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HOUSING VOUCHER PROGRAMS - POLICY AND PROCEDURES MANUAL

CHAPTER XII. LANDLORD ISSUES

Section

Title
 

Introduction

Section A

Payee Registrations

  1. Registering for Electronic Funds Transfer (EFT)
  2. Completing the Payee Registration Packet (PRP)
  3. Types of Ownership
  4. Landlord Address Changes
  5. Submission of Payee Registration Forms

Section B

Proof of Property Ownership

  1. Acceptable Proof of Ownership
  2. Confirmation of Ownership
  3. Changes in Property Ownership
  4. Property Ownership not Verified

Section C

Change in Individual Ownership

Section D

Change in Management Company

  1. Required Documentation (if Owner SSN/FEIN is used)
  2. Required Documentation (if Management Company FEIN is used)

Section E

Foreclosures/Forfeitures of Property

  1. Foreclosure/Forfeiture of Land Contract
  2. Foreclosure/Forfeiture of Mortgage

Section F

Returned Warrants

Section G

Undeliverable Warrants

Section H

No Receipt of HAP

Section I

HAP Benefit Reduced by MAIN

Section J

Late Fees

  1. Landlord/MSHDA Late Fees
  2. Procedure to Request a Late Fee from MSHDA (MSHDA 70)
  3. Approval/Denial Procedure
  4. Payment Procedure

Section K

Owner Disapproval and Restriction

Section L

 Applicable Forms List


INTRODUCTION

This chapter contains uniform procedures regarding landlords who participate in the U.S. Department of Housing and Urban Development (HUD) Housing Choice Voucher (HCV) Program.

Section A:  Payee Registration

1.    Registering for Electronic Funds Transfers (EFT)
Housing Agents (HAs) should strongly encourage HCV landlords to maintain an account on the Contract and Payment Express (CP&E) website - www.cpexpress.state.mi.us.  An account will help reduce the time for issuing the landlord’s initial payments and allows the landlord to: A. Contract and Payment Express Account
The CP&E website has step-by-step instructions, which lead prospective landlords through the registration process.  If the prospective landlord has questions about registration for EFT, they can contact the EFT Coordinator at (517) 373-9344 or the Payee Registration unit at:
State of Michigan
Payee Registration
P.O. Box 30026
Lansing, Mi  48909

Payee Registration Helpline:  (517) 373-4111 or (888) 734-9749; Fax:  (517) 373-6458.
Office Hours:  Monday – Friday, 7:30 a.m. – 4:30 p.m.

Landlords (vendors) will receive an account password after completing the online registration.  This account allows them to update their account information online and review their payment history.

EFT Account Limit - EFT payments can only be sent to one bank account.  Landlords cannot setup EFT’s to multiple bank accounts and will only be able to register for EFT on one account.  Any other payments issued to the same Tax ID number must be issued as paper warrants, or be transferred (EFT) to the one bank account established for the payee’s Tax ID number.

B. Electronic Funds Transfer Documentation
EFT payments do not receive a paper detail breakdown of the payment.  If a landlord has questions regarding payments, they should be referred to their “contractor and payment express” account.  MSHDA does not have access to a comprehensive breakdown of payment details, account numbers, or the name of the landlord’s financial institution.  Refer the landlord to the Payee Registration unit for details on the routing and account numbers.  Landlords can also request a paper detail from their financial institution, usually at a cost.

2.      Completing the Payee Registration Packet (PRP)
All landlords who wish to participate in the HUD HCV Program must register on the Michigan Administrative Information Network (MAIN).  To register via paper documents, the Payee Registration Unit requires a W-9 form to be completed.  In conjunction with the W-9, MSHDA requires the MSHDA-219 in order to register a landlord for participation in the Housing Choice Voucher (HCV) programs. 
Items to note regarding the PRP:

