Page images

part by persons residing in the area of the the ground of immunity of the Local AuthorProject.

ity from suit. 2.11. Cooperation In Equal Opportunity (f) The Local Authority shall submit cerCompliance Reviews. The Local Authority tified duplicate copies of all insurance polishall cooperate with the Government in the cies and bonds to the Government not less conducting of compliance reviews and com than forty-five days before the effective date plaint investigations pursuant to applicable thereof for review to determine compliance civil rights statutes, Executive Orders, and with this ACC. Unless disapproved by the rules and regulations pursuant thereto.

Government within thirty days of the date 2.12. Insurance and Fidelity Bond Cover submitted, the policies and bonds submitted age. (a) For purposes of protection against shall be considered as approved by the Govhazards arising out of or in connection with ernment. the administrative activities of the Local (g) If the Local Authority shall fail at any Authority in carrying out the Project, the time to obtain and maintain insurance as Local Authority shall carry adequate (1) required by subsections (a), (b), (c), and comprehensive general liability insurance, (d) of this Sec. 2.12, the Government may (2) workmen's compensation coverage (Stat obtain such insurance on behalf of the utory or voluntary), and (3) automobile Local Authority and the Local Authority liability insurance against property damage shall promptly reimburse the Government and bodily injury (owned and non-owned). for the cost thereof together with interest at

(b) The Local Authority shall obtain or the then going Federal rate as determined provide for the obtaining of adequate fidelity pursuant to Section 2(10) of the Act. bond coverage of its officers, agents, or em 2.13. Books of Account and Records; Reployees handling cash or authorized to sign ports; Audits. (a) The Local Authority shall checks or certify vouchers.

maintain complete and accurate books of (C) Each insurance policy or bond shall account and records, as may be prescribed be written to become effective at the time from time to time by the Government, in the Local Authority becomes subject to the connection with the Projects, including recrisk or hazard covered thereby, and shall be ords which permit a speedy and effective continued in full force and effect for such audit, and will among other things fully disperiod as the Local Authority is subject to close the amount and the disposition by the such risk or hadard. Such insurance and Local Authority of the Annual Contributions bonds shall (1) be payable in such manner, and other Project Receipts, if any. (2) be in such form, and (3) be for such (b) The books of account and records amounts, all as may be determined by the of the Local Authority shall be maintained Local Authority and approved by the Govern for each Project as separate and distinct ment, and shall be obtained from financially from all other Projects and undertakings of sound and responsible insurance companies. the Local Authority, except as authorized or

(d) In connection with each policy, includ approved by the Government. ing renewals, for comprehensive general lia (c) The Local Authority shall furnish the bility insurance the Local Authority shall Government such financial, operating, and give full opportunity for open and competi statistical reports, records, statements, and tive bidding. The Local Authority shall give documents at such times, in such form, and such publicity to advertisements for bids as accompanied by such supporting data, all as will assure adequate competition and shall may reasonably be required from time to afford an opportunity to bid to all insurers time by the Government. who have indicated in writing to the Local (d) The Government and the Comptroller Authority their desire to submit a bid and General of the United States, or his duly auwho are licensed to do business in the State. thorized representatives, shall have full and Such insurance shall be awarded to the low free access to the Projects and to all the est responsible bidder. The lowest bid shall books, documents, papers, and records of the be determined upon the basis of net cost to Local Authority that are pertinent to its opthe Local Authority. Net cost, for the pur erations with respect to financial assistance poses of this subsection (d), shall mean the under the Act, including the right to audit, gross deposit premium, plus the cost of

and to make excerpts and transcripts from insurance against the hazards, if any, of such books and records. assessments, less any anticipated dividend (e) The Local Authority shall incorporate based on the dividend payment and assess

or cause to be incorporated in all Contracts ment record of the insurer for the previous the following clause: ten years. Nothing in this subsection (d) shall have the effect of requiring the Local

LHA and Government Access to Premises Authority to purchase insurance from any

and Owner's Records insurer not licensed to do business in the The Owner shall permit the LHA and tho State or to purchase insurance which in Government or any of their duly authorized volves any hazard of assessment unless in representatives, to have access to the surance against such hazard is available. premises and, for the purpose of audit and

(e) The Local Authority shall require that examination, to have access to any books, each liability insurance policy prohibit the documents, papers and records of the Owner Insurer from defending any tort claim on that are pertinent to compliance with this

Contract, including the verification of infor monies; Provided, however, that upon the mation pertinent to the monthly requests to curing of such Default the Government "the LHA for housing assistance payments. shall promptly rescind such requirement.

