MSHDA - Office of Housing Voucher Programs Policy and Procedures Manual

Chapter XIV: Terminations

Issued: April 2009
Effective: June 1, 2009

Introduction

This policy outlines when Housing Choice Voucher (HCV) program participants must be terminated from the Program.

Section A: Definitions

Actively and Successfully Participating In: Proof in the form of record of attendance, and compliance with all rules of the assisting Program, including no further criminal activity.

Credible Evidence: Includes documentation of drug raids, arrest warrants, or other information obtained from police and/or court records.  Witness testimony can be considered as evidence.

Currently Engaging In: With respect to behavior such as illegal use of a drug or other criminal activity, currently engaging in is defined by MSHDA as having occurred within the last twelve months.

Currently Engaging in Violent Criminal Activity: Any act within the past two years by an applicant or participant household member which involved criminal activity that has as one of its elements the use, attempted use, or threatened use of physical force substantial enough to cause, or be reasonably likely to cause, serious bodily injury or property damage.

Dating Violence: Violence committed by a person who is or has been in a social relationship of a romantic or intimate nature with a victim based on length or type of relationship or frequency of interaction between the persons.

Domestic Violence: Crimes of violence committed by the current or former spouse of the victim; person similarly situated to a spouse of the victim; person with whom a victim shares a child in common; person who cohabits with or has cohabited with the victim; or by any other person against an adult or youth victim, who is protected from that person’s acts under the domestic or family violence laws of the jurisdiction.

Drug: A controlled substance as defined in Section 102 of the Controlled Substances Act [21 U.S. C. 802].

Drug-Related Activity: The illegal manufacture, sale, distribution, or use of a drug, or the possession of a drug with intent to manufacture, sell, distribute, or use the drug.

Federally Assisted Housing: Housing assisted under any of the following programs:

1. Public Housing;
2. Housing received project-based or tenant-based assistance under Section 8 of the U.S Housing Act of 1937 [42 U.S.C. 1437f];
3. 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].

Household: The family and PHA approved live-in aide [24 CFR Part 982].

Pattern of Abuse: MSHDA defines a pattern of abuse as two or more occurrences of drug or alcohol-related offenses during the previous twelve months.

Stalking: To follow, pursue, place under surveillance, or repeatedly commit acts with intent to kill, injure, harass, or intimidate; and to place a person in reasonable fear of death, serious bodily injury, or emotional harm to that person, their immediate family member(s), spouse or intimate partner.

Violent Criminal Activity: Any criminal activity that has as one of its elements the use, attempted use, or threatened use of physical force substantial enough to cause, or be reasonably likely to cause serious bodily injury or property damage, including but not limited to rape, murder, robbery, arson, and assault.

Chapter XIV: Terminations

Section B: Reasons for Termination (24 CFR 982.551, 24 CFR 982.552 and 24 CFR 982.553)

Terminate assistance to Housing Choice Voucher (HCV) Program participants in the following situations.

1. For Actions or Inaction by the family (24 CFR 982.552)

In determining whether to terminate assistance because of action or failure to act by a member of the family, the HA should consider the seriousness of the case, the extent of participation or culpability of individual family members, mitigating circumstances related to the disability of a family member, and the effects of termination of assistance on other family members who were not involved in the action or failure of action. The HA may impose a requirement that other family members who participated in the action may not reside in the unit. Terminate HCV assistance when

1. Any member of the family fails to sign or submit consent forms. [24 CFR 982.552 (b)(3)]
2. The family fails to establish citizenship or immigration eligibility status. [24 CFR 982.552(b)(4)]
3. Any family member fails to meet eligibility requirements concerning individuals enrolled in an institution of higher education as specified in 24 CFR 5.612 and [24 CFR 982.552(b)(5)].
4. The participant family is evicted from housing assisted under the program for serious violation of the lease. (See HUD Tenancy addendum.) 24 CFR 982.552(b)(2)
5. The participant fails to pay utility bills, and/or provide and maintain appliances, that they are required to supply under the lease.  24 CFR 982.404
6. The family or its guest(s) damage the unit resulting in a HQS violation(s) and don't take corrective action or make restitution. See the HQS manual for more details on this issue. 24 CFR 982.404
7. The family has unreported annual income to MSHDA in the amount of $10,000 or more and refuse mediation and repayment, OR, they have unreported annual income of less than $10,000 and refuse to sign a Repayment Agreement (MSHDA 103).
8. If a family member participating in the FSS program fails to comply, without good cause, with the family's FSS contract of participation. [24 CFR 982.552(c))(1)(viii)]

2. For Criminal and/or Drug Related Crimes and Behaviors

Before an individual or family member is terminated from the program for drug-related or violent criminal activity, MSHDA staff considers the individual circumstances of the household. In evaluating evidence, MSHDA gives fair consideration to:

1. The seriousness of the activity with respect to how it would affect other residents;
2. The likelihood of favorable conduct in the future due to evidence of rehabilitation;
3. Any mitigating circumstances related to a disability.  (An example of a mitigating circumstance is a family member who is an Alzheimer’s disease patient who becomes verbally abusive.)