  • The MSHDA 219 and W-9 addresses do not need to match.
  • The MSHDA 219 information is used to enter a mailing address and contact information into Elite.
  • Landlord must provide a valid street address to register for payments.
  • Both forms require the landlord’s signature.
  • MAIN utilizes the W-9 mailing address to issue the 1099.
  • The Internal Revenue Service (IRS) requires MAIN to have a W-9 on file for all vendors (landlords) to which the State issues payment.
  • All PRPs/Form W-9s require the signature and date of the individual owner or official of the corporation (including title).
  • The tax identification number on the W-9 must match the IRS record for the registered landlord’s name.
  • If the landlord’s name and tax identification number do not match the IRS records, the Payee Registration unit will issue a B-Notice (form identifying discrepancy) which could result in backup withholding being deducted from a landlord’s rental payment if the discrepancy is not corrected or addressed.
NOTE:  The W-9 is not required if the Landlord registers through an online account.

If the landlord is not on MAIN, or has a different name/Social Security Number (SSN) or Federal Employer Identification Number (FEIN)/mailing address, the landlord must provide documentation as follows: 

    A.     PRP Form completion
    The landlord must complete all boxes on each form.  If the payee uses a Social Security number, an individual’s name must be identified in the “Name of Owner” box on the MSHDA 219 and on the first line of the Form W-9.  For joint owners, write the second individual’s (or if issuing the HAP in care of) name on the first line of the “Mailing Address.” Enter the actual mailing address on the MSHDA 219.  On the W-9 enter (and circle) the name of the individual whose SSN is identified on the MSHDA 219.  Write the second owner’s name on the second line (if joint).  Indicate the proper type of ownership (i.e. individual, partnership, or corporation) on both forms.

    Providing a Valid Street Address
    Landlords must provide and maintain a valid street address on file in order to participate with the HCV programs.  The may provide a P.O. Box as the remittance address for payments and correspondence for the HCV programs as long a valid street address is also maintained on file.

3.      Types of Ownership

A.   Individual Ownership Versus Partnership
For IRS purposes, the definition of Partnership does not include a husband and wife unless the couple provides a Federal Employer Identification Number (FEIN).  Partnerships require a FEIN whose configuration is:  00-0000000.

B.   Corporation
All Payee’s which register as a Corporation require the use of a FEIN.  A Corporation cannot use a SSN.  Any PRP’s /Form W-9s indicating a business type of Corporation with a SSN (000-00-0000) must be corrected by the landlord prior to submission.  Incorrect forms will be returned to the landlords by the Payee Registration unit.

C.   Foreign Ownership
Although rare, if a foreign owner has a Social Security number, they must complete a W-9.  If they do not have a Social Security number, a Form W-8 (obtainable at any IRS office or we can supply) is required.  The Payee Registration Unit will assign the foreign owner with a “dummy Tax ID #” for MSHDA to use in Elite and MAIN.  The Departmental Tech (DT) will enter the foreign owner using their Social Security number or the dummy Tax ID# supplied by MAIN.

4.      Landlord Address Change
To process an address change, the landlord/owner must complete one of the following:
  • A new PRP / Form W-9; or
  • A signed and dated letter, containing old and new addresses, tax identification number, and names of all current residents; or
  • The applicable sections of the Annual Re-examination Notice (ARN) (MSHDA 52).  The Housing Agent (HA) must notify the assigned DT of the change with a copy of ARN prior to submitting annual re-examination paperwork. NOTE:  The above document (ARN) must be identified as a landlord address change.

In order to issue payments, a landlord’s information must be entered into Elite with a valid mail code and they must be registered on MAIN.  Refer to the Elite user guides for details on Elite entry.

5.   Submission of Payee Registration Forms
The HA submits the PRP/Form W-9 or change of mailing address to Payee Registration and forwards a copy to the DT for the central office file:  

  • Facsimile (FAX) preceded by an e-mail advising that the PRP/Form W-9 or address change is being sent.  Send original PRP/Form W-9 or address change documentation.  MAIN requires an original PRP/Form W-9 be on file, or a signed document from the owner to change address; or
  • Regular United States Mail or other carrier.  Staple Form W-9 on top of the MSHDA 219 and provide one photocopy or documentation identifying the address change.

