Section 0770-01-05-.16 - OTHER ELIGIBILITY CRITERIA(1) Violation of Family Obligations (24 C.F.R. 982.552(1)(c)(iii)). If an applicant, or any household member, has previously violated the family obligations listed in 24 C.F.R. 982.551 or on the voucher within the last three (3) years, the applicant household is denied even if they qualify for a local preference. (a) Failure to Supply Timely Information (24 C.F.R. 982.551(b)(1)(3), 24 C.F.R. 982.552(b)(3)(c)(1)(i)). Failure to supply information in a timely manner requested by the THDA for use in the eligibility determination is a violation of the family obligations in the program and includes:1. Consent forms for obtaining necessary information to determine eligibility, citizenship or eligible immigration status, social security numbers, or other information necessary to the eligibility determination;2. Failure to keep appointments; and3. Refusal to sign necessary paperwork.4. The usual deadline for complying with requests for verification is fourteen calendar (14) days, unless otherwise specified.5. If an applicant claims that a request for information or a request to attend an interview or appointment was not received, staff will determine whether the notice was returned to the office. (i) If the notice was not returned, it is assumed the applicant received the notice unless the applicant can prove otherwise.(ii) If the notice was returned to the office, but the applicant provides evidence that the applicant was living at the address the notice was sent to at the time that it was sent, then the applicant is reinstated according to the date and time on the pre-application.(iii) The applicant shall bear the burden of proof where it is alleged that the address to which the THDA mailed the notice was not the proper address, or where the applicant argues that the notice was not received due to circumstances beyond the applicant's control.(I) Sufficient proof includes, but is not limited to, an affidavit, sworn and notarized, from the postmaster for the local post office responsible for delivering the mail to the applicant's address that there have been problems with delivery that might have caused the request to not be properly delivered. Other sufficient proof must be at least as independently reliable as a letter from the postmaster in order to satisfy the applicant's burden of proof.(b) Duplicate Subsidy. 1. If an applicant submits a pre-application for a THDA waiting list for one county while already receiving another housing subsidy under any duplicative (as determined by HUD or in accordance with HUD requirements) federal, State or local housing assistance program, the application will be denied as a duplicate subsidy.2. If an applicant is currently in public housing though, the applicant may give notice to their current PHA, but must vacate their current unit prior to their lease-up through the THDA. The lease and HAP contracts cannot start until the day after the current tenancy is terminated.3. If a participant family wishes to relocate to another county, they must comply with the THDA's requirements for portability and relocation. See Moving/Portability 0770-01-05-.25.4. If a family vacates their current unit without complying with these requirements, the family will be terminated and ineligible for housing assistance for a three-year (3) period.(c) Failure to Provide True and Complete Information. The applicant must provide any information requested by the THDA as part of the certification process within timelines outlined. (24 C.F.R. 982.551(b)(4), 982.552(c)(1)(i)).(d) Fraud (24 C.F.R. 982.551(k), 552(1)(c)(iv) ). When any member of the applicant household has committed fraud in connection with any federal housing program, the admission may be denied. The application is not denied on this basis without documentation or proof of the alleged fraud.(e) Interest in Unit. An applicant that requests subsidy for a unit in which the applicant owns, has an interest in, or is buying will be denied, except for mobile homeowners who are leasing a pad and Homeownership Voucher participants.(2) No Household Member Is at Least Eighteen (18). There must be at least one member of the household that is eighteen years of age or older in order to serve as head of household and sign the lease contract, unless the underage member has their minority removed by court order or operation of law.(3) Conflict of Interest. If an applicant is a public official, member of a governing body, state or local legislator, or a member of the Congress of the United States who exercises functions or responsibilities with respect to the HCV Program, the applicant will be denied unless HUD grants a waiver to the applicant.(4) Total Tenant Payment Is Higher than Gross Rent. For new admissions only, if an applicant's income is below the very low-income limit, but the total tenant payment is greater than the gross rent, the applicant will be denied because there would not be a subsidy or Housing Assistance Payment (HAP).(a) If there is no HAP payment due to a rental agreement that includes a free rent period, the applicant may be admitted.(5) Outstanding Debt to a Public Housing Authority (PHA). (a) Any household who reports that they have previously lived in subsidized or public housing must certify that they have no outstanding debt to another public housing agency. The THDA will access the Public and Indian Housing Information Center (PIC) reports to determine debts owed.