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HomeMy WebLinkAbout2018 TBRA Admin Rules RULES AND REGULATIONS OF THE OFFICE OF HOUSING AND COMMUNITY DEVELOPMENT COUNTY OF HAWAI`I TABLE OF CONTENTS RULE 1. RULES RELATING TO ADMINISTRATIVE PROCEDURE A. DEFINITIONS. . . . . . . . . . . . . . . . . . . . . . . . 1 B. GENERAL APPLICABILITY. . . . . . . . . . . . . . . . . . . 1 C. RULES SUBORDINATE TO OTHER LAWS. . . . . . . . . . . . . . 1 D. METHODS WHEREBY PUBLIC MAY OBTAIN INFORMATION. . . . . . . 1 1. Where Obtained. . . . . . . . . . . . . . . . . . . . 1 2. Submittals or Requests for Information. . . . . . . . 2 E. PETITION FOR ADOPTION, AMENDMENT OR REPEAL OF RULES. . . . 2 1. Petition. . . . . . . . . . . . . . . . . . . . . . . 2 2. Submission. . . . . . . . . . . . . . . . . . . . . . 2 3. Disposition of Petition . . . . . . . . . . . . . . . 2 F. DECLARATORY RULINGS BY OHCD. . . . . . . . . . . . . . . . 3 1. Petition. . . . . . . . . . . . . . . . . . . . . . . 3 2. Submission of Petition. . . . . . . . . . . . . . . . 3 3. Rejection of Petition . . . . . . . . . . . . . . . . 3 4. Refusal to Issue Declaratory Ruling . . . . . . . . . 3 5. Referral to Other Agencies. . . . . . . . . . . . . . 4 6. Notification of Petitioner. . . . . . . . . . . . . . 4 7. Status of Orders. . . . . . . . . . . . . . . . . . . 4 RULE 2. RULES RELATING TO CONFIDENTIALITY A. DEFINITIONS. . . . . . . . . . . . . . . . . . . . . . . . 5 B. PURPOSE. . . . . . . . . . . . . . . . . . . . . . . . . . 5 C. MAINTENANCE OF RECORDS . . . . . . . . . . . . . . . . . . 5 D. RESTRICTIONS AGAINST DISCLOSURE OF INFORMATION TO PERSONS OTHER THAN PARTICIPANTS. . . . . . . . . . . . . . 5 E. DISCLOSURE OF INFORMATION TO PARTICIPANTS. . . . . . . . . 9 F. PARTICIPANT'S RIGHT TO CORRECT CASE RECORD . . . . . . . .10 G. PENALTY. . . . . . . . . . . . . . . . . . . . . . . . . .10 Rules and Regulations -i- 0010ARslh-TBRA 11/01/07 RULE 3. A. PURPOSE. . . . . . . . . . . . . . . . . . . . . . . . . . 11 B. OBJECTIVE . . . . . . . . . . . . . . . . . . . . . . . . 11 C. DEFINITIONS. . . . . . . . . . . . . . . . . . . . . . . . 11 1. Absences. . . . . . . . . . . . . . . . . . . . . . . 11 2. Adjusted Income . . . . . . . . . . . . . . . . . . . 12 3. Allowance for Utilities and Other Services . . . . . 12 4. Annual Income . . . . . . . . . . . . . . . . . . . . 12 5. Applicant (Applicant Family): . . . . . . . . . . . . 12 6. Assets . . . . . . . . . . . . . . . . . . . . . . . 13 7. Care Attendant (Live-in Aide) . . . . . . . . . . . . 13 8. Child Care Expenses . . . . . . . . . . . . . . . . . 13 9. Co-Head of Household . . . . . . . . . . . . . . . . 14 10. Decent, Safe, and Sanitary Housing. . . . . . . . . . 14 11. Denial of Assistance for an Applicant . . . . . . . . 14 12. Dependent . . . . . . . . . . . . . . . . . . . . . . 14 13. Disabled Family . . . . . . . . . . . . . . . . . . . 14 14. Displaced Family. . . . . . . . . . . . . . . . . . . 14 15. Domestic Violence. . . . . . . . . . . . . . . . . . 14 16. Drug Related Criminal Activity. . . . . . . . . . . . 15 17. Drug Trafficking . . . . . . . . . . . . . . . . . . 15 18. Elderly Family . . . . . . . . . . . . . . . . . . . 15 19. Extremely Low-Income Family. . . . . . . . . . . . . .15 20. Family . . . . . . . . . . . . . . . . . . . . . . . 15 21. Exception Rent. . . . . . . . . . . . . . . . . . . . 15 22. Existing Housing. . . . . . . . . . . . . . . . . . . 15 23. Fair Market Rent (FMR). . . . . . . . . . . . . . . . 15 24. Family-Income (Annual Income) . . . . . . . . . . . . 16 25. Family Share. . . . . . . . . . . . . . . . . . . . . 16 26. Full-time Student . . . . . . . . . . . . . . . . . . 16 27. Gross Rent. . . . . . . . . . . . . . . . . . . . . . 16 28. HCD Act . . . . . . . . . . . . . . . . . . . . . . . 16 29. HCHA-Hawai`i County Housing Agency. . . . . . . . . . 16 30. Head of Household . . . . . . . . . . . . . . . . . . 16 31. Homeless. . . . . . . . . . . . . . . . . . . . . . . 16 32. Housing Assistance Payments . . . . . . . . . . . . . 17 33. Housing Assistance Payments Contract. . . . . . . . . 17 34. Housing Choice Voucher . . . . . . . . . . . . . . . 17 35. Housing Quality Standards . . . . . . . . . . . . . . 17 36. HUD . . . . . . . . . . . . . . . . . . . . . . . . . 17 37. Imputed Income from Assets . . . . . . . . . . . . . 17 38. Lease . . . . . . . . . . . . . . . . . . . . . . . . 17 39. Live-In Aide. . . . . . . . . . . . . . . . . . . . . 18 40. Low-Income Family . . . . . . . . . . . . . . . . . . 18 41. Medical Expenses. . . . . . . . . . . . . . . . . . . 18 42. Monthly Income . . . . . . . . . . . . . . . . . . . 18 Rules and Regulations -ii- 0010ARslh-TBRA 11/01/07 43. Monthly Income After Allowances . . . . . . . . . . . 18 44. Owner or Landlord . . . . . . . . . . . . . . . . . . 18 45. OHCD . . . . . . . . . . . . . . . . . . . . . . . . 18 46. Overcrowding. . . . . . . . . . . . . . . . . . . . . 18 47. Participant (Participating Family). . . . . . . . . . 18 48. Payment Standard. . . . . . . . . . . . . . . . . . . 19 49. Persons with Disabilities . . . . . . . . . . . . . . 19 50. Public Assistance . . . . . . . . . . . . . . . . . . 19 51. Public Housing Agency . . . . . . . . . . . . . . . . 19 52. Reasonable Rent . . . . . . . . . . . . . . . . . . . 19 53. Remaining Member of an Eligible Family . . . . . . . 19 54. Rent to Owner . . . . . . . . . . . . . . . . . . . . 19 55. Single Person . . . . . . . . . . . . . . . . . . . . 19 56. Standard, Permanent, Replacement Housing. . . . . . . 19 57. Substandard Housing. . . . . . . . . . . . . . . . . .20 58. Tenant . . . . . . . . . . . . . . . . . . . . . . . 20 59. Tenant Rent . . . . . . . . . . . . . . . . . . . . . 20 60. Total Tenant Payment. . . . . . . . . . . . . . . . . 20 61. Utility Allowance . . . . . . . . . . . . . . . . . . 20 62. Utility Reimbursement . . . . . . . . . . . . . . . . 20 63. Very Low-Income Family. . . . . . . . . . . . . . . . 20 64. Violations of Lease Agreement . . . . . . . . . . . . 21 65. Voucher . . . . . . . . . . . . . . . . . . . . . . . 21 66. Voucher Program . . . . . . . . . . . . . . . . . . . 21 67. Waiting List. . . . . . . . . . . . . . . . . . . . . 21 C. GENERAL APPLICABILITY AND SCOPE. . . . . . . . . . . . . . 21 D. PUBLIC NOTICE TO LOWER-INCOME AND/OR VERY LOW INCOME FAMILIES . . . . . . . . . . . . . . . . . 22 1. Notice of Availability of Housing Assistance. . . . . 22 2. Notice in Accordance with HUD Guidelines. . . . . . . 22 E. PUBLIC NOTICE AND INVITATION TO OWNERS . . . . . . . . . . 22 1. Invitation to Owners. . . . . . . . . . . . . . . . . 22 2. Contact with Organizations . . . . . . . . . . . . . .22 F. FAMILY INCOME . . . . . . . . . . . . . . . . . . . . . . 23 1. Annual Income Means. . . . . . . . . . . . . . . . . 23 2. Annual Income Includes. . . . . . . . . . . . . . . 23 3. Income from Temporarily Absent Family Members. . . . 25 4. Items Annual Income Does Not Include . . . . . . . . 26 5. Assets Include . . . . . . . . . . . . . . . . . . . 28 6. Assets Does Not Include. . . . . . . . . . . . . . . 30 7. Period for Determining Income. . . . . . . . . . . . 30 8. Families with Zero (0) Anticipated Annual Income . . 31 G. ELIGIBILITY CRITERIA . . . . . . . . . . . . . . . . . . 31 1. Non Discrimination . . . . . . . . . . . . . . . . . 31 2. Eligible Applicants Include. . . . . . . . . . . . . 32 Rules and Regulations -iii- 0010ARslh-TBRA 11/01/07 3.A Family may be Declared Ineligible for Rental Assistance if. . . . . . . . . . . . . . . . . . . . 32 H. APPLICATION FOR PROGRAM . . . . . . . . . . . . . . . . . 34 1. Application . . . . . . . . . . . . . . . . . . . . 34 2. Review and Placement . . . . . . . . . . . . . . . . 34 3. Record of Family . . . . . . . . . . . . . . . . . . 35 4. Misrepresentation. . . . . . . . . . . . . . . . . . 35 5. Determination of Ineligibility . . . . . . . . . . . 35 I. ESTABLISHMENT OF A WAITING LIST . . . . . . . . . . . . . 35 1. Placement on to Waiting List . . . . . . . . . . . . 35 2. Changes in Family Composition While o5 Waiting List . . . . . . . . . . . . . . . . . . . . 35 3. Changes in Family Address and Contact Information. . 35 4. Split Households Prior to Voucher Issuance. . . . . . 36 5. Closing the Waiting List . . . . . . . . . . . . . . 36 6. Ineligibility for Waiting List . . . . . . . . . . . 36 7. Purging the Waiting List . . . . . . . . . . . . . . 37 J. VERIFICATION OF ELIGIBILITY. . . . . . . . . . . . . . . . 37 1. Application for Admission . . . . . . . . . . . . . . 37 2. Verification. . . . . . . . . . . . . . . . . . . . . 37 3. Methods of Verification. . . . . . . . . . . . . . . .38 4. Release of Information. . . . . . . . . . . . . . . . 40 5. Items to be Verified. . . . . . . . . . . . . . . . . 40 6. Verification of Legal Identity. . . . . . . . . . . . 41 7. Verification of Permanent Absence of Family Member. . 42 8. Verification of Change in Family Composition . . . . 43 9. Verification of Disability . . . . . . . . . . . . . 43 10. Verification of Citizenship / Eligible Immigrant Status. . . . . . . . . . . . . . . . . . . . . . . . 43 11. Verification of Social Security Number. . . . . . . . 45 12. Medical Need for a Larger Unit . . . . . . . . . . . .46 K. ISSUANCE OF VOUCHER. . . . . . . . . . . . . . . . . . . . 46 1. Preference in Selecting Eligible Families . . . . . . 46 2. Family Briefing . . . . . . . . . . . . . . . . . . . 50 3. Expiration and Extension of Voucher . . . . . . . . . 52 4. Determination of Ineligibility . . . . . . . . . . . .53 5. Determination of Eligibility but No Voucher . . . . . 53 6. Suspension of Taking Applications . . . . . . . . . . 53 7. Providing Reference Information about the Family to Landlords . . . . . . . . . . . . . . . . . . . . . . 53 L. OCCUPANCY STANDARDS/SUBSIDY STANDARDS. . . . . . . . . . . 54 M. FINDER'S KEEPER POLICY . . . . . . . . . . . . . . . . . . 57 N. PORTABILITY OF HOUSING VOUCHERS . . . . . . . . . . . . . 57 Rules and Regulations -iv- 0010ARslh-TBRA 11/01/07 O. REQUEST FOR TENANCY APPROVAL . . . . . . . . . . . . . . . 57 1. Lease Addendum. . . . . . . . . . . . . . . . . . . . 57 2. Rent and Reasonableness Review. . . . . . . . . . . . 58 3. Inspection of Unit. . . . . . . . . . . . . . . . . . 58 4. Responsibilities of the Family. . . . . . . . . . . . 59 5. Responsibilities of the Owner . . . . . . . . . . . . 59 P. RENTS. . . . . . . . . . . . . . . . . . . . . . . . . . . 59 1. Voucher Program . . . . . . . . . . . . . . . . . . . 59 2. Rent Considerations applicable to the TBRA Program. . 60 3. Establishing the Payment Standard . . . . . . . . . . 60 4. Exception Rent . . . . . . . . . . . . . . . . . . . .60 5. Exemption from Minimum Rent Requirement . . . . . . . 60 6. Rent Calculation . . . . . . . . . . . . . . . . . . .62 Q. HOUSING ASSISTANCE PAYMENTS. . . . . . . . . . . . . . . . 63 1. Housing Assistance Payments Contract. . . . . . . . . 63 2. Amount of Housing Assistance Payments . . . . . . . . 63 3. OHCD's Financial Obligations . . . . . . . . . . . . 64 4. Limitation of Benefits to Family. . . . . . . . . . . 64 R. EXECUTION OF LEASE AGREEMENT . . . . . . . . . . . . . . . 64 1. Term of Lease . . . . . . . . . . . . . . . . . . . . 64 2. Subsequent Adjustment to Initial Contract Rent. . . . 65 3. Security Deposit. . . . . . . . . . . . . . . . . . . 65 4. Violation of Lease, Disposition of Security Deposit . 65 5. Disapproval of Lease. . . . . . . . . . . . . . . . . 65 S. CONTINUED ELIGIBILITY AND INCOME ADJUSTMENT. . . . . . . . 66 1. Eligibility for Participation . . . . . . . . . . . . 66 2. Reporting Changes in Income and Family Composition. . 66 3.Public Assistance Reduced for Fraud . . . . . . . . . 67 4.Request for Increase in Housing Assistance. . . . . . 67 5. Family Break-Up . . . . . . . . . . . . . . . . . . . 67 T. REEXAMINATION. . . . . . . . . . . . . . . . . . . . . . . 68 1. Annual Reexamination. . . . . . . . . . . . . . . . . 68 2. Re-determination of Tenant Rent and Housing Assistance Payment. . . . . . . . . . . . . . 68 3. Termination of Payments . . . . . . . . . . . . . . . 68 4. Decrease in Family Composition. . . . . . . . . . . . 68 5. Increase in Family Composition. . . . . . . . . . . . 68 6. Utility Allowances . . . . . . . . . . . . . . . . . 69 U. LENGTH OF HOUSING ASSISTANCE. . . . . . . . . . . . . . . .69 V. TERMINATION OF TENANCY . . . . . . . . . . . . . . . . . . 69 1. Termination by Owner. . . . . . . . . . . . . . . . . 69 2. Eviction by Owner . . . . . . . . . . . . . . . . . . 70 Rules and Regulations -v- 0010ARslh-TBRA 11/01/07 3. Termination or Denial of Assistance by OHCD . . . . . 70 W. DISQUALIFICATION FROM PARTICIPATION. . . . . . . . . . . . 75 X. INFORMAL SETTLEMENT OF DISPUTES. . . . . . . . . . . . . . 76 Y. HEARING ON DISPUTE . . . . . . . . . . . . . . . . . . . . 77 1. Request for a Hearing . . . . . . . . . . . . . . . . 77 2. Form and Content of Written Request . . . . . . . . . 77 3. Person Conducting Hearing . . . . . . . . . . . . . . 78 4. Notice and Conduct of Hearing; Judicial Review. . . . 78 Z. EQUAL OPPORTUNITY REQUIREMENTS . . . . . . . . . . . . . . 78 AA. SEVERABILITY . . . . . . . . . . . . . . . . . . . . . . . 78 Rules and Regulations -vi- 0010ARslh-TBRA 11/01/07 RULE 1. RULES RELATING TO ADMINISTRATIVE PROCEDURE A. DEFINITIONS For the purpose of this rule: 1. “Administrator” means the Housing Administrator of the Office of Housing and Community Development, County of Hawai`i. 2. “OHCD” means the Office of Housing and Community Development, County of Hawai`i. 3. “Interested person” means a person having a direct and not merely a consequential interest in the matter of concern; a person with an interest which is greater than that of a member of the general public. B. GENERAL APPLICABILITY These rules shall regulate the practice and procedure before the OHCD and its Administrator, pursuant to Chapter 91, Hawai’i Revised Statutes; Sections 46-15 and 46-15.1, Hawai’i Revised Statutes; the Charter of the County of Hawai’i; Chapter 2, Article 5, Hawai’i County Code; and other related acts and may now or hereafter be administered by the Administrator of the Agency. They shall be construed to secure the just, speedy, and inexpensive determination of every proceeding. C. RULES SUBORDINATE TO OTHER LAWS All rules of the OHCD are subordinate to Sections 46-15 and 46-15.1, Hawai’i Revised Statutes, and to any applicable Federal Law or federal assistance requirements. In the event any rule of the OHCD is contrary to or conflicts with said sections or any federal assistance requirement, then such sections or requirement shall govern over any rule to the contrary. D. METHODS WHEREBY PUBLIC MAY OBTAIN INFORMATION 1. Where Obtained The public may obtain information as to matters within the jurisdiction of the OHCD, County of Hawai’i by inquiring at: a. The Office of the County Clerk, County Building; Rules and Regulations -1- 0010ARslh-TBRA 11/01/2007 OR b. The Office of Housing and Community Development, 50 Wailuku Drive, Hilo, Hawai'i 96720. All rules, orders or opinions of the OHCD are on file and available for public inspection at said office. Copies of compilations of rules and supplements thereto are available to the public at a price to be fixed by the OHCD to cover mailing and publication costs. 2. Submittals or Requests for Information Such inquiry may be made in person at said office during business hours, or by submitting a request for information in writing to the Administrator of the Office of Housing and Community Development, 50 Wailuku Drive, Hilo, Hawai’i 96720. E. PETITION FOR ADOPTION, AMENDMENT OR REPEAL OF RULES 1.Petition Any interested person may petition the OHCD requesting the adoption, amendment or repeal of any rule of the OHCD. 2. Submission The petition shall be submitted in five (5) copies to the Office of Housing and Community Development, 50 Wailuku Drive, Hilo, Hawai'i 96720. It shall include: a. A statement of the nature of the petitioner's interest. b. A draft or the substance of the proposed rule or amendment or a designation of the provision sought to be repealed. c. An explicit statement of the reasons in support of the proposed rule, amendment or repeal. 3. Disposition of Petition The OHCD shall within thirty (30) days after the submission of the petition either deny the petition in writing, stating its reasons for such denial, or initiate proceedings in accordance with Section 91-3, Rules and Regulations -2- 0010ARslh-TBRA 11/01/2007 Hawai’i Revised Statutes, for the adoption, amendment or repeal of the rule, as the case may be. F. DECLARATORY RULINGS BY OHCD 1. Petition Any interested person may petition the Administrator of the OHCD for a declaratory order as to the applicability of any statute or ordinance relating to the OHCD, or of any rule or order of the OHCD. 2. Submission of Petition The petition shall be submitted in five (5) copies to the Office of Housing and Community Development, 50 Wailuku Drive, Hilo, Hawai'i 96720. It shall contain: a. The name, address and telephone number of the petitioner. b. A statement of the nature of petitioner's interest, including reasons for the submission of the petition. c. A designation of the specific provision, rule or order in question. d. A complete statement of facts. e. A statement of the position or contention of the petitioner. f. A memorandum of authorities, containing a full disclosure of the reasons, including any legal authorities, in support of such position or contention. 