The HA enters the PRP/W-9 information into Elite, Entity Management, and attaches the HAP Payee to the Unit under the HAP Payee/Owner entry tab of the HCV – Unit Entry module.  If the mail code is unknown, use 888 to complete the Entity Management entry.


Section B:  Proof of Property Ownership
It is required that all landlords of single family dwellings, duplexes, or apartment complexes with four units (4) or less in the same building are required to provide proof of ownership of the property to which a Housing Assistance Payment (HAP) is assigned.  Property ownership verification must be executed prior to a new HAP contract being executed at Initials, at ownership changes, or when a tenant moves.   All property owners who had units under contract prior to October 1, 2004 are exempt from this requirement for those units.

1.     Acceptable Proof of Ownership
The acceptable proof of property ownership hierarchy is:

a.   A title insurance policy for the property that shows the landlord as the owner of the property,
b.   Title Commitment or Title Search,
c.   Copy of a recorded warranty deed,
d.   Proof from a county or city Register of Deeds or Property Assessment website. website. Note: In some instances, it will be possible to ascertain proof of property ownership via the County or City’s website where the property is located. Property look-up services provided on-line vary with each government jurisdiction. For example, the Washtenaw County Register of Deeds allows free access to property tax information, while in Wayne County you must establish a business account and pay for all services on an individual basis. (The onus for providing this proof rests with the owner, not MSHDA nor the HA.) 


2.      Confirmation of Ownership
At the time that an applicant is seeking housing, the Rental Unit Information (MSHDA 51b) form must be completed and include proof of ownership information attached. The property owner/landlord must provide the documentation required for proof of ownership and return the documentation to the assigned HA.

To confirm ownership for one to four (1-4) Unit Properties: Landlords may submit a title insurance policy, title commitment or title search showing the landlord as owner. The owner of the property will be described in Schedule A, No. 3 as having a "Free Simple Interest." Ownership must be confirmed for new admissions to the program for properties with one to four units.

In the absence of a title insurance policy, title commitment, or title search; landlords must submit a completed and notarized Owner Certification of Property Ownership (MSHDA 422) plus two of the following documents:

  1. Property tax bill;
  2. Property insurance bill;
  3. Warranty deed;
  4. Copy of current mortgage statement for the property.

As long as the tenant continues to reside in that unit, re-verification of property ownership is unnecessary. If at re-examination if is noted that only a Certification of Property Ownership (MSHDA 422) is in the file, the HA must verify property ownership and submit appropriate documentation with the re-examination transaction.

Note: If an authorized representative certifies ownership of a property on behalf of an owner, the Authorized Representative Certification of Property Ownership (MSHDA 423) must be used.

If there are five (5) or more units in the property: The owner/landlord must complete a MSHDA 51b for each assisted unit. However, proof of property ownership is not required.

3.      Changes in Property Ownership
At the time that a change in property ownership occurs, new verification of property ownership must be obtained.  Follow procedures in Section C Chapter XII, Change in Individual Ownership

4.      Property Ownership Not Verified
A HAP Contract cannot be executed in cases where the property ownership cannot be verified. HA who are authorized to approve transactions must verify property ownership before approving a move in transaction.

For paperwork submitted to the central offices, if appropriate verification is not received by the Departmental Technician (DT), the DT will contact the HA and allow ten days for paperwork to be submitted.  Cases lacking proof of property ownership cannot be approved.  If documentation is not received within the ten days, then the case will be sent back to the HA.  NOTE:  A faxed copy followed by the original document will be acceptable.

Section C:  Change in Individual Ownership
Changes in ownership occur when the individual, corporation, or partnership sells or transfers the property to another entity.  If the new owner is not in Elite, a new PRP/W-9 must be obtained and forwarded to the Payee Registration unit.  If this change affects multiple residents serviced by multiple HA, then forward a copy to the other affected HA to update all units changing ownership.  A change in ownership does not require execution of a new contract/lease.

