Housing Voucher Programs - Policy and Procedures Manual

Chapter XXVIII Sections

1. Tenant Repayment Agreement Parameters
2. Calculating a Tenant Repayment
3. Establishing a Tenant Repayment Agreement
4. Tracking Executed Tenant Repayment Agreements
5. Tenant Repayment Agreements in Arrears
6. Tenant with Repayment Agreements and Portability Rights
7. Applicable Forms Listing

Chapter XXVIII: Processing Tenant Repayment Agreements

Section D: Tracking Executed Tenant Repayment Agreements

The assigned MSHDA staff member reviews Repayment Agreements on a monthly basis to help identify agreements in arrears. If the MSHDA Operations Division does not receive the scheduled payment amount for a period of 60 consecutive days, the Repayment Agreement will be considered in arrears. The assigned MSHDA staff person will:

1. Determine if the participant receives a Utility Assistance Payment (UAP) which can repay the past due amount.
   1. If no UAP exists, the assigned staff member proceeds to #2 below.
   2. If a sufficient UAP exists, the assigned MSHDA staff person will adjust the next months’ UAP to recapture the past due amount. Note: The assigned MSHDA staff person must receive written consent from the tenant to adjust the UAP.
   3. If the Repayment Agreement monthly payment amount exceeds the participant’s UAP amount, the account will remain past due and the assigned MSHDA staff person will proceed to #2 below.
      
2. Send notice to the tenant.

   Active Tenant

   1. Send a Delinquent Repayment Agreement Notice (MSHDA 103a) to the tenant with a copy to the HA.
   2. After 30 days, if the tenant is still delinquent, the assigned MSHDA staff person will send a Program Termination Notice (MSHDA 1634f) and Contract Termination Notice (MSHDA 95) which identifies that the tenant has past due payments on an executed Repayment Agreement and their assistance will be terminated if they do not pay the past due amount within 15 days. The termination date is always the end of the following month, giving the landlord a 30-day notice.
   3. After 20 days, if the tenant is still delinquent, the EOP is entered into Elite by the assigned MSHDA staff person. If the tenant sent the required amount, the assigned MSHDA staff person sends a "Contract Reinstated " Contract Termination Notice (MSHDA 95) to the landlord and the tenant remains on the program.

   Inactive Tenant

   1. Send a Notice of Delinquent Repayment Agreement (MSHDA 103b) to the tenant with a copy to the HA.
   2. After 30 days, if the tenant is still delinquent, MSHDA will refer the debt to the Michigan Department of Treasury for collection and a 20% penalty may be added to the debt to cover the cost of collection services.