5116185 Housing Authority, DC - Notice of Proposed Rulemaking - Amendments to the Housing Choice Voucher Program: Rent Reform Demonstration Program
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THE DISTRICT OF COLUMBIA HOUSING AUTHORITY
NOTICE OF PROPOSED RULEMAKING
The Board of Commissioners of the District of Columbia Housing Authority (DCHA), pursuant to the District of Columbia Housing Authority Act of 1999, effective May 9, 2000 (D.C. Law 13-105; D.C. Official Code § 6-203 (2012 Repl.)), hereby gives notice of its intent to adopt the following amendments to Chapter 91 (Housing Choice Voucher Program: Rent Reform Demonstration Program) of Title 14 (Housing) of the District of Columbia Municipal Regulations (DCMR), in not less than fifteen (15) days from the date of publication of this notice in the D.C. Register.
This reduced period of review has been adopted for good cause, as set forth by D.C. Official Code § 2-505(a). The Housing Choice Voucher Program: Rent Reform Demonstration Program regulations were published as final in the D.C. Register on September 19, 2014 at 61 DCR 9596, and the proposed amendments were made in response to additional comments received by the housing advocacy community. The amendments provide additional clarification of the Rent Reform Demonstration Program. DCHA is amending Section 9100, “Program Purpose”, Section 9101, “Selection of “Study Group and Control Group”, Section 9107, “Adjusted Income and Determination of Rent”, Section 9108, “Overview of Rent and Subsidy Calculations”, Section 9109, “DCHA’s Housing Assistance Payment”, Section 9111, “Changes in Family Share and Housing Assistance Payment”, Section 9112, “Triennial Recertification of Income”, Section 9114, “Interim Recertifications”, Section 9116, “Family Moves”, and Section 9118, “Hardship Waiver Policy”.
Section 9100, Section 9101, Section 9107, Section 9108, Section 9109, Section 9111, Section 9112, Section 9114, Section 9116, and Section 9118 of Chapter 91, HOUSING CHOICE VOUCHER PROGRAM: RENT REFORM DEMONSTRATION PROGRAM, Title 14, HOUSING, of the DCMR is amended as follows:
CHAPTER 91 HOUSING CHOICE VOUCHER PROGRAM: RENT REFORM DEMONSTRATION PROGRAM
Secs.
9100 Program Purpose
9101 Selection of Study Group and Control Group
9102 Enrollment
9103 Annual Income
9104 Utility Payments and Reimbursements
9105 Applying Utility Allowances
9106 Utility Allowances
9107 Adjusted Income and Determination of Rent
9108 Overview of Rent and Subsidy Calculations
9109 DCHA’s Housing Assistance Payment
9110 Delayed Family Share at Initial Certification under the Rent Reform Demonstration
9111 Changes in Family Share and Housing Assistance Payment
9112 Triennial Recertification of Income
9113 Recertification Notice to the Family
9114 Interim Recertifications
9115 Assets
9116 Family Moves
9117 Portability Procedures
9118 Hardship Waiver Policy
9999 Definitions
Subsection 9100.1(d) is amended to read as follows and adds Subsection 9100.1(g):
9100 PROGRAM PURPOSE
9100.1 The United States Department of Housing and Urban Development (HUD) is conducting the Moving to Work (MTW) Housing Choice Voucher Program Rent Reform Demonstration program (Rent Reform Demonstration or Program), designed to implement and evaluate an alternative rent policy, implemented by several MTW agencies. DCHA has been selected to participate in the demonstration, and as such, shall modify its policies and rent calculations for a group of program participants (study group), and shall compare the results to a group of program participants who are assisted under the rent policies used for all other DCHA assisted households (control group). The HUD Rent Reform Demonstration Program is designed to implement and assess an alternative strategy to standard HUD operating rules for HCVP. The proposed alternative rent policies shall include the following five key features:
(d) Require that the family rent to owner is the greater of 28% of gross monthly income less any applicable utility allowance or at least the minimum rent of $75.
(g) Prior to issuing a recommendation for termination, DCHA will exercise its discretion on a case-by-case basis in issuing a recommendation for termination based solely on a study group Family’s failure to pay a new higher rent due to the program rent calculation.
Section 9101 is amended by adding subparagraph (k) to Subsection 9101.2:
9101 SELECTION OF STUDY GROUP AND CONTROL GROUP
9101.2 The following households shall be excluded from the study:
(a) Elderly as defined in this chapter
(b) Disabled
(c) Project Based Voucher
(d) VASH (Veteran’s Administration Supportive Vouchers) Voucher
(e) Enhanced Voucher
(f) Moderate Rehabilitation/Single Room Occupancy (SRO)
(g) Family Self-Sufficiency (FSS) program participants
(h) Households exercising the portability option
(i) Households who end participation in the program (either voluntarily or involuntarily)
(j) Mixed households of eligible and non-eligible household members
(k) Families currently receiving a child care deduction.
