24 CFR Part 5 — General HUD Program Requirements; Waivers

PART 5—GENERAL HUD PROGRAM REQUIREMENTS; WAIVERS Authority: 12 U.S.C. 1701x; 42 U.S.C. 1437a, 1437c, 1437f, 1437n, 3535(d); 42 U.S.C. 2000bb et seq.; et seq.; Source: 61 FR 5202, Feb. 9, 1996, unless otherwise noted. Editorial Note: Nomenclature changes to part 5 appear at 65 FR 16715, Mar. 29, 2000. Subpart A—Generally Applicable Definitions and Requirements; Waivers Authority: 29 U.S.C. 794, 42 U.S.C. 1437a, 1437c, 1437c-1(d), 1437d, 1437f, 1437n, 3535(d), and Sec. 327, Pub. L. 109-115, 119 Stat. 2936; 42 U.S.C. 3600-3620; 42 U.S.C. 5304(b); 42 U.S.C. 12101 et seq.; § 5.100 Definitions. The following definitions apply to this part and also in other regulations, as noted: 1937 Act et seq. ADA et seq. ALJ Broadband infrastructure Covered person, Department Drug Drug-related criminal activity Earned income Elderly Person Fair Housing Act et seq. Fair Market Rent (FMR) Federal Register Family Federally assisted housing (1) Public housing; (2) Housing receiving project-based or tenant-based assistance under Section 8 of the U.S. Housing Act of 1937 (42 U.S.C. 1437f); (3) Housing that is assisted under section 202 of the Housing Act of 1959, as amended by section 801 of the National Affordable Housing Act (12 U.S.C. 1701q); (4) Housing that is assisted under section 202 of the Housing Act of 1959, as such section existed before the enactment of the National Affordable Housing Act; (5) Housing that is assisted under section 811 of the National Affordable Housing Act (42 U.S.C. 8013); (6) Housing financed by a loan or mortgage insured under section 221(d)(3) of the National Housing Act (12 U.S.C. 1715 l l (7) Housing insured, assisted, or held by HUD or by a State or local agency under section 236 of the National Housing Act (12 U.S.C. 1715z-1); or (8) Housing assisted by the Rural Development Administration under section 514 or section 515 of the Housing Act of 1949 (42 U.S.C. 1483, 1484). Gender identity General Counsel Grantee Guest, Homeownership counseling Household, Housing counseling HUD Department. MSA NAHA et seq. NEPA NOFA OMB Organizational Unit Other person under the tenant's control, covered person premises under the tenant's control. Premises, Public housing Public Housing Agency (PHA) Real property Rental housing counseling Responsible entity (1) For the public housing program, the Section 8 tenant-based assistance program (part 982 of this title), the Section 8 project-based voucher program (part 983 of this title), and the Section 8 moderate rehabilitation program (part 882 of this title), the PHA administering the program under an ACC with HUD. (2) For all other Section 8 programs, the Section 8 project owner. Section 8 Secretary Sexual orientation e.g., Substantial rehabilitation, (1) Significant work on the electrical system of the multifamily rental housing. “Significant work” means complete replacement of the electrical system or other work for which the pre-construction cost estimate is equal to or greater than 75 percent of the cost of replacing the entire electrical system. In the case of multifamily rental housing with multiple buildings with more than 4 units, “entire system” refers to the electrical system of the building undergoing rehabilitation; or (2) Rehabilitation of the multifamily rental housing in which the pre-construction estimated cost of the rehabilitation is equal to or greater than 75 percent of the total estimated cost of replacing the multifamily rental housing after the rehabilitation is complete. In the case of multifamily rental housing with multiple buildings with more than 4 units, the replacement cost must be the replacement cost of the building undergoing rehabilitation. Unearned income means URA Violent criminal activity [61 FR 5202, Feb. 9, 1996, as amended at 63 FR 23853, Apr. 30, 1998; 65 FR 16715, Mar. 29, 2000; 66 FR 28791, May 24, 2001; 77 FR 5674, Feb. 3, 2012; 81 FR 64782, Sept. 21, 2016; 81 FR 90657, Dec. 14, 2016; 81 FR 92635, Dec. 20, 2016; 88 FR 9654, Feb. 14, 2023; 89 FR 38289, May 7, 2024; 90 FR 56686, Dec. 8, 2025] § 5.105 Other Federal requirements. The requirements set forth in this section apply to all HUD programs, except as may be otherwise noted in the respective program regulations in title 24 of the CFR, or unless inconsistent with statutes authorizing certain HUD programs: (a) Nondiscrimination and equal opportunity. et seq.; et seq.; (2) Equal access to HUD-assisted or -insured housing. (b) Disclosure requirements. et seq. (c) Debarred, suspended, or ineligible contractors and participants. The prohibitions at 2 CFR part 2424 on the use of debarred, suspended, or ineligible contractors and participants. (d) Drug-free workplace. et seq. [61 FR 5202, Feb. 9, 1996, as amended at 65 FR 16715, Mar. 29, 2000; 72 FR 73491, Dec. 27, 2007; 76 FR 45167, July 28, 2011; 77 FR 5674, Feb. 3, 2012; 81 FR 64782, Sept. 21, 2016; 81 FR 80993, Nov. 17, 2016; 85 FR 61562, Sept. 29, 2020] § 5.106 Equal access in accordance with the individual's gender identity in community planning and development programs. (a) Applicability. (b) Equal access in accordance with gender identity. (1) Equal access to CPD programs, shelters, other buildings and facilities, benefits, services, and accommodations is provided to an individual in accordance with the individual's gender identity, and in a manner that affords equal access to the individual's family; (2) An individual is placed, served, and accommodated in accordance with the gender identity of the individual; (3) An individual is not subjected to intrusive questioning or asked to provide anatomical information or documentary, physical, or medical evidence of the individual's gender identity; and (4) Eligibility determinations are made and assisted housing is made available in CPD programs as required by § 5.105(a)(2). (c) Placement and accommodation in temporary, emergency shelters and other buildings and facilities with shared sleeping quarters or shared bathing facilities Placement and accommodation. (2) Post-admission accommodations. (d) Documentation and record retention. [81 FR 64782, Sept. 21, 2016] § 5.107 Audit requirements for non-profit organizations. Non-profit organizations subject to regulations in the part 200 and part 800 series of title 24 of the CFR shall comply with the audit requirements of 2 CFR part 200, subpart F. For HUD programs, a non-profit organization is the mortgagor or owner (as these terms are defined in the regulations in the part 200 and part 800 series) and not a related or affiliated organization or entity. [62 FR 61617, Nov. 18, 1997, as amended at 80 FR 75934, Dec. 7, 2015] § 5.109 Equal participation of faith-based organizations in HUD programs and activities. (a) Purpose. (b) Definitions. Direct Federal financial assistance i.e., e.g., e.g., Federal financial assistance Indirect Federal financial assistance Intermediary Religious exercise (c) Equal participation of faith-based organizations in HUD programs and activities. (2) Nothing in this section shall be construed to preclude HUD from making an accommodation, including for religious exercise, with respect to one or more program requirements on a case-by-case basis in accordance with the Constitution and laws of the United States. (3) HUD shall not disqualify an organization from participating in any HUD program for which it is eligible on the basis of the organization's indication that it may request an accommodation with respect to one or more program requirements, unless the organization has made clear that the accommodation is necessary to its participation and, in accordance with the Constitution and laws of the United States, HUD has determined that it would deny the accommodation. (4) In addition, decisions about awards of Federal financial assistance must be free from political interference or even the appearance of such interference and must be made on the basis of merit, not based on the organization's religious character, affiliation, or lack thereof, or based on the organization's religious exercise. Notices of funding opportunity, grant agreements, and cooperative agreements shall include language substantially similar to that in appendix A to this subpart, where faith-based organizations are eligible for such opportunities. (d) Independence and identity of faith-based organizations. (2) A faith-based organization that receives direct Federal financial assistance may use space (including a sanctuary, chapel, prayer hall, or other space) in its facilities (including a temple, synagogue, church, mosque, or other place of worship) to carry out activities under a HUD program without concealing, altering, or removing religious art, icons, scriptures, or other religious symbols. In addition, a faith-based organization participating in a HUD program or activity retains its authority over its internal governance, and may retain religious terms in its organization's name, select its board members on the basis of their acceptance of or adherence to the religious tenets of the organization consistent with paragraph (i) of this section, and include religious references in its organization's mission statements and other governing documents. (e) Explicitly religious activities. (f) Intermediary responsibilities to ensure equal participation of faith-based organizations in HUD programs. (g) Nondiscrimination and beneficiary notice requirements Nondiscrimination. (2) Beneficiary notice. (ii) For the Housing Choice Voucher (HCV), Project-Based Voucher (PBV), and Section 8 Moderate Rehabilitation programs, the respective recipient ( i.e., (A) Nondiscrimination requirements of paragraph (g)(1) of this section; (B) Notification that a beneficiary or prospective beneficiary may report an organization's violation of these protections, including any denials of services or benefits by an organization, by contacting or filing a written complaint with the Center for Faith-Based and Neighborhood Partnerships or the intermediary that awarded funds to the organization; and (C) For direct Federal financial assistance only, prohibitions with respect to explicitly religious activities as set forth in paragraph (e) of this section. (3) Notice timing. (4) Alternative option information. (h) No additional assurances from faith-based organizations. (i) Exemption from Title VII employment discrimination requirements. (j) Acquisition, construction, and rehabilitation of structures. (k) Commingling of Federal and State, tribal, and local funds. (l) Tax exempt organizations. (1) Proof that the Internal Revenue Service currently recognizes the applicant as an organization to which contributions are tax deductible under section 501(c)(3) of the Internal Revenue Code; (2) A statement from a State or other governmental taxing body or the State secretary of State certifying that— (i) The organization is a nonprofit organization operating within the State; and (ii) No part of its net earnings may benefit any private shareholder or individual; (3) A certified copy of the applicant's certificate of incorporation or similar document that clearly establishes the nonprofit status of the applicant; or (4) Any item described in paragraphs (l)(1) through (3) of this section, if that item applies to a State or national parent organization, together with a statement by the State or parent organization that the applicant is a local nonprofit affiliate. (m) Rule of construction. [69 FR 41717, July 9, 2004, as amended at 80 FR 75934, Dec. 7, 2015; 81 FR 19416, Apr. 4, 2016; 85 FR 82315, Dec. 17, 2020; 89 FR 15711, Mar. 4, 2024] § 5.110 Waivers. Upon determination of good cause, the Secretary may, subject to statutory limitations, waive any provision of this title and delegate this authority in accordance with section 106 of the Department of Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3535(q)). § 5.111 Housing counseling. (a) Any housing counseling, including homeownership counseling or rental housing counseling, as defined in § 5.100, required under or provided in connection with any program administered by HUD shall be provided only by organizations and counselors certified by the Secretary under 24 CFR part 214 to provide housing counseling, consistent with 12 U.S.C. 1701x. (b) For purposes of this section, required under or provided in connection with any program administered by HUD (1) Housing counseling required by statute, regulation, Notice of Funding Availability (NOFA), or otherwise required by HUD; (2) Housing counseling that is funded under a HUD program; (3) Housing counseling that is required by a grantee or subgrantee of a HUD program as a condition of receiving assistance under the HUD program; or (4) Housing counseling to which a family assisted under a HUD program is referred, by a grantee or subgrantee of the HUD program. [81 FR 90657, Dec. 14, 2016] Affirmatively Furthering Fair Housing Source: Sections 5.150 through 5.180 appear at 80 FR 42352, July 16, 2015, unless otherwise noted. § 5.150 Affirmatively Furthering Fair Housing: Definitions. (a) The phrase “fair housing” in 42 U.S.C. 5304(b)(2), 5306(d)(7)(B), 12705(b)(15), and 1437c-1(d)(16) means housing that, among other attributes, is affordable, safe, decent, free of unlawful discrimination, and accessible as required under civil rights laws. (b) The phrase “affirmatively further” in 42 U.S.C. 5304(b)(2), 5306(d)(7)(B), 12705(b)(15), and 1437c-1(d)(16) means to take any action rationally related to promoting any attribute or attributes of fair housing as defined in the preceding subsection. [90 FR 11023, Mar. 3, 2025] § 5.151 Affirmatively Furthering Fair Housing: AFFH Certifications. A HUD program participant's certification that it will affirmatively further fair housing is sufficient if the participant takes, in the relevant period, any action that is rationally related to promoting one or more attributes of fair housing as defined in section 5.150(a). Nothing in this paragraph relieves jurisdictions of their other obligations under civil rights and fair housing statutes and regulations. [90 FR 11023, Mar. 3, 2025] §§ 5.152-5.180 [Reserved] Appendix A to Subpart A of Part 5—Notice of Funding Opportunity (a) Faith-based organizations may apply for this award on the same basis as any other organization, as set forth at § 5.109, and subject to the protections and requirements of any applicable constitutional and statutory requirements, including 42 U.S.C. 2000bb et seq. (b) A faith-based organization that participates in this program will retain its independence from the Government and may continue to carry out its mission consistent with religious freedom and conscience protections in Federal law. (c) A faith-based organization may not use direct financial assistance from HUD to support or engage in any explicitly religious activities except where consistent with the Establishment Clause of the First Amendment and any other applicable requirements. Such an organization also may not, in providing services funded by HUD, or in their outreach activities related to such services, discriminate against a program beneficiary or prospective program beneficiary on the basis of religion, a religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice. [89 FR 15712, Mar. 4, 2024] Appendix B to Subpart A of Part 5—Notice of Award or Contract (a) A faith-based organization that participates in this program retains its independence from the Government and may continue to carry out its mission consistent with religious freedom and conscience protections in Federal law. (b) A faith-based organization may not use direct Federal financial assistance from HUD to support or engage in any explicitly religious activities except when consistent with the Establishment Clause of the First Amendment and any other applicable requirements. An organization receiving Federal financial assistance also may not, in providing services funded by HUD, or in their outreach activities related to such services, discriminate against a program beneficiary or prospective program beneficiary on the basis of religion, a religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice. [89 FR 15712, Mar. 4, 2024] Appendix C to Subpart A of Part 5—Department of Housing and Urban Development Model Written Notice of Beneficiary Rights Name of Organization: Name of Program: Contact Information for Program Staff: [provide name, phone number, and email address, if appropriate] Because this program is supported in whole or in part by financial assistance from the Federal Government, we are required to let you know that: (1) We may not discriminate against you on the basis of religion, a religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice; (2) We may not require you to attend or participate in any explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization) that are offered by our organization, and any participation by you in such activities must be purely voluntary; (3) We must separate in time or location any privately funded explicitly religious activities from activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization) from activities supported with direct Federal financial assistance; (4) You may report an organization's violations of these protections, including any denial of services or benefits by an organization, by contacting or filing a written complaint with HUD's Center for Faith-Based and Neighborhood Partnership, 451 7th Street SW, Washington, DC 20410, or by email to [email protected] (5) If you would like to seek information about whether there are any other federally funded organizations that provide these kinds of services in your area, please use the contact information set forth above. This written notice must be given to you before you enroll in the program or receive services from the program, unless the nature of the service provided or exigent circumstances make it impracticable to provide such notice before we provide the actual service. In such an instance, this notice must be given to you at the earliest available opportunity. [89 FR 15713, Mar. 4, 2024] Subpart B—Disclosure and Verification of Social Security Numbers and Employer Identification Numbers; Procedures for Obtaining Income Information Authority: 42 U.S.C. 3535(d), 3543, 3544, and 11901 et seq. Source: 61 FR 11113, Mar. 18, 1996, unless otherwise noted. § 5.210 Purpose, applicability, and Federal preemption. (a) Purpose. (b) Applicability. (2) The information covered by consent forms described in this subpart involves income information from SWICAs, wages, income, and resource information from financial institutions, net earnings from self-employment, payments of retirement income, and unearned income as referenced at 26 U.S.C. 6103. In addition, consent forms may authorize the collection of other information from applicants and participants to determine eligibility or level of benefits. (c) Federal preemption. [61 FR 11113, Mar. 18, 1996, as amended at 65 FR 16715, Mar. 29, 2000; 88 FR 9655, Feb. 14, 2023] § 5.212 Compliance with the Privacy Act and other requirements. (a) Compliance with the Privacy Act. (b) Privacy Act notice. § 5.214 Definitions. In addition to the definitions in § 5.100, the following definitions apply to this subpart B: Assistance applicant. (1) For any program under 24 CFR parts 215, 221, 236, 290, or 891, or any program under Section 8 of the 1937 Act: A family or individual that seeks rental assistance under the program. (2) For the public housing program: A family or individual that seeks admission to the program. (3) For any program under 24 CFR part 235: A homeowner or cooperative member seeking homeownership assistance (including where the individual seeks to assume an existing mortgage). Computer match Computer matching agreement Consent form Employer Identification Number (EIN) Entity applicant. (i) The project-based assistance programs under Section 8 of the 1937 Act; (ii) The programs in 24 CFR parts 215, 221, or 236; or (iii) The other mortgage and loan insurance programs in 24 CFR parts 201 through 267, except that the term “entity applicant” does not include a mortgagee or lender. (2) The term does not include a public entity, such as a PHA, IHA, or State Housing Finance Agency. Federal agency Income information (1) All employment income information known to current or previous employers or other income sources that HUD or the processing entity determines is necessary for purposes of determining an assistance applicant's or participant's eligibility for, or level of assistance in, a covered program; (2) All information about wages, as defined in the State's unemployment compensation law, including any Social Security Number; name of the employee; quarterly wages of the employee; and the name, full address, telephone number, and, when known, Employer Identification Number of an employer reporting wages under a State unemployment compensation law; (3) With respect to unemployment compensation: (i) Whether an individual is receiving, has received, or has applied for unemployment compensation; (ii) The amount of unemployment compensation the individual is receiving or is entitled to receive; and (iii) The period with respect to which the individual actually received such compensation; (4) Unearned IRS income and self-employment, wages and retirement income as described in the Internal Revenue Code, 26 U.S.C. 6103(l)(7); and (5) Wage, social security (Title II), and supplemental security income (Title XVI) data obtained from the Social Security Administration. Individual owner applicant. (1) An individual who seeks to participate as a private owner in any of: (i) The project-based assistance programs under Section 8 of the 1937 Act; or (ii) The programs in 24 CFR parts 215, 221, 235 (without homeownership assistance), or 236, including where the individual seeks to assume an existing mortgage; or (2) An individual who: (i) Either: (A) Applies for a mortgage or loan insured or coinsured under any of the programs referred to in paragraph (1)(iii) of the definition of “entity applicant” in this section; or (B) Seeks to assume an existing mortgage or loan; and (ii) Intends to hold the mortgaged property in his or her individual right. IRS Owner Participant. (1) For any program under 24 CFR part 891, or Section 8 of the 1937 Act: A family receiving rental assistance under the program; (2) For the public housing program: A family or individual that is assisted under the program; (3) For 24 CFR parts 215, 221, 236, and 290: A tenant or qualified tenant under any of the programs; and (4) For 24 CFR part 235: A homeowner or a cooperative member receiving homeownership assistance. Processing entity Social Security Number (SSN) SSA State Wage Information Collection Agency (SWICA) [61 FR 11113, Mar. 18, 1996, as amended at 63 FR 23853, Apr. 30, 1998; 65 FR 16715, Mar. 29, 2000] Disclosure and Verification of Social Security Numbers and Employer Identification Numbers for Applicants and Participants in Certain HUD Programs § 5.216 Disclosure and verification of Social Security and Employer Identification Numbers. (a) General. (b) Disclosure required of assistance applicants. (1) The complete and accurate SSN assigned to the assistance applicant and to each member of the assistance applicant's household; and (2) The documentation referred to in paragraph (g)(1) of this section to verify each such SSN. (c) Disclosure required of individual owner applicants. (1) The complete and accurate SSN assigned to the individual owner applicant and to each member of the individual owner applicant's household who will be obligated to pay the debt evidenced by the mortgage or loan documents; and (2) The documentation referred to in paragraph (g)(1) of this section to verify each such SSN. (d) Disclosure required of certain officials of entity applicants. (1) The complete and accurate SSN assigned to each such individual; and (2) The documentation referred to in paragraph (g)(1) of this section to verify each SSN. (e) Disclosure required of participants Initial disclosure. (A) Not previously disclosed a SSN; (B) Previously disclosed a SSN that HUD or the SSA determined was invalid; or (C) Been issued a new SSN. (ii) Each participant subject to the disclosure requirements under paragraph (e)(1)(i) of this section must submit the following information to the processing entity at the next interim or regularly scheduled reexamination or recertification of family composition or income, or other reexamination or recertification for the program involved: (A) The complete and accurate SSN assigned to the participant and to each member of the participant's household; and (B) The documentation referred to in paragraph (g)(1) of this section to verify each such SSN. (2) Subsequent disclosure. (i) Addition of new household member who is at least 6 years of age or under the age of 6 and has an assigned SSN. (A) The complete and accurate SSN assigned to each new member; and (B) The documentation referred to in paragraph (g)(1) of this section to verify the SSN for each new member. (ii) Addition of new household member who is under the age of 6 and has no assigned SSN. (B) The processing entity shall grant an extension of one additional 90-day period if the processing entity, in its discretion, determines that the participant's failure to comply was due to circumstances that could not have reasonably been foreseen and were outside the control of the participant. During the period that the processing entity is awaiting documentation of a SSN, the processing entity shall include the child as part of the assisted household and the child shall be entitled to all the benefits of being a household member. If, upon expiration of the provided time period, the participant fails to produce a SSN, the processing entity shall follow the provisions of § 5.218. (iii) Assignment of new SSN. (A) The complete and accurate SSN assigned to the participant or household member involved; and (B) The documentation referred to in paragraph (g)(1) of this section to verify the SSN of each individual. (f) Disclosure required of entity applicants. (1) Any complete and accurate EIN assigned to the entity applicant; and (2) The documentation referred to in paragraph (g)(2) of this section to verify the EIN. (g) Required documentation SSN. (i) A valid SSN card issued by the SSA; (ii) An original document issued