Chapter XXII: Project Based Voucher Program


Section F: Administering Project Based Vouchers

Step 1: The MSHDA Office of Housing Voucher Program reviews requests for PBV and sends Preliminary Award letters to the owner of Projects meeting criteria.

Step 2: Owner accepts or refuses the PBV Award.

Step 3: If owner accepts Award, the RS prepares the HAP contract between MSHDA and the owner of the property and the HAP Contract is executed.

Step 4: Phone calls are made by the RS, RM, and assigned HA to the property owner/on-site manager to work out initial details such as:

  • establishing dates for meetings with in-place tenants,
  • explaining HQS standards and establishing HQS inspection dates,
  • conducting a rent reasonable test and agreeing to initial rental rates, rent increases and decreases,
  • discussing tenant options if tenant is in an oversized unit,
  • the MSHDA subsidy payment process, and
  • agreeing to an effective date.
  • The RS/RM explains to the owner that HCV rules apply to the PBV units which are different from Multi-Family Housing rules,
  • vacancies,
  • annual rent increases

Step 5: The processing of required PBV paperwork begins. The assigned HA will follow HCV program guidelines, and MSHDA policies and procedures for a housing choice voucher including the third party verification of income eligibility, criminal screenings, briefings, unit inspections, hearings, annual re-examinations, interim re-examinations, cancellations, etc. A listing of forms being used for PBV is located in the Applicable Forms Listing section at the end of this policy.

Step 6: During the briefing meeting with the family, in addition to other required items, the HA must explain:

  • the subsidy is tied to the unit;
  • the family must inquire as to the availability of another voucher before giving the owner a 30-day notice of their intention to move if they have lived in the unit for one year and they desire continued assistance after the move.

Step 7: When vacancies occur, the owner or representative must notify the HA immediately and the HA will select names from the appropriate county MSHDA waiting list, determine eligibility, and proceed with the required paperwork verification process.

Step 8: Vacancy Loss Claims:

In order for a vacancy payment request to be considered, it must be made within 10 business days of the end of the period for which the owner is requesting the vacancy payment. The request must include the required owner certifications and the PHA will require the owner to provide documentation to support the request. If the owner does not provide the information requested by the PHA within 10 business days of the PHA's request, no vacancy payments will be made.

For payment, the owner must complete a Vacancy Loss Worksheet (MSHDA-4) and submit it to the appropriate MSHDA Office of Housing Voucher Program Resource Specialist in the Lansing office for payment. The form should be submitted when the tenant moves or when the tenant terminates participation in the program. Once payment is made, a copy of the MSHDA-4 will be filed in the payment section of the tenant file; or the form will be sent back to the housing agent for those housing agents who have their files in the field.

Based upon the federal regulations that were in place at time that PBV projects were selected, the following PBV developments are not eligible for vacancy loss payments: Allegan LDHA Scattered Sites, Avalon, Genesis East, Heritage Meadows, Herkimer, Lakewood Manor, Lapeer Scattered Sites, Liberty Street Apartments, Mystic View, On the Park, On the River, Orianna Ridge, Ottawa County Scattered Sites--Grand Haven, Holland, and Zeeland, Park Meadows, Peterboro, Pinehurst, Summit Park, Venture, Inc., West Bridge Apartments, and 11th Street Apartments.

Note: Participants in the PBV program are eligible for the Family Self-Sufficiency program and may apply to the FSS Waiting List.

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