1. (1) Responsibility for Locating a Suitable Unit. The applicant or participant is responsible for locating a suitable unit.

   1. (a) An online database of available rental properties, TNHousingSearch.org, is provided for families to use to find available units.
   2. (b) The THDA provides households with the basic information on what is required for a unit to pass the HQS inspection.
   3. (c) The selection of the unit is the applicant’s preference as long as the unit meets the eligibility criteria.
   4. (d) If the voucher expires before an applicant locates a suitable unit, the applicant must reapply to the program, unless there is an owner or THDA-caused delay, in which case the voucher will be extended for the amount of time of the delay.

2. (2) Housing Quality Standards (HQS), Acceptable Subsidy Standards, and Criteria for Acceptable Housing (24 C.F.R. 982.4). Units are inspected according to HUD National Standards for the Physical Inspection of Real Estate (NSPIRE), must meet acceptable subsidy standards, and must conform to certain criteria for acceptable housing.

   1. (a) General Information.

      1. 1. The THDA will not inspect a unit without either the owner or an adult member or representative of the tenant household (age 18 or older) present at the unit during the inspection.
      2. 2. The THDA encourages the owner or management agent to be present at the initial move-in inspection so the inspector can answer questions about the inspection appointment.

   2. (b) Acceptable Subsidy Standards and Criteria for Acceptable Housing.

      1. 1. The rent requested by the owner must be reasonable when compared with similar, unassisted units in the same area.
      2. 2. The owner must be in good standing with the THDA and other Public Housing Authorities.
   3. (i) Owners may be barred from participation in the HCV Program for twelve

3. (12) months and may be required to attend training from an approved Fair Housing agency, when there is evidence of repeated HQS violations, Fair Housing, HAP Contract violations under the voucher or other HUD programs, fraud, and bribery.

   1. 3. The unit may not be owner-occupied, unless the household is participating in the Homeownership Voucher Program.

      1. (i) The unit may not be approved if a parent, stepparent, child, stepchild, grandparent, grandchild, sister or brother of any member of the family owns the unit, unless approving the unit is necessary as a reasonable accommodation for a household that includes a member with a disability.
      2. (ii) This rule applies to elderly households as well, unless the household includes a member with a disability.
   2. 4. The unit may not be located in a neighborhood or community with an unacceptable high rate of criminal activity as demonstrated on maps available on the THDA website through the THDA’s Research and Planning Division.
   3. 5. The unit may not have another subsidy as defined under the U.S. Housing Act of 1937, other than assistance under Section 17.
   4. 6. If the unit is located in a development, such as project-based Section 8, where some of the units receive another type of federally assisted housing, voucher holders are only permitted to occupy a unit that does not receive another federal subsidy.
   5. 7. The unit may not be a nursing home or other unit where continual medical, mental, or nursing services are provided. However, elderly, disabled, or displaced households may use Congregate Housing and elderly or disabled persons who require a planned program of continual supportive services may use Independent Group Residences, Group Homes, or Assisted Living Facilities.
   6. 8. The unit may not provide services of a penal or reformatory institution.

   7. 9. Shared housing arrangements, where more than one assisted household shares a bedroom in a facility, are not permitted by the THDA.

      1. (c) Eligible Housing Types (24 C.F.R. 982.352). The following types of housing are eligible for leasing under the HCV program if they pass HQS and meet occupancy standards:
   8. 1. Single family homes.
   9. 2. Apartments, Duplexes, Townhouses, Condominiums.
   10. 3. Mobile homes or manufactured homes where the participant leases the mobile home and the pad from the same owner.

   11. 4. For disabled and elderly households only:

       1. (i) Independent group residences.
       2. (ii) Group Homes.
       3. (iii) Assisted Living Facilities.

4. (3) Types of Inspections and General Requirements (24 C.F.R. 982.401 and 982.405).

   1. (a) Initial Inspection. A unit must be inspected and have a pass rating prior to the execution of the Housing Assistance Payment (HAP) Contract. The owner must complete all required repairs. If the unit fails the final inspection, the Request for Tenancy Approval (RTA) will be denied. This also applies to relocations for participants.

      1. 1. Scheduling of the Inspection.
   2. (i) THDA will request an inspection of the unit within three (3) business days of the approved RTA. Within fourteen (14) business days of THDA’s request, the inspector will notify the owner of the unit, schedule, and conduct the inspection.
   3. (ii) The inspector will provide the owner with the date and approximate time, within a four (4)-hour block of the inspection.
   4. (iii) A Confirmation of Scheduled Initial Inspection will be sent to the owner and tenant.
   5. (iv) The inspector will give the owner a courtesy call approximately forty-five

5. (45) minutes prior to arriving at the unit.

