Moderate Rehabilitation Program Administrative Plan

Chapter 11:Leasing in the MOD Rehab Program

11.1 Preparing the Lease

11.1.1 Determinations and Verification

Upon execution of the HAP Contract and determination of Applicant eligibility, the BHA shall determine: the appropriate “Utility Allowance;” the “Utility Reimbursement,” if any; and the Family’s share of the rent. At the same time, the staff will ensure that the Family’s income verification is still valid in accordance with BHA the verification requirements set forth in Chapter 8 of this Administrative Plan.
 

11.1.2 Lease Effective Date

BHA staff will prepare leases that may become effective as early as the date of the HAP Contract, but no earlier than the date on which the new Tenant takes occupancy of the unit.
 

11.1.3 Term of Lease

The initial lease between the Family and the Owner will be for at least one year or the term of the HAP Contract, whichever is shorter. In cases where there is less than one year remaining on the HAP Contract, the Owner and the BHA may mutually agree to terminate the Unit from the HAP Contract instead of leasing the family to an Eligible Family. See 24 C.F.R. § 882.403(d)(1).
 

Any renewal or extension of the Lease term for any Unit will in no case extend beyond the remaining term of the HAP Contract. See 24 C.F.R. § 882.403(d)(2).
 

The procedures set forth in Section 7.4.2 of the Housing Choice Voucher Program apply when the owner would like to amend or use a lease other than the Model Lease providedby BHA.
 

11.1.4 Lease Limits for SRO Units

Leases for SRO Units will limit occupancy to one eligible individual. See 24 C.F.R. § 882.808(c).
 

11.3 Signing the Lease

The tenant must have legal capacity to enter a lease under State and local law. "Legal capacity'' means that the tenant is bound by the terms of the lease and may enforce the terms of the lease against the owner. See also, the definition of an Emancipated Minor in the Glossary.
 

Separate agreements between the Family and Owner covering items and services not included in the rent and for which the BHA is not providing assistance and is not responsible will be listed under “Additional Provisions.” The Owner cannot assess charges for items covered by the Lease and by the HAP Contract.
 

11.4 Subcontracting of Owner Services

An Owner may contract with any private or public entity to perform for a fee the services required by the AHAP, Contract or Lease. Such a contract may not shift any of the Owner’s responsibilities or obligations. See 24 C.F.R. § 882.412(a).
 

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