3. Rejection of Petition Any petition which does not conform to the foregoing requirements may be rejected. 4. Refusal to Issue Declaratory Ruling The Administrator may for good cause refuse to issue a declaratory ruling. Without limiting the generality of the foregoing, the OHCD may so refuse where: Rules and Regulations -3- 0010ARslh-TBRA 11/01/2007 a. The question is speculative or purely hypothetical and does not involve existing fact, or facts which can reasonably be expected to exist in the near future. b. The petitioner's interest is not of the type which would give him standing to maintain an action if he were to seek judicial relief. c. The issuance of the declaratory ruling may adversely affect the interest of the County, the OHCD or any of their officers or employees in any litigation, which is pending or may reasonably be expected to arise. d. The matter is not within the jurisdiction of the OHCD. 5. Referral to Other Agencies Where any question of law is involved, the OHCD shall refer the matter to the Corporation Counsel or his agent or assigns. The OHCD may also obtain the assistance of other agencies, where necessary or desirable. 6. Notification of Petitioner Upon the disposition of his petition, the petitioner shall be promptly informed thereof by the Administrator. 7. Status of Orders Orders disposing of petitions shall have the same status as other OHCD orders. Orders shall be applicable only to the fact situation alleged in the petition or set forth in the order. They shall not be applicable to different fact situations or where additional facts not considered in the order exist. Rules and Regulations -4- 0010ARslh-TBRA 11/01/2007 RULE 2. RULES RELATING TO CONFIDENTIALITY A. DEFINITIONS For the purpose of this rule: 1. “OHCD” means the Office of Housing and Community Development. 2. “HUD” means the Department of Housing and Urban Development. 3. “Participant” means any applicant, tenant, family, owner, landlord agent, or entity that participates in housing assistance programs. B. PURPOSE The purpose of these rules shall be to define the conditions under which the OHCD may disclose information relating to participants of housing assistance programs. C. MAINTENANCE OF RECORDS 1. The OHCD shall keep records to document information acquired about participants in the administration of housing assistance programs. 2. This information shall: a. Substantiate the expenditure of public funds; b. Be kept in confidential records and files of the OHCD. D. RESTRICTIONS AGAINST DISCLOSURE OF INFORMATION TO PERSONS OTHER THAN PARTICIPANTS 1. The following information shall be confidential and shall not be used to disclose except as provided in Section D (2): a. Names and addresses of participants, and amounts of assistance provided. This includes prohibition against release of information to any federal, state, municipal, or local committee or legislative body; b. Information related to the social and economic Rules and Regulations -5- 0010ARslh-TBRA 11/01/2007 condition or circumstances of a particular individual, whether or not a participant; c. OHCD's evaluation of recorded or unrecorded information about a particular participant; d. Medical, psychological, or psychiatric data, including diagnosis and history of disease or disability of a particular participant; e. Correspondence concerning a particular participant; and f. The name of the worker or unit in which the case is or was active. 2. The use or disclosure of any of the information specified in Section (D1) shall be limited to the following persons or purposes and, unless otherwise stated, this excludes inspection of their case record: a. Disclosure for purposes directly connected with the administration of housing assistance programs. (1) Only the employees of the OHCD and HUD in the performance of the employees' official duties shall have access to the entire case record. (2) Disclosure shall be allowed to the extent necessary to provide services and to determine eligibility or amount of assistance for participants identified in Sec. C. (3) Under the provision of Section D (2) (a), disclosure to the following agencies shall be permitted: (i) Social service agencies from which the participant receives services and, (ii) Agencies administering programs under the Social Security Act. (4) When disclosure to individuals or agencies other than those specified in Section D(2)(a)(1) is necessary and permitted under Section D(2)(a)(2) and the participant has a choice as to whether disclosure is to be made (does not include situations such as fraud, Rules and Regulations -6- 0010ARslh-TBRA 11/01/2007 theft, deception, forgery), the participant shall be presented with the following options: (i) Permit the OHCD to disclose the participant's status with the OHCD and secure the information needed; (ii) Secure appropriately documented information independently; or (iii)Have application, assistance, or services denied or terminated or specific services not rendered. b. Disclosure for purpose directly connected with any investigation, prosecution, or criminal or civil proceedings conducted in connection with the administration of the housing assistance programs. Under this paragraph, disclosure shall be permitted: (1) To Police Departments, Prosecutor's Offices, the Attorney General's Office, the Ombudsman's Office, or any other federal, state, or municipal agency; and (2) For such purposes as: (i) The detection, investigation, or prosecution of violations of applicable State and Federal laws or regulations in connection with these programs, including any and all aspects of theft, fraud, deception, and overpayment; (ii) Another Public Housing Agency's or the OHCD's claims against participants; (iii)Responding to requests for information in connection with lawsuits challenging the administration of housing assistance programs; and (iv) Providing information to the Ombudsman's Office investigating complaints about the administration of housing assistance programs. Rules and Regulations -7- 0010ARslh-TBRA 11/01/2007 c. Disclosure for purposes of the administration of other Federal or Federally-assisted programs, which provide assistance, in cash, or in kind, or services directly related to participants on the basis of need. Under this paragraph, disclosure shall be permitted for purposes of administering programs such as: (1) Social Security-Supplemental Security Income; and (2) Another Public Housing Agency’s Section 8, Rental Assistance programs, and low income housing projects. d. Disclosure to banks, financial institutions or any other payer of a housing assistance warrant or check. Under this paragraph, disclosure shall be limited to information indicating that a housing assistance warrant or check honored by the bank, institution, or payer has been forged or otherwise wrongfully presented for payment; e. Disclosure to a criminal law enforcement agency of the County of Hawai’i, the State of Hawai’i, another state, or the federal government, if the disclosure is for the purpose of a civil or criminal law enforcement activity, authorized by law and requested in writing. Under this paragraph, information shall be limited to the individual’s name, addresses, and other identifying particulars, including present and past places of employment. f. Disclosure to individuals or agencies other than those specified in Section D (2) (a) through Section D (2) (e) will be completed only when written authorization has been obtained from the participant. The written authorization shall specifically include the participant's or legal guardian's consent to have the information released or the record reviewed. (1) When individuals other than participants or legal guardians of participants wish to obtain information, or to review a record, the individual shall submit a statement, signed and dated by the participant or legal guardian of the participant specifying: Rules and Regulations -8- 0010ARslh-TBRA 11/01/2007 (a) The name of the individual authorized to receive the information or to review the record, and the individual's OHCD connection, if any; (b) The purpose for which the information is being sought; (c) Participant's social security number or birth-date, and address; and (d) Specific period of time the authorization is valid, not to exceed ninety days. (2) Reproduced copies of information requested shall be provided at costs established in HRS §92-21 at not less than five cents per copy. Copies of rules shall be charged at ten cents per page, or as otherwise established in HRS § 91.2.5. Actual postage costs shall be charged. Disclosure to owners or their designated agents of Federally-funded projects under this paragraph shall be permitted only for participants of Federally-funded projects and only to facilitate the provision of services or financial assistance to the participants. E. DISCLOSURE OF INFORMATION TO PARTICIPANTS 1. Case records shall be reviewed only in designated areas within the OHCD's office. The records shall not be removed from the premises. 2. Information from records shall be released to the participant or legal guardian of the participant upon the individual's request provided that a signed and dated written request is received. 3. When the information requested contains or consists of coded or abbreviated material, such as computer input and input and output forms, the OHCD shall provide, if requested, translations of the codes or abbreviations. 4. Reproduced copies of information requested shall be provided at costs established in HRS §92-21 at not less than five cents per copy. Copies of rules shall be Rules and Regulations -9- 0010ARslh-TBRA 11/01/2007 charged at ten cents per page, or as otherwise established in HRS §91.2.5. F. PARTICIPANT'S RIGHT TO CORRECT CASE RECORD 1. Each participant shall have the right to have any factual error in the participant's case record corrected and any misrepresentation or misleading entry in the record amended by the OHCD. 2. The participant shall make the request in writing specifying the information the participant wishes corrected. 3. Within twenty working days after the receipt of the written request, the OHCD shall acknowledge the request in writing and: a. Make the requested correction or amendment; and b. Inform the participant in writing if information is not to be corrected or amended, the reason for the refusal, and the participant's right to request a review of the refusal by the OHCD. G. PENALTY 1. Any person who fails to safeguard confidential information or who violates rules governing the confidential nature of OHCD information may be prosecuted. Violators shall include, but shall not be limited to: a. Any person, including any person who acquires information through authorized inspection, who, knowing the information to have been acquired from the records or files of the department, intentionally divulges the information other than as authorized by law; and b. A person who intentionally and knowingly aids or abets an unauthorized person in the inspection of the records or files. 2. If the court determines that the OHCD acted in a willful and intentional manner in failing to properly maintain the case record, the provisions of Section 92E-11, HRS shall apply. Rules and Regulations -10- 0010ARslh-TBRA 11/01/2007 RULE 3. A. PURPOSE These rules and regulations are adopted under the Hawai’i Administrative Procedures Act, Chapter 91, Hawai’i Revised Statutes, pursuant to Chapter 2, Article 5, Section 2, Hawai’i County Code, and are intended to set forth the essential elements to implement the B. OBJECTIVE The primary objective of this program will be to provide temporary rental assistance to eligible families. This program is intended to provide temporary (two years) rental assistance to eligible families. All families selected for the TBRA program must submit an application to the Housing Choice Voucher (Section 8) Program. HOME monies awarded to this program will be used to fund the TBRA program. The funding amounts available will determine the number of families assisted by the TBRA program. C. DEFINITIONS Unless otherwise clear from the context as used herein, the following terms for the purpose of these rules shall mean: 1. Absences: Temporary or Permanent periods of time when a family or a family member is away from the unit. Family income and the size of the unit may be affected by such absences. a. Permanent Absence: A family member shall be considered permanently absent from the unit if the member is not expected to return to the household within one (1) year of the member's departure from the household. Examples of permanent absences are those caused by divorce, incarceration or entry into a nursing home. In all cases the family must provide reasonable proof that the absence is of a permanent rather than temporary nature. Rules and Regulations -11- 0010ARslh-TBRA 11/01/2007 b. Temporary Absence: Periods of time shorter than one year during which a family member may be absent from the unit. Examples of temporary absences include time spent away at school, time spent in foster care, staying with friends or relatives, or serving in the military. c. The entire family cannot be absent from the unit for more than four (4) consecutive weeks. Both the landlord and OHCD shall be notified by the family if the head of household will be temporarily absent for more than ten (10) consecutive days. If any other household members are temporarily absent for more than 14 consecutive days, OHCD and the landlord shall be notified by the Head of Household or the Co-Head. 2. Adjusted Income: The Annual income less: a. $480 for each dependent; b. $400 for any elderly family or disabled family; c. Un-reimbursed medical expenses for any Elderly Family or Disabled Family and un-reimbursed reasonable attendant care and auxiliary apparatus expenses for a Person with Disabilities. d. Any reasonable child care expenses necessary to enable a member of the family to be employed or to further his or her education. 3. Allowance for Utilities and Other Services: An amount determined and allowed by the OHCD as an allowance for the cost of utilities (except telephone and cable television) and charges for other services payable directly by the family. 4. Annual Income: The anticipated total annual income of an eligible family from all sources for a 12-month period following the date of determination of income, computed in accordance with Part F, herein. 5. Applicant (Applicant Family): A family that has applied for admission to the program and is on the waiting list, or has been certified but has not yet executed a HAP Contract. 6. Assets: The cash value or equity in real property, savings, stocks, bonds and other forms of capital Rules and Regulations -12- 0010ARslh-TBRA 11/01/2007 investment but excluding household furnishings and automobile for personal use (see section F). 7. Care Attendant (Live-in Aide): A person, who resides with one or more elderly individual(s) or Persons with Disabilities and who, a) is deemed to be essential to the care and well-being of the person, b) is not obligated to provide for the financial support of the person and c) would not be living in the unit except to provide the necessary supportive services. 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. A Live in Aide may only reside in the unit with the approval of the OHCD. Written verification will be required from a reliable, knowledgeable professional, such as a doctor, social worker, or case worker. The verification provider must certify that a live-in aide is needed for the care of the family member who is elderly, near-elderly (50-61) or disabled. The OHCD 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. Approval of a live-in aide for reasonable accommodation will be in accordance with CFR 24 Part 8. In accordance with 24 CFR 982.316 at any time, the OHCD may refuse to approve a particular person as a live-in aide or may withdraw such approval if: the person commits fraud, bribery, or any other corrupt or criminal act in connection with any federal housing program; the person commits drug-related criminal activity or violent criminal activity; or the person current owes rent or other amounts to the OHCD or to another PHA in connection with Section 8 or public housing assistance under the 1937 Act. A Live-In Aide has no residual rights to the Housing Choice Voucher. 8. Child Care Expenses: Amounts anticipated to be paid by the family for the care of children under 13 years of age during the period for which annual income is computed, but only where such care is necessary to enable a family members capable of providing such care to be gainfully employed or to further his or her Rules and Regulations -13- 0010ARslh-TBRA 11/01/2007 education and only to the extent such amounts are not reimbursed. The amount shall reflect reasonable charges for child care. In the case of child care necessary to permit employment, the amount shall not exceed the amount of employment income that is included in the annual income. 9. Co-Head of Household: The spouse and/or one other adult member in the Family who shares responsibility and benefits with the head of household. 