Housing Voucher Programs - Policy and Procedures Manual

Chapter VIII Sections

1. Upcoming Annual Reexaminations and Cut Off Dates
2. Tenant Issues
3. Landlord Issues
   1. Annual Re-examination Notice (MSHDA 52)
   2. Changing Utilities
   3. Ownership Changes and Landlord Address Changes
   4. Renewal Provision in Owner’s Lease
   5. Delinquencies
4. Housing Quality Standards (HQS) Inspection
5. Rent Negotiation/Rent Reasonableness
6. Adjustment Notification to Tenant
7. Zero HAP
8. Family Self Sufficiency (FSS)
9. Enhanced Vouchers
10. Moves at Annual Re-examination (Anniversary) Date
11. Annual Re-examination - Searching
12. Non-Renewing Annual Re-examination
13. Required Notice of Tenant Rent Increases/Effective Dates
14. Terminations
15. Elite
16. Executing Documents and Submission of File Materials
17. Case Material Deficiency Corrections
18. Subsidized Developments
19. Manufactured Home Space Rent (MHSR)
20. Tickler Systems Maintained by Housing Agents /Agents
21. SEMAP Monitoring Tools
22. Applicable Forms List

Exhibits

• Exhibit 1

Chapter VIII: Annual Re-Examinations

Section C: Landlord Issues

1. Annual Re-examination Notice (MSHDA 52)

The Annual Re-examination Notice (MSHDA 52) notifies the landlord that MSHDA will perform an Adjustment Notification re-examination. By completing the form, the landlord identifies:

1. Intent to continue the leasing arrangement or not;
2. Acceptance of MSHDA’s adjustment notification renewal unless the landlord provides MSHDA with written notification of a new lease 60 days in advance;
3. Proposed renewal rent amount;
4. Certifies that the requested rent is reasonable; and
5. Identifies changes in mailing address or utilities.

The HA completes the following on the MSHDA 52:

1. Landlord/tenant names and addresses (labels may be used);
2. Date mailed; and
3. Tenant anniversary date (re-examination effective date).

The HA also:

1. Retains a copy of the form in the file and forwards a copy to the landlord;
2. Completes and forwards the MSHDA 52 to the landlord no later than the 15th day of the first month of the re-examination process. For example: For September 1 renewals, the MSHDA 52 must be completed/forwarded by May 15.
3. Ticklers the MSHDA 52 to follow up if the landlord does not return the form within 21 days (original 14 day deadline plus an additional seven days). On the 21st day, the HA must make one attempt to resend the document (with a seven-day deadline). In lieu of resending the document, the HA may make telephone contact with the landlord and obtain the information necessary to complete the form. Indicate in the 'other" box that the information was retrieved 'per phone call with landlord on X date' and include the HA initials.

Between the 30th and 45th day, if the landlord still does not respond, the HA will:

1. Check the ‘No Landlord Response’ box in the MSHDA Use Only Section;
2. Initial and date the form; and
3. Complete the Proposed Monthly Rental Rate box with the current Contract Rent amount. Note: Can indicate “same” or a dollar amount.

For tenant notification requirements, refer to Section E, item 6.

As indicated by the language in the MSHDA 52, MSHDA will proceed with the re-examination at the current rental rate.

Note: In counties where there has been a 5% decrease in the Fair Market Rent (FMR) (and subsequent decrease in the Payment Standards [PS]), a Contract Rent decrease may be required. If this occurs, instructions will be provided.

Upon receipt of the MSHDA 52 requesting a rent increase (or completion of the MSHDA 52 by the HA), the HA confirms that the requested rent is reasonable and supported by comparables. (For more information, see Chapter VII, Rent Reasonableness).

Review the MSHDA 52 and new lease and investigate any discrepancies. Compare this to the most recent file data regarding utilities, appliances, landlord changes, etc. If there are any changes in lease requirements governing tenant or owner responsibilities, then a new lease and HAP contract must be executed.

If the landlord returns the MSHDA 52 at a later date (i.e. after the anniversary date or after the re-exam has been processed), implement the increased Contract Rent (subject to rent reasonableness requirements) via an Interim Re-examination.

Do not implement the revised increased Contract Rent until the landlord provides 60 days notice (no pro-rating) to the tenant and MSHDA.

2. Changing Utilities

If the owner changes who provides utility or appliances, then a new contract and lease is required as outlined in the Tenancy Addendum (HUD 52641A).

3. Ownership Changes and Landlord Address Changes

• If the ownership or management company has changed, see Chapter XI, Landlord Issues for detailed procedures.
• Landlords should be encouraged to register on-line at www.cpexpress.state.mi.us and follow the step-by-step instructions or request a Payee Registration Packet (MSHDA 219 and W9) if the landlord name or Social Security/FEI number has changed.
• If the landlord address has changed, see Chapter XI, Landlord Issues for detailed procedures.
• MSHDA HVP Operations staff must enter the address change and mail code update in Elite.

4. Renewal Provision in Owner’s Lease

After the initial lease term (usually one year), the landlord may increase the Contract Rent (subject to the renewal provisions in the lease and rent reasonableness requirements) as long as the landlord has provided 60 days written notice (per Section 15.d. of HUD Tenancy Addendum) to the tenant and MSHDA. The MSHDA 52 process addresses the increase notice requirement for AR.

5. Delinquencies

If the landlord is delinquent, see Accounts Receivable section of Chapter XIX, Operations and contact your DT.