(f) The Local Authority shall not charge 2.15. Pooling of Funds under Special Conas a Project Expenditure the cost or expense ditions and Revolving Fund. (a) The Local of any audit with respect to any Project for Authority may deposit under the terms of any Fiscal Year unless (1) the Government the General Depositary Agreement monies has approved such audit, or (2) such audit received or held by the Local Authority in is required by law, or (3) the Government has connection with any other housing project failed to furnish the Local Authority with a developed or operated by the Local Authority report of its fiscal audit of the Local Author

pursuant to the provisions of any contract ity's books of account for such Fiscal Year for annual contributions, administration, or within six months after the end thereof and, lease between the Local Authority and the subsequent to a notice by the Local Au Government. thority of such failure, the Government has (b) The Local Authority may also deposit failed to submit its report of such audit under the terms of the General Depositary within three months after receipt of such Agreement amounts necessary for current notice.

expenditures of any other project or enter2.14. General Depositary Agreement and prise of the Local Authority, including any General Fund. (a) Promptly after the execu project or enterprise in which the Governtion of this ACC, the Local Authority shall ment has no financial interest; Provided, enter into, and thereafter maintain, one or however, that such deposits shall be lumpmore agreements, which are herein collec

sum transfers from the depositaries of such tively called the "General Depositary Agree other projects or enterprises, and shall in no ment,” in form prescribed by the Govern event be deposits of the direct revenues or ment, with one or more banks (each of which receipts of such other projects or enterprises. shall be, and continue to be, a member of (c) If the Local Authority operates other the Federal Deposit Insurance Corporation) projects or enterprises in which the Governselected as depositary by the Local Author

ment has no financial interest it may, from ity. Immediately upon the execution of any time to time, withdraw such amounts as General Depositary Agreement, the Local Au the Government may approve from monies thority shall furnish to the Government

on deposit under the General Depositary such executed or conformed copies thereof Agreement for deposit in and disbursement as the Government may require. No such

from a revolving fund provided for the payGeneral Depositary Agreement shall be ment of items chargeable in part to the Projterminated except after thirty days notice to

ects and in part to other projects or enterthe Government.

prises of the Local Authority; Provided, (b) All monies received by or held for ac

however, that all deposits in such revolving count of the Local Authority in connection

fund shall be lump sum transfers from the with the Projects shall constitute the Gen

depositaries of the related projects or entereral Fund.

prises and shall in no event be deposits of (c) The Local Authority shall, except as the direct revenues or receipts. otherwise provided in this ACC, deposit

(d) The Local Authority may establish promptly with such bank or banks, under

petty cash or change funds in reasonable the terms of the General Depositary Agree

amounts, from monies on deposit under the ment, all monies constituting the General

General Depositary Agreement. Fund.

(e) In no event shall the Local Authority (a) The Local Authority may withdraw

withdraw from any of the funds or accounts monies from the General Fund only for (1)

authorized under this Section 2.15 amounts the payment of Project Expenditures, and

for the Projects or for any other project (2) other purposes specifically approved by

or enterprise in excess of the amount then the Government. No withdrawals shall be

on deposit in respect thereto. made except in accordance with a voucher

2.16 Assignment of Interest in Project to or vouchers then on file in the office of the

Government; Continuance of Annual ConLocal Authority stating in proper detail the

tributions. Upon the occurence of a Subpurpose for which such withdrawal is made.