Required Documentation
When a change of ownership occurs, the HA must obtain a completed Assignment of Housing Assistance Payments Contract and Lease (MSHDA 411) signed by both the former and new landlords.  The MSHDA 411 must identify all residents or a list of affected residents to be included with the MSHDA 411 and have an effective date for payments to change payees.  The MSHDA 411 should be accompanied by one of the following legal documents:  

  • Bill of Sale; or
  • Warranty Deed/Quit Claim Deed; or
  • Land Contract; or
  • Other Legal Document.
NOTE:  If one of the parties does not sign the MSHDA 411, MSHDA must receive one of the legal documents.

Documentation for other circumstances which change ownership includes:
  • Landlord Death – A copy of the court order appointing a Personal Representative if the landlord died “Intestate.” The Personal Representative is normally required to obtain a FEIN from the IRS.
  • Surviving Spouse – A copy of the death certificate and proof of joint ownership of property (i.e. current property tax statement or deed to property).
  • Not survived by spouse – A copy of the death certificate and a copy of the landlord’s Last Will and Testament.
  • Divorce – Copy of court order transferring property.
The effective date of the change of ownership in Elite should be the first day of the month following the transfer of property unless the MSHDA 411 states another effective date.  The HA must process an Interim Re-examination in Elite to identify the date of the ownership transfer.  Also review a HAP register by HAP Payee report to determine if other active residents are affected by the ownership change (if the change involves more than one HA, the originating HA should advise the other agents of the change).  If there are multiple residents, Elite requires an Interim Re-examination entry for each tenant to correct the owner.

If the new landlord has an outstanding account balance due MSHDA, Elite will automatically deduct the balance from future payments issued to the landlord.

NOTE: The PHA may deny approval of Assignment of the HAP Contract for any of the reasons identified in Section K, Chapter XII.

Section D:  Change in Management Company

1.      Required Documentation (if owner’s SSN/FEIN is used)
If an owner hires a management company, and uses his/her/its own SSN/FEIN, handle as an address change.  Obtain:

  • A signed and dated letter from the owner identifying the new management company; and
  • A MSHDA 219 providing the mailing address of the management company for HAPs. When the DT enters the change, Elite automatically updates the new information to individual tenant records.
  • If the new landlord displays has an outstanding balance due, Elite will automatically deduct the debt from future payments to the landlord.

2.      Required Documentation (if Management Company FEIN is used)
The owner’s SSN/FEIN is preferred; however, if an owner hires a management company that uses the management company’s own FEIN and issues a 1099 to the landlord at the end of the year, process the change as an ownership change and obtain a MSHDA 411 transferring assignment of the HAP to the management company (ies).  

  • The former management company signs assignment. 
  • The new management company signs acceptance (OR owner signs if using owner TAX ID number).
  • New management company transfer verification would include a copy of the tenant notification letter identifying the management company change.
  • The HA processes an Interim Re-examination in Elite, enters the new HAP payee Tax ID number, and submits the change for authorization.
Section E:  Foreclosures/Forfeitures of Property

1.      Foreclosure/Forfeiture of Land Contract
Forfeiture of a land contract occurs when the land contract buyer (the HCV Existing landlord) defaults on the land contract, usually because they did not make payments.  The land contract seller has the right under the land contract agreement to go to court and have his property restored.  Until the court issues a writ of restitution, the land contract buyer is entitled to receive HAP payments. When the HA becomes aware of a land contract forfeiture situation affecting an assisted unit, the HA must:

  • Obtain a copy of the Judgment of Forfeiture and forward it to the assigned RS/RM, who will forward the information to MSHDA’s legal affairs;
  • Obtain a copy of the Writ of Restitution and forward it to the assigned RS/RM, who will forward the information to MSHDA’s legal affairs;
  • Determine whether or not the land contract seller desires to take an assignment of the HAP contract, enter into a new HAP contract, or terminate the current contract;
  • When the court reaches a decision, the HA advises the RM and Legal Affairs;
  • Legal Affairs issues a memo to the appropriate RM and HA advising whether the documentation is in order and the HA can proceed with an Assignment of HAP Contract, execute a new HAP contract, or terminate the current HAP contract;
  • If the land contract seller does not wish to take an assignment of the HAP contract, the HA must inform the tenant immediately via certified mail that he/she will be required to move in order to continue to receive assistance.  The tenant has 60 days in which to find an acceptable unit and move.  The current HAP contract must be terminated when the tenant relocates.