10. Decent, Safe, and Sanitary Housing: Housing which meets the Housing Quality Standards (HQS) Part 982.401-406 of 24 CFR. 11. Denial of Assistance for an Applicant: Includes any or all of the following: Denying listing on the OHCD Waiting List, denying or withdrawing a Voucher, refusing to enter into a HAP Contract or approve a Lease and refusing to process or provide assistance under Portability procedures. 12. Dependent: A member of the family household (except for foster children and foster adults) other than the Head of Household or spouse, who is under 18 years of age or is a Persons with Disabilities or is a Full-Time student. 13. Disabled Family: A family whose head, spouse or sole member is a Person with Disabilities, as defined by 24 CFR 5.403. It may include two (2) or more Persons with Disabilities living together; or one (1) or more Persons with Disabilities living with one or more live- in aides. 14. Displaced Family: A displaced family is one who temporarily resides in transient facilities such as motels, hotels, shelters, temporarily resides as a household guests; or is other “homeless” or living in “substandard, permanent replacement housing” is not displaced. 15. Domestic Violence: Defined as a person who is a victim of domestic abuse as defined in the Hawaii Revised Statues, Domestic Violence Protective Order Statues. 16. Drug Related Criminal Activity: See Section V.3.j. Rules and Regulations -14- 0010ARslh-TBRA 11/01/2007 17. Drug Trafficking: The illegal manufacture, sale or distribution, or the possession with intent to manufacture, sell or distribute, of a controlled substance as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802). A family whose head, spouse or whose 18. Elderly Family: sole member is at least 62 years of age. It may include two (2) or more persons who are at least sixty two (62) years of age living together, or one (1) or more persons who are at least sixty two (62) years of age living with one (1) or more Live-in Aides. 19. Extremely Low-Income Family: A family whose income does not exceed thirty percent (30%) of the median income for an area as determined by HUD, with adjustments for family size. 20. Family: "Family" includes but is not limited to: a. Two or more persons intending to or sharing residency whose income and resources are available to meet the family's needs; or b. An Elderly Family as defined in this section; or c. The remaining member of a family; or d. A Disabled Family; or e. A Displaced Family; or f. A single person who is not elderly, displaced, or a Person with Disabilities or the remaining member of an eligible family. 21. Exception Rent: An amount in excess of the Payment Standard or Fair Market Rent approved either by HUD or OHCD in accordance with 24 CFR Part 982.503. 22. Existing Housing: Housing that is Decent, Safe and Sanitary, as outlined in 24 CFR, Part 982.401-406 and is available for lease by participants in the TBRA Program. 23. Fair Market Rent (FMR): The rent that must be paid in the housing market area to rent privately owned, existing, decent, safe and sanitary rental housing of modest (non luxury) nature with suitable amenities. Rules and Regulations -15- 0010ARslh-TBRA 11/01/2007 The rents are established by HUD and published periodically. They are listed by bedroom size, and include a utility allowance. See periodic publications in the Federal Register in accordance with 24 CFR Part 888. 24. Family Income (Annual Income): See Section F. The portion of the rent and utilities 25. Family Share: paid by the Family. 26. Full-time Student: A person who is in full-time attendance (equal to a full-time day student) under the standards and practices of a qualified educational institution he or she is attending. : The sum of Rent to Owner plus any utility 27. Gross Rent allowance. 28. HCD Act (Act): The Housing and Community Development Act of 1974. 29. HCHA-Hawai’i County Housing Agency: The governing body which establishes policies for the OHCD. 30. Head of Household: That adult member or emancipated minor of a Family who is the head of household for purposes of determining income eligibility and rent and is responsible for the lease. 31. Homeless: Rules and Regulations -16- 0010ARslh-TBRA 11/01/2007 32. Housing Assistance Payments (HAP): The monthly assistance payment by the OHCD, which includes: a. A payment to the Owner for Rent to Owner under the Family’s lease; and b. An additional payment to the Family if the total assistance payment exceeds the Rent to Owner. A 33. Housing Assistance Payments Contract (HAP Contract): written agreement between the OHCD and an owner for the purpose of providing housing assistance payments under the TBRA Program to the owner on behalf of an eligible family. 34. Housing Choice Voucher: A document issued by a PHA declaring a family to be eligible for participation in the TBRA Program and stating the terms and conditions for the family’s participation. (Also see “Voucher” in this section.) 35. Housing Quality Standards (HQS): The performance requirements and acceptability criteria for housing set forth in 24 CFR Part 982.401-406 36. HUD: The Department of Housing and Urban Development or its designee. 37. Imputed Income from Assets: If the net family assets are up to $5,000.00, the actual income from assets is counted into the family's annual income. If the net family assets are more than $5,000.00, the greater of the following shall be used: a. The actual income from assets; or b. Imputed income from assets which can be obtained by taking the HUD passbook rate (which HUD may change from time to time) times the cash value of the assets. 38. Lease: A written agreement between an Owner and a tenant for the leasing of a dwelling unit to the tenant. The Lease establishes the conditions for occupancy of the dwelling unit by a Family with housing assistance payments under a HAP Contract between the Owner and the OHCD. Rules and Regulations -17- 0010ARslh-TBRA 11/01/2007 39. Live-In Aide: See definition for Care Attendant. 40. Low-Income Family: A family whose income does not exceed eighty percent (80%) of the median income for an area as determined by HUD with adjustments for smaller or larger families, except that HUD may establish income limits higher or lower than eighty percent (80%) for areas with unusually high or low incomes. 41. Medical Expenses: Those medical expenses which are anticipated during the 12-month period for which the Annual Income is computed, and which are not covered by insurance or otherwise reimbursed (however, premiums for such insurance may be included as medical expenses). When it is unclear in the HUD rules as to whether or not to allow an item as a medical expense, the most current published Internal Revenue Service (IRS) Publication 502 will be used as a guide. Non- prescription medicines must be doctor-recommended in order to be considered a medical expense. 42. Monthly Income: One-twelfth of the Annual Income. 43. Monthly Income after Allowances (Adjusted Monthly Income): One-twelfth of the Annual Income after allowances. 44. Owner or Landlord: Any person or entity, including a cooperative, having the legal right to lease or sub-lease to Participants. 45. OHCD-The Office of Housing and Community Development: An office which executes housing policies for Hawai’i County and is administratively assigned to the Mayor's Office. 46. Overcrowding: 47. Participant (Participant Family): A family that has been admitted to the OHCD’s Section 8 Program is currently assisted in the Program. 48. Payment Standard: The maximum monthly assistance payment for a family assisted in the voucher program (before deducting the total tenant payment by the family.) 49. Persons with Disabilities: A person with disabilities Rules and Regulations -18- 0010ARslh-TBRA 11/01/2007 as defined under 24 CFR 5.403. 50. Public Assistance: Welfare or other payments to families or individuals, based on need, which are made under programs funded separately or jointly by the Federal and/or State governments. 51. Public Housing Agency (PHA): Any State, County, municipality or other governmental entity or public body (or agency or instrumentality thereof) which is authorized to engage or assist in the development or operation of housing for low-income families. 52. Reasonable Rent: A rent to owner that is not more than rent charged for a) comparable units in the private unassisted rental market and b) comparable unassisted units in the same premises. 53. Remaining Member of an Eligible Family: An individual remaining in a unit when other member(s) of an assisted family have moved, unless this individual was a care attendant, who was necessary to care for the well-being of an elderly or disabled head of household or spouse, and whose income was not counted for eligibility or Total Tenant Payment purposes. 54. Rent to Owner (formerly known as Contract Rent): The total monthly rent payable to the Owner under the Lease for the unit. Rent to Owner covers payment for any housing services, maintenance and utilities that the Owner is required to provide and pay for. 55. Single Person: A person living alone or intending to live alone who does not qualify as an elderly, disabled or displaced person or the remaining member of an eligible family. 56. Standard, permanent, replacement housing: 57. Rules and Regulations -19- 0010ARslh-TBRA 11/01/2007 58. Tenant: The person or persons (other than a live-in aide) who executes the lease as lessee of the unit. 59. Tenant Rent: The amount payable monthly by the family as rent to the unit Owner. 60. Total Tenant Payment (TTP): The total amount the HUD rent formula requires the tenant to pay toward rent and utilities. 61. Utility Allowance: An amount equal to the estimate established by the PHA of the monthly costs of utilities and other housing services for an assisted unit by an energy conservative household of modest circumstances consistent with the requirements of a safe, sanitary and healthful living environment. The estimates are not included in the tenant rent but are the responsibility of the family occupying the unit. The PHA will review the utility allowance schedule annually. If the review finds a utility rate has changed by ten (10) percent or more since the last revision of the utility allowance schedule, the schedule will be revised to reflect the new rate. 62. Utility Reimbursement: The portion of the housing assistance payment which exceeds the amount of the Rent to Owner. 63. Very Low-Income Family: A family whose income does not exceed fifty percent (50%) of the median income for an area as determined by HUD, with adjustments for family size. 64. Violations of Lease Agreement: a. Serious Violation - The intentional or unintentional breach of the lease agreement or other signed document which constitutes grounds for eviction. Examples include, but are not limited to, non-payment of rent, destruction of Rules and Regulations -20- 0010ARslh-TBRA 11/01/2007 landlord's property, willfully exceeding the number of authorized occupants, subleasing of an assigned unit, and the use, possession or storage of any unlawful or controlled article or substance. – Repeated infraction of the b. Repeated Violation lease agreement or other signed document, the repetition of which causes undo annoyance and/or loss of the quiet enjoyment of another's unit. Three minor violations may constitute a major violation. Examples include, but are not limited to: the payment of rent after the due date but within the grace period allowed by the landlord; disturbance of the peaceful enjoyment of another's unit; failure to maintain the unit as required in the lease agreement; actions which adversely affect the health or safety of another person; police being called to the premises or other reports that subsequently confirm that infractions have occurred. A document issued by a PHA declaring a family 65. Voucher: to be eligible for participation in the Voucher Program and stating the terms and conditions for the family's participation. 66. Voucher Program: A Section 8 Tenant Based Rental Assistance Program, also known as a Housing Choice Voucher Program. 67. Waiting List: The compiled names of preliminary eligible applicants waiting to become participants in the Housing Assistance Payments Program. C. GENERAL APPLICABILITY AND SCOPE The policies and procedures contained herein are applicable to the making of housing assistance payments on behalf of eligible families leasing housing pursuant to the provisions of Section 8 of the Act. To implement the TBRA Program, the OHCD, is authorized to lease or cause to be leased to eligible families, units which are in decent, safe and sanitary condition. Funding for the TBRA Program is provided by HUD through the HOME Program. Rules and Regulations -21- 0010ARslh-TBRA 11/01/2007 D. PUBLIC NOTICE TO LOWER-INCOME AND/OR VERY LOW-INCOME FAMILIES 1. Notice of Availability of Housing Assistance The OHCD shall make known to the public through publication in a newspaper of general circulation and other suitable means, the availability and nature of housing assistance for very-low income and/or extremely-low income families. The notice shall further inform such families where and how they may apply for the TBRA Program. 2. Notice in Accordance with HUD Guidelines Such notice shall be made in accordance with the OHCD's HUD-approved equal opportunity housing plan and with the HUD guidelines for fair housing requiring the use of the equal housing opportunity logotype, statement, and slogan, emphasizing outreach to families not otherwise expected to apply. E. PUBLIC NOTICE AND INVITATION TO OWNERS 1. Invitation to Owners The OHCD shall invite Owners through publication in a newspaper of general circulation and other suitable means to make dwelling units available for lease by eligible families. In so doing, the OHCD shall encourage the participation of Owners of units in areas other than low-income or minority concentration. Invitations to Owners shall be made in accordance with the applicable HUD guidelines. 2. Contact with Organizations The OHCD shall: a. develop working relationships with local Owners and real estate associations, b. establish contact with civic, charitable, or neighborhood organizations which have an interest in housing for low-income families, and public agencies concerned with obtaining housing for displaces, and Rules and Regulations -22- 0010ARslh-TBRA 11/01/2007 c. explain the provisions of the program including equal opportunity requirements, to real estate, landlord, and other groups the members of which have dealings with low-income families or are interested in housing such families. F. FAMILY INCOME 1. Annual Income means all amounts, monetary or not, which: a. Go to, or on behalf of, the family head of household or spouse (even if temporary absent) or to any other family members; or b. Are anticipated to be received from a source outside the Family during the twelve (12) month period following admission or annual reexamination effective date; c. Which are not specifically excluded in Item 4 of this Section; and d. Annual Income also means amounts derived (during the twelve (12) month period) from assets to which any member of the Family has access. 2. Annual Income Includes; but is not limited to: a. The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fee, tips and bonuses and other compensation for personal services. b. All regular pay, special pay and allowances of the head, spouse, or adult family member of the Armed Forces, whether or not such member is living in the unit. c. The net income from the operation of a business or profession. Expenditures for business expansion or amortization or capital improvements shall not be used as deductions in determining net income. An allowance for depreciation of assets used in a business or profession may be deducted, based on straight line depreciation, as provided in Internal Revenue Service regulations. Any withdrawal of cash or assets from the operation of a business or profession will be included in Rules and Regulations -23- 0010ARslh-TBRA 11/01/2007 income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the Family. d. Interest, dividends, income from net family assets including income distributed from trust funds, and imputed income from assets. This income includes: (1) The interest portion of monthly payments received by the family on deeds of trust or mortgages. (2) Income from assets even if the family does not directly receive the cash. e. Welfare (Public Assistance) which includes payment to families or individuals on the basis of economic need, age, family composition and size, and health of recipient and any other such financial benefit not specifically excluded under Item 4 of this section. Reductions in public or welfare assistance from sanctions imposed by the welfare agency may continue to be counted as income even when the recipient is no longer receiving the income. See Section S. f. The full amount and benefits of periodic amounts received from Social Security Benefits; Supplemental Security Income; Railroad Retirement; U.S. Military Retirement; Miners' Black lung Benefits; the Veterans Administration; Retirement Pensions into which the individual has made payment, or is eligible to receive payments by virtue of the previous participation by the individual, spouse or head of household; all Veteran Administration funds; periodic annuities from insurance policies or disability or death benefits; and other periodic receipts. g. The amount of alimony and/or child support payments as specified in the divorce settlement or separation agreement unless the family certifies the income is not being provided and has made reasonable effort to collect the amounts due by filing with the courts or agencies responsible for enforcing payment. Rules and Regulations -24- 0010ARslh-TBRA 11/01/2007 h. Other Income such as income from Unemployment Insurance Benefits, Temporary Disability Insurance; Workmen's Compensation, and Severance Pay; lottery winnings paid in periodic payments; recurring monetary contributions or gifts regularly received from persons not living in the unit; lump sum benefits that are delayed payments of periodic income; and other types of periodic receipts. i. Periodic and determinable allowances, such as lottery winnings paid in periodic payments; recurring contributions or gifts regularly received from organizations or from persons not living in the unit; wagering and gambling; and other types of periodic receipts. j. Anticipated amounts and benefits derived (during the twelve (12) month period following admission or annual reexamination effective date) from assets to which any member of the Family has access. 