Presentation on theme: "A Guide to Project-based Section 8"— Presentation transcript:
1 A Guide to Project-based Section 8 Landlord TrainingA Guide to Project-based Section 8
2 What is Project-based Section 8? A component of the Housing Choice Voucher Program that provides subsidy to individuals or families residing in specific housing units contracted with SHA through housing providers and service agenciesA building owner (referred to as “landlord” throughout this document) enters into a contract with SHA to provide rental subsidies for specific unitsThe landlord is responsible for gathering required forms and supporting documentation for applicants and tenantsThe landlord is responsible for all building management, including maintaining a waitlist and screening applicants to fill vacanciesSHA determines the initial and ongoing household eligibility and compliance
3 Project-based TermsHousing Assistance Payment (HAP): the portion of the contract rent payable to the landlord by SHA, contract rent minus tenant rent to ownerHAP Contract: housing assistance payments contract between SHA and the OwnerHousing Quality Standards (HQS): the HUD minimum quality standards for dwelling units occupied by the tenantLandlord: enforces lease and gathers all documentation, such as eligibility certifications, that will enable PorchLight to determine the amount of the subsidy and tenant rent as stated in the HAP contractParticipant (Tenant): The person(s) approved by PorchLight to reside in a contracted unit with assistance under the program rulesContract Rent: total rent due to the landlord, HAP plus tenant rent to ownerUtility Allowance: pre-determined estimate of utilities for the unit that the participant will have to pay – this is listed on the Exhibit A of the contractGross Rent: the contract rent plus the utility allowanceTotal Tenant Payment (TTP): 30% of adjusted monthly income, which is the amount the participant is expected to contribute toward rent and utilitiesTenant Rent to Owner: the portion of the contract rent payable to the landlord by the participant, TTP minus any utility allowanceAnniversary Date: the first of the month in which tenant originally moved inHUD 50058: document transmitted to HUD containing the household’s certification information including composition, income, rent and HAP portionsSHA 581 Lease Amendment: a written notification that informs the tenant and landlord of contract rent, tenant rent portion and HAP portion
4 Eligibility Requirements Be under 30% median income (median income is established annually by HUD)The exception to this income requirement are Sound Family units, which must be under 50% median income, but must also be homeless – consult the Exhibit A in your contract for units that may be Sound FamiliesMust be a U.S. citizen or eligible non-citizen; original documentation must be provided at time of applicationMust be able to provide original Social Security number verification for all family members at time of applicationNot owe money to SHA or another housing authorityHave acceptable criminal history according to the SHA Administrative PlanLeft in good standing from other SHA assisted programs
5 Income Limits and Occupancy Standards HUD Median Income LimitsSHA Occupancy StandardsNumber InHousehold30% of Median50% of MedianVery Low income1 person18,00030,0002 persons20,60034,2503 persons23,15038,5504 persons25,70042,8005 persons27,80046,2506 persons29,85049,6507 persons31,90053,1008 persons33,95056,500Bedroom SizeMinimum Number in HHMaximum Number in HH0 Bedroom121 Bedroom42 Bedroom63 Bedroom384 Bedroom105 Bedroom126 Bedroom14
7 All Applications, New Move Ins, and Transfers should be sent to Accessing PB FormsGo toSelect “Landlords” tabClick “Project-based Program”Open “Forms and Documents”All Applications, New Move Ins, and Transfers should be sent to
8 Intake/Application Workflow LANDLORDACTIONSPORCHLIGHT ACTIONSUNIT BECOMES AVAILABLE FOR NEXT APPLICANT ON WAITLISTSUBMIT INTAKE DOCUMENTS WITH 3RD PARTY VERIFICATIONS TO PORCHLIGHTHOLD APPOINTMENT WITH HOUSEHOLD TO COMPLETE INTAKE DOCUMENTSOBTAIN 3RD PARTY VERIFICATIONSREVIEWS BACKGROUND CHECK/DETERMINE ELIGIBILITYAPPROVAL AND ESTIMATED RENT TO LANDLORDREVIEWS APPLICATION FOR COMPLETIONINFORM HOUSEHOLD OF APPROVAL, ESTIMATED RENT PORTION, AND SET UP AN APPOINTMENT TO COMPLETE NEW MOVE-IN DOCUMENTS
9 Intake TimeframesPorchLight makes every effort to respond to complete APPLICATIONS within 5 business days of receiptIf Incomplete APPLICATION packets, SHA will landlord for missing documents/items. APPLICATIONS may be cancelled if missing documents are not returnedAPPLICATION packets and supporting documentation must be current (within 60 days)If an application is denied, PorchLight will send a letter to the applicant and copy the landlord with the reason for denial and the applicant may not move in unless an appeal is approvedNEW MOVE-IN packets must be submitted within 60 days of the application approval date or the application will be cancelled and the landlord will not receive HAP
10 SHA ChecklistCommon mistakes:We cannot process the application without these fields completed.Your name hereSubmit the items that are not shaded. PorchLight must approve the application first, then the landlord can lease up and submit Part 2, the New Move-In Packet.
