Out of Compliance
A unit will be considered out of compliance if the annual recertification was not performed, or the annual recertification was performed late and after notification of a state agency compliance review.
Example 1: Annual Recertification Was Not Performed
Household was initially qualified and properly certified at move-in. However, it has been more than 12 months from the previous recertification and there is no recertification on file. This unit is out of compliance as of the date the recertification is due.
Example 2: Insufficient Documentation of Eligibility at Recertification
Household was initially qualified and properly certified at move-in; however, recertification was not properly documented and the state agency cannot reasonably determine the household’s continuing eligibility. The following are possible documentation noncompliance issues:
a. Application/questionnaire is not sufficiently detailed to disclose all sources of income and/or assets;
Not all sources of income are verified;
Not all sources of assets are verified;
Verifications are insufficient;
Not all adult household members’ incomes and/or assets
are disclosed and/or included; Tenant income certification form is not prepared, signed and/or dated; and . Other state-required forms designed to document
compliance with IRC §42 are not in file.
Back in Compliance
Owners may use the following methods to self-correct noncompliance. Evidence of corrected noncompliance may include a copy of the full recertification, including application, verifications, and/or tenant income recertification. Owners must submit copies of the documents required by the monitoring agency.
A recertification can be performed using current income and asset sources and current income limits. If there is no resulting noncompliance (e.g., violation of the Available Unit Rule), the unit would be out of compliance on the date the recertification was due and back in compliance on the date the tenant signs the recertification.
A retroactive recertification can be performed which completely and clearly documents the sources of income and assets that were in place at the time the recertification should have been completed and applies income limits that were in effect on that date. If there is no resulting noncompliance (e.g., violation of the Available Unit Rule), the unit would be out of compliance on the date the recertification was due, and back in compliance on the date the tenant signs the recertification.
Revised October 2009