3. Income from Temporarily or Permanently Absent Family Members The OHCD shall determine if the absent persons still qualify as household members. If they do qualify, all their income must be included, even if part or all of their income is not available to the family. If they do not qualify, their income must not be included in the annual income. If a family member is confined to a nursing home or hospital on a permanent basis, that person is no longer a member of the assisted household and the income of that person is not counted. 4. Items Annual Income does not Include: The following items shall not be considered as income: a. Temporary, nonrecurring or sporadic income (including gifts). This is defined as income that is occasional, not reliable and does not occur in a regular interval of time; Rules and Regulations -25- 0010ARslh-TBRA 11/01/2007 b. Amounts which are specifically for or in reimbursement of the cost of medical expenses; c. One-time lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and workmen's compensation), capital gains and settlement for personal or property losses; d. The full amount of student financial assistance paid directly to the student or to the educational institution. e. The special pay to a Family member serving in the Armed Forces who is exposed to hostile fire; f. Income from employment of children (including foster children) under the age of 18 years; g. Earnings in excess of four hundred eighty dollars ($480) for each full time student eighteen (18) years old or older (excluding the Head or Co-Head of Household). h. Relocation payments made pursuant to Title II of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970; i. Payments received for the care of foster children or foster adults (usually persons with disabilities, unrelated to the tenant Family, who are unable to live alone); j. Amounts received under training programs funded by HUD; k. Amounts received by a person with a disability that are disregarded for a limited time for purposes of Supplemental Security Income eligibility and benefits because they are set aside for use under a Plan to Attain Self- Sufficiency (PASS). l. Amounts received by a participant in other publicly assisted programs which are specifically for or in reimbursement of out-of-pocket expense incurred (special equipment, clothing, transportation, childcare, etc.) and which are made solely to allow participation in a specific program. Rules and Regulations -26- 0010ARslh-TBRA 11/01/2007 m. The value of coupon or other allotments for the purchase of food pursuant to the Food Stamp Act of 1977; n. Payments to volunteers under the Domestic Volunteer Service Act of 1973; o. Payments received under the Alaska Native Claims Settlement Act; p. Incremental compensation from State or local job training programs and training of resident management staff during the training period; q. Income derived from certain sub-marginal land of the United States that is held in trust for certain Indian tribes; r. Payments or allowances made under the Department of Health and Human Services' Low-Income Home Energy Assistance Program; s. Income derived from the disposition of funds of the Grand River Bank of Ottawa Indians; t. The first $2,000.00 of per capita shares received from judgment funds awarded by the Indian Claims Commission or the Court of Claims or from funds held in trust for an Indian tribe by the Secretary of Interior; u. Deferred periodic payments received in lump sum from Supplemental Security Income (SSI) and Social Security Benefits; v. Amounts received by the Family in the form of refunds, rebates, or Earned Income Credit under State or local law for property taxes paid on the dwelling unit; w. Home care payments for developmentally disabled children or adult family members; x. Resident service stipends if they are less than $200.00 per month. (Amounts more than $200.00 per month is not considered "stipends"); y. Income of a Live-In Aide, as defined in 24 CFR Rules and Regulations -27- 0010ARslh-TBRA 11/01/2007 5.403. z. Amounts paid by a State agency to a family with a member who has a development disability and is living at home to offset the cost of services and equipment needed to keep the developmentally disabled family member at home; or aa. Amounts specifically excluded by any other Federal statue from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under any program to which the exclusion set forth in 25 CFR 5.609(c) apply. 5. Assets Include: a. Amounts including, without limitation, in checking accounts, savings accounts, safety deposit boxes, at home, etc.The PHA will submit a third party request to the financial institution. The PHA will use the information provided by the financial institution to calculate the value and income from assets. If the financial institution does not provide information, the PHA will request for information from the family (at least three (3) months of information for checking accounts) and the current balance of the savings account.) b. Principal value of any trust available to the Family. In cases where a trust fund has been established and the trust is not revocable by, or under the control of, any member of the family or household, the value of the trust will not be considered an asset so long as the fund continues to be held in trust. Any income distributed from the trust fund shall be counted when determining Annual Income. c. Equity in rental property or other capital investments. Equity is the market value less any unpaid loans secured by the property and any reasonable costs that would be incurred in selling the asset. d. Equity in contract for deed and mortgages. The equity is the market value less any loans or outstanding balances, expenses in selling the property and settlement costs. Rules and Regulations -28- 0010ARslh-TBRA 11/01/2007 e. Stocks, bonds, Treasury Bills, certificates of deposit, money market funds and other investment accounts. f. Assets, which although owned by more than one person, allow unrestricted access to any member of the family. For example, there are multiple account holders of which one or more are member(s) of the household. g. Individual Retirement and Keogh Accounts including those where participation in such retirement savings accounts is voluntary and the holder has access to the funds, even though a penalty may be assessed. h. Company Retirement and Pension Funds if any member of the family has access to the asset as follows: (1) While a person is employed, include only the amount the family member can withdraw without retiring or terminating employment. (2) At retirement or termination of employment, include the lump-sum benefit to be received (if payments are periodic, such benefits will be included as income). i. Lump-sum receipts including inheritances, capital gains, one-time lottery winnings, cash from sale of assets, Social Security and SSI lump sum payments, insurance settlements (including payments under health and accident insurance and worker’s compensation), settlement for personal or property losses, and other claims. j. Personal property held as an investment including but not limited to gems, jewelry, coin collections, art, or antique cars. k. Cash value to life insurance policies. l. Assets disposed of for less than fair value - If a family disposed of an asset (value of $1,000 or more) for less than fair market value during the two (2) years preceding the effective date of the certification or re-certification, the following shall be computed: Rules and Regulations -29- 0010ARslh-TBRA 11/01/2007 (1) If the fair market value exceeds the gross amount the family received by more than $1,000, count the whole difference between the cash value and the amount received; or (2) If the difference between the cash value and the amount received is less than $1,000, disregard as an asset. m. Value of a home currently being purchased with assistance under 24 CFR 982, Subpart M, ten (10) years after the purchase date of the home. 6. Asset does not include: a. Interest in Indian trust land and equity accounts in HUD homeownership programs. b. The value of necessary items of personal property such as furniture and automobiles, unless such items are deemed by the Agency as for investment. c. The value of a home currently being purchased with assistance under 24 CFR 982, subpart M only during the first ten (10) years after the purchase date of the home. 7. Period for Determining Income a. Under normal circumstances the Family’s income shall be the projected amount anticipated for a 12-month period; or b. If the circumstances are such that it is not possible to anticipate a level of income over a 12-month period, a shorter period may be annualized subject to a re-determination at the end of the shorter period. 8. Families with Zero (0) Anticipated Annual Income A family with no visible means of income support may be issued a Voucher, providing that the following conditions be met: a. The family signs an affidavit stating they receive no income from any source at the initial eligibility determination; and Rules and Regulations -30- 0010ARslh-TBRA 11/01/2007 b. The family signs an affidavit at least every three (3) months until the OHCD discontinues this requirement; and c. Families that report zero income will be required to provide information regarding their means of basic subsistence, such as food, utilities, transportation, etc. If the family’s expenses exceed their known income, the OHCD will make inquiry of the head of household as to the nature of the family’s accessible resources. d. The family reports any income it receives and the PHA will determine if such income shall be counted in the family's eligibility for participation; and e. The family shall be disqualified from participation in the program should the OHCD determine that the family has not fulfilled these conditions. G. ELIGIBILITY CRITERIA 1. Non-Discrimination: It is the policy of the OHCD to comply with all applicable laws relating to Civil Rights, including Title VI of the Civil Rights Act of 1964, Title VII of the Civil Rights Act of 1968 (as amended by the Community Development Act of 1974 and the Fair Housing Amendments Act of 1988), Executive Orders 11063 as amended, 12259 as amended and 12892, Section 504 of the Rehabilitation Act of 1973, the Age Discrimination Act of 1975, Title II of the Americans with Disabilities Act (to the extent that it applies, otherwise Section 504 and the Fair Housing Amendments govern), any applicable state laws or local ordinances and any legislation protecting the individual rights of tenants, applicants or staff that may subsequently be enacted. OHCD shall not discriminate because of race, color, gender, religion, familial status, disability, age, marital status, ancestry, or national origin in the leasing, rental or other disposition of housing or related facilities, including land, that is part of any project or projects under the jurisdiction of OHCD covered by a contract for annual contributions under the United States Housing Act of 1937, as amended, or in the use or occupancy thereof, except as may be Rules and Regulations -31- 0010ARslh-TBRA 11/01/2007 permitted in the designation of occupancy of certain developments for older persons (including elderly people with disabilities). 2. Eligible applicants for participation in this program include: a. Those who qualify as a family as defined in Paragraph B herein; and b. Those whose annual income, as defined in Paragraph F, does not exceed the income limits prescribed by HUD as set forth in the CFR and any amendments made thereto from time to time; c. Families, the members of which are citizens or eligible non-citizens as provided in the CFR; d. The OHCD will accept applications only from families whose head of household or spouse is at least eighteen years of age or an emancipated minor under State of Hawai`i law. 3. A family may be declared ineligible for rental assistance if: a. Any member of the Family has an outstanding balance owed to the OHCD, another PHA in connection with any public assisted program or project that receives funds under the United States Housing Act of 1937 or amendments thereto, the State of Hawai’i, or the County of Hawai’i; except that if the applicant repays the entire outstanding balance owed to the OHCD, another PHA which receives funds for housing purposes. Such ineligible Family may again be eligible for rental assistance upon repaying the entire outstanding balance owed to the OHCD, another PHA or project which receives funds for housing purposes or upon the Participant’s entering into a repayment agreement with the Agency and does not breach said agreement. Applicants who have an outstanding balance due with any PHA or project shall be allowed on the Waiting List but shall be denied admission to the Program unless and until such outstanding balance has been paid in full by the time the Applicant is on the top of the Waiting List and the Agency is then determining the eligibility of the Applicant for the Program. Rules and Regulations -32- 0010ARslh-TBRA 11/01/2007 b. Any member of the Family has committed fraud, bribery, or any other corrupt or criminal act in connection with the OHCD, and /or Federal Housing Program. The applicant or participant in this case will be ineligible to apply for housing assistance for three (3) years from the date of declared ineligibility or termination of assistance. c. Any member of the Family has committed drug related criminal activity or violent criminal activity or has a history of alcohol abuse that would cause the applicant or family to interfere with the health, safety or right to peaceful enjoyment of the premises of other residents. If a person has been convicted of manufacturing or producing methamphetamines in violation of federal, state or local laws, anywhere, including on the premises of federally assisted housing, that person shall be immediately and permanently denied admission to the Section 8 Program. Applicants may be denied assistance if they have engaged in drug-related criminal activity or violent crime or has a history of alcohol abuse or violent criminal activity within three (3) years prior to the date of the certification interview. d. Any member of the Family has been evicted from federally assisted housing for any reason, including for drug related criminal activity or terminated from any Section 8 Program for program violation. The household shall be denied admission for three (3) years from the date of eviction or termination of assistance, whichever shall occur later. e. Any member of the Family has engaged in or threatened abusive behavior toward OHCD or other PHA personnel. Ineligibility to apply for assistance in this case will be for a period of three (3) years following the declaration of ineligibility or termination of assistance. f. Any member of the Family has a history of repeated minor violations or singular major violations of their lease provisions as described in "definitions". The applicant or family in this case will be ineligible to apply for assistance Rules and Regulations -33- 0010ARslh-TBRA 11/01/2007 for a period of three (3) years after termination of assistance or being declared ineligible. g. Any member of the Family has violated any HUD regulation or has failed to cooperate in the administration of the program. If the violation involves family obligations (as listed on the voucher) other than those listed above, the family will be ineligible for three (3) years from the date that assistance is terminated. h. Any member of the Family is subject to a lifetime registration requirement under a State sex offender registration program. A family will not be denied assistance or terminated from assistance provided that the family member subject to the requirements is not a member of the household. i. Any member of the Family fails to fulfill its obligations under the Section 8 Welfare-to-Work voucher program. In this case, the family will be ineligible for three (3) years. j. An Applicant who is or was part of a currently Participating Family in the Agency’s homeownership program and is currently included as part of that household for occupancy and subsidy purposes. H. APPLICATION FOR PROGRAM 1. Application: Each family shall be required to complete and sign an OHCD application form for admission to the program. Each application shall reflect the date and time received and is numbered accordingly. 