In determining whether to terminate assistance for illegal use of drugs by a household member who is no longer engaged in such behavior, the HA should consider whether the household member is currently actively and successfully participating in or has successfully completed a supervised drug rehabilitation program. The participant, or family member, would be required to provide evidence of the household member’s active and current participation in, or successful completion of, a supervised drug rehabilitation program which is approved by MSHDA, or evidence of otherwise having been rehabilitated successfully. Evidence of such would be proof in the form of record of attendance, and compliance with all rules of the assisting program, including no further criminal activity. A supervised drug rehabilitation program does not include self-help treatment programs, i.e. Alcoholics Anonymous.

Credible evidence or records are necessary to justify decisions. Such evidence might include drugs found in the most recently rented unit. Appropriate documentation includes judgments, police reports, complaints, letters from neighbors or management officers (or family members supported by documentation), restraining orders, evidence provided by police and the court system (such as raids), an arrest warrant issued, or any other written documents confirming or explaining the situation.

When a landlord, probation officer, neighbor, or social service agency worker provides information about alcohol abuse, drug use, or criminal activity(ies) or behaviors, a written complaint or documentation must be requested. Verification of such information is necessary in writing and/or through verified criminal records.

Terminate HCV assistance when:

1. Any member of the household is subject to a lifetime registration requirement under a state sex offender registration program. 24 CFR 982.553(a)(2)(i)
2. The participant, or any member of the household, has been convicted of drug-related criminal activity for manufacture or the production of methamphetamine on the premises of federally-assisted housing. 24 CFR 982.553(b)(B)(ii)(C)
3. The family has engaged in, or threatened abusive or violent behavior toward MSHDA staff or contracted agents. This includes verbal as well as physical abuse or violence. Threatening behavior includes oral or written threats or physical gestures that communicate an intent to abuse or commit violence. Use of expletives that are generally considered insulting, racial epithets, or other language, written or oral, that is customarily used to insult or intimidate may also be considered grounds for termination. 24 CFR 982.552(c)(ix)
4. Any household member is currently engaged in the illegal use of a drug. 24 CFR 982.553(b)(A)
5. There is reasonable cause to believe that a household member’s illegal drug use, or pattern of illegal drug use, may threaten or interfere with the health, safety, or right of peaceful enjoyment of the neighborhood by other residents. MSHDA defines a pattern of abuse as two or more occurances of alcohol-related or drug-related offenses within the previous 12 months. 24 CFR 982.553(b)(3) and 24 CFR 982.553(b)(B)
6. The participant, or any member of the household, is currently engaged in or has engaged in violent criminal activity . MSHDA considers a person “currently engaged in violent criminal activity” if the person has engaged in the behavior recently enough to justify a reasonable belief that the behavior is current (i.e., within the most recent two years). 24 CFR 982.553(b)(1)(B)(iii)
7. The participant or any member of the assisted household is currently engaged in other criminal activity which may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents, or persons residing in the immediate vicinity, or health or safety of the owner, property management staff, or employee or persons performing a contract administration function or responsibility on behalf of MSHDA. MSHDA considers a person "currently engaged in criminal activity" (other than violent criminal activity) if the occurrence of such activity has been within the past twelve months. 24 CFR 982.553(a)(2)(ii)(A)(3)(4) and 24 CFR 982.553(a)(2)(ii)(B)
8. Information is provided that shows the participant has been evicted from a unit assisted under any federally-assisted housing program for drug-related or violent criminal activity within the last three years. 24 CFR 982.553(a)(1)
9. MSHDA determines that any household member has violated the family's obligation under 24 CFR 982.551 not to engage in violent criminal activity. 24 CFR 982.553(b)(1)(B)(2)

3. For Alcohol Abusers 24 CFR 982.551(m)

1. There is reasonable cause to believe that a household member’s abuse of alcohol may threaten or interfere with the health, safety, or right of peaceful enjoyment of the rented premises by other residents, or persons residing in the immediate vicinity. 24 CFR 982.553(b)(3)
2. Two or more occurrences of alcohol-related offenses within the previous 12 months.

