Chapter XX: Enhanced Subsidies For Housing Voucher Conversion Actions


Section D: Unit Size

Issue an enhanced voucher to eligible families based on MSHDA’s eligible size subsidy standards, not on the actual size of the unit the family is currently occupying.

If the family qualifies for a smaller unit than the one in which they currently reside and an appropriate sized unit is available, the family must move to the appropriately sized unit within the development that satisfies MSHDA’s subsidy standards. Contact the RS or the HCAC for guidance. If the development does not have an available unit, the family is encouraged to look off-site.

If an appropriate size unit is not available in the development, the family must make a good faith attempt to find a qualified unit outside of the development; however they will not be penalized if an appropriate size unit is not located. The family is required to pay the full contract rent for the initial 60-day voucher issuance period. To determine whether the family has made a good faith effort MSHDA will:

  • Require the family to submit a list of units visited, and
  • Consider the market area/vacancy rates; and,
  • Consider the number of housing referrals MSHDA provided to the family over the course of the family's search.

If the family does not locate an eligible size unit at the end of the term of the voucher despite making a good faith effort, MSHDA will execute a HAP Contract for the family in their current unit. The following requirements must be satisfied:

  • The unit must comply with housing quality standards (HQS).
  • The payment standard is the gross rent for the oversized unit.
  • The proposed rent must meet the rent reasonableness test.
  • The effective date of the contract for the oversized unit cannot predate the expiration date of the voucher, including an extension if issued.

If at any time during the HAP Contract period, an appropriate size unit becomes available at the development, the family must move to the appropriate sized unit or the subsidy (enhanced voucher payment) will be terminated.

In conversion situations where more than one family is over-housed, MSHDA will make the determination of how families will be selected for the next available appropriately sized unit. This selection process may be a lottery system, a selection by date of original occupancy, or some other method pre-determined by MSHDA. The selected method will be communicated to tenants in writing in advance of the HAP Contract signing, possibly during the briefing session.

MSHDA will have the flexibility to make exceptions for moves related to health and age (elderly). The RS must approve these exceptions.

At re-examination, if it is learned that family circumstances are different from when the conversion took place and the family now qualifies for a different size unit, regular HCV rules apply. The family would be given the appropriate size subsidy at the time of reexamination.

If the family is at the end of their first year HAP contract and an appropriate sized unit has not become available, the family can stay in the unit but must pay the difference in subsidy between the appropriate sized unit and size of the unit they occupy. In other words, use the HCV payment standards that the family qualifies for and not the payment standard based on the oversized unit.