2. Review and Placement: The OHCD shall review the application and place the family onto the waiting list if there are no TBRA vouchers available. 3. Record of Family: A file folder shall be established for each family and shall contain the application and all data collected to verify and document the family's status. 4. Misrepresentation: If any applicant deliberately misrepresents the information on an application, the OHCD may refuse to consider his/her application and may turn over such matters to the proper authorities for Rules and Regulations -34- 0010ARslh-TBRA 11/01/2007 investigation and prosecution. 5. Determination of Ineligibility: If an Applicant is determined to be ineligible, the OHCD shall promptly state the reasons for its finding in a letter to the Applicant. The letter shall also state that the Applicant may request an informal review of the decision. I. ESTABLISHMENT OF A WAITING LIST 1. Placement onto Waiting List a. Each family shall be placed onto the waiting list in accordance with the date and time of the receipt of their application at OHCD or any office authorized by OHCD to receive applications. b. Each family file shall be maintained in a manner so as to assure compliance with the selection provisions set forth in Paragraph K. c. Duplicate applications will not be accepted by the OHCD. d. Ineligible families will not be placed on the waiting list. 2. Changes in Family Composition While on Waiting List: If there is a change in family composition, the family shall report the change, in writing, to the OHCD. An applicant may not assign their application’s date and time to someone who was not on the applicant’s original application. 3. Changes in Family Address and Contact Information: If there is a change in the family address or contact information, the family shall report the change, in writing, to OHCD. 4. Split Households Prior to Voucher Issuance: 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 the same placement on the waiting list, and there is no court determination on this issue, the OHCD will decide which party will remain on the waiting list, taking into consideration the following factors: Rules and Regulations -35- 0010ARslh-TBRA 11/01/2007 a.Which family member applied as head of household; b.Which family retains the children or any disabled or elderly members; c.Restrictions that were in place at the time the family applied; d.Role of domestic violence in the split; e.Recommendations from social service agencies or qualified professionals such as children’s protective services; and f.Written notification from the applicant to voluntarily replace their name on the application with the name of another adult member who was on the original pre-application. 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. 5. Closing the Waiting List: OHCD may close the waiting list to any further applications if the number of applicants already on the waiting list is larger than the number of units that could reasonably be accommodated in one (1) year. The decision to close the waiting list will be publicly announced. 6. Ineligibility for Waiting List: Applicants who apply to be on the waiting list may be declared ineligible for the waiting list if they refuse an offer of a voucher, derive benefits fraudulently, have a history of alcohol abuse, drug related criminal activity or violent criminal activity (including criminal activity for manufacture, production, or sale of methamphetamines), have threatened abusive behavior toward PHA personnel, have a history of repeated minor violations or singular serious violation of the lease provisions, a household member is subject to a lifetime registration requirement under the State or Federal sex offender registration program (a family will not be denied assistance or terminated from assistance provided that the family member subject to the requirements is not a member of the household); have violated any HUD regulation or have failed to cooperate Rules and Regulations -36- 0010ARslh-TBRA 11/01/2007 in the administration of the Section 8 Program. Applicants who have an outstanding balance with any PHA shall be allowed on the waiting list but shall not become participants in the Program until the outstanding balance has been paid. For further information, see Section G.3. 7. Purging the Waiting List: From time to time, the waiting list will be purged of applicants who: a. have not responded to requests for updated information; or b. have not responded to inquiries about their continued interest in the program; or c. may have moved from OHCD's jurisdiction. Before termination from the waiting list, the OHCD shall first call the telephone and/or message number (if applicable) listed on the application, and second, write a letter to the applicant, advising that the family has a right to dispute the termination according to the provisions in Section Y. J. VERIFICATION OF ELIGIBILITY 1. Application for Admission The OHCD shall determine eligibility for issuance of Vouchers in accordance with schedules and criteria established by HUD. In so doing, the OHCD shall require every applicant for a Voucher to complete and sign an application for admission prescribed by the OHCD and HUD. 2. Verification To substantiate eligibility, preference rating, voucher size and rent to be paid, the information submitted on the application for admission shall be verified. 3. Methods of Verification HUD regulations require that all factors of eligibility and Total Tenant Payment/Family Share be verified by the OHCD. The OHCD will obtain written verification from independent sources whenever possible and will Rules and Regulations -37- 0010ARslh-TBRA 11/01/2007 document tenant files whenever third-party verifications are not possible. Applicants and program participants must provide true and complete information to the OHCD whenever the information is requested. The OHCD’s verification requirements are designed to maintain program integrity. The OHCD will verify information through the five (5) methods of verification acceptable to HUD in the following order: a. Upfront Income Verification (UIV): 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. The following types of income may be verified using UIV: gross wage and salaries, unemployment compensation, welfare benefits and social security benefits. Other income types may be verified using upfront income verification techniques if the resources are available. The UIV replaces, the more time consuming and less accurate third party verification process of contacting individual employers identified by the family or reviewing outdated income verification documents. However, third party verification may continue to be necessary to complement upfront verification, for example, when the tenant disputes the data. The UIV will not be an automatic substitute for other third party verification, and may supplement other verification documentation, such as original, current tenant provided documents. b. Written Third Party Verification: Independent verification of income, assets and/or expenses by contacting the individual income/expense source(s) supplied by the family. The verification documents must be supplied directly to the independent source by the OHCD and be returned directly to the OHCD from the independent source. c. Oral Third Party Verification: Independent verification of income, assets and/or expenses by contacting the individual income/expense sources supplied by the family, via telephone or in-person Rules and Regulations -38- 0010ARslh-TBRA 11/01/2007 visit. The OHCD staff will document the tenant file, the date and time of the telephone call; the name of the person contacted and telephone number, along with the confirmed verified information. This verification method will be used in the event that the independent source does not respond to the OHCD’s faxed, mailed, or e-mailed request for information in a reasonable time frame. The OHCD reviews original d. Document Review: documents provided by the tenant in support of their declaration of income during the income reexamination. This verification method can only be used as the sole source of income verification when third party verification cannot be obtained. When the OHCD resorts to reviewing tenant-provided documents, the OHCD will document in the tenant file why third party verification was not available. In support of the tenant’s declaration of income, the OHCD may review original (authentic) documents provided by the participant. All documents should be dated within the last sixty (60) days of the interview. The OHCD will make a photocopy of the “original” document(s) and maintain a copy in the participant’s case file. The OHCD will also document in the tenant file, the receipt, copy and review of the original (authentic document). The following is a summary of acceptable participant- provided documents: consecutive and original pay stubs, Social Security Administration award letters, bank statements, pension benefit statements, Temporary Assistance to Needy Family (TANF) award letter, other official and authentic documents from Federal, State or local agency. e. Tenant Certification: The tenant submits a notarized statement of reported income and/or expenses. This verification method will only be used as a last resort when all other verification methods are not possible. When the OHCD relies on tenant certification, the OHCD will document in the tenant file why third party verification was not available. 4. Release of Information Rules and Regulations -39- 0010ARslh-TBRA 11/01/2007 The family 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 sign a consent form to the release of specific information will be provided with a copy of the appropriate forms for his/her 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 OHCD or HUD. 5. Items to be Verified The following items will be verified: a. All income not specifically excluded by the regulations. b. Zero-income status. c. Zero income applicant and residents will be required to complete a family expense form at each certification or recertification. d. Full-time student status including high school students who are over the age of eighteen (18). e. Current assets including assets disposed of for less than fair market value in preceding two (2) years. f. Child care expenses where it allows an adult family member to be employed, or to actively seek work, or to further his/her education. g. Total medical expenses of all family members in household whose head or spouse is elderly or disabled. h. 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. Rules and Regulations -40- 0010ARslh-TBRA 11/01/2007 i. Legal identity of all family members. j. United States citizenship / eligible immigrant status. k. Social Security Numbers for all family members six (6) years of age or older who have been issued a social security number. l. Marital status when needed for head or spouse definition. m. Disability for determination of eligible allowances or deductions. n. Reduction in benefits for noncompliance. The OHCD will obtain written verification from the Human Services Agency state that the family’s benefits have been reduced for fraud or noncompliance beforedenying the family’s request for rent reduction. 6. Verification of Legal Identity In order to prevent program abuse, the OHCD will require applicants to furnish verification of legal identity for all family members. a. The documents listed below will be considered acceptable verification of legal identity for adults. More than one of these documents may be required: 1. Certificate of Birth, Naturalization Papers 2. Church issued baptismal certificate 3. Current, valid driver’s license 4. State or local government issued Identification 5. United States Military Discharge (DD 214) 6. United States passport 7. Voter’s registration Rules and Regulations -41- 0010ARslh-TBRA 11/01/2007 b. Documents considered acceptable for the verification of legal identity for minors may be one or more of the following: 1. Birth Certificate 2. Adoption Documents 3. Custody Agreements 4. School records If none of these documents can be provided, a third party who knows the person may, at the OHCD’s discretion, provide verification. 7. Verification of Permanent Absence of Family Member If an adult member who was formerly a member of the household is reported permanently absent by the family, the OHCD will consider any of the following as verification: a. Husband or wife institutes divorce action. Appropriate documentation from the court required. b. Husband or wife institutes legal separation. Appropriate documentation from the court required. c. Order of protection/restraining order obtained by one family member against the other. d. Proof of another home address, such as utility bills, canceled checks for rent, driver’s license, or lease or rental agreement, if available. e. Statements from other agencies such as social services or a written statement from the landlord or property manager that the adult member is no longer living at that location. f. If no other proof can be provided, the OHCD will accept a self-certification from the head of household or the spouse or co-head, if the head is absent. g. If the adult family member is incarcerated, a document from the court or prison should be obtained stating how long they will be incarcerated. Rules and Regulations -42- 0010ARslh-TBRA 11/01/2007 8. Verification of Change in Family Composition The OHCD may verify changes in a family composition, either reported or unreported, through letters, telephone calls, utility records, inspections, landlords, neighbors, credit data, school or DMV records, and other sources. 9. 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(70 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. 10. Verification of Citizenship / Eligible Immigrant Status To be eligible for assistance, an individual must be a U.S. citizen or eligible immigrants. Individuals who are neither may elect not to contest 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 their status once. Citizens or Nationals of the United States are required to sign a Declaration of Citizenship Form. Eligible Immigrants who are 62 or over: are required to sign a declaration of eligible immigrant status and provide proof of age. Non-citizen with eligible immigration status: must sign a declaration of status and verification consent form and provide their original immigration documents will be copied (front and back) and returned to the family. The OHCD verifies the status through the INS SAVE system. If this primary verification fails to verify status, the OHCD must request within ten (10) 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 Rules and Regulations -43- 0010ARslh-TBRA 11/01/2007 statement or 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 participant family member fails to sign required declaration 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. The OHCD will not provide assistance to any family prior to the affirmative establishment and verification of the eligibility of the individual or at least one family member. For participants, verification of U.S. citizenship/ eligible immigrant status is done at the first annual reexamination following the enactment of QWHRA. For family members added after other members have been verified, the verification occurs at the first interim or regular recertification following the person’s occupancy. Once verification has been completed for any covered program, it need not be repeated except that, in the case of port-in families, if the Initial PHA does not supply the documents, the OHCD must conduct the determination. Acceptable Documents of Eligible Immigrants: 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) or Receipt issued by the INS for issuance of replacement of any of the above documents that show individual’s entitlement Rules and Regulations -44- 0010ARslh-TBRA 11/01/2007 has been verified. A birth certificate is not acceptable verification of status. If the OHCD determines that a family member has knowingly permitted another individual who is not eligible for assistance to reside permanently in the family’s unit, the family’s assistance will be terminated for three (3) years, unless the ineligible individual has already been considered in prorating the family’s assistance. 11. Verification of Social Security Number Social Security Numbers must be provided as a condition of eligibility for all family members age six (6) and over if they have been issued a number. Verification of Social Security number shall 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 herein, showing his or 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: a valid driver’s license, identification card issued by a Federal, State or local agency, identification card issued by an employer or trade union, earnings statements or payroll stubs, bank statements, IRS Form 1099, benefit award letter from government agencies, retirement benefit letter, life insurance policies, court records, verification of benefits or Social Security Number from Social Security Administration. New family members ages six (6) and older will be required to produce their Social Security Card or provide 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 OHCD. If an applicant or participant, age six (6) or older, discloses a Social Security Number but cannot produce the documents necessary to verify the same, the Rules and Regulations -45- 0010ARslh-TBRA 11/01/2007 applicant or participant (or the head of household on behalf of family members unable to write) must sign a certification to that effect provided by the OHCD. The applicant / participant 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 family’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. 