Housing Voucher Programs - Policy and Procedures Manual

Chapter IX Sections

1. Income Change
2. Verification Procedures
3. Income Increases
   1. Effective Date
   2. Corrections
   3. Notification
4. Income Decreases
5. Changes in Family Composition
6. Contract Rent Increases
7. Subsidized Complex Rent Increase
8. Zero HAP
9. Repayment Agreement
10. Elite Procedure
11. Applicable Forms List

Chapter IX: Interim Re-Examinations

Section C: Income Increases

The tenant must report all income changes to the HA within 14 days. Income changes that have a gross monthly income increase of $100 or more must be processed as an interim re-examination.

1. Effective Date

If the income threshold is exceeded and an increase in the tenant rent portion is required, the effective date of the rent increase for the family will be the first of the month following 30 days advance written notice to the participant via the Adjustment Notification (MSHDA 34). There is no pro-rating of the subsidy. If applicable, execute a Repayment Agreement.

2. Corrections

Upon notification, the HA must correct calculation income errors (i.e. wage increase not entered). If the tenant’s rent share increases, the HA must allow a 30-day notice (no pro-rating) before making the increase effective. State law requires a 30-day advance written notice to the tenant of all tenant rent increases.

Example of a possible correction needed:

• Utility Assistance Payments (UAP). The DT found an error, which causes the UAP to be decreased (i.e. UAP was $111; should be $44). HUD requires a 30-day notice to the tenant.

3. Notification

• Prepare and distribute an Adjustment Notification (MSHDA 34) at least 30 days in advance of the effective date.
• Submit a Case Data Summary (MSHDA 1344) to the DT along with all required documentation. Refer to the Forms Reference/Submission Chart (MSHDA 284).