(b) If the PIC reports show that any member of the household has an outstanding debt that is verified and considered current under state law, which is owed to any other public housing authority (PHA) or to the THDA, in connection with the HCV Program or other public housing programs, within fourteen (14) calendar days the household must provide the THDA with documentation that proves that: 1. The debt is paid in full,2. The household is making regular payments under a court-ordered repayment plan, or3. The household has obtained a release from the public housing authority (PHA) the household is indebted to.(c) The THDA enters debts owed and termination information for tenants who voluntarily or involuntarily leave the HCV Program, including any adverse status as of the end of participation (EOP) date, into the Enterprise Income Verification (EIV) System.(d) If an applicant, or current or former participant, of a HUD rental assistance program disputes that the household owes a debt to a PHA, the household must contact the PHA in writing to dispute the information and provide supporting documentation. 1. If the THDA determines that the disputed information is incorrect, an applicant may be admitted.2. If information the THDA entered is incorrect, the information will be updated or the record will be deleted in the EIV System.3. Information must be disputed within three (3) years of the EOP date.(e) The household may also request an informal review, and if terminated a participant may request an informal hearing, to contest the report and bring supporting documentation.(f) The THDA will not collect debts or accept payments for debts owed to another PHA and will not assume any responsibility for debts owed to a PHA that gives an applicant or participant a release of a debt.(6) Eviction from Public Housing (24 C.F.R. 982.552(c)(1)(ii)). An applicant will be denied if they, or any member of the applicant household, has been evicted from public housing for any reason with an effective date of eviction within the last five (5) year period, even if the household qualifies for a local preference. The family may request an informal review to contest the report and bring documentation from the housing authority.(7) Threatening or Abusive Behavior Towards the THDA (24 C.F.R. 982.552(i)(c)(ix)). Denial of assistance will result if any member of the household engages in any type of verbal or physical abuse, violence, or threat of violence toward the THDA personnel while completing the eligibility process for the HCV Program.(8) Prior Criminal History (24 C.F.R. 982.553). The THDA processes a criminal background check on all adult members of the household when determining eligibility. Applicant households that include a member who has engaged in certain criminal activities, whether the criminal activities occurred on or off the premises where the household resides, will be denied admission to the program in order to protect the welfare of the HCV Program and the community where the household would reside if participating in the program. (a) Mandatory Denial of Assistance for Criminal Activity. HUD regulations require prohibiting admission to an applicant household under the following circumstances: 1. An applicant has been evicted from federally assisted housing for drug-related criminal activity with an effective date of eviction within the last five (5) year period.2. An applicant household includes a member who has ever been convicted of a drug-related criminal activity involving the manufacturing or production of methamphetamine on the premises of federally assisted housing.3. An applicant household that includes a member that is subject to a lifetime registration requirement under a state sex offender registry program will be denied.(b) Local Discretion in Denial of Assistance for Criminal Activity. HUD regulations allow public housing authorities (PHAs) local discretion in establishing additional grounds in the denial of an applicant household when the PHA determines that any household member is currently engaged in, or has engaged in within a reasonable time before admission, certain criminal activities. 1. In establishing local discretion policies, the THDA will deny assistance to a household when the THDA receives information, during the normal process of application or eligibility determination, from which the THDA may reasonably determine that a member of the household has a record of drug-related criminal activity, severe alcohol abuse, violent criminal activity, or other criminal activity that the THDA determines may be a threat to the health and safety of the community where the household would reside, including the following activities by any member the household:(i) Conviction of a felony drug-related, alcohol-related, violent-criminal, or other criminal activity within the past twelve (12) months;(ii) Conviction of two or more misdemeanor drug-related, alcohol-related, violent-criminal, or other criminal activity within the past twelve (12) months;(iii) Three (3) or more convictions for a misdemeanor or felony drug-related, alcohol-related, violent-criminal, or other criminal activity, within