seek employment, to be employed, or to further his or her education to comply with federal law. For disabled family members who are children aged thirteen (13) and older, childcare expenses which enable a family member to be employed and are not paid to a member of the family nor reimbursed by an outside source shall be considered deductible disability assistance expenses. In the case of a child attending K-12 private school, only before or after-hours care can be counted as childcare expenses. Childcare expenses must be reasonable. Reasonable is determined by the average childcare rates in the PHA’s jurisdiction. Allowance of deductions for childcare expenses is based on the following guidelines: CHILDCARE TO WORK The maximum childcare expense allowed must be less than the amount earned by the person enabled to work. The "person enabled to work" will be the adult member of the household who earns the least amount of income from working. 6-12 6-13 CHILDCARE FOR SCHOOL The number of hours claimed for childcare may not exceed the number of hours the family member is attending school {including one (1) hour travel time to and from school}. AMOUNT OF EXPENSE The PHA will survey the local care providers in the community and other various surveys to determine what is reasonable. The PHA will use the collected data as a guideline. If the hourly rate materially exceeds the guideline, the PHA may calculate the allowance using the guideline. Q. DISABILITY ASSISTANCE EXPENSE Families may deduct reasonable anticipated expenses for attendant care and auxiliary apparatus for family members with disabilities under the following circumstances: . If they are necessary to enable a family member to be employed (this maybe the disabled member) . Provided that the expenses are neither paid to a member of the family nor reimbursed by an outside source. This deduction may not exceed the earned income received by family members who are able to work because of such qualified expenses. Auxiliary apparatus are items such as wheelchairs, ramps, adaptations to vehicles, or special equipment to enable a blind person to read and write, but only if these items are directly related to permitting the disabled person or other family member to work. R. MEDICAL EXPENSES Families who are determined to be either elderly or disabled may deduct un-reimbursed medical expenses in determining their total tenant payment. When a household is eligible for a medical expense deduction, the medical expenses of all family members may be counted. When it is unclear in the HUD rules as to whether or not to allow an item as a medical expense, IRS Publication 502 will be used as a guide. In order to be considered a medical expense, nonprescription medicines must be doctor-recommended and the qualified family must furnish legible receipts. Acupressure, acupuncture and related herbal medicines, and chiropractic services will be considered allowable medical expenses with approval from a licensed medical professional. S. PRORATION OF ASSISTANCE FOR "MIXED" FAMILIES APPLICABILITY Proration of assistance must be offered to any "mixed" applicant or participant family. A "mixed" family is one that includes at least one U.S. citizen or eligible immigrant and any number of ineligible members. "Mixed" families that were participants on June 19, 1995, and that do not qualify for continued assistance must be offered prorated assistance. (See Chapter titled "Recertifications.") Applicant mixed families are entitled to prorated assistance. Families that become mixed after June 19, 1995, by addition of an ineligible member are entitled to prorated assistance. PRORATED ASSISTANCE CALCULATION Prorated assistance is calculated by determining the amount of assistance payable if all family members were eligible and multiplying by the percent of the family members who actually are eligible. Calculations for each housing program are performed on the HUD 50058 form. T. INCOME CHANGES RESULTING FRON WELFARE PROGRAM REQUIREMENTS See Chapter 11 -Recertification for reduction in welfare benefits. U. UTILITY ALLOWANCE AND UTILITY REIMBURSEMENT PAYMENTS If the cost of utilities (excluding telephone) is not included in the resident rent, a utility allowance will be deducted from the total tenant payment. The utility allowance is intended to help defray the cost of utilities not included in the rent. The allowances are based on the monthly cost of reasonable consumption of utilities in an energy conservative household, not on a family's actual consumption. When the utility allowance exceeds the family's Total Tenant Payment, the PHA will provide a utility reimbursement payment for the family each month. The check will be made out directly to the resident. RESIDENT-PAID UTILITIES The following requirement applies to residents living in developments with resident-paid utilities or applicants being admitted to such developments. Paying the utility bill is the resident's obligation under the lease. Failure to pay utilities is grounds for eviction. 6-14 6-15 V. FAMILY CHOICE RENTS AUTHORITY FOR FAMILY TO SELECT The PHA shall provide for each family residing in a public housing unit to elect annually whether the rent paid by such family shall be 1) determined based on family income (income based); or 2) the flat rent. The PHA will provide families with sufficient information to make an informed choice. This information will include: . How to switch the type of rent in circumstances of financial hardship . The dollar amount of tenant rent the family will pay under each option The PHA may not at any time fail to provide both such rent options for any public housing unit owned, assisted or operated by the PHA. ALLOWABLE RENT STRUCTURES FLAT RENTS The PHA has established, for each dwelling unit in public housing, a flat rental amount for the dwelling unit, that: . Is based on the market rental value of the unit, as determined by the PHA . Is designed so that the rent structures do not create a disincentive for continued residency in public housing by families who are attempting to become economically self-sufficient through employment or who have attained a level of self-sufficiency through their own efforts The PHA shall review the income of families paying flat rent not less than once every three (3) years. Family composition will be reviewed annually for all families, including those paying flat rent. For a family paying flat rent there will be no utility deduction. INCOME-BASED RENTS The monthly Total Tenant Payment amount for a family shall be an amount, based on the total family income, as verified by the PHA that does not exceed the greatest of the following amounts: . Thirty percent (30%) of the family’s monthly-adjusted income . Ten percent (10%) of the family’s gross monthly income . The PHA’s Minimum TTP of fifty dollars ($50) Switching Rent Determination Methods Because of Hardship Circumstances In the case of a family that has elected to pay the PHA’s flat rent, the PHA shall within thirty (30) days provide for the family to pay rent in the amount determined under 6-16 income-based rent, during the period for which such choice was made, upon a determination that the family is unable to pay the flat rent because of financial hardship, including: . Situations in which the income of the family has decreased because of changed circumstances, loss or reduction of employment, death in the family, and reduction in or loss of income or other assistance . An increase in expenses, due to a change of circumstance, in the family’s expenses, such as increased medical costs, childcare, transportation, education, or similar items . Such other situations as may be determined by the PHA All hardship situations will be verified. Once a family switches to income-based rent due to financial hardship, the family must wait until its next annual recertification to select the type of rent. The rental policy developed by the PHA encourages and rewards employment and selfsufficiency. Annual Reexamination: At time of recertification of the annual reexamination, the family will be sent a form from the PHA, on which the family will indicate whether they choose flat rent or income-based rent. W. PHA’S FLAT RENT METHODOLOGY The PHA has set a flat rent for each public housing unit, based on the reasonable market value of the unit. The PHA’s methodology is described in the PHA Agency Plan. The PHA’s flat rents have been established using the following methodology: . The PHA may contract with a real estate consultant as well as utilize Housing Choice Voucher comparability statistics to establish flat rents for each unit. . The analysis will include relevant factors such as age, location, condition, amenities, and size of units as well as unassisted rents for similar units. The PHA will review the flat rents as often as necessary, but at least annually, to ensure that flat rents continue to mirror the market rent values. Residents paying flat rents would not have their flat rents adjusted (up or down) until their annual reexamination or annual flat rent update. The PHA Flat Rent schedule is available at development offices. 7-1 CHAPTER 7 VERIFICATION PROCEDURES INTRODUCTION The verification process during the time of application, interim reexamination and annual reexamination is a critical task in the administration of the HUD’s assisted housing programs. This task requires PHAs to verify factors that affect the determination for an applicant’s/ participant’s adjusted income. The verification process also requires the applicant/participant to provide and disclose information that is true and complete whenever information is requested. The PHA's verification requirements are designed to maintain program integrity and to utilize limited housing resources as correctly and efficiently as possible. This chapter explains the PHA's procedures and standards for verification of preferences, income, assets, completion of the citizenship or eligible immigration status, allowable deductions, family status, and changes in family composition. The policies in this chapter provide detailed verification procedures so that participants are thoroughly informed of the verification process. The PHA will obtain proper authorization from the family before requesting information from independent sources. A. METHODS OF VERIFICATION AND TIME ALLOWED The PHA will verify information through the five (5) methods of verification acceptable to HUD in the following order: . Up-front income verification (UIV) . Third-Party Written . Third-Party Oral . Review of Documents . Certification/Self-Declaration UP FRONT INCOME VERIFICATION Up-front income verification is the verification of income, before or during a family reexamination, through an independent source that systematically and uniformly maintains income information in computerized form for a large number of individuals. Types of income that may be verified using up-front income verification (UIV) 7-2 . Gross Wages and Salaries (including overtime pay, commission, fees, tips, bonuses, and other compensation for personal services). . Unemployment Compensation . Welfare Benefits . Social Security Benefits (including Federal and State benefits, Black Lung benefits, and dual benefits). AVAILABLE UP-FRONT INCOME VERIFICATION TECHNIQUES The PHA will obtain up-front income verification through the following methods when ever possible: . Computer matching agreements with a federal, state, or local government agency, or a private agency . Use of HUD’s Enterprise Income Verification (EIV) . Submit direct requests for income verifications to a federal, state, or local government agency or a private agency USE OF THIRD-PARTY VERIFICATIONS TO SUPPLEMENT UP-FRONT INCOME VERIFICATION Up-front income verification replaces, to the maximum extent possible, the more timeconsuming and less accurate third-party verification process of contacting individual employers identified by families or reviewing outdated income verification documents. However, third-party verification may continue to be necessary to complement up-front income verification, for example, when the resident disputes the data or when there is a substantial difference between resident-provided income and UIV. Up-front income verification should not be considered an automatic substitute for other third-party verification. Rather, up-front income verification may supplement other verification documentation such as original, current tenant-provided documents. THRESHOLD FOR SUBSTANTIAL DIFFERENCES The PHA has adopted HUD’s established criteria for what constitutes a “substantial difference” in cases where UIV income data differs from tenant-provided and/or other verified income information. HUD defines a “substantial difference” as one that is $200 or more (per family member) per month. UIV Income Data that is not substantially different than participant-provided income information. UIV may alleviate the need for third-party verification when there is not a substantial difference between UIV and tenant-reported income (either pay stubs or what tenant claims on the data collection sheet/reexamine form). 7-3 In cases where UIV income data is NOT substantially different than tenant-reported income, PHAs will follow guidelines below: . If UIV income data is more than current tenant-provided documentation, the PHA will use UIV income data to calculate anticipated annual income unless the tenant provides the PHA with documentation of a change in circumstances (i.e. change in employment, reduction in hours, etc.) . Upon receipt of acceptable tenant-provided documentation of a change in circumstances, the PHA will use tenant-provided documents to calculate anticipated annual income. UIV INCOME DATA THAT IS SUBSTANTIALLY DIFFERENT THAN PARTICIPANT-PROVIDED INCOME INFORMATION In cases where UIV income data is substantially different than tenant-report income, the PHA shall follow the guidelines below: . The PHA shall request written third party verification from the discrepant income source, in accordance with 24 CFR 5.236 (3) (I) . The PHA shall review historical income data for patterns of employment, paid benefits, and/or receipt of other income, when the PHA can not readily anticipate income, such as in the sources of seasonal employment, unstable working hours, and suspected fraud . The PHA must analyze all data (UIV data, third party verification and other documents/information provided by the family) and attempt to resolve the income discrepancy . The PHA will use the most current verified income data (and historical income data if appropriate) to calculate annual income. WHEN THIRD-PARTY VERIFICATIONS ARE REQUIRED Third-party verification is required in the following instances: . UIV is not available . There is a “substantial difference” between tenant-provided documents and UIV verification . The resident disputes the UIV data and provides supplemental supporting documentation PHA RESPONSIBILITIES FOR UTILIZING UIV SYSTEMS AND DATA While UIV is an excellent tool for highlighting potential income errors, the PHA has the responsibility: . To compare UIV information with participant-provided information 7-4 . To resolve income discrepancies promptly to determine accurate tenant rents based on all available information . Not to take any adverse actions against participants solely based on computer matching information. This means the PHA will not suspend, terminate, reduce or make a final denial of assistance to any tenant as a result of information produced by UIV until (a) the tenant has received a notice from the PHA detailing its findings and has been offered the opportunity to contest the findings and (b) either the notice period provided in applicable regulations of the program or 30 days whichever is later, has expired. THIRD-PARTYWRITTEN VERIFICATION Third-party verification is used to verify information directly with the source. Third-party written verification forms will be sent and returned via first class mail, faxed e-mailed directly to and received directly back from the source. The family will be required to sign an authorization for release of information form to release the specified information. The PHA will accept verifications received directly from the provider as third party documentation including but not limited to the following: . Social Security disability or award statements . Veterans Administration award statement . IRS tax forms . Written verification of TANF or General Assistance . Unemployment Compensation statements . Pay stubs or earning statements . City or County Court documents . Signed receipts or paid invoices for child care expenses . Receipts from pharmacies for prescription drugs . Child Support cancelled checks or award letters . Receipts for medical expenses or insurance premiums NUMBER OF ATTEMPTS TO OBTAINWRITTEN THIRD PARTY VERIFICATION The PHA will make one attempt to obtain written third-party verification. If a response is not received back from the source within ten working days after the written request for third-party is sent, the PHA will make an attempt at obtaining oral third-party verification. THIRD-PARTY ORAL VERIFICATION Oral third-party verifications will be used when written third-party verifications are delayed or not possible, or to verify documents provided by the family. When a thirdparty oral verification is used, staff will be required to complete a Certification of Document Viewed or Person Contacted form, noting with whom they spoke, the date of the conversation, and the facts provided. The information collected through oral third 7-5 party verification shall be the same information collected on written third-party verification forms. If provided by telephone, the PHA must originate the call. ACCEPTABLE PARTICIPANT-PROVIDED DOCUMENTS In the event that third party written or oral verification is unavailable or after the PHA has made two documented unsuccessful attempts (one may be written and one oral), the PHA may review the original (authentic) documents provided by the participant. All original documents should be dated within the last 60 days of the interview. The PHA will make a photocopy of the original documents and maintain the copy in the participant files. The PHA shall document in the tenant files, the receipt, copy, and review of the original (authentic) documents. Below are some acceptable participant-provided documents: . At least the last three months consecutive, original wage stubs . Social Security Administration award letter . Bank Statements . Pension benefit statements . TANF award letter . Computer printouts from the employer . Other documents noted in this chapter as acceptable verification All such documents viewed, excluding government checks, need to be original documents, which will be photocopied and retained in the participant file. In cases where documents are viewed which cannot be photocopied, staff viewing the document(s) will complete a Certification of Document Viewed or Person Contacted form. UNTIMELY RECEIPT OF THIRD-PARTY VERIFICATIONS Despite the PHA’s best efforts to obtain third-party verifications timely, sometimes thirdparty verifications are returned days or even weeks after the effective date of the new rent determination. In cases where the third-party verification is returned from sources within 30 day after the effective date of the reexamination, the PHA will only redetermine income when the difference between the third-party verification and the resident-provided verification is greater than $100 per month for entire family. LATE THIRD-PARTY VERIFICATIONS THAT REQUIRE A NEW INTERIM REEXAMINATION The following cases will require the resident to come in for an interim reexamination so that resident-provided information can be updated and compared to the third-party verifications: . In cases where a family has several sources of income and more than one thirdparty verification arrives late and at different times and there is a cumulative discrepancy of more then $100 per month between the participant-provided income and the third-party verified income; 7-6 . In the event that third-party verification is returned more than 30 days after the effective date of the recertification and there is a discrepancy of more then $100 per month between the participant-provided income and the third-party income. SELF-CERTIFICATION/SELF-DECLARATION When verification cannot be made by third-party verification or review of documents, families will be required to submit self-certification. Self-certification means a notarized statement signed under penalty of perjury in the presence of a witness. The PHA will allow up to one week for a family to provide a self-certification or selfdeclaration if other forms of verification are impossible to obtain. B. RELEASE OF INFORMATION All adult family members will be required to sign the HUD 9886 Release of Information/Privacy Act form. In addition, adult family members will be required to sign specific authorization forms when information is needed that is not covered by the HUD form 9886 Authorization for Release of Information/Privacy Act Notice. Each member requested to consent to the release of specific information will be provided with a copy of the appropriate forms for their review and signature. Family refusal to cooperate with the HUD prescribed verification system will result in denial of admission or termination of assistance because it is a family obligation to supply any information and to sign consent forms requested by the PHA or HUD. C. ITEMS TO BE VERIFIED The following items will need to be verified: . All income (earned or unearned) . Zero-income status of household . Full-time student status for students who are eighteen (18) years or over . Current assets including assets disposed of for less than fair market value in proceeding two (2) years . Childcare expenses where it allows an adult family member to be employed or to further his/her education or seek employment . Total medical expenses of all family members in households whose head or 7-7 spouse is elderly or disabled . Disability assistance expenses to include only those costs associated with attendant care or auxiliary apparatus for a disabled member of the family, which allow an adult family member to be employed . Legal identity . U.S. citizenship/eligible immigrant status . Social Security Numbers for all family members six (6) years of age or older . Preference status . Familial/marital status when needed for head or spouse definition . Disability for determination of preferences, allowances or deductions . Completion of Community Service Requirement (unless exempt) VERIFICATION OF REDUCTION IN BENEFITS FOR NONCOMPLIANCE The PHA will obtain written verification from the welfare agency stating that the family's benefits have been reduced for fraud or noncompliance before denying the family's request for rent reduction. D. VERIFICATION OF INCOME This section explains the documentation the PHA will use to verify various types of income. EMPLOYMENT INCOME Verification forms request the employer to specify the: . Dates of employment . Amount and frequency of pay . Date of the last pay increase . Likelihood of change of employment status and effective date of any known salary increase during the next twelve (12) months . Year-to-date earnings . Estimated income from overtime, tips, and bonus pay expected during next twelve (12) months Applicants and program residents will be required to sign an authorization for release of information from the Internal Revenue Service for further verification of income. In cases where there are questions about the validity of information provided by the family, the PHA will require the most recent federal income tax statements. Where doubt regarding income exists, a referral to IRS for confirmation will be made on a case-by-case basis. 7-8 ALIMONY OR CHILD SUPPORT PAYMENTS Acceptable methods of verification include, in this order: . PHA verification form completed by payment provider . Verbal confirmation by payment provider . Copy of a separation or settlement agreement or a divorce decree stating amount and type of support and payment schedules . DA Child Support Hotline . Copy of latest check and/or payment stubs from court trustee. PHA must record the date, amount, and number of the check . Family's self-certification of amount received and of the likelihood of support payments being received in the future, or that support payments are not being received If payments are irregular, the family must provide: . A copy of the separation or settlement agreement, or a divorce decree stating the amount and type of support and payment schedules . A statement from the agency responsible for enforcing payments to show that the family has filed for enforcement . Welfare Notice of Action showing amounts received by the welfare agency for child support . A written statement from an attorney certifying that a collection or enforcement action has been filed NET INCOME FROM A BUSINESS In order to verify the net income from a business, the PHA will view IRS and financial documents from prior years and use this information to anticipate the income for the next twelve (12) months. ACCEPTABLE METHODS OF VERIFICATION INCLUDE: IRS Form 1040, including: . Schedule C (Small Business) . Schedule E (Rental Property Income) . Schedule F (Farm Income) If accelerated depreciation was used on the tax return or financial statement, an accountant's calculation of depreciation expense computed using straight-line depreciation rules should be provided. . Audited or unaudited financial statement(s) of the business . Credit report or loan application 7-9 . Family's self-certification as to net income realized from the business during previous years Documents such as manifests, appointment books, cash books, bank statements, and receipts will be used as a guide for the prior six (6) months {or lesser period if not in business for six (6) months} to project income for the next twelve (12) months. The family will be advised to maintain these documents in the future if they are not available. The PHA may request any of the documentation identified above, regardless of the verification used. RECURRING GIFTS The family must furnish a self-certification that contains the following information: . The person who provides the gifts . The value of the gifts . The regularity (dates) of the gifts . The purpose of the gifts ZERO INCOME STATUS When families report zero income, and have no income excluded for rent computation, the PHA will pursue verification of income that reflects the family’s lifestyle. Zero income families may be required to: . Execute verification forms to determine that types of income such as unemployment benefits, TANF, SSI, etc. are not being received by the household . Complete the reexamination process every ninety days . Complete a zero income form that estimates how much they spend on telephone, cable TV, food, clothing, transportation, debts, household items, and whether any of these costs are being paid by an individual outside the family (such payments are considered income) To further verify zero income the PHA may: . Request information from the State Employment Development Department and/or from the IRS . Run a credit report if information is received that indicates the family has an unreported income source FULL-TIME STUDENT STATUS Only the first four hundred-eighty dollars ($480) of the earned income of full time students eighteen (18) years of age or older, other than head or spouse, will be counted towards family income. This $480 is disregarded for dependents, netting zero. 7-10 Financial aid, scholarships and grants received by full time students are not counted towards family income. Verification of full time student status includes: . Written verification from the registrar's office or other school official . School records indicating enrollment for sufficient number of credits to be considered a full-time student by the educational institution E. INCOME FROM ASSETS The PHA is responsible for verifying all assets to determine the amount of income produced by these assets: Checking, & Savings Accounts, Stocks, Bonds, Interest Income and Dividends. The PHA recognizes that it is not always cost effective to incur bank verification fees nor utilize the administrative staff time to facilitate third-party verifications for checking and savings accounts; therefore, checking and savings accounts with average balances (for the last 6 months) under $1,000 will not require third-party verifications from financial institutions. For checking and savings accounts that do not require third-party verification, the PHA will utilize the current balance for savings accounts and the average six-month balance for checking accounts. Checking and savings accounts, stocks, bonds, interest income and dividends will be verified in the following order by: . PHA verification forms completed by the financial institution (if average monthly balance is over $1,000). . Verbal confirmation of information from the financial institution . Account statements, passbooks, certificates of deposit . Broker's statements showing value of stocks or bonds and the earnings credited the family. Earnings can be obtained from current newspaper quotations or oral broker's verification . IRS Form 1099 from the financial institution provided that the PHA must adjust the information to project earnings expected for the next twelve (12) months Interest Income from Mortgages or Similar Arrangements . A letter from an accountant, attorney, real estate broker, the buyer, or a financial institution stating interest due for next twelve (12) months. (A copy of the check paid by the buyer to the family is not sufficient unless a breakdown of interest and principal is shown) 7-11 . Amortization schedule showing interest for the twelve (12) months following the effective date of the certification or recertification NET RENTAL INCOME FROM PROPERTY OWNED BY FAMILY . IRS Forms 1040 with Schedule E (Rental Income) . Records from property management company handling the rental property . Copies of latest rent receipts, leases, or other documentation of rent amounts . Documentation of allowable operating expenses of the property: tax statements, insurance invoices, and bills for reasonable maintenance and utilities, and bank statements or amortization schedules showing monthly interest expense . Lessee's written statement verifying rent payments to the family and family's notarized statement as to net income realized F. VERIFICATION OF ASSETS CURRENT MARKET VALUE The PHA will require the information necessary to determine the current cash value of the family's assets, (the net amount the family would receive if the asset were converted to cash). . Verification forms, letters, or documents from a financial institution or broker . Passbooks, checking account statements, certificates of deposit, bonds, or financial statements completed by a financial institution or broker . Quotes from a stockbroker or realty agent as to net amount family would receive if they liquidated securities or real estate . Real estate tax statements if the approximate current market value can be deduced from assessment . Financial statements for business assets . Copies of closing documents showing the selling price and the distribution of the sales proceeds . Appraisals of personal property held as an investment . Family's self-certification describing assets or cash held at the family's home or in safe deposit boxes Assets Disposed of for Less than Fair Market Value (FMV) during two years proceeding effective date of certification or recertification. For all certifications and recertifications, the PHA will obtain the family's certification as to whether any member has disposed of assets for less than fair market value during the two (2) years preceding the effective date of the certification or recertification. 