Subsection 9107.1 is amended to read as follows:
9107 ADJUSTED INCOME AND DETERMINATION OF RENT
9107.1 The alternative rent policy does not use adjusted income to calculate rent and Housing Assistance Payment (HAP); therefore there are no deductions or allowances applied to the gross income calculated in accordance with 14 DCMR Section 5306, and with the following exception.
Subsection 9108.1 is amended to read as follows:
9108 OVERVIEW OF RENT AND SUBSIDY CALCULATIONS
9108.1 In order to calculate family rent to owner for the Rent Reform Demonstration, DCHA shall calculate annual income and the TTP pursuant to Section 9107, but shall require the family rent to owner to be at least 28% of gross income less any applicable utility allowance, or the minimum rent of $75, whichever amount is greater.
Subsection 9109.1 is amended to read as follows:
9109 DCHA’S HOUSING ASSISTANCE PAYMENT
9109.1 DCHA shall pay a monthly HAP for a family that is equal to the lower of the applicable payment standard or the gross rent, minus the greater of the family’s TTP less any applicable utility allowance or the minimum rent of $75.
Section 9111’s title is amended to read as follows, and adds Subsection 9111.5 to read as follows:
9111 CHANGES IN FAMILY SHARE AND HOUSING ASSISTANCE PAYMENT
9111.5 If the removal of a household member from the family composition results in a reduction in income that cannot be feasibly replaced, that Household member’s income shall not be included in the retrospective income calculation at the interim recertification.
Subsection 9112.2 is amended to read as follows:
9112 TRIENNIAL RECERTIFICATION OF INCOME
9112.2 All triennial recertifications shall have an effective date of the first of the month that the family was initially recertified as part of the rent reform demonstration.
Subsection 9114.3(a) is amended to read as follows:
9114 INTERIM RECERTIFICATIONS
9114.3 Family’s may request and receive an interim reduction in rent when their family income decreases subject to the following conditions:
(a) Households may request an interim re-certification of their income. An interim shall be conducted only when a household has a reduction in income of more than 10% from the retrospective income used to calculate their TTP.
Subsection 9116.2 is amended to read as follows:
9116 FAMILY MOVES
9116.2 DCHA shall not approve requests to move a Family more than once in a twelve (12) month period unless one of the following exceptions applies:
(a) A victim or Family seeks to move under the protections enumerated in the VAWA;
(b) DCHA terminates the HAP contract with the owner;
(c) The move is necessary to grant a request for a reasonable accommodation;
(d) A transfer voucher is granted as part of a hardship waiver; or
(e) DCHA has determined, in its sole discretion that one or more of the following emergency situations apply:
(1) There is a credible threat of domestic violence or need for witness protection in connection with the Household that may be mitigated by a move;
(2) There are serious unresolved Housing Quality Standard landlord violations in the Participant Household's existing leased unit;
(3) Other emergency factors acceptable to DCHA have been identified by the Participant Household.
Subsections 9118.1, 9118.2, 9118.3, 9118.4, 9118.7, 9118.8 are amended to read as follows:
9118 HARDSHIP WAIVER POLICY
9118.1 A Family may request a Hardship waiver at any time if the family can demonstrate one of the following circumstances listed below. If the family receives a temporary TTP during the initial grace period, then the family may request a hardship waiver no more than thirty (30) days before the expiration of the initial grace period or thereafter.
(a) After the effective date of the TTP, the new TTP has put the Family at imminent risk of eviction as a result of non-payment of rent, and the hardship cannot be remedied by the one interim recertification permitted each year (which cannot reduce a household’s TTP below the minimum level);
(b) The Family is at an income level or experiences a loss of income and/or a TTP increase such that its total monthly TTP exceeds forty percent (40%) of its current monthly gross income. Any amount by which the gross rent exceeds the payment standard must be paid by the family and is not used in determining this forty percent (40%) rent burden. The gross income shall include imputed income in the same manner as current calculations;
(d) Loss of eligibility for a federal state, or local assistance program which reduces the Family income such that the total monthly TTP exceeds forty percent (40%) of its current monthly gross income;
(e) Temporary or permanent disability, incapacitation or illness, or death of a household member, which reduces the Family income such that the total monthly TTP exceeds forty percent (40%) of its current monthly gross income;
(f) Significant income loss because of other changed circumstances, including the loss of employment, reduction in work hours or pay, or loss of public benefits; or
(g) Other circumstances as determined by DCHA.
9118.2 The process for requesting a Hardship Waiver is as follows:
(a) The Head of Household may request a justifiable Hardship Waiver at any time during the Rent Reform Demonstration Program.
(b) The Head of Household must initiate a request for a Hardship Waiver by completing and submitting a written hardship request to the Housing Choice Voucher Program.