   1. (v) In the case of a missed inspection, the inspector will notify the owner, reschedule, and conduct the inspection within seven (7) business days.
   2. (vi) If two (2) inspection appointments are missed during the initial certification, the RTA will be cancelled, unless the second absence is due to a verified medical emergency of the owner or a household member.

   3. (vii) If an inspection of the unit has been scheduled, and the applicant/participant does not want to rent the unit, the inspection will be cancelled.

      1. (viii) The owner will ensure that the unit has the utilities (electric, gas, water, etc.) connected prior to the day of the scheduled inspection. If the utilities are not connected, the unit will not be inspected and will result in a failed inspection.
      2. 2. Notice of Initial Inspection Failure will be sent to the owner and applicant/participant within two (2) business days following a failed inspection. The notice will provide the necessary repairs and the fourteen (14)-business-day deadline to make the repair. This may be completed sooner if the issues are corrected prior to the appointment date. At the re-inspection, only the previously failed items will be inspected, unless a new failed item is observed. The deadline may be extended, by request, if it is impossible for the repair to be completed within fourteen (14) days. This must be approved by the Program Director or the assigned HQS Coordinator.

   4. (i) If the unit does not pass HQS after two inspections, the RTA will be cancelled for that unit, but the family may search for another unit if the household is still within the first 60 days of the voucher term or any reasonable accommodation extension.

      1. 3. Pass Results. If the unit passes the inspection, a HQS Compliance Notice will be sent to applicant/participant family and either left with the owner at the unit, if the owner was present for the inspection, or sent to the owner as documentation of the unit’s passed status.

   5. (b) Periodic Inspections. HCV assisted units are inspected annually and/or biennially if the units remain on the Program. Each unit must be inspected before or during the same month each year (annual) or every other year (biennial).

      1. 1. The Notice of Inspection will be sent to the owner and participant with the scheduled date and time within fourteen (14) business days prior to the inspection. An automated reminder call will be placed to the participant a minimum of forty-eight (48) hours prior to the inspection.
      2. 2. A unit that passes an inspection will be moved to a biennial inspection.
      3. 3. Missed Appointments. See Missed Appointments Policy in 0770-01-05-.20(5) OBLIGATIONS OF PARTICIPANTS (24 C.F.R. 982.551).
      4. 4. Delays in Completing the HQS Inspection.

   6. (i) Administrative Delay. If an administrative delay occurs that causes an inspection or re-inspection to be delayed, no action may be taken that negatively affects the participant or owner.

      1. 5. Extensions. The THDA policy allows extensions when a repair must be delayed due to circumstances that are not within the landlord or participant’s control (such as severely inclement weather). An extension must be requested within the initial 30-day repair period. At THDA’s discretion, extension periods are granted, not to exceed 30 days, unless approved by the Program Director or HQS Coordinator. The THDA is responsible for approving, tracking, and documenting allowable extensions. Requests for extensions must be accompanied by documentation that supports the need for the request.

   7. (i) Extensions will not be granted during the abatement period.

      1. 6. Self-Certification for Non-Life Threatening Deficiencies (NLT). HUD allows owners and participants to self-certify that repairs for NLT deficiencies have been completed. This eliminates the need for re-inspections.
      2. 7. Self-Certification Form. When the unit fails inspection, the inspector sends the Self-Certification Form and the Notice of HQS Violations to the owner and participant within two (2) business days. The owner and the participant are required to sign the Self-Certification Form verifying that all repairs are complete.
      3. 8. Self-Certifications may be sent electronically or via USPS. If mailed, the postmark date will be used to determine timeliness. If the above requirements are not completed by the 30th day, Housing Assistance Payments for the assisted unit will be abated (stopped).
      4. 9. In cases where no violations of the minimum acceptability standards are present, but one party declines to sign the self-certification form, the THDA will make a final determination about whether to pass or fail the unit.
      5. 10. Rural Development and Tax Credits may be transitioned to a biennial inspection schedule at the THDA’s discretion.

   8. (c) Interim Inspections. A unit may also be inspected at the request of the owner or the household because of a complaint or special issue, but only if the issue reported represents a potential violation of HQS.

      1. 1. Life-Threatening (LT). LT deficiencies are those conditions that, if evident in the home or on the property, present a high risk of death to a participant. If the reported deficiency is life-threatening, THDA will, within twenty-four (24) hours of notification, both inspect the housing unit and notify the owner if the LT deficiency is confirmed. The owner must then make the repairs within 24 hours of notification.
      