7-12 If the family self-certifies that they have disposed of assets for less than fair market value, verification (or self-certification) is required that shows: (a) all assets disposed of for less than FMV, (b) the date they were disposed of, (c) the amount the family received, and (d) the market value of the assets at the time of disposition. Third party verification will be obtained wherever possible. G. VERIFICATION OF ALLOWABLE DEDUCTIONS FROM INCOME CHILDCARE EXPENSES Written verification from the person who receives the payments is required. If the childcare provider is an individual, s/he must provide a statement of the amount they are charging the family for their services. Verifications must specify the child care provider's name, address, telephone number, Social Security number, the names of the children cared for, the number of hours the childcare occurs, the rate of pay, and the typical yearly amount paid, including school and vacation periods. A family must certify as to whether any of those payments have been or will be paid or reimbursed by outside sources. MEDICAL EXPENSES Families, who claim medical expenses, will be required to submit a certification as to whether or not any expense payments have been, or will be, reimbursed by an outside source. One or more of the methods listed below will verify all expense claims: . Written verification by a doctor, hospital or clinic personnel, dentist, pharmacist, of (a) the anticipated medical costs to be incurred by the family and regular payments due on medical bills; and (b) extent to which those expenses will be reimbursed by insurance or a government agency . Written confirmation by the insurance company or employer of health insurance premiums to be paid by the family . Written confirmation from the Social Security Administration's of Medicare premiums to be paid by the family over the next twelve (12) months. A computer printout will be accepted . Receipts, cancelled checks, or payment stubs that verify past medical costs or past insurance expenses that are likely to be incurred in the next twelve (12) months. expenses that are likely to be incurred in the next twelve (12) months. . Copies of payment agreements or most recent invoice that verify payments made on outstanding medical bills that will continue over all or part of the next twelve (12) months. 7-13 . Receipts or other record of medical expenses incurred during the past twelve (12) months that can be used to anticipate future medical expenses. PHA may use this approach for "general medical expenses" such as nonprescription drugs, as prescribed by a physician, and regular visits to doctors or dentists, but not for one-time, nonrecurring expenses from the previous year . The PHA will use mileage, at the IRS rate, cab, bus fare, or other public transportation cost for verification of the cost of transportation directly related to medical treatment For attendant care: . A reliable, knowledgeable professional's certification that the assistance of an attendant is a necessary medical expense and a projection of the number of hours the care is needed for calculation purposes . Attendant's written confirmation of hours of care provided and amount and frequency of payments received from the family or agency (or copies of canceled checks the family used to make those payments) or stubs from the agency providing the services ASSISTANCE TO PERSONS WITH DISABILITIES In All Cases: . Written certification from a reliable, knowledgeable professional that the person with disabilities requires the services of an attendant and/or the use of auxiliary apparatus to permit him/her to be employed or to function sufficiently independently to enable another family member to be employed . Family's certification as to whether they receive reimbursement for any of the expenses of disability assistance and the amount of any reimbursement received Attendant Care: . PHA verification form must be completed by provider . Attendant's written certification of amount received from the family, frequency of receipt, and hours of care provided . Certification of family and attendant and/or copies of canceled checks family used to make payments Auxiliary Apparatus: . Receipts for purchases or proof of monthly payments and maintenance expenses for auxiliary apparatus . In the case where the person with disabilities is employed, a statement from the employer that the auxiliary apparatus is necessary for employment 7-14 H. VERIFYING NON-FINANCIAL FACTORS VERIFICATION OF LEGAL IDENTITY In order to prevent program abuse, the PHA will require applicants to furnish verification of legal identity for all family members. The documents listed below will be considered acceptable verification of legal identity for adults. If a document submitted by a family is illegible or otherwise questionable, more than one of these documents may be required. . Certificate of Birth, naturalization papers accompanied by state or federal photo identification . Church issued baptismal certificate accompanied by state or federal photo identification . Current, valid Driver's license, or State ID Card . U.S. military discharge (DD 214), U.S. passport . Department of Human Assistance Identification Card accompanied by state or federal photo identification Documents considered acceptable for the verification of legal identity for minors may be one or more of the following: . Certificate of Birth . Adoption papers . Custody agreement . Health and Human Services ID . School ID cards . Drivers License . Passport VERIFICATION OF MARITAL STATUS Verification of marriage status is a marriage certificate. Verification of a separation may be a copy of court-ordered maintenance or other records. 7-15 Verification of divorce status will be a certified copy of the divorce decree, signed by a court officer. FAMILIAL RELATIONSHIPS Self-Certification will normally be considered sufficient verification of family relationships. In cases where reasonable doubt exists, the family may be asked to provide verification. The following verifications will be required if certification is insufficient: Verification of relationship: . Official identification showing name . Birth Certificates . Baptismal certificates Verification of guardianship: . Court-ordered assignment . Affidavit of parent . Verification from social services agency . School records SPLIT HOUSEHOLDS/DOMESTIC VIOLENCE Verification of domestic violence when assessing applicant split households includes: . Shelter for battered persons . Police reports . District Attorney's office . Self vertification of domestic violence status VERIFICATION OF PERMANENT ABSENCE OF FAMILY MEMBER If a family member, who was formerly a member of the household, is reported permanently absent by the family, the PHA will consider any of the following as verification: . Husband or wife institutes divorce action . Husband or wife institutes legal separation . Order of protection/restraining order obtained by one family member against another 7-16 . Proof of another home address, such as utility bills, canceled checks for rent, driver’s license, or lease or rental agreement. . Statements from other agencies such as social services that the adult family member is no longer living at that location . If the family member is incarcerated, a document from the court or correctional facility should be obtained stating how long they will be incarcerated . If no other proof can be provided, the PHA will accept a self-certification from the head of household or the spouse or co-head, if the head is the absent member. VERIFICATION OF CHANGE IN FAMILY COMPOSITION The PHA may verify changes in family composition (either reported or unreported) through letters, telephone calls, utility records, inspections, landlords, neighbors, credit data, school or DMV records, postal verification and other sources. VERIFICATION OF DISABILITY Verification of disability must be receipt of SSI or SSA disability payments under Section 223 of the Social Security Act or 102(7) of the Developmental Disabilities Assistance and Bill of Rights Act (42 U.S.C. 6001(7) or verified by appropriate diagnostician such as physician, psychiatrist, psychologist, therapist, rehabilitation specialist, or licensed social worker, using the HUD language as the verification format. VERIFICATION OF CITIZENSHIP/ELIGIBLE IMMIGRANT STATUS 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. Ineligible family members have either been declared ineligible, or 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 Immigration and Naturalization Service (INS). Each family member must declare his or her status once. Assistance cannot be delayed, denied, or terminated while verification of status is pending except that assistance to applicants may be delayed while the PHA hearing is pending. The PHA will not require citizens to provide documentation of citizenship. Citizens or Nationals of the United States are required to sign a declaration under penalty of perjury. Eligible Immigrants who were Residents and sixty-two (62) years of age or over on June 19, 1995 are required to sign a declaration of eligible immigration status and provide proof of age. 7-17 Non-citizens with eligible immigration status must sign a declaration of status and verification consent form and provide their original immigration documents which are copied front and back and returned to the family. The PHA verifies the status through the INS SAVE system. If this primary verification fails to verify status, the PHA must request within ten days that the INS conduct a manual search. Ineligible family members who do not claim to be citizens or eligible immigrants must be listed on a statement of ineligible family members signed by the head of household or spouse. Non-citizen students on student visas are ineligible members even though they are in the country lawfully. They must provide their student visa but their status will not be verified and they do not sign a declaration but are listed on the statement of ineligible members. FAILURE TO PROVIDE If an applicant or resident family member fails to sign required declarations and consent forms or provide documents, as required, they must be listed as an ineligible member. If the entire family fails to provide and sign as required, the family may be denied or terminated for failure to provide required information. TIME OF VERIFICATION For applicants, verification of U.S. citizenship/eligible immigrant status occurs at the same time as verification of other factors of eligibility for final eligibility determination. For family members added after other members have been verified, the verification occurs at the interim recertification, after the new member moves in. Once verification has been completed for any covered program, it need not be repeated. EXTENSIONS OF TIME TO PROVIDE DOCUMENTS The HA will grant an extension of thirty (30) days for families to submit evidence of eligible immigrant status. ACCEPTABLE DOCUMENTS OF ELIGIBLE IMMIGRATION The regulations stipulate that only the following documents are acceptable unless changes are published in the Federal Register. . Resident Alien Card (I-551) . Alien Registration Receipt Card (I-151) . Arrival-Departure Record (I-94) . Temporary Resident Card (I-688) . Employment Authorization Card (I-688B) 7-18 . Receipt issued by the INS for issuance of replacement of any of the above documents that shows individual's entitlement has been verified. A birth certificate is not acceptable verification of status. All documents in connection with U.S. citizenship/eligible immigrant status must be kept five (5) years. VERIFICATION OF SOCIAL SECURITY NUMBERS Social Security numbers must be provided as a condition of eligibility for all family members six (6) and over if they have been issued a number. Verification of Social Security numbers will be done through a Social Security card issued by the Social Security Administration. If a family member cannot produce a Social Security card, only the documents listed below showing his/her Social Security number may be used for verification. The family is also required to certify in writing that the document(s) submitted in lieu of the Social Security card information provided is/are complete and accurate: . Verification of benefits or SSN from Social Security Administration . Identification card issued by a federal, state or local agency . Identification card issued by Medicare and Medicaid . Benefit award letters from government agencies New family members age six (6) year and older will have, and make available, their Social Security card or provide the substitute documentation described above together with their certification that the substitute information provided is complete and accurate. This information is to be provided at the time the change in family composition is reported to the PHA. If an applicant or resident is able to disclose the Social Security number but cannot meet the documentation requirements, the applicant or resident must sign a certification to that effect provided by the PHA. The applicant/resident or family member will have an additional sixty- (60) days to provide proof of the Social Security number. If they fail to provide this documentation, the individual’s application or assistance will be terminated. In the case of an individual at least sixty-two (62) years of age, the PHA may grant an extension for an additional sixty (60) days to a total of one hundred twenty (120) days. If, at the end of this time, the elderly individual has not provided documentation, the individual’s assistance will be terminated. If the family member states they have not been issued a number, the family member will be required to sign a certification to this effect. 7-19 I. VERIFICATION OFWAITING LIST PREFERENCES Wait List preferences will be verified prior to determination of eligibility. Such preferences include the following. Involuntary Displacement: By Disaster, Government Action, or Inaccessibility Families who claim they are being or have been displaced due to a natural disaster, government action, or inaccessibility are required to provide written verification by the displacing unit or agency of government, or by a service agency such as the Red Cross. K. VERIFICATION OF SUITABILITY FOR ADMISSION . Refer to Chapter 2 – Eligibility for Admission. CHAPTER 8 TRANSFER POLICY INTRODUCTION The transferring of families is very costly, both to the PHA and to the families. However, it is the policy of the PHA to permit a resident to transfer within or between housing developments when it is necessary to comply with occupancy standards; or when it will help accomplish the affirmative housing goals of the PHA. The transfer policy will be carried out in a manner that does not violate any fair housing or civil rights acts. The PHA will always consider a request to transfer as a reasonable accommodation for a person with a disability. A. INVOLUNTARY (MANDATORY) TRANSFERS DIFFERENT SIZE UNIT The PHA may require the resident to transfer to a different size unit if the resident’s family composition changes. The PHA will place all families requiring a mandatory transfer due to occupancy standards on a transfer list, which will be reviewed for need- based transfers prior to offering a unit to a family in the wait pool. OUT OF AN ACCESSIBLE UNIT The PHA may require a non-disabled resident to transfer from a disabledaccessible/ adaptable unit to a unit that is not disabled-accessible/adaptable. EMERGENCY TRANSFERS The PHA will authorize an emergency transfer for a participant family if the resident's unit has been damaged by fire, flood, or other causes to such a degree that damages are hazardous to life, health or safety and the unit is not habitable. If the damage was a result of carelessness or negligence by the resident, a member of the resident's household, or a guest, the reasonable expense of repairing such damage will be charged to the resident and the household may be subject to eviction. SPECIAL CIRCUMSTANCES TRANSFERS The PHA will authorize transfers under special circumstances for a participant family if one of the following conditions occurs: 8-1 8-2 . The resident's unit is being modernized or significantly remodeled . When the PHA determines it is necessary to rehabilitate or demolish the resident's unit . The PHA has a need, at the discretion of the Housing Authority Director, to transfer the household to another unit and the resident voluntarily agrees to such transfer In the case of involuntary (mandatory) transfers, the resident shall be required to move into the dwelling unit that is made available, after two offers by the Authority. The resident shall be given thirty (30) days in which to move following delivery of a transfer notice. If the resident refuses to move, the PHA may terminate the Lease. Involuntary transfers, for reasons other than safety or rehabilitation, are subject to the Grievance Policy & Procedure (see Chapter 13). Transfers will be delayed until such time as the grievance request has expired or the grievance process has been completed. Resident will pay a new security deposit and all moving costs related to the transfer except when the transfer is due to the need of the PHA or inhabitability through no fault of the resident. B. VOLUNTARY TRANSFERS The PHA will consider any resident request for voluntary transfers in accordance with the priorities noted in Section C below. Residents must complete a Transfer Request form and provide documentation in support of the request. When a unit becomes available, and after the transfer list has been reviewed for families requiring a mandatory transfer, the transfer list will be reviewed for other families desiring a transfer. If the resident makes a written request for special unit features in support of a documented disability, the PHA shall make reasonable accommodations to modify the resident’s existing unit. If the cost and extent of the modifications needed are tantamount to those required for a fully accessible unit the PHA may transfer the resident to another unit with the features requested at the resident’s expense. A family may be eligible to transfer for valid and certifiable reasons such as enabling the family: . To live within fifteen (15) miles of the place of employment of at least one family member . To live within fifteen (15) miles of a relative who will care for the children of a working parent . To live within fifteen (15) miles of a required medical treatment center 8-3 . To move from an upstairs to a downstairs unit for medical or accessibility reasons Prior to approval of voluntary transfers, the resident, except for emergencies or medical hardship, must be in good standing with the PHA according to the following additional qualifying criteria: . Rent (and payment agreements) must be current . Other charges (and payment agreements) must be current . Interim or annual recertification’s must be current . There must be no unresolved lease violations or eviction pending Residency requirements, except for emergencies or medical hardship, are as follows: . Eighteen (18) months after the resident’s initial move into housing . Twenty-four (24) months after a previous transfer The PHA does not allow residents to transfer from one unit to another within the same building or development except as a reasonable accommodation for a family member with a disability or when the move is mandatory per the request of the PHA. The PHA will not grant a transfer request solely to accommodate neighbors who cannot get along. The PHA retains the right to suspend voluntary transfers. Resident shall be responsible for a new security deposit and their own moving expenses for all approved voluntary transfers. C. TRANSFERWAITING LIST The Transfer Waiting List will be maintained by date of approval in rank order by: . Emergency . Medical hardship . Household over-housed or under-housed (unit too large or small) . All other reasons Families on the Transfer Waiting List will be offered two (2) units. If the two offered units are refused they will be removed from the transfer list unless the PHA determines that the refusal was made for good cause. The family will have to wait eighteen months before applying for a transfer again. The PHA reserves the right to make the final determination on all non-mandatory transfers. 8-4 TRANSFER VACATE CHARGES Residents with approved transfers are allowed three days of overlap between the unit transferred from and the unit transferred to. The resident is responsible for the per diem tenant rent on both units during this time. Keys to the vacated unit must be returned to the area management office not later than the third (3rd) day from the new lease date. If the resident fails to return keys by the end of the third (3rd) day, the PHA may initiate termination of tenancy and/or remove belongings at tenant cost. After the third (3rd) day, if the resident has not returned keys to the unit from which they are transferring, the PHA may contract to have the resident’s belongings placed in a secure storage facility at the expense of the resident. The resident will be responsible for damages beyond normal wear and tear in the unit from which the resident was transferred. GOOD CAUSE CRITERIA FOR RESIDENT DENIAL OF VOLUNTARY TRANSFER If the resident has refused an approved voluntary transfer request they will be removed from the transfer list unless the PHA determines that the refusal was made for good cause. Good cause may be any of the following reasons: . The new unit is more than fifteen (15) miles from the place of employment of at least one (1) member of the family; . The new unit is more than fifteen (15) miles from the school or job training program that at least one adult member of the family is attending; . Travel to the doctor from the new unit would create a hardship for an elderly or disabled person. The inconvenience or undesirability of changing schools for any minor child will not be considered good cause. The hearing requirements described in chapter 13 are applicable to participating families who disagree with an action, decision, or inaction of the PHA regarding transfers. CHAPTER 9 LEASING [24 CFR 966.4] INTRODUCTION It is the PHA’s policy that all units must be occupied pursuant to a dwelling lease agreement that complies with HUD's regulations [24 CFR Part 966]. This chapter describes pre-leasing activities and the PHA’s policies pertaining to lease execution, security, other charges, and additions to the Lease. A. LEASE TERMS AND CONDITIONS The following terms and conditions of occupancy are made a part of the Lease. LEASE REQUIREMENTS The initial term of the lease will be for 12 months. The lease will renew automatically for 12-month terms except for noncompliance with the community service requirements, as described in the chapter on community services. Residents will be required to sign a new 12 month lease agreement on an annual basis. PROVISION FOR MODIFICATION Changes to the Lease, other than changes in resident’s rent amount, shall be by written addendum signed by both the PHA and the resident. Additional information, including but not limited to, this Admissions and Continued Occupancy Policy (ACOP), Schedule of Fees and Charges, Schedule of Utility Allowances, Grievance Procedure, etc. are all incorporated into the lease by reference and may be changed from time-to-time by the PHA. The resident shall be given thirty (30) days written notice setting forth the proposed changes, the reasons for them, and providing the resident with an opportunity to make written comments. ABILITY TO COMPLY WITH LEASE TERMS If during the term of the lease, the resident, due to a physical or mental disability covered by the Americans with Disabilities Act (ADA), is no longer able to comply with the provisions of the lease and cannot make arrangements for someone to aid him/her in complying with the lease, and the PHA cannot make reasonable accommodations that would enable the resident to comply with the lease, then the lease will terminate. 9-1 9-2 THE PHA’S OBLIGATIONS . To maintain the premises and the property in decent and safe condition . To comply with the requirements of applicable building and housing codes and HUD regulations materially affecting health and safety . To make necessary repairs to the premises . To keep property buildings, facilities and common areas, not otherwise assigned to the resident for maintenance and upkeep, in a clean and safe condition . To maintain in good and safe working order and condition electrical, plumbing, sanitary, heating, ventilating, and other facilities and appliances, including elevators, supplied or required to be supplied by the PHA . To provide and maintain appropriate receptacles and facilities for the deposit of garbage, and other waste removed from the premises by the resident. . To supply running water, reasonable amounts of hot water, and heat at appropriate times of the year, except where heat or hot water is within the exclusive control by resident . To notify the resident of the specific grounds for any proposed adverse action by the PHA such as proposed lease termination, transfer of resident to another unit or imposition of charges for maintenance or repair THE RESIDENT’S OBLIGATIONS (INCLUDING MEMBERS OF THE HOUSEHOLD AND GUESTS) . To pay rent or other charges due under the lease (i.e., maintenance charges and late charges) . Not to assign the lease or to sublease the dwelling unit. Any attempt to assign or sublease the dwelling unit shall void the lease . Not to provide accommodations for boarders or lodgers. To use the dwelling unit solely as a private dwelling for the resident and the resident’s household as identified on the Data Collection Sheet addendum to the lease. Not to use the dwelling unit or permit its use for any other purpose, including mailing, for any persons not listed on the lease . To pay charges, within thirty (30) days, (other than for wear and tear) for the repair of damages to the dwelling unit, development buildings, facilities, or common areas caused by either intentional or negligent conduct of resident, members of the household, or guests . The rent is due and payable in advance no later than the first day of each month. Allocating a grace period, any rent received after the fifth day of each month will be considered delinquent and will be subject to a late charge. Being delinquent in the rent payment more than four (4) times during a twelve (12) month term of the Lease shall be a material breach of the lease, unless any such delinquency is outside the control of the resident and is documented by the resident to the satisfaction of the PHA . To abide by any House Rules for the benefit and well being of the housing development and the residents 9-3 . To comply with all obligations imposed upon residents by applicable provisions of building and housing codes materially affecting health and safety . To keep the dwelling unit and such other areas as may be assigned to the resident for the resident’s exclusive use in a clean and safe condition . To dispose of all garbage and other waste from the dwelling unit in a sanitary and safe manner . To use in a reasonable manner all electrical, plumbing, heating, ventilating, air conditioning, elevators, and other facilities in the development buildings and common areas . To refrain from scattering garbage, destroying, defacing, damaging, or removing any part of the dwelling unit or development . To conduct himself/herself and assure other persons who are in the dwelling unit or in the common area of the development with the resident’s consent, to conduct themselves in a manner which will not disturb neighbors’ (including those neighbors who are not residents of low-rent public housing) peaceful enjoyment of their housing and which will be conducive to maintaining the development in a decent, safe, and sanitary condition THE RESIDENT MUST ASSURE THAT NO MEMBER OF THE HOUSEHOLD, OR GUEST, ENGAGES IN: . Any harassing activity or criminal activity that threatens the health, safety, or right to peaceful enjoyment of the PHA’s public housing premises by other residents, the PHA management staff working or residing on the premises, or by persons residing in the immediate vicinity of the premises . Any drug-related or violent criminal activity on or off the premises. For the purposes of this lease, the term drug-related activity means the illegal possession, manufacture, sale, distribution, use or possession with intent to manufacture, sell, distribute, or use of a controlled substance as defined in Section 102 of the Controlled Substances Act . Alcohol abuse that the PHA determines interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents THE RESIDENT MUST ASSURE THAT NO OTHER PERSON UNDER THE TENANT’S CONTROL ENGAGES IN: . Any harassing activity or criminal activity including drug or alcohol abuse that threatens the health, safety, or right to peaceful enjoyment of the PHA’s public housing premises by other residents, PHA management staff working or residing on the premises, or by persons residing in the immediate vicinity of the premises . Any drug-related or violent criminal activity on the premises The resident agrees not to do any of the following in the dwelling unit without first obtaining the PHA’s written permission: 9-4 . Dismantle, change or remove any part of the appliances (unless resident owned), fixtures or equipment . Paint or install wallpaper or contact paper . Attach awnings or window and door security bars . Attach or place any fixtures, signs, or fences on the building(s), the common areas, or the property grounds . Attach any shelves, screen doors, or other permanent improvements . Install or alter carpeting, resurface floors or alter woodwork . Install washing machines or dryers unless appropriate connections are available in the dwelling unit . Install any antennas or satellite dishes (see antenna and satellite dish policy) . Install additional or different locks or gates on any doors or windows . Install alarm(s) or security system (s) . Tamper, destroy, or dismantle any safety devises such as pull cords, fire extinguishers, or smoke detectors. . Install a window HVAC unit Resident agrees to: . To abide by the provisions of the PHA’s Pet Policy/Agreement (see chapter 10) . Not to create (by act or omission) or permit to exist, any condition on the premises, which results in risk to personal health or safety of any person or damage to property. . Resident must provide for the uninterrupted provision of electric and gas services. . To immediately report to the PHA, any vandalism to the premises, or need for repair to the dwelling unit or common areas . To abide by housekeeping standards set forth by the PHA . Keep the area free of trash and debris and maintain the cleanliness of walkways, stairs, landings, hallways, porches, and patios adjacent to the dwelling unit. Resident must water, mow and maintain lawns or other landscaped or paved areas adjacent to the resident’s dwelling unit unless the resident or the dwelling unit has been given written exemption by the PHA . To abide by provisions of the PHA parking policy (9-16) Notice . Any legal notice to resident from the PHA shall be in writing delivered personally to the resident or to an adult member of the resident’s household or sent by prepaid first class mail . Any legal notice the resident gives to the PHA shall be in writing and delivered to the area management office responsible for the development in which the dwelling unit is located 9-5 EMERGENCIES Resident shall take every care to prevent fires. (Refer to House Rules) In the event the dwelling unit is damaged to the extent that conditions are created which are hazardous to life, health, or safety of the occupants: . In case of fire, resident shall immediately notify the fire department and the PHA . The PHA shall be responsible for repair of the dwelling unit. If the damage is caused by the resident, members of the household or guests, the resident shall pay the costs of repair . The PHA may enter the premises at any time without advance notification when there is a reasonable cause to believe that an emergency exists ABANDONMENT OF THE PREMISES The PHA may give a notice of belief of abandonment to the resident pursuant to California Civil Code Section 1951.3(b) only where the rent on the property has been due and unpaid for at least 14 consecutive days and the PHA reasonably believes that the resident has abandoned the property. WAIVER OF LEASE PROVISIONS The PHA does not give up any of its rights to enforce the provisions of the Lease unless it does so in writing. UNENFORCEABLE LEASE PROVISIONS The provisions of the Lease are intended by the parties to be joint and severable. Should any paragraph or any portion of any paragraph, or any portion of any sentence of any paragraph in the Lease be found to be unenforceable due to any reason whatsoever, it is the intention of the parties that the remaining portions of this Lease, which are enforceable, remain binding and enforceable upon the parties. ATTACHMENTS AND ADDENDUMS TO THE LEASE Any revised attachments and addendums will be distributed at recertification. Attachments and addendums may include, but are not limited to: . Data Collection Sheet . 50058/50059 Certification . House Rules . Notice of Rent Adjustment . Parking Policies . Grievance Policy & Procedure (ACOP – Chapter 13) . Lead Poisoning Notice 9-6 . Pet Policy/Agreement, when applicable . Resident Rights & Responsibilities Notice . Community Service Requirement B. LEASE ORIENTATION Prior to execution of the lease, a PHA representative will provide a lease orientation to the family head and spouse or co-head. The orientation may be conducted with more than one family. The family must attend an orientation before taking occupancy of the unit. ORIENTATION AGENDA When families attend the lease orientation, they will be provided with: * A copy of the Lease * A copy of the PHA's lease and grievance procedure * A copy of the House Rules * A copy of the PHA Newsletter Topics to be discussed will include, but are not limited to: * Applicable deposits and other charges * Provisions of the Lease * Family Choice of Rents * Orientation to the community * Unit maintenance and work orders * Explanation of occupancy forms * Terms of occupancy * Community Service * Lead-based paint disclosure notice * Lead hazard information pamphlet C. EXECUTION OF LEASE The lease shall be executed by the head of household, co-head, spouse, and all other adult members of the household, and by an authorized representative of the PHA, prior to admission. The head of household is the person who assumes legal and financial responsibility for the household and is listed on the application as head. The following provisions govern lease execution and amendments: . A lease is executed at the time of admission for all new residents 9-7 . A new lease is executed at the time of the transfer of a resident from one PHA unit to another (with no change in reexamination date) . If, for any reason, any signer of the lease ceases to be a member of the household, a new lease will be executed . Lease signers must be persons legally eligible to execute contracts . The names and date of birth of all household members are listed on the Data Collection Sheet at initial occupancy and at each subsequent recertification. Only those persons listed on the most recent certification shall be permitted to occupy a dwelling unit . Changes to Resident rents are made upon the preparation and execution of a Notice of Rent Adjustment by the PHA, which becomes an amendment to the lease. This document will be included in the resident file as confirmation that the resident was issued proper notice. . Households that include a live-in attendant are required to execute a lease addendum authorizing the arrangement and describing the status of the attendant . Households that include a live-in attendant will contain file documentation that the live-in attendant is not a party to the lease and is not entitled to PHA assistance, with the exception of occupancy while serving as the live-in attendant for the participant family member PERMISSIBLE AND REASONABLE MODIFICATIONS OF THE LEASE The PHA may modify its form of lease from time to time, giving residents an opportunity to comment on proposed changes and advance notice of the implementation of any changes. A resident's refusal to accept permissible and reasonable lease modifications or those modifications required by HUD, is grounds for termination of tenancy D. ADDITIONS TO THE LEASE Requests for the addition of a new member to the household must be approved by the PHA prior to the actual move-in of the proposed new member, except in the case of birth, adoption or court awarded custody of a minor child. Following receipt of a family's request for approval, the PHA will conduct a preadmission screening, including the criminal history report, of the proposed new member. Only new members approved by the PHA will be added to the household. Any new household member must reside in the household for at least two (2) years prior to being able to take possession of the unit as head of household. DETERMINING FACTORS FOR HOUSEHOLD ADDITIONS: Household additions subject to screening: . Resident plans to marry 9-8 . Resident is awarded custody of a child over the age for which juvenile justice records are available . Resident desires to add a new family member to the lease, employ a live-in aide, or take in a foster child(ren) . A unit is occupied by a remaining family member(s) under age eighteen (18), (not an emancipated minor) and an adult who was not a member of the original household requests permission to take over as the head of household Factors determining household additions, which are not subject to screening: . Children born to a family member or whom a family member legally adopts are exempt from the pre-screening process Factors determining household additions, which may be subject to screening, depending on PHA discretion: . Children below the age, under which juvenile justice records are made available, who are added through a kinship care arrangement, are exempt from the pre-screening process In such cases where the addition of a new member who has not been born, married, or legally placed into the family, and the addition will affect the bedroom size required by the family, according to the PHA occupancy standards, the PHA will not approve the addition. The PHA will not approve adding a family consisting of more than one member to the lease if it will change the bedroom size required by the family. Such applicants will be encouraged to apply to the waiting list. Residents who fail to notify the PHA of additions to the household, or who permit persons to join the household without undergoing screening, are in violation of the Lease. Such persons are considered to be unauthorized occupants by the PHA, and the entire household will be subject to eviction. Family members age eighteen (18) and over who move from the dwelling unit to establish new households shall be removed from the lease. The resident must notify the PHA of the move-out within ten (10) days of its occurrence. The resident may not allow visitors to stay overnight without the consent of management for more than fourteen (14) consecutive days in a twelve (12) month period. Any adult not included on the HUD 50058, who has been in the unit more than fourteen (14) consecutive days, or a total of fifteen (15) cumulative days in the month, will be considered to be living in the unit as an unauthorized household member. Absence of evidence of any other address will be considered verification that the visitor is an unauthorized household member. The PHA will consider: 9-9 . Statements from neighbors and/or PHA staff . Vehicle license plate verification . Post Office records . Drivers license verification . Law enforcement reports . Credit reports Use of a unit address as the visitor‘s current residence, for any purpose that is not explicitly temporary, shall be construed as permanent residence. The burden of proof that the individual is a visitor rests on the family. In the absence of such proof, the individual will be considered an unauthorized member of the family, and the PHA will terminate the family’s lease since prior approval was not requested for the addition. Minors and college students who were part of the family, but who now live away from home during the school year, and are not considered members of the household, may visit for up to ninety (90) days per year without being considered a member of the household. In a joint custody arrangement, if the minor is in the household less than one hundred eighty three (183) days per year, the minor will be considered to be an eligible visitor and not a family member. If both parents reside in Public Housing, only one parent would be able to claim the child for deductions and for determination for the occupancy standards. Roomers and lodgers are not permitted to occupy a dwelling unit, nor are they permitted to move in with any family occupying a dwelling unit. Residents are not permitted to allow a former resident of the PHA who has been evicted to occupy the unit for any period of time. Residents must advise the PHA when they will be absent from the unit for more than thirty (30) days and provide a means for the PHA to contact the resident in the event of an emergency. Failure to advise the PHA of extended absences is grounds for termination of the lease. E. LEASING UNITS WITH ACCESSIBLE OR ADAPTABLE FEATURES [24 CFR 8.27(a)(1)(2) and (b)] Before offering a vacant accessible unit to a non-disabled applicant, the PHA will offer such units: 9-10 . First, to a current occupant of another unit of the same development, or other public housing developments under the PHA's control who has a disability that requires the special features of the vacant unit . Second, to an eligible qualified applicant on the waiting list having a disability that requires the special features of the vacant unit The PHA will require a non-disabled applicant to agree to move to an available nonaccessible unit within thirty (30) days when either a current resident or an applicant needs the features of the unit and there is another unit available for the applicant. This requirement will be a provision of the lease agreement. F. UTILITY SERVICES Residents responsible for direct payment of utilities must abide by any and all regulations of the specific utility company, including regulations pertaining to advance payments of deposits. Failure to maintain utility services during tenancy is a lease violation and grounds for eviction. Non-payment of excess utility charge payments to the PHA is a violation of the lease and is grounds for eviction. G. SECURITY DEPOSITS New residents must pay a security deposit per the Schedule of Fees & Charges to the PHA at the time of admission. The PHA will hold the security deposit for the period the resident occupies the unit. The PHA will refund to the resident or designee the amount of the security deposit, less any amount needed to pay the cost of: . Unpaid Rent . Damages listed on the move-out inspection report beyond normal wear and tear . Other charges under the Lease The PHA will refund the security deposit less any amounts owed, within twenty-one (21) days after move out and resident's notification of new address. An itemized list of any deductions along with copies showing the charges incurred for making repairs will be provided to the tenant within 21 days. The PHA will provide the resident or designee identified above with a written list of any charges against the security deposits that are tenant caused items. If the resident disagrees with the amount charged to the security deposit, the PHA will schedule a meeting to discuss the charges. The resident must leave the dwelling unit in a clean and undamaged condition beyond normal wear and tear. All keys to the unit must be returned to the area management office upon vacating the unit. The PHA will not use the security deposit for payment of rent or other charges while the resident is living in the unit. If the resident transfers to another unit, the PHA will collect a new deposit in the amount in effect at the time of the transfer and credit the balance of the prior security deposit, less damages, to the resident’s receivables account. H. RENT PAYMENTS The resident’s rent is due and payable at the PHA-designated location on the first (1st) of every month. If the first (1st) falls on a weekend or holiday, the rent is due and payable on the first business day thereafter. If the PHA does not receive payment by the agreed-upon date, a delinquent rent notice will be sent. I. FEES AND NON-PAYMENT PENALTIES If the resident fails to pay monthly rent by the fifth (5th) day of each month, ( the allocated grace period) a 14-Day Notice to Pay Rent or Quit/3-Day Notice running concurrently will be issued. A late fee will be charged in accordance with the Schedule of Fees and Charges. The resident will be charged for checks that are returned for non-sufficient funds (NSF), or checks written on a closed account according to the Schedule of Fees and Charges. The PHA will always consider the rent unpaid when a check is returned as NSF or a check is written on a closed account and personal checks will no longer be accepted. Payments received will be applied to the oldest charges in the resident's account first. J. SCHEDULE OF FEES & CHARGES The PHA’s Schedule of Fees & Charges for special charges including, but not limited to, services and repairs, which are incorporated into the lease by reference shall be publicly posted in a conspicuous manner in the area management office and will be provided to residents upon request. Included in the schedule of fees & chargers will be amounts for fines for tampering with or dismantling safety equipment in the unit or on PHA property. If you receive a bill for services and repairs, you will be required to pay the entire amount within thirty (30) days from the date of the bill. 9-11 9-12 K. MODIFICATIONS TO THE LEASE Schedules of special charges, rules and regulations are subject to modification or revision. Residents will be provided at least thirty days written notice of the reason(s) for any proposed modifications or revisions, and they will be given an opportunity to present written comments. Comments will be taken into consideration before any proposed modifications or revisions become effective. A copy of such notice shall be posted in the area management office, and: . Personally delivered and/or mailed to the resident at the dwelling unit . In accordance to 966.5 (b), the posting must be in at least 3 three places at each multi-family development in which residents affected by the modifications or revisions are located Any modifications of the lease must be accomplished by a written addendum to the lease and signed by both parties. L. CANCELLATION OF THE LEASE Cancellation of the resident's lease is to be in accordance with the provisions contained in the lease agreement and as stated in this policy. M. INSPECTIONS OF PUBLIC HOUSING UNITS INITIAL INSPECTIONS The PHA and the resident will inspect the premises prior to occupancy of the unit in order to determine the condition of the unit and equipment in the unit. A copy of the initial inspection, signed by the PHA and the resident, will be kept in the resident’s file and a copy will be given to the resident. Any adult member may sign the inspection form for the head of household. VACATE/MOVE-OUT INSPECTIONS The PHA will perform a move-out inspection when the family vacates the unit, and will encourage the resident to participate in the move-out inspection. The purpose of this inspection is to determine necessary maintenance and whether there are damages that exceed normal wear and tear. The PHA will determine the extent of resident caused damages to the unit, beyond normal wear and tear and 9-13 charge according to the Schedule of Fees & Charges. Resident caused damages may affect part or all of the family's security deposit. The move-out inspection also assists the PHA in determining the time and extent of the preparation and repairs necessary to make the unit ready for the next resident. When giving a thirty (30) day notice to vacate, the resident has a right to request an inspection prior to moving out in order to determine what items may need attention or repair. This is to allow the resident the opportunity to complete these repairs and avoid charges against the family’s security deposit. ANNUAL INSPECTIONS The PHA will inspect all units at least annually using HUD's Uniform Physical Condition Standards (UPCS) as a guideline. All inspections will include a check of all smoke alarms to ensure proper working order. Needed repairs will be completed by the PHA, if necessary to bring the unit into UPCS compliance. . Damages beyond "normal wear and tear" will be billed to the resident . Residents who repeatedly "fail" the inspection or cause excessive damage to the unit are in violation of their lease and may be scheduled for a lease violation conference SPECIAL INSPECTIONS The PHA may conduct special inspections, including but not limited to housekeeping, unit condition, or suspected lease violation. HUD representatives or local government officials may review PHA operations periodically and as a part of the monitoring may inspect a sampling of the PHA’s inventory. In order to maintain a high level of fire safety, when responding to general work orders in housing units, the Maintenance Department will also be inspecting smoke detectors for proper function. At this same time the department may also be inspecting other fire, life, and safety equipment. SITE INSPECTIONS The PHA will periodically conduct windshield and/or walk-through inspections to determine whether there may be lease violations, adverse conditions or local code violations. RESIDENT DAMAGES 9-14 Repeated failed inspections including, but not limited to, housekeeping or damages to the unit beyond normal wear and tear may constitute serious or repeated lease violations subject to lease termination. ENTRY OF PREMISES NOTICES The PHA will give forty-eight (48) hours written notice for non-emergency inspections. Non-emergency entries to the unit will be made during reasonable and customary business hours of the day. Reasons the PHA will enter the unit are: . Inspections and maintenance . To make improvements and repairs . Pest control services The PHA can enter the unit without notice if housing staff reasonably believes an emergency exists within the unit. FAMILY RESPONSIBILITY TO ALLOW INSPECTION The PHA must be allowed to inspect the unit at reasonable times (normal business hours) with reasonable notice. Forty-eight (48) hour written notice will be considered reasonable in all cases. EMERGENCY INSPECTIONS Housing staff, including PHA inspectors, may initiate an emergency inspection report to generate a work order if they believe that an emergency exists in the unit or on a Public Housing site. In addition, the inspector may conduct an emergency inspection without a work order and generate a work order after the inspection has been conducted (see Entry of Premises Notices in this chapter.) Emergency work order repairs are to be either abated or completed within twenty-four (24) hours from the time the work order is issued. EMERGENCY REPAIRS TO BE ABATED IN LESS THAN TWENTY-FOUR (24) HOURS The following items are to be considered emergency in nature and require immediate {less than twenty-four (24) hour} response and repair or resolution with 24 hours: . Broken lock, which affects unit security . Broken window glass, which affects unit security, is a cutting hazard, or occurs within inclement weather (to be secured or abated) . Plumbing leaks, which have the capacity to create flooding, or cause damage to the unit . Natural gas leaks or smell of fumes . Backed-up sewage . Electrical hazard 9-15 . Inoperable smoke detectors will be treated as a twenty-four (24) hour emergency and will be made operable by the PHA if the smoke detector is in need of repair. Residents who disengage smoke detectors, or any safety equipment will be cited and fined. NON-INSPECTION EMERGENCY ENTRY The PHA staff will allow access to the unit to proper authorities when issues of health or safety of the resident are concerned. QUALITY CONTROL INSPECTIONS: The housing management staff may conduct periodic quality control inspections to confirm the condition of the unit and to identify problems or issues. N. PEST CONTROL Once yearly, according to a pre-arranged schedule or as required, the pest control technician and a representative of PHA will enter each residence to complete fumigation for the control of vermin and/or roaches, etc. O. TRASH DISPOSAL AND RECYCLE PROGRAM Proper disposal of trash by the resident is required. All trash such as garbage, papers, bottles, and cans, which is unacceptable for recycling, should be securely wrapped and fastened in plastic bags and deposited in the cans or bins provided. Large articles, such as boxes, must be flattened before depositing in cans or bins. The resident should dispose of stuffed furniture, mattresses, tables, chairs etc., on their own at a refuse station. The maintenance department may offer assistance in disposing of furniture (see Schedule of Fees and Charges). Residents residing in multi-family developments must participate in the recycling program if so equipped. Garbage only designated bins are provided for garbage. Recycle bins are available for recycle material including acceptable containers and paper. P. APPLIANCES The PHA supplies stoves in all units. Refrigerators are supplied in all elderly and elderly disabled units and they may be supplied in scattered multi-family housing units. Refrigerators are not supplied in scattered duplexes and single family homes. If residents have their own appliance, where one is otherwise provided, they must make their own arrangements to store the unit. At no time are appliances to be removed from the premises. Proper authorities will be notified to recover stolen appliances. The resident must maintain appliances in an acceptable condition. Requests for repairs should be reported to maintenance. Resident caused damage or neglect will be assessed on a pro-rated basis. No washers and/or dryers are supplied or serviced by the PHA, but they may be installed with appropriate provisions and prior written approval of management. Improper ventilation of a dryer is cause for a lease violation. Q. SCREEN DOORS No screen doors may be installed without management approval (see Screen Door policy). Only screen doors installed by PHA will be repaired. Unauthorized installations will result in tenant charges for screen door removal costs. Unauthorized installations will result in tenant charges for screen door removal costs. R. WINDOW COVERINGS Only shades, blinds, drapes or curtains are acceptable window coverings and must show as white or off white to the outside. Residents are responsible for removal and or repairs of resident installed window coverings. For units without PHA-installed window shades, coverings are required as indicated, and must have prior PHA written approval. S. GARDENING Planter areas in multi-unit complexes are dedicated for PHA use. Agency maintenance personnel and/or contractors provide the ongoing maintenance to these areas. These designated areas are specific to each site and are used for planting shrubs, flowers and other low growing foliage. Planter areas are standardized for each site and bordered by concrete mow strips, sidewalks or lawn turf edges. Some complexes may have space for residents to grow vegetables, flowers, or low growing shrubs, with management written approval, in designated areas only. Requests for gardening shall be made in writing directly to the property manager. The request(s) must show the area to be planted, describe the type of plants and materials to be installed, and indicate the type of any low borders or fencing to be placed in the area. Where borders or fencing are allowed, they will not have a height of more than 1 foot and shall have no sharp or pointed edges. Under no circumstances shall the area of a designated planter be increased and cutting and removing existing turf shall be prohibited. 9-16 If after receiving written approval, the resident fails to water and keep weed free, they will be charged for clean up of any debris and the use privilege will be withdrawn. All watering must be supervised by the resident and no free flowing hoses allowing water to run across sidewalks and into street gutters will be allowed. Residents that have been given written approval for gardening in planter areas will be provided a placard stating “Maintained by Tenant” to be placed in the planter area. T. PARKING Residents are required to park only in designated areas, and ensure that guests and visitors do not park in parking areas of other residents and abide by parking policies adopted by the PHA (see Parking Policy). Residents are to refrain from driving, or parking any vehicles on the lawns, sidewalks, or other areas of use provided under this lease. In multi unit developments, vehicles must be parked front end in first, not backed in. U. INOPERATIVE AND ABANDONED VEHICLES Inoperative vehicles must be promptly removed from PHA property Vehicles must have current registration in resident's name. Failure to supply current registration will result in vehicle being ticketed and towed. Vehicle repairs on PHA property are prohibited. Offenders will receive written notice to discontinue the activity at once. Failure to comply will result in the towing of the vehicle and notification of a lease violation for the tenant. Abandoned vehicles will be removed promptly from PHA property. Management has authorized the PHA to have such vehicles ticketed and towed. Where ownership is known, the owner will be given a written notice to remove the vehicle. If the owner does not comply within forty-eight (48) hours, the vehicle will be towed at owner's expense If a vehicle is given a 48 hour notice, for cure, this notice will serve in perpetuity for the issue it was written and the vehicle will be subject to tow without any further warning. V. MISCELLANEOUS POLICIES HOUSE RULES Rules and regulations are established for the benefit of the residents. Such rules and regulations will be posted and incorporated into the lease by reference. Residents must abide by such rules and regulations. 