Title
Resolution to Amend the Administrative Plan Regarding Chapter 16 Repayment Policy
Memorandum
Chapter 16: PROGRAM ADMINISTRATION
PART IV: OWNER OR FAMILY DEBTS TO THE PHA
16-IV.B. REPAYMENT POLICY
Current Administrative Plan
Payment Thresholds
Notice PIH 2010-19 recommends that the total amount that a family must pay each month-the family's monthly share of rent plus the monthly debt repayment amount-should not exceed 40 percent of the family's monthly adjusted income. However, a family may already be paying 40 per cent or more of its monthly adjusted income in rent. Moreover, Notice PIH 2010-19 acknowledges that PHAs have the discretion to establish "thresholds and policies" for repayment agreements with families [24 CFR 982.552(c)(1)(vii)].
AAHC Current Policy
The PHA has established the following thresholds for repayment of debts:
Amounts between $3,000 and the federal or state threshold for criminal prosecution must be repaid within 36 months.
Amounts between $2,000 and $2,999 must be repaid within 30 months.
Amounts between $1,000 and $1,999 must be repaid within 24 months.
Amounts under $1,000 must be repaid within 12 months.
Amounts under $500 must be repaid within 3 months.
Amounts under $250 must be repaid within 2 months.
Amounts under $50 within 30 days.
If a family can provide evidence satisfactory to the PHA that the threshold applicable to the family's debt would impose an undue hardship, the PHA may, in its sole discretion, determine that a lower monthly payment amount is reasonable. In making its determination, the PHA will consider all relevant information, including the following:
The amount owed by the family to the PHA
The reason for the debt, including whether the debt was the result of family action/inaction or circumstances beyond the family's control
The family's current and potential income and expenses
The family's current family share, as calculated under 24 CFR 982.515
The family's history of meeting its fin...
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