12. Medical Need for a Larger Unit If a request is made to the OHCD for a larger unit for medical reasons, the family must submit a written certification from a physician that a larger unit is necessary. K. ISSUANCE OF VOUCHER If an applicant is determined to be eligible and is selected for participation, that applicant shall be issued a Voucher signed by the applicant and a duly authorized representative of the OHCD upon availability of such. 1. Preference in Selecting Eligible Families Rules and Regulations -46- 0010ARslh-TBRA 11/01/2007 Rules and Regulations -47- 0010ARslh-TBRA 11/01/2007 Rules and Regulations -48- 0010ARslh-TBRA 11/01/2007 2. Family Briefing Rules and Regulations -49- 0010ARslh-TBRA 11/01/2007 When an eligible Applicant is ready to be issued a Voucher and before the family moves between units, the OHCD shall conduct individual and/or group briefing sessions and provide Voucher holders' packets to all selected families. The briefing session is to provide selected families an explanation of program requirements, information to assist them in locating a suitable unit, conditions governing participation in the program and reference information about the Family for prospective Landlords as provided in Section M herein. The OHCD will take appropriate steps to ensure effective communication with any disabled attendee. Verbal information and packet items to be given to selected families include: a) Family and Owner responsibilities under the Lease and Housing Voucher Contract; b) How to find a suitable unit; c) The general locations and characteristics of the full range of neighborhoods in which the OHCD may execute contracts and in which units of suitable price and quality may be found; d) Housing quality standards and procedures for compliance with those standards; e) Significant aspects of the applicable State and local laws; Federal, State and local Fair Housing Laws, and a copy of the housing discrimination complaint form; f) Applicable Payment Standards, how the tenant gross rent is calculated, how housing assistance payments are determined, rent reasonableness and the minimum as well as maximum rent the family might pay; g) The utility allowance; h) Information which emphasizes the availability of affirmative placement activities for individuals experiencing problems; i) Procedures for continued participation when an assisted family moves; Rules and Regulations -50- 0010ARslh-TBRA 11/01/2007 j) The portability of vouchers to other areas of the United States; k) The effect on the family's position on the waiting list if the family refuses to accept the type of assistance offered; l) The term of the voucher and the OHCD's policy on extensions; m) The form Request for Tenancy Approval and an explanation of how to request approval to lease a unit; n) OHCD's policy on providing information about a family to prospective landlords; o) The HUD lead-based paint brochure and form; p) A list of landlords or other parties known to OHCD who may be willing to lease a unit to the family, including a listing of accessible units known to the OHCD if the family includes a disabled person; q) Family obligations under the program; r) The grounds on which the OHCD may terminate assistance for a participant because of family action or failure to act; s) The OHCD's hearings process and when OHCD is required to give a participant family the opportunity for an informal meeting or a formal hearing. In addition, audiovisual aids and sample documents may be utilized as needed. TBRA assistance will not be provided to a family unless an adult representative has attended a briefing. Applicants who fail to attend two (2) scheduled briefings may be denied admission based on failure to supply information needed for certification. 3. Expiration of Voucher: The Voucher shall expire at the end of one hundred fifty (150) days from the date of issuance. No extensions beyond this date will be given. The HUD form, Request for Tenancy Approval, must be submitted, Rules and Regulations -51- 0010ARslh-TBRA 11/01/2007 the unit must have passed the required HQS Inspection. The lease and HAP Contract shall become effective no more than ten (10) working days after the voucher expiration date. If the OHCD has a report that the family is prevented from leasing a suitable unit because of illegal discrimination, the OHCD shall provide written informational material and refer the family to the Fair Housing Officer at the HUD Area Office in Honolulu or to the Hawai’i State Civil Rights Commission in Honolulu. 4. Determination of Ineligibility If an applicant is determined to be ineligible, the OHCD shall promptly state the reasons for its finding in a letter to the applicant. The letter shall also state that the Applicant may request an informal review and state the procedures to request for an informal review of the decision. 5. Determination of Eligibility but No Voucher If the applicant is determined by the OHCD to be eligible, but the OHCD is unable to issue any more Vouchers, the OHCD shall place such family on the waiting list in accordance with the time and date of receipt of the application. 6. Suspension of Taking Applications If there is insufficient funding to admit all eligible applicants for participation, the OHCD may at any time suspend the acceptance or processing of new applications, or the addition of new listings to the waiting list. In such case, the OHCD shall not be required to take the actions specified above. Any such determination by the OHCD shall be publicly announced in the same manner as provided in Section D of this Rule and shall be effective as of the date stated in such announcement. 7. Providing Reference Information about the Family to Landlords: The OHCD shall provide a prospective owner or landlord with the name, address and phone number of current and previous landlords of the family. The information Rules and Regulations -52- 0010ARslh-TBRA 11/01/2007 provided is part of the family briefing and packet. OHCD will inform owners that it is the responsibility of the landlord to determine the suitability of prospective tenants. Owners will be encouraged to screen applicants, for rent payment history, eviction history, damage to units, and other factors related to the family’s suitability as a tenant. L. OCCUPANCY STANDARDS/SUBSIDY STANDARDS The following guidelines are set forth solely for determining the bedroom size to be designated on the Voucher. In determining the appropriate Voucher size, the OHCD shall balance the need to avoid overcrowding with the need to make the best use of available Voucher funding and to avoid unnecessary subsidy. A family shall be assigned to the smallest voucher suitable for its needs. Each Housing Choice Voucher, therefore, will identify at least one living/sleeping room for each two (2) persons consistent with Housing Quality Standards. All standards in this section relate to the number of bedrooms on the voucher, not the family’s actual living arrangements. 1. Every member of the family, regardless of age, shall be considered in determining the family’s Voucher size and the OHCD shall count: 2. The subsidy standards provide one bedroom for every two persons, except for: a. For verified reasons of health, an additional Rules and Regulations -53- 0010ARslh-TBRA 11/01/2007 bedroom may be provided for 1. A live-in aide, 2. Medical equipment which requires a separate bedroom because of size or function, or 3. A family member who must have a separate bedroom due to other documented serious medical condition. 3. A family that consists of a pregnant woman (with no other person) must be treated as two-person family. 4. The OHCD shall not count absent family members who are on active military duty, institutionalized for an indefinite period, visitors, or permanent absent members. 5. Visitors: Any adult not included on the HUD 50058 who has been in the unit more than 7 consecutive days without PHA approval, or a total of thirty (30) days in a 12-month period, will be considered living in the unit as an unauthorized household member. Absence of any other resident/ mailing address will be considered verification that the visitor is a member of the household. Statements from neighbors and/or the landlord will be considered in making the determination. Use of the 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 household and the OHCD may terminate assistance 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 the home during the school year and are no longer on the lease may visit for up to 90 days per year without being considered a member of the household. Rules and Regulations -54- 0010ARslh-TBRA 11/01/2007 In a joint custody arrangement, if the minor is in the household less than 183 days per year, the minor will be considered to be an eligible visitor and not a family member. 6. In no event may a single person (who is not 62 years of age or older, or disabled) be issued a voucher size larger than one bedroom. 7. The living room of the unit may be counted as a sleeping room for occupancy purposes only. The living room shall not be counted as a bedroom for Voucher issuance purposes. 8. The following ratio shall be used as an issuance guide: Number of Minimum Maximum Bedrooms Persons Persons 0 1 2 1 1 2 2 3 4 3 5 6 4 7 8 9. The following ratios shall be used as an occupancy guide for the number of family members per sleeping room: Number of Minimum Maximum Bedrooms Persons Persons 0 1 2 1 2 4 2 2 6 3 3 8 4 4 10 The bedroom size on the Voucher will be adjusted at the family’s annual re-examination, a break in the lease agreement or when a new lease is signed. 10. Applicability of Voucher The family’s voucher size as determined for a family under the OHCD subsidy standard is used to determine the maximum rent subsidy for a family assisted in the voucher program. For a voucher tenant, the OHCD establishes payments standards by the number of bedrooms. The payment standard for a family shall be the lower of: Rules and Regulations -55- 0010ARslh-TBRA 11/01/2007 a. The payment standard amount for the family voucher size; or b. The payment standard amount for the actual unit size rented by the family. The family may lease an otherwise acceptable dwelling unit with fewer bedrooms than the family’s voucher size. However, the dwelling unit must meet the applicable HQS space requirement. The family may lease an otherwise acceptable dwelling unit with more bedrooms than the family’s voucher size. However, the family cannot pay more than forty percent (40%) of their adjusted monthly income towards rent and utilities. M. FINDER'S KEEPER POLICY Upon receipt of a Voucher, the family shall be responsible for finding an approved unit of appropriate size prior to expiration of the Voucher. The family may select the dwelling unit which it already occupies if the unit meets the Housing Quality Standards of the Program. The OHCD may provide assistance in finding units for those families who, because of age, handicap, or other reasons are unable to find an approved unit and shall provide assistance as described in Section K.3. In cases where the family alleges that discrimination is preventing them from finding a unit. Any such assistance shall not directly or indirectly reduce the family's opportunity to choose among available units. N. PORTABILITY OF HOUSING VOUCHERS The TBRA program does not provide portability in the same way as the Housing Choice Voucher (Section 8) Program. The housing assistance must be used in the County of Hawai`i’s jurisdiction. O. REQUEST FOR TENANCY APPROVAL Upon finding a suitable unit, the family shall submit a copy of the Request for Tenancy Approval signed by the owner of the unit and the family. The OHCD will accept and process one Request for Tenancy Approval at a time. Prior to approval of any rental unit, the following actions shall be conducted: Rules and Regulations -56- 0010ARslh-TBRA 11/01/2007 1. Lease Addendum: The OHCD shall require a copy of the Lease Agreement between the owner and the family. The HUD approved Lease Addendum shall be incorporated with the Lease Agreement. The OHCD shall 2. Rent and Reasonableness Review: determine whether the requested Rent to Owner plus any applicable utility allowance is approvable and that the Rent to Owner is reasonable. a. Reasonableness of Rent Certification by OHCD: The OHCD shall certify for each approved unit that the Rent to Owner for such unit is: (1) Reasonable in relation to rents currently being charged for comparable units in the private, unassisted market, taking into account the age, location, size, type, quality, amenities, facilities, management and maintenance services of such unit; and (2) Not in excess of rents currently being charged by the owner for comparable assisted and unassisted units. 3. Inspection of Unit: a. The OHCD shall inspect each dwelling unit at the initial entry to the program; at least annually thereafter; and at such other times as may be necessary to assure that the owner and family are maintaining the unit to meet the minimum requirements of HQS, are providing the agreed upon utilities and other services and are complying with the terms and conditions of the lease and/or HAP Contract. b. If there are any deficiencies which must be corrected for the unit to meet the minimum requirements of HQS, the OHCD shall notify the owner and/or tenant of the work required. The OHCD shall re-inspect the unit to assure that all deficiencies are corrected prior to approving a Contract or an amendment to an existing Contract. c. If the OHCD determines that a dwelling unit does not meet the minimum HQS requirements, and the owner fails to take corrective action after being Rules and Regulations -57- 0010ARslh-TBRA 11/01/2007 duly notified, the OHCD may exercise any of its rights, including disapproval of contract, abatement of housing assistance payments (even if the family continues in occupancy), and/or termination of the contract. Accordingly, the OHCD shall not approve a new contract nor shall it continue housing assistance payments after the anniversary date or possible rent adjustment date. If the family wishes to be re-housed in another unit and the OHCD decides to terminate the HAP Contract, the family shall be reissued another Voucher. d. If the dwelling unit is being utilized for any illegal purpose, the OHCD shall notify the owner of the violation and shall disapprove the Request for Tenancy Approval. e. The OHCD shall prepare and maintain reports on inspection and re-inspections. The report shall specify (a) any deficiencies which must be corrected in order for the unit to meet the minimum HQS requirements. f. OHCD shall schedule inspections or re-inspections of the dwelling with enough reasonable advance notice to the relevant party(ies). If the participant is unable to keep the appointment, an adult authorized by the head of household or landlord must be present at the unit. If more than two cancellations or no-shows of appointments are made in a three-year period, the OHCD may consider making the family ineligible of the Family Obligations as described on the Voucher for three (3) years and as provided by 24 CFR 982.551. The three years begin from the termination date. 4. Responsibilities of the Family: The family shall be responsible for compliance with all regulations of the program and provisions of the lease agreement with the owner and any amendments thereto. 5. Responsibilities of the Owner: The owner shall be responsible for compliance with all regulations of the program, provisions of the lease agreement, and provisions of the HAP Contract and any amendments thereto. P. RENTS Rules and Regulations -58- 0010ARslh-TBRA 11/01/2007 1. Minimum Rent: The minimum rent shall be fifty dollars ($50.00) or as mandated by HUD. The OHCD shall implement this policy effective immediately, before the family’s next annual reexamination. Rents may exceed 2. Rent Not Capped by Payment Standard: the applicable payment standard, however, the amount of housing assistance payment will not be increased. The initial Family Share for a newly leased unit shall not exceed forty percent (40%) of the Family’s Monthly Adjusted Income if the Gross Rent exceeds the applicable Payment Standard. This rent limitation applies to the initial occupancy of a unit by a Family under the Voucher Program. 3. Establishing the Payment Standard: At least annually, the OHCD shall determine whether an adjustment is necessary to the applicable payment standard being used in the OHCD's Voucher Program to assure continued affordability of housing by participating families. The payment standard shall be between 90 percent and 110 percent of the published FMR for the applicable unit size. 4. Exception Rents: An “exception rent” may be approved, at HUD’s sole discretion, for units in a designated part of the fair market rent area. OHCD may establish individual unit exception rents up to 110 percent of the FMR as a reasonable accommodation for a family that includes a person with disabilities. 