Ross Business Development

FACT Sheet – HOTMA Assets

$100

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. This Fact Sheet explains the change to eligibility based on assets. This Fact Sheet can be distributed to residents/applicants or made available via applicant/resident portals and property bulletin boards. There is no requirements to create or distribute a Fact Sheet, but OAs are required to notify residents and applicants of changes. Owner/agents may want to consider creating a HOTMA Package to be distributed to residents either electronically or in traditional paper format.

FACT Sheet – HOTMA Deductions

$100

This Fact Sheet explains the changes to deductions used to reduce income and calculate Tenant Rent. This Fact Sheet can be distributed to residents/applicants or made available via applicant/resident portals and property bulletin boards. There is no requirements to create a Fact Sheet, but OAs are required to notify residents and applicants of changes.

Note from RBD: We do not expect additional revisions to this rule.

Notice Apartment/Unit Offer Letter Unit Available HOTMA Asset Restrictions

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. This letter can be used from now until January 1, 2024. If an applicant has reached the top of the waiting list and a unit is available, but the applicant fails the Asset Restriction test (Asset Cap/Real Property Suitable for Occupancy) owner/agents may make a unit offer, but should let the applicant know that they will not be eligible for subsidy as of January 1, 2024. If the owner/agent has established a “grace period” of up to six months, that “grace period” starts with the first AR or IR in 2024. Starting 1/1/2024, owner/agents may not offer a unit to an applicant family that fails the Asset Restriction test.

Notice Application Rejection

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma.

Notice AR 120Day Questionnaire AR

$70

This is a new 120-Day Reminder Notice updated to include new documentation requirements and new Asset and Income Self-Certifications. This form is designed to be completed by each adult household member to ensure the most accurate reporting. If an owner/agent opts to adopt Streamlined Verification of Assets, Streamlined Verification of Fixed Income, or Streamlined Certification for Fixed Income Families the associated AR Questionnaire is formatted to facilitate implementation.

Notice Hardship Exemption Approval

$20

This notice advises families when a request for a Hardship Exemption, related to deductions, has been approved.

Note from RBD: There may be additional revisions to this rule.

Notice Hardship Exemption Denial

$20

This notice advises families when a request for a Hardship Exemption, related to deductions, has been denied.

Note from RBD: There may be additional revisions to this rule.

Notice Hardship Exemption Ends

$20

Use this Notice to advise residents when any HOTMA Hardship Exemption, related to deductions, ends. This also advises tenants that they must report to sign the 50059 or face termination of assistance (all programs except PRAC) or termination of tenancy (PRAC).

Notice Hardship Exemption Final Decision After Appeal

$20

This notice is provided to families who have appealed the owner/agent’s decision to deny a Hardship Exemption request.

Note from RBD: There may be additional revisions to this rule.

Notice Hardship Exemption Request for Additional Information

$20

This notice advises families when a request for a Hardship Exemption, related to deductions, has been received but the owner/agent needs additional information or signatures.

Note from RBD: There may be additional revisions to this rule.

Notice HOTMA Change Student Income

$20

While not required, this notice advises families of the changes to the treatment of student financial aid when the family includes an adult child who is a student enrolled in an institute of higher education. The exclusion no longer applies. If an owner/agent is housing a family with a student, enrolled in an institute of higher education and when student financial assistance in excess of tuition and qualified fees has been excluded in the past, owner/agents may want to consider formally notifying the family that this exclusion will not apply when the first AR or IR effective in 2024 is created.

Notice HOTMA Change to Asset Restrictions as of 02/05/2024

$0

Owner/agents who have already advised residents that they may not be eligible for Housing Assistance once HOTMA is implemented, and who will not implement Asset Restrictions for existing residents, may want to advise residents of the change. This sample Notice should help you get started when creating such a notice for your residents.