by a federal or state government agency, which contains the name of the individual and the SSN of the individual, along with other identifying information of the individual; or (iii) Such other evidence of the SSN as HUD may prescribe in administrative instructions. (2) EIN. (h) Effect on assistance applicants. (2) For applicants to the Section 8 Moderate Rehabilitation Single Room Occupancy (SRO) Program for Homeless Individuals under 24 CFR part 882, subpart H, the documentation required in paragraph (g)(1) of this section must be provided to the processing entity within 90 calendar days from the date of admission into the program. The processing entity shall grant an extension of one additional 90-day period if the processing entity, in its discretion, determines that the applicant's failure to comply was due to circumstances that could not have reasonably been foreseen and were outside the control of the applicant. If, upon expiration of the provided time period, the individual fails to produce a SSN, the processing entity shall follow the provisions of § 5.218. (3) If a child under the age of 6 years was added to the assistance applicant household within the 6-month period prior to the household's date of admission (or, for the HCV program, the date of voucher issuance), the assistance applicant may become a participant, so long as the documentation required in paragraph (g)(1) of this section is provided to the processing entity within 90 calendar days from the date of admission into the program (or, for the HCV program, the effective date of the Housing Assistance Payment contract). The processing entity must grant an extension of one additional 90-day period if the processing entity determines that, in its discretion, the assistance applicant's failure to comply was due to circumstances that could not reasonably have been foreseen and were outside the control of the assistance applicant. If the applicant family fails to produce the documentation required in paragraph (g)(1) of this section within the required time period, the processing entity must follow the provisions of § 5.218. (i) Rejection of documentation. [74 FR 68932, Dec. 29, 2009, as amended at 81 FR 12369, Mar. 8, 2016] § 5.218 Penalties for failing to disclose and verify Social Security and Employer Identification Numbers. (a) Denial of eligibility of assistance applicants and individual owner applicants. (b) Denial of eligibility of entity applicants. (1) The entity applicant does not meet the EIN disclosure, documentation, and verification requirements specified in § 5.216; or (2) Any of the officials of the entity applicant referred to in § 5.216(d) does not meet the applicable SSN disclosure, and documentation and verification requirements specified in § 5.216. (c) Termination of assistance or termination of tenancy of participants. (2) The processing entity may defer termination and provide the participant with an additional 90 calendar days to disclose a SSN, but only if the processing entity, in its discretion, determines that: (i) The failure to meet these requirements was due to circumstances that could not have reasonably been foreseen and were outside the control of the participant; and (ii) There is a reasonable likelihood that the participant will be able to disclose a SSN by the deadline. (3) Failure of the participant to disclose a SSN by the deadline specified in paragraph (c)(2) of this section will result in termination of the assistance or tenancy, or both, of the participant and the participant's household. (d) Cross reference. [61 FR 11113, Mar. 18, 1996, as amended at 74 FR 4840, Jan. 27, 2009; 74 FR 68933, Dec. 29, 2009] Procedures for Obtaining Income Information About Applicants and Participants § 5.230 Consent by assistance applicants and participants. (a) Required consent by assistance applicants and participants. (b) Consent authorization Applicants. (2) Subsequent consent forms. (i) When any person 18 years or older becomes a member of the family, that family member must sign and submit a consent form; (ii) When a member of the family turns 18 years of age, that family member must sign and submit a consent form; or (iii) As required by HUD or the PHA in administrative instructions. (c) Consent form—contents. (1) A provision authorizing HUD and PHAs to obtain from SWICAs any information or materials necessary to complete or verify the application for participation and to maintain continued assistance under a covered program; and (2) A provision authorizing HUD, PHAs, or the owner responsible for determining eligibility for or the level of assistance to verify with previous or current employers income information pertinent to the assistance applicant's or participant's eligibility for or level of assistance under a covered program; (3) A provision authorizing HUD to request income return information from the IRS and the SSA for the sole purpose of verifying income information pertinent to the assistance applicant's or participant's eligibility or level of benefits; and (4) A provision authorizing PHAs to obtain any financial record from any financial institution, as the terms financial record and financial institution are defined in the Right to Financial Privacy Act (12 U.S.C. 3401), whenever the PHA determines the record is needed to determine an applicant's or participant's eligibility for assistance or level of benefits; and (5) A statement that the authorization to release the information requested by the consent form will remain effective until the earliest of: (i) The rendering of a final adverse decision for an assistance applicant; (ii) The cessation of a participant's eligibility for assistance from HUD and the PHA; or (iii) The express revocation by the assistance applicant or recipient (or applicable family member) of the authorization, in a written notification to HUD. [61 FR 11113, Mar. 18, 1996, as amended at 88 FR 9655, Feb. 14, 2023] § 5.232 Penalties for failing to sign consent forms. (a) Denial or termination of benefits. (1) The processing entity shall deny assistance to and admission of an assistance applicant; (2) Assistance to, and the tenancy of, a participant may be terminated. (b) Cross references. (c) This section does not apply if the applicant or participant, or any member of the assistance applicant's or participant's family revokes his/her consent with respect to the ability of the PHA to access financial records from financial institutions, unless the PHA establishes an admission and occupancy policy that revocation of consent to access financial records will result in denial or termination of assistance or admission. [61 FR 11113, Mar. 18, 1996, as amended at 88 FR 9655, Feb. 14, 2023] § 5.233 Mandated use of HUD's Enterprise Income Verification (EIV) System. (a) Programs subject to this section and requirements. (i) Public Housing program under 24 CFR part 960; (ii) Section 8 Housing Choice Voucher (HCV) program under 24 CFR part 982; (iii) Moderate Rehabilitation program under 24 CFR part 882; (iv) Project-based Voucher program under 24 CFR part 983; (v) Project-based Section 8 programs under 24 CFR parts 880, 881, 883, 884, 886, and 891; (vi) Section 202 of the Housing Act of 1959 (12 U.S.C. 1701q); (vii) Section 811 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013); (viii) Sections 221(d)(3) and 236 of the National Housing Act (12 U.S.C. 1715l(d)(3) and 1715z-1); and (ix) Rent Supplement program under section 101 of the Housing and Urban Development Act of 1965 (12 U.S.C. 1701s). (2) Processing entities must use HUD's EIV system in its entirety: (i) As a third-party source to verify tenant employment and income information during annual and streamlined reexaminations of family composition and income, in accordance with § 5.236 and administrative guidance issued by HUD; and (ii) To reduce administrative and subsidy payment errors in accordance with HUD administrative guidance. (b) Penalties for noncompliance. [74 FR 68934, Dec. 29, 2009, as amended at 88 FR 9655, Feb. 14, 2023] § 5.234 Requests for information from SWICAs and Federal agencies; restrictions on use. (a) Information available from SWICAs and Federal agencies—to whom and what. (1) When HUD requests the computer match, the processing entity shall certify to HUD; and (2) When the PHA requests the computer match, the PHA shall certify to the SWICA. (b) Restrictions on use of information. (c) Computer matching agreements. (Approved by the Office of Management and Budget under control number 2508-0008) § 5.236 Procedures for termination, denial, suspension, or reduction of assistance based on information obtained from a SWICA or Federal agency. (a) Termination, denial, suspension, or reduction of assistance. (b) Procedures for independent verification. (i) By HUD; (ii) In the case of the public housing program, by a PHA; or (iii) In the case of any Section 8 program, by a PHA acting as contract administrator under an ACC. (2) Upon receiving income information from a SWICA or a Federal agency, HUD or, when applicable, the PHA shall compare the information with the information about a family's income that was: (i) Provided by the assistance applicant or participant to the PHA; or (ii) Obtained by the owner (or mortgagee, as applicable) from the assistance applicant or participant or from his or her employer. (3) When the income information reveals an employer or other income source that was not disclosed by the assistance applicant or participant, or when the income information differs substantially from the information received from the assistance applicant or participant or from his or her employer: (i) HUD or, as applicable or directed by HUD, the PHA shall request the undisclosed employer or other income source to furnish any information necessary to establish an assistance applicant's or participant's eligibility for or level of assistance in a covered program. This information shall be furnished in writing, as directed to: (A) HUD, with respect to programs under parts 221, 235, 236, or 290 of this title; (B) The responsible entity (as defined in § 5.100) in the case of the public housing program or any Section 8 program. (C) The owner or mortgagee, as applicable, with respect to the rent supplement, Section 221(d)(3) BMIR, Section 235 homeownership assistance, or Section 236 programs. (ii) HUD or the PHA may verify the income information directly with an assistance applicant or participant. Such verification procedures shall not include any disclosure of income information prohibited under paragraph (b)(6) of this section. (4) HUD and the PHA shall not be required to pursue these verification procedures when the sums of money at issue are too small to raise an inference of fraud or justify the expense of independent verification and the procedures related to termination, denial, suspension, or reduction of assistance. (5) Based on the income information received from a SWICA or Federal agency, HUD or the PHA, as appropriate, may inform an owner (or mortgagee) that an assistance applicant's or participant's eligibility for or level of assistance is uncertain and needs to be verified. The owner (or mortgagee) shall then confirm the assistance applicant's or participant's income information by checking the accuracy of the information with the employer or other income source, or directly with the family. (6) Nondisclosure of Income information. Neither HUD nor the PHA may disclose income information obtained from a SWICA directly to an owner (unless a PHA is the owner). Disclosure of income information obtained from the SSA or IRS is restricted under 26 U.S.C. § 6103(l)(7) and 42 U.S.C. 3544. (c) Opportunity to contest. [61 FR 11113, Mar. 18, 1996, as amended at 65 FR 16715, Mar. 29, 2000; 74 FR 68934, Dec. 29, 2009] § 5.238 Criminal and civil penalties. Persons who violate the provisions of 42 U.S.C. 3544 or 26 U.S.C. 6103(l)(7) with respect to the use and disclosure of income information may be subject to civil or criminal penalties under 42 U.S.C. 3544(c)(3), 26 U.S.C. 7213(a), or 18 U.S.C. 1905. § 5.240 Family disclosure of income information to the responsible entity and verification. (a) This section applies to families that reside in dwelling units with assistance under the public housing program, the Section 8 tenant-based assistance programs, or for which project-based assistance is provided under the Section 8, Section 202, or Section 811 program. (b) The family must promptly furnish to the responsible entity any letter or other notice by HUD to a member of the family that provides information concerning the amount or verification of family income. (c) The responsible entity must verify the accuracy of the income information received from the family, and change the amount of the total tenant payment, tenant rent or Section 8 housing assistance payment, or terminate assistance, as appropriate, based on such information. [65 FR 16715, Mar. 29, 2000] Subpart C—Pet Ownership for the Elderly or Persons With Disabilities Authority: 42 U.S.C. 1701r-1 and 3535(d). General Requirements § 5.300 Purpose. (a) This subpart implements section 227 of the Housing and Urban-Rural Recovery Act of 1983 (12 U.S.C. 1701r-1) as it pertains to projects for the elderly or persons with disabilities under: (1) The housing programs administered by the Assistant Secretary for Housing-Federal Housing Commissioner; (2) Projects assisted under the programs contained in chapter VIII of this title 24; and (3) The public housing program. (b) [Reserved] [61 FR 5202, Feb. 9, 1996, as amended at 65 FR 16715, Mar. 29, 2000] § 5.303 Exclusion for animals that assist, support, or provide service to persons with disabilities. (a) This subpart C does not apply to animals that are used to assist, support, or provide service to persons with disabilities. Project owners and PHAs may not apply or enforce any policies established under this subpart against animals that are necessary as a reasonable accommodation to assist, support, or provide service to persons with disabilities. This exclusion applies to animals that reside in projects for the elderly or persons with disabilities, as well as to animals that visit these projects. (b) Nothing in this subpart C: (1) Limits or impairs the rights of persons with disabilities; (2) Authorizes project owners or PHAs to limit or impair the rights of persons with disabilities; or (3) Affects any authority that project owners or PHAs may have to regulate animals that assist, support, or provide service to persons with disabilities, under federal, state, or local law. [73 FR 63838, Oct. 27, 2008] § 5.306 Definitions. Common household pet (1) For purposes of Housing programs: (2) For purposes of Public Housing programs: Elderly or disabled family (1) For purposes of Housing programs: (2) For purposes of Public Housing programs: (ii) [Reserved] Housing programs (1) The housing programs administered by the Assistant Secretary for Housing-Federal Housing Commissioner; and (2) The programs contained in chapter VIII of this title 24 that assist rental projects that meet the definition of project for the elderly or persons with disabilities in this subpart C. Project for the elderly or persons with disabilities (1) For purposes of Housing programs: (A) That is assisted under statutory authority identified by HUD through notice; (B) That was designated for occupancy by elderly or disabled families when funds for the project were reserved, or when the commitment to insure the mortgage was issued or, of not then so designated, that is designated for such occupancy in an effective amendment to the regulatory agreement covering the project, made pursuant to the project owner's request, and that is assisted or insured under one of the programs identified by HUD through notice; or (C) For which preference in tenant selection is given for all units in the project to elderly or disabled families and that is owned by HUD or assisted under one of the programs identified by HUD through notice. (ii) This term does not include health and care facilities that have mortgage insurance under the National Housing Act. This term also does not include any of the project owner's other property that does not meet the criteria contained in any one of paragraphs (1)(i)(A) through (C) of this definition, even if the property is adjacent to or under joint or common management with such specific property. (2) For purposes of Public Housing programs: Project owner Public Housing Agency (PHA) [61 FR 5202, Feb. 9, 1996, as amended at 65 FR 16715, Mar. 29, 2000] § 5.309 Prohibition against discrimination. Except as otherwise specifically authorized under this subpart no project owner or PHA that owns or manages a project for the elderly or persons with disabilities may: (a) As a condition of tenancy or otherwise, prohibit or prevent any tenant of such housing from owning common household pets or having such pets living in the tenant's dwelling unit; or (b) Restrict or discriminate against any person in connection with admission to, or continued occupancy of, such housing by reason of the person's ownership of common household pets or the presence of such pets in the person's dwelling unit. § 5.312 Notice to tenants. (a) During the development of pet rules as described in § 5.353 or § 5.380, the project owner or PHA shall serve written notice on all tenants of projects for the elderly or persons with disabilities in occupancy at the time of service, stating that: (1) Tenants are permitted to own and keep common household pets in their dwelling units, in accordance with the pet rules (if any) promulgated under this subpart C; (2) Animals that are used to assist persons with disabilities are excluded from the requirements of this subpart C, as provided in § 5.303; (3) Tenants may, at any time, request a copy of any current pet rule developed under this subpart C (as well as any current proposed rule or proposed amendment to an existing rule); and (4) Tenants may request that their leases be amended under § 5.321 to permit common household pets. (b) The project owner or PHA shall provide to each applicant for tenancy when he or she is offered a dwelling unit in a project for the elderly or persons with disabilities, the written notice specified in paragraphs (a) (1), (2), and (3) of this section. (c) If a PHA chooses not to promulgate pet rules, the notice shall be served within 60 days of the effective date of this part. PHAs shall serve notice under this section in accordance with their normal service of notice procedures. § 5.315 Content of pet rules: General requirements. (a) Housing programs. (b) Public Housing programs. (2) If PHAs choose to promulgate pet rules, tenants must be permitted to own and keep pets in their units in accordance with the terms and conditions of their leases, the provisions of this subpart C, and any applicable State or local law or regulation governing the owning or keeping of pets in dwelling accommodations. (3) PHAs that choose not to promulgate pet rules, shall not impose, by lease modification or otherwise, any requirement that is inconsistent with the provisions of this subpart C. (c) Use of discretion. (i) Reasonably related to furthering a legitimate interest of the project owner or PHA, such as the owner's or PHA's interest in providing a decent, safe, and sanitary living environment for existing and prospective tenants and in protecting and preserving the physical condition of the project and the owner's or PHA's financial interest in it; and (ii) Drawn narrowly to achieve the owner's or PHA's legitimate interests, without imposing unnecessary burdens and restrictions on pet owners and prospective pet owners. (2) Where a project owner or PHA has discretion to prescribe pet rules under this subpart C, the owner or PHA may vary the rules' content among projects and within individual projects, based on factors such as the size, type, location, and occupancy of the project or its units, provided that the applicable rules are reasonable and do not conflict with any applicable State or local law or regulation governing the owning or keeping of pets in dwelling accommodations. (d) Conflict with State or local law. § 5.318 Discretionary pet rules. Pet rules promulgated by project owners and PHAs may include, but are not limited to, consideration of the following factors: (a) Definitions of “common household pet” For Public Housing programs. (2) For Housing programs. (b) Density of tenants and pets. (ii) For Housing programs. (iii) Other than the limitations described in this paragraph (b)(1), the pet rules may not limit the total number of pets allowed in the project. (2) As used in paragraph (b)(1) of this section, the term “group home” means: (i) For purposes of Housing programs. (ii) For purposes of Public Housing programs. (c) Pet size and pet type. (d) Potential financial obligations of tenants Pet deposits. (2) Housing programs: Maximum pet deposit. (A) Tenants whose rents are subsidized (including tenants of a HUD-owned project, whose rents were subsidized before HUD acquired it) under one of the programs identified by HUD through notice. (B) Tenants who live in a project assisted (including tenants who live in a HUD-owned project that was assisted before HUD acquired it) under one of the programs identified by HUD through notice. (C) For all other tenants of projects for the elderly or persons with disabilities, the pet deposit shall not exceed one month's rent at the time the pet is brought onto the premises. (ii) In establishing the maximum amount of pet deposit under paragraph (d)(2)(i) of this section, HUD will consider factors such as: (A) Projected, estimated expenses directly attributable to the presence of pets in the project; (B) The ability of project owners to offset such expenses by use of security deposits or HUD-reimbursable expenses; and (C) The low income status of tenants of projects for the elderly or persons with disabilities. (iii) For pet deposits subject to paragraph (d)(2)(i)(A) of this section, the pet rules shall provide for gradual accumulation of the deposit by the pet owner through an initial payment not to exceed $50 when the pet is brought onto the premises, and subsequent monthly payments not to exceed $10 per month until the amount of the deposit is reached. (iv) For pet deposits subject to paragraphs (d)(2)(i)(B) and (C) of this section, the pet rules may provide for gradual accumulation of the deposit by the pet owner. (v) The project owner may (subject to the HUD-prescribed limits) increase the amount of the pet deposit by amending the house pet rules in accordance with § 5.353. (A) For pet deposits subject to paragraph (d)(2)(i)(A) of this section, the house pet rules shall provide for gradual accumulation of any such increase not to exceed $10 per month for all deposit amounts that are being accumulated. (B) [Reserved] (vi) Any pet deposit that is established within the parameters set forth by paragraph (d)(2) of this section shall be deemed reasonable for purposes of this subpart C. (3) Public Housing programs: Maximum pet deposit. (4) Housing programs: Waste removal charge. (5) The pet deposit (for Housing and Public Housing programs) and waste removal charge (for Housing programs) are not part of the rent payable by the tenant. Except as provided in paragraph (d) of this section for Housing programs and, paragraph (d) of this section and 24 CFR 966.4(b) for Public Housing programs, project owners or PHAs may not prescribe pet rules that impose additional financial obligations on pet owners that are designed to compensate the project owner or PHA for costs associated with the presence of pets in the project, including (but not limited to) requiring pet owners: (i) To obtain liability or other insurance to cover damage caused by the pet; (ii) To agree to be strictly liable for all damages caused by the pet where this liability is not otherwise imposed by State or local law, or (iii) To indemnify the project owner for pet-related litigation and attorney's fees. (e) Standards of pet care. (1) Bar pets from specified common areas (such as lobbies, laundry rooms, and social rooms), unless the exclusion will deny a pet reasonable ingress and egress to the project or building. (2) Require the pet owner to control noise and odor caused by a pet. (3) Housing programs: Project owners may also: (i) Require pet owners to have their dogs and cats spayed or neutered; and (ii) Limit the length of time that a pet may be left unattended in a dwelling unit. (f) Pet licensing. (g) Public Housing programs: Designated pet areas. (2) Project owners may not designate pet areas in buildings in their pet rules. (h) Pets temporarily on the premises. § 5.321 Lease provisions. (a) Lease provisions. (i) State that tenants are permitted to keep common household pets in their dwelling units (subject to the provisions of this subpart and the pet rules); (ii) Shall incorporate by reference the pet rules promulgated by the project owner or PHA; (iii) Shall provide that the tenant agrees to comply with these rules; and (iv) Shall state that violation of these rules may be grounds for removal of the pet or termination of the pet owner's tenancy (or both), in accordance with the provisions of this subpart and applicable regulations and State or local law. (2) [Reserved] (b) Where a PHA has not established pet rules, the leases of all tenants of such projects shall not contain any provisions prohibiting the owning or keeping of common household pets, and shall state that owning and keeping of such pets will be subject to the general obligations imposed on the PHA and tenants in the lease and any applicable State or local law or regulation governing the owning or keeping of pets in dwelling accommodations. § 5.324 Implementation of lease provisions. The lease for each tenant of a project for the elderly or persons with disabilities who is admitted on or after the date on which this subpart C is implemented shall contain the lease provisions described in § 5.321 and, if applicable, § 5.360. The lease for each tenant who occupies a unit in such a project under lease on the date of implementation of this part shall be amended to include the provisions described in § 5.321 and, if applicable, § 5.360: (a) For Housing programs: (1) Upon renewal of the lease and in accordance with any applicable regulation; and (2) When a Housing program tenant registers a common household pet under § 5.350 (b) For Public Housing programs: (1) Upon annual reexamination of tenant income in accordance with any applicable regulation; and (2) When a Public Housing program tenant wishes to own or keep a common household pet in his or her unit. § 5.327 Nuisance or threat to health or safety. Nothing in this subpart C prohibits a project owner, PHA, or an appropriate community authority from requiring the removal of any pet from a project, if the pet's conduct or condition is duly determined to constitute, under the provisions of State or local law, a nuisance or a threat to the health or safety of other occupants of the project or of other persons in the community where the project is located. Pet Ownership Requirements for Housing Programs § 5.350 Mandatory pet rules for housing programs. Mandatory rules. (a) Inoculations. (b) Sanitary standards. (i) Designate areas on the project premises for pet exercise and the deposit of pet waste; (ii) Forbid pet owners from exercising their pets or permitting their pets to deposit waste on the project premises outside the designated areas; (iii) Require pet owners to remove and properly dispose of all removable pet waste; and (iv) Require pet owners to remove pets from the premises to permit the pet to exercise or deposit waste, if no area in the project is designated for such purposes. (2) In the case of cats and other pets using litter boxes, the pet rules may require the pet owner to change the litter (but not more than twice each week), may require pet owners to separate pet waste from litter (but not more than once each day), and may prescribe methods for the disposal of pet waste and used litter. (c) Pet restraint. (d) Registration. (i) A certificate signed by a licensed veterinarian or a State or local authority empowered to inoculate animals (or designated agent of such an authority) stating that the pet has received all inoculations required by applicable State and local law; (ii) Information sufficient to identify the pet and to demonstrate that it is a common household pet; and (iii) The name, address, and phone number of one or more responsible parties who will care for the pet if the pet owner dies, is incapacitated, or is otherwise unable to care for the pet. (2) The project owner may require the pet owner to provide additional information necessary to ensure compliance with any discretionary rules prescribed under § 5.318, and shall require the pet owner to sign a statement indicating that he or she has read the pet rules and agrees to comply with them. (3) The pet rules shall permit the project owner to refuse to register a pet if: (i) The pet is not a common household pet; (ii) The keeping of the pet would violate any applicable house pet rule; (iii) The pet owner fails to provide complete pet registration information or fails annually to update the pet registration; or (iv) The project owner reasonably determines, based on the pet owner's habits and practices, that the pet owner will be unable to keep the pet in compliance with the pet rules and other lease obligations. The pet's temperament may be considered as a factor in determining the prospective pet owner's ability to comply with the pet rules and other lease obligations. (4) The project owner may not refuse to register a pet based on a determination that the pet owner is financially unable to care for the pet or that the pet is inappropriate, based on the therapeutic value to the pet owner or the interests of the property or existing tenants. (5) The pet rules shall require the project owner to notify the pet owner if the project owner refuses to register a pet. The notice shall state the basis for the project owner's action and shall be served on the pet owner in accordance with the requirements of § 5.353(f)(1)(i) or (ii). The notice of refusal to register a pet may be combined with a notice of pet violation as required in § 5.356. § 5.353 Housing programs: Procedure for development of pet rules. (a) General. (b) Development and notice of proposed pet rules. (1) Include the text of the proposed rules; (2) State that tenants or tenant representatives may submit written comments on the rules; and (3) State that all comments must be submitted to the project owner no later than 30 days from the effective date of the notice of the proposed rules. (4) The notice may also announce the date, time, and place for a meeting to discuss the proposed rules (as provided in paragraph (c) of this section). (c) Tenant consultation. (d) Development and notice of final pet rules. (e) Amendment of pet rules. (f) Service of notice. (i) Sending a letter by first class mail, properly stamped and addressed to the tenant at the dwelling unit, with a proper return address; or (ii) Serving a copy of the notice on any adult answering the door at the tenant's leased dwelling unit, or if no adult responds, by placing the notice under or through the door, if possible, or else by attaching the notice to the door; or (iii) For service of notice to tenants of a high-rise building, posting the notice in at least three conspicuous places within the building and maintaining the posted notices intact and in legible form for 30 days. For purposes of paragraph (f) of this section, a high-rise building is a structure that is equipped with an elevator and has a common lobby. (2) For purposes of computing time periods following service of the notice, service is effective on the day that all notices are delivered or mailed, or in the case of service by posting, on the day that all notices are initially posted. § 5.356 Housing programs: Pet rule violation procedures. (a) Notice of pet rule violation. (1) Contain a brief statement of the factual basis for the determination and the pet rule or rules alleged to be violated; (2) State that the pet owner has 10 days from the effective date of service of the notice to correct the violation (including, in appropriate circumstances, removal of the pet) or to make a written request for a meeting to discuss the violation; (3) State that the pet owner is entitled to be accompanied by another person of his or her choice at the meeting; and (4) State that the pet owner's failure to correct the violation, to request a meeting, or to appear at a requested meeting may result in initiation of procedures to terminate the pet owner's tenancy. (b)(1) Pet rule violation meeting. (2) Notice for pet removal. (i) Contain a brief statement of the factual basis for the determination and the pet rule or rules that have been violated; (ii) State that the pet owner must remove the pet within 10 days of the effective date of service of the notice of pet removal (or the meeting, if notice is served at the meeting); and (iii) State that failure to remove the pet may result in initiation of procedures to terminate the pet owner's tenancy. (c) Initiation of procedures to remove a pet or terminate the pet owner's tenancy. (i) The pet owner has failed to remove the pet or correct a pet rule violation within the applicable time period specified in this section (including any additional time permitted by the owner); and (ii) The pet rule violation is sufficient to begin procedures to terminate the pet owner's tenancy under the terms of the lease and applicable regulations. (2) The project owner may initiate procedures to remove a pet under § 5.327 at any time, in accordance with the provisions of applicable State or local law. § 5.359 Housing programs: Rejection of units by applicants for tenancy. (a) An applicant for tenancy in a project for the elderly or persons with disabilities may reject a unit offered by a project owner if the unit is in close proximity to a dwelling unit in which an existing tenant of the project owns or keeps a common household pet. An applicant's rejection of a unit under this section shall not adversely affect his or her application for tenancy in the project, including (but not limited to) his or her position on the project waiting list or qualification for any tenant selection preference. (b) Nothing in this subpart C imposes a duty on project owners to provide alternate dwelling units to existing or prospective tenants because of the proximity of common household pets to a particular unit or the presence of such pets in the project. § 5.360 Housing programs: Additional lease provisions. (a) Inspections. (b) Emergencies. (2) The lease shall permit the project owner to enter the premises and remove the pet or take such other permissible action only if the project owner requests the pet owner to remove the pet from the project immediately, and the pet owner refuses to do so, or if the project owner is unable to contact the pet owner to make a removal request. The lease may not contain a provision relieving the project owner from liability for wrongful removal of a pet. The cost of the animal care facility shall be paid as provided in § 5.363. (3) The project owner may place a provision in tenant leases permitting the project owner to enter the premises, remove the pet, and place the pet in a facility that will provide care and shelter, in accordance with the provisions of § 5.363. The lease may not contain a provision relieving the project owner from liability for wrongful removal of a pet. § 5.363 Housing programs: Protection of the pet. (a) If the health or safety of a pet is threatened by the death or incapacity of the pet owner, or by other factors that render the pet owner unable to care for the pet, the project owner may contact the responsible party or parties listed in the pet registration required under § 5.350(d)(1)(iii). (b) If the responsible party or parties are unwilling or unable to care for the pet, or the project owner, despite reasonable efforts, has been unable to contact the responsible party or parties, the project owner may contact the appropriate State or local authority (or designated agent of such an authority) and request the removal of the pet. (c) If there is no State or local authority (or designated agent of such an authority) authorized to remove a pet under these circumstances and the project owner has placed a provision in the lease agreement (as described in § 5.360(c)(2)), the project owner may enter the pet owner's unit, remove the pet, and place the pet in a facility that will provide care and shelter until the pet owner or a representative of the pet owner is able to assume responsibility for the pet, but not longer than 30 days. (d) The cost of the animal care facility provided under this section shall be borne by the pet owner. If the pet owner (or the pet owner's estate) is unable or unwilling to pay, the cost of the animal care facility may be paid from the pet deposit, if imposed under the pet rules. Pet Ownership Requirements for Public Housing Programs § 5.380 Public housing programs: Procedure for development of pet rules. PHAs that choose to promulgate pet rules shall consult with tenants of projects for the elderly or persons with disabilities administered by them with respect to their promulgation and subsequent amendment. PHAs shall develop the specific procedures governing tenant consultation, but these procedures must be designed to give tenants (or, if appropriate, tenant councils) adequate opportunity to review and comment upon the pet rules before they are issued for effect. PHAs are solely responsible for the content of final pet rules, but must give consideration to tenant comments. PHAs shall send to the responsible HUD field office, copies of the final (or amended) pet rules, as well as summaries or copies of all tenant comments received in the course of the tenant consultation. Subpart D—Definitions for Section 8 and Public Housing Assistance Under the United States Housing Act of 1937 Authority: 42 U.S.C. 1437a and 3535(d). Source: 61 FR 5665, Feb. 13, 1996, unless otherwise noted. § 5.400 Applicability. This part applies to public housing and Section 8 programs. [61 FR 5665, Feb. 13, 1996, as amended at 65 FR 16715, Mar. 29, 2000] § 5.403 Definitions. Annual contributions contract Applicant Disabled family Displaced family Elderly family Family (1) A single person, who may be: (i) An elderly person, displaced person, disabled person, near-elderly person, or any other single person; (ii) An otherwise eligible youth who has attained at least 18 years of age and not more than 24 years of age and who has left foster care, or will leave foster care within 90 days, in accordance with a transition plan described in section 475(5)(H) of the Social Security Act (42 U.S.C. 675(5)(H)), and is homeless or is at risk of becoming homeless at age 16 or older; or (2) A group of persons residing together, and such group includes, but is not limited to: (i) A family with or without children (a child who is temporarily away from the home because of placement in foster care is considered a member of the family); (ii) An elderly family; (iii) A near-elderly family; (iv) A disabled family; (v) A displaced family; and (vi) The remaining member of a tenant family. Live-in aide (1) Is determined to be essential to the care and well-being of the persons; (2) Is not obligated for the support of the persons; and (3) Would not be living in the unit except to provide the necessary supportive services. Near-elderly family Person with disabilities: (1) Means a person who: (i) Has a disability, as defined in 42 U.S.C. 423; (ii) Is determined, pursuant to HUD regulations, to have a physical, mental, or emotional impairment that: (A) Is expected to be of long-continued and indefinite duration; (B) Substantially impedes his or her ability to live independently, and (C) Is of such a nature that the ability to live independently could be improved by more suitable housing conditions; or (iii) Has a developmental disability as defined in 42 U.S.C. 6001. (2) Does not exclude persons who have the disease of acquired immunodeficiency syndrome or any conditions arising from the etiologic agent for acquired immunodeficiency syndrome; (3) For purposes of qualifying for low-income housing, does not include a person whose disability is based solely on any drug or alcohol dependence; and (4) Means “individual with handicaps”, as defined in § 8.3 of this title, for purposes of reasonable accommodation and program accessibility for persons with disabilities. [61 FR 5665, Feb. 13, 1996, as amended at 63 FR 23853, Apr. 30, 1998; 65 FR 16715, Mar. 29, 2000; 77 FR 5674, Feb. 3, 2012; 88 FR 9655, Feb. 14, 2023] Subpart E—Restrictions on Assistance to Noncitizens Authority: 42 U.S.C. 1436a and 3535(d). § 5.500 Applicability. (a) Covered programs/assistance. (1) Section 235 of the National Housing Act (12 U.S.C. 1715z) (the Section 235 Program); (2) Section 236 of the National Housing Act (12 U.S.C. 1715z-1) (tenants paying below market rent only) (the Section 236 Program); (3) Section 101 of the Housing and Urban Development Act of 1965 (12 U.S.C. 1701s) (the Rent Supplement Program); and (4) The United States Housing Act of 1937 (42 U.S. C. 1437 et seq. (i) HUD's Public Housing Programs; (ii) The Section 8 Housing Assistance Programs; and (iii) The Housing Development Grant Programs (with respect to low income units only). (b) Covered individuals and entities Covered individuals/persons and families. (2) Covered entities. § 5.502 Requirements concerning documents. For any notice or document (decision, declaration, consent form, etc.) that this subpart E requires the responsible entity to provide to an individual, or requires the responsible entity to obtain the signature of an individual, the responsible entity, where feasible, must arrange for the notice or document to be provided to the individual in a language that is understood by the individual if the individual is not proficient in English. (See 24 CFR 8.6 of HUD's regulations for requirements concerning communications with persons with disabilities.) § 5.504 Definitions. (a) The definitions 1937 Act, HUD, Public Housing Agency (PHA), Section 8 (b) As used in this subpart E: Child Citizen Evidence of citizenship or eligible status Family Head of household Housing covered programs (1) Section 235 of the National Housing Act (12 U.S.C. 1715z) (the Section 235 Program); (2) Section 236 of the National Housing Act (12 U.S.C. 1715z-1) (tenants paying below market rent only) (the Section 236 Program); and (3) Section 101 of the Housing and Urban Development Act of 1965 (12 U.S.C. 1701s) (the Rent Supplement Program). INS Mixed family National Noncitizen Project owner Public Housing covered programs Responsible entity (1) For the Section 235 Program, the mortgagee. (2) For Public Housing, the Section 8 tenant-based assistance, the Section 8 project-based voucher, and the Section 8 Moderate Rehabilitation programs, the PHA administering the program under an ACC with HUD. (3) For all other Section 8 programs, the Section 236 Program, and the Rent Supplement Program, the owner. Section 8 covered programs Section 214 Section 214 covered programs Tenant [61 FR 5202, Feb. 9, 1996, as amended at 89 FR 38289, May 7, 2024; 90 FR 56687, Dec. 8, 2025] § 5.506 General provisions. (a) Restrictions on assistance. (1) Citizens; (2) Noncitizens (b) Family eligibility for assistance. (2) Despite the ineligibility of one or more family members, a mixed family may be eligible for one of the three types of assistance provided in §§ 5.516 and 5.518. A family without any eligible members and receiving assistance on June 19, 1995 may be eligible for temporary deferral of termination of assistance as provided in §§ 5.516 and 5.518. (c) Preferences. [61 FR 5202, Feb. 9, 1996, as amended at 67 FR 65273, Oct. 23, 2002] § 5.508 Submission of evidence of citizenship or eligible immigration status. (a) General. (b) Evidence of citizenship or eligible immigration status. (1) For U.S. citizens or U.S. nationals, the evidence consists of a signed declaration of U.S. citizenship or U.S. nationality. The responsible entity may request verification of the declaration by requiring presentation of a United States passport or other appropriate documentation, as specified in HUD guidance. (2) For noncitizens who are 62 years of age or older or who will be 62 years of age or older and receiving assistance under a Section 214 covered program on September 30, 1996 or applying for assistance on or after that date, the evidence consists of: (i) A signed declaration of eligible immigration status; and (ii) Proof of age document. (3) For all other noncitizens, the evidence consists of: (i) A signed declaration of eligible immigration status; (ii) One of the INS documents referred to in § 5.510; and (iii) A signed verification consent form. (c) Declaration. (i) For each adult, the declaration must be signed by the adult. (ii) For each child, the declaration must be signed by an adult residing in the assisted dwelling unit who is responsible for the child. (2) For Housing covered programs: (d) Verification consent form Who signs. (i) For each adult, the form must be signed by the adult. (ii) For each child, the form must be signed by an adult residing in the assisted dwelling unit who is responsible for the child. (2) Notice of release of evidence by responsible entity. (i) HUD, as required by HUD; and (ii) The INS for purposes of verification of the immigration status of the individual. (3) Notice of release of evidence by HUD. (e) Individuals who do not contend that they have eligible status. (f) Notification of requirements of Section 214 When notice is to be issued. (i) Applicant's notice. (ii) Notice to tenants. (iii) Timing of mortgagor's notice. (2) Form and content of notice. (i) State that financial assistance is contingent upon the submission and verification, as appropriate, of evidence of citizenship or eligible immigration status as required by paragraph (a) of this section; (ii) Describe the type of evidence that must be submitted, and state the time period in which that evidence must be submitted (see paragraph (g) of this section concerning when evidence must be submitted); and (iii) State that assistance will be prorated, denied or terminated, as appropriate, upon a final determination of ineligibility after all appeals have been exhausted (see § 5.514 concerning INS appeal, and informal hearing process) or, if appeals are not pursued, at a time to be specified in accordance with HUD requirements. Tenants also shall be informed of how to obtain assistance under the preservation of families provisions of §§ 5.516 and 5.518. (g) When evidence of eligible status is required to be submitted. (1) Applicants. (2) Tenants. (i) For financial assistance under a Section 214 covered program, with the exception of Section 235 assistance payments, the required evidence shall be submitted at the first regular reexamination after June 19, 1995, in accordance with program requirements. (ii) For financial assistance in the form of Section 235 assistance payments, the mortgagor shall submit the required evidence in accordance with requirements imposed under the Section 235 Program. (3) New occupants of assisted units. (4) Changing participation in a HUD program. (5) One-time evidence requirement for continuous occupancy. (h) Extensions of time to submit evidence of eligible status When extension must be granted. (i) Submits the declaration required under § 5.508(a) certifying that any person for whom required evidence has not been submitted is a noncitizen with eligible immigration status; and (ii) Certifies that the evidence needed to support a claim of eligible immigration status is temporarily unavailable, additional time is needed to obtain and submit the evidence, and prompt and diligent efforts will be undertaken to obtain the evidence. (2) Thirty-day extension period. (3) Grant or denial of extension to be in writing. (i) Failure to submit evidence or to establish eligible status. (ii) [Reserved] [61 FR 13616, Mar. 27, 1996, as amended at 61 FR 60538, Nov. 29, 1996; 64 FR 25731, May 12, 1999] § 5.510 Documents of eligible immigration status. (a) General. (b) Acceptable evidence of eligible immigration status. [61 FR 13616, Mar. 27, 1996, as amended at 61 FR 60539, Nov. 29, 1996; 64 FR 25731, May 12, 1999] § 5.512 Verification of eligible immigration status. (a) General. (b) PHA election to provide assistance before verification. (c) Primary verification Automated verification system. (2) Failure of primary verification to confirm eligible immigration status. (d) Secondary verification Manual search of INS records. (2) Secondary verification initiated by responsible entity. (3) Failure of secondary verification to confirm eligible immigration status. (e) Exemption from liability for INS verification. [61 FR 13616, Mar. 27, 1996, as amended at 61 FR 60539, Nov. 29, 1996; 64 FR 25731, May 12, 1999] § 5.514 Delay, denial, reduction or termination of assistance. (a) General. (b) Restrictions on delay, denial, reduction or termination of assistance Restrictions on reduction, denial or termination of assistance for applicants and tenants. (i) The primary and secondary verification of any immigration documents that were timely submitted has not been completed; (ii) The family member for whom required evidence has not been submitted has moved from the assisted dwelling unit; (iii) The family member who is determined not to be in an eligible immigration status following INS verification has moved from the assisted dwelling unit; (iv) The INS appeals process under § 5.514(e) has not been concluded; (v) Assistance is prorated in accordance with § 5.520; or (vi) Assistance for a mixed family is continued in accordance with §§ 5.516 and 5.518; or (vii) Deferral of termination of assistance is granted in accordance with §§ 5.516 and 5.518. (2) Restrictions on delay, denial, reduction or termination of assistance pending fair hearing for tenants. (c) Events causing denial or termination of assistance General. (i) Evidence of citizenship (i.e., the declaration) and eligible immigration status is not submitted by the date specified in § 5.508(g) or by the expiration of any extension granted in accordance with § 5.508(h); (ii) Evidence of citizenship and eligible immigration status is timely submitted, but INS primary and secondary verification does not verify eligible immigration status of a family member; and (A) The family does not pursue INS appeal or informal hearing rights as provided in this section; or (B) INS appeal and informal hearing rights are pursued, but the final appeal or hearing decisions are decided against the family member; or (iii) The responsible entity determines that a family member has knowingly permitted another individual who is not eligible for assistance to reside (on a permanent basis) in the public or assisted housing unit of the family member. Such termination shall be for a period of not less than 24 months. This provision does not apply to a family if the ineligibility of the ineligible individual was considered in calculating any proration of assistance provided for the family. (2) Termination of assisted occupancy. (d) Notice of denial or termination of assistance. (1) That financial assistance will be denied or terminated, and provide a brief explanation of the reasons for the proposed denial or termination of assistance; (2) That the family may be eligible for proration of assistance as provided under § 5.520; (3) In the case of a tenant, the criteria and procedures for obtaining relief under the provisions for preservation of families in §§ 5.514 and 5.518; (4) That the family has a right to request an appeal to the INS of the results of secondary verification of immigration status and to submit additional documentation or a written explanation in support of the appeal in accordance with the procedures of paragraph (e) of this section; (5) That the family has a right to request an informal hearing with the responsible entity either upon completion of the INS appeal or in lieu of the INS appeal as provided in paragraph (f) of this section; (6) For applicants, the notice shall advise that assistance may not be delayed until the conclusion of the INS appeal process, but assistance may be delayed during the pendency of the informal hearing process. (e) Appeal to the INS Submission of request for appeal. (2) Documentation to be submitted as part of appeal to INS. (3) Decision by INS When