9-17 EMERGENCY HOUSING In cases of emergency such as fire, flood or natural disaster the PHA may assist with housing arrangements (see ACOP – Chapter 8). In developments where the unit’s front door opens to an indoor common area (corridor), it is prohibited to prop this door open. The door may remain open for normal entry and egress only. W. KEY CONTROL The policy of the housing authority shall be to issue and assign keys or key cards only to individuals who have been screened through a criminal background check and found to be responsible for the proper use and safeguarding of the key or key card. Each adult resident is issued one key or key card for their building or property (if applicable) and one key for their apartment. Residents may apply for additional key(s) for friends, care givers, etc., upon payment of the key duplicating fee. The key(s) or key card shall be assigned to the individual requested by the resident provided that the proposed key assignee consents to and passes a criminal background check using tenant eligibility criteria. Keys may be revoked or recovered from any non-resident who use of the key or actions disrupt the quiet enjoyment of the residents. In serious or repeated incidences of misconduct or misuse of their assigned key, the resident can be held responsible for the misconduct of their guests. X. WADING POOLS Due to property damage, health, safety, liability, and the increased sensitivity to water conservation, the PHA does not allow wading pools of any size within any agency property limits. 9-18 CHAPTER 10 PET POLICY [24 CFR 5 Subpart C and 960 Subpart G] INTRODUCTION AND STATEMENT OF VALUES PURPOSE This pet policy is to establish the PHA’s policy for ownership of pets in elderly, disabled and family housing and to ensure that no applicant or resident is discriminated against regarding admission or continued occupancy because of ownership of pets. The policy also establishes reasonable rules governing the keeping of common household pets. The pet policy is designed to protect both pet owners and non-pet owners, and to ensure the animals receive responsible care. The policy applies to all pets kept in PHA housing. The rules adopted are reasonably related to the legitimate interest of the PHA to provide a decent, safe and sanitary living environment for all residents, to protect and preserve the physical condition of the premises, and to protect the financial interest of the PHA. A. REGISTRATION OF PETS Pets must be registered with the PHA before they are brought onto the premises. Registration must be updated annually, coordinated with the annual recertification date. Proof of license and inoculation must be submitted with the resident’s annual recertification documents. B. NON-APPLICABILITY OF PET POLICY TO ANIMALS THAT ASSIST PERSONS WITH DISABILITIES REASONABLE ACCOMMODATION FOR ASSISTANCE ANIMALS Assistance animals are animals that work, provide assistance, or perform tasks for the benefit of a person with a disability, or provide emotional support that alleviates one or more identified symptoms or effects of a person’s disability. Animals do not necessarily have to be formally trained to qualify as assistance animals however the animal must actually perform the assistance or provide the benefit needed by the person with the disability. Reasonable accommodation requires that there is a relationship between the person’s disability and his or her need for the animal. 10-1 10-2 Assistance animals that are needed as a reasonable accommodation for persons with disabilities are not considered pets, and thus, are not subject to certain portions of the PHA Pet Policy. There is no pet deposit for approved assistance animals. Household members with documented disabilities are exempt from pet deposits, provided the exemption is requested. All other residents requesting exemption from the pet deposit requirement must request a verification of the need for reasonable accommodation for an assistance animal, which must be provided by a licensed physician, attending health care professional, or other qualified professional and submitted on a Verification of Need for Reasonable Accommodation form. The PHA will consider all requests for reasonable accommodation. All provisions of the Lease and Pet Policy/Agreement regarding the responsibilities of pet owners to control the animals, maintain the premises in clean and sanitary condition, and ensure that their animal does not interfere with any neighbors right to enjoy the premises in a safe and peaceful manner that apply to all residents. The PHA retains the right to disapprove an assistance animal as a means to provide a reasonable accommodation for an individual with a disability in the following cases: . There is reliable objective evidence that the animal posses a direct threat to the health or safety of others that cannot be reduced or eliminated by a reasonable accommodation. . There is reliable objective evidence that the animal would cause substantial physical damage to the property of others. . The presence of the assistance animal would pose an undue financial and administrative burden to the PHA. C. ADVANCE PERMISSION, REGISTRATION, AND PET DEPOSITS Permission to keep a pet is granted at the PHA’s sole discretion and is subject to the resident’s strict adherence to all aspects of the Pet Policy/Agreement. Any resident who wishes to keep a pet will first obtain the approval of the PHA, register the pet by complying with the requirements of the Pet Policy/Agreement, pay (or make arrangements to pay) a pet deposit for each qualified pet, and sign a Pet Policy/Agreement. The pet deposit for dogs and cats is two hundred fifty dollars ($250). No pet deposit is required for birds, fish, or rodents/other. Only common household pets will be allowed. These include dogs, cats, fish, birds, rabbits, and rodents such as guinea pigs and hamsters. Residents may be permitted to have two (2) pets, but may not have two dogs or two cats. Dogs: Dogs are limited to no more than one dog in any dwelling unit, and are limited to a maximum adult weight of twenty-five (25) pounds as documented by a veterinarian. They must be housebroken; must be effectively restrained and under the control of a responsible person when passing through common areas; must not be tethered or chained outside or within the dwelling unit; must not be housed outside; and must be leashed when outdoors or in common areas. The dog owner must carry appropriate containment apparatus to promptly and completely remove all fecal matter deposited by dogs in a sanitary manner. Cats: Are limited to no more than one cat in any dwelling unit. Cats must remain inside unless being transported in an appropriate secured carrier and must be trained to use a litter box or other waste receptacle. Litter boxes must be cleaned regularly and the waste disposed of in a sanitary manner. Litter must never be flushed down the toilet. General Conditions for Dogs and Cats: A health certificate must be obtained by a licensed veterinarian and given to the PHA at time of registration of the dog or cat. This certificate must contain, but is not limited to the following information: 1. The name, address and telephone number of the attending veterinarian. 2. Documentation that the dog or cat is in generally good health and free of any communicable diseases or parasites. 3. That the dog or cat has been spayed or neutered or this procedure will be completed prior to 4-6 months of age as recommended by the veterinarian. 4. Documentation that the dog or cat is current on all standardized inoculations with a schedule of future inoculations included. 5. Confirmation of breed, current weight and estimated adult weight. The PHA requires the name, address and telephone number of the veterinarian that will be providing future regular care for the dog or cat and contact information for a responsible adult, other than the resident or a household member, who may be contacted in an emergency. Dogs and cats must be licensed at time of registration and ongoing if specified by local, state or federal mandate. A color photograph must be provided at the time of registration. Other Pets: Pet cages and/or aquariums must be in good repair and be cleaned regularly. Birds: Maximum number two (2). Birds must be contained in an acceptable cage at all times. Fish: Maximum aquarium size twenty (20) gallons or any combination of tanks not to exceed twenty (20) gallons. Fish aquariums must be maintained on stands approved by management. Rodents/Other: Maximum number two (2) rabbits, guinea pigs, hamsters, or gerbils and must be in an acceptable cage at all times. 10-3 10-4 D. PROHIBITED ANIMALS Prohibited animals include, but are not limited to, the following: . Any animal whose weight could exceed twenty-five (25) pounds by maturity. . Dogs or other pets determined to be dangerous, intimidating or vicious. . Chicks or other animals that pose a significant risk of salmonella infection to those who handle them. . Pigeons, doves, mynah birds, psittacine birds of other species that are hosts to the organisms causing psittacosis in humans. . Animals who would be allowed to produce offspring for sale - breeding of any animals are prohibited. E. ADDITIONAL CONDITIONS AND REQUIREMENTS . Residents/pet owners shall not alter their unit, patio, premises, or common areas to create an enclosure for any animal. Installation of pet doors is prohibited . Except as required by law or permitted by the PHA as a reasonable accommodation, pets are not permitted in common areas (except to pass through for ingress or egress) including, but not limited to lobbies, community rooms, kitchens, dining facilities, and laundry areas . Residents are responsible for controlling the noise of pets so that such noise does not constitute a nuisance to other residents or interrupt the quiet enjoyment of their dwelling unit or the premises. This includes, but is not limited to loud or continuous barking, howling, whining, biting, scratching, chirping, or other such activities . No pet (excluding fish) shall be left unattended in any dwelling unit for a period in excess of forty-eight (48) hours . Resident/pet owners shall be responsible for adequate care, nutrition, exercise and medical attention for his/her pet(s) . Resident/pet owners must recognize that other residents may have chemical sensitivities or allergies related to pets or may be easily frightened or disoriented by animals. Pet owners must agree to exercise courtesy with respect to other residents at all times . Resident/pet owners shall take adequate precautions to eliminate any pet odors within or around the dwelling unit and to maintain the unit in sanitary condition at all times . Pet waste must be promptly placed in a sealed plastic bag and deposited in an outside garbage container for disposal . Residents are prohibited from feeding or harboring stray animals including birds . The PHA regularly treats units for pest control, if a pet is the cause for more frequent treatments, all such treatments or specialized treatments, will be charged to the tenant. 10-5 . It will be the responsibility of the tenant to remove any animal that may be harmed by the use of pesticides. F. INSPECTIONS AND OTHER RIGHTS OF THE AUTHORITY . The PHA reserves the right to enter the premises at any time when there is evidence that an animal has been left alone and is in danger or distress. . The PHA reserves the right to seek impoundment and sheltering of any animal found to be maintained in violation of housing rules, pending resolution of any dispute regarding such violation, at the resident’s expense. . The PHA may, after reasonable notice to the resident, during reasonable hours, enter and inspect the premises, in addition to other inspections allowed. This may include, but not be limited to a monthly walk-through inspection to insure the resident is adhering to the Pet Policy/Agreement. G. PET REMOVAL Residents are solely responsible and liable for the conduct or misconduct of pets, whether owned or allowed on PHA premises by the resident. The resident shall take all necessary steps to insure that pets that become vicious or intimidating, display symptoms of severe illness, or demonstrate behavior that constitutes an immediate threat to the health or safety of others, are immediately removed by the resident and/or referred by the resident to the appropriate state or local entity authorized to remove such animals. If the resident fails to fulfill his/her obligation to remove a pet from the premises the PHA may take all necessary steps to remove, or have removed, the pet from the premises. If a pet injures or intimates another resident or anyone in the building or on the grounds of any PHA property, including but not limited to biting, scratching, or assaulting person(s), the pet owner must immediately remove the pet permanently from the premises without direction from the PHA to do so. If the death or incapacity of the pet owner threatens the health or safety of the pet, or other factors occur that render the owner unable to care for the pet, and the designated responsible party is unavailable (or unwilling) to provide a remedy, the PHA will remove the pet from the using any legal remedy available and at the expense of the resident. H. TERMINATION OF TENANCY The PHA may terminate tenancy when the resident has failed to remove the pet or correct a pet rule violation within the time specified in a warning notice. I. DISPOSITION OF PET DEPOSIT(S) All reasonable expenses incurred by the PHA as a result of damages directly attributable to the presence of the pet will be the responsibility of the resident including, 10-6 but not limited to the cost of fumigation, repairs and/or replacement to the resident’s dwelling unit or common areas. The pet deposit is fully refundable upon removal of the pet or the household’s move out of housing if the PHA determines that there are no damages or other expenses caused by the pet. If upon removal of the pet or the household’s move out of housing, the cost of repairing any damages caused by the pet exceeds the pet deposit, management will use funds from the resident’s regular security deposit to cover the expense. The resident will be billed for any amount owed in excess of the pet deposit and security deposit. J. LIABILITY Residents shall be held solely responsible and liable for the conduct or misconduct of their pet(s). The Housing Authorities of the City and County of Sacramento and their representatives will not be held responsible for any accident or injury involving residents, guests, or visitors to the premises as a result of allowing pets. K. REFUSAL TO REGISTER PETS The PHA shall not refuse to register a pet based on the determination that the pet owner is financially unable to care for the pet. If the PHA refuses to register a pet, written notification will be sent to the pet owner stating the reason for denial and shall be served in accordance with HUD notice requirements. The PHA will refuse to register a pet if: . The pet is not allowed under Section D, Prohibited Pets as found in this policy. . Keeping the pet would violate any House Pet Rules. . The pet owner fails to provide complete pet registration information, or fails to update the registration annually. . The PHA reasonably determines that the pet owner is unable to keep the pet in compliance with the pet rules and other lease obligations. Attributes of the pet including, but not limited to temperament and behavior will be considered as a factor in determining the pet owner’s ability to comply with provisions of the lease. L. PETS TEMPORARILY ON THE PREMISES Pets not owned by the resident will not be allowed on the premises. This rule excludes visiting pet programs sponsored by a humane society or other non-profit organization and approved by the PHA. But even with visiting pet programs the PHA reserves the right to limit the type of animal to those listed in section C of this chapter. In the event the PHA’s policy conflicts with state or local law, state or local laws governing pets temporarily in dwelling accommodations shall prevail. In all cases, the resident will be responsible for all liability, financial or otherwise, for the action of any pet knowingly allowed in their residence. 10-7 10-8 Chapter 11 RECERTIFICATIONS [24 CFR 5.617, 24 CFR 960.209] INTRODUCTION In accordance with HUD requirements, the PHA will reexamine the income and household composition of all families at least annually. Families will be provided accurate annual and interim rent adjustments. Annual recertifications and interim examinations will be processed in a manner that ensures families are given reasonable notice of rent increases. All annual activities will be coordinated in accordance with HUD regulations. It is a HUD requirement that families report all changes in household composition, but the PHA decides what other changes must be reported and the procedures for reporting them. This chapter defines the PHA's policy for conducting annual recertifications and coordinating annual activities. It also explains the interim reporting requirements for families, and the standards for timely reporting. A. ELIGIBILITY FOR CONTINUED OCCUPANCY Residents who meet the following criteria will be eligible for continued occupancy: . Qualify as a family as defined in this policy . Are in full compliance with the obligations and responsibilities described in the dwelling lease . Whose family members, age six (6) and older, each have submitted their Social Security numbers or have certifications on file that they do not have a Social Security number . Whose family members have submitted required citizenship/eligible immigration status/non-contending documents . Compliance with the Community Service requirements B. ANNUAL RECERTIFICATIONS The terms annual recertification and annual reexamination are synonymous. At least annually, the resident is required to provide the PHA with accurate and current information as stipulated in the Lease. In order to be recertified, families are required to provide current and accurate information on income, assets, allowances and deductions, and family composition. Transfers That Occur Around the Time of the Annual Reexamination If the family transfers, an interim recertification will be conducted (unless a recertification was completed with an effective date of action within the last 120 days). If the move occurs prior to, but close to the time (within 120 days) of the regularly scheduled annual reexamination, an interim reexamination will be conducted first, so that current income is used to determine tenant rent for the new lease. The interim reexamination will be followed by the regularly scheduled annual reexamination, at which time the next reexamination date will be changed to the next year. This two-step method ensures that current income is used for new leases and ensures a complete annual reexamination is performed while allowing the recertification month to remain the same as the original admission month. REEXAMINATION NOTICE TO THE FAMILY The PHA will maintain a reexamination tracking system and the household will be notified by mail at least ninety (90) days in advance of the anniversary date. If requested as an accommodation by a person with a disability, the PHA will provide the notice in an accessible format. The PHA will also mail the notice to a third party, if requested as reasonable accommodation for a person with disabilities. These accommodations will be granted upon verification that they meet the need presented by the disability. COMPLETION OF ANNUAL RECERTIFICATION The PHA will have all recertifications for families completed before the anniversary date. This includes notifying the family of any changes in rent at least thirty (30) days before the scheduled date of the change in family rent. RECERTIFICATION BY MAIL – (AS A REASONABLE ACCOMMODATION) The PHA will permit the family to submit annual and interim recertification forms through the mail, or a home visit may be conducted, when the PHA has determined that the request is necessary as a reasonable accommodation. The mail-in packet will include notice to the family of the PHA’s deadline for returning the completed forms to the PHA. If there is more than one adult member in the household, but only one is disabled, recertifications will be required and will not be processed through the mail. In such cases, the able adult family members come in for the appointment and then take the necessary forms home to the member with a disability for completion and signature. HOME VISITS – (AS A REASONABLE ACCOMMODATION) When requested and where the need for reasonable accommodation has been established, the PHA will conduct home visits to residents to conduct annual and interim recertifications. 11-1 11-2 Requests for home visit recertifications must be received by the PHA at least five (5) days before the scheduled appointment date in order for the request to be considered. The PHA will not consider home visit recertifications that are requested after the scheduled appointment has been missed. However, the PHA may grant an exception to this policy on a case by case basis. COLLECTION OF INFORMATION The PHA has established appropriate recertification procedures necessary to ensure that the income data provided by families is complete and accurate. The family is required to complete a Data Collection form prior to all annual recertification interviews. REQUIREMENTS TO ATTEND All family members over the age of 18 must attend the annual recertification. FAILURE TO RESPOND TO NOTIFICATION TO RECERTIFY If the family does not appear for the recertification interview, and has not rescheduled or made prior arrangements with the PHA, the PHA will reschedule a second appointment. If the family fails to appear for the second appointment, and has not rescheduled or made prior arrangements, the PHA will terminate tenancy for the family. Supervisory or designated staff may make exceptions to these policies, if the family is able to document an emergency situation that prevented them from canceling or attending the appointment, or if requested, as a reasonable accommodation for a person with a disability. DOCUMENTS REQUIRED FROM THE FAMILY In the notification letter to the family, the PHA will include instructions for the family to bring the following: . Most recent IRS Tax filing and all most recent W2 forms . Documentation of income for all family members . Documentation of liquid and non-liquid assets . Documentation to substantiate any deductions or allowances . Personal declaration form completed by head of household . Other documents as required (including release forms for criminal record information) . Complete recertification packet 11-3 If there has been a misrepresentation or a material omission by the family, or if the family causes a delay in the reexamination processing, there will be a retroactive increase in rent to the scheduled effective date of the annual recertification unless reported and resolved 40 days prior to annual effective date. VERIFICATION OF INFORMATION All information affecting the family's continued eligibility for the program and the family's Total Tenant Payment (TTP) will be verified in accordance with the verification procedures and guidelines described in this policy. All verifications will be placed in the file, which has been established for the family. When the information has been verified, it will be analyzed to determine: . The continued eligibility of the resident as a family or as the remaining member of a family . The unit size required by the family . The amount of rent the family should pay CRIMINAL RECORD CHECKS ON EXISTING RESIDENTS In an effort to maintain safe and healthy environments for public housing residents and nearby neighborhoods, the PHA must ensure that families have met their obligation to comply with HUD regulations. Release forms for the PHA to obtain criminal records will be obtained at the time of annual recertification. Criminal background checks will be run (as dictated by policy). Criminal record checks may be obtained on existing residents on a random basis, by individual sites, or on individual residents, if there is reasonable cause to suspect that the resident is in violation of the family obligation not to engage in drug or violent criminal activity on or off the premises. Resident screening would be performed only for those violations for which a person could lawfully be terminated from public housing. CHANGES IN THE RESIDENT RENT If there is any change in rent, the lease will be amended, or a new lease will be executed, or a Notice of Rent Adjustment will be issued. RESIDENT RENT INCREASES If the resident rent increases, a notice is mailed to the resident 30 days prior to the effective date of the increase. If less than thirty (30) days are remaining before the scheduled effective date of the annual recertification, the resident rent increase will be effective on the first of the month following the thirty-day notice. If there has been a misrepresentation or a material omission by the family, or if the family causes a delay in the reexamination processing, there will be a retroactive increase in rent to the scheduled effective date of the annual recertification. RESIDENT RENT DECREASES In cases where the tenant rent decreases when the reexamination is submitted by the family and completed as an annual reexamination, the effective date will be the first of the month of the anniversary date. If the family causes a delay so that the processing of the reexamination is not complete by the anniversary date, rent change will be effective on the first (1st) day of the month following completion of the reexamination processing by the PHA. If the resident rent decreases and the resident reported the change within a month prior to the annual recertification anniversary date or between the annual recertification anniversary date and the effective date of the annual recertification, the change will be treated as an interim reexamination. The change will be effective the first (1st) of the following month that the family reported the change. In this case, the PHA processes and submits another HUD 50058 as an annual recertification. C. REPORTING INTERIM CHANGES HOUSEHOLD COMPOSITION Families must report all changes in household composition within fifteen (15) days to the PHA between annual reexaminations. This includes additions due to birth, adoption and court-awarded custody. The family must obtain PHA approval prior to all other additions to the household. When there is a change in head of household or a new adult family member is added, the PHA will complete an application for continued occupancy and re-verify, using the same procedures the PHA staff would use for an annual reexamination, except for effective dates of changes. In such case, the Interim Reexamination Policy would be used. The annual reexamination date will not change as a result of this action. If an adult family member is declared permanently absent by the head of household, the notice must contain a certification by the head of household or spouse that the member (who may be the head of household) removed is permanently absent. The head of household must provide a statement that the head of household or spouse will notify the PHA if the removed member wants to return to the household. Prior to 11-4 11-5 their return to the household the family must fill out a request to add form, and it must be approved by the PHA. The U.S. citizenship/eligible immigrant status of new family members must be declared and verified prior to the approval by the PHA of the family member being added to the lease. Residents are required to complete a “request to add member to household”. INCREASE IN FAMILY SIZE The PHA will consider a unit transfer (if needed under the occupancy guidelines) for additions to the family in the following cases: . Addition by marriage/or marital-type relation . Addition of a minor who is a member of the nuclear family who had been living elsewhere . Addition of a PHA-approved live-in attendant . Addition due to birth, adoption or court-awarded custody Families who need a larger sized unit because of voluntary additions will have lower priority on the transfer list than other families who are required by the PHA to change unit size. If a change due to birth, adoption, court-awarded custody, or need for a live-in attendant causes overcrowding and thus requires a larger size unit, the change in unit size shall be made effective upon availability of an appropriately sized unit. DEFINITION OF TEMPORARILY/PERMANENTLY ABSENT The PHA must compute all applicable income of every family member who is on the lease, including those who are temporarily absent. In addition, the PHA must count the income of the spouse, co-head or the head of the household if that person is temporarily absent. Income of persons permanently absent will not be counted. If the spouse is temporarily absent and in the military, all military pay and allowances (except hazardous duty pay when exposed to hostile fire and any other exceptions to military pay HUD may define) is counted as income. It is the responsibility of the head of household to report changes in family composition. The PHA will evaluate absences from the unit in accordance with this policy. ABSENCE OF ANY MEMBER Any member of the household will be considered permanently absent if s/he is away from the unit thirty (30) consecutive days in a twelve- (12) month period except as otherwise provided in this chapter. If a member of the household is subject to a court 11-6 order that restricts him/her from the home for more than thirty (30) days, the person is considered permanently absent. Full time students, under the age of twenty-four (24), who attend school away from the home and live with the family during school recess, will be considered temporarily absent from the household. ABSENCE OF ENTIRE FAMILY These policy guidelines address situations when the family is absent from the unit, but has not moved out of the unit. In cases where the family has moved out of the unit, the PHA may terminate tenancy in accordance with the appropriate lease termination procedures contained in this Policy. However, families are required to notify the PHA before they move out of a unit in accordance with the lease and to give the PHA information about any family absence from the unit. During the period of absence, the rent and other charges must remain current. Families must notify the PHA if they are going to be absent from the unit for more than fourteen (14) consecutive days. A person with a disability may request an extension of time as a reasonable accommodation. "Absence" means that no authorized family member is residing in the unit. In order to determine if the family is absent from the unit, the PHA may: . Conduct home visit . Write letters to the family at the unit . Post letters on exterior door . Telephone the family at the unit . Interview neighbors . Verify if utilities are in service . Check with Post Office for forwarding address . Contact emergency contact If the entire family is absent from the unit, without PHA permission, for more than thirty (30) consecutive days, the unit will be considered to be vacant and the PHA may terminate tenancy. ABSENCE DUE TO MEDICAL REASONS If any family member leaves the household to enter a facility such as hospital, nursing home, or rehabilitation center, the PHA will seek advice from a reliable qualified source as to the likelihood and timing of their return. If the verification indicates that the family member will be permanently confined to a nursing home, the family member will be considered permanently absent. If the verification indicates that the family member will return in less than one hundred-twenty (120) consecutive days, the family member will not be considered permanently absent, as long as rent and other charges remain current. If the person who is determined to be permanently absent or deceased and is the sole member of the household, assistance will be terminated in accordance with the PHA's "Absence of Entire Family" policy. ABSENCE DUE TO INCARCERATION Any member of the household will be considered permanently absent if s/he is incarcerated for thirty (30) or more consecutive days. The rent and other charges must remain current during this period, and may result in the termination of the lease. The PHA will determine if the reason for incarceration is for drug-related or criminal activity, which would threaten the health, safety and right to peaceful enjoyment of the dwelling unit by other residents. FOSTER CARE AND ABSENCES OF CHILDREN If the family includes a child or children temporarily absent from the home due to placement in foster care, the PHA will determine from the appropriate agency when the child/children will be returned to the home. If the time period is to be greater than six (6) months from the date of removal of the child(ren), the child will be considered permanently absent from the unit and the unit size will be reduced in accordance with the PHA's occupancy guidelines. CARETAKER FOR CHILDREN If neither parent remains in the household, and the appropriate agency has determined that another adult is to be brought into the assisted unit to care for the children for an indefinite period, the PHA will treat that adult as a visitor for the first fourteen (14) days. The caretaker will be allowed to remain in the unit, as a visitor, until a determination of custody is made. If, court-awarded custody or legal guardianship has been awarded to the caretaker, and the caretaker qualifies under all program criteria, the lease will be transferred to the caretaker, who becomes the head of household. If the court has not awarded custody or legal guardianship, but the action is in process, the PHA will secure verification from social services staff or the attorney as to the status. The PHA will work with the appropriate service agencies to provide a smooth transition in these cases. 