14 Declaration of Citizenship Applicants are required to declare their citizenship/immigration status.Ensure both sides of the form are signed if there are minors in the householdProvide copies of front/back of original unexpired INS documents for non-citizensOriginal documents must be copied onto SSN/INS form & sign/dated by LandlordUse form SHA-1118 for eligible non-citizens
16 New Move-in (NMI)Initial Inspection Self-Certification: landlord signs off on the condition of the unit prior to move-in, but unit must have passed an SHA HQS inspection within the past 364 days. The initial inspection must be completed on or before the lease start date. HAP payments cannot begin before Initial Inspection Self-Certification form is completed.Tenancy Addendum: is an addendum to your lease and Landlord is required to provide both lease and addendum to tenantLease End Date: is the last day of the month, prior to original move in dateExample: if lease date starts 4/14/2010, the lease end date is 3/31/2011Statement of Family Responsibility form: authorizes a family to receive the Project-based subsidy. Tenant, Landlord and SHA are required to sign/date this document.Reporting/Drug form: is additional participant responsibilities for all HCV program participants
17 New Move-in Workflow LANDLORD ACTIONS PORCHLIGHT ACTIONS RECEIVE APPLICATION APPROVAL FROM PORCHLIGHTHOLD APPOINTMENT WITH HOUSEHOLD TO COMPLETE NEW MOVE-IN DOCUMENTSCANCEL APPLICATIONS WITH APPROVALS OLDER THAN 60 DAYSVERIFY MOVE-IN DOCUMENTS, PROCESS CERTIFICATION, AND ISSUE HAPREVIEW INTAKE DOCUMENTS FOR CHANGESIF REPORTING NEW HOUSEHOLD COMPOSITION AND/OR INCOME/ASSETS CHANGES SUBMIT SR PACKETOBTAIN 3RD PARTY VERIFICATIONSSUBMIT MOVE-IN DOCUMENTS WITH LEASE/ADDENDUM WITHIN 60 DAYS OF THE APPLICATION APPROVAL DATEAND 581 TO LANDLORD, MAIL ORIGINAL 581 AND PB PAMPHLET TO TENANTCONDUCT WALK-THROUGH OF UNIT AND SIGN-OFF ON THE INITIAL INSPECTION SELF-CERTIFICATIONUPDATE TENANT RECORD WITH NEW RENT PORTIONS AND FILE AND 581 IN TENANT FILE FOR FUTURE REFERENCE
18 Landlord Orientation for New Applicants/Tenants When reviewing NMI documents with tenant, be sure to:Explain the differences between Project-based & Tenant-basedProject-based subsidy stays with the unitTenant-based subsidy is a voucher that belongs to tenantExplain reporting requirements & timelinesReview & provide copies of:Statement of Family ResponsibilityTenancy AddendumWelcome to the Section 8 Project-based Assistance Program brochure
20 Statement of Family Responsibility This is the only document that ties all three parties together.The second page must be signed & dated by all parties.LandlordParticipantSHA
21 Tenant-Building Lease Common mistakes:The term of the lease cannot start before the application was approved by PorchLight. If it does the landlord will not receive HAP for that time.INSERT CONTRACT RENT AMOUNTThe rent listed in the lease is the total contract rent, not the gross rent, tenant portion, or a non-dollar entry.