stantial Default (as herein defined) with (e) If the Local Authority (1) in the deter

respect to any Project the Local Authority mination of the Government, is in Sub

shall, if the Government so requires, assign stantial Default, or (2) makes or has made any fraudulent or willful misrepresentation

to the Government all of its rights and interof any material fact in any of the documents

ests in and to the Project, or such part or data submitted to the Government pur- ,

thereof as the Government may specify, suant to this ACC or in any document or

and the Government shall continue to pay data submitted to the Government as a

Annual Contributions with respect to dwellbasis for this ACC or as an inducement to

ing units covered by Housing Assistance the Government to enter into this ACC, Payments Contracts in accordance with the the Government shall have the right to re terms of this ACC until reassigned to the quire any bank or other depositary which Local Authority. After the Government shall holds any monies of the General Fund, to be satisfied that all defaults with respect refuse to permit any withdrawals of such to the Project have been cured and that

the Project will thereafter be operated in was activated, and no other public official accordance with the terms of this ACC, the of such locality or localities who exercises Government shall reassign to the Local Au any functions or responsibilities with respect thority all of the rights and interests of to the Project, during his tenure or for one the Government in and to the Project as year thereafter, shall have any interest, such rights and interests exist at the time direct or indirect, in this contract or the of such reassignment.

proceeds thereof. 2.17 Remedies not Ecclusive and Non (c) The provisions of the foregoing subWaivets of Remedies. Any remedy provided sections (a) and (b) of this Section 2.18 for herein shall not be exclusive or preclude shall not be applicable to the General Dethe Owner, LHA and/or the Government positary Agreement, or utility service the from exercising any other remedy available rates for which are fixed or controlled by under this ACC or under any provisions a governmental agency. of law, nor shall any action taken in the 2.19. Interest of Member of or Delegate exercise of any remedy be deemed a waiver to Congress. No member of or delegate to of any other rights or remedies available to the Congress of the United States of America such parties. Failure on the part of any or resident Commissioner shall be admitted such party to exercise any right or remedy to any share or part of this ACC or to any shall not constitute a waiver of that or any benefits which may arise therefrom. other right or remedy, nor operate to deprive

PART 1-CERTIFICATE OF FAMILY the party of the right thereafter to take any remedial action for the same or any subse

PARTICIPATION quent default.

APPENDIX V-CERTIFICATE OF FAMILY 2.18. Interest of Members, Officers, or Em

PARTICIPATION AND LEASE APPROVAL ployees of Local Authority, Members of Local Governing Body, or Other Public Officials.

1. Certification. The undersigned Authority (a) Neither the Local Authority nor any

hereby certifies that the Family headed by

is authorized to of its contractors or their subcontractors shall enter into any contract, subcontract,

participate in the Section 23 Housing Asor arrangement, in connection with any

sistance Payments Program of this Authorproject, in which any member, officer, or

ity. Under this program, the Authority makes employee of the Local Authority, or any

housing assistance payments on behalf of member of the governing body of the locality

participating families toward their rents for

decent, safe, and sanitary dwelling units. in which the Project is situated, or any

2. Dwelling Unit. If the Family finds & member of the governing body of the locality

dwelling unit suitable to its needs, conin which the Authority was activated, or any

taining at least

1 bedrooms, and in other public official of such locality or locali

decent, safe, and sanitary condition, it ties who exercises any responsibilities or

should submit to the Authority for approval functions with respect to the Project during

Part II of this form. Request for Lease Aphis tenure or for one year thereafter has

proval, together with a proposed lease. Prior any interest, direct or indirect. If any such

to approval of the proposed lease, the Authorpresent or former member, officer, or em

ity will inspect the unit or cause it to be ployee of the Local Authority, or any such

inspected. governing body member or such other public

3. Rent. The monthly rental provided in official of such locality or localities invol

the lease must be determined by the Auuntarily acquires or had acquired prior to

thority to be reasonable, but this rent the beginning of his tenure any such inter

plus the Authority allowance for any utiliest, and if such interest is immediately dis

ties payable directly by the Family shall closed to the Local Authority and such dis

in no case exceed $.--. --.2 Under the closure is entered upon the minutes of the

rules and regulations of the Housing AssistLocal Authority, the Local Authority, with

ance Payments Program, the Family will be the prior approval of the Government may

obligated to pay $---- -- toward the waive the prohibition contained in this sub

monthly lease rental; provided that this section; Provided, however, that any such

amount will be reduced by the Authoritypresent member, officer, or employee of the

determined allowance for any utilities to be Local Authority shall not participate in any action by the Local Authority relating to

paid directly by the Family, and such resuch contract, subcontract, or arrangement.