5. Exemptions from Minimum Rent Requirement: To be considered for an exemption from the minimum rent requirement a tenant/participant household must demonstrate that it is experiencing a financial hardship due to an unexpected or unprecedented economic burden on the family. (The voluntary loss of income, or voluntary continued loss of income, does not necessarily qualify a family for the financial hardship exemption from the minimum rent requirement). Only the following situations shall qualify for the exemption: a. When the family has lost eligibility for, or is awaiting an eligibility determination from a federal, state or local assistance program, including a family having a non-citizen Rules and Regulations -59- 0010ARslh-TBRA 11/01/2007 household member lawfully admitted for permanent residence and who would be entitled to public benefits except for Title IV of the Personal Responsibility and Work Opportunity Act of 1996. b. When the family would be evicted as a result of the imposition of the minimum rent requirement. c. When the family income has decreased due to changed circumstances, including involuntary loss of employment. d. When the family has an increase in expenses due to changed circumstances, such as medical costs, childcare, transportation, education, or similar items. e. When a death or severe illness has occurred in the family. f. Other qualifying circumstances that would require approval by the OHCD or HUD. Request for an exemption from the minimum rent must be submitted in writing to the OHCD and include documentation to support the family’s request for the exemption. If a family request the hardship exemption, application of the minimum rent hardship will be suspended beginning the month following the family’s written hardship request. During suspension, the minimum rent will be included in the family’s Total Tenant Payment (TTP) and the housing assistance payment will be increased accordingly. The staff of the OHCD will determine if the hardship is temporary or long term. This determination will be based on the information and documentation provided by the family. Temporary Hardship: If the hardship is determined to be temporary, the minimum rent will be suspended for a period of 90 days from the first of the month following the date family’s written request is received by the OHCD. Documentation substantiating the claim for a temporary hardship Rules and Regulations -60- 0010ARslh-TBRA 11/01/2007 is required. At the end of the 90-day period, the minimum rent will be reinstated retroactively to the date of the suspension and the amount of overpaid assistance, based on the minimum rent amount, shall be reimbursed by the family. The OHCD will offer a reasonable repayment agreement to cover the minimum rent charges accumulated during the suspension period. Long-term Hardship: If the hardship is determined to be long-term, that will extend beyond a 90-day period, documentation regarding the reasons to substantiate the long-term hardship will be required. A statement from either a medical provider or other documentation that the OHCD considers to be sufficient will be required. If the OHCD determines that there is a long-term hardship, the family will be exempt from the minimum rent requirement until the hardship no longer exists. Repayment of the minimum is not required as long as the family has complied with the Family Obligations of reporting information. At each annual reexamination, the family’s eligibility for financial hardship exemption will be reviewed. If the family has failed to provide No hardship: documentation proving the hardship has occurred due to the circumstances listed or the OHCD has determined that no qualifying hardship, the minimum rent will be reinstated. A repayment agreement will be executed for any owed to the OHCD during the time of the suspension. Hardship determinations are subject to the OHCD’s informal process and will be reviewed. If the OHCD determines hardship does not exist, the family has the right to request an informal hearing on the decision. 6. Rent Considerations a. Rent Reasonableness: OHCD shall determine the reasonableness of rent 1) before each new unit is approved, 2) before any increase in rent as requested by the landlord, 3) if there is a five (5%) percent decrease in the published FMR in effect sixty (60) days before the family’s contract anniversary date (for the unit size Rules and Regulations -61- 0010ARslh-TBRA 11/01/2007 rented by the Family) as compared with the FMR in effect one (1) year before the Family’s previous contract anniversary date, and 4) when directed by HUD. b. Rent Increases: The owner must submit a written notice to OHCD at least sixty (60) days prior to any rent increase, or as required in state or local law. OHCD may not increase the rent at the anniversary unless the owner requested the increase and the owner have complied with all requirements of the HAP Contract and HQS. c. Annual Determination of Allowances, Charges, and Adjustments: At least annually, the OHCD shall determine whether there has been a substantial change in utility rates or other charges of general applicability, and whether an adjustment is required in the Schedule of Allowance for Utilities and Other Services. Adjustments to the allowances will be made if there is a 10% or more change in any of the categories on the utility allowance schedule since the previous revision. Any adjustment shall take into account the size and type of dwelling units and other pertinent factors. Any changes affecting the family's share of rent resulting from the adjustments shall be made at the family's annual reexamination. d. Maintenance of Certification and Relevant Documents: The OHCD shall maintain for three (3) years all certifications and relevant documentation for inspection by HUD. Q. HOUSING ASSISTANCE PAYMENTS 1. Housing Assistance Payments Contract: a. The OHCD shall make Housing Assistance Payments HAP to the owner on behalf of the eligible family in accordance with the Housing Assistance Payments Contract. b. No HAP payments under the HAP Contract shall be made for any unit that is vacant for an extended period of time (4 consecutive weeks). In such cases, the HAP shall be suspended and the family shall be responsible for the entire rent. 2. Amount of Housing Assistance Payments Rules and Regulations -62- 0010ARslh-TBRA 11/01/2007 The maximum Housing Assistance Payment that the OHCD shall pay on behalf of the Family will be the lower of the applicable Payment Standard for the Family or the Gross Rent, less the Total Tenant Payment. The OHCD's financial 3. OHCD's Financial Obligations: obligations under this part shall be limited to making Housing Assistance Payments on behalf of eligible families. The Housing Assistance Payments to the owner will continue during the term of the HAP Contract until the tenant rent equals the total contract rent. However, the termination of a family's housing assistance payments shall not affect the family's other rights under the lease, nor shall such termination preclude the resumption of payments as a result of changes in income or rent or other relevant circumstances during the term of the contract. If one hundred eighty (180) days have passed since the date of the last Housing Assistance Payment on behalf of the family, the subject HAP Contract shall be deemed terminated. The Owner may retain the HAP for the month in which a family moves. However, the OHCD will make every effort to negotiate a termination date which preserves OHCD funds. 4. Limitation of Benefits to Family: In no event shall a family receive assistance from more than one PHA, for more than one unit, or under any other Federal, State or local housing assistance program concurrently. R. EXECUTION OF LEASE AGREEMENT 1. Term of Lease: The initial term of the Lease shall begin on a date stated in the Lease, and shall continue for one (1) year, except if a shorter term would improve housing opportunities for the tenant and a shorter term is the prevailing local market practice. After the initial term has expired, the lease agreement will continue in effect from month to month until: (a) a termination of the Lease by the Owner in accordance with the provisions stated on the Lease and Addendum to Lease; (b) a termination of the Lease by the family in accordance with the provisions stated on the Lease Rules and Regulations -63- 0010ARslh-TBRA 11/01/2007 or Addendum to Lease; (c) a termination of the Lease by mutual agreement of the subject Family and subject Owner; (d) a termination of the HAP Contract by the OHCD terminates the HAP Contract; (e)The OHCD terminates the Family’s Program assistance; (f)The Family moves from the subject unit; or (g)One hundred eighty days (180) calendar days has passed after the last Housing Assistance Payment was made to the Owner. 2.Subsequent Adjustment to Initial Contract Rent:If any subsequent adjustment to the initial Contract Rent is to be made, it shall be made in accordance with applicable HUD and OHCD rules and policies. 3. Security Deposit: The family is responsible for the entire payment of the security deposit under the Lease in accordance with state law and is expected to obtain funds to pay these deposits from their own resources and/or other private or public sources. 4. Violation of Lease, Disposition of Security Deposit: If the family vacates its unit in violation of the Lease, the owner, subject to State laws, may use the Security Deposit as reimbursement for any unpaid amounts owed under the lease. The owner shall notify the family of his/her intention to retain part or all of the security deposit within 14 days of the date the family vacates. If no such amounts are owed, or if the amounts owed are less than the amount of the security deposit, the owner shall refund the full amount or the unused balance of the unused security deposit to the family. 5. Disapproval of Lease: If the lease or unit is disapproved, the OHCD shall notify the family and owner within ten (10) working days from the date the Request for Tenancy is received by the OHCD and state the specific reasons for disapproval and the date by which they may remedy the disapproved items. If the family and owner choose to remedy the disapproved items, a new or revised Request for Tenancy Approval shall be submitted before the specified date stated on the Rules and Regulations -64- 0010ARslh-TBRA 11/01/2007 notice of disapproval. The OHCD in its sole discretion may approve the Lease if the disapproved items have been remedied. S. CONTINUED ELIGIBILITY AND INCOME ADJUSTMENT A family's eligibility 1. Eligibility for Participation: for participation shall continue if the family maintains the requirements governing eligibility, or the OHCD has determined the family eligible for continued assistance. 2. Reporting Changes in Income and Family Composition: A family must report any changes in income or family composition within fourteen (14) days of the change. a. Upward adjustments to the Total Tenant Payment (TTP) shall be made by the OHCD on the first day of the month following the first complete calendar month after notification of the change and the additional income exceeds $ 100.00 per month. Otherwise, such upward adjustments shall be made at the annual reexamination. For example, if a family reports a $ 105.00 per month change in income on September 15, the OHCD will complete an upward adjustment to the TTP on November 1. b. Downward Adjustments to Tenant Rent shall be made on the first day of the month following the date in which the change is reported in writing through an application to the OHCD. c. Effective Date of Rent Changes due to Interim Reexaminations Unless there is a delay in the reexamination processing caused by the family, a tenant rent increase will be effective the first day of the second month after written notice of the new rent amount is sent to the family. If the family causes the delay, then the rent will be effective on the date it would have been effective had the process not been delayed (even if this means a retroactive increase). If the new rent is a reduction and any delay is beyond the control of the family, the reduction will be effective the first of the month after the date of the written application from the family is Rules and Regulations -65- 0010ARslh-TBRA 11/01/2007 received by the OHCD. The OHCD may recognize the date of the verbal notification if an application is received by the OHCD within seven working days after the verbal notification. If the new tenant rent is a reduction and the family caused the delay or did not report the change in a timely manner, the change will be effective the first of the month after the written notice of the new rent amount is sent to the family. Families whose 3. Public Assistance Reduced for Fraud: public assistance is reduced because of fraud or failure to participate in an economic self-sufficiency program or comply with a work activities requirement will not have their housing assistance increased or their tenant rent decreased based on the benefit reduction. Written verification of the reason for the decreased benefits shall be sought from the public assistance agency. 4. The request for an increase in housing assistance and a decrease in tenant rent will be considered for families whose public assistance is decreased because they have exhausted their eligibility to receive benefits. Similarly, families who comply with work requirements but are unable to find employment will also be eligible for increased housing assistance depending on the verification from the public assistance agency. 5. Family Break-Up: If a family breaks up or members separate, the OHCD shall have the discretion to decide, on a case-by-case basis, which family members if any, and assuming continued eligibility will remain with the program. Unless a court of proper jurisdiction includes the disposition of the voucher as part of the divorce or separation decree or other court decision in connection therewith. Factors to be considered by OHCD are: a. Whether the assistance should remain with the family members remaining in the original assisted unit; b. The interest of minor children or of ill, elderly or disabled family members; c. Whether family members were forced to leave the unit because of actual or threatened physical Rules and Regulations -66- 0010ARslh-TBRA 11/01/2007 violence against family members by a spouse or other member of the household; d. Circumstances brought to the attention of the OHCD, including, without limitation, matters brought out during an informal review or meeting, which a family member may request pursuant to Section Y. T. REEXAMINATION 1. Annual Reexamination: Reexamination of a family's income, composition shall be made annually. a. If at reexamination, the circumstances are such that it is not possible to anticipate a level of income prospectively for a 12-month period, a shorter period may be annualized subject to a re- determination at the end of the shorter period. b. Verification to substantiate the information provided by the Family at their annual reexamination will be valid for one hundred twenty (120) days prior to the effective date of the annual reexamination. 2. Re-determination of Tenant Rent and Housing Assistance Payment: When appropriate, re-determination shall be made by the OHCD on the amount of Tenant Rent and amount of the Housing Assistance Payment. 3. Termination of Payments: Termination of Housing Assistance Payments due to determination of the family's ineligibility shall be in accordance with applicable HUD and OHCD guidelines. 4. Decrease in Family Composition: If the OHCD finds that the size of a family has decreased, the family shall be reissued a Voucher based on its new size. Adjustments to the Housing Assistance Payments shall be made based on the reissued Voucher. 5. Increase in Family Composition: If the OHCD finds that a family’s size has increased, which qualifies it for a larger Voucher size, the Family may be re-issued a Voucher based on appropriate bedroom size. If after an increase in the size of a Family and such Family’s unit does not comply with the occupancy standards in Section L., the family shall immediately be issued a Voucher Rules and Regulations -67- 0010ARslh-TBRA 11/01/2007 and must find another unit within 120 days. Housing Assistance Payments shall be terminated at expiration of the family's Voucher and/or upon the family rejection, without good reason, of the offer of a unit which the OHCD judges to be acceptable. Revised utility allowances will be 6. Utility Allowances: applied in a participant family’s rent calculation at their next annual reexamination or at the time a new lease is executed, which ever occurs first. U. LENGTH OF HOUSING ASSISTANCE The Housing Assistance will be provided to eligible applicants for up to two (2) years from the effective date of the initial lease used for this program. The family may not move to another unit during the first twelve (12) month period (fro the date of the initial lease) with continued assistance. An exception would be made if the family were required to move due to no fault of their own, flight from domestic violence, to obtain employment in another area or other circumstances approved by the Housing Administrator. However, the family would received rental assistance in the new unit only for the remaining time left in their twenty- four (24) month period. If a family is issued a TBRA voucher due to Domestic Violence and the perpetrator is allowed to returned to the household, the participate will be terminated from the program. V. TERMINATION OF TENANCY 1. Termination by Owner: During the term of the Lease, the owner shall not terminate the lease with an assisted Family except for: a. Serious or repeated violations by the Family of the terms and conditions of the Lease; b. Violation by the Family of Federal, State, or County laws which impose obligations on a tenant in connection with the occupancy or use of the subject unit and surrounding premises; c. Criminal activity or alcohol abuse by the Family (as provided in the HUD prescribed Tenancy Addendum); Rules and Regulations -68- 0010ARslh-TBRA 11/01/2007 d. Other good cause (as provided in the HUD Tenancy Addendum). 2. Eviction by Owner: The owner may evict the tenant family from the unit only by instituting a court action. The owner must give the Tenant advanced written notice which specifies the ground(s) for termination of the Lease. The subject Lease shall not terminate before the Owner has given this notice to the subject Family, and the notice must be given at or before the commencement of the eviction action. The Owner must give the OHCD a copy of any Owner termination of Lease notice given to the tenant. 3. Termination or Denial of Assistance by the OHCD: The OHCD may deny or terminate assistance for the following reasons: a. Applicant or Participant owes an amount to the OHCD, any other Pubic Housing Authority (PHA) or a private profit or non-profit entity which manages federal public assisted housing or has not reimbursed the OHCD, the other PHA or a private profit or non-profit entity, for any amounts paid to an Owner as allowed in a HAP Contract under the Certificate Program for unpaid rent, damages or other amounts owed by the Family under the Lease, or for vacancy loss; b. Applicant or participant is guilty of program abuse, fraud, bribery or other corrupt or criminal act in any federal housing assistance program; c. Participant whose Total Tenant Payment is sufficient to pay the full gross rent and one hundred eighty (180) days have elapsed since the PHA's last HAP payment was made; d. Appropriate family members do not provide their Social Security information and documentation within the time required and specified by the OHCD; e. Family member or members have violated one or more of the Obligations of the Family, listed on the Voucher and reviewed annually; f. Family member or members have committed a serious Rules and Regulations -69- 0010ARslh-TBRA 11/01/2007 or repeated violation of the lease; g. Applicant or Participant breaches a repayment agreement; h. Member(s) of the household have engaged in or threatened abusive or violent behavior toward the OHCD personnel; i. Member(s) of the household is subject to the lifetime registration requirement under a State sex offender registration program. (A family shall not be denied assistance or terminated from assistance provided that the family member subject to the requirements is not a member of the household). The OHCD shall perform criminal history background checks necessary to determine whether any household member is subject to a lifetime sex offender registration requirement in the State where the housing is located and in other States where the household members are known to have resided. j. Family member or members have engaged in drug-related criminal activity, violent criminal activity or the abuse of alcohol. Drug-related criminal activity means: 1) The manufacture, sale or distribution, or the possession with intent to manufacture, sell or distribute, a controlled substance (as defined in Section 102 of the Controlled Substance Act, 21 U.S.C. 802); 2) A pattern of illegal use of a drug by any household member that interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents; 3) Currently engaging in the illegal use of a drug, or has engaged in any illegal use of a drug, or has engaged in any illegal use or possession (other than with intent to manufacture, sell or distribute), of a controlled substance, except that such use or possession must have occurred within three (3) years before the date that the PHA provides notice to an applicant or participant of the PHA's determination to deny admission or terminate assistance. Rules and Regulations -70- 0010ARslh-TBRA 11/01/2007 4) An applicant or participant evicted from federally assisted housing for drug-related criminal activity shall be denied admission to the Section 8 Program for three (3) years from the date of eviction or termination of assistance, whichever shall occur later. 5) Previous drugs related criminal activity shall not be considered a disqualifying factor if the family member can demonstrate, before being found out by OHCD, that s/he: a) Has an addiction to a controlled substance, has a record of such an impairment, or is regarded as having such an impairment; and b) Has successfully completed a rehabilitation program; or c) Is currently enrolled in a rehabilitation program; and d) Has recovered from such addiction and does not currently use or possess controlled substances; and e) Is willing to submit to random tests for the presence of controlled substances; or f) The family can demonstrate that the offender is no longer a member of the household. 6) A person convicted of manufacturing or producing methamphetamines in violation of any federal state or local law shall be immediately and permanently denied admission to the Section 8 Program. : any illegal Violent criminal activity includes criminal activity that has as one of its elements the use, attempted use, or threatened use of physical force, firearms or other weapons against the person or property of another. Alcohol abuse means: any activity which, when Rules and Regulations -71- 0010ARslh-TBRA 11/01/2007 perpetrated while under the influence of alcohol, leads to the interference with the health, safety or right to peaceful enjoyment of the premises of other residents. Previous alcohol abuse shall not be considered a disqualifying factor if the offender: 1) Has successfully completed an alcohol rehabilitation program; or 2) Is participating in a supervised alcohol rehabilitation program; and 3) Is in recovery from such abuse and does not use or possess alcohol; or 4) Is no longer part of the household. As a measure to determine whether the person has violated a family obligation or a condition of the lease, the PHA must have acquired or been presented with a preponderance of evidence that the family, including any family member, is engaging in the drug-related criminal activity, violent criminal activity or alcohol abuse. Definition of Preponderance of Evidence: evidence which is of greater weight or is 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. With respect to burden of proof in civil actions, means greater weight of evidence, or evidence which is more credible and convincing to the mind that which best accords with reason and probability. The word "preponderance" means something more than "weight"; it denotes a superiority of weight, or outweighing. The words are not synonymous, but substantially different. There is generally a "weight" of evidence on each side in case of contested facts. But juries cannot properly act upon the weight of evidence, in favor of the one having the onus, unless it overbears, in some degree, the weight upon the other side. It means that amount of evidence necessary for the plaintiff to win in a civil case. It is that degree of proof which is more probable than not. Preponderance of evidence may not be determined by Rules and Regulations -72- 0010ARslh-TBRA 11/01/2007 the number of witnesses, but by the greater weight of all evidence, which does not necessarily mean the greater number of witnesses, but opportunity for knowledge, information possessed, the manner of testifying determines the weight of testimony. Credible evidence would be Credible evidence: provided by such sources as police and the court system. Testimony from neighbors, when combined with other credible evidence, could be used toward determining whether a preponderance of evidence exists. Situations which would add to preponderance of evidence include, but are not limited to, drug raids, drugs found in the dwelling unit, evidence which is tied to the activity, arrest warrants issued, or police reports detailing the offense. The PHA will not be obligated to ferret out information concerning a family's criminal activities as part of the processing of an application for assistance. Initial screening will be limited to routine inquiries of the family and any other information provided to the PHA regarding this matter. The inquiries will be standardized and directed to all applicants by the inclusion of the inquiry on the application form. Where the PHA decides to prohibit admission to any applicant, the PHA shall give a written notice which shall state: 1) The reasons for the denial of assistance; 2) The effective date of the denial; and 3) The applicant's right to request an informal meeting. Where the PHA decides to terminate assistance to the participating family, the PHA must give both the family and the owner a 30 day written termination notice which states: 1) The reasons for the termination; 2) The effective date of the termination; Rules and Regulations -73- 0010ARslh-TBRA 11/01/2007 3) The Family’s right to request an informal meeting; and 4) The Family’s sole responsibility to pay the full rent to the owner if the family remains in occupancy. A Family and all of its then constituent members may be prohibited from applying for any of the OHCD’s Section 8 Housing Assistance Programs for a period of three (3) years from the date of the termination or denial of assistance due to program abuse, violent behavior toward the OHCD personnel, fraud, bribery or other corrupt or criminal act; violation of or failure to properly perform the obligations of the Family; serious or repeated lease violations; drug related criminal activity and violent criminal activity. Ineligibility for alcohol abuse will be for a period of one (1) year from the date of the termination or denial of assistance. W. DISQUALIFICATION FROM PARTICIPATION If the OHCD determines that a family or owner has violated programpolicies and requirements, such family or owner may be disqualifiedfrom participation in the program for such period as deemed appropriate by the OHCD. The family or owner shall be notified in writing of the disqualification and shall be entitled to a hearing. For the purposes of this section, "owner" includes a principal or other interested party. Disqualification of an Applicant or Participant is described in Sections G.3 and V, herein. An owner may be disqualified from participation if: 1. The owner has been suspended from participation by HUD; or 2. The federal government has instituted an administrative or judicial action against the owner for violation of the Fair Housing Act or other federal equal opportunity requirements; or 3.The owner has violated obligations under the HAP Contract; or 4.The owner has committed fraud, bribery or any other Rules and Regulations -74- 0010ARslh-TBRA 11/01/2007 corrupt or criminal act in connection with any federal housing program; or 5.The owner has engaged in drug trafficking, drug related criminal activity or violent criminal activity; or 6.The owner has a history or practice of non-compliance with HQS, or renting units that fail to meet local housing codes; or 7.The owner has a history or practice of failing to evict families for drug related or violent criminal activity, or for activity that threatens the health, safety or right of peaceful enjoyment of the premises by tenants, PHA employees or neighbors of the family; or 8.The owner has not paid State or local real estate taxes, fines or assessments; or 9.Any unit rented after June 17, 1998, is under lease to a parent, child, grandparent, grandchild, sister or brother of any member of the family; unless the PHA determines that approving the unit would be a reasonable accommodation for a family member who is a disabled person. 10. Nothing in this rule is intended to give any Owner any right to participate in the program. X. INFORMAL SETTLEMENT OF DISPUTES If an applicant, or participant family, or an owner, disputes any action taken by the OHCD, and claims that such actions adversely affect the rights, duties, welfare or status of said family or owner, such family or owner may present a written complaint to the OHCD so that the dispute may be discussed informally and settled without a hearing. (The complaint must be filed with the OHCD in writing within ten (10) business days after the dispute arose or, if there was a written notification which gave rise to the dispute, within ten (10) business days from the date on the written notice.) The discussion shall be held as soon as reasonably possible after receipt of the complaint. A written summary of the discussion shall be prepared by the OHCD within ten (10) business days of the date of discussion and one copy shall be given to the complainant. The summary shall specify the names of the participants, date of meeting, the nature of the proposed disposition of the dispute and the Rules and Regulations -75- 0010ARslh-TBRA 11/01/2007 specific reasons therefore, and the procedures by which a hearing under Section Y may be obtained if the complainant is not satisfied with the proposed resolution. For Denial or Termination of Assistance due to Criminal Activity: If denial or termination of assistance is based on a criminal record, the Agency shall provide the subject of the record and the Applicant or Participant with a copy of the criminal record and give the Family an opportunity to dispute the accuracy and relevance of that record in the information review process as described in this Section. In accordance with 24 CFR 982.554 and 982.555, as amended, informal settlement meetings are not required for: 1) Discretionary administrative determinations by OHCD; 2) General policy issues or class grievances; 3) A determination of unit size under OHCD subsidy standards; 4) OHCD determination not to approve an extension or suspension of a voucher term; 5) OHCD determination not to grant approval of a lease or tenancy; 6) OHCD determination that a unit is not in compliance with HQS; 7) OHCD determination that the unit is not in accordance with HQS because of the family size or composition. 8) For participant only, the OHCD establishment of a utility allowance for families in the program; 9) For participant only, the OHCD’s determination to exercise or not to exercise any right or remedy against an owner under a HAP contract. Y. HEARING ON DISPUTE 1. Request for a Hearing: If a complainant is not satisfied with the disposition of a dispute in the informal discussion, and would like to pursue the dispute further, the complainant must submit a written request for a hearing to the OHCD within ten (10) business days after receipt of the written summary of Rules and Regulations -76- 0010ARslh-TBRA 11/01/2007 the informal discussion. 2. Form and Content of Written Request: The written request shall contain each of the following: a. Name, address and telephone number of the complainant; b. A designation of the specific statutory provision, rule, or order in question, together with a statement of the dispute involved; c. A statement of the complainant's position or contention; d. A memorandum of points and authorities, containing a full discussion of reasons or legal authorities in support of such position or contention; and e. The action or relief sought. 3. Person Conducting Hearing: The Administrator of the OHCD or his duly authorized representative shall conduct the hearing. 4. Notice and Conduct of Hearing: Judicial Review: The notice and conduct of hearing and the request for judicial review shall be made pursuant to Chapter 91, Hawai’i Revised Statutes. Z. EQUAL OPPORTUNITY REQUIREMENTS Participation in this program requires compliance with Title VI of the Civil Rights Act of 1964, Title VIII of the Civil Rights Act of 1968, Executive Order 11063 and all rules, regulations, and requirements issued pursuant thereto. AA. SEVERABILITY Rules and Regulations -77- 0010ARslh-TBRA 11/01/2007 Notices of the public hearings on the changes to the Rules and Regulations were published in the Hawai`i Tribune Herald and West Hawai`i Today on September 5, 2007. The public hearings were held on October 4, 2007 in Hilo and Kailua-Kona. PPROVED: BY: ____________________________ Harry Kim, Mayor COUNTY OF HAWAI`I RECOMMEND APPROVAL: _____________________________ Edwin S. Taira Housing Administrator Office of Housing and Community Development Date: _______________________ APPROVED AS TO FORM AND LEGALITY: _____________________________ Renee Schoen Deputy Corporation Counsel County of Hawai`i Date: _______________________ I hereby certify that the foregoing Rules and Regulations were received and filed in the Office of the County Clerk this ______ day of _____________, 2007. _________________________ County Clerk Rules and Regulations -78- 0010ARslh-TBRA 11/01/2007