decision will be issued. (ii) Notification of INS decision and of informal hearing procedures. (4) No delay, denial, reduction, or termination of assistance until completion of INS appeal process; direct appeal to INS. (f) Informal hearing When request for hearing is to be made. (2) Informal hearing procedures Tenants assisted under a Section 8 covered program: (A) For Section 8 Moderate Rehabilitation assistance: (B) For Section 8 tenant-based assistance: (ii) Tenants assisted under any other Section 8 covered program or a Public Housing covered program: (iii) Families under Housing covered programs and applicants for assistance under all covered programs. (A) Hearing before an impartial individual. (B) Examination of evidence. (C) Presentation of evidence and arguments in support of eligible status. (D) Controverting evidence of the responsible entity. (E) Representation. (F) Interpretive services. (G) Hearing to be recorded. (3) Hearing decision. (g) Judicial relief. (h) Retention of documents. (1) The application for financial assistance; (2) The form completed by the family for income reexamination; (3) Photocopies of any original documents (front and back), including original INS documents; (4) The signed verification consent form; (5) The INS verification results; (6) The request for an INS appeal; (7) The final INS determination; (8) The request for an informal hearing; and (9) The final informal hearing decision. (i) Termination of assisted occupancy. (i) If permitted under the lease, the responsible entity notifying the tenant that because of the termination of assisted occupancy the tenant is required to pay the HUD-approved market rent for the dwelling unit. (ii) The responsible entity and tenant entering into a new lease without financial assistance. (iii) The responsible entity evicting the tenant. While the tenant continues in occupancy of the unit, the responsible entity may continue to receive assistance payments if action to terminate the tenancy under an assisted lease is promptly initiated and diligently pursued, in accordance with the terms of the lease, and if eviction of the tenant is undertaken by judicial action pursuant to State and local law. Action by the responsible entity to terminate the tenancy and to evict the tenant must be in accordance with applicable HUD regulations and other HUD requirements. For any jurisdiction, HUD may prescribe a maximum period during which assistance payments may be continued during eviction proceedings and may prescribe other standards of reasonable diligence for the prosecution of eviction proceedings. (2) In the Section 8 Rental Voucher, and Moderate Rehabilitation programs, assisted occupancy is terminated by terminating assistance payments. (See provisions of this section concerning termination of assistance.) The PHA shall not make any additional assistance payments to the owner after the required procedures specified in this section have been completed. In addition, the PHA shall not approve a lease, enter into an assistance contract, or process a portability move for the family after those procedures have been completed. [61 FR 13616, Mar. 27, 1996, as amended at 61 FR 60539, Nov. 29, 1996; 64 FR 25731, May 12, 1999; 89 FR 38290, May 7, 2024] § 5.516 Availability of preservation assistance to mixed families and other families. (a) Assistance available for tenant mixed families General. (i) Continued assistance (see paragraph (a) of § 5.518); (ii) Temporary deferral of termination of assistance (see paragraph (b) of § 5.518); or (iii) Prorated assistance (see § 5.520, a mixed family must be provided prorated assistance if the family so requests). (2) Availability of assistance For Housing covered programs: (ii) For Section 8 or Public Housing covered programs. (b) Assistance available for applicant mixed families. (c) Assistance available to other families in occupancy. (1) For Housing covered programs: (2) For Section 8 or Public Housing covered programs: (d) Section 8 covered programs: Discretion afforded to provide certain family preservation assistance Project owners. (2) PHAs. [61 FR 13616, Mar. 27, 1996, as amended at 61 FR 60539, Nov. 29, 1996; 64 FR 25732, May 12, 1999] § 5.518 Types of preservation assistance available to mixed families and other families. (a) Continued assistance General. (i) The family was receiving assistance under a Section 214 covered program on June 19, 1995; (ii) The family's head of household or spouse has eligible immigration status as described in § 5.506; and (iii) The family does not include any person (who does not have eligible immigration status) other than the head of household, any spouse of the head of household, any parents of the head of household, any parents of the spouse, or any children of the head of household or spouse. (2) Proration of continued assistance. (b) Temporary deferral of termination of assistance Eligibility for this type of assistance. (2) Housing covered programs: Conditions for granting temporary deferral of termination of assistance. (i) The family demonstrates that reasonable efforts to find other affordable housing of appropriate size have been unsuccessful (for purposes of this section, reasonable efforts include seeking information from, and pursuing leads obtained from the State housing agency, the city government, local newspapers, rental agencies and the owner); (ii) The vacancy rate for affordable housing of appropriate size is below five percent in the housing market for the area in which the project is located; or (iii) The consolidated plan, as described in 24 CFR part 91 and if applicable to the covered program, indicates that the local jurisdiction's housing market lacks sufficient affordable housing opportunities for households having a size and income similar to the family seeking the deferral. (3) Time limit on deferral period. (4) Notification requirements for beginning of each deferral period. (5) Determination of availability of affordable housing at end of each deferral period. (A) For Housing covered programs: (B) For Section 8 or Public Housing covered programs: (ii) The responsible entity must also: (A) Notify the tenant family in writing, at least 60 days in advance of the expiration of the deferral period, that termination will be deferred again (provided that the granting of another deferral will not result in aggregate deferral periods that exceeds the maximum deferral period). This time period does not apply to a family which includes a refugee under section 207 of the Immigration and Nationality Act or an individual seeking asylum under section 208 of that Act, and a determination was made that other affordable housing is not available; or (B) Notify the tenant family in writing, at least 60 days in advance of the expiration of the deferral period, that termination of financial assistance will not be deferred because either granting another deferral will result in aggregate deferral periods that exceed the maximum deferral period (unless the family includes a refugee under section 207 of the Immigration and Nationality Act or an individual seeking asylum under section 208 of that Act), or a determination has been made that other affordable housing is available. (c) Option to select proration of assistance at end of deferral period. (d) Notification of decision on family preservation assistance. [61 FR 13616, Mar. 27, 1996, as amended at 61 FR 60539, Nov. 29, 1996; 64 FR 25732, May 12, 1999] § 5.520 Proration of assistance. (a) Applicability. (b) Method of prorating assistance for Housing covered programs Proration under Rent Supplement Program. (2) Proration under Section 235 Program. (3) Proration under Section 236 Program without the benefit of additional assistance. (4) Proration under Section 236 Program with the benefit of additional assistance. (i) An amount equal to the difference between the market rate rent for the unit and the basic rent for the unit multiplied by a fraction, the denominator of which is the number of people in the household, and the numerator of which is the number of ineligible persons in the household, plus; (ii) An amount equal to the rent supplement, housing assistance payment or rental assistance payment the household would otherwise be entitled to multiplied by a fraction, the denominator of which is the number of people in the household and the numerator of which is the number of ineligible persons in the household. (c) Method of prorating assistance for Section 8 covered programs Section 8 assistance other than assistance provided for a tenancy under the Section 8 Housing Choice Voucher Program. (i) Step 1. (ii) Step 2. (iii) Step 3. (iv) Step 4. (A) The numerator is the number of family members who have established eligible immigration status; and (B) The denominator is the total number of family members. (v) Prorated housing assistance. (vi) No effect on contract rent. (2) Assistance for a Section 8 voucher tenancy. (i) Step 1. (ii) Step 2. (A) The numerator is the number of family members who have established eligible immigration status; and (B) The denominator is the total number of family members. (iii) Prorated housing assistance. (iv) No effect on rent to owner. (d) Method of prorating assistance for Public Housing covered programs. (i) Step 1. (ii) Step 2. (iii) Step 3. (iv) Step 4. (2) The product of steps 1 through 4 of paragraphs (d)(1)(i) through (iv) of this section is the amount of subsidy for which the family is eligible (“eligible subsidy”). The family's rent is the PHA-established flat rent minus the amount of the eligible subsidy. (e) Method of prorating assistance when the mixed family's total tenant payment (TTP) is greater than the public housing flat rent. [61 FR 5202, Feb. 9, 1996, as amended at 63 FR 23853, Apr. 30, 1998; 64 FR 13056, Mar. 16, 1999; 81 FR 12370, Mar. 8, 2016; 88 FR 9655, Feb. 14, 2023] § 5.522 Prohibition of assistance to noncitizen students. (a) General. (b) Family of noncitizen students. (2) The prohibition on providing assistance to a noncitizen student does not extend to the citizen spouse of the noncitizen student and the children of the citizen spouse and noncitizen student. § 5.524 Compliance with nondiscrimination requirements. The responsible entity shall administer the restrictions on use of assisted housing by noncitizens with ineligible immigration status imposed by this part in conformity with all applicable nondiscrimination and equal opportunity requirements, including, but not limited to, title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d-2000d-5) and the implementing regulations in 24 CFR part 1, section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) and the implementing regulations in 24 CFR part 8, the Fair Housing Act (42 U.S.C. 3601-3619) and the implementing regulations in 24 CFR part 100. § 5.526 Protection from liability for responsible entities and State and local government agencies and officials. (a) Protection from liability for responsible entities. (b) Protection from liability for State and local government agencies and officials. [64 FR 25732, May 12, 1999] § 5.528 Liability of ineligible tenants for reimbursement of benefits. Where a tenant has received the benefit of HUD financial assistance to which the tenant was not entitled because the tenant intentionally misrepresented eligible status, the ineligible tenant is responsible for reimbursing HUD for the assistance improperly paid. If the amount of the assistance is substantial, the responsible entity is encouraged to refer the case to the HUD Inspector General's office for further investigation. Possible criminal prosecution may follow based on the False Statements Act (18 U.S.C. 1001 and 1010). Subpart F—Section 8 and Public Housing, and Other HUD Assisted Housing Serving Persons with Disabilities: Family Income and Family Payment; Occupancy Requirements for Section 8 Project-Based Assistance Authority: 42 U.S.C. 1437a, 1437c, 1437d, 1437f, 1437n, and 3535(d). Source: 61 FR 54498, Oct. 18, 1996, unless otherwise noted. § 5.601 Purpose and applicability. This subpart states HUD requirements on the following subjects: (a) Determining annual and adjusted income of families who apply for or receive assistance in the Section 8 (tenant-based and project-based) and public housing programs; (b) Determining payments by and utility reimbursements to families assisted in these programs; (c) Additional occupancy requirements that apply to the Section 8 project-based assistance programs. These additional requirements concern: (1) Income-eligibility and income-targeting when a Section 8 owner admits families to a Section 8 project or unit; (2) Owner selection preferences; and (3) Owner reexamination of family income and composition; (d) Determining adjusted income, as provided in § 5.611(a) and (c) through (e), for families who apply for or receive assistance under the following programs: Section 202 Supportive Housing Program for the Elderly (24 CFR 891, subpart B); Section 202 Direct Loans for Housing for the Elderly and Persons with Disabilities (24 CFR part 891, subpart E); and the Section 811 Supportive Housing for Persons with Disabilities (24 CFR part 891, subpart C). Unless specified in the regulations for each of the programs listed in this paragraph (d) or in another regulatory section of this part 5, subpart F, then the regulations in part 5, subpart F, generally are not applicable to these programs; and (e) Limitations on eligibility for assistance based on assets, as provided in § 5.618, in the Section 8 (tenant-based and project-based) and public housing programs. [66 FR 6222, Jan. 19, 2001, as amended at 88 FR 9655, Feb. 14, 2023] § 5.603 Definitions. As used in this subpart: (a) Terms found elsewhere in part 5 Subpart A. 1937 Act, elderly person, public housing, public housing agency (PHA), responsible entity Section 8 (2) Subpart D. (b) The following terms shall have the meanings set forth below: Adjusted income. Annual income. Child care expenses. Day laborer. Dependent. Disability assistance expenses. Economic self-sufficiency program. Extremely low-income family. (1) The poverty guidelines established by the Department of Health and Human Services applicable to the family of the size involved (except in the case of families living in Puerto Rico or any other territory or possession of the United States); or (2) Thirty (30) percent of the median income for the area, as determined by HUD, with adjustments for smaller and larger families, except that HUD may establish income ceilings higher or lower than 30 percent of the area median income for the area if HUD finds that such variations are necessary because of unusually high or low family incomes. Foster adult. Foster child. e.g., Full-time student. Health and medical care expenses. Imputed welfare income. Independent contractor. Low income family. Medical expenses. Minor. Monthly adjusted income. Monthly income. Net family assets. (2) In determining net family assets, PHAs or owners, as applicable, must include the value of any business or family assets disposed of by an applicant or tenant for less than fair market value (including a disposition in trust, but not in a foreclosure or bankruptcy sale) during the two years preceding the date of application for the program or reexamination, as applicable, in excess of the consideration received therefor. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be for less than fair market value if the applicant or tenant receives consideration not measurable in dollar terms. Negative equity in real property or other investments does not prohibit the owner from selling the property or other investments, so negative equity alone would not justify excluding the property or other investments from family assets. (3) Excluded from the calculation of net family assets are: (i) The value of necessary items of personal property; (ii) The combined value of all non-necessary items of personal property if the combined total value does not exceed $50,000 (which amount will be adjusted by HUD in accordance with the Consumer Price Index for Urban Wage Earners and Clerical Workers); (iii) The value of any account under a retirement plan recognized as such by the Internal Revenue Service, including individual retirement arrangements (IRAs), employer retirement plans, and retirement plans for self-employed individuals; (iv) The value of real property that the family does not have the effective legal authority to sell in the jurisdiction in which the property is located; (v) Any amounts recovered in any civil action or settlement based on a claim of malpractice, negligence, or other breach of duty owed to a family member arising out of law, that resulted in a family member being a person with a disability; (vi) The value of any Coverdell education savings account under section 530 of the Internal Revenue Code of 1986, the value of any qualified tuition program under section 529 of such Code, the value of any Achieving a Better Life Experience (ABLE) account authorized under Section 529A of such Code, and the value of any “baby bond” account created, authorized, or funded by Federal, State, or local government. (vii) Interests in Indian trust land; (viii) Equity in a manufactured home where the family receives assistance under 24 CFR part 982; (ix) Equity in property under the Homeownership Option for which a family receives assistance under 24 CFR part 982; (x) Family Self-Sufficiency Accounts; and (xi) Federal tax refunds or refundable tax credits for a period of 12 months after receipt by the family. (4) 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 trust fund is not a family asset and the value of the trust is not included in the calculation of net family assets, so long as the fund continues to be held in a trust that is not revocable by, or under the control of, any member of the family or household. Owner Responsible entity. (1) For the Section 202 Supportive Housing Program for the Elderly, the “Owner” as defined in 24 CFR 891.205; (2) For the Section 202 Direct Loans for Housing for the Elderly and Persons with Disabilities, the “Borrower” as defined in 24 CFR 891.505; and (3) For the Section 811 Supportive Housing Program for Persons with Disabilities, the “Owner” as defined in 24 CFR 891.305. Seasonal worker. Tenant rent. Total tenant payment. Utility allowance. Utility reimbursement. Very low income family. Welfare assistance. Work activities. [61 FR 54498, Oct. 18, 1996, as amended at 65 FR 16716, Mar. 29, 2000; 65 FR 55161, Sept. 12, 2000; 66 FR 6223, Jan. 19, 2001; 67 FR 47432, July 18, 2002; 81 FR 12370, Mar. 8, 2016; 88 FR 9656, Feb. 14, 2023; 88 FR 12560, Feb. 28, 2023] Family Income § 5.609 Annual income. (a) Annual income includes, with respect to the family: (1) All amounts, not specifically excluded in paragraph (b) of this section, received from all sources by each member of the family who is 18 years of age or older or is the head of household or spouse of the head of household, plus unearned income by or on behalf of each dependent who is under 18 years of age, and (2) When the value of net family assets exceeds $50,000 (which amount HUD will adjust annually in accordance with the Consumer Price Index for Urban Wage Earners and Clerical Workers) and the actual returns from a given asset cannot be calculated, imputed returns on the asset based on the current passbook savings rate, as determined by HUD. (b) Annual income does not include the following: (1) Any imputed return on an asset when net family assets total $50,000 or less (which amount HUD will adjust annually in accordance with the Consumer Price Index for Urban Wage Earners and Clerical Workers) and no actual income from the net family assets can be determined. (2) The following types of trust distributions: (i) For an irrevocable trust or a revocable trust outside the control of the family or household excluded from the definition of net family assets under § 5.603(b): (A) Distributions of the principal or corpus of the trust; and (B) Distributions of income from the trust when the distributions are used to pay the costs of health and medical care expenses for a minor. (ii) For a revocable trust under the control of the family or household, any distributions from the trust; except that any actual income earned by the trust, regardless of whether it is distributed, shall be considered income to the family at the time it is received by the trust. (3) Earned income of children under the 18 years of age. (4) Payments received for the care of foster children or foster adults, or State or Tribal kinship or guardianship care payments. (5) Insurance payments and settlements for personal or property losses, including but not limited to payments through health insurance, motor vehicle insurance, and workers' compensation. (6) Amounts received by the family that are specifically for, or in reimbursement of, the cost of health and medical care expenses for any family member. (7) Any amounts recovered in any civil action or settlement based on a claim of malpractice, negligence, or other breach of duty owed to a family member arising out of law, that resulted in a member of the family becoming disabled. (8) Income of a live-in aide, foster child, or foster adult as defined in §§ 5.403 and 5.603, respectively. (9)(i) Any assistance that section 479B of the Higher Education Act of 1965, as amended (20 U.S.C. 1087uu), requires be excluded from a family's income; and (ii) Student financial assistance for tuition, books, and supplies (including supplies and equipment to support students with learning disabilities or other disabilities), room and board, and other fees required and charged to a student by an institution of higher education (as defined under Section 102 of the Higher Education Act of 1965 (20 U.S.C. 1002)) and, for a student who is not the head of household or spouse, the reasonable and actual costs of housing while attending the institution of higher education and not residing in an assisted unit. (A) Student financial assistance, for purposes of this paragraph (9)(ii), means a grant or scholarship received from— ( 1 ( 2 ( 3 ( 4 ( 5 (B) Student financial assistance, for purposes of this paragraph (9)(ii), does not include— ( 1 ( 2 e.g., ( 3 ( 4 (C) Student financial assistance, for purposes of this paragraph (b)(9)(ii) must be: ( 1 ( 2 ( 3 (D) Student financial assistance, for purposes of this paragraph (b)(9)(ii), may be paid directly to the student or to the educational institution on the student's behalf. Student financial assistance paid to the student must be verified by the responsible entity as student financial assistance consistent with this paragraph (b)(9)(ii). (E) When the student is also receiving assistance excluded under paragraph (b)(9)(i) of this section, the amount of student financial assistance under this paragraph (b)(9)(ii) is determined as follows: ( 1 ( 2 ( i ( ii (10) Income and distributions from any Coverdell education savings account under section 530 of the Internal Revenue Code of 1986 or any qualified tuition program under section 529 of such Code; and income earned by government contributions to, and distributions from, “baby bond” accounts created, authorized, or funded by Federal, State, or local government. (11) The special pay to a family member serving in the Armed Forces who is exposed to hostile fire. (12)(i) 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); (ii) Amounts received by a participant in other publicly assisted programs which are specifically for or in reimbursement of out-of-pocket expenses incurred ( e.g., (iii) Amounts received under a resident service stipend not to exceed $200 per month. A resident service stipend is a modest amount received by a resident for performing a service for the PHA or owner, on a part-time basis, that enhances the quality of life in the development. (iv) Incremental earnings and benefits resulting to any family member from participation in training programs funded by HUD or in qualifying Federal, State, Tribal, or local employment training programs (including training programs not affiliated with a local government) and training of a family member as resident management staff. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives and are excluded only for the period during which the family member participates in the employment training program unless those amounts are excluded under paragraph (b)(9)(i) of this section. (13) Reparation payments paid by a foreign government pursuant to claims filed under the laws of that government by persons who were persecuted during the Nazi era. (14) Earned income of dependent full-time students in excess of the amount of the deduction for a dependent in § 5.611. (15) Adoption assistance payments for a child in excess of the amount of the deduction for a dependent in § 5.611. (16) Deferred periodic amounts from Supplemental Security Income and Social Security benefits that are received in a lump sum amount or in prospective monthly amounts, or any deferred Department of Veterans Affairs disability benefits that are received in a lump sum amount or in prospective monthly amounts. (17) Payments related to aid and attendance under 38 U.S.C. 1521 to veterans in need of regular aid and attendance. (18) Amounts received by the family in the form of refunds or rebates under State or local law for property taxes paid on the dwelling unit. (19) Payments made by or authorized by a State Medicaid agency (including through a managed care entity) or other State or Federal agency to a family to enable a family member who has a disability to reside in the family's assisted unit. Authorized payments may include payments to a member of the assisted family through the State Medicaid agency (including through a managed care entity) or other State or Federal agency for caregiving services the family member provides to enable a family member who has a disability to reside in the family's assisted unit. (20) Loan proceeds (the net amount disbursed by a lender to or on behalf of a borrower, under the terms of a loan agreement) received by the family or a third party ( e.g., (21) Payments received by Tribal members as a result of claims relating to the mismanagement of assets held in trust by the United States, to the extent such payments are also excluded from gross income under the Internal Revenue Code or other Federal law. (22) Amounts that HUD is required by Federal statute to exclude from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under any program to which the exclusions set forth in paragraph (b) of this section apply. HUD will publish a notice in the Federal Register (23) Replacement housing “gap” payments made in accordance with 49 CFR part 24 that offset increased out of pocket costs of displaced persons that move from one federally subsidized housing unit to another Federally subsidized housing unit. Such replacement housing “gap” payments are not excluded from annual income if the increased cost of rent and utilities is subsequently reduced or eliminated, and the displaced person retains or continues to receive the replacement housing “gap” payments. (24) Nonrecurring income, which is income that will not be repeated in the coming year based on information provided by the family. Income received as an independent contractor, day laborer, or seasonal worker is not excluded from income under this paragraph, even if the source, date, or amount of the income varies. Nonrecurring income includes: (i) Payments from the U.S. Census Bureau for employment (relating to decennial census or the American Community Survey) lasting no longer than 180 days and not culminating in permanent employment. (ii) Direct Federal or State payments intended for economic stimulus or recovery. (iii) Amounts directly received by the family as a result of State refundable tax credits or State tax refunds at the time they are received. (iv) Amounts directly received by the family as a result of Federal refundable tax credits and Federal tax refunds at the time they are received. (v) Gifts for holidays, birthdays, or other significant life events or milestones ( e.g., (vi) Non-monetary, in-kind donations, such as food, clothing, or toiletries, received from a food bank or similar organization. (vii) Lump-sum additions to net family assets, including but not limited to lottery or other contest winnings. (25) Civil rights settlements or judgments, including settlements or judgments for back pay. (26) Income received from any account under a retirement plan recognized as such by the Internal Revenue Service, including individual retirement arrangements (IRAs), employer retirement plans, and retirement plans for self-employed individuals; except that any distribution of periodic payments from such accounts shall be income at the time they are received by the family. (27) Income earned on amounts placed in a family's Family Self Sufficiency Account. (28) Gross income a family member receives through self-employment or operation of a business; except that the following shall be considered income to a family member: (i) Net income from the operation of a business or profession. Expenditures for business expansion or amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for depreciation of assets used in a business or profession may be deducted, based on straight line depreciation, as provided in Internal Revenue Service regulations; and (ii) Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the family. (c) Calculation of Income. (1) Initial occupancy or assistance and interim reexaminations. (i) To determine family income for initial occupancy or for the initial provision of housing assistance; or (ii) To determine family income for an interim reexamination of family income under § 5.657(c), § 960.257(b), or § 982.516(c) of this title. (2) Annual Reexaminations. (ii) In determining the income of the family for the previous 12-month period, the PHA or owner must take into consideration any redetermination of income during the previous 12-month period resulting from an interim reexamination of family income under § 5.657(c), § 960.257(b), or § 982.516(c) of this title. (iii) The PHA or owner must make adjustments to reflect current income if there was a change in income during the previous 12-month period that was not accounted for in a redetermination of income. (3) Use of other programs' determination of income. (A) The Temporary Assistance for Needy Families block grant (42 U.S.C. 601, et seq. (B) Medicaid (42 U.S.C. 1396 et seq. (C) The Supplemental Nutrition Assistance Program (42 U.S.C. 2011 et seq. (D) The Earned Income Tax Credit (26 U.S.C. 32). (E) The Low-Income Housing Credit (26 U.S.C. 42). (F) The Special Supplemental Nutrition Program for Woman, Infants, and Children (42 U.S.C. 1786). (G) Supplemental Security Income (42 U.S.C. 1381 et seq. (H) Other programs administered by the Secretary. (I) Other means-tested forms of Federal public assistance for which HUD has established a memorandum of understanding. (J) Other Federal benefit determinations made in other forms of means-tested Federal public assistance that the Secretary determines to have comparable reliability and announces through the Federal Register (ii) If a PHA or owner intends to use the annual income determination made by an administrator for allowable forms of Federal means-tested public assistance under this paragraph (c)(3), the PHA or owner must obtain it using the appropriate third-party verification. If the appropriate third-party verification is unavailable, or if the family disputes the determination made for purposes of the other form of Federal means-tested public assistance, the PHA or owner must calculate annual income in accordance with 24 CFR part 5, subpart F. The verification must indicate the tenant's family size and composition and state the amount of the family's annual income. The verification must also meet all HUD requirements related to the length of time that is permitted before the third-party verification is considered out-of-date and is no longer an eligible source of income verification. (4) De minimis errors. (i) The PHA or owner must still take any corrective action necessary to credit or repay a family if the family has been overcharged for their rent or family share as a result of the de minimis error in the income determination, but families will not be required to repay the PHA or owner in instances where a PHA or owner has miscalculated income resulting in a family being undercharged for rent or family share. (ii) HUD may revise the amount of de minimis error in this paragraph (c)(4) through a rulemaking published in the Federal Register [88 FR 9657, Feb. 14, 2023] § 5.611 Adjusted income. Adjusted income (a) Mandatory deductions. (2) $525 for any elderly family or disabled family, which amount will be adjusted by HUD annually in accordance with the Consumer Price Index for Urban Wage Earners and Clerical Workers, rounded to the next lowest multiple of $25; (3) The sum of the following, to the extent the sum exceeds ten percent of annual income: (i) Unreimbursed health and medical care expenses of any elderly family or disabled family; and (ii) Unreimbursed reasonable attendant care and auxiliary apparatus expenses for each member of the family who is a person with a disability, to the extent necessary to enable any member of the family (including the member who is a person with a disability) to be employed. This deduction may not exceed the combined earned income received by family members who are 18 years of age or older and who are able to work because of such attendant care or auxiliary apparatus; and (4) Any reasonable child care expenses necessary to enable a member of the family to be employed or to further his or her education. (b) Additional deductions. (i) Public housing. (ii) HCV, moderate rehabilitation, and moderate rehabilitation Single-Room Occupancy (SRO) programs. (2) For the HUD programs listed in § 5.601(d), the responsible entity must calculate such other deductions as required and permitted by the applicable program regulations. (c) Financial hardship exemption for unreimbursed health and medical care expenses and reasonable attendant care and auxiliary apparatus expenses. Phased-in relief. (i) Eligibility for relief. (ii) Form of relief. (B) Twelve months after the relief in this paragraph (c)(1)(ii) is provided, the family must receive a deduction totaling the sum of expenses under paragraph (a)(3) of this section that exceed 7.5 percent of annual income. (C) Twenty-four months after the relief in this paragraph (c)(1)(ii) is provided, the family must receive a deduction totaling the sum of expenses under paragraph (a)(3) of this section that exceed ten percent of annual income and the only remaining relief that may be available to the family will be paragraph (d)(1) of this section. (D) A family may request hardship relief under paragraph (c)(2) of this section prior to the end of the twenty-four-month transition period. If a family making such a request is determined eligible for hardship relief under paragraph (c)(2) of this section, hardship relief under this paragraph ends and the family's hardship relief shall be administered in accordance with paragraph (c)(2) of this section. Once a family chooses to obtain relief under paragraph (c)(2) of this section, a family may no longer receive relief under this paragraph. (2) General. (i) Eligibility for relief. (B) Relief under this paragraph (c)(2) is available regardless of whether the family previously received deductions under paragraph (a)(3) of this section, is currently receiving relief under paragraph (c)(1) of this section, or previously received relief under paragraph (c)(1) of this section. (ii) Form and duration of relief. (B) The family's hardship relief ends when the circumstances that made the family eligible for the relief are no longer applicable or after 90 days, whichever comes earlier. However, responsible entities may, at their discretion, extend the relief for one or more additional 90-day periods while the family's hardship condition continues. (d) Exemption to continue child care expense deduction. (e) Hardship policy requirements. Responsible entity determination of family's inability to pay the rent. (2) Family notification. i.e., [88 FR 9659, Feb. 14, 2023] § 5.612 Restrictions on assistance to students enrolled in an institution of higher education. No assistance shall be provided under section 8 of the 1937 Act to any individual who: (a) Is enrolled as a student at an institution of higher education, as defined under section 102 of the Higher Education Act of 1965 (20 U.S.C. 1002); (b) Is under 24 years of age; (c) Is not a veteran of the United States military; (d) Is unmarried; (e) Does not have a dependent child; (f) Is not a person with disabilities, as such term is defined in section 3(b)(3)(E) of the 1937 Act and was not receiving assistance under section 8 of the 1937 Act as of November 30, 2005; and (g) Is not otherwise individually eligible, or has parents who, individually or jointly, are not eligible on the basis of income to receive assistance under section 8 of the 1937 Act. [70 FR 77743, Dec. 30, 2005, as amended at 73 FR 49333, Aug. 21, 2008] § 5.613 Public housing program and Section 8 tenant-based assistance program: PHA cooperation with welfare agency. (a) This section applies to the public housing program and the Section 8 tenant-based assistance program. (b) The PHA must make best efforts to enter into cooperation agreements with welfare agencies under which such agencies agree: (1) To target public assistance, benefits and services to families receiving assistance in the public housing program and the Section 8 tenant-based assistance program to achieve self-sufficiency; (2) To provide written verification to the PHA concerning welfare benefits for families applying for or receiving assistance in these housing assistance programs. [65 FR 16717, Mar. 29, 2000] § 5.615 Public housing program and Section 8 tenant-based assistance program: How welfare benefit reduction affects family income. (a) Applicability. (b) Definitions. Covered families. Economic self-sufficiency program. Imputed welfare income. Specified welfare benefit reduction. (1) A reduction of welfare benefits by the welfare agency, in whole or in part, for a family member, as determined by the welfare agency, because of fraud by a family member in connection with the welfare program; or because of welfare agency sanction against a family member for noncompliance with a welfare agency requirement to participate in an economic self-sufficiency program. (2) “Specified welfare benefit reduction” does not include a reduction or termination of welfare benefits by the welfare agency: (i) at expiration of a lifetime or other time limit on the payment of welfare benefits; (ii) because a family member is not able to obtain employment, even though the family member has complied with welfare agency economic self-sufficiency or work activities requirements; or (iii) because a family member has not complied with other welfare agency requirements. (c) Imputed welfare income. (2) At the request of the PHA, the welfare agency will inform the PHA in writing of the amount and term of any specified welfare benefit reduction for a family member, and the reason for such reduction, and will also inform the PHA of any subsequent changes in the term or amount of such specified welfare benefit reduction. The PHA will use this information to determine the amount of imputed welfare income for a family. (3) A family's annual income includes imputed welfare income in family annual income, as determined at the PHA's interim or regular reexamination of family income and composition, during the term of the welfare benefits reduction (as specified in information provided to the PHA by the welfare agency). (4) The amount of the imputed welfare income is offset by the amount of additional income a family receives that commences after the time the sanction was imposed. When such additional income from other sources is at least equal to the imputed welfare income, the imputed welfare income is reduced to zero. (5) The PHA may not include imputed welfare income in annual income if the family was not an assisted resident at the time of sanction. (d) Review of PHA decision Public housing. (2) Section 8 participant. (e) PHA relation with welfare agency. (2) The PHA is responsible for determining the amount of imputed welfare income that is included in the family's annual income as a result of a specified welfare benefits reduction as determined by the welfare agency, and specified in the notice by the welfare agency to the PHA. However, the PHA is not responsible for determining whether a reduction of welfare benefits by the welfare agency was correctly determined by the welfare agency in accordance with welfare program requirements and procedures, nor for providing the opportunity for review or hearing on such welfare agency determinations. (3) Such welfare agency determinations are the responsibility of the welfare agency, and the family may seek appeal of such determinations through the welfare agency's normal due process procedures. The PHA shall be entitled to rely on the welfare agency notice to the PHA of the welfare agency's determination of a specified welfare benefits reduction. [65 FR 16717, Mar. 29, 2000] § 5.617 Self-sufficiency incentives for persons with disabilities—Disallowance of increase in annual income. (a) Applicable programs. (b) Definitions. Baseline income. Disallowance. Previously unemployed Qualified family. (1) Whose annual income increases as a result of employment of a family member who is a person with disabilities and who was previously unemployed for one or more years prior to employment; (2) Whose annual income increases as a result of increased earnings by a family member who is a person with disabilities during participation in any economic self-sufficiency or other job training program; or (3) Whose annual income increases, as a result of new employment or increased earnings of a family member who is a person with disabilities, during or within six months after receiving assistance, benefits or services under any state program for temporary assistance for needy families funded under Part A of Title IV of the Social Security Act, as determined by the responsible entity in consultation with the local agencies administering temporary assistance for needy families (TANF) and Welfare-to-Work (WTW) programs. The TANF program is not limited to monthly income maintenance, but also includes such benefits and services as one-time payments, wage subsidies and transportation assistance—provided that the total amount over a six-month period is at least $500. (c) Disallowance of increase in annual income Initial 12-month exclusion. (2) Second 12-month exclusion and phase-in. (3) Maximum 2-year disallowance. (4) Effect of changes on currently participating families. May 9, 2016 (d) Inapplicability to admission. (e) Limitation. (f) Sunset. [66 FR 6223, Jan. 19, 2001, as amended at 67 FR 6820, Feb. 13, 2002; 81 FR 12370, Mar. 8, 2016; 88 FR 9660, Feb. 14, 2023] § 5.618 Restriction on assistance to families based on assets. (a) Restrictions based on net assets and property ownership. (i) The family's net assets (as defined in § 5.603) exceed $100,000, which amount will be adjusted annually by HUD in accordance with the Consumer Price Index for Urban Wage Earners and Clerical Workers; or (ii) The family has a present ownership interest in, a legal right to reside in, and the effective legal authority to sell, based on State or local laws of the jurisdiction where the property is located, real property that is suitable for occupancy by the family as a residence, except this real property restriction does not apply to: (A) Any property for which the family is receiving assistance under 24 CFR 982.620; or under the Homeownership Option in 24 CFR part 982; (B) Any property that is jointly owned by a member of the family and at least one non-household member who does not live with the family, if the non-household member resides at the jointly owned property; (C) Any person who is a victim of domestic violence, dating violence, sexual assault, or stalking, as defined in this part 5 (subpart L); or (D) Any family that is offering such property for sale. (2) A property will be considered “suitable for occupancy” under paragraph (a)(1)(ii) of this section unless the family demonstrates that it: (i) Does not meet the disability-related needs for all members of the family ( e.g., (ii) Is not sufficient for the size of the family; (iii) Is geographically located so as to be a hardship for the family ( e.g., (iv) Is not safe to reside in because of the physical condition of the property ( e.g., (v) Is not a property that a family may reside in under the State or local laws of the jurisdiction where the property is located. (b) Acceptable documentation; confidentiality. (2) A PHA or owner may determine compliance with paragraph (a)(1)(ii) of this section based on a certification by a family that certifies that such family does not have any present ownership interest in any real property at the time of the income determination or review. (3) When a family asks for or about an exception to the real property restriction because a family member is a victim of domestic violence, dating violence, sexual assault, or stalking, the PHA or owner must comply with the confidentiality requirements under § 5.2007. The PHA or owner must accept a self-certification from the family member, and the restrictions on requesting documentation under § 5.2007 apply. (c) Enforcement. (2) The PHA or owner may choose not to enforce the restrictions in paragraph (a) of this section or establish exceptions to such restrictions only pursuant to a policy adopted by the PHA or owner. (3) Eligibility criteria for establishing exceptions may provide for separate treatment based on family type and may be based on different factors, such as age, disability, income, the ability of the family to find suitable alternative housing, and whether supportive services are being provided. Such policies must be in conformance with all applicable fair housing statutes and regulations, as discussed in this part 5. (d) Delay of eviction or termination of assistance. (e) Applicability. [88 FR 9660, Feb. 14, 2023] Family Payment § 5.628 Total tenant payment. (a) Determining total tenant payment (TTP). (1) 30 percent of the family's monthly adjusted income; (2) 10 percent of the family's monthly income; (3) If the family is receiving payments for welfare assistance from a public agency and a part of those payments, adjusted in accordance with the family's actual housing costs, is specifically designated by such agency to meet the family's housing costs, the portion of those payments which is so designated; (4) The minimum rent, as determined in accordance with § 5.630; or (5) For public housing only, the alternative non-public housing rent, as determined in accordance with § 960.102 of this title. (b) Determining TTP if family's welfare assistance is ratably reduced. [65 FR 16718, Mar. 29, 2000, as amended at 88 FR 9661, Feb. 14, 2023] § 5.630 Minimum rent. (a) Minimum rent. (2) For the public housing program and the section 8 moderate rehabilitation or voucher programs, the PHA may establish a minimum rent of up to $50. (3) For other section 8 programs, the minimum rent is $25. (b) Financial hardship exemption from minimum rent When is family exempt from minimum rent? (i) When the family has lost eligibility for or is awaiting an eligibility determination for a Federal, State, or local assistance program, including a family that includes a member who is a noncitizen lawfully admitted for permanent residence under the Immigration and Nationality Act who would be entitled to public benefits but for title IV of the Personal Responsibility and Work Opportunity Act of 1996; (ii) When the family would be evicted because it is unable to pay the minimum rent; (iii) When the income of the family has decreased because of changed circumstances, including loss of employment; (iv) When a death has occurred in the family; and (v) Other circumstances determined by the responsible entity or HUD. (2) What happens if family requests a hardship exemption? Public housing. (B) The PHA must promptly determine whether a qualifying hardship exists and whether it is temporary or long term. (C) The PHA may not evict the family for nonpayment of minimum rent during the 90-day period beginning the month following the family's request for a hardship exemption. (D) If the PHA determines that a qualifying financial hardship is temporary, the PHA must reinstate the minimum rent from the beginning of the suspension of the minimum rent. The PHA must offer the family a reasonable repayment agreement, on terms and conditions established by the PHA, for the amount of back minimum rent owed by the family. (ii) All section 8 programs. (B) The responsible entity must promptly determine whether a qualifying hardship exists and whether it is temporary or long term. (C) If the responsible entity determines that a qualifying financial hardship is temporary, the PHA must not impose the minimum rent during the 90-day period beginning the month following the date of the family's request for a hardship exemption. At the end of the 90-day suspension period, the responsible entity must reinstate the minimum rent from the beginning of the suspension. The family must be offered a reasonable repayment agreement, on terms and conditions established by the responsible entity, for the amount of back rent owed by the family. (iii) All programs. (B) If the responsible entity determines a qualifying financial hardship is long term, the responsible entity must exempt the family from the minimum rent requirements so long as such hardship continues. Such exemption shall apply from the beginning of the month following the family's request for a hardship exemption until the end of the qualifying financial hardship. (C) The financial hardship exemption only applies to payment of the minimum rent (as determined pursuant to § 5.628(a)(4) and § 5.630), and not to the other elements used to calculate the total tenant payment (as determined pursuant to § 5.628(a)(1), (a)(2) and (a)(3)). (3) Public housing: Grievance hearing concerning PHA denial of request for hardship exemption. [65 FR 16718, Mar. 29, 2000, as amended at 89 FR 38290, May 7, 2024] § 5.632 Utility reimbursements. (a) Applicability. (1) The Section 8 programs other than the Section 8 voucher program (for distribution of a voucher housing assistance payment that exceeds rent to owner, see § 982.514(b) of this title); (2) A public housing family paying an income-based rent (see § 960.253 of this title). (Utility reimbursement is not paid for a public housing family that is paying a flat rent.) (b) Payment of utility reimbursement. (2) In the public housing program (where the family is paying an income-based rent), the Section 8 moderate rehabilitation program and the Section 8 voucher program, the PHA may pay the utility reimbursement either to the family or directly to the utility supplier to pay the utility bill on behalf of the family. If the PHA elects to pay the utility supplier, the PHA must notify the family of the amount paid to the utility supplier. (3) In the other Section 8 programs, the owner must pay the utility reimbursement either: (i) To the family, or (ii) With consent of the family, to the utility supplier to pay the utility bill on behalf of the family. [65 FR 16719, Mar. 29, 2000, as amended at 82 FR 58339, Dec. 12, 2017; 89 FR 38290, May 7, 2024] § 5.634 Tenant rent. (a) Section 8 programs. (b) Public housing. [65 FR 16719, Mar. 29, 2000] Section 8 Project-Based Assistance: Occupancy Requirements § 5.653 Section 8 project-based assistance programs: Admission—Income-eligibility and income-targeting. (a) Applicability. (b) Who is eligible? Basic eligibility. (2) Low income limit. (c) Targeting to extremely low income families. (d) Limitation on admission of non-very low income families Admission to units available before October 1, 1981. (2) Admission to units available on or after October 1, 1981. (3) Request for exception. (i) Need for admission of a broader range of tenants to preserve the financial or management viability of a project because there is an insufficient number of potential applicants who are very low income families; (ii) Commitment of an owner to attaining occupancy by families with a broad range of incomes; (iii) Project supervision by a State Housing Finance Agency having