duced amount will be specified in the lease. (b) The Local Authority shall insert in The amount of the Family's payment is suball contracts entered into in connection with ject to change by reason of changes in the any Project or any property included or income or composition of the Family, Purplanned to be included in any Project, and suant to a Housing Assistance Payments shall require its contractors to insert in each of its subcontracts, the following provisions:

1 Enter the unit size, by number of bedNo member, officer, or employee of the

rooms, for which the Family is eligible purLocal Authority, no member of the governing

suant to the occupancy standards of the body of the locality in which the Project is Authority. situated, no member of the governing body 2 Enter the applicable fair market rent for of the locality in which the Local Authority the unit size specified in item 2.

Contract with an owner, the Authority will pay to the owner on behalf of the Family an amount equal to the difference between the monthly rental amount owed by the Family to the owner and the total monthly rent which the owner is entitled to receive under the lease.

4. Authority Approval of Lease. The Authority will notify the owner and the Family whether or not the proposed lease is approvable within

working days from receipt of a Request for Lease Approval. The Authority, upon issuing this Certificate, anticipates that if a lease meeting the requirements of this program is submitted for approval, the Authority will have funds available for a Housing Assistance Payments Contract with the owner; however, the Authority is under no obligation to the Family, to any owner or to any other person to approve any submitted lease, nor does the Authority incur any liability by reason of issuing this Certificate. Approval of any lease will be at the Authority's sole discretion and subject to availability of funds.

5. Conditions. The Family agrees to perform all its obligations under the Housing Assistance Payments Program, including the obligations to (a) provide such income information and records as may be required in the administration of the program, (b) permit inspections of its dwelling unit at reasonable times after reasonable advance notice, and (c) give at least 30 days notice to the Authority of the Family's intention to vacate the unit.

6. Equal Housing Opportunity. If the Family has reason to believe that, in its search for suitable housing, it has been discriminated against on the basis of race, color, creed, sex, religion, or national origin, it may file a complaint with the HUD Regional Office. Fair Housing Complaint Forms (form HUD 903) are available from this Authority.

7. Expiration Date. A request for Lease Approval may be submitted to this Authority no later than

(60 days from the date of this Certificate). If a Request is not submitted by such date, this Certificate shall expire unless extended by the Authority in writing.

[blocks in formation]

approve the attached lease for the dwelling unit located at

(street address and apartment

number, if any) for a period of months, beginning

19----. The unit, consisting of bedrooms, is to be leased at $----per month. This rent includes maintenance and other services as provided in the lease and the following utilities and appliances: (Check where applicable) heat ---- electricity ---- gas

water sewer refrigerator range other (specify)

2. Certification. The Owner, by executing this Request, certifies that:

a. The most recent rent charged for the above dwelling unit was $---- per month. The reasons for the difference, if any, between this amount and the proposed rent are:

b. The specified dwelling unit is currently: O Vacant and has been since before the

date of this Request. Occupied by the undersigned Family. Occupied by other than the undersigned

Family but the unit will be vacated prior to occupancy by the Family as a result of (1) voluntary decision of occupant, or (2) action by Owner for cause, or (3) other reasons clearly unrelated to the proposed leasing to the

Family. c. This unit is made available, managed, and operated regardless of race, color, religion, creed, sex, or national origin.

3. Security and Utility Deposits. The Family o will will not require Authority assistance to pay security and/or utility deposits. The amount of Owner's required security deposit (not to exceed one month's rent) is $.

The amounts of the required utility deposits are: Deposit to

(Insert name of utility company) Deposit to

$. (Insert name of utility company) 4. Authority Determination. The Owner and the Family understand that the Authority will notify them as to whether or not the proposed lease is approvable within the time period specified in paragraph 4 of the Certificate of Family Participation.






