Documentation Client files, Income Calculations, Landlord documents 10.2.09

1. DocumentationClient files, Income Calculations, Landlord documents10.2.09

2. Tab 1: Case management documents

3. Tab 2: HPRP Eligibility If provided with financial assistance through HRPR must have at least initial consultation with case manager to determine appropriate assistance Household must be at or below 50% of Area Median Income (AMI) Household must be either homeless or at risk of losing its housing, must meet both of following conditions: • No appropriate subsequent housing options have been identified • Household lacks the financial resources and support networks needed to obtain immediate housing or remain in its existing housing

4. Tab 2: Eligibility- Documenting Need PREVENTION For persons housed, but with a very high risk of becoming homeless Case Manager responsible for verifying and documenting the individuals’ risk of homelessness Must evaluate and recertify eligibility at least once every 3 months to assess a household’s need and appropriateness for HPRP *Would this individual or family be homeless but for this assistance?

5. Tab 2: Documentation -prevention

6. Tab 2: DOCUMENTION - rapid re-housing/ diversion Complete homeless documentation form. Attach 3rd party documentation when possible. Must meet HUD’s definition of one of the following: • Sleeping in emergency shelter • Sleeping in place not meant for human habitation, cars, parks, abandoned buildings, streets/sidewalks • Staying in a hospital or other institution for up to 180 day but was sleeping in an emergency shelter or other place not meant for human habitation (cards parks, streets, etc,) immediately prior to entry into the hospital or institution • Graduating from, or timing out of a transitional housing program; • Victims of domestic violence

7. TAB 3: ELIGIBILITY-INCOME AGENDA Income Verification Basics Income Verification Forms Q & A

8. Tab 3: eligibility- income (definition) Annual income definition may be found at 24 CFR Part 5.609. Part 5 Definition: “Annual income ins the gross amount of income from all adult household members that is anticipated to be received during the coming 12-month period.”

9. Tab 3: eligibility- income (basics) All households must be income eligible to receive assistance. Each applicant must receive an initial income verification. Following initial verification, income must be re-verified every 3 months.

10. Tab 3: eligibility- income (basics) The following are examples of information to keep in the client file: All sources of income (Wages, Social Security, Child support, etc.) Income/Rent Utilities Worksheet Supporting Documentation (Employee wage verification, Social Security benefit statement, etc.)

11. Tab 3: eligibility- income (basics) Whose income should I include? Adults • Annual income of any adult member of the family • Persons under the age of 18, who have entered into a lease are treated as adults by state law and their annual income must also be counted Minor Children • Benefits or other unearned income of minors is counted, this includes child support, Social Security and other benefits paid on behalf of the minor

12. Tab 3: eligibility- income (basics) Whose income should I include? Temporarily absent family members • The full income from an absent family member is counted regardless of the amount that the member contributes to the household. Adult students living in the home or away from the home • If the adult student is counted as a member of the household when determining household size, the first $480 of the student’s income must be counted in the family’s income. • If the student is the head, co-head or spouse, the full amount of income must be counted.

13. Tab 3: eligibility- income (basics) Whose income should I include? Regular Cash Contribution and gifts • Count income received on a regular basis, example • Rent and utility payments paid on behalf of the family Welfare Rent as Income • Actual gross amount of Welfare assistance is counted Military Income • All regular pay, special pay and allowances of a member of the Armed Forces must be counted • Exception: Special pay to a family member serving in the Armed Forces who is exposed to hostile fire.

14. Tab 3: eligibility- income (basics) Whose income should I exclude? Income of live-in aides • The income of a live-in aide, regardless of the source, is not counted • Exception: A spouse or minor child cannot be considered a live-in aide. Earned income of minors • Earned income of minors 17 and under is not counted.

15. Tab 3: eligibility- income (basics) What information is needed for Income Verification? Employment verification from employers Copies of bank statements Verification of Assets Verification forms for all other sources of income (see forms)

16. Tab 3: eligibility- income (basics) Asset Inclusions Cash held in savings accounts, checking accounts, safe deposit boxes, homes, etc. Cash value of revocable trusts available to the applicant Equity in rental property or other capital investments Cash value of stocks, bonds, Treasury bills, certificates of deposit, mutual funds and money market accounts

17. Tab 3: eligibility- income (basics) Asset Inclusions Individual retirement, 401 (K) and Keogh accounts (even though withdraw would incur a penalty) Personal Property held as an investment such as gems, jewelry, coin collections, antique cars, etc. Lump sum or one-time receipts, such as inheritances, capital gains, lottery winnings, victim’s restitution, insurance settlements and other amounts not intended as periodic payments. Mortgages or deeds of trust held by an applicant

18. Tab 3: eligibility- income (basics) When do I include an asset? When the Current Cash Value of Asset exceeds $5000 Example: The total cash value exceeds $5000 the Passbook rate must be used. In this case the actual income earned is greater so that amount must be used in the calculation of annual income for this example.

19. Tab 3: eligibility-income (forms) Review of Forms available for HPRP use: Income/Rent and Utility Worksheet Verification of Employment Verification of income from a business Verification of Child Support Payments Verification of Full-Time Student Status Verification of Unemployment Benefits Verification of Public Assistance Income Verification of Assets on Deposit

20. Tab 3: eligibility- Income (forms) Verification Forms available for HPRP use: Rental Certification Verification of Pension and Annuities Verification of Veteran’s Administration Benefits Verification of Alimony or Separation Payments Verification of Recurring Cash Contributions Verification of Income from Military Service Verification of Assets Disposed Record of Oral Verification Zero Income Verification

21. Tab 4: Financial Assistance info.:Rental assistance

22. IN other words… Client eligibility determined. Need & income is documented. Housing Assessment & Plan developed Case Manager (CM) provides client with RENTAL ASSISTANCE VOUCHER if qualifies for Rental Assistance. Client must use within 10 days if used. Not required form. Housing is identified. REQUEST FOR UNIT APPROVAL form is completed by prospective landlord(s) and returned to CM. CM determines if unit is RENT REASONABLE. CM contacts landlord to set up HABITABILITY INSPECTION. Client and landlord signs LEASE and LEASE ADDENDUM & LBP DISCLOSURE(if app.).

23. Tab 4: Financial assistancE- other MOVING COSTS: Cannot exceed 3 months Document reasonable costs for moving Document storage plan after 3 months (case notes, housing plan) Document why necessary (case notes, housing plan) UTILITY PAYMENTS Utility assistance documentation Utility obligation and/or arrears documentation- how preventing housing SECURITY & UTILITY DEPOSITS Account documentation from utilities Lease and Lease Addendum HOTEL AND MOTEL VOUCHERS Documentation of identified housing Documentation of no shelter availability Reasonableness of cost Length of stay (no longer than 30 days)

24. Tab 5: housing relocation & stabilization LEGAL SERVICES Document provided by lawyer or person supervised by lawyer Documentation dealing with tenant/landlord issues CREDIT REPAIR Documentation of : • budgeting assistance • money management • accessing free credit report and • resolving personal credit issues

25. Questions? All current HPRP program documents posted here: http://www.in.gov/ihcda/2509.htm