a policy of occupancy by families with a broad range of incomes supported by evidence that the Agency is pursuing this goal throughout its assisted projects in the community, or a project with financing through Section 11(b) of the 1937 Act (42 U.S.C. 1437i) or under Section 103 of the Internal Revenue Code (26 U.S.C. 103); and (iv) Low-income families that otherwise would be displaced from a Section 8 project. (4) Action on request for exception. (e) Income used for eligibility and targeting. (f) Reporting. [65 FR 16719, Mar. 29, 2000, as amended at 89 FR 38290, May 7, 2024] § 5.655 Section 8 project-based assistance programs: Owner preferences in selection for a project or unit. (a) Applicability. (b) Selection Selection for owner's project or unit. (2) Tenant selection plan. (3) Amount of income. (4) Selection for particular unit. (5) Housing assistance limitation for single persons. (c) Particular owner preferences. (1) Residency requirements or preferences. (ii) A residency preference is a preference for admission of persons who reside in a specified geographic area (“residency preference area”). (iii) An owner's residency preference must be approved by HUD in one of the following methods: (A) Prior approval of the housing market area in the Affirmative Fair Housing Marketing plan (in accordance with § 108.25 of this title) as a residency preference area; (B) Prior approval of the residency preference area in the PHA plan of the jurisdiction in which the project is located; (C) Modification of the Affirmative Fair Housing Marketing Plan, in accordance with § 108.25 of this title, (iv) Use of a residency preference may not have the purpose or effect of delaying or otherwise denying admission to a project or unit based on the race, color, ethnic origin, gender, religion, disability, or age of any member of an applicant family. (v) A residency preference must not be based on how long an applicant has resided or worked in a residency preference area. (vi) Applicants who are working or who have been notified that they are hired to work in a residency preference area must be treated as residents of the residency preference area. The owner may treat graduates of, or active participants in, education and training programs in a residency preference area as residents of the residency preference area if the education or training program is designed to prepare individuals for the job market. (2) Preference for working families. (ii) If the owner adopts a preference for admission of working families, the owner must not give a preference based on the amount of earned income. (3) Preference for person with disabilities. (4) Preference for victims of domestic violence. (5) Preference for single persons who are elderly, displaced, homeless or persons with disabilities over other single persons. [65 FR 16720, Mar. 29, 2000, as amended at 89 FR 38290, May 7, 2024] § 5.657 Section 8 project-based assistance programs: Reexamination of family income and composition. (a) Applicability. (b) Regular reexamination. (c) Interim reexaminations. Generally. (2) Decreases in the family's annual adjusted income. (3) Increases in the family's annual adjusted income. (i) The owner may not consider any increase in the earned income of the family when estimating or calculating whether the family's adjusted income has increased, unless the family has previously received an interim reduction under paragraph (c)(1) of this section during the certification period; and (ii) The owner may choose not to conduct an interim reexamination in the last three months of a certification period. (4) Policies on reporting changes in family income or composition. (5) Effective date of rent changes. (ii) If the family has failed to report a change in family income or composition in a timely manner according to the owner's policies, owners must implement any resulting rent increases retroactively to the first of the month following the date of the change leading to the interim reexamination of family income. Any resulting rent decrease must be implemented no later than the first rent period following completion of the reexamination. However, rent decreases may be applied retroactively at the discretion of the owner, in accordance with the owner's conditions as established in written policy, and subject to paragraph (c)(5)(iii) of this section. (iii) A retroactive rent decrease may not be applied by the owner prior to the later of the first of the month following: (A) The date of the change leading to the interim reexamination of family income; or (B) The effective date of the family's most recent previous interim or annual reexamination (or initial examination if that was the family's last examination). (d) Streamlined income determination General. (2) Definition of “fixed income”. (i) Social Security, Supplemental Security Income, Supplemental Disability Insurance. (ii) Federal, state, local, or private pension plans. (iii) Annuities or other retirement benefit programs, insurance policies, disability or death benefits, or other similar types of periodic receipts. (iv) Any other source of income subject to adjustment by a verifiable COLA or current rate of interest. (3) Method of streamlined income determination. (i) When 90 percent or more of a family's unadjusted income consists of fixed income, owners using streamlined income determinations must apply a COLA or COLAs to the family's fixed-income sources, provided that the family certifies both that 90 percent or more of their unadjusted income is fixed income and that their sources of fixed income have not changed from the previous year. For non-fixed income, owners are not required to make adjustments pursuant to paragraph (b) of this section. (ii) When less than 90 percent of a family's unadjusted income consists of fixed income, owners using streamlined income determinations must apply a COLA to each of the family's sources of fixed income. Owners must determine all other income pursuant to paragraph (b) of this section. (4) COLA rate applied by owners. (5) Triennial verification. (e) Other applicable requirements. (f) De minimis errors. (1) The owner must take any corrective action necessary to credit or repay a family if the family has been overcharged for their rent as a result of the de minimis error in the income determination. Families will not be required to repay the owner in instances where the owner has miscalculated income resulting in a family being undercharged for rent or family share. (2) HUD may revise the amount of de minimis error in this paragraph (f) through a rulemaking published in the Federal Register [65 FR 16720, Mar. 29, 2000, as amended at 81 FR 12371, Mar. 8, 2016; 82 FR 58340, Dec. 12, 2017; 85 FR 27139, May 7, 2020; 88 FR 9661, Feb. 14, 2023; 89 FR 38290, May 7, 2024] § 5.659 Family information and verification. (a) Applicability. (b) Family obligation to supply information. (2) The family must supply any information requested by the owner or HUD for use in a regularly scheduled reexamination or an interim reexamination of family income and composition in accordance with HUD requirements. (3) For requirements concerning the following, see part 5, subpart B of this title: (i) Family verification and disclosure of social security numbers; (ii) Family execution and submission of consent forms for obtaining wage and claim information from State Wage Information Collection Agencies (SWICAs). (4) Any information supplied by the family must be true and complete. (c) Family release and consent. (2) The use or disclosure of information obtained from a family or from another source pursuant to this release and consent shall be limited to purposes directly connected with administration of the Section 8 program. (d) Owner responsibility for verification. (1) Reported family annual income; (2) The value of assets; (3) Expenses related to deductions from annual income; and (4) Other factors that affect the determination of adjusted income. (e) Verification of assets. [65 FR 16721, Mar. 29, 2000, as amended at 82 FR 58340, Dec. 12, 2017; 88 FR 9662, Feb. 14, 2023; 89 FR 38290, May 7, 2024] § 5.661 Section 8 project-based assistance programs: Approval for police or other security personnel to live in project. (a) Applicability. (b) Terms. Security personnel (i) A police officer, or (ii) A qualified security professional, with adequate training and experience to provide security services for project residents. (2) Police officer (3) Security (c) Owner application. (2) The owner's application must include the following information: (i) A description of criminal activities in the project and the surrounding community, and the effect of criminal activity on the security of project residents. (ii) Qualifications of security personnel who will reside in the project, and the period of residence by such personnel. How owner proposes to check backgrounds and qualifications of any security personnel who will reside in the project. (iii) Full disclosure of any family relationship between the owner and any security personnel. For this purpose, “owner” includes a principal or other interested party. (iv) How residence by security personnel in a project unit will increase security for Section 8 assisted families residing in the project. (v) The amount payable monthly as rent to the unit owner by security personnel residing in the project (including a description of how this amount is determined), and the amount of any other compensation by the owner to such resident security personnel. (vi) The terms of occupancy by such security personnel. The lease by owner to the approved security personnel may provide that occupancy of the unit is authorized only while the security personnel is satisfactorily performing any agreed responsibilities and functions for project security. (vii) Other information as requested by the contract administrator. (d) Action by contract administrator. (2) Notice of approval by the contract administrator shall specify the term of such approved occupancy. Such approval may be withdrawn at the discretion of the contract administrator, for example, if the contract administrator determines that such occupancy is not providing adequate security benefits as proposed in the owner's application; or that security benefits from such occupancy are not a sufficient return for program costs. (e) Housing assistance payment and rent. (2) In approving the amount of monthly rent payable by security personnel for occupancy of a contract unit, the contract administrator may consider whether security services to be performed are an adequate return for housing assistance payments on the unit, or whether the cost of security services should be borne by the owner from other project income. [65 FR 16721, Mar. 29, 2000] Effective Date Note: At 65 FR 16721, Mar. 29, 2000, § 5.661 was added. This section contains information collection and recordkeeping requirements and will not become effective until approval has been given by the Office of Management and Budget. Subpart G—Physical Inspection of Real Estate Source: 88 FR 30490, May 11, 2023, unless otherwise noted. § 5.701 Applicability. (a) Scope. (1) All Public Housing programs (programs for housing assisted under the U.S. Housing Act of 1937 other than section 8 of the Act); (2) The Housing Choice Voucher program under section 8(o) of the U.S. Housing Act of 1937, part 982 of this title and the Project-Based Voucher program under section 8(o)(13) of the Act and the regulations at 24 CFR part 983 (referred to in this part as the HCV and PBV programs, or HCV and PBV housing); (3) All project-based Section 8 programs; (4) Section 202 Supportive Housing for the Elderly (Capital Advances); (5) Section 811 Supportive Housing for Persons with Disabilities (Capital Advances); (6) Section 202 direct loan program for projects for the elderly and persons with disabilities as it existed before October 1, 1991 (including 202/8 projects and 202/162 projects); and (7) Housing with mortgages insured or held by HUD, or housing that is receiving assistance from HUD, under the following authorities: (i) Section 207 of the National Housing Act (NHA) (12 U.S.C. 1701 et seq. (ii) Section 213 of the NHA (Cooperative Housing Insurance); (iii) Section 220 of the NHA (Rehabilitation and Neighborhood Conservation Housing Insurance); (iv) Section 221(d)(3) of the NHA (Market Interest Rate (MIR) program); (v) Section 221(d)(3) and (5) of the NHA (Below Market Interest Rate (BMIR) program); (vi) Section 221(d)(4) of the NHA (Housing for Moderate Income and Displaced Families); (vii) Section 231 of the NHA (Housing for Elderly Persons); (viii) Section 232 of the NHA (Mortgage Insurance for Nursing Homes, Intermediate Care Facilities, Assisted Living Facilities, Board and Care Homes); (ix) Section 234(d) of the NHA (Rental) (Mortgage Insurance for Condominiums); (x) Section 236 of the NHA (Rental and Cooperative Housing for Lower Income Families); (xi) Section 241 of the NHA (Supplemental Loans for Multifamily Projects). (Where, however, the primary mortgage of a Section 241 property is insured or assisted by HUD under a program covered in this part, the coverage by two HUD programs does not trigger two inspections); and (xii) Section 542(c) of the Housing and Community Development Act of 1992 (12 U.S.C. 1707 note) (Housing Finance Agency Risk Sharing program). (b) Conflicts. (c) HUD housing. § 5.703 National standards for the condition of HUD housing. (a) General. (1) The subsidized unit itself; and (2) Items and components within the primary and secondary means of egress from a unit's entry door(s) to the public way, those common features related to the residential use of the building (e.g., the laundry room, community room, mail room), and the systems equipment that directly services the subsidized unit. (b) Inside. (1) The inside area must include at least one battery-operated or hard-wired smoke detector, in proper working condition, on each level of the property. The Secretary may establish additional standards through Federal Register (2) Except for housing subject to this subpart only through § 5.701(a)(6) or (7), or housing otherwise exempt from this requirement as provided elsewhere in this title, the inside area must meet or exceed the carbon monoxide detection standards set by the Secretary through Federal Register (3) For the inside area, any outlet installed within 6 feet of a water source must be ground-fault circuit interrupter (GFCI) protected; (4) The inside area must have a guardrail when there is an elevated walking surface with a drop off of 30 inches or greater measured vertically; (5) The inside area must have permanently mounted light fixtures in any kitchens and each bathroom; and (6) The inside area may not contain unvented space heaters that burn gas, oil, or kerosene. (c) Outside. (1) For the outside area, outlets within 6 feet of a water source must be GFCI protected; and (2) The outside area must have a guardrail when there is an elevated walking surface with a drop off of 30 inches or greater measured vertically. (d) Units. (1) The unit must have hot and cold running water in both the bathroom and kitchen, including an adequate source of safe drinking water in the bathroom and kitchen; (2) The unit must include its own bathroom or sanitary facility that is in proper operating condition and usable in privacy. It must contain a sink, a bathtub or shower, and an interior flushable toilet; (3) (i) The unit must include at least one battery-operated or hard-wired smoke detector, in proper working condition, in the following locations: (A) On each level of the unit; (B) Inside each bedroom; (C) Within 21 feet of any door to a bedroom measured along a path of travel; and (D) Where a smoke detector installed outside a bedroom is separated from an adjacent living area by a door, a smoke detector must also be installed on the living area side of the door. (ii) If the unit is occupied by any hearing-impaired person, the smoke detectors must have an alarm system designed for hearing-impaired persons; (iii) The Secretary may establish additional standards through Federal Register (iv) Following the specifications of National Fire Protection Association Standard (NFPA) 72 satisfies the requirements of this paragraph (d)(3); (4) The unit must have a living room and a kitchen area with a sink, cooking appliance, refrigerator, food preparation area, and food storage area; (5) For units assisted under the HCV or PBV program, the unit must have at least one bedroom or living/sleeping room for each two persons; (6) Except for units subject to this subpart only through § 5.701(a)(6) or (7), or housing otherwise exempt from this requirement as provided elsewhere in this title, the unit must meet or exceed the carbon monoxide detection standards set by HUD through Federal Register (7) The unit must have two working outlets or one working outlet and a permanent light within all habitable rooms; (8) Outlets within 6 feet of a water source must be GFCI protected: (9) For climate zones designated by the Secretary through notice, the unit must have a permanently installed heating source. No units may contain unvented space heaters that burn gas, oil, or kerosene; (10) The unit must have a guardrail when there is an elevated walking surface with a drop off of 30 inches or greater measured vertically; and (11) The unit must have a permanently mounted light fixture in the kitchen and each bathroom. (e) Health and safety concerns General. (2) Lead-based paint. see (f) Compliance with State and local codes. (2) All HUD housing other than units assisted under the HCV and PBV programs must comply with State or local housing codes in order to comply with this subpart. (3) State and local code compliance is not part of the determination of whether a unit passes the standards for the condition of HUD housing under this section for the HCV and PBV programs (except in accordance with § 5.705(a)(3)). (g) Use of an alternative inspection or additional standard for HCV and PBV programs. (h) Special housing types in the HCV, PBV and Moderate Rehabilitation programs. § 5.705 Inspection requirements. (a) Procedures General. Federal Register (2) Inspection scope. (3) HCV and PBV variant inspection standards. (A) Variations which apply standards in local housing codes or other codes adopted by the PHA; or (B) Variations because of local climatic or geographic conditions. (ii) Acceptability criteria variations may only be approved by HUD pursuant to paragraph (a)(3)(i) of this section if such variations either: (A) Meet or exceed the performance requirements; or (B) Significantly expand affordable housing opportunities for families assisted under the program. (iii) HUD will not approve any inspection criteria variation if HUD believes that such variation is likely to adversely affect the health or safety of participant families, or severely restrict housing choice. (iv) Approved variations must be added to the Administrative Plan as described in 24 CFR 982.54(d)(21). (b) Entity conducting inspections. (1) General. (2) Exception. (c) Timing of inspections Generally. (2) Extended inspection cycle. Federal Register (i) Standard 1 performing property. (ii) Standard 2 performing property. (iii) Standard 3 performing property. (3) Triennial cycle for small rural PHAs. (4) Triennial cycle for small PHAs. (5) Housing choice vouchers. (6) Project based vouchers. (7) FHA insured mortgages section 232 facilities. (8) Section 8 Moderate Rehabilitation program. (d) Inspection costs. (e) Access to property for inspection. (f) Tenant involvement in inspections. § 5.707 Uniform self-inspection requirement and report. All PHAs and owners of HUD housing subject to an assistance contract, other than owners participating in the HCV, PBV, and Moderate Rehabilitation programs, are required to annually self-inspect their properties, including all units, to ensure the units are maintained in accordance with the standards in § 5.703. The owner or PHA must maintain the results of such self-inspections for three years and must provide the results to HUD upon request. This self-inspection is independent of other HUD inspections discussed in § 5.705. The owner or PHA may choose to conduct this inspection after a HUD inspection to satisfy this requirement and the post-report survey requirement at § 5.711(c)(2) simultaneously. § 5.709 Administrative process for defining and revising inspection criteria. (a) Inspection standards and scoring methodology. Federal Register, Federal Register Federal Register, Federal Register (1) Revisions. Federal Register (2) Emergency revisions. (i) A Life-Threatening deficiency or Severe deficiency and other significant risks to safety as outlined in § 5.703; (ii) A new safety concern due to changing construction technology; or (iii) Other events as determined by the Secretary. (b) [Reserved] § 5.711 Scoring, ranking criteria, and appeals. (a) Applicability. (b) Scoring and ranking of HUD housing General. (2) Public housing programs. (c) Inspection report requirements. Life-Threatening deficiencies and Severe deficiencies. Federal Register (2) Post-report inspection. Federal Register (d) Technical review of inspection results Timing. (2) Request for technical review. (i) Undertake a new inspection; (ii) Correct the original inspection; or (iii) Issue a new physical condition score. (3) Burden of proof that error or adverse conditions occurred rests with owner or PHA. (4) Basis for technical review. (i) Building data error. (ii) Unit count error. (iii) A non-existent deficiency error. (iv) Adjustments for factors not reflected or inappropriately reflected in physical condition score. (v) Adjustments for adverse conditions beyond the control of the owner or PHA. (vi) Adjustments for modernization work in progress. (5) Significant improvement. (6) Reinspection. (e) Independent HUD review. (f) Responsibility for the cost of a new inspection. (g) Issuance of final score and publication of score. (2) HUD will make public the final scores of the properties of the owners and PHAs through posting on HUD's internet site, or other appropriate means. (h) Responsibility to notify residents of inspection; and availability of documents to residents Notification to residents. (2) Availability of documents for review. (ii) Once the owner's final inspection score is issued and published, the owner or PHA must make any additional information, such as the results of any reinspection or appeal requests, available for review and copying by its residents upon reasonable request during regular business hours. (iii) The owner or PHA must maintain the documents related to the inspection of the property, as described in paragraphs (h)(2)(i) and (ii) of this section, for review by residents for a period of 60 days from the date HUD provides the inspection score for the property in which the residents reside. (3) Posting on the availability of materials. (4) Residents are encouraged to comment on this information provided by the owner or PHA and submit any comments directly to the applicable HUD field office or responsible entity. Should residents discover the owner or PHA provided HUD with a false certification during the review, they are encouraged to notify the applicable HUD field office where appropriate inquiry and action will be taken. (i) Administrative review of properties. (1) Notification to owner of submission of property file to the DEC. (2) Evaluation of the property. (3) Continuing responsibilities of HUD program offices and mortgagee. (4) Enforcement action. (j) No limitation on existing enforcement authority. § 5.713 Second- and third-party rights. Nothing in this subpart is intended to create any right of the family residing in HUD Housing or any party, other than HUD or a PHA, to require enforcement of the standards required by this subpart or to assert any claim against HUD or the PHA for damages, injunction, or other relief for alleged failure to enforce the standards. Subpart H—Uniform Financial Reporting Standards § 5.801 Uniform financial reporting standards. (a) Applicability. (1) Public housing agencies (PHAs) receiving assistance under sections 5, 9, or 14 of the 1937 Act (42 U.S.C. 1437c, 1437g, and 1437 l (2) PHAs as contract administrators for any Section 8 project-based or tenant-based housing assistance payments program, which includes assistance under the following programs: (i) Section 8 project-based housing assistance payments programs, including, but not limited to, the Section 8 New Construction, Substantial Rehabilitation, Loan Management Set-Aside, Property Disposition, and Moderate Rehabilitation (including the Single Room Occupancy program for homeless individuals); (ii) Section 8 Project-Based Voucher programs; (iii) Any program providing Section 8 project-based renewal contracts; and (iv) Section 8 tenant-based assistance under the Section 8 Voucher program. (3) Owners of housing assisted under any Section 8 project-based housing assistance payments program: (i) Including, but not limited to, the Section 8 New Construction, Substantial Rehabilitation, Loan Management Set-Aside, and Property Disposition programs; (ii) Excluding the Section 8 Moderate Rehabilitation Program (which includes the Single Room Occupancy program for homeless individuals) and the Section 8 Project-Based Voucher Program; (4) Owners of multifamily projects receiving direct or indirect assistance from HUD, or with mortgages insured, coinsured, or held by HUD, including but not limited to housing under the following HUD programs: (i) Section 202 Program of Supportive Housing for the Elderly; (ii) Section 811 Program of Supportive Housing for Persons with Disabilities; (iii) Section 202 loan program for projects for the elderly and handicapped (including 202/8 projects and 202/162 projects); (iv) Section 207 of the National Housing Act (NHA) (12 U.S.C. 1701 et seq. (v) Section 213 of the NHA (Cooperative Housing Insurance); (vi) Section 220 of the NHA (Rehabilitation and Neighborhood Conservation Housing Insurance); (vii) Section 221(d) (3) and (5) of the NHA (Housing for Moderate Income and Displaced Families); (viii) Section 221(d)(4) of the NHA (Housing for Moderate Income and Displaced Families); (ix) Section 231 of the NHA (Housing for Elderly Persons); (x) Section 232 of the NHA (Mortgage Insurance for