(Signature of Family


(Present Address


(To be sent to the Owner and Family) (Check applicable box.)

1. Approval. This Authority hereby approves

the proposed lease between

(Family) and

(Owner) for the dwelling unit located at

Returned here(street address and apart

ment number, if any) with are (a) the proposed lease completed by the Authority with respect to the portion of the monthly lease rental which the Family shall be obligated to pay to the Owner, and (b) two copies of a Housing Assistance Payments Contract completed by this Authority except for execution. The lease shall be executed by the Family and the Owner and a copy returned to the Authority. The Owner shall sign both copies of the Contract and return them to the Authority. The Authority will execute the Contract by the first day of occupancy specified in the lease and will immediately return an executed copy to the Owner.

Attached is a Security Deposit Agreement, signed by this Authority, which shall be

signed by the Owner and the Family and a signed copy returned to this Authority. 0 Yes

O No 0 2. Disapproval. The proposed lease and/ or the dwelling unit are/is disapproved for the following reasons: O 3. Resubmission. If the conditions in item 2 above are remedied, and a Request for Lease Approval is resubmitted by the Owner and the Family to the Authority by (date), the lease will be approved by the Authority if it determines that the conditions hav been remedied to its satisfaction, (The Certificate of Family Participation issued to the Family shall not expire before said date.)

"b. The Lessor shall provide the following services (including security) and maintenance:

(Here specify all services to be provided by the Lessor, which shall include all services customarily supplied to tenants of this type of housing in the locality. In preparing this -list, the provisions contained in form HUD52505A, Guide for Lease Provisions for Maintenance and Security Services, shall be included except to the extent modifications are approved by the LHA.]

"c. The Lessor shall not evict the Lessee unless the Lessor complies with the require-ments of local law, if any, and of this provision. The Lessor shall give the Lessee a written notice of the proposed eviction, stating the grounds and advising the Lessee that he has 10 days (or such greater number, if any, that may be required by local law) within which to respond to the Lessor. Because the Lessor must obtain the LHA's authorization for an eviction, a copy of the notice shall be furnished simultaneously to the LHA, and the notice shall also state that the Lessee may, within the same time period, present his objections to the LHA in writing or in person. The LHA shall forthwith examine the grounds for eviction and shall authorize the eviction unless it finds the grounds to be insufficient under the Lease. The LHA shall notify the Lessor and the Lessee of its determination within 20 days of the date of receipt of the notice by the Lessee whether or not the Lessee has presented objections to the LHA.

"d. The Lessor shall not discriminate against the Lessee in the provision of seryices, or in any other manner, on the grounds of race, color, creed, religion, sex, or national origin.

"e. This Lease has been signed by the párties on the condition that the LHA will promptly execute a Housing Assistance Payments Contract with the Lessor. Accordingly, this Lease shall not become effective unless the LHA has executed such contract by the first day of occupancy specified in the Lease. "Lessor



AND SECURITY SERVICES The following provisions shall be included by an owner among lease provisions regarding maintenance and security services for units to be leased to families participating in a Section 23 Housing Assistance Payments Program. Subject to the approval of the LHA, items which are not customarily provided for this type of housing in the locality may be excluded.

The Lessor shall provide the following services (including security) and maintenance:

a. Custodial services (including, but not limited to, cleaning of hallways, garbage storage areas, and all common areas, and provision of an adequate supply of trash and


(Name of Local Housing




"ADDENDUM TO LEASE (Section 23 Housing Assistance Payments

Program) "The following additional Lease provisions are incorporated in full in the Lease between

(Lessor) and (Lessee) for the following dwelling unit:

In case of any conflict between these and any other provisions of the Lease, these provisions shall prevail. "a. Of the total rent ($_

per month), $-------- shall be payable by the Housing Authority (LHA) as housing assistance payments on behalf of the Lessee and

shall be payable by the Lessee. "These amounts shall be subject to change by reason of changes in the family income or composition, as determined by the LHA, effective as of the date stated in a notification of such change by the LHA to the Lessee and Lessor.

« PreviousContinue »