11-7 11-8 ABSENCE DUE TO FULL-TIME STUDENT STATUS Full time students under twenty-four (24) years of age, who attend school away from the home, will be treated in the following manner: . A student (other than head of household or spouse) who attends school away from home but lives with the family during school recesses may, at the family's choice, be considered either temporarily or permanently absent. . If the family decides that the member is permanently absent, income of that member will not be included in total household income, the member will not be included on the lease, and the member will not be included for determination of unit size. . If the family decides that the member is temporarily absent, income of that member will be included in total household income, the member will be included on the lease, and the member will be included for determination of unit size INCOME INCREASES IN INCOME TO BE REPORTED Families are required to report all increases in income or assets that occur between regularly scheduled annual recertifications. (See C. Reporting Interim Changes.) Increases in income, less than two hundred dollars ($200) per month, between annual recertifications will be noted in the file, but a rent adjustment will not be calculated until the next annual recertification or the addition of a household member. DECREASES IN INCOME AND RENT ADJUSTMENTS Residents may report a decrease in income and other changes, such as an increase in allowances or deductions, which would reduce the amount of the total tenant payment. The PHA will process the rent adjustment unless the PHA confirms that the decrease in income will last less than thirty (30) days. If the family causes a delay in the processing of the reexamination, rent change will be effective on the first day of the month following completion of the reexamination processing by the PHA. OTHER INCOME ISSUES For families reporting zero income, an interim reexamination will be performed every ninety (90) days. In the following circumstances, the PHA may conduct the interim recertification by mail: 11-9 . As a reasonable accommodation when requested. (see Chapter 1 - Statement of Policies and Objectives) D. INCOME CHANGES RESULTING FROMWELFARE PROGRAM REQUIREMENTS The PHA will not reduce the public housing rent for families whose welfare assistance is reduced specifically because of: . Fraud . Failure to participate in an economic self-sufficiency program . Non-compliance of welfare requirements . Noncompliance with a work activities requirement However, the PHA will reduce the rent if the welfare assistance reduction is a result of: . The expiration of a lifetime time limit on receiving benefits . A situation where the family has complied with welfare program requirements but cannot or has not obtained employment . The family has complied with welfare program requirements, but the durational time limit, such as a cap on the length of time a family can receive benefits, causes the family to lose their welfare benefits VERIFICATION BEFORE DENYING A REQUEST TO REDUCE RENT The PHA will obtain written verification from the welfare agency stating that the family’s benefits have been reduced due to fraud or noncompliance with welfare agency economic self-sufficiency or work activities requirements before denying the family’s request for rent reduction. The PHA will rely on the welfare agency’s written notice to the PHA regarding welfare sanctions. COOPERATION AGREEMENTS The PHA has an unwritten cooperation agreement in place with the local welfare agency that assists the PHA in obtaining the necessary information regarding welfare sanctions. The PHA has taken a proactive approach to culminating an effective working relationship between the PHA and the local welfare agency for the purpose of targeting economic self- sufficiency programs throughout the community that are available to public housing residents. 11-10 E. TIMELY REPORTING OF CHANGES IN INCOME (AND ASSETS) STANDARD FOR TIMELY REPORTING OF CHANGES The PHA requires that families report interim changes in writing to the PHA within thirty (30) days of when the change occurs. Any information, document or signature needed from the family, which is needed to verify the change, must be provided, in writing, within thirty (30) working days from the date the information or signatures are requested from the family. . If the change is not reported within the required time period, or if the family fails to provide signatures, certifications or documentation, (in the time period requested by the PHA), it will be considered untimely reporting. PROCEDURES WHEN THE CHANGE IS REPORTED IN A TIMELY MANNER The PHA will notify the family of any changes in resident rent to be effective according to the following guidelines: . Increases in the resident rent are effective at annual recertification or when there is a change in the household composition . Decreases in the resident rent are effective the first (1st) of the month following the month in which the change is reported The change will not be made until the third party verification is received. PROCEDURES WHEN THE CHANGE IS NOT REPORTED BY THE RESIDENT IN A TIMELY MANNER If the family does not report the change as described under Timely Reporting, the family will have caused an unreasonable delay in the interim reexamination processing and the following guidelines will apply: . Increase in resident rent will be effective at time of annual recertification or retroactive to the date it would have been effective had it been reported on a timely basis. The family will be liable for any underpaid rent, and may be required to sign a repayment agreement. . Decrease in resident rent will be effective on the first of the month following completion of processing by the PHA and not retroactively. PROCEDURES WHEN THE CHANGE IS NOT PROCESSED BY THE PHA IN A TIMELY MANNER "Processed in a timely manner", means that the change goes into effect on the date it should when the family reports the change in a timely manner. If the change cannot be made effective on that date, the change is not processed by the PHA in a timely manner. 11-11 Therefore, an increase will be effective after the required thirty (30) day notice prior to the first of the month after completion of processing by the PHA. If the change resulted in a decrease, the overpayment by the family will be calculated retroactively to the date it should have been effective, and the family will be credited for the amount. F. REMAINING MEMBER OF RESIDENT FAMILY – RETENTION OF UNIT To be considered the remaining member of the resident family, the person must have been previously approved by the PHA to be living in the unit. A live-in attendant, by definition, is not a member of the family and will not be considered a remaining member of the family. A reduction in family size will require a transfer to an appropriate unit size per the occupancy standards. This transfer will take place per policy and when an appropriate unit is available. G. CHANGES IN UNIT SIZE The PHA shall grant exceptions from the occupancy standards if the family requests and the PHA determines the exceptions are justified according to this policy. When an approvable change in the circumstances in a resident family requires another unit size, the family's move depends upon the availability of a suitable size and type of unit. If the unit is not available at the time it is requested, the family will be placed on the Transfer List (see Chapter 5 - Occupancy Guidelines). H. CONTINUANCE OF ASSISTANCE FOR "MIXED" FAMILIES Under the Non-Citizens Rule, "Mixed" families are families that include at least one citizen or eligible immigrant and any number of ineligible members. "Mixed" families who were participants on June 19, 1995, shall continue receiving full assistance if they meet the following criteria: . The head of household or co-head or spouse is a U.S. citizen or has eligible immigrant status; and . The family does not include any person (who does not have eligible immigrant status) other than the head or spouse, or parents or children of the head, cohead or spouse Mixed families who qualify for continued assistance after 11/29/96 may receive prorated assistance only. If they do not qualify for continued assistance, the member(s) that cause the family to be ineligible for continued assistance may move, or the family may choose prorated assistance (See Chapter 6 – Determination of Total Tenant Payment). The PHA may no longer offer temporary deferral of termination (see Chapter 12 -Lease Terminations). 11-12 12-1 CHAPTER 12 LEASE TERMINATIONS [24 CFR 966.4] INTRODUCTION The PHA may terminate tenancy for a family because of the family's action or failure to act in accordance with HUD regulations (24 CFR 966.4 (l)(2)), and the terms of the lease. This chapter describes the PHA's policies for notification of lease termination and provisions of the lease. A. TERMINATION BY RESIDENT The resident may terminate the lease by providing the PHA with a written thirty (30) days advance notice as defined in the lease agreement. B. TERMINATION BY PHA The lease may be terminated by the PHA at any time by giving written notice for violation of material terms of the lease, such as, but not limited to the following: . Nonpayment of rent or other charges due under the lease, or chronic late payment of rent (late more than four times in a twelve-month period) . Failure to pay reasonable charges (other than for normal wear and tear) for the repair of damages to the premises, project buildings, facilities, equipment, or common areas . Failure to provide, pay for and maintain all utilities not furnished by the Housing authority . Failure to provide timely and accurate statements of income, assets, expenses and family composition at admission, interim, special or annual rent recertification’s . Non-compliance with non-citizen rule requirements . Discovery, after admission, of any inaccurate facts or omission of information that would have made the resident ineligible . Use of the premises for purposes other than solely as a dwelling unit for the resident and resident's household as identified in this Lease, or permitting its use for any other purposes . Assignment or subleasing of the premises or providing accommodation for boarders or lodgers and/or allowing previous residents that have been evicted and or had their lease terminated by the housing authority access to and/or on property or premises 12-2 . Failure to abide by posted house rules, necessary and reasonable rules and/or other notices made by the PHA for the benefit and well being of the housing development and the residents . Alcohol abuse that the PHA determines interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents . Failure to abide by applicable building and housing codes materially affecting health and/or safety . Failure to dispose of garbage waste and rubbish in a safe and sanitary manner and/or non compliance with recycling protocol . Failure to dispose of pet waste or control pet(s) (i.e.; use of leash, barking dog, loose cat etc.) in accordance with pet policy and agreement. Feeding or harboring stray or wild animals . Failure to use electrical, plumbing, heating, ventilating, air conditioning and other equipment, including elevators, in a safe manner . Acts of destruction, defacement or removal of any part of the premises, or failure to cause guests to refrain from such acts . Failure to report criminal activity, arrests, convictions, at annual recertifications (add a self certification that resident and/or members of household have not been involved in any criminal activity . Criminal or other activity by a member of the household that threatens the health and safety of other public housing residents in the immediate vicinity of the premises . Criminal activity by a member of the household that threatens the health and safety of PHA staff . The resident, any member of the resident's household, or a guest or other person under the resident's control shall not engage in drug-related or violent criminal activity, in, on or near public housing premises (as defined in the lease), while the resident resides in public housing. Such criminal activity shall be cause for termination of tenancy. The term "drug-related criminal activity" means the illegal manufacture, sale, distribution, use or possession with intent to manufacture, sell, distribute, or use, a controlled substance (as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802)). If contraband or a controlled substance is seized on the above premises, incidental to a lawful search or arrest, the landlord (the PHA) will bring an unlawful detainer against that resident . Violating a condition of probation or parole imposed under federal or state law . Fleeing to avoid prosecution, custody, or confinement after conviction for a crime, or attempt to commit a crime that is a felony under the laws of the place from which the tenant flees . Other good cause C. NOTIFICATION REQUIREMENTS The PHA's written Notice of Lease Termination will state the reason for the proposed termination, the date that the termination will take place, and it will offer the resident all 12-3 of the rights and protections afforded by the regulations and this policy (see Chapter 13 - Complaints, Grievances and Appeals). Notices of lease termination shall be in writing and delivered to resident and all adult member(s) of the household or sent by first class mail properly addressed to resident. The notice shall contain a statement describing the resident's right to meet with the site manager to determine whether a reasonable accommodation would eliminate the need for a lease termination. Notice shall also be given to resident that if they are evicted and/or lease is terminated for any reason they are no longer welcome on SHRA property at any time for any reason. TIMING OF THE NOTICE If the PHA terminates the lease, written notice will be given as follows: . At least fourteen (14) days prior to termination in the case of failure to pay rent . A three-day notice may be served based on the seriousness of the offense and taking into consideration the health and safety of other residents or PHA employees. . At least thirty (30) days prior to termination in all other cases The PHA shall notify the Post Office that mail should no longer be delivered to the person who was evicted for criminal activity, including drug-related criminal activity. DRUG RELATED CRIMINAL ACTIVITY The PHA must immediately and permanently terminate tenancy of persons convicted of manufacturing or producing methamphetamine on the premises of the assisted housing project in violation of any federal or state law. "Premises" is defined as the building or complex in which the dwelling unit is located, including common areas and grounds. The PHA will terminate assistance of participants in cases where the PHA determines there is reasonable cause to believe that the person is illegally using a controlled substance or engages in drug-related or other criminal activity. The same will apply if it is determined that the person abuses alcohol in a way that interferes with the health, safety or right to peaceful enjoyment of the premises by other residents. This includes cases where the PHA determines that there is a pattern of illegal use of controlled substances or a pattern of alcohol abuse. The PHA will consider the use of a controlled substance or alcohol abuse to be a pattern if there is more than one incident during the previous eighteen (18) months. The PHA may permit continued occupancy provided the family accepts imposed conditions that the involved family member(s) does not reside in the unit. The PHA will consider evidence that the person is no longer in the household such as a divorce 12-4 decree/incarceration/ death/copy of a new lease for the person including the owner's telephone number and address/or other substantiating evidence. D. RECORD KEEPING A written record of every termination and/or eviction shall be maintained by the PHA at the development office where the family was residing, and shall contain the following information: . Name of resident, number and identification of unit occupied . Date of the Notice of Lease Termination and any other notices required by state or local law; these notices may be on the same form and will run concurrently . Specific reason(s) for the notices, citing the lease section or provision that was violated, and other facts pertinent to the issuing of the notices described in detail (other than the Criminal History Report) . Date and method of notifying the resident . Summaries of any conferences held with the resident including dates, names of conference participants, and conclusions E. TERMINATIONS DUE TO INELIGIBLE IMMIGRATION STATUS If the PHA determines that a family member has knowingly permitted an ineligible individual to reside in the family's unit on a permanent basis, the family's assistance will be terminated for thirty-six (36) months. This provision does not apply to a family if the eligibility of the ineligible individual was considered in calculating any proration of assistance provided. 13-1 CHAPTER 13 COMPLAINTS, GRIEVANCES AND APPEALS [24 CFR 966.50-966.57] INTRODUCTION It is the policy of the PHA to ensure that all families have the benefit of all protections due to them under the law. Therefore, the PHA has established a grievance procedure which affords all residents the opportunity to be heard when a resident disputes, within a reasonable time, any PHA action or failure to act involving the resident’s lease with the PHA or PHA regulations which adversely affect the individual resident’s rights, duties, welfare or status. Grievances shall be handled in accordance with the Authority’s approved grievance procedures. The written grievance procedure is incorporated into this document by reference and is the guideline to be used for grievances and appeals. Grievance procedures are not applicable to the following issues: . Disputes with non-residents . Disputes between residents not involving the PHA . Disputes between a live-in aide and the PHA . Disputes not involving the PHA . Disputes involving drugs, violence, felony conviction or non-payment of rent . Class grievances A. COMPLAINTS It is the PHA’s intention to process all complaints/issues in a timely manner. To accomplish this, the PHA has developed a process utilizing a Tenant Management Communication Form (TMC) through which all complaints are initiated. Residents will fill out this form stating the issue and the form will be assigned to the appropriate department. The person filing the complaint is considered the complainant for purposes of this document. The tenant will receive a copy of the form for their records and a copy will be kept at the management office at all times as documentation of the tenant’s concern(s). Complaints regarding the condition of a unit or conditions of the grounds or common areas may be reported directly by phone to the management office. Anonymous complaints are checked whenever possible. The PHA requires that all other complaints be put in writing. 13-2 Complaints from families. If a family disagrees with an action or inaction of the PHA, complaints will be referred to the site manager. Complaints regarding repairs of the units will be reported by phone to the management office. Complaints from staff. When a person reports a family is violating or has violated a lease provision or is not complying with program rules, the complaints will be referred to the site manager. Complaints from the general public. Complaints or referrals from persons in the community in regards to the PHA or a family will be referred to the appropriate staff for processing. B. INFORMAL REVIEW PROCEDURES FOR APPLICANTS PREFERENCE DENIALS When the PHA denies a preference to an applicant, the family will be notified in writing of the specific reason(s) for the denial and offered the opportunity for a meeting with PHA staff to discuss the reasons for the denial and to dispute the PHA's decision. The person who conducts the meeting will be an employee of the PHA who is at or above the level of housing specialist, but not the employee who made the decision. ASSISTANCE DENIALS Informal reviews are provided for applicants who are denied assistance. The exception is that when an applicant is denied assistance for citizenship or eligible immigrant status, the applicant is entitled to a formal hearing. When the PHA determines that an applicant is ineligible for the program, the family must be notified of their ineligibility in writing. The notice must contain: . The reason(s) they are ineligible . The procedure for requesting a review if the applicant does not agree with the decision . The time limit for requesting a review When denying admission for criminal activity as shown by a criminal record, the PHA will provide the subject of the record and the applicant with a copy of the criminal record upon which the decision to deny was based. 13-3 The PHA must provide applicants with the opportunity for an informal review of decisions denying: . Qualification for preference . Listing on the PHA's waiting list . Participation in the program Informal reviews are not required for established policies and procedures and PHA determinations such as: . Discretionary administrative determinations by the PHA . General policy issues or class grievances . A determination of the family unit size under the PHA subsidy standards . Determination that unit is not in compliance with UPCS . Determine that unit is not in accordance with HQS due to family size or composition PROCEDURE FOR REVIEW A request for an informal review must be received in writing by the close of the business day, no later than the number of days from the date of the PHA's notification of denial. Example, a 14 day notice has a 14 day review. The informal review will be held within thirty (30) days from the date the request is received. The informal review may not be conducted by the person who made or approved the decision under review, nor a subordinate of such person. The applicant will be given the option of presenting oral or written objections to the decision. Both the PHA and the family may present evidence and witnesses. The family may use an attorney or other representative to assist them at their own expense. The review may be conducted by mail and/or telephone if acceptable to both parties. A notice of the review findings will be provided in writing to the applicant within fifteen (15) days after the review. It shall include the decision of the reviewer, and an explanation of the reasons for the decision. All requests for a review, supporting documentation and a copy of the final decision will be retained in the family's file. 13-4 C. INFORMAL REVIEW PROCEDURES FOR RESIDENTS When a resident has a complaint or issue (not related to a Termination of Assistance Notice) and has gone through the procedure of filing a Tenant Management Communication Form and wants further clarification or review of a particular issue, the resident may request and informal review of that issue. This review will not be offered to a resident that has received a Termination of Assistance Notice, ie: 3 Day, 14 Day or 30 Day notices. If a resident has received a Termination of Assistance Notice and they have discussed the reasons for such termination with their manager and have not reached a resolution to the issues they must go directly to a Formal Review (see section below). REQUEST FOR INFORMAL REVIEW In order to request an informal review, the resident needs to present their request either orally or in writing to the area PHA office. An informal review date and time will be determined within 10 working days from receipt of the informal review request and the resident will be notified in writing of the date, time and location of the review. Both the manager of the property where the complainant resides and a designated supervisory staff will conduct the informal review. SUMMARY OF DISCUSSION A summary of such discussion shall be prepared within seven (7) days from the date of the informal review and one copy shall be given to the tenant and one retained in the PHA’s tenant file. The summary shall specify the names of the participants, dates of meeting, the nature of the proposed disposition of the complaint and the specific reasons therefore. D. FORMAL HEARING PROCEDURES FOR RESIDENTS The PHA must provide participants with the opportunity for a formal hearing for decisions related to any of the following PHA determinations: . Determination of the family's annual or adjusted income and the computation of the housing assistance payment . Appropriate utility allowance used from schedule . Family unit size determination under PHA subsidy standards . Determination to terminate a family’s FSS contract, withholds supportive services, or proposes forfeiture of the family's escrow account. 