Notice HOTMA Changes to Deductions

$20

Owner/agents are required to notify residents of changes to deductions but HUD does not prescribe the method used for notifications. This notice advises families of the changes to deductions. Owner/agents may want to consider formally notifying the family that these changes will apply when the first AR or IR effective in 2024 is created. Note from RBD: We hope changes to the Phase-in Rule will be effective with the first AR effective in 2024.

Notice HOTMA Request to Meet Assets

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. This is a first request to meet to review continued eligibility. For those residents in place on January 1, 2024 (or a later date if prescribed by HUD), eligibility determination based on Asset Restrictions is reviewed at the first IR or AR effective 1/1/2024 or later. This Notice may be sent to resident who may no longer be eligible for HUD’s housing assistance based on the net value of all assets or the fact that the family owns a home suitable for occupancy that the family has the right to sell.

Notice HOTMA Second Request to Meet Assets

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. This is a second request to meet to review continued eligibility. This Notice is sent to resident who may no longer be eligible for HUD’s housing assistance based on the net value of all assets or the fact that the family owns a home suitable for occupancy.

Notice IR No IR Required Income Change Less Than 10%

$20

This Notice is provided to residents who have reported an income change or a change to deductions, but the change to Adjusted Income is less than 10%. Owner/agents should not create an IR if the resident is reporting a change to income or deductions that results in an increase of less than 10% of Annual Adjusted Income. Owner/agents may develop a policy to opt out of creating IRs if the resident is reporting a change to income or deductions that results in a decrease of less than 10% of Annual Adjusted Income. While not required, it is a good idea to have written documentation in the file showing you notified the resident that no IR is required, after he/she reported the change.

Note from RBD: We do not expect additional revisions to this rule.

Notice Lease New HUD Lease

$50

Notice of Termination of Assistance Assets Exceed the Asset Cap

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. This Notice is provided to residents who have been notified that the net cash value of all family assets exceeds the current Asset Cap. This notice is sent after any exemption period established by the owner/agent’s policies which cannot exceed six (6) months.

Notice Resident Selection Plan Update Section 8 HOTMA

$20

This notice has been updated for the Section 8 program to include rejection reasons related to the Asset Restrictions.

Notice Termination of Assistance Delay of Termination HOTMA Assets

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. Use this form to advise residents that they are no longer qualified for Section 8 assistance based on Asset Restrictions. However, based on owner/agent policy, the OA is delaying termination of assistance for six months and allowing the resident to attempt to “cure” ineligibility.

Notice Termination of Assistance Real Property

$20

As of 9/1/2023, HUD’s guidance is that the Asset Restrictions are mandatory. We have asked HUD to revisit this determination and hope that guidance will change. Until then, we must proceed with current guidance provided by HUD https://www.hud.gov/program_offices/housing/mfh/hotma. This Notice advises residents that they are no longer eligible to receive assistance through HUD’s Multifamily Housing programs based on the fact that the family owns a home suitable for occupancy that the resident has a right to sell.

Policy - HOTMA Hardship Exemptions - Deductions & Minimum Rent

$200

This policy explains, in detail, how to request an exemption from the Section 8 Minimum Rent and also explains the changes to deductions introduced with the implementation of HOTMA. This policy explains requests for Hardship Exemptions related to the Medical Expense Deduction, the Disability Assistance Expense Deduction and the Childcare Deduction. This sample policy explains provisions for when a Hardship Exemption will be granted based on family income and assets owned by the family (medical/disability assistance) and based on special family circumstances (childcare). This policy is designed for a Section 8 property where Minimum Rent applies. Keep in mind that this policy must match the policy in the TSP updated for HOTMA.

Policy Days to Report Change

$200

HOTMA requires that owner/agents develop a policy explaining how many days a resident has to report a change before they are in violation of the lease. Our example includes a requirement to report within 30 days, but HUD has no official timeline. Owner/agents must edit this policy to conform to their own internal requirements. This policy must include an explanation of retroactive rent changes including rent changes that result in a reduction in rent. Some owner/agents choose to establish a separate policy. If you are updating House Rules, you may also consider adding this language to your House Rules. Please reference HH 4350.3 Paragraph 6-12 for information about Lease Changes. Modification of the House Rules is considered a lease change.