In determining whether to terminate assistance for alcohol abuse by a household member who is no longer engaged in such behavior, the HA should consider whether the household member has participated in or successfully completed a supervised alcohol rehabilitation program. The participant, or family member, would be required to provide evidence of the household member’s current participation in, or successful completion of, a supervised alcohol rehabilitation program which is approved by MSHDA, or evidence of otherwise having been rehabilitated successfully. Such evidence would be proof in the form of record of attendance and compliance with all rules of the assisting program, including no further criminal activity. A supervised alcohol rehabilitation program does not include self-help treatment programs, i.e., Alcoholics Anonymous.

4. For Violations of Family Obligations (24 CFR 982.551, 24 CFR 982.552, and Voucher [HUD 52646]) such as:

1. Failure of the family to supply true and complete information needed by MSHDA or HUD to administer the HCV program. Information includes documentation related to the verification of Social Security numbers, citizenship and eligible immigration status, calculation of income, family composition, or signatures on consent forms. 24 CFR 982.551
2. Failure of the family to supply information requested by MSHDA or HUD for use in a regularly scheduled re-examination, or interim re-examination, of family income and family composition in accordance with HUD requirements. 24 CFR 982.551(b)(2)
3. Failure to allow MSHDA or HUD to inspect the unit at reasonable times and after reasonable notice. In most instances, it is reasonable to initiate denial/termination procedures after two unsuccessful attempts to schedule an inspection. 24 CFR 982.551(d)
4. Failure to simultaneously notify MSHDA and the owner in writing before moving from the assisted unit or terminating the lease (notification to the owner and MSHDA must occur at the same time). See 24 CFR 982.551(f) and 24 CFR 982.314(d)
5. The family owns or has an interest in the unit. 24 CFR 982.551(j)
6. The family subleases or lets the unit, assigns the lease, or transfers the unit. 24 CFR 982.551(n)(6)&(7)
7. Any member of the assisted family receives HCV tenant-based assistance while receiving another housing subsidy, for the same unit or a different unit, under any other federal, state, or local housing assistance program. 24 CFR 982.551(n)
8. The family must use the assisted unit for residence by the family. The unit must be the only residence. 24 CFR 982.551(h)(1)
9. Failure to promptly notify MSHDA in writing when the family is absent from the unit. 24 CFR 982.551(i). (See Chapter XIII, Absences from Unit for more information.) The family cannot be absent for more than 180 consecutive days for any reason. CFR 982.312
10. Failure to promptly notify MSHDA in writing of the birth, adoption, or court-awarded custody of a child. 24 CFR 982.51(h)(2)
11. Failure to request MSHDA approval to add another family member as an occupant of the unit. 24 CFR 982.551(h)(2)
12. Failure to promptly notify MSHDA in writing if a family member no longer resides in the unit. 24 CFR 982.551(h)(3)
13. Failure to give MSHDA a copy of any owner eviction notice.  24 CFR 982.551(g)
14. Failure to supply any information requested by MSHDA to verify that the family is living in the unit.
15. If any member of the family has ever been evicted from federally-assisted housing in the last five years. 24 CFR 982.552(c)(ii)
16. If any PHA has ever terminated assistance under the program to any member of the family. 24 CFR 982.552(c)(iii)
17. If any member of the family commits fraud (including income fraud), bribery, or any other corrupt or criminal act in connection with any federal housing program (24 CFR 982.552(c)(iv)); OR, if any member of the family has committed fraud in connection with any federal or state funded benefit program, e.g., TANF, Social Security Administration programs.
18. If the family owes rent or other amounts to the PHA, or to another PHA, in connection with HCV or public housing assistance under the 1937 Act. 24 CFR 982.552(c)(v)
19. If the family has not reimbursed any PHA for amounts paid to an owner under a HAP contract for rent, damages to the unit, or other amounts owed by the family under the lease. 24 CFR 982.552(c)(vi)
20. If the family breaches an agreement with a PHA to pay amounts owed to a PHA, or amounts paid to an owner by a PHA.  MSHDA may offer the family the opportunity to enter into a Repayment Agreement at its discretion. See Chapter XXVIII - Tenant Repayment Agreements. 24 CFR 982.552(c)(vii)
21. If the participant or a lawful occupant engages in criminal acts of violence against family members or others (VAWA of 2005).  (Perpetrator would be terminated.) In determining whether to terminate assistance for domestic violence, dating violence, or stalking, the HA should verify the victim’s status by receipt of a Certification of Domestic Violence, Dating Violence, or Stalking (MSHDA 1635). The MSHDA 1635 attests the incident in question is a bona fide incident of abuse.  The MSHDA 1635 must be completed by the victim’s service provider, attorney, or medical professional, and be signed by the victim within 14 days of the incident, and name the perpetrator. (The victim may also produce police or court records as an acceptable form of Certification.)