13-5 . Termination of assistance under a 30 Day When a tenant is served a 30 Day Notice of Termination of Tenancy, the resident will be entitled to request a Formal Hearing. An informal review may be held but the resident is strongly encouraged to contact their manager to try and resolve the issues listed in the Notice of Termination of Assistance prior to requesting a Formal Hearing. The PHA will provide the opportunity for a formal hearing before termination of assistance except when the expedited formal hearing procedures are invoked due to the nature and seriousness of the reasons that led up to the lease termination. Formal hearings are not required for established policies and procedures and PHA determinations such as: 1. Discretionary administrative determinations by the PHA 2. General policy issues or class grievances 3. Establishment of the PHA schedule of utility allowances for families in the program 4. A PHA determination not to approve a unit or lease 5. A PHA determination that an assisted unit is not in compliance with UPCS (PHA must provide hearing for family breach of UPCS because that is a family obligation determination) 6. PHA determination that the unit is not in accordance with UPCS because of the family size REQUEST FOR A FORMAL HEARING In order to request an formal hearing, the complainant must personally present a grievance orally or in writing to the resident’s housing office within ten (10) days of service of a Notice of Action or seven (7) days from receipt of a Notice of Summary of Discussion of the informal review, if one was held. The written request shall specify: 1. The reasons for the grievance 2. The action or relief sought SELECTING THE HEARING OFFICER [966-55] The grievance hearing shall be conducted by an impartial person or persons appointed by the PHA, other than a person who made or approved the PHA action under review or a subordinate of such person. The PHA will use the “Professional Services Procurement Process” to determine the most qualified hearing officer, and will consult with the resident organizations before PHA appointment of a hearing officer or panel. , Conduct of Formal Hearing The Formal Hearing Officer is an unbiased individual who is not an employee but contracted by the PHA. The Formal Hearing Officer will accept relevant information from the PHA and from the resident/resident’s representative sufficient to arrive at a decision to either grant the relief sought by the tenant or allow the termination of the lease or other proposed adverse action to proceed. A written result of the hearing will be issued within fourteen (14) calendar days. All Formal Hearings are electronically recorded. NOTIFICATION OF HEARING When the PHA receives a request for a formal hearing, a hearing shall be held within thirty (30) days from the receipt of the request for formal hearing. The notification of hearing will contain: 1. The date and time of the hearing 2. The location where the hearing will be held 3. The family's right to bring evidence, witnesses, legal or other representation at the family's expense 4. The right to view any documents or evidence in the possession of the PHA upon which the PHA based the proposed action and, at the family's expense, to obtain a copy of such documents prior to the hearing. Requests for such documents or evidence must be received no later than five (5) days before the hearing date 5. A notice to the family that the PHA will request a copy of any documents or evidence the family will use at the hearing. Requests for such documents or evidence must be received no later than five (5) days before the hearing date The PHA's Formal Hearing Procedures After a hearing date is agreed to, the family may request to reschedule only upon showing "good cause," which is defined as an unavoidable conflict which seriously affects the health, safety or welfare of the family. If a family does not appear at a scheduled hearing and has not rescheduled the hearing in advance, the family must contact the PHA within forty-eight (48) hours, excluding weekends and holidays. The PHA will reschedule the hearing only if the family can show good cause for the failure to appear. 13-6 13-7 Families have the right to: 1. Present written or oral objections to the PHA's determination 2. Examine the documents in the file which are the basis for the PHA's action, and all documents submitted to the hearing officer 3. Copy any relevant documents at their expense 4. Present any information or witnesses pertinent to the issue of the hearing 5. Request that PHA staff be available or present at the hearing to answer questions pertinent to the case 6. Be represented by legal counsel, advocate, or other designated representative at their own expense as long as the PHA is notified. If the family requests copies of documents relevant to the hearing, the PHA will make the copies for the family and assess a fee according to the Charge & Fee Schedule. In no case will the family be allowed to remove the file from the PHA's office. In addition to other rights contained in this chapter, the PHA and the resident has a right to: . Present evidence and any information pertinent to the issue of the hearing . Be notified if the family intends to be represented by legal counsel, advocate, or another party no later than 5 days in advance of the hearing . Examine and copy any documents to be used by the family prior to the hearing . Have its attorney present . Have staff persons and other witnesses familiar with the case present The formal hearing shall be conducted by the hearing officer appointed by the PHA who is neither the person who made or approved the decision, nor a subordinate of that person. The PHA appoints hearing officers who are professional mediators or arbitrators contracted and paid for by the PHA. The hearing shall concern only the issues for which the family has received the opportunity for hearing. Evidence presented at the hearing may be considered without regard to admissibility under the rules of evidence applicable to judicial proceedings. No documents may be presented which have not been provided to the other party before the hearing if requested by the other party. "Documents" includes records and regulations. 13-8 The hearing officer may ask the family for additional information and/or might adjourn the hearing in order to reconvene at a later date, before reaching a decision. If the family misses an appointment without good cause or deadline ordered by the hearing officer, the action of the PHA shall take effect and another hearing will not be granted. The hearing officer will determine whether the action, inaction or decision of the PHA is legal in accordance with HUD regulations and this ACOP based upon the evidence and testimony provided at the hearing. Factual determinations relating to the individual circumstances of the family will be based on a preponderance of the evidence presented at the hearing. A notice of the hearing findings shall be provided in writing to the PHA and the family within fourteen (14) days and shall include: 1. A clear summary of the decision and reasons for the decision 2. If the decision involves money owed, the amount owed and documentation of the calculation of monies owed 3. Notice that the Code of Civil Procedure, Sect 1094.6 governs the time within which judicial review must be sought 4. The date the decision goes into effect 5. If the PHA is upheld by the hearing decision a notice of termination of subsidy will be sent effective thirty (30) days from the date of the notice EFFECT OF DECISION Except as provided below, the decision of the hearing officer shall be binding on the PHA. The PHA shall take all actions, or refrain from any actions, necessary to carry out the decision unless the Sacramento Housing and Redevelopment Agency Commission determines, within a reasonable time and promptly notifies the resident of its determination. The PHA is not bound by hearing decisions: . Which concern matters in which the PHA is not required to provide an opportunity for a hearing . Which conflict with or contradict to HUD regulations or requirements . Which conflict with or contradict federal, state or local laws . Which exceed the authority of the person conducting the hearing 13-9 The PHA shall send a letter to the participant if it determines the PHA is not bound by the hearing officer's determination within ten (10) days. The letter shall include the PHA's reasons for the decision. All requests for a hearing, supporting documentation, and a copy of the final decision will be retained in the family's file (except for hearings involving reasonable accommodations, which are kept in a separate file). If the hearing officer’s decision upholds the PHA’s decision to evict the resident, the PHA will proceed with filing an unlawful detainer. E. HEARING AND APPEAL PROVISIONS FOR “RESTRICTIONS ON ASSISTANCE TO NONCITIZENS” Assistance to the family may not be delayed, denied or terminated on the basis of immigration status at any time prior to the receipt of the decision on the INS appeal. Assistance to a family may not be terminated or denied while the PHA hearing is pending but assistance to an applicant may be delayed pending the PHA hearing. INS DETERMINATION OF INELIGIBILITY If a family member claims to be an eligible immigrant and the INS SAVE system and manual search do not verify the claim, the PHA notifies the applicant or resident within ten days of their right to appeal to the INS within thirty (30) days or to request an formal hearing with the PHA either in lieu of or subsequent to the INS appeal. If the family appeals to the INS, they must give the PHA a copy of the appeal and proof of mailing or the PHA may proceed to deny or terminate. The time period to request an appeal may be extended by the PHA for good cause. The request for a hearing must be made to the PHA within fourteen days of receipt of the notice offering the hearing or, if an appeal was made to the INS, within fourteen (14) days of receipt of that notice. After receipt of a request for a formal hearing, the hearing is conducted as described in the “Formal Hearing” section of this chapter for both applicants and participants. If the hearing officer decides that the individual is not eligible, and there are no other eligible family members the PHA will: . Deny the applicant family . Defer termination if the family is a participant and qualifies for deferral . Terminate the participant if the family does not qualify for deferral If there are eligible members in the family, the PHA will offer to prorate assistance or give the family the option to remove the ineligible members. 13-10 All other complaints related to eligible citizen/immigrant status: . If any family member fails to provide documentation or certification as required by the regulation, that member is treated as ineligible. If all family members fail to provide, the family will be denied or terminated for failure to provide . Participants whose termination is carried out after temporary deferral may not request a hearing since they had an opportunity for a hearing prior to the termination . Participants whose assistance is pro-rated (either based on their statement that some members are ineligible or due to failure to verify eligible immigration status for some members after exercising their appeal and hearing rights described above) are entitled to a hearing based on the right to a hearing regarding determinations of the resident’s Total Tenant Payment (TTP) . Families denied or terminated for fraud in connection with the non-citizens rule are entitled to a review or hearing in the same way as terminations for any other type of fraud F. EXPEDITED GRIEVANCE PROCEDURE The PHA shall exercise its right to exclude the most serious lease violations from the grievance procedures. This includes: . Any criminal activity that threatens the health, safety or right to peaceful enjoyment of the premises of other residents or employees of the PHA; or . Any violent or drug-related criminal activity on or off such premises; or . Any criminal activity that resulted in felony conviction of a household member RESIDENT’S RIGHT TO TRIAL DE NOVO AND JUDICIAL REVIEW Nothing contained in the PHA’s grievance procedure shall constitute a waiver of the resident’s right to a trial de novo or judicial review in any court action. 14-1 CHAPTER 14 FAMILY DEBTS TO THE PHA INTRODUCTION This chapter describes the PHA's policies for the recovery of monies that have been underpaid by families. It describes the methods that will be utilized for collection of monies and the guidelines for different types of debts. It is the PHA's policy to meet the informational needs of families, and to communicate the program rules in order to avoid family debts. Before a debt is assessed against a family, the file must contain documentation to support the PHA's claim that the debt is owed. The file must further contain written documentation of the method of calculation, in a clear format for review by the family or other interested parties. When families owe money to the PHA, the PHA will make every effort to collect it. The PHA will use a variety of collection tools to recover debts including, but not limited to: . Requests for lump sum payments . Civil suits / Judgments . Payment agreements . Collection agencies . Credit bureaus / entries . Income tax off-set programs . Referral to the state Office of the Attorney General . Referral to the Inspector General’s Office A. PAYMENT AGREEMENT FOR FAMILIES A payment agreement is a document entered into between the PHA and a person who owes a debt to the PHA. It contains details regarding the nature of the debt, the terms of payment, any special provisions of the agreement, and the remedies available to the PHA upon default of the agreement. The maximum length of time the PHA will enter into a payment agreement with a family is twelve (12) months, unless otherwise specified. The minimum monthly amount of monthly payment for any payment agreement is ten dollars ($10). LATE PAYMENTS A payment will be considered to be late if: 14-2 . The payment has not been received by the close of the business day on which the payment was due. If the due date is on a weekend or holiday, the due date will be at the close of the next business day It is at the discretion of the PHA to enter in a repayment agreement but, there may be some circumstances in which the PHA will not enter into a payment agreement. Such as: . If the family already has a payment agreement in place . If the PHA determines that the family has committed program fraud GUIDELINES FOR PAYMENT AGREEMENTS With supervisor approval and verification of the hardship, the monthly payments may be decreased in cases of family hardship upon request by the family. Also, monthly payments may be increased dependent upon the family income increases. B. DEBTS DUE: FRAUD/NON-REPORTING OF INFORMATION (24 CFR 792.103) HUD's definition of program fraud and abuse is a single act or pattern of actions that constitutes false statement, omission, or concealment of a substantive fact, made with intent to deceive or mislead that result in a personal benefit. FAMILY ERROR / LATE REPORTING Families who owe money to the PHA due to the family’s unintentional failure to report increases in income will be required to repay in accordance with the guidelines in the payment schedule section of this chapter. PROGRAM FRAUD The PHA has a zero tolerance policy for program fraud. If a family commits intentional program fraud, the PHA will initiate eviction proceedings immediately. Families who commit program fraud will be required to repay the amount in full within 10 days. If the full amount is paid within this time period, the family will be able to leave housing without an eviction record. If a family owes an amount, to be determined by the Office of the Inspector General, as a result of program fraud, the case will be referred to the Office of the Inspector General. Where appropriate, the PHA will refer the case for criminal prosecution. 14-3 C. WRITING OFF DEBTS All debts will be referred for collection. Debts will be written off if: . The debtor is deceased and has no recoverable assets . The debtor is confined to an institution indefinitely and has no recoverable assets . The amount is less than one hundred dollars ($100) and debtor cannot be located 15-1 CHAPTER 15 COMMUNITY SERVICE AND SELF-SUFFICIENCY INTRODUCTION The Quality Housing and Work Responsibility Act of 1998 requires that all non-exempt public housing adult residents contribute eight (8) hours per month of community service or participate in eight (8) hours of training, counseling, classes or other activities that help an individual achieve self-sufficiency and economic independence. This is a requirement of the Public Housing Lease. A. PROGRAM REQUIREMENTS The performance of eight (8) hours per month may be either volunteer work or selfsufficiency program activity, or a combination of the two. Community Service – volunteer work, which includes, but is not limited to: . Work at a local institution including but not limited to: school, child care center, hospital, hospice, recreation center, senior center, adult day care center, homeless shelter, indigent feeding program, cooperative food bank, etc. . Work with a non-profit organization that serves PHA residents or their children such as: Boy Scouts, Girl Scouts, Boys or Girls clubs, 4-H program, PAL, Garden Center, Community clean-up programs, beautification programs, other youth or senior organizations . Helping neighborhood groups with special projects . Working through resident organization to help other residents with problems, serving as an officer on a Resident Committee, serving on the Resident Advisory Board . Caring for the children of other residents so that they may volunteer NOTE: Political activity is excluded. Self-Sufficiency Activities – activities that include, but are not limited to: . Job readiness or job training programs . GED classes . Substance abuse or mental health counseling . English proficiency or literacy (reading) classes . Apprenticeships . Budgeting and credit counseling . Any kind of class that helps a person toward economic independence 15-2 . Full time student status at any school, college or vocational school Family obligations: At lease execution and at each annual reexamination, all adult members of a public housing resident family must sign the Community Services Exemption checklist, certifying that they have received and read this policy: . Non-exempt family members must present a completed Certification Form (provided by the PHA), signed by the party administering the qualifying activities, certifying that the qualifying activities were performed over the previous twelve (12) months. Failure to comply with the community service requirement will result in non-renewal of their lease. B. PHA RESPONSIBILITIES . Whenever possible, the PHA will provide names and agency contacts that can provide opportunities for residents to fulfill their community service obligations . The PHA will provide families with a Community Services Exemption checklist and Recording / Certification forms (non-exempt families only) and a copy of this policy at lease execution . The PHA will make the final determination as to whether or not a family member is exempt from the community service requirement. Residents may use the PHA’s grievance procedure (see chapter 13 – Complaints, Grievances and Appeals) if they disagree with the determination. C. EXEMPT ADULTS Public Housing residents are exempt if they are: . 62 years of age or older or will turn 62 prior to the next determination . Blind or disabled as defined under 216 (I)(1) or 1614 of the Social Security Act (42 U.S. C. 416 I): 1382 c), and who certify that because of this disability he or she is unable to comply with the service requirement: . A primary caretaker of a blind or disabled person, even if the blind or disabled person is not a resident of public housing; . Working at least twenty (20) hours per week or engaged in work activities as defined in Section 407 (d) of the Social Security Act; . Exempt from the work requirements for a state welfare program, including Welfare-to-Work; . A parent home Schooling their child(ren) 15-3 . Receiving Temporary Assistance for Needy Families (TANF) assistance and have not been found to be in non-compliance with TANF or other work requirements. Note: Any members of the family receiving benefits or services under TANF are exempt. D. NON-COMPLIANCE OF FAMILY MEMBERS If the PHA determines that there is a family member who is required to fulfill a service requirement, but who has violated this family obligation, the PHA will send, at least 30 days prior to the end of the lease, a notice to the resident describing the noncompliance. The lease will end unless: . The family provides proof that the non-compliant resident is no longer in the unit or . The non-compliant family member and the Head of Household sign an agreement with the PHA to make up the deficient hours over the next twelve- (12) month period. The makeup agreement will stipulate how many hours each month must be made up. Staff will monitor month- to-month to ensure that the family member is complying with the agreement. Non-compliance with the makeup agreement will result in termination. A 30-day notice will be provided. The resident may request a grievance hearing regarding the PHA determination of noncompliance and may exercise any available judicial remedy to seek timely redress for the PHA’s non-renewal of the lease due to such determination. 16-1 CHAPTER 16 GLOSSARY I. TERMS USED IN DETERMINING RENT ANNUAL INCOME [24 CFR 5.609] Annual income is the anticipated total income from all sources. This includes net income derived from assets, received by the family head and spouse (even if temporarily absent) and by each additional family member for the 12 month period following the effective date of initial determination or reexamination of income. It does not include income that is temporary, non-recurring, or sporadic as defined in this section, or income that is specifically excluded by other federal statute. Annual income includes: . The full amount before any payroll deductions, of wages and salaries, overtime pay, commissions fees, tips and bonuses, and other compensation for personal services. . The net income from operation of a business or profession, including any withdrawal of cash or assets from the operation of the business. Expenditures for business expansion or amortization of capital indebtedness shall not be used as deductions in determining the net income from a business. An allowance for the straight-line depreciation of assets used in a business or profession may be deducted as provided in IRS regulations. Withdrawals of cash or assets will not be considered income when used to reimburse the family for cash or assets invested in the business. . Interest, dividends, and other net income of any kind from real or personal property. . Expenditures for amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for the straight-line depreciation of real or personal property is permitted. Withdrawals of cash or assets will not be considered income when used to reimburse the family for cash or assets invested in the property. . When the family has net family assets in excess of $5,000, annual income shall include the greater of the actual income derived from all net family assets, or a percentage of the value of such assets based on the current passbook savings rate as determined by HUD. . The full amount of periodic payments received from Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts. 16-2 . Payments in lieu of earnings, such as unemployment and disability compensation, workers' compensation, and severance pay. . All welfare assistance payments received by or on behalf of any family member. [24 CFR 913.106(b)(6)] contains rules applicable to "as-paid" States. . Periodic and determinable allowances, such as alimony and child care support payments, and regular cash contributions or gifts received from persons not residing in the dwelling. . All regular pay, special pay and allowances of a member of the Armed Forces (except special pay to a family member serving the Armed Forces who is exposed to hostile fire). EXCLUSIONS FROM ANNUAL INCOME [24 CFR 5.609] . Annual income does not include the following: . Income from the employment of children (including foster children) under the age of 18 years; . Payments received for the care of foster children or foster adults (usually individuals with disabilities, unrelated to the resident’s family, who are unable to live alone); . Lump sum additions to family assets, such as inheritances, insurance payments (including payments under health, and accident insurance and workers' compensation) capital gains, and settlement for personal property losses; . Amounts received by the family that are specifically for or in reimbursement of the cost of medical expenses for any family member. . Income of a live-in aide provided the person meets the definition of a live-in aide. . The full amount of student financial assistance paid directly to the student or the educational institution. . The special pay to a family member serving in the Armed Forces who is exposed to hostile fire. . Amounts received under HUD funded training programs (e.g. Step-up program); excludes stipends, wages, transportation payments and childcare vouchers for the duration of the training. . Amounts received by a person with disabilities that are disregarded for a limited time for purposes of Supplemental Security Income and benefits that are set aside for use under a Plan to Attain Self Sufficiency (PASS). . Amounts received by a participant in other publicly assisted programs that are specifically for, or in reimbursement of, out of pocket expenses incurred for items such as special equipment, clothing, transportation and childcare, to allow participation in a specific program. 16-3 . Amount received as a resident services stipend. A modest amount (not to exceed $200 per month) received by a public housing resident for performing a service for the PHA, on a part-time basis, that enhances the quality of life in public housing. Such services may include but are not limited to fire patrol, hall monitoring, lawn maintenance, and resident initiative coordination. No resident may receive more than one such stipend during the same period of time. . Incremental earnings and benefits resulting to any family member from participation in qualifying State or local employment training programs (including training programs not affiliated with a local government) and training of family members as resident management staff. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives, and are excluded only for the period during which the family member participates in the employment-training program. . Temporary, non-recurring, or sporadic income (including gifts). . Reparation payments paid by foreign governments pursuant to claims filed under the laws of that government by persons who were persecuted during the Nazi era. (For all initial determinations and reexaminations of income on or after April 23, 1993.) . Earnings in excess of $480 for each full-time student 18 years old or older, (excluding the head of household and spouse). . Adoption assistance payments in excess of $480 per adopted child. . The earnings and benefits to any resident resulting from the participation in a program providing employment training and supportive services in accordance with the Family Support Act of 1988 (42 U.S.C. 1437 et seq.), or any comparable Federal, State or local law during the exclusion period. For purposes of this paragraph the following definitions apply: . Comparable Federal, State or local law means a program providing employment training and supportive services that: (1) is authorized by a Federal, State or local law; (2) is funded by the Federal, State or local government; (3) is operated or administered by a public agency; and (4) has as its objective to assist participants in acquiring job skills. . Exclusion period means the period during which the resident participates in a program as described in this section plus 18 months from the date the resident begins the first job acquired by the resident after completion of such program that is not funded by public housing assistance under the U.S. Housing Act of 1937. If the resident is terminated from employment without good cause, the exclusion period shall end. . Earnings and benefits mean the incremental earnings and benefits resulting from a qualifying employment training program or subsequent job. 16-4 . Deferred periodic payments from supplemental security income and social security benefits that are received in a lump sum amount or in prospective monthly amounts. . Amounts received by the family in the form of refunds or rebates under state or local law for property taxes paid on the dwelling unit. . Amounts paid by a State agency to a family with a developmentally disabled family member living at home to offset the cost of services and equipment needed to keep the developmentally disabled family member at home. . Amounts specifically excluded by any other Federal Statute from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under the United States Housing Act of 1937. A notice will be published by HUD in the Federal Register identifying the benefits that qualify for this exclusion. . The following benefits are excluded by other Federal Statute as of August 3, 1933: . The value of the allotment provided to an eligible household for coupons under the Food Stamp Act of 1977; . Payments to volunteers under the Domestic Volunteer Service Act of 1973; examples of programs under this Act include but are not limited to: . The Retired Senior Volunteer Program (RSVP) . Foster Grandparent Program (FGP) . Senior Companion Program (SCP) . Older American Committee Service Program NATIONAL VOLUNTEER ANTIPOVERTY PROGRAMS SUCH AS: . VISTA . Peace Corps . Service Learning Program . Special Volunteer Programs SMALL BUSINESS ADMINISTRATION PROGRAMS SUCH AS: . National Volunteer Program to Assist Small Businesses . Service Corps of Retired Executives . Payments received under the Alaska Native Claims Settlement Act. [43 USC 1626 (a)] 16-5 . Income derived from certain sub marginal land of the United States that is held in trust for certain Indian tribes. [25 USC 459e] . Payments or allowances made under the Department of HHS' Low Income Home Energy Assistance Program. [42 USC 8624 (f)] . Payments received under programs funded in whole or in part under the Job Training Partnership Act (29 USC 1552 (b) . Income derived from the disposition of funds of the Grand River Band of Ottawa Indians (Pub. L. 94-540). . The first $2,000 of per capita shares received from judgment funds awarded by the Indian Claims Commission or the Court of Claims (25 USC. 1407-08), or from funds held in trust for an Indian Tribe by the Secretary of Interior. . Amounts of scholarships funded under Title IV of the Higher Education Act of 1965 including awards under the Federal work-study program or under the Bureau of Indian Affairs student assistance programs. [20 USC 1087 uu] Examples: Basic Educational Opportunity Grants (Pell Grants), Supplemental Opportunity Grants, State Student Incentive Grants, College-Work Study, and Byrd Scholarships. . Payments received under programs funded under Title V of the Older Americans Act of 1965 [42 USC 3056 (f)] Examples include Senior Community Services Employment Program, National Caucus Center on the Black Aged, National Urban League; Association National Pro Personas Mayores, National Council on Aging, American Association of Retired Persons, National Council on Senior Citizens, and Green Thumb. . Payments received after January 1, 1989 from the Agent Orange Settlement Fund or any other fund established in the In-Re Orange Product Liability litigation. . The value of any childcare provided or arranged (or any amount received as payment for such care or reimbursement for costs of incurred in such care) under the Childcare and Development Block Grant Act of 1990. (42 USC 9858q) . Earned income tax credit refund payments received on or after January 1, 1991. (26 USC 32)(j). . Living allowances under AmeriCorps Program (Nelson Diaz Memo to George Latimer 11/15/94) ADJUSTED INCOME The definition for adjusted income is annual income, less allowable HUD deductions. Qualified families are eligible for the following: Childcare Expenses: A deduction of amounts anticipated to be paid by the family for the care of children under 13 years of age for the period for which the annual income is computed. Childcare expenses are only allowable when such care is necessary to enable a family member to be gainfully employed or to further his/her education. Amounts deducted must be un-reimbursed expenses and shall not exceed: (1) The amount of income earned by the family member released to work or (2) an amount determined to be reasonable by the PHA when the expense is incurred to permit education. DEPENDENT DEDUCTION: An exemption of $480 for each member of the family residing in the household (other than the head or spouse, live-in aide, foster child) who is under eighteen years of age or who is eighteen years of age or older and disabled, Disabled, or a full-time student. DISABLED EXPENSES: A deduction of un-reimbursed amounts paid for attendant care or auxiliary apparatus expenses for Disabled family members where such expenses are necessary to permit a family member(s), including the Disabled/disabled member to be employed. In no event may the amount of the deduction exceed the employment income earned by the family member(s) freed to work. Equipment and auxiliary apparatus may include but are not limited to: wheelchairs, lifts, reading devices for visually Disabled, and equipment added to cars and vans to permit use by the Disabled or disabled family member. FOR NON-ELDERLY FAMILIES AND ELDERLY FAMILIES WITHOUT MEDICAL EXPENSE: The amount of the deduction equals the cost of all unreimbursed expenses for Disabled care and equipment less three percent of annual income, provided the amount so calculated does not exceed the employment income earned. FOR ELDERLY FAMILIES WITH MEDICAL EXPENSES: The amount of the deduction equals the cost of all un-reimbursed expenses for Disabled care and equipment less three percent of annual income, (provided the amount does not exceed earnings) plus medical expenses as defined below. FOR ELDERLY AND DISABLED FAMILIES ONLY: MEDICAL EXPENSES: A deduction of un-reimbursed medical expenses, including insurance premiums anticipated for the period for which annual income is computed. Medical expenses include, but are not limited to: services of physicians and other health care professionals, services of health care facilities; insurance premiums, including the cost of Medicare), prescription and non-prescription medicines, transportation to and from treatment, dental expenses, eyeglasses, hearing aids and batteries, attendant care (unrelated to employment of family members), and payments on accumulated medical bills. To be considered by the PHA for the purpose of determining a deduction from the income, the expenses claimed must be verifiable. 