Note from RBD: We do not expect additional revisions to this rule.

Policy HOTMA HardshipExDeductions

$200

This policy explains, in detail, the changes to deductions introduced with the implementation of HOTMA. This policy explains requests for Hardship Exemptions related to the Medical Expense Deduction, the Disability Assistance Expense Deduction and the Childcare Deduction. This sample policy explains provisions for when a Hardship Exemption will be granted based on family income and assets owned by the family (medical/disability assistance) and based on special family circumstances (childcare). This policy is designed for a non-Section 8 property. Keep in mind that this policy must match the policy in the TSP updated for HOTMA.

Policy Streamlining

$150

This policy template described when and how owner/agents implement HUD's new streamlined verification of assets and fixed income and when the owner/agent uses Streamlined Certification for Fixed Income Families.

Questionnaire AR

$50

This is a detailed questionnaire. The process, when using this questionnaire, is to have the HOH complete all of the questionnaire and each adult household member must complete appropriate sections.

Request Hardship Exemption

$20

This form can be used by residents or applicants to request a hardship exemption related to deductions.

Note from RBD: We do not expect additional revisions to this rule.

Screening Rental History Questionnaire

$50

Owner/agents are not required, by HUD, to conduct screening based on Rental History. If the owner/agent has opted to include this screening, the owner/agent may ask whether or not the resident is currently taking advantage of the Medical Expense Deduction or the Disability Assistance Expense Deduction. If so, the owner/agent may verify and continue the application of the Phase-in Hardship Exemption.

Note from RBD: HUD may provide additional clarifications to this rule.

Self Certification Assets

$25

While HOTMA is effective 1/1/2024, Streamlined verification of Assets was introduced to HUDs Multifamily Housing Programs in 2019. Owner/agents may, but are not required to, adopt Streamlined Verification of Assets. This means that the cash value of assets and income from assets is verified in Year 1. Under HOTMA, when the total cash value of all family assets totals $50000 or less (may be adjusted for inflation), owner/agents may accept self-certification of the cash value of assets and income from assets in Year 2 and Year 3. Use this form to obtain information about assets from residents at Annual Recertification (and Interim Recertification as necessary). Note from RBD: We do not expect additional revisions to this rule.

Self Certification Income

$20

Streamlined Certification for Fixed Income Families has been available for HUD’s MFH programs since 2019. This is not new with the implementation of HOTMA. This self-certification allows residents to disclose any and all income for family members. If an owner/agent has adopted Streamlined Certification for Fixed Income Families, owner/agents have the option of accepting self-certification for any income that is not fixed.

Note from RBD: We do not expect additional revisions to this rule.

Self Certification Real Property Exemption

$20

Under HOTMA, Section 8 residents must disclose if they own real property suitable for occupancy and if they have the right to sell the real property. If so, the family is not eligible to continue to receive Section 8 housing assistance. There are some exceptions. If a resident or applicant owns real property but feels they are exempt under the rules, this form can be used to obtain self-certification and other information about the exemption. Eligibility review based on the Section 8 Asset Restrictions (Asset Cap and ownership of Real Property) are mandatory at application. Owner/agents must decide whether or not to enforce these restrictions after move-in.

Self Certification Receipt of Required Documents at AR

$25

Use this form to document that all required forms have been provided at AR. As of 9/1/2024, HUD has not provided the new 9887 Package or the new HUD FACT Sheet – How Your Rent is Determined. Once those forms are released, owner/agents will update the FACT Sheet but still distribute each year at AR. Once the new 9887 is released, owner/agents will be required to provide this document 1) when an applicant is at the top of the waiting list (eligibility interview), 2) when a new adult is added, 3) when a minor turns 18 and 4) if subsidy is terminated then reinstated. This form will not be required at each AR ONCE HUD RELEASES THE NEW 9887 – EXPECTED IN LATE 2023 OR EARLY 2024)

