Section 8 Basics – Part 1

Section 8 Basics – Part 1

The Housing Choice Voucher Program (HCVP) or as more commonly known, Section 8, is funded by the U.S. Department of Housing and Urban Development (HUD) and serves as the federal government’s largest low-income housing assistance program. Section 8 refers to the section of the U.S. Housing Act that authorized rental housing assistance.

Section 8 is a tenant based rental assistance program for low income families, the elderly, and the disabled to choose and lease safe, sanitary, decent, affordable housing in the private rental market. Section 8 housing vouchers issued to “approved families” help pay the cost of rental housing on the open market.

The housing voucher program seeks to (1) provide better living conditions at affordable rent payments for low-income families, (2) provide freedom of choice in selecting rental units from the open market, and (3) provide incentives to landlords and property owners to rent to voucher approved families.

The HCVP program is administered at the federal level by HUD. At the local level, the program is administered by numerous state, regional, and local housing agencies, known collectively as Public Housing Agencies (PHAs). While many of these public housing agencies are independent public authorities, other agencies are under the direction of elected city, county or state governmental officials.

Landlords and low income families must choose to participate in the Section 8 program and follow program guidelines and requirements. Rental units must meet HUD quality standards of health and safety. If the selected rental unit is approved, the housing subsidy is paid directly to the landlord by the local PHA who administers Section 8 funding on behalf of the participating family. The family is responsible to pay any difference between the actual rent charged by the landlord and the amount subsidized by the Section 8 program. HCVP families normally pay no more than 30% of their monthly-adjusted income towards the rent and utilities.

Once family eligibility has been established, the family is placed on a waiting list of approved families and will be notified if a voucher becomes available. Once a housing voucher has been issued, the family usually has sixty days to use the
voucher to locate and select a qualified rental unit.

Applications to the housing program may be denied by the local agency for various reasons. Families receive written notification of denial and have an opportunity to present their objections to the eligibility decision. A formal review process determines the final eligibility status.

Eligibility and approval do not guarantee funding assistance. There is no automatic entitlement benefit. Program funding limitations govern the number of available housing vouchers. Waiting lists for housing assistance are usually long with no certain date for issuance. In some areas, because of the size of the waiting list, the list has been closed to new applicants. The number of eligible families that eventually receive housing vouchers varies by region but in general, one out of four families may be served by housing assistance.

There are several key checkpoints in the voucher process. Approved families must

  1. Receive the voucher,
  2. Conduct a housing search,
  3. Have the selected rental unit pass HUD quality standards,
  4. Have the rental amount meet the rent reasonableness determination,
  5. Have the participating landlord sign a contract with the local housing agency,
  6. Sign a lease agreement with the participating landlord, and
  7. Comply with all PHA requirements to allow the housing assistance payments to begin.

The participating family is responsible for their share of the rent per the lease agreement and for the security deposit as required by the landlord.

Once the rental unit has been selected by the participating family and the owner/landlord has agreed to rent the unit in accordance to Section 8 rules and regulation, a document, known as the “Request For Tenancy Approval” (RFTA) must
be completed by the landlord and submitted by the participant family to the local public housing agency for processing. The RFTA information will help determine the eligibility of the family for the selected unit.

Upon receipt of the RFTA, a Housing Quality Standards (HQS) inspection is conducted on the rental unit by the local PHA to ensure the unit meets HUD quality standards of decent, safe, and sanitary housing and whether the monthly rent
amount is reasonable and consistent with market rents for similar units in the area.

The landlord and the participant family receive move-in approval once the rental unit has successfully passed inspection. Should the selected rental unit fail to meet HQS, the landlord is notified in writing, is given a timeframe for completion of needed repairs, and is allowed an opportunity to correct the deficiencies and have the rental unit re-inspected The unit is re-inspected and approval given if the unit passes inspection. If the unit fails inspection for the second time, the family will be asked to locate a different rental unit.

If the unit meets these housing quality conditions, the local housing agency enters into a one year contract with the participating landlord for direct payment of the monthly housing subsidy. The participating family and the participating landlord enter into a written lease agreement for one year for the family’s rental of the selected unit.

HUD Housing Quality Standard inspection items include:

  • There cannot be any chipping or peeling paint anywhere on the inside of the unit.
  • There cannot be any chipping or peeling paint located five feet and under on the exterior of the unit.
  • Cooking stove must be clean and in working order. (Either the tenant or the owner must provide).
  • Refrigerator must be clean and in working condition. (Either the tenant or the owner must provide).
  • There must be an installed heating system that works.
  • There must be hot and cold running water in the bathroom.
  • There must be hot and cold running water in the kitchen.
  • There must be a shower or bathtub that works.
  • There must be a flush toilet that works and does not leak.
  • Bathrooms must have either a window to the outside OR an exhaust fan.
  • There must not be any plumbing leaks.
  • There must not be any plugged drains. (Check for slow drains).
  • All ground floor windows must have attached locks and exterior doors must have locks including working deadbolts.
  • All electrical outlets must have cover plates and be in good condition.
  • There must not be any missing, broken, or cracked windows.
  • The roof must not leak. (Check the ceiling for stains).
  • The hot water heater tank MUST have a temperature pressure relief valve with a downward discharge pipe made of galvanized steel or copper tubing that is 3 feet long (NO PVC).
  • An earthquake strap is required for all hot water heaters.
  • There must be GFI outlets around all sinks.
  • The floor covering cannot be torn or have holes that can cause someone to trip.
  • If there are stairs and railings, they must be secure.
  • Working smoke detectors are required in every unit and on every level.
  • The contract rent must be reasonable, based on the rent of comparable units in the neighborhood.

The lease/rental agreement and HAP contract are effective the day the unit passes inspection and the family takes possession of the rental unit.

Additional discussion will be provided in “Section 8 Basics – Part 2.”

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