16-6 FOR ELDERLY FAMILIES WITHOUT DISABLED EXPENSES: The amount of the deduction shall equal total medical expenses less 3% of annual income. FOR ELDERLY FAMILIES WITH BOTH DISABLED AND MEDICAL EXPENSES: The amount of Disabled assistance is calculated first, then medical expenses are added. ELDERLY/DISABLED HOUSEHOLD EXEMPTION: An exemption of $400 per household. II. GLOSSARY OF HOUSING TERMS ABANDONMENT OF A PUBLIC HOUSING UNIT: without advising PHA Officials so that staff may secure the unit and protect its property from vandalism. ACCESSIBLE DWELLING UNITS: When used with respect to the design, construction or alteration of an individual dwelling unit, means that the unit is located on an accessible route, and when designed, constructed, or altered, can be approached, entered, and used by individuals with physical handicaps. A unit that is on an accessible route and is adaptable and otherwise in compliance with the standards set forth in 24 CFR 8.32 & 40, (the Uniform Federal Accessibility Standards) is "accessible" within the meaning of this paragraph. ACCESSIBLE FACILITY: All or any portion of a facility other than an individual dwelling unit used by individuals with physical handicaps. ACCESSIBLE ROUTE: For persons with mobility impairment, a continuous, unobstructed path that complies with space and reaches requirements of the Uniform Federally Accessibility Standards. Uniform Federal Accessibility Standards (UFAC). For persons with hearing or vision impairments, the route need not comply with requirements specific to mobility. ADAPTABILITY: Ability to change certain elements in a dwelling unit to accommodate the needs of Disabled and non-Disabled persons or ability to meet the needs of persons with different types and degrees of disability. ADULT: A human being after an age (as 21) specified by law. ADMISSION: Admission to the program is the effective date of the lease. The point at which a family becomes a resident. ALLOCATION PLAN: The plan submitted by the PHA and approved by HUD under which the PHA is permitted to designate a building, or portion of a building, for occupancy by Elderly Families or Disabled Families. ANNUAL INCOME AFTER ALLOWANCES: The Annual Income (described above) less the HUD-approved allowances. 16-7 APPLICANT (or applicant family): A family that has applied for admission to a program, but is not yet a participant in the program. "AS-PAID" STATES: States where the welfare agency adjusts the shelter and utility component of the welfare grant in accordance with actual housing costs. ASSETS: (See Net Family Assets.) AUXILIARY AIDS: Services or devices that enable persons with impaired sensory, manual, or speaking skills to have an equal opportunity to participate in and enjoy the benefits of programs and activities. BEYOND NORMAL WEAR AND TEAR" is defined as items, which could be charged against the resident's security deposit under state law or court practice. CO-HEAD: An individual in the household who is equally responsible for the lease with the Head of Household. A family may have a Co-head or Spouse, but not both. A cohead never qualifies as a dependent. COMPLAINANT: Any resident whose grievance is presented to the authority or a site/management office, informally, or as part of the informal hearing process. COVERED FAMILIES: The statutory term "covered families" designates the universe of families who are required to participate in a welfare agency economic self-sufficiency program and may, therefore, be the subject of a welfare benefit sanction for noncompliance with this obligation. "Covered families" means families who receive welfare assistance or other public assistance benefits from a State or other public agency under a program for which Federal, State, or local law requires that a member of the family must participate in an economic self-sufficiency program as a condition for the assistance. CRIMINAL ACTIVITY: Includes any criminal activity that threatens the health, safety or right to peaceful enjoyment of the resident’s public housing premises by other residents or employees of the PHA. CREDIBLE EVIDENCE: Evidence by a credible source, without ‘hearsay’. Standards of proof, beyond reasonable doubt. DEPENDENT: A member of the family household (excluding foster children) other than the family head or spouse, who is under 18 years of age or is a Disabled Person or Disabled Person, or is a full-time student 18 years of age or older. DESIGNATED FAMILY: The category of family for whom the PHA elects to designate a project (e.g. elderly family in a project designated for elderly families) in accordance with the 1992 housing Act. (24 CFR 945.105) DISABILITY: is used where “handicap” was formerly used. DISABILITY ASSISTANCE EXPENSE: Reasonable expenses that are anticipated, during the period for which annual income is computed, for attendant care and or auxiliary apparatus for a disabled family member and that are necessary to enable a 16-8 family member (including the disabled member) to be employed, provided that the expenses are neither paid to a member of the family nor reimbursed by an outside source. DISABLED PERSON: A person who is any of the following: A person who has a disability as defined in section 223 of the Social Security Act. (42 USC 423). A person who has a physical, mental, or emotional impairment that: Is expected to be of long-continued and indefinite duration; Substantially impedes his or her ability to live independently; and Is of such a nature that ability to live independently could be improved by more suitable housing conditions. A person who has a developmental disability as defined in section 102(7) of the Developmental Disabilities Assistance and Bill of Rights Act (42 U.S.C. 6001(7)). DISABLED FAMILY: A family whose head, spouse, or sole member is a person with disabilities; or two or more persons with disabilities living together or one or more persons with disabilities living with one or more live-in aides. DISALLOWANCE: Exclusion from annual income. DISPLACED FAMILY: A family in which each member, or whose sole member, is a person displaced by governmental action, or a person whose dwelling has been extensively damaged or destroyed as a result of a disaster declared or otherwise formally recognized pursuant to Federal Disaster relief laws. DISPLACEMENT PREFERENCE: The displacement preference may be defined to include applicants who can document that they have been displaced by a natural disaster declared by the President of the United States, or displaced, or through no fault of their own, by governmental action. If appropriate, the preference can also be expanded to include applicants being displaced by private actions. DOMICILE: The legal residence of the household head or spouse as determined in accordance with State and local law. DRUG: A controlled substance as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802). DRUG-RELATED CRIMINAL ACTIVITY: Term means: is the illegal manufacture, sale, distribution, use or possession with intent to manufacture, sell, distribute, or us e a controlled substances (as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802)). Drug related criminal activity means on or of the premises, not just on or near the premises. Drug-trafficking; or 16-9 16-10 Illegal use, or possession for personal use of a controlled substance (as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802)). DRUG TRAFFICKING: The illegal manufacture, sale, distribution or the possession with intent to manufacture, sell, or distribute a controlled substance (as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802)). ECONOMIC SELF-SUFFICIENCY PROGRAM: Any program designed to encourage, assist, train, or facilitate the economic independence of assisted families or to provide work for such families. Economic self-sufficiency programs can include job training, employment counseling, work placement, basic skills training, education, English proficiency, Workfare, financial or household management, apprenticeship, any other program necessary to ready a participant to work (such as: substance abuse or mental health treatment. Economic self-sufficiency program includes any work activities as defined in the Social Security Act (42 U.S.C. 607(d)). See the definition of work activities at Sec. 5.603(c). The new definition of the term "economic self-sufficiency program'' is used in the following regulatory provisions, pursuant to the Public Housing Reform Act: family income includes welfare benefits reduced because of family failure to comply with welfare agency requirements to participate in an economic self-sufficiency program; and the requirement for public housing residents to participate in an economic selfsufficiency program or other eligible activities. ELDERLY FAMILY: A family whose head of household, spouse or sole member is at lease 62 years of age, or two or more persons at lease 62 years of age living together, or one or more persons at lease 62 years of age living with one or more live-in aides. ELDERLY AND DISABLED FAMILY: A family whose head or spouse or whose sole member is at least 62 years, or two or more persons who are at least 62 years of age or a disabled person. It may include two or more elderly, disabled persons living together or one or more such persons living with another person who is determined to be essential to his/her care and well being. ELDERLY PERSON: A person who is at least 62 years old. ELEMENTS OF DUE PROCESS: An eviction action or a termination of tenancy in a State or local court in which the following procedural safeguards are required. . Adequate notice to the resident of the grounds for terminating the tenancy and for eviction; . Opportunity for the resident to examine all relevant documents, records, and regulations of the Authority prior to the trial for the purpose of preparing a defense; . Right of the resident to be represented by counsel; . Opportunity for the resident to refute the evidence presented by the Authority including the right to confront and cross-examine witnesses and to present any affirmative legal or equitable defense which the resident may have; and . A decision on the merits of the case. ELIGIBLE FAMILY (Family): A family is defined by the PHA in the Admission and Continued Occupancy Plan. EMANCIPATED MINORS: To release from paternal care and responsibility having full legal rights or capacity. ENGAGED IN OR ENGAGING: Drug related criminal activity means any act within the past 5 years by applicants or participants, household members, or guests which involved drug-related criminal activity including, without limitation, drug-related criminal activity, possession and/or use of narcotic paraphernalia, which did or did not result in the arrest and/or conviction of the applicant or participant, household members, or guests. "Engaged in or engaging in or recent history of" criminal activity means any act within the past5 3 years by applicants or participants, household members, or guests which involved criminal activity that would threaten the health, safety or right to peaceful enjoyment of the public housing premises by other residents or employees of the PHA, which did or did not result in the arrest and/or conviction of the applicant or participant, household members, or guests. EXCEPTIONAL MEDICAL OR OTHER EXPENSES: Prior to the regulation change in 1982, this meant medical and/or unusual expenses as defined in Part 889 which exceeded 25% of the Annual Income. It is no longer used. EXCESSIVE COST BURDEN: Paying more than 50 percent of monthly adjusted income for shelter. EXCESS MEDICAL EXPENSES: Any medical expenses incurred by elderly families only in excess of 3% of Annual Income which are not reimbursable from any other source. EXTREMELY LOW-INCOME FAMILY: A family whose income does not exceed 30 percent of the median income for the area, as determined by HUD, with adjustments for smaller and larger families. FALSIFYING AN APPLICATION FOR LEASING: including verbalizing or otherwise providing false information about family income and size, using an alias on the application for housing, or making any other material false statement or omission intended to mislead FAMILY: The applicant must qualify as a family as defined by the PHA. The term “Family” is used interchangeably with “applicant”, “resident”, or “participant” and can refer to a single-person family. FAMILY OF VETERAN OR SERVICEPERSON: A family is a "family of veteran or serviceperson" when: 16-11 The veteran or serviceperson (a) is either the head of household or is related to the head of the household; or (b) is deceased and was related to the head of the household, and was a family member at the time of death. The veteran or serviceperson, unless deceased, is living with the family or is only temporarily absent unless s/he was (a) formerly the head of the household and is permanently absent because of hospitalization, separation, or desertion, or is divorced; provided, the family contains one or more persons for whose support s/he is legally responsible and the spouse has not remarried; or (b) not the head of the household but is permanently hospitalized provided that s/he was a family member at the time of hospitalization and there remain in the family at least two related persons. FAMILY SELF-SUFFICIENCY PROGRAM (FSS PROGRAM): The program established by a PHA to promote self-sufficiency of assisted families, including the provision of supportive services. FLAT RENT: Rent for a public housing dwelling unit that is based on the market rent. The market rent is the rent charged for comparable units in the private, unassisted rental market at which the PHA could lease the public housing unit after preparation for occupancy. FOSTER CHILDCARE PAYMENT: Payment to eligible households by state, local, or private agencies appointed by the State, to administer payments for the care of foster children. FULL-TIME STUDENT: A person who is attending school or vocational training on a full-time basis. GRIEVEANCE: Any dispute which a resident may have with respect to a Housing Authority action or failure to act in accordance with the individual resident's lease or Authority regulations which adversely affect the individual resident's rights, duties, welfare, or status. GROSSLY UNSANITARY OR HAZARDOUS HOUSEKEEPING: includes the creation of a fire hazard through acts such as hoarding rags, papers, or other materials. It also includes severe damages to premises and equipment, if it is established that the family is responsible for the conditions that may seriously affect neighbors by causing infestation and foul odors. Also included is the depositing garbage in halls or serious neglect of the premises. This category does not include families whose housekeeping is found to be superficially unclean or due to lack of orderliness, where such conditions do not create a problem for neighbors. GUEST: A person temporarily staying in the unit with the consent of a tenant or other member of the household who has express or implied authority to so consent on behalf of the tenant HCV: Housing Choice Voucher Program. 16-12 HEAD OF HOUSEHOLD: The person who assumes legal and financial responsibility for the household and is listed on the application as head. HEARING OFFICER/HEARING PANEL: A person or persons selected in accordance with this grievance procedure to hear grievances and render a decision with respect thereto. HOUSEHOLD: Household (eligible household_ means an elderly or disabled household (as defined in HUD Sec. 891.205 or 891.305, respectively), as applicable, that meets the project occupancy requirements approved by HUD and, if the household occupies an assisted unit, meets the very low-income requirements. HOUSING AGENCY: A state, country, municipality or other governmental entity or public body authorized to administer the program. The term "HA" includes an Indian housing authority (IHA). ("PHA" and "HA" mean the same thing.) HOUSING AND COMMUNITY DEVELOPMENT ACT OF 1974: The Act in which the U.S. Housing Act of 1937 was recodified, and which added the Section 8 Programs. HOUSING ASSISTANCE PLAN: A Housing Assistance Plan submitted by a local government participating in the Community Development Block Program as part of the block grant application, in accordance with the requirements of 570.303(c) submitted by a local government not participating in the Community Development Block Grant Program and approved by HUD. A Housing Assistance Plan meeting the requirements of 570.303(c) submitted by a local government not participating in the Community Development Block Grant Program and approved by HUD. HOUSING AUTHORITY OF THE CITY AND COUNTY OF SACRAMENTO: is referred to as “PHA” or “Housing Authority” or “HA” or the “Authority”, throughout this document. HOUSING QUALITY STANDARDS (HQS): The HUD minimum quality standards for housing assisted under the Public Housing and Section 8 programs. HUD: The Department of Housing and Urban Development or its designee. HUD REQUIREMENTS: HUD requirements for the Section 8 programs. HUD requirements are issued by HUD headquarters as regulations. Federal Register notices or other binding program directives. HURRA: The Housing and Urban/Rural Recovery Act of 1983 legislation that resulted in most of the 1984 HUD Regulation changes to the definition of income, allowances, and rent calculations. IMPUTED ASSET: Asset disposed of for less than Fair Market Value during two years preceding examination or reexamination. IMPUTED INCOME: HUD passbook rate times the total cash value of assets, when assets exceed $5,000. 16-13 IMPUTED WELFARE INCOME The amount of annual income not actually received by a family, as a result of a specified welfare benefit reduction, that is nonetheless included in the family's annual income. This amount is included in family annual income and, therefore, reflected in the family rental contribution based on this income. INCOME: Income from all sources of each member of the household as determined in accordance with criteria established by HUD. INCOME-BASED RENT: The tenant rent paid to the PHA that is based on family income and the PHA rental policies. The PHA uses a percentage of family income or some other reasonable system to set income-based rents. The PHA has broad flexibility in deciding how to set income-based rent for its Residents. However, the income-based tenant rent plus the PHA's allowance for tenant paid utilities may not exceed the "total tenant payment" as determined by a statutory formula. INCOME FOR ELIGIBILITY: Gross annual income. INCOME TARGETING: The HUD admissions requirement that PHAs not admit less than the number required by law of families whose income does not exceed 30% of the area median income in a fiscal year. INDIAN: Any person recognized as an Indian or Alaska Native by an Indian Tribe, the federal government, or any State. INDIAN HOUSING AUTHORITY (IHA): A housing agency established either: By exercise of the power of self-government of an Indian Tribe, independent of State law, or By operation of State law providing specifically for housing authorities for Indians. INITATING THREATS: Behaving in a manner, which indicates intent to assault employees or other residents. INTEREST REDUCTION SUBSIDIES: The monthly payments or discounts made by HUD to reduce the debt service payments and, hence, rents required on Section 236 and 221 (d)(3) BMIR projects. Includes monthly interest reduction payments made to mortgagees of Section 236 projects and front-end loan discounts paid on BMIR projects. INVOLUNTARILY DISPLACED PERSON: Involuntarily Displaced Applicants are applicants who meet the HUD definition for the local preference, formerly known as a federal preference. INVOLUNTARY DISPLACEMENT: Applicants who can document that they have been displaced by a natural disaster declared by the President of the United States, or displaced, or through no fault of their own by governmental action. If appropriate, the preference can also be expanded to include applicants being displaced by private actions. LANDLORD: Either the legal owner of the property, or the owner's representative or managing agent as designated by the owner. Refers to the PHA. 16-14 LATE FEE: Charges assessed if monthly rent payments are not paid in full by the first (1st) business day after the fifth(5th) day of each month, in accordance with the Authority’s Schedule of Fees and Charges. LATE RENT: Monthly rent payments not paid in full by the first (1st) business day after the fifth (5th) day of each calendar month. LEASE: A written agreement between an owner and an eligible family for the leasing of a housing unit. LIVE-IN AIDE: A person who resides with an elderly person or disabled person and who:Is determined to be essential to the care and well being of the person, and is not obligated for the support of the person, and would not be living in the unit except to provide necessary supportive services. LOCAL PREFERENCE: A preference used by the PHA to select among applicant families without regard to their date and time of application. LOW-INCOME FAMILY: A family whose annual income does not exceed 80 percent of the median income for the area, as determined by HUD, with adjustments for smaller and larger families. For admission to the certificate program, HUD may establish income limits higher or lower than 80 percent 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 family incomes. MARKET RENT: The rent HUD authorizes the owner of FHA insured/subsidized multifamily housing to collect from families ineligible for assistance. For unsubsidized units in an FHA-insured multi-family project in which a portion of the total units receive project- based rental assistance, under the Rental Supplement or Section 202/Section 8 Programs, the Market Rate Rent is that rent approved by HUD and is the Contract Rent for a Section 8 Certificate holder. For BMIR units, Market Rent varies by whether the project is a rental or cooperative. MEDICAL EXPENSES: Those total medical expenses anticipated during the period for which Annual Income is computed, and which is not covered by insurance. (Only Elderly Families qualify) The allowances are applied when medical expenses exceed 3% of Annual Income. MINIMUM RENT: An amount established by the PHA between zero and $50.00. MINOR: A member of the family household (excluding foster children) other than the family head or spouse who is under 18 years of age. MONTHLY ADJUSTED INCOME: 1/12 of the Annual Income after Allowances. MONTHLY INCOME: 1/12 of the Annual Income before allowances. NEAR-ELDERLY FAMILY: A family whose head, spouse, or sole member is at least 50, but less than 62 years of age. The term includes two or more near-elderly persons living together and one or more such persons living with one or more live-in aides. 16-15 NET FAMILY ASSETS: The net cash 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 is excluded from the definition. NONCITIZENS RULE: Refers to the regulation effective June 19, 1995, restricting assistance to U.S. citizens and eligible immigrants. NON PAYMENT OF RENT: If the monthly rent is not paid by the first (1st) business day after the fifth (5th) day of each calendar month, a fourteen (14) day notice to pay rent or quit and or a three (3) day notice to pay rent or quit running concurrently will be issued. NON PAYMENT OF RIGHTFUL OBLIGATIONS: Including rent and/or utilities and other charges owed to the PHA. OCCUPANCY STANDARDS (Now referred to as Subsidy Standards): Standards established by a PHA to determine the appropriate number of bedrooms for families of different sizes and compositions. OTHER CRIMINAL ACTIVITY: A history of criminal activity involving crimes of actual or threatened violence to persons or property, or a history of other criminal acts, conduct or behavior which would adversely affect the health, safety, or welfare of other residents. OTHER PERSON UNDER THE TENANT’S CONTROL (COVERED PERSON): The person, although not staying as a guest in the unit is, or was at the time of activity in question, on the premises because of an invitation from the tenant or other member of the household who has express or implied authority to so consent on behalf of the tenant. PARTICIPANT: A family that has been admitted to the PHA program, and is currently assisted in the program. PATTERN OF ALCHOL ABUSE: Includes a determination by the PHA that the pattern of alcohol abuse might interfere with the applicant's health, safety or right to peaceful enjoyment of the premises by other residents. PATTERN OF DRUG USE: Includes a determination by the PHA that the applicant has exhibited a pattern of illegal use of a controlled substance, which might interfere with the health, safety, or right to peaceful enjoyment of the premises by other residents. PATTERN OF VIOLENT BEHAVIOR: Includes evidence of repeated acts of violence on the part of an individual, or a pattern of conduct constituting a danger to peaceful occupancy of neighbors. PERSON WITH DISABILITIES: 1. A person who has a disability, as defined in 42 U. S. C. 423, and is determined, under HUD regulations, to have a physical, mental, or emotional impairment that is expected to be of long-continued and indefinite duration, substantially impedes 16-16 the ability to live independently, and is of such a nature that the ability to live independently could be improved by more suitable housing conditions. 2. A person who has a developmental disability as defined in 42 U.S.C. 6001. 