2.      Foreclosure/Forfeiture of Mortgage
Judicial Foreclosure – applies when a judge issues an order to sell the property at a sheriff’s sale usually because land contract or mortgage payments have not been made.

Foreclosure by Advertisement – allows the mortgagee to sell the property at a sheriff’s sale by advertising the foreclosure in a newspaper. 

Under certain circumstances, a receiver may be appointed to take over the property or rents may be assigned to the mortgagee (generally occurs with large apartment complexes).

When a HA becomes aware of a foreclosure which affects an assisted unit, the HA must:

  • Obtain copies of:
    • Mortgages; or
    • Court order appointing receiver (if applicable); or
    • Notice of default upon the occupiers of property (residents) for assignment of rents (if applicable); or
    • Sheriff’s deed conveying property at sheriff’s sale; or
    • Deed in lieu of foreclosure given by defaulting party to the mortgagee.
  • Determine whether or not the mortgagee desires to take an assignment of the HAP contract, enter into a new HAP contract, or terminate the HAP contract;
  • Forward copies of all documents to the assigned RS/RM, who will forward the information to MSHDA’s legal affairs for review along with the mortgagee’s decision (if one has been reached).
Legal Affairs issues a memo to the appropriate RM, RS, and HA advising that documentation is in order and the HA can prepare an Assignment of HAP Contract, execute a new HAP contract, or terminate the current contract.

If the mortgagee does not wish to take an assignment of the HAP Contract or enter into a new HAP Contract, the HA must inform the tenant immediately via certified mail that they will be required to move in order to continue to receive assistance.  The tenant has 60 days to find an acceptable unit to move.  The current HAP Contract terminates when the tenant relocates or 60 days from change in ownership, whichever occurs first.

Section F:  Returned Warrants
Returned warrants (State checks) are payments returned to MSHDA’s Existing Housing programs (generally by the landlord because the tenant has moved).  The landlord may return the warrant to the HA or directly to MSHDA.

If the landlord returns the warrant to the HA:
  • The HA must forward the warrant to the Accounts Receivable Technician (ART) with an explanation why the warrant has been returned.  Simultaneously, the HA forwards the proper paperwork to the ART (address correction).  If a cancellation or late landlord change is required these transactions may be sent with other transaction of this type into the general transaction pool.
If the landlord returns the warrant directly to MSHDA:  
  • The ART e-mails the HA informing them the warrant has been returned.
  • The HA must determine the next action to take (i.e. landlord change, contract termination, etc), enter the transaction in Elite and submit the proper paperwork to the ART.
G:  Undeliverable Warrants
Undeliverable warrants are payments returned directly to Treasury for several reasons.  Treasury identifies the warrant as undeliverable, and forwards only the warrant stub to MSHDA’s Existing Housing programs.  The ART e-mails the HA to inform them of the undeliverable warrant. 

ART files the undeliverable warrants in the file or forwards the transaction to the HA (if files are maintained by the HA).  
  • The HA contacts the landlord/tenant to obtain the correct mailing address or cancels the assistance, if necessary.
    • If multiple undeliverable warrants have been returned on an individual residents’ record, the ART enters an exclusion to stop further payments from being issued by Elite until the problem is resolved.
    • Once correction is complete, the ART completes the necessary steps in Elite (i.e. change address or cancel) and processes a manual adjustment to reissue the warrant and rescinds the exclusion, if necessary.
Section H:  No Receipt of HAP
Initiate the following procedure when the landlord/tenant contacts the HA or MSHDA to inquire why payment has not been received:

1.      Review Elite, Resident Processing, HAP register to determine if payment was issued. 

        NOTE:  Check the cut-off schedule for the date warrants were mailed.