• However, MSHDA will terminate assistance of a victim if the termination is for a lease violation premised on something other than an act of domestic violence, dating violence, or stalking against the victim.
• Termination will also occur if it can be demonstrated that an actual or imminent threat to other tenants, or those employed at or providing service to the property, exists if the tenancy of the victim is not terminated.
• Information provided to the HA or MSHDA staff regarding domestic violence, dating violence, or stalking must be kept in a secure confidential manner and must not be released to others unless a signed consent is obtained, except if release is required by law.

5. Other Terminations for All Participants when:

1. No subsidy has been paid (ZERO HAP) for 180 days. (24 CFR 982.455)
2. HAP Contracts are terminated by MSHDA because the Consolidated ACC from HUD is insufficient to support continued assistance for families in the program.  (24 CFR 982.454)

Death of a Tenant

Upon notification of death of the tenant, contact the landlord to determine the end of participation (EOP) date.  If there are remaining family members living in the unit upon the death of the head of household, see Chapter XII on Remaining Participants and Separating Families.  Process the MSHDA 1344-247E, and MSHDA 95 as follows:

• If removal of a deceased tenant’s belongings from the rental unit occurs within the month of death, make the EOP effective date at the end of the current month.
• If a deceased tenant’s belongings cannot be removed within the month of death, make the EOP effective date the end of the following month.

Evicted Tenant

If the owner desires to terminate the lease, the owner must provide the tenant with a written notice specifying the grounds for termination of tenancy, at or before the commencement of the eviction action.  The notice may be included in, or may be combined with, any owner eviction notice to the tenant. If a participant is evicted for serious violations of the lease, that is grounds for termination of assistance. The family must promptly give the HA a copy of any owner eviction notice; failure to do so is grounds for termination.

Chapter XIV: Terminations

Section C: Required Notices of Termination

When a Housing Agent (HA) determines a participant must be terminated from the HCV program, the HA sends a Program Termination form (MSHDA 1634b) identifying the reason for the action/termination to the tenant and a Contract Termination Notice (MSHDA 95). The MSHDA 1634b contains required Informal Hearing language and instructions on how the participant can request a Hearing and the time period to do so if the family has the right to appeal the decision.

If the participant is being terminated for criminal activity as shown by a crimnial record, a copy of the criminal record must be provided to the participant and to the individual named in the criminal history (if not the head of household) with the MSHDA 1634b.

When a HA receives a written notice from a tenant or landlord regarding termination, i.e.

• The tenant submits a 30-day notice to the landlord and MSHDA (i.e. letter of intent);
• The landlord provides a termination notice (i.e. eviction order);
• The tenant and landlord mutually agree to terminate the contract (MSHDA 96);

then the HA sends either a Contract Termination Notice (MSHDA 95) or Mutual Lease Termination (MSHDA 96) to the tenant identifying the reason for the action/termination and a MSHDA 1634b.

It is recommended that the MSHDA 1634b and Contract Termination Notice (MSHDA 95) be sent at the same time.  Then an additional 10-day waiting period doesn’t need to occur after the 30-day notice was provided via the MSHDA 95.

If no written notice is received from the tenant or landlord, forward a MSHDA 1634b and MSHDA 95 with a note on the forms stating how the termination or end of participation date was obtained  (i.e. phone call from landlord on 7/25/01 notifying HA that tenant turned in keys, etc.).

Section D: Termination Due to Fraud

When a tenant is terminated due to income or other fraud, additional specific steps are required as follows:

• The HA should check the appropriate “alert” box on Elite to ensure the tenant cannot reapply for assistance at a future date.
• Report fraud cases to the MSHDA Compliance Enforcement Specialist for investigation and action.
• Should a tenant voluntarily terminate participation in the program when the use of the UIV/EIV or TPV process reveals unreported income, the HA should remove the family from the program as requested. The HA is responsible to determine the amount of overpaid HAP even if the participant is being terminated from the Program. If the participant refuses to enter into a Repayment Agreement to satisfy the overpaid HAP, write that across the face of the proposed Repayment Agreement and submit same to the Compliance Enforcement Specialist.
• If the landlord is complicit in the fraud (i.e., living with the tenant), terminate immediately with no 30-day notice.
• If the tenant is being terminated due to fraud, provide landlord with 30-day notice.

Section E: Applicable Forms List