the past three (3) years; or(iv) One or more convictions for a felony-sex offense within the past ten (10) years or any conviction, misdemeanor or felony, of a sex offense involving a minor.2. For denial, the alcohol-related criminal activity must have threatened the health, safety or peaceful enjoyment of the community or neighborhood where the family resided at the time they applied for admission to the program.3. For denial, a household member must have threatened the peaceful enjoyment of the community or neighborhood where the family resided at the time they applied for admission to the program.4. A criminal conviction occurs, when on the date of final judgment for misdemeanor or felony offenses, a verdict or finding of guilty, a plea of guilty, or plea of nolo contender is entered, and does not include a final judgment that has been expunged by pardon, reversed, set aside, or otherwise rendered nugatory. (i) A judgment of pre-trial diversion will be treated as a judgment that is rendered nugatory and households that include a member with a criminal disposition of pre-trial diversion for a criminal act are eligible to receive assistance.(ii) However, families that include a member with a judgment of post-trial diversion following a criminal conviction are not eligible until the terms of the diversion are met, the record is expunged, or the household becomes eligible otherwise (i.e., the offending household member has died, is imprisoned, or the remaining household members present appropriate documentation that the offending household member no longer resides with the family).(c) Denial may be waived if:1. The drug-related or alcohol-related activity involved the use or possession of a controlled substance for personal use and the household member that engaged in the activity verifies that they successfully completed or are currently enrolled in a supervised drug or alcohol rehabilitation program with a successful completion date provided by the rehabilitation program, which is approved by the THDA. (i) A supervised drug or rehabilitation program does not include Alcoholics Anonymous, Narcotics Anonymous, or other self-help programs.(ii) A household member must provide proof of successful completion of the approved program within the timeframe provided to the THDA by the program the household member was enrolled at the time the waiver of denial was granted. Failure to successfully complete the program will result in termination of the household from the program.(iii) Denial may not be waived when the activity involved the illegal manufacturing, sale, distribution, or the possession with the intent to manufacture, sell, or distribute a controlled substance.2. The circumstances leading to the eviction no longer exist, in that the offending household member has died or is imprisoned, or the remaining household members present appropriate documentation that the offending household member no longer resides with the family.3. As a condition to assistance, the THDA may require that a household member who has engaged in criminal activity not reside is an assisted unit.(d) Definitions. 1. Drug-Related Criminal Activity. The illegal manufacturing, sale, distribution, use, or possession with intent to manufacture, sell, distribute, or use a controlled substance as defined in the Controlled Substance Act: (http://www.deadiversion.usdoj.gov/21cfr/21usc/).2. Violent Criminal Activity. Any criminal activity, which one of its elements is the use, attempted use, or threatened use of physical force against the person or property of another.3. Alcohol-Related Criminal Activity. Any criminal activity involving the abuse of alcohol that interferes with or threatens the health, safety, or right to peaceful enjoyment of the community or neighborhood of the applicant household.4. Sex Offense. Any act defined in the Tennessee Code Annotated 40-39-202.5. Other Criminal Activity, as Defined by the THDA. Any criminal activity that the THDA determines threatens the health, safety, or right to peaceful enjoyment of the community or neighborhood of the applicant household.(e) After the initial eligibility process, if the THDA discovers through the verification process or from a report from a third party that a household member has been convicted for drug-related, alcohol-related, violent-criminal activity or other criminal activity that meets the THDA's criteria for termination of assistance, the THDA may directly verify the information with a local law enforcement agency or in some cases, if local information is not available, may process another criminal background search.(f) Appeal/Dispute Procedures. Applicants have the right to appeal and dispute any finding of a criminal record obtained by the THDA through the informal review process by providing documentation that contradicts the criminal background screening. See 0770-01-05-.31.Tenn. Comp. R. & Regs. 0770-01-05-.16
Original rule filed May 16, 1980; effective June 30, 1980. Repeal filed September 28, 2004; effective December 12, 2004. Repeal and new rule filed June 4, 2015; effective September 2, 2015. Amendments filed October 5, 2018; effective January 3, 2019. Amendments filed June 11, 2024; effective 9/9/2024.Authority: T.C.A. §§ 13-23-104 and 13-23-115(18), 42 U.S.C. § 1437, and 24 C.F.R. 982.552(c)(1)(ii).