Nursing Homes, Intermediate Care Facilities, Board and Care Homes); (xi) Section 234(d) of the NHA (Rental) (Mortgage Insurance for Condominiums); (xii) Section 236 of the NHA (Rental and Cooperative Housing for Lower Income Families); (xiii) Section 241 of the NHA (Supplemental Loans for Multifamily Projects); and (5) HUD-approved Title I and Title II supervised, nonsupervised, and investing lenders and investing mortgagees. (6) Operators of projects with mortgages insured or held by HUD under section 232 of the Act (Mortgage Insurance for Nursing Homes, Intermediate Care Facilities, Board and Care Homes). (b) Submission of financial information. (1) Prepared in accordance with Generally Accepted Accounting Principles as further defined by HUD in supplementary guidance; (2) Submitted electronically to HUD through the internet, or in such other electronic format designated by HUD, or in such non-electronic format as HUD may allow if the burden or cost of electronic reporting is determined by HUD to be excessive; and (3) Submitted in such form and substance as prescribed by HUD. (4) With respect to financial reports relating to properties insured under section 232 of the Act, concurrently with submitting the information to HUD, submitted to the mortgagee in a format and manner prescribed and/or approved by HUD. (c) Filing of financial reports. (2) For entities listed in paragraphs (a)(3) and (4) of this section, the financial information to be submitted to HUD in accordance with paragraph (b) of this section, must be submitted to HUD annually, no later than 90 days after the end of the fiscal year of the reporting period, and as otherwise provided by law. (3) For those entities listed in paragraph (a)(5) of this section, the financial information to be submitted to HUD in accordance with paragraph (b) of this section must be submitted to HUD annually, no later than 90 days after the end of the fiscal year (or within an extended time if an extension is granted at the sole discretion of the Secretary). An extension request must be received no earlier than 45 days and no later than 15 days prior to the submission deadline. (4) For entities listed in paragraph (a)(6) of this section, the financial information to be submitted to HUD in accordance with paragraph (b) of this section must be submitted to HUD on a quarterly and fiscal-year-to-date basis, within 60 calendar days of the end of each quarterly reporting period deadline, except that the final fiscal-year-end quarter and fiscal-year-to-date reports must be submitted to HUD within 90 calendar days of the end of the fiscal-year-end quarter, or within such additional time as may be provided by the Commissioner for good cause shown. HUD may direct that such forms be submitted to the lender or another third party in addition to or in lieu of submission to HUD. (i) The financial statements submitted by entities listed in paragraph (a)(6) of this section may, at the operator's option, be operator-certified rather than audited, provided, however, if the operator is also the borrower, then that entity's obligation to submit an annual audited financial statement (in addition to its obligation as an operator to submit financial information on a quarterly and year-to-date basis) remains and is not obviated. (ii) If HUD has reason to believe that a particular operator's operator-certified statements may be unreliable (for example, indicate a likely prohibited use of project funds), or are presented in a manner that is inconsistent with Generally Accepted Accounting Principles, HUD may, on a case-by-case basis, require audited financial statements from the operator. With respect to facilities with FHA-insured or HUD-held Section 232 mortgages, HUD may request more frequent financial statements from the borrower and/or the operator on a case-by-case basis when the circumstances warrant. Nothing in this section limits HUD's ability to obtain further or more frequent information when appropriate pursuant to the applicable regulatory agreement. (d) Reporting compliance dates. (1) For PHAs listed in paragraphs (a)(1) and (a)(2) of this section, the requirements of this section will begin with those PHAs with fiscal years ending September 30, 1999 and later. Unaudited financial statements will be required 60 days after the PHA's fiscal year end, and audited financial statements will then be required no later than 9 months after the PHA's fiscal year end, in accordance with the Single Audit Act and 2 CFR part 200, subpart F. A PHA with a fiscal year ending September 30, 1999 that elects to submit its unaudited financial report earlier than the due date of November 30, 1999 must submit its report as required in this section. On or after September 30, 1998, but prior to November 30, 1999 (except for a PHA with its fiscal year ending September 30, 1999), PHAs may submit their financial reports in accordance with this section. (2) For entities listed in paragraphs (a)(3) and (a)(4) of this section, the requirements of this section will begin with those entities with fiscal years ending December 31, 1998 and later. Entities listed in paragraphs (a)(3) and (a)(4) of this section with fiscal years ending December 31, 1998 that elect to submit their reports earlier than the due date must submit their financial reports as required in this section. On or after September 30, 1998 but prior to January 1, 1999, these entities may submit their financial reports in accordance with this section. (3) The requirements of this section apply to the entities listed in paragraph (a)(5) of this section with fiscal years ending on or after September 30, 2002. Audited financial statements submitted by lenders with fiscal years ending before September 30, 2002, may either be submitted in paper or electronically at the lenders' option. Audited financial statements submitted by lenders with fiscal years ending on or after September 30, 2002, must be submitted electronically. (4) Entities described in paragraph (a)(6) of this section must comply with the requirements of this section with respect to fiscal years commencing on or after the date that is 60 calendar days after the date on which HUD announces, through Federal Register (e) Limitation on changing fiscal years. (f) Responsibility for submission of financial report. [63 FR 46591, Sept. 1, 1998, as amended at 64 FR 1505, Jan. 11, 1999; 64 FR 33755, June 24, 1999; 65 FR 16295, Mar. 27, 2000; 67 FR 53451, Aug. 15, 2002; 77 FR 55134, Sept. 7, 2012; 78 FR 57060, Sept. 17, 2013; 79 FR 55362, Sept. 16, 2014; 80 FR 75934, Dec. 7, 2015; 89 FR 30276, Apr. 23, 2024; 89 FR 38290, May 7, 2024] Subpart I—Preventing Crime in Federally Assisted Housing—Denying Admission and Terminating Tenancy for Criminal Activity or Alcohol Abuse Source: 66 FR 28792, May 24, 2001, unless otherwise noted. General § 5.850 Which subsidized housing is covered by this subpart? (a) If you are the owner of federally assisted housing, your federally assisted housing is covered, except as provided in paragraph (b) or (c) of this section. (b) If you are operating public housing, this subpart does not apply, but similar provisions applicable to public housing units are found in parts 960 and 966 of this title. If you administer tenant-based assistance under Section 8 or you are the owner of housing assisted with tenant-based assistance under Section 8, this subpart does not apply to you, but similar provisions that do apply are located in part 982 of this title. (c) If you own or administer housing assisted by the Rural Housing Administration under section 514 or section 515 of the Housing Act of 1949, this subpart does not apply to you. § 5.851 What authority do I have to screen applicants and to evict tenants? (a) Screening applicants. require permit (b) Terminating tenancy. § 5.852 What discretion do I have in screening and eviction actions? (a) General. (1) The seriousness of the offending action; (2) The effect on the community of denial or termination or the failure of the responsible entity to take such action; (3) The extent of participation by the leaseholder in the offending action; (4) The effect of denial of admission or termination of tenancy on household members not involved in the offending action; (5) The demand for assisted housing by families who will adhere to lease responsibilities; (6) The extent to which the leaseholder has shown personal responsibility and taken all reasonable steps to prevent or mitigate the offending action; and (7) The effect of the responsible entity's action on the integrity of the program. (b) Exclusion of culpable household member. (c) Consideration of rehabilitation. (2) If rehabilitation is not an element of the eligibility determination (see § 5.854(a)(1) for the case where it must be considered), you may choose not to consider whether the person has been rehabilitated. (d) Length of period of mandatory prohibition on admission. (e) Nondiscrimination limitation. § 5.853 Definitions. (a) Terms found elsewhere. 1937 Act, covered person, drug, drug-related criminal activity, federally assisted housing, guest, household, HUD, other person under the tenant's control, premises, public housing, public housing agency (PHA), Section 8, violent criminal activity. (b) Additional terms Currently engaging in. currently engaging in Owner. Responsible entity. responsible entity [66 FR 28792, May 24, 2001, as amended at 89 FR 38290, May 7, 2024] Denying Admissions § 5.854 When must I prohibit admission of individuals who have engaged in drug-related criminal activity? (a) You must (1) The evicted household member who engaged in drug-related criminal activity has successfully completed an approved supervised drug rehabilitation program; or (2) The circumstances leading to the eviction no longer exist (for example, the criminal household member has died or is imprisoned). (b) You must (1) You determine that any household member is currently engaging in illegal use of a drug; or (2) You determine that you have reasonable cause to believe that a household member's illegal use or a pattern of illegal use of a drug may interfere with the health, safety, or right to peaceful enjoyment of the premises by other residents. § 5.855 When am I specifically authorized to prohibit admission of individuals who have engaged in criminal activity? (a) You may prohibit admission of a household to federally assisted housing under your standards if you determine that any household member is currently engaging in, or has engaged in during a reasonable time before the admission decision: (1) Drug-related criminal activity; (2) Violent criminal activity; (3) Other criminal activity that would threaten the health, safety, or right to peaceful enjoyment of the premises by other residents; or (4) Other criminal activity that would threaten the health or safety of the PHA or owner or any employee, contractor, subcontractor or agent of the PHA or owner who is involved in the housing operations. (b) You may establish a period before the admission decision during which an applicant must not have engaged in the activities specified in paragraph (a) of this section ( reasonable time (c) If you previously denied admission to an applicant because of a determination concerning a member of the household under paragraph (a) of this section, you may reconsider the applicant if you have sufficient evidence that the members of the household are not currently engaged in, and have not engaged in, such criminal activity during a reasonable period, determined by you, before the admission decision. (1) You would have sufficient evidence (2) For purposes of this section, a household member is currently engaged in § 5.856 When must I prohibit admission of sex offenders? You must establish standards that prohibit admission to federally assisted housing if any member of the household is subject to a lifetime registration requirement under a State sex offender registration program. In the screening of applicants, you must perform necessary criminal history background checks in the State where the housing is located and in other States where the household members are known to have resided. (See § 5.905.) § 5.857 When must I prohibit admission of alcohol abusers? You must establish standards that prohibit admission to federally assisted housing if you determine you have reasonable cause to believe that a household member's abuse or pattern of abuse of alcohol interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents. Terminating Tenancy § 5.858 What authority do I have to evict drug criminals? The lease must provide that drug-related criminal activity engaged in on or near the premises by any tenant, household member, or guest, and any such activity engaged in on the premises by any other person under the tenant's control, is grounds for you to terminate tenancy. In addition, the lease must allow you to evict a family when you determine that a household member is illegally using a drug or when you determine that a pattern of illegal use of a drug interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents. § 5.859 When am I specifically authorized to evict other criminals? (a) Threat to other residents. must (1) Any criminal activity that threatens the health, safety, or right to peaceful enjoyment of the premises by other residents (including property management staff residing on the premises); or (2) Any criminal activity that threatens the health, safety, or right to peaceful enjoyment of their residences by persons residing in the immediate vicinity of the premises. (b) Fugitive felon or parole violator. must (1) Fleeing to avoid prosecution, or custody or confinement after conviction, for a crime, or attempt to commit a crime, that is a felony under the laws of the place from which the individual flees, or that, in the case of the State of New Jersey, is a high misdemeanor; or (2) Violating a condition of probation or parole imposed under Federal or State law. § 5.860 When am I specifically authorized to evict alcohol abusers? The lease must provide that you may terminate the tenancy if you determine that a household member's abuse or pattern of abuse of alcohol threatens the health, safety, or right to peaceful enjoyment of the premises by other residents. § 5.861 What evidence of criminal activity must I have to evict? You may terminate tenancy and evict the tenant through judicial action for criminal activity by a covered person in accordance with this subpart if you determine that the covered person has engaged in the criminal activity, regardless of whether the covered person has been arrested or convicted for such activity and without satisfying a criminal conviction standard of proof of the activity. Subpart J—Access to Criminal Records and Information Source: 66 FR 28794, May 24, 2001, unless otherwise noted. § 5.901 To what criminal records and searches does this subpart apply? (a) General criminal records searches. (b) Sex offender registration records searches. (c) Excluded records searches. § 5.902 Definitions. (a) Terms found elsewhere. 1937 Act, drug, federally assisted housing, household, HUD, public housing, public housing agency (PHA), Section 8. (b) Additional terms Adult. Covered housing. Law enforcement agency. Owner. Responsible entity. responsible entity [66 FR 28794, May 24, 2001, as amended at 89 FR 38290, May 7, 2024] § 5.903 What special authority is there to obtain access to criminal records? (a) Authority. (b) Consent for release of criminal conviction records. (2) By execution of the consent form, an adult household member consents that: (i) Any law enforcement agency may release criminal conviction records concerning the household member to a PHA in accordance with this section; (ii) The PHA may receive the criminal conviction records from a law enforcement agency, and may use the records in accordance with this section. (c) Procedure for PHA. (2) The law enforcement agency may charge you a reasonable fee for releasing criminal conviction records. (d) Owner access to criminal records General. (ii) If the PHA receives criminal conviction records requested by an owner, the PHA must determine whether criminal action by a household member, as shown by such criminal conviction records, may be a basis for applicant screening, lease enforcement or eviction, as applicable in accordance with HUD regulations and the owner criteria. (iii) The PHA must notify the owner whether the PHA has received criminal conviction records concerning the household member, and of its determination whether such criminal conviction records may be a basis for applicant screening, lease enforcement or eviction. However, except as provided in paragraph (e)(2)(ii) of this section, the PHA must not disclose the household member's criminal conviction record or the content of that record to the owner. (2) Screening. (i) Your request must include a copy of the consent form, signed by the household member. (ii) Your request must include your standards for prohibiting admission of drug criminals in accordance with § 5.854, and for prohibiting admission of other criminals in accordance with § 5.855. (3) Eviction or lease enforcement. (i) Your request must include a copy of the consent form, signed by the household member. (ii) If you intend to use the PHA determination regarding any such criminal conviction records in connection with eviction, your request must include your standards for evicting drug criminals in accordance with § 5.857, and for evicting other criminals in accordance with § 5.858. (iii) If you intend to use the PHA determination regarding any such criminal conviction records for lease enforcement other than eviction, your request must include your standards for lease enforcement because of criminal activity by members of a household. (4) Fees. (e) Permitted use and disclosure of criminal conviction records received by PHA Use of records. (i) Applicant screening. (B) PHA screening of applicants for admission to the Housing Choice Voucher Program (section 8 tenant-based assistance) (part 982 of this title); (C) PHA screening of applicants for admission to the Section 8 moderate rehabilitation program (part 882 of this title); or the Section 8 project-based voucher program (part 983 of this title); or (D) PHA screening concerning criminal conviction of applicants for admission to Section 8 project-based assistance, at the request of the owner. (For requirements governing use of criminal conviction records obtained by a PHA at the request of a Section 8 owner under this section, see paragraph (d) of this section.) (ii) Lease enforcement and eviction. (B) Enforcement of leases by a Section 8 project owner and eviction of residents by a Section 8 project owner. (However, criminal conviction records received by a PHA from a law enforcement agency under this section may not be used for lease enforcement or eviction of residents receiving Section 8 tenant-based assistance.) (2) PHA disclosure of records. (A) To officers or employees of the PHA, or to authorized representatives of the PHA who have a job-related need to have access to the information. For example, if the PHA is seeking to evict a public housing tenant on the basis of criminal activity as shown in criminal conviction records provided by a law enforcement agency, the records may be disclosed to PHA employees performing functions related to the eviction, or to a PHA hearing officer conducting an administrative grievance hearing concerning the proposed eviction. (B) To the owner for use in connection with judicial eviction proceedings by the owner to the extent necessary in connection with a judicial eviction proceeding. For example, criminal conviction records may be included in pleadings or other papers filed in an eviction action, may be disclosed to parties to the action or the court, and may be filed in court or offered as evidence. (ii) This disclosure may be made only if the following conditions are satisfied: (A) If the PHA has determined that criminal activity by the household member as shown by such records received from a law enforcement agency may be a basis for eviction from a Section 8 unit; and (B) If the owner certifies in writing that it will use the criminal conviction records only for the purpose and only to the extent necessary to seek eviction in a judicial proceeding of a Section 8 tenant based on the criminal activity by the household member that is described in the criminal conviction records. (iii) The PHA may rely on an owner's certification that the criminal record is necessary to proceed with a judicial eviction to evict the tenant based on criminal activity of the identified household member, as shown in the criminal conviction record. (iv) Upon disclosure as necessary in connection with judicial eviction proceedings, the PHA is not responsible for controlling access to or knowledge of such records after such disclosure. (f) Opportunity to dispute. (g) Records management. (1) Maintained confidentially; (2) Not misused or improperly disseminated; and (3) Destroyed, once the purpose(s) for which the record was requested has been accomplished, including expiration of the period for filing a challenge to the PHA action without institution of a challenge or final disposition of any such litigation. (h) Penalties for improper release of information Criminal penalty. (i) Any person, including an officer, employee, or authorized representative of any PHA or of any project owner, who knowingly and willfully requests or obtains any information concerning an applicant for, or tenant of, covered housing assistance under the authority of this section under false pretenses; or (ii) Any person, including an officer, employee, or authorized representative of any PHA or a project owner, who knowingly and willfully discloses any such information in any manner to any individual not entitled under any law to receive the information. (2) Civil liability. (A) A negligent or knowing disclosure of criminal records information obtained under the authority of this section about such person by an officer, employee, or authorized representative of the PHA if the disclosure is not authorized by this section; or (B) Any other negligent or knowing action that is inconsistent with this section. (ii) An applicant for, or tenant of, covered housing assistance may seek relief against a PHA in these circumstances by bringing a civil action for damages and such other relief as may be appropriate against the PHA responsible for such unauthorized action. The United States district court in which the affected applicant or tenant resides, in which the unauthorized action occurred, or in which the officer, employee, or representative alleged to be responsible resides, has jurisdiction. Appropriate relief may include reasonable attorney's fees and other litigation costs. [66 FR 28794, May 24, 2001, as amended at 89 FR 38290, May 7, 2024] § 5.905 What special authority is there to obtain access to sex offender registration information? (a) PHA obligation to obtain sex offender registration information. (2) If the PHA requests such information from any State or local agency responsible for the collection or maintenance of such information, the State or local agency must promptly provide the PHA such information in its possession or control. (3) The State or local agency may charge a reasonable fee for providing the information. (b) Owner's request for sex offender registration information General. (2) Procedure. (i) The PHA must request the information from a State or local agency; (ii) The State or local agency must promptly provide the PHA such information in its possession or control; (iii) The PHA must determine whether such information may be a basis for applicant screening, lease enforcement or eviction, based on the criteria used by the owner as specified in the owner's request, and inform the owner of the determination. (iv) The PHA must notify the owner of its determination whether sex offender registration information received by the PHA under this section concerning a household member may be a basis for applicant screening, lease enforcement or eviction in accordance with HUD requirements and the criteria used by the owner. (3) Contents of request. (i) Addresses or other information about where members of the household are known to have lived. (ii) If you intend to use the PHA determination regarding any such sex offender registration information for applicant screening, your request must include your standards in accordance with § 5.855(c) for prohibiting admission of persons subject to a lifetime sex offender registration requirement. (iii) If you intend to use the PHA determination regarding any such sex offender registration information for eviction, your request must include your standards for evicting persons subject to a lifetime registration requirement in accordance with § 5.858. (iv) If you intend to use the PHA determination regarding any such sex offender registration information for lease enforcement other than eviction, your request must include your standards for lease enforcement because of criminal activity by members of a household. (4) PHA disclosure of records. (5) Fees. (c) Records management. (i) Maintained confidentially; (ii) Not misused or improperly disseminated; and (iii) Destroyed, once the purpose for which the record was requested has been accomplished, including expiration of the period for filing a challenge to the PHA action without institution of a challenge or final disposition of any such litigation. (2) The records management requirements do not apply to information that is public information, or is obtained by a PHA other than under this section. (d) Opportunity to dispute. Subpart K—Application, Registration, and Submission Requirements Source: 69 FR 15673, Mar. 26, 2004, unless otherwise noted. § 5.1001 Applicability. This subpart applies to all applicants for HUD grants, cooperative agreements, capital fund or operating fund subsidy, capital advance, or other assistance under HUD programs, including grant programs that are classified by OMB as including formula grant programs or activities, but excluding FHA insurance and loan guarantees that are not associated with a grant program or grant award. § 5.1003 Use of a universal identifier for organizations applying for HUD grants. (a) Every application