24 Annual Review Workflow LANDLORDACTIONSPORCHLIGHT ACTIONSMAKE APPOINTMENT WITH TENANT TO COMPLETE AR PACKETREVIEW AR PACKET AND VERIFICATIONS FOR COMPLETION AND PROCESS THE RE-CERTIFICATIONDAYS AHEAD OF AR DATESEND AR LOG TO LANDLORDREVIEW CURRENT FOR CHANGESSEND FOR 3RD PARTY VERIFICATIONS IF APPLICABLEAND 581 TO LANDLORD, MAIL ORIGINAL 581 TO TENANTSEND AR PACKET TO TENANTSUBMIT AR PACKET TO PORCHLIGHT BY 1ST OF EACH MONTHUPDATE TENANT RECORD WITH NEW RENT PORTIONS AND FILE AND 581 IN TENANT FILE FOR FUTURE REFERENCE
25 Annual Review (AR) Timeframes SHA sends AR packets to tenants and AR logs to landlords days prior to tenant anniversary dateTenants submit AR packets with supporting documentation directly to landlord for submission to Porchlight Office by the 1st of each monthIf incomplete AR packets, SHA will landlord for missing documents/items or may send notice to the tenant and copy the landlord with10 business days to respondIf no response to requests from tenants/landlord, SHA will send Non-compliance termination letter and copy the landlordFor Tenant caused delay of AR, the tenant may not receive 30 days’ notice of an increaseFor SHA caused delay of AR, there is no penalty to tenantFor Landlord caused delay of AR, HAP will be placed on holdSHA 581 Lease Amendment: a written notification that informs the tenant and landlord of contract rent, tenant rent portion and HAP portion- SHA may attach a second page to the lease amendment to explain changes such as effective dates, utility allowance amounts, household composition, etc.
29 Special Review Workflow LANDLORDACTIONSPORCHLIGHT ACTIONSTENANT TELLS YOU ABOUT A CHANGE IN INCOME OR HOUSEHOLD COMPOSITIONVERIFY CHANGES AND PROCESS THE RE-CERTIFICATIONASSIST TENANT IN COMPLETING THE SPECIAL REVIEW PACKETAND 581 TO LANDLORD, MAIL ORIGINAL 581 TO TENANTREVIEW CURRENT FOR CHANGESSEND SR PACKET TO PORCHLIGHT BY 10TH OF MONTHOBTAIN 3RD PARTY VERIFICATIONSUPDATE TENANT RECORD WITH NEW RENT PORTIONS AND FILE AND 581 IN TENANT FILE FOR FUTURE REFERENCE
30 Special Review (SR) Timeframes Tenant report changes of income or household within 10 business days of change to landlord & assists with completing SR paperworkLandlords must submit SR packet/documentation to Porchlight by 4:30 p.m. on the 10th of the month for the rent decrease to take effect the 1st of the following monthOnce SHA receives the packet, SHA determines if SR start date is less than 30-days notice, 30-days notice or no changeFor Landlord delay in submitting SR paperwork, any change in rent or HAP may be absorbed by OwnerSHA 581 Lease Amendment: a written notification that informs the tenant and landlord of contract rent, tenant rent portion and HAP portion- PorchLight may attach a second page to the lease amendment to explain changes such as effective start dates, household composition, etc.
32 SR Change of Income or Household Conditions Project-based HCV: Change of Income or Household ConditionsHead of Household name (Last, First)Head of Household Social Security NumberAddressContact phone number Home CellCommon mistakes:Should be head of household, not the person with the changeHead of Household’s signature__________________________________________________ Date_______________Upon request, Seattle Housing Authority will provide reasonable accommodations to people with disabilities so they can participate in SHA programs.Always submit this form with supporting documentation.