2.      If Elite indicates payment was issued, the HA/DT reviews MAIN for the specific payment information.

3.      Look up the Payment Number (Payments starting with “0” are EFT’s), Issuance Date, payment address, and payment status.

    a.      If warrant is not cashed, notify the payee and determine if the payment was sent to the proper address.  DT should notify the HA of the address where the warrant was issued.

      • If the landlord wishes to place a stop payment on the warrant, refer the landlord to the Warrant Coordinator (WC) for further processing.  Refer to the Policy Procedure Manual, Chapter XIX: Operations for more information and instructions regarding stopped warrants.

    b.      If the warrant has been cashed, notify the payee of the payment’s status.  The payee may want a copy of the cashed warrant or pursue suspected forgery.  Refer to the Policy Procedure Manual,Chapter XIX: Operations for more information and instructions. 

Section I:  HAP Benefit Reduced by MAIN
If a landlord notifies the HA or MSHDA that they did not receive a full HAP:
  • Review Elite to verify full HAP was issued.
    • If Elite identifies an adjustment to the HAP payment, check the closed manual adjustments or paper file to help identify why the landlord’s payment was adjusted.  Negative adjustments are identified as separate line items on landlord’s payments.
    • If Elite identifies the full HAP payment was paid, review MAIN to verify if the full HAP was issued.
        • If the full HAP was not paid, check the backup indicator field in MAIN (ADPICS).  If the backup indicator field is “Yes”, refer the landlord to the Payee Registration “Help Line” (517-373-4111) to clarify and correct the discrepancy
Section J:  Late Fees
1.      Landlord/MSHDA Late Fees
  • MSHDA must pay (approved) late payments out of its administrative fees.
  • The HAP Contract (HUD 52641) identifies that the landlord is entitled (under certain circumstances) to a MSHDA-paid late fee.
  • MSHDA established a maximum late fee amount of $25 in accordance with generally accepted practices in the Michigan housing market.
  • The MSHDA-paid late fee amount equals the tenant late fee amount identified in the Lease or $25, whichever is less.
  • For the initial Contract period, MSHDA must pay the HAP no later than 60 days after the Contract effective date; unless the landlord causes the delay.
  • Subsequent MSHDA payments must be generated by Treasury (versus mailed or received) on or before the fifth (5th) business day of the month.
  • MSHDA payments are not considered late if:
  • They were generated by Treasury (versus mailed or received) before the fifth (5th) business day of the month; or
  • The delay occurs due to factors beyond MSHDA’s control (i.e. Elite computer problems, MAIN problems, incorrect Post Office delivery); or
  • The delay occurs due to the landlord’s breach of the Contract (i.e. overpayment recovery, HQS abatement, cancellation); or
  • The Landlord does not charge (and collect) a late fee (identified in the executed Lease) to assisted or unassisted residents for late tenant rent payments. 

2.      Procedure to Request a Late Fee From MSHDA (MSHDA 70)

  • The landlord must make a written or verbal late fee request to the HA within 30 days of the late MSHDA payment date.
  • The HA completes the ‘complete and return by’ date (14 days) and Part A (MSHDA use only section) of the Landlord Late Fee Request Form, and mails the form to the Landlord.
  • On the form, the Landlord identifies the applicable tenant and late month.
  • The landlord certifies that the late fees apply to, and are collected from, assisted or unassisted residents when the tenant rent portion is late.
  • The landlord must return the completed MSHDA 70 form to the HA by the 14-day deadline.