for a new or renewal of a grant, cooperative agreement, capital fund or operating fund subsidy, capital advance, or other assistance, including an application or plan under a grant program that is classified by OMB as including formula grant programs, must include a unique entity identifier number for the applicant. (b)(1) Applicants or groups of applicants under a consortium arrangement must have a unique entity identifier for the organization that is submitting the application for federal assistance as the lead applicant on behalf of the other applicants. If each organization is submitting a separate application as part of a group of applications, then each organization must include its unique entity identifier with its application submission. (2) If an organization is submitting an application as a sponsor or on behalf of other applicants, and the other entities will be receiving funds directly from HUD, then the applicant or sponsor must submit an application for funding that includes the unique entity identifier of each applicant that would receive funds directly from HUD. (3) If an organization is managing funds for a group of organizations, a unique entity identifier must be submitted for the managing organization, if it is drawing down funds directly from HUD. (4) If an organization is drawing down funds directly from HUD and subsequently turning the funds over to a management organization, then the management organization must obtain a unique entity identifier and submit the number to HUD. (c) Individuals who would personally receive a grant or other assistance from HUD, independent from any business or nonprofit organization with which they may operate or participate, are exempt from this requirement. (d) In cases where individuals apply for funding, but the funding will be awarded to an institution or other entity on the individual's behalf, the institution or entity must obtain a unique entity identifier and the individual must submit the institution's unique entity identifier number with the application. (e) Unless an exemption is granted by OMB, HUD will not consider an application as complete until a valid unique entity identifier is provided by the applicant. For classes of grants and grantees subject to this part, exceptions to this rule must be submitted to OMB for approval in accordance with procedures prescribed by the Department. [69 FR 15673, Mar. 26, 2004, as amended at 80 FR 75934, Dec. 7, 2015] § 5.1004 System of award management. Applicants for HUD financial assistance that are subject to this subpart are required to register with the System of Award Management (SAM) and have an active registration in SAM in accordance with 2 CFR part 25, appendix A in order for HUD to obligate funds and for an awardee to receive an award of funds from HUD. [75 FR 41089, July 15, 2010, as amended at 80 FR 75934, Dec. 7, 2015] § 5.1005 Electronic submission of applications for grants and other financial assistance. Applicants described under 24 CFR 5.1001 are required to submit electronic applications or plans for grants and other financial assistance in response to any application that HUD has placed on the www.grants.gov/Apply [70 FR 77294, Dec. 29, 2005] Subpart L—Protection for Victims of Domestic Violence, Dating Violence, Sexual Assault, or Stalking Source: 81 FR 80798, Nov. 16, 2016, unless otherwise noted. § 5.2001 Applicability. (a) This subpart addresses the protections for victims of domestic violence, dating violence, sexual assault, or stalking who are applying for, or are the beneficiaries of, assistance under a HUD program covered by the Violence Against Women Act (VAWA), as amended (42 U.S.C. 13925 and 42 U.S.C. 14043e et seq. (b)(1) The applicable assistance provided under a covered housing program generally consists of two types of assistance (one or both may be provided): Tenant-based rental assistance, which is rental assistance that is provided to the tenant; and project-based assistance, which is assistance that attaches to the unit in which the tenant resides. For project-based assistance, the assistance may consist of such assistance as operating assistance, development assistance, and mortgage interest rate subsidy. (2) The regulations in this subpart are supplemented by the specific regulations for the HUD-covered housing programs listed in § 5.2003. The program-specific regulations address how certain VAWA requirements are to be implemented and whether they can be implemented (for example, reasonable time to establish eligibility for assistance as provided in § 5.2009(b)) for the applicable covered housing program, given the statutory and regulatory framework for the program. When there is conflict between the regulations of this subpart and the program-specific regulations, the program-specific regulations govern. Where assistance is provided under more than one covered housing program and there is a conflict between VAWA protections or remedies under those programs, the individual seeking the VAWA protections or remedies may choose to use the protections or remedies under any or all of those programs, as long as the protections or remedies would be feasible and permissible under each of the program statutes. § 5.2003 Definitions. The definitions of PHA, HUD, household, other person under the tenant's control Actual and imminent threat Affiliated individual, (1) A spouse, parent, brother, sister, or child of that individual, or a person to whom that individual stands in the place of a parent or guardian (for example, the affiliated individual is a person in the care, custody, or control of that individual); or (2) Any individual, tenant, or lawful occupant living in the household of that individual. Bifurcate Covered housing program (1) Section 202 Supportive Housing for the Elderly (12 U.S.C. 1701q), with implementing regulations at 24 CFR part 891. (2) Section 811 Supportive Housing for Persons with Disabilities (42 U.S.C. 8013), with implementing regulations at 24 CFR part 891. (3) Housing Opportunities for Persons With AIDS (HOPWA) program (42 U.S.C. 12901 et seq. (4) HOME Investment Partnerships (HOME) program (42 U.S.C. 12741 et seq. (5) Homeless programs under title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11360 et seq. (6) Multifamily rental housing under section 221(d)(3) of the National Housing Act (12 U.S.C. 17151(d)) with a below-market interest rate (BMIR) pursuant to section 221(d)(5), with implementing regulations at 24 CFR part 221. (7) Multifamily rental housing under section 236 of the National Housing Act (12 U.S.C. 1715z-1), with implementing regulations at 24 CFR part 236. (8) HUD programs assisted under the United States Housing Act of 1937 (42 U.S.C. 1437 et seq. (9) The Housing Trust Fund (12 U.S.C. 4568) (with implementing regulations at 24 CFR part 93). Covered housing provider Dating violence (1) Who is or has been in a social relationship of a romantic or intimate nature with the victim; and (2) Where the existence of such a relationship shall be determined based on a consideration of the following factors: (i) The length of the relationship; (ii) The type of relationship; and (iii) The frequency of interaction between the persons involved in the relationship. Domestic violence Sexual assault Stalking (1) Fear for the person's individual safety or the safety of others; or (2) Suffer substantial emotional distress. VAWA et seq. § 5.2005 VAWA protections. (a) Notification of occupancy rights under VAWA, and certification form. (i) A “Notice of Occupancy Rights under the Violence Against Women Act,” as prescribed and in accordance with directions provided by HUD, that explains the VAWA protections under this subpart, including the right to confidentiality, and any limitations on those protections; and (ii) A certification form, in a form approved by HUD, to be completed by the victim to document an incident of domestic violence, dating violence, sexual assault or stalking, and that: (A) States that the applicant or tenant is a victim of domestic violence, dating violence, sexual assault, or stalking; (B) States that the incident of domestic violence, dating violence, sexual assault, or stalking that is the ground for protection under this subpart meets the applicable definition for such incident under § 5.2003; and (C) Includes the name of the individual who committed the domestic violence, dating violence, sexual assault, or stalking, if the name is known and safe to provide. (2) The notice required by paragraph (a)(1)(i) of this section and certification form required by paragraph (a)(1)(ii) of this section must be provided to an applicant or tenant no later than at each of the following times: (i) At the time the applicant is denied assistance or admission under a covered housing program; (ii) At the time the individual is provided assistance or admission under the covered housing program; (iii) With any notification of eviction or notification of termination of assistance; and (iv) During the 12-month period following December 16, 2016, (3) The notice required by paragraph (a)(1)(i) of this section and the certification form required by paragraph (a)(1)(ii) of this section must be made available in multiple languages, consistent with guidance issued by HUD in accordance with Executive Order 13166 (Improving Access to Services for Persons with Limited English Proficiency, signed August 11, 2000, and published in the Federal Register (4) For the Housing Choice Voucher program under 24 CFR part 982, the project-based voucher program under 24 CFR part 983, the public housing admission and occupancy requirements under 24 CFR part 960, and renewed funding or leases of the Section 8 project-based program under 24 CFR parts 880, 882, 883, 884, 886, as well as project-based section 8 provided in connection with housing under part 891, the HUD-required lease, lease addendum, or tenancy addendum, as applicable, must include a description of specific protections afforded to the victims of domestic violence, dating violence, sexual assault, or stalking, as provided in this subpart. (b) Prohibited basis for denial or termination of assistance or eviction General. (2) Termination on the basis of criminal activity. (i) The criminal activity is engaged in by a member of the household of the tenant or any guest or other person under the control of the tenant, and (ii) The tenant or an affiliated individual of the tenant is the victim or threatened victim of such domestic violence, dating violence, sexual assault or stalking. (c) Construction of lease terms and terms of assistance. (1) A serious or repeated violation of a lease executed under a covered housing program by the victim or threatened victim of such incident; or (2) Good cause for terminating the assistance, tenancy, or occupancy rights under a covered housing program of the victim or threatened victim of such incident. (d) Limitations of VAWA protections. (i) The rights of access or control of property, including civil protection orders issued to protect a victim of domestic violence, dating violence, sexual assault, or stalking; or (ii) The distribution or possession of property among members of a household. (2) Nothing in this section limits any available authority of a covered housing provider to evict or terminate assistance to a tenant for any violation not premised on an act of domestic violence, dating violence, sexual assault, or stalking that is in question against the tenant or an affiliated individual of the tenant. However, the covered housing provider must not subject the tenant, who is or has been a victim of domestic violence, dating violence, sexual assault, or stalking, or is affiliated with an individual who is or has been a victim of domestic violence, dating violence, sexual assault or stalking, to a more demanding standard than other tenants in determining whether to evict or terminate assistance. (3) Nothing in this section limits the authority of a covered housing provider to terminate assistance to or evict a tenant under a covered housing program if the covered housing provider can demonstrate an actual and imminent threat to other tenants or those employed at or providing service to property of the covered housing provider would be present if that tenant or lawful occupant is not evicted or terminated from assistance. In this context, words, gestures, actions, or other indicators will be considered an “actual and imminent threat” if they meet the standards provided in the definition of “actual and imminent threat” in § 5.2003. (4) Any eviction or termination of assistance, as provided in paragraph (d)(3) of this section should be utilized by a covered housing provider only when there are no other actions that could be taken to reduce or eliminate the threat, including, but not limited to, transferring the victim to a different unit, barring the perpetrator from the property, contacting law enforcement to increase police presence or develop other plans to keep the property safe, or seeking other legal remedies to prevent the perpetrator from acting on a threat. Restrictions predicated on public safety cannot be based on stereotypes, but must be tailored to particularized concerns about individual residents. (e) Emergency transfer plan. (1) For purposes of this section, the following definitions apply: (i) Internal emergency transfer (ii) External emergency transfer (iii) Safe unit (2) The emergency transfer plan must provide that a tenant receiving rental assistance through, or residing in a unit subsidized under, a covered housing program who is a victim of domestic violence, dating violence, sexual assault, or stalking qualifies for an emergency transfer if: (i) The tenant expressly requests the transfer; and (ii)(A) The tenant reasonably believes there is a threat of imminent harm from further violence if the tenant remains within the same dwelling unit that the tenant is currently occupying; or (B) In the case of a tenant who is a victim of sexual assault, either the tenant reasonably believes there is a threat of imminent harm from further violence if the tenant remains within the same dwelling unit that the tenant is currently occupying, or the sexual assault occurred on the premises during the 90-calendar-day period preceding the date of the request for transfer. (3) The emergency transfer plan must detail the measure of any priority given to tenants who qualify for an emergency transfer under VAWA in relation to other categories of tenants seeking transfers and individuals seeking placement on waiting lists. (4) The emergency transfer plan must incorporate strict confidentiality measures to ensure that the covered housing provider does not disclose the location of the dwelling unit of the tenant to a person who committed or threatened to commit an act of domestic violence, dating violence, sexual assault, or stalking against the tenant. (5) The emergency transfer plan must allow a tenant to make an internal emergency transfer under VAWA when a safe unit is immediately available. (6) The emergency transfer plan must describe policies for assisting a tenant in making an internal emergency transfer under VAWA when a safe unit is not immediately available, and these policies must ensure that requests for internal emergency transfers under VAWA receive, at a minimum, any applicable additional priority that housing providers may already provide to other types of emergency transfer requests. (7) The emergency transfer plan must describe reasonable efforts the covered housing provider will take to assist a tenant who wishes to make an external emergency transfer when a safe unit is not immediately available. The plan must include policies for assisting a tenant who is seeking an external emergency transfer under VAWA out of the covered housing provider's program or project, and a tenant who is seeking an external emergency transfer under VAWA into the covered housing provider's program or project. These policies may include: (i) Arrangements, including memoranda of understanding, with other covered housing providers to facilitate moves; and (ii) Outreach activities to organizations that assist or provide resources to victims of domestic violence, dating violence, sexual assault, or stalking. (8) Nothing may preclude a tenant from seeking an internal emergency transfer and an external emergency transfer concurrently if a safe unit is not immediately available. (9) Where applicable, the emergency transfer plan must describe policies for a tenant who has tenant-based rental assistance and who meets the requirements of paragraph (e)(2) of this section to move quickly with that assistance. (10) The emergency transfer plan may require documentation from a tenant seeking an emergency transfer, provided that: (i) The tenant's submission of a written request to the covered housing provider, where the tenant certifies that they meet the criteria in paragraph (e)(2)(ii) of this section, shall be sufficient documentation of the requirements in paragraph (e)(2) of this section; (ii) The covered housing provider may, at its discretion, ask an individual seeking an emergency transfer to document the occurrence of domestic violence, dating violence, sexual assault, or stalking, in accordance with § 5.2007, for which the individual is seeking the emergency transfer, if the individual has not already provided documentation of that occurrence; and (iii) No other documentation is required to qualify the tenant for an emergency transfer. (11) The covered housing provider must make its emergency transfer plan available upon request and, when feasible, must make its plan publicly available. (12) The covered housing provider must keep a record of all emergency transfers requested under its emergency transfer plan, and the outcomes of such requests, and retain these records for a period of three years, or for a period of time as specified in program regulations. Requests and outcomes of such requests must be reported to HUD annually. (13) Nothing in this paragraph (e) may be construed to supersede any eligibility or other occupancy requirements that may apply under a covered housing program. § 5.2007 Documenting the occurrence of domestic violence, dating violence, sexual assault, or stalking. (a) Request for documentation. (2)(i) If an applicant or tenant does not provide the documentation requested under paragraph (a)(1) of this section within 14 business days after the date that the tenant receives a request in writing for such documentation from the covered housing provider, nothing in § 5.2005 or § 5.2009, which addresses the protections of VAWA, may be construed to limit the authority of the covered housing provider to: (A) Deny admission by the applicant or tenant to the covered housing program; (B) Deny assistance under the covered housing program to the applicant or tenant; (C) Terminate the participation of the tenant in the covered housing program; or (D) Evict the tenant, or a lawful occupant that commits a violation of a lease. (ii) A covered housing provider may, at its discretion, extend the 14-business-day deadline under paragraph (a)(2)(i) of this section. (b) Permissible documentation and submission requirements. (i) The certification form described in § 5.2005(a)(1)(ii); or (ii) A document: (A) Signed by an employee, agent, or volunteer of a victim service provider, an attorney, or medical professional, or a mental health professional (collectively, “professional”) from whom the victim has sought assistance relating to domestic violence, dating violence, sexual assault, or stalking, or the effects of abuse; (B) Signed by the applicant or tenant; and (C) That specifies, under penalty of perjury, that the professional believes in the occurrence of the incident of domestic violence, dating violence, sexual assault, or stalking that is the ground for protection and remedies under this subpart, and that the incident meets the applicable definition of domestic violence, dating violence, sexual assault, or stalking under § 5.2003; or (iii) A record of a Federal, State, tribal, territorial or local law enforcement agency, court, or administrative agency; or (iv) At the discretion of a covered housing provider, a statement or other evidence provided by the applicant or tenant. (2) If a covered housing provider receives documentation under paragraph (b)(1) of this section that contains conflicting information (including certification forms from two or more members of a household each claiming to be a victim and naming one or more of the other petitioning household members as the perpetrator), the covered housing provider may require an applicant or tenant to submit third-party documentation, as described in paragraphs (b)(1)(ii), (b)(1)(iii), or (b)(1)(iv) of this section, within 30 calendar days of the date of the request for the third-party documentation. (3) Nothing in this paragraph (b) shall be construed to require a covered housing provider to request that an individual submit documentation of the status of the individual as a victim of domestic violence, dating violence, sexual assault, or stalking. (c) Confidentiality. (1) The covered housing provider shall not allow any individual administering assistance on behalf of the covered housing provider or any persons within their employ ( e.g., (2) The covered housing provider shall not enter confidential information described in paragraph (c) of this section into any shared database or disclose such information to any other entity or individual, except to the extent that the disclosure is: (i) Requested or consented to in writing by the individual in a time-limited release (ii) Required for use in an eviction proceeding or hearing regarding termination of assistance from the covered program; or (iii) Otherwise required by applicable law. (d) A covered housing provider's compliance with the protections of §§ 5.2005 and 5.2009, based on documentation received under this section shall not be sufficient to constitute evidence of an unreasonable act or omission by the covered housing provider. However, nothing in this paragraph (d) of this section shall be construed to limit the liability of a covered housing provider for failure to comply with §§ 5.2005 and 5.2009. § 5.2009 Remedies available to victims of domestic violence, dating violence, sexual assault, or stalking. (a) Lease bifurcation. (i) Without regard to whether the household member is a signatory to the lease; and (ii) Without evicting, removing, terminating assistance to, or otherwise penalizing a victim of such criminal activity who is also a tenant or lawful occupant. (2) A lease bifurcation, as provided in paragraph (a)(1) of this section, shall be carried out in accordance with any requirements or procedures as may be prescribed by Federal, State, or local law for termination of assistance or leases and in accordance with any requirements under the relevant covered housing program. (b) Reasonable time to establish eligibility for assistance or find alternative housing following bifurcation of a lease Applicability. (2) Reasonable time to establish eligibility assistance or find alternative housing. (A) Establish eligibility for the same covered housing program under which the evicted or terminated tenant was the recipient of assistance at the time of bifurcation of the lease; or (B) Establish eligibility under another covered housing program; or (C) Find alternative housing. (ii) The 90-calendar-day period provided by paragraph (b)(2) of this section will not be available to a remaining household member if the statutory requirements for the covered housing program prohibit it. The 90-day calendar period also will not apply beyond the expiration of a lease, unless this is permitted by program regulations. The 90-calendar-day period is the total period provided to a remaining tenant to establish eligibility under the three options provided in paragraphs (b)(2)(i)(A), (B), and (C) of this section. (iii) The covered housing provider may extend the 90-calendar-day period in paragraph (b)(2) of this section up to an additional 60 calendar days, unless prohibited from doing so by statutory requirements of the covered program or unless the time period would extend beyond expiration of the lease. (c) Efforts to promote housing stability for victims of domestic violence, dating violence, sexual assault, or stalking. § 5.2011 Effect on other laws. (a) Nothing in this subpart shall be construed to supersede any provision of any Federal, State, or local law that provides greater protection than this section for victims of domestic violence, dating violence, sexual assault, or stalking. (b) All applicable fair housing and civil rights statutes and requirements apply in the implementation of VAWA requirements. See § 5.105(a). Subpart M—Core Based Statistical Areas § 5.3001 Automatic propagation of OMB's Core Based Statistical Area Standards. When using Core Based Statistical Areas (CBSAs), HUD shall use the 2020 CBSA standards adopted by the Office of Management and Budget and published in the Federal Register (a) The Community Development Block Grant Program (24 CFR part 570); (b) The Community Development Block Grant Disaster Recovery funds (applicable appropriations and Federal Register (c) The Housing Opportunities for Persons with AIDS Program (24 CFR part 574); (d) The HOME Investment Partnerships Program (24 CFR part 92); (e) The Continuum of Care Program (24 CFR part 578); (f) The Emergency Solutions Grants Program (24 CFR part 576); (g) The FHA Title II Program (National Housing Act of 1934 Title II); (h) The Choice Neighborhoods Initiative Program (42 U.S.C. 1437v, as applied by the applicable annual appropriations act(s); 24 CFR 905.602(d)); (i) The Housing Trust Fund Program (24 CFR part 93); and (j) The calculation of: Fair Market Rents (24 CFR part 888); HUD Area Median Family Income (this part); Income Limits (this part); Difficult Development Areas; and Qualified Census Tracts. [89 FR 96901, Dec. 6, 2024]

Related documents

• 50 CFR Part 600 — Magnuson-Stevens Act Provisions#512148
• 50 CFR Part 622 — Fisheries of the Caribbean, Gulf of America, and South Atlantic#512149
• 50 CFR Part 635 — Atlantic Highly Migratory Species#512150
• 50 CFR Part 648 — Fisheries of the Northeastern United States#512151
• 50 CFR Part 660 — Fisheries off West Coast States#512152