1. (a)

   1. (1) The Arkansas Development Finance Authority requires files to be maintained in a consistent order.
   2. (2) The authority’s staff will randomly select and review at least twenty percent (20%) of current tenant files, as required by the Internal Revenue Service.
   3. (3) First-year tenant files must also be available on site for review.

2. (b) The authority’s staff will conduct a thorough examination to:

   1. (1) Ensure that all documents are completed, signed, and dated by all appropriate parties;
   2. (2) Compare tenant files to WCMS data entries;
   3. (3) Review initial Tenant Income Certifications;

   4. (4) Review executed leases for:

      1. (A) The initial lease term of six (6) months or longer; and
      2. (B) For rents charged for each LIHTC unit;
   5. (5) Review signed authorization for release of income, employment, and asset information;
   6. (6) Review and document annual income, subsidized rent, tenant contribution, utility allowance, and gross rent for compliance with LIHTC program limits;
   7. (7) Ensure that third-party income verifications are completed, signed, and dated by all parties;
   8. (8) Ensure that appropriate asset income verifications are used;
   9. (9) Ensure that income recertifications are completed within the twelve-month period;
   10. (10) Review original tenant applications;
   11. (11) Review student eligibility guidelines;
   12. (12) Review unit inspection forms (unit inspections are recommended quarterly) and maintenance records; and
   13. (13) Review tenant complaint forms, responses, and other correspondence.

3. (c)

   1. (1) The authority recommends the use of files divided into sections as follows with the latest information on top.
   2. (2) This list is not meant to be all-inclusive.

4. (d) Section I — Eligibility.

   1. (1) Original signed tenant application.
   2. (2) Credit check.
   3. (3) Criminal background check.
   4. (4) Check of landlord references.
   5. (5) Copy of birth certificate, if applicable.
   6. (6) Copy of driver’s license or other photo ID, if applicable.
   7. (7) Copy of Social Security card, if applicable, or Social Security number or alien registration number.

5. (e) Section II — Certification.

   1. (1) Move-in Tenant Income Certification.
   2. (2) Affidavit of alimony or child support.
   3. (3) Authorization of release of information/disclosures.
   4. (4) Real estate verification.
   5. (5) Worksheet and calculator tape supporting determination of resident eligibility.
   6. (6) Statement of student status, if applicable.
   7. (7) Third-party verifications of income.
   8. (8) Tax returns or other self-employment verification, if applicable.
   9. (9) Social Security payment letters.
   10. (10) Zero income statement, if applicable.
   11. (11) Worksheet of basic needs contribution, also known as certification of daily needs.
   12. (12) Bank statements.
   13. (13) Asset statements and verifications.
   14. (14) Telephone conversation reports clarifying third-party verifications or other similar circumstances, if applicable.
   15. (15) Annual signed recertifications.
   16. (16) Each year's recertification packet should be separated with a sheet of colored paper.

6. (f) Section III — Occupancy.

   1. (1) Signed leases.
   2. (2) Lease addendums (e.g., LIHTC requirements, smoke detector rules, etc.).
   3. (3) Site rules and regulations.
   4. (4) Security deposit rules.
   5. (5) Pet information/signed agreement.
   6. (6) Rent and income limits for each year of compliance.
   7. (7) Copy of annual utility allowances for each year of compliance.
   8. (8) Current amount of rental assistance payments.
   9. (9) Current amount of rent paid by tenant.
   10. (10) Copies of tenant's checks or receipts, if applicable.
   11. (11) Signed tenant agreements.

7. (g) Section IV — Correspondence.

   1. (1) Correspondence between tenant and manager.
   2. (2) One hundred twenty-day, ninety-day, sixty-day, and thirty-day recertification notices.
   3. (3) Thirty-day notice of rent increase.
   4. (4) Copy of signed warning notices.
   5. (5) Inspection notifications.
   6. (6) Any brochures (e.g., guide to keeping unit clean).
   7. (7) Permission to enter forms.

8. (h)

   1. (1) Section V — Maintenance.

      1. (A) Proof of move-in inspection signed by tenant and manager.
      2. (B) Proof of quarterly unit inspections and maintenance requests.
      3. (C)

9. (i) Form for maintenance calls for repairs needed or requested.

   1. (ii) Nonemergency repairs must be made within thirty (30) days.

      1. (iii) Life/health/safety repairs must be completed within twenty-four (24) hours.
      2. (D) Copies of work orders.
      3. (E) Copies of receipts or proof of completion.
      4. (F) Proof of move-out inspection signed by tenant and manager.
   2. (2) The above-mentioned documents under subdivision (h)(1) of this section may also be maintained in a separate unit maintenance folder.

Codification Notes: "LIHTC" means low-income housing tax credit.