34 Transfer Workflow LANDLORD ACTIONS PORCHLIGHT ACTIONS TENANT REQUESTS, OR IT BECOMES NECESSARY, TO TRANSFER TO ANOTHER UNIT WITHIN THE SAME BUILDINGREVIEW VACANCIES FOR A PROJECT-BASED UNIT THAT ACCOMODATES HOUSEHOLD’S OCCUPANCY STANDARDVERIFY NEW UNIT IS CONTRACTED AND COMPLIES WITH OCCUPANCY STANDARDS, PROCESS CERTIFICATION, AND ADJUST HAP IF NECESSARYCONDUCT WALK-THROUGH OF UNIT AND SIGN-OFF ON THE INITIAL INSPECTION SELF-CERTIFICATIONAND 581 TO LANDLORD, MAIL 581 TO TENANTMAKE APPOINTMENT TO COMPLETE TRANSFER PACKET AND NEW LEASE(IF INCOME OR HOUSEHOLD COMPOSITION HAS CHANGED THEN COMPLETE AN SR PACKET)UPDATE TENANT RECORD WITH NEW RENT PORTIONS AND FILE AND 581 IN TENANT FILE FOR FUTURE REFERENCESUBMIT TRANSFER PACKET TO PORCHLIGHT WITHIN 10 DAYS OF TRANSFER
36 Move Out Workflow LANDLORD ACTIONS PORCHLIGHT ACTIONS TENANT GIVES NOTICE TO MOVE OUTCOMPLETE MOVE OUT FORM AND SUBMIT TO PORCHLIGHT WITH SUPPORTING DOCUMENTATION WITHIN 10 DAYS OF MOVE OUTREVIEW MOVE-OUT PAPERWORK FOR COMPLETION, ADJUST HAP IF NECESSARY, AND TO LANDLORDRECORD IN UNIT FILE
37 Move Out (M/O) timelines Send SHA Move Out Notification form with supporting documents to PorchLight Office within 10 days of move out date, but not before the move out dateExamples of supporting documents:20 Day Vacate notice/Less 20 Day noticeEviction noticeMutual termination agreementAbandonment notification
40 All third party verifications need to be current! When a tenant provides income verification, it is NOT considereda third party verification…SHA obtains…DSHSWashington State Employment SecurityWashington State Office of Support Enforcement (OSE)EIV (Enterprise Income Verification-HUD site)Landlord obtains…employment (including seasonal & temporary employment)VA and other pensionsSocial Security & SSIannuities/trusts/financial recordsany out of state incomeL&Ichild support not received through OSEself-employment verificationSelf-certification/declaration of cash contributions/giftsout-of-pocket paid medical or childcare expensesAll third party verifications need to be current!
42 Allowances and Deductions $400 for an elderly/disabled household$480 for dependents (minors, full-time students, disabled adults)Deductions:Out-of-pocket expenseMedicalreceiptsprintouts from Pharmacypayment plansletters from medical knowledgeable professionalsBilling statements are not acceptable proof of paid out-of-pocketexpensesChildcareDSHS Childcare Co-Pay Award lettersLetter from childcare provider
43 Social Security Letters are Acceptable Proof of Disability If no “DI,” use Professional Certification of Disability form.DISHA uses the rounded benefit to calculate income unless medical deductions are taken.You are entitled to these benefits as a disabled individual.
44 Roles within your agency: Who is responsible for screening and completing Intake documents?Who is responsible for third party verifications?Which forms do you use and where are they kept?What is your process for obtaining them?Who is responsible for leasing?Who is responsible for gathering special and annual reviews?Who is responsible for unit maintenance and turn around?Who is responsible for collecting rent?Who is responsible for reconciliations?
45 DO’S & DON’T’SDO…review all application/certifications for completionsubmit supporting documentation along with SHA formscontact SHA if you have questions regarding reporting requirements and timelinesprovide special review packets to tenantsobtain third party verificationssend tenant changes to SHA within 10 business day of change OR by the 10th of the monthenforce your lease where necessary for lease violationssend new staff to Landlord TrainingsDON’T…move in applicants prior to SHA approval, you will not receive subsidy prior to approval daterefer your tenants with landlord/tenant issues to PorchLight Office because PorchLight is not the landlordexpect social service agencies to complete application/certification packets, it is landlords obligationgive tenants employment verification forms