Self Certification Receipt of Required Documents at MI

$25

Use this form to document that all required forms have been provided at MI/IC. As of 9/1/2024, HUD has not provided the new 9887 Package or the new HUD FACT Sheet – How Your Rent is Determined. Once those forms are released, owner/agents will update the FACT Sheet How Your Rent is Determined, but still distribute each year at MI and AR. Once the new 9887 is released, owner/agents will be required to provide this document 1) when an applicant is at the top of the waiting list (eligibility interview), 2) when a new adult is added, 3) when a minor turns 18 and 4) if subsidy is terminated then reinstated. This form will not be required at each AR ONCE HUD RELEASES THE NEW 9887 – EXPECTED IN LATE 2023 OR EARLY 2024) Use this form to document that all required forms have been provided at MI/IC.

TSP Sample Language HOTMA

$100

If you don’t need a new TSP but want to add pertinent language related to HOTMA changes (including the Asset Restrictions for Section 8 programs) or related to changes that will be introduced by TRACS version 2.0.3.A, this document may help you get started.

Verification Student Status/Financial Aide

$20

This verification solicits information from the institute of higher education regarding student’s current status, any expenses related to tuition and other qualified fees, and any education financial aid. For HOTMA, questions about expenses have been updated. Questions related to financial aid have been separated in to three types:
1. Financial Aide provided through Title IV of the HEA;
2. Financial Aide provided through a Coverdell ESA or other like account;
3. Other Financial Aide.

Worksheet Medical Expense/Disability Assistance Expense Comparison Worksheet

$30

This worksheet can be used to show the difference in the Medical Expense (now referred to as the Health and medical Expense Deduction ) or Disability Assistance Expense Deduction (now referred to as the Attendant Care and Auxiliary Apparatus Expense Deduction ) with the implementation of the HOTMA changes. We are comparing expenses that exceed 3% of Annual Income versus expenses that exceed 5% of annual income as provided under the Phase-in exemption available for all residents. A second workbook compares expenses that exceed 10% of Annual Income versus expenses that exceed 5% of annual income as provided under the Financial Hardship Exemption. Please note, many fields include calculation formulas. Only enter data in fields highlighted in green. (Green means Go).

Note from RBD: We do not expect additional revisions to this rule.

FASTForms Individual Forms

FACT Sheet – HOTMA Assets

FACT Sheet – HOTMA Deductions

Notice Apartment/Unit Offer Letter Unit Available HOTMA Asset Restrictions

Notice Application Rejection

Notice AR 120Day Questionnaire AR

Notice Hardship Exemption Approval

Notice Hardship Exemption Denial

Notice Hardship Exemption Ends

Notice Hardship Exemption Final Decision After Appeal

Notice Hardship Exemption Request for Additional Information

Notice HOTMA Change Student Income

Notice HOTMA Change to Asset Restrictions as of 02/05/2024

Notice HOTMA Changes to Deductions

Notice HOTMA Request to Meet Assets

Notice HOTMA Second Request to Meet Assets

Notice IR No IR Required Income Change Less Than 10%

Notice Lease New HUD Lease

Notice of Termination of Assistance Assets Exceed the Asset Cap

Notice Resident Selection Plan Update Section 8 HOTMA

Notice Termination of Assistance Delay of Termination HOTMA Assets

Notice Termination of Assistance Real Property

Policy - HOTMA Hardship Exemptions - Deductions & Minimum Rent

Policy Days to Report Change

Policy HOTMA HardshipExDeductions

Policy Streamlining

Questionnaire AR

Request Hardship Exemption

Screening Rental History Questionnaire

Self Certification Assets

Self Certification Income

Self Certification Real Property Exemption

Self Certification Receipt of Required Documents at AR

Self Certification Receipt of Required Documents at MI

TSP Sample Language HOTMA

Verification Student Status/Financial Aide

Worksheet Medical Expense/Disability Assistance Expense Comparison Worksheet