3.      Approval/Denial Procedure

  • Upon receipt of the MSHDA 70, the HA reviews the lease to verify a tenant late fee provision exists.
  • If the request is acceptable, the HA completes Section B of the form and forwards all copies of the form to the assigned RM within five (5) days.
  • The RM completes Part C of the form and forwards all copies of the form to the Existing Housing Operations Secretary for processing of the landlord’s payment within seven (7) business days.
  • If the request is denied, the RM forwards a copy of the MSHDA 70 (with Part C highlighted) to the landlord providing written verification of the denial and informs the HA of the denial via e-mail.
  • Regional Managers will monitor the frequency and reasons for approved late fee requests.  Repeated late approval requests for unacceptable reasons will require further investigation by the RM.

4.      Payment Procedure

  • The Operations Secretary (OS) processes a manual adjustment within seven business days and identifies the payment as administrative fees account code (070-910-007) on the adjustment.
  • The OS completes Part D of the request form and sends one copy to the resident file and one copy back to the HA to confirm that the payment voucher has been processed.
  • The landlord can normally expect to receive the late fee payment within seven (7) business days of the payment check request date.
Section K.  Owner Disapproval and Restriction
When this action occurs, the owner does not have a right to participate in the program.  MSHDA disapproves owners for the following reasons:  
  • HUD informs MSHDA that the owner has been disbarred, suspended or subject to a limited denial of participation under 24 CFR Part 24.
  • HUD informs MSHDA that the federal government has instituted an administrative or judicial action against the owner for violation of the Fair Housing Act or other federal equal opportunity requirements and such action is pending.
  • HUD informs MSHDA that a court or administrative agency has determined that the owner has violated the Fair Housing Act or other federal equal opportunity requirements.
  • Unless their lease was effective prior to June 17, 1998 (and the family has not moved), the owner cannot be a parent, child, grandparent, grandchild, sister, or brother of any family member.  MSHDA may waive this restriction as a reasonable accommodation for a family member who has a disability.
  • The owner has violated obligations under a HAP contract under Section 8 of the 1937 Act (U.S.C.1437f).
  • The owner has committed fraud, bribery, or any other corrupt acts in connection with any federal housing program.
  • The owner has engaged in drug-related criminal activity or any other violent criminal activity.
  • The owner has a history or repeated practice of non-compliance with HQS for units leased under tenant-based programs or with applicable housing standards for units leased with project-based Section 8 assistance or under any other federal housing program.
  • The owner has a history or repeated practice of renting units that fail to meet State or local housing codes.
  • The owner has a history or practice of failing to terminate tenancy of residents of units assisted under Section 8 or any other federally assisted housing program for activity by the tenant, any member of the household, a guest or other person under the control of any member of the household that:
      • Threatens the right to peaceful enjoyment of the premises by other residents; or
      • Threatens the health or safety of other residents, of agents of MSHDA, or of owner employees or other persons engaged in management of the housing; or
      • Threatens the health or safety of, or the right to peaceful enjoyment of their residences, by persons residing in the immediate vicinity of the premises; or
      • Performs drug-related criminal activity or violent criminal activity.
  • The owner has not paid State or local real estate taxes, fines or assessments.
  • The owner has failed to comply with regulations, the mortgage or note, or the regulatory agreement for projects with mortgages insured by HUD loans or loans made by HUD.

If an owner has committed fraud or abuse or is guilty of frequent or serious contract violations, MSHDA may restrict the owner from future participation in the program for a period of time commensurate with the seriousness of the offense.  MSHDA may also terminate some or all of the contracts with the owner.  Before imposing any penalty against an owner, MSHDA reviews all relevant factors pertaining to the case, and considers such factors as the owner’s record of compliance, the number of violations, and the age of such violations.

Section L:  Applicable Forms List

Form W-8

Internal Revenue Service Form for Foreign Landlords

Form W-9

Internal Revenue Service Form

MSHDA 51b

Rental Unit Information

MSHDA 70

Landlord Late Fee Payment Request

MSHDA 219

Payee Registration

MSHDA 411

Assignment of Housing Assistance Payments Contract and Lease

HUD 52641

HAP Contract

MSHDA 422

Owner Certification of Property Ownership

MSHDA 423

Authorized Representative Certification of Property Ownership

 

(June 2006)