3. An "individual with handicaps", as defined in 24 CFR 8.3, for purposes of reasonable accommodation and program accessibility for persons with disabilities 4. Does not exclude persons who have AIDS or conditions arising from AIDS 5. Does not include a person whose disability is based solely on any drug or alcohol dependence (for low income housing eligibility purposes) PREMISES: The building or complex in which the dwelling unit is located including common areas and grounds. PREPONDERANCE OF EVIDENCE: Evidence which is of greater weight or more convincing than the evidence which is offered in opposition to it; that is, evidence which as a whole shows that the fact sought to be proved is more probable than not. The intent is not to prove criminal liability, but to establish that the act(s) occurred. Preponderance of evidence is not determined by the number of witnesses, but by the greater weight of all evidence. PREVIOUSLY UNEMPLOYED: Includes a person who has earned, in the twelve months previous to employment, no more than would be received for 10 hours of work per week for 50 weeks at the established minimum wage. PUBLIC ASSISTANCE: Welfare or other payments to families or individuals based on need, which are made under programs funded, separately or jointly, by Federal, state, or local governments. PUBLIC HOUSING AGENCY (PHA): A state, county, municipality, or other governmental entity or public body authorized to administer the programs. The term "PHA" includes an Indian housing authority (IHA). ("PHA" and "HA" mean the same thing.) QUALIFIED FAMILY: A family residing in public housing whose annual income increases as a result of employment of a family member who was unemployed for one or more years previous to employment; or increased earnings by a family member during participation in any economic self-sufficiency or on the job training program; or new employment or increased earnings of a family member, during or within 6 months after receiving assistance, benefits or services under any state program for temporary assistance for needy families funded under Part A of Title IV of the Social Security Act, as determined by the PHA in consultation with the local TANF agency and Welfare to Work programs. TANF includes income and benefits & services such as one time payments, wage subsidies & transportation assistance, as long as the total amount over a 6-month period is at least $500. QUALITY HOUSING AND WORK RESPONSIBILITY ACT OF 1998: The Act, which amended the U.S. Housing Act of 1937 and is known as the Public Housing Reform Bill. 16-17 The Act is directed at revitalizing and improving HUD's Public Housing and Section 8 assistance programs. RECERTIFICATION: Sometimes called re-examination. The process of securing documentation of total family income used to determine the rent the resident will pay for the next 12 months if no interim changes are reported by the family. RECORD OF SERIOUS DISTURBANCES OF NEIGHBORS, DESTRUCTION OF PROPERTY OR OTHER DISRUPTIVE OR DANGEROUS BEHAVIOR: Consists of patterns of behavior, which endanger the life, safety, or welfare of other persons by physical violence, gross negligence or irresponsibility. This includes behavior which damages the equipment or premises in which the applicant resides, or which is seriously disturbing to neighbors or disrupts sound family and community life, indicating the applicant's inability to adapt to living in a multi-family setting. This also includes judicial termination of tenancy in previous housing on the grounds of nuisance or objectionable conduct, or frequent loud parties, which have resulted in serious disturbances of neighbors. REMAINING MEMBER OF RESIDENT FAMILY: Person left in assisted housing after other family members have left and become unassisted. RESIDENCY PREFERENCE: A local preference for admission of persons who reside in a specified geographic area. RESIDENT: Refers to participants in terms of their relation as a lessee to the PHA as the landlord. A lessee or the remaining head of household of any resident family residing in housing accommodations owned or leased by the PHA. RESPONSIBLE ENTITY: For the public housing, Section 8 tenant-based assistance, project-based certificate assistance and moderate rehabilitation program, the responsible entity means the PHA administering the program under an ACC with HUD. For all other Section 8 programs, the responsible entity means the Section 8 owner. SECRETARY: The Secretary of Housing and Urban Development. SECURITY DEPOSIT: A dollar amount which can be collected from the family by the owner upon termination of the lease and applied to unpaid rent, damages or other amounts owed to the owner under the lease according to State or local law. SELF CERTIFICATION: A notarized statement or affidavit statement under penalty of perjury SERVICE PERSON: A person in the active military or naval service (including the active reserve) of the United States. SINGLE PERSON: A person living alone or intending to live alone who is not disabled, elderly, or displaced, or the remaining member of a resident family. SPECIFIED WELFARE BENEFIT REDUCTION: Those reductions of welfare agency benefits (for a covered family) that may not result in a reduction of the family rental contribution. "Specified welfare benefit reduction" means a reduction of welfare benefits by the welfare agency, in whole or in part, for a family member, as determined by the 16-18 welfare agency, because of fraud by a family member in connection with the welfare program; or because of welfare agency sanction against a family member for noncompliance with a welfare agency requirement to participate in an economic self- sufficiency program. SPOUSE: Spouse refers to the marriage partner, either a husband or wife, who is someone you need to divorce in order to dissolve the relationship. It includes the partner in a common-law marriage. SUBSIDIZED PROJECT: A multi-family housing project (with the exception of a project owned by a cooperative housing mortgage corporation or association) which receives the benefit of subsidy in the form of: Below-market interest rates pursuant to Section 221(d)(3) and (5) or interest reduction payments pursuant to Section 236 of the National Housing Act; or Rent supplement payments under Section 101 of the Housing and Urban Development Act of 1965; or Direct loans pursuant to Section 202 of the Housing Act of 1959; or Payments under the Section 23 Housing Assistance Payments Program pursuant to Section 23 of the United States Housing Act of 1937 prior to amendment by the Housing and Community Development Act of 1974; Payments under the Section 8 Housing Assistance Payments Program pursuant to Section 8 of the United States Housing Act after amendment by the Housing and Community Development Act unless the project is owned by a Public Housing Agency; a Public Housing Project. SUBSIDY STANDARDS: Standards established by a PHA to determine the appropriate number of bedrooms and amount of subsidy for families of different sizes and compositions. TENANT (Synonymous with resident): The person or person’s who executes the lease as lessee of the dwelling unit. TENANT RENT: The amount payable monthly by the family as rent to the PHA. TOTAL TENANT PAYMENT (TTP): The total amount the HUD rent formula requires the tenant to pay toward rent and utilities. UPCS: UNIFORM PHYSICAL CONDITION STANDARDS UNIT/HOUSING UNIT: Residential space for the private use of a family. The size of a unit is based on the number of bedrooms contained within the unit and generally ranges from zero bedrooms to six bedrooms. UTILITIES: Utilities means water, electricity, gas, other heating, refrigeration, cooking fuels, and trash collection and sewage services. Telephone service is not included as a utility. 16-19 UTILITY ALLOWANCE: The PHA's estimate of the average monthly utility bills for an energy-conscious household. If all utilities are included in the rent, there is no utility allowance. The utility allowance will vary by unit size and type of utilities. UTILITY REIMBURSEMENT PAYMENT: The amount, if any, by which the Utility Allowance for the unit, if applicable, exceeds the Total Tenant Payment for the family occupying the unit. VERY LARGE LOWER-INCOME FAMILY: Prior to the change in the 1982 regulations this was described as a lower-income family which included eight or more minors. This term is no longer used. VERY LOW INCOME FAMILY: A Low-Income Family whose Annual Income does not exceed 50% of the median income for the area, as determined by HUD, with adjustments for smaller and larger families. HUD may establish income limits higher or lower than 50% of the median income for the area on the basis of its finding that such variations are necessary because of unusually high or low family incomes. VETERAN: A person who has served in the active military or naval service of the United States at any time and who shall have been discharged or released under conditions other than dishonorable. VIOLENT CRIMINAL ACTIVITY: Any illegal criminal activity that has as one of its elements the use, attempted use, or threatened use of physical force substantial enough to cause, or be reasonably likely to cause, serious bodily injury or property damage. WAIT POOL: A list of families organized, according to application receipt, date and time, that are in the process of being determined eligible for subsidy. WAITING LIST: A list of families organized according to HUD regulations and PHA policy that are waiting for subsidy to become available. WELFARE ASSISTANCE: Welfare or other payments to families or individuals, based on need, that are made under programs funded, separately or jointly, by Federal, state, or local governments. "Welfare assistance" means income assistance from Federal or State welfare programs, and includes only cash maintenance payments designed to meet a family’s ongoing basic needs. The definition borrows from the Department of Health and Human Services' TANF definition of "assistance" and excludes nonrecurring short-term benefits designed to address individual crisis situations. For FSS purposes, the following do not constitute welfare assistance: food stamps; emergency rental and utilities assistance; and SSI, SSDI, and Social Security. III. GLOSSARY OF TERMS USED IN THE NON-CITIZENS RULE CHILD: A member of the family other than the family head or spouse who is under 18 years of age. CITIZEN: A citizen or national of the United States. 16-20 EVIDENCE: Evidence of citizenship or eligible immigration status means the documents, which must be submitted to evidence citizenship or eligible immigration status. PHA (A Housing Authority): Either a public housing agency or an Indian housing authority or both. HEAD OF HOUSEHOLD: The adult member of the family who is the head of the household for purpose of determining income eligibility and rent. HUD: Department of Housing and Urban Development. INS: The U.S. Immigration and Naturalization Service. MIXED FAMILY: A family whose members include those with citizenship or eligible immigration status and those without citizenship or eligible immigration status. NATIONAL: A person who owes permanent allegiance to the United States, for example, as a result of birth in a United States territory or possession. NONCITIZEN: A person who is neither a citizen nor national of the United States. PHA: A housing authority who operates Public Housing. RESPONSIBLE ENTITY: The person or entity responsible for administering the restrictions on providing assistance to non-citizens with ineligible immigration status (the PHA). SECTION 214: Section 214 restricts HUD from making financial assistance available for non-citizens unless they meet one of the categories of eligible immigration status specified in Section 214. SPOUSE: Spouse refers to the marriage partner, either a husband or wife, who is someone you need to divorce in order to dissolve the relationship. It includes the partner in a common-law marriage. It does not cover boyfriends, girlfriends, significant others, or "co-heads." "Co-head" is a term recognized by some HUD programs, but not by public and Indian housing programs. 16-21 CHAPTER 17 PROGRAM INTEGRITY ADDENDUM INTRODUCTION The US Department of HUD conservatively estimates that 200 million dollars is paid annually to program participants who falsify or omit material facts in order to gain more rental subsidy than they are entitled to under the law. HUD further estimates that twelve (12) percent of all HUD-assisted families are either totally ineligible, or are receiving benefits that exceed their legal entitlement. The PHA is committed to assure that the proper level of benefits is paid to all residents, and that housing resources reach only income-eligible families so that program integrity is maintained. The PHA will take all steps necessary to prevent fraud, waste, and mismanagement so that program resources are utilized judiciously. This chapter outlines the PHA's policies for the prevention, detection and investigation of program abuse and resident fraud. A. CRITERIA FOR INVESTIGATION OF SUSPECTED ABUSE AND FRAUD Under no circumstances will the PHA undertake an inquiry or an audit of a resident family arbitrarily. The PHA's expectation is that resident families will comply with HUD requirements, provisions of the lease, and other program rules. The PHA staff will make every effort (formally and informally) to orient and educate all families in order to avoid unintentional violations. However, the PHA has a responsibility to HUD, to the community, and to eligible families in need of housing assistance, to monitor residents' lease obligations for compliance and, when indicators of possible abuse come to the PHA' s attention, to investigate such claims. The PHA will initiate an investigation of a resident family only in the event of one or more of the following circumstances: REFERRALS, COMPLAINTS, OR TIPS: The PHA will follow up on referrals from other agencies, companies or persons which are received by mail, by telephone or in person, which allege that a resident family is in non-compliance with, or otherwise violating the lease or the program rules. Such follow-up will be made providing that the referral contains at least one item of information that is independently verifiable. A copy of the allegation will be retained in the resident file. INTERNAL FILE REVIEW: A follow-up will be made if PHA staff discovers (as a function of a [re]certification, an interim redetermination, or a quality control review), information or facts which conflict with previous file data, the PHA's knowledge of the family, or is discrepant with statements made by the family. 17-1 VERIFICATION OR DOCUMENTATION: A follow-up will be made if the PHA receives independent verification or documentation which conflicts with representations in the resident file (such as public record information or credit bureau reports, reports from other agencies). B. STEPS THE PHA WILL TAKE TO PREVENT PROGRAM ABUSE AND FRAUD The management and occupancy staff will utilize various methods and practices (listed below) to prevent program abuse, non-compliance, and willful violations of program rules by applicants and resident families. This policy objective is to establish confidence and trust in the management by emphasizing education as the primary means to obtain compliance by resident families. THINGS YOU SHOULD KNOW: This program integrity bulletin (created by HUD's Inspector General) will be furnished and explained to all applicants to promote understanding of program rules, and to clarify the PHA's expectations for cooperation and compliance. PROGRAM ORIENTATION SESSION: Mandatory orientation sessions will be conducted by the Housing Manager/Property Agent for all prospective residents either prior to or upon execution of the lease. At the conclusion of all Program Orientation Sessions, the family representative will be required to sign a "Program Briefing Certificate" to confirm that all rules and pertinent regulations were explained to them. RESIDENT COUNSELING: The PHA will routinely provide resident counseling as a part of every recertification interview in order to clarify any confusion pertaining to program rules and requirements. REVIEW AND EXPLANATION OF FORMS: Staff will explain all required forms and review the contents of all (re)certification documents prior to signature. USE OF INSTRUCTIVE SIGNS AND WARNINGS: Instructive signs will be conspicuously posted in common areas and interview areas to reinforce compliance with program rules and to warn about penalties for fraud and abuse TENANT CERTIFICATION: All family representatives will be required to sign a "Tenant Certification" form, as contained in HUD's Tenant Integrity Program Manual. C. STEPS THE PHA WILL TAKE TO DETECT PROGRAM ABUSE AND FRAUD The PHA Staff will maintain a high level of awareness to indicators of possible abuse and fraud by assisted families. 17-2 17-3 QUALITY CONTROL FILE REVIEWS: Prior to initial certification, and at the completion of all subsequent recertifications, each resident file will be reviewed. Such reviews shall include, but are not limited to: . Changes in reported Social Security Numbers or dates of birth. . Authenticity of file Documents. . Ratio between reported income and expenses . Review of signatures for consistency with previously signed file documents. OBSERVATION:The PHA Management and Occupancy Staff (to include maintenance personnel) will maintain high awareness of circumstances that may indicate program abuse or fraud, such as unauthorized persons residing in the household and unreported income. PUBLIC RECORD BULLETINS: May be reviewed by Management and Staff. STATEWAGE DATA RECORD KEEPERS: Inquiries to State Wage and Employment record keeping agencies as authorized under Public Law 100-628, the Stewart B. McKinley Homeless Assistance Amendments Act of 1988, may be made annually in order to detect unreported wages or unemployment compensation benefits CREDIT BUREAU INQUIRIES: Credit Bureau inquiries may be made (with proper authorization by the resident) in the following circumstances: At the time of final eligibility determination When an allegation is received by the PHA wherein unreported income sources are disclosed. When a resident's expenditures exceed his/her reported income, and no plausible explanation is given. D. THE PHA'S HANDLING OF ALLEGATIONS OF POSSIBLE ABUSE AND FRAUD The PHA staff will encourage all resident families to report suspected abuse to the Housing Authority Supervisor. All such referrals, as well as referrals from community members and other agencies, will be thoroughly documented and placed in the resident file. All allegations, complaints and tips will be carefully evaluated in order to determine if they warrant follow-up. The Housing Authority Supervisor will not follow up on allegations that are vague or otherwise non-specific. The will only review allegations which contain one or more independently verifiable facts. FILE REVIEW: An internal file review will be conducted to determine: If the subject of the allegation is a resident of the PHA and, if so, to determine whether or not the family has previously disclosed the information reported. It will then be determined if the PHA is the most appropriate authority to do a follow-up (more so than police or social services). Any file documentation of past behavior as well as corroborating complaints will be evaluated. CONCLUSION OF PRELIMINARY REVIEW: If at the conclusion of the preliminary file review there is/are fact(s) contained in the allegation which conflict with file data, and the fact(s) are independently verifiable, the Housing Authority Supervisor will initiate an investigation to determine if the allegation is true or false. E. HOW THE PHA WILL INVESTIGATE ALLEGATIONS OF ABUSE AND FRAUD If the PHA determines that an allegation or referral warrants follow-up, either the staff person who is responsible for the file or a person designated by the Executive Director to monitor the program compliance will conduct the investigation. The steps taken will depend upon the nature of the allegation and may include, but are not limited to, the items listed below. In all cases, the PHA will secure the written authorization from the program participant for the release of information. CREDIT BUREAU INQUIRIES: In cases involving previously unreported income sources, a CBI inquiry may be made to determine if there is financial activity that conflicts with the reported income of the family. VERIFICATION OF CREDIT: In cases where the financial activity conflicts with file data, a Verification of Credit form may be mailed to the creditor in order to determine the unreported income source. EMPLOYERS AND EX-EMPLOYERS: Employers or ex-employers may be contacted to verify wages that may have been previously undisclosed or misreported. Neighbors/Witnesses: Neighbors and/or other witnesses may be interviewed who are believed to have direct or indirect knowledge of facts pertaining to the PHA's review. OTHER AGENCIES: Investigators, caseworkers or representatives of other benefit agencies may be contacted. PUBLIC RECORDS: If relevant, the PHA will review public records kept in any jurisdictional courthouse. Examples of public records which may be checked are: real estate, marriage, divorce, uniform commercial code financing statements, voter registration, judgments, court or police records, state wage records, utility records and postal records. 17-4 17-5 INTERVIEWS WITH HEAD OF HOUSEHOLD OR FAMILY MEMBERS: The PHA will discuss the allegation (or details thereof) with the Head of Household or family member by scheduling an appointment at the appropriate PHA office. The PHA Staff Person who conducts such interviews will maintain a high standard of courtesy and professionalism. Under no circumstances will the management tolerate inflammatory language, accusation, or any unprofessional conduct or language. If possible, an additional staff person will attend such interviews. F. PLACEMENT OF DOCUMENTS, EVIDENCE AND STATEMENTS OBTAINED BY THE PHA Documents and other evidence obtained by the PHA during the course of an investigation will be considered "work product" and will either be kept in the resident file, or in a separate "work file." In either case, the resident file or work file shall be kept in a locked file cabinet. Such cases under review will not be discussed among PHA Staff unless they are involved in the process, or have information that may assist in the investigation. G. CONCLUSION OF THE PHA’S INVESTIGATIVE REVIEW At the conclusion of the investigative review, the reviewer will report the findings to the Executive Director or designee. It will then be determined whether a violation has occurred, a violation has not occurred, or if the facts are inconclusive. H. Evaluation of the Findings If it is determined that a program violation has occurred, the PHA will review the facts to determine: . The type of violation. (Procedural, non-compliance, fraud.) . Whether the violation was intentional or unintentional. . The amount of money (if any) is owed by the resident. . Is the family eligible for continued occupancy? I. ACTION PROCEDURES FOR VIOLATIONSWHICH HAVE BEEN DOCUMENTED Once a program violation has been documented, the PHA will propose the most appropriate remedy based upon the type and severity of the violation. 17-6 PROCEDURAL NON-COMPLIANCE This category applies when the resident "fails to" observe a procedure or requirement of the PHA, but does not misrepresent a material fact, and there is no retroactive rent owed by the family. Examples of non-compliance violations are: Failure to appear at a pre-scheduled appointment. Failure to return verification in time period specified by the PHA. Warning Notice to the Family: In such cases a notice will be sent to the family, which contains the following: . A description of the non-compliance and the procedure, policy or obligation which was violated. . The date by which the violation must be corrected, or the procedure complied with. . The action, which will be taken by the PHA if the procedure or obligation is not complied with by the date specified by the PHA. . The consequences of repeated (similar) violations. PROCEDURAL NON-COMPLIANCE - RETROACTIVE RENT When the resident owes money to the PHA for failure to report changes in income or assets, the PHA will issue a Notification of Underpaid Rent. This Notice will contain the following: . A description of the violation and the date(s). . Any amounts owed to the PHA. . A 10 day response period. . The right to disagree and to request an informal hearing with instructions for the request of such hearing. RESIDENT FAILS TO COMPLY WITH PHA'S NOTICE: If the resident fails to comply with the PHA's notice, and a material provision of the lease has been violated, the PHA will initiate termination of tenancy. RESIDENT COMPLIES WITH PHA'S NOTICE: When a resident complies with the PHA's notice, the staff person responsible will meet with him/her to discuss and explain the obligation or lease provision which was violated. The staff person will complete a Resident Counseling Report, give one copy to the family and retain a copy in the resident file. 17-7 INTENTIONAL MISREPRESENTATIONS When a resident falsifies, misstates, omits or otherwise misrepresents a material fact which results (or would have resulted) in an underpayment of rent by the resident, the PHA will evaluate whether or not: . The resident had knowledge that his/her actions were wrong, and . That the resident willfully violated the lease or the law. KNOWLEDGE THAT THE ACTION OR INACTION WAS WRONG: This will be evaluated by determining if the resident was made aware of program requirements and prohibitions. The resident's signature on various certifications, briefing certificate, Personal Declaration and Things You Should Know are adequate to establish knowledge of wrongdoing. THE RESIDENT WILLFULLY VIOLATED THE LAW: Any of the following circumstances will be considered adequate to demonstrate willful intent: . An admission by the resident of the misrepresentation. . That the act was done repeatedly. . If a false name or Social Security Number was used. . If there were admissions to others of the illegal action or omission. . That the resident omitted material facts, which were known to them (e.g., employment of self or other household member). . That the resident falsified, forged or altered documents. . That the resident uttered and certified to statements at a rent (re) determination which were later independently verified to be false. THE RESIDENT HEARING FOR SERIOUS VIOLATIONS AND MISREPRESENTATIONS When the PHA has established that material misrepresentation(s) have occurred, a Resident Hearing will be scheduled with the family representative and the PHA staff person who is most knowledgeable about the circumstances of the case. This hearing will take place prior to any proposed action by the PHA. The purpose of such hearing is to review the information and evidence obtained by the PHA with the resident, and to provide the resident an opportunity to explain any document findings which conflict with representations in the resident file. The PHA will take any documents or mitigating circumstances presented by the resident into consideration. The resident will be given 10 days to furnish any mitigating evidence. 17-8 A secondary purpose of the Resident Hearing is to assist the PHA in determining the course of action most appropriate for the case. Prior to the final determination of the proposed action, the PHA will consider: . The duration of the violation and number of false statements. . The resident's ability to understand the rules. . The resident's willingness to cooperate, and to accept responsibility for his/her actions . The amount of money involved. . The resident's past history . Whether or not criminal intent has been established . The number of false statements DISPOSITIONS OF CASES INVOLVING MISREPRESENTATIONS In all cases of misrepresentations involving efforts to recover monies owed, the PHA may pursue, depending upon its evaluation of the criteria stated above, one or more of the following actions: CRIMINAL PROSECUTION: If the PHA has established criminal intent, and the case meets the criteria for prosecution, the PHA may: . Terminate tenancy . Refer the case to the local State or District Attorney, notify HUD's RIGI, and terminate rental assistance. ADMINISTRATIVE REMEDIES: The PHA may: . Terminate tenancy and demand payment of restitution in full. . Terminate tenancy and pursue restitution through civil litigation. . Permit continued occupancy at the correct rent and execute a repayment agreement in accordance with the PHA's repayment policy. Notification to Resident of Proposed Action The PHA will notify the resident of the proposed action no later than 10 days after the resident hearing by certified mail. CODE OF CONDUCT The Housing Authority of the City and County of Sacramento strives to conduct business in accordance with core values and ethical standards. Professional conduct, ethical practices and adherence to all laws, regulations, and government codes are expected by all employees at all times. To ensure compliance with these standards, the following policies have been established: PROHIBITED ACTIVITIES: 1. Employees shall not engage in any employment, activity, or enterprise for compensation, which is inconsistent, incompatible, in conflict with, or inimical to his or her duties, functions, or responsibilities in a position with the Housing Authority. Employees shall not perform any work, service or counsel for compensation outside of the agency where any part of his/her efforts will be subject to approval by any other officer, employee, board, or commission of this Housing Authority. 2. Prohibited activities shall include but not be limited to: a. Acceptance of money or other consideration from anyone other than the Housing Authority for the performance of duties required or expected of him/her in the regular course of Housing Authority employment. b. Performance of an act in other than his/her capacity as an officer or employee which act may later be subject directly or indirectly to the control, inspection, review, audit, or enforcement of any other officer or employee of the Housing Authority. c. Any act wherein time demands would render performance of his or her duties as an officer or employee less efficient and productive. d. Embezzlement and falsification of accounts as defined in the California Penal Code. CONFLICT OF INTEREST POLICY 1. To avoid potential conflicts of interest, or the appearance of such, it is the policy of this Housing Authority that: A. No employee shall enter into any agreement, written or unwritten, without prior approval from the Executive Director or his designee, that involves any direct payment or other form of compensation as a result of any program administered by this Housing Authority, either directly or indirectly, through agreements with other parties. 17-9 B. No employee, officer, or agent of the Housing Authority shall participate directly or indirectly in the selection, award or administration of any contract if a conflict, real or apparent, would be involved. Such conflict would arise when a in the execution of a contract or in Housing Authority program participation is held by: (1) An employee, officer, or agent involved in making the award; (2) The relative of such a person (including, but not limited to, father, other, Son, daughter, brother, sister, uncle, aunt, first cousin, father-in-law, mother in-law, son-in-law, daughter-in-law, brother-inlaw, sister-in-law, stepfather, stepmother, stepson, stepdaughter, stepbrother, stepsister, half brother, or half sister); (3) The partner of such a person; or, (4) An organization which employs, is negotiating to employ, or has an arrangement concerning prospective employment of any of the above. THE CONSEQUENCES OF RULE VIOLATIONS: Any violation of prohibited activities shall be handled as for the acts set out under Section 2.I. (3) of the agency’s personnel policies on Discipline, Dismissal, and Review. 17-10