(c) The Head of Household may submit evidence to DCHA in support of the Hardship Waiver Request.
(d) The Head of Household must supply information and documentation that supports a hardship claim with their written request. For example, a household must provide proof of the following: loss of eligibility for a federal state, or local assistance program; loss of employment, reduction in work hours, or loss of federal, state or local assistance; or the temporary or permanent disability, incapacitation or illness, or death of a household member and amount of lost income.
(e) If the Head of Household claims zero household income as part of its hardship request, it must provide a detailed accounting of funds used to cover basic costs of living (food, personal/family care necessities, etc.).
(f) To receive a hardship based on the risk of eviction for non-payment of rent, a household must provide a copy of a rent ledger showing an accruing balance, a notice from the landlord, a thirty (30) day Notice to Vacate or Cure or a Summons and Complaint from the landlord for non-payment of rent or any other proof acceptable to DCHA.
(g) To receive hardship based on the risk of utility shut-off, a household must provide a copy of a shut-off notice, a recent bill from the utility company showing an accruing balance, a notice from the landlord, or any other proof acceptable to DCHA.
9118.3 The Hardship Review Process is as follows:
(a) The Head of Household may review and obtain a copy of the Family’s HCVP file and/or copies of documents or evidence that DCHA relies upon in making any Hardship determination.
(b) DCHA shall review the Hardship Request and any evidence submitted by the Head of Household in accordance with this section and provide written notice to the Head of Household within ten (10) business days of its decision to grant or deny the Hardship requests.
(c) DCHA shall review all information submitted by the Head of Household regarding the request for Hardship and document its decision in the Head of Household file.
(d) Where a Hardship Waiver is denied, the Head of Household may request an informal review of DCHA’s denial to the Director of the Housing Choice Voucher Program or his/her designee within thirty (30) days of the denial of the Hardship Request.
(e) If an Informal Review is timely requested, DCHA shall within thirty (30) days review the Hardship Request and any evidence submitted by the Head of Household and issue a written determination and the basis for the approval or denial of the Hardship Waiver.
(f) For hardship claims related to imminent risk of eviction or utility shut-off, DCHA shall conduct an expedited informal review.
9118.4 At the sole discretion of DCHA, the Hardship Remedies may include any of the following:
(a) Allowing an additional interim recertification beyond the normal one-per-year option. This could lower a household’s TTP, which includes lowering the minimum rent until the next triennial recertification;
(b) Setting the household’s TTP below the minimum, at twenty-eight percent (28%) of current income, for up to one hundred eighty (180) days;
(c) Offering a “transfer voucher” to support a move to a more affordable unit (including a unit with lower utility expenses); or
(d) Any combination of the above remedies.
9118.5 During the one hundred eighty (180) day period when the TTP is reduced, DCHA shall recalculate the subsidy payment based on the reduced TTP. DCHA shall notify the Landlord and the Head of Household of the change in subsidy payment.
9118.6 In addition to the remedy or remedies offered, the Head of Household may be referred to federal, state or local assistance programs to apply for assistance, or to obtain verification that they are ineligible to receive benefits.
9118.7 The Hardship remedies are subject to the following limitations:
(a) The new Family rent to owner shall be effective on the first (1st) of the month following the submission of an approved hardship request;
(b) Remedies shall not affect any rent attributable to a gross rent that exceeds the applicable payment standard;
(c) Opting out of the alternative rent policy is not a remedy option.
9118.8 Expiration of the Hardship Waiver Period:
(a) If after the one hundred eighty (180)-day Hardship period expires and the Family’s hardship continues, the Family may submit a request for an extension of the hardship remedy.
(b) The Family may within thirty (30) days before the expiration of the initial grace period or thereafter submit an additional hardship request.
(c) The Hardship Waiver shall never go past the triennial recertification date.
(d) At the end of the Hardship Waiver period, the household’s regular TTP shall be reinstated.
Interested persons are encouraged to submit comments regarding this Proposed Rulemaking to DCHA’s Office of General Counsel. Copies of this Proposed Rulemaking can be obtained at www.dcregs.gov, or by contacting Karen Harris at the Office of the General Counsel, 1133 North Capitol Street, NE, Suite 210, Washington, DC 20002-7599 or via telephone at (202) 535-2835. All communications on this subject matter must refer to the above referenced title and must include the phrase “Comment to Proposed Rulemaking” in the subject line. There are two methods of submitting Public Comments:
1. Submission of comments by mail: Comments may be submitted by mail to the Office of the General Counsel, 1133 North Capitol Street, NE, Suite 210, Washington, DC 20002-7599.
2. Electronic Submission of comments: Comments may be submitted electronically by submitting comments to Karen Harris at:
PublicationComments@dchousing.org.
3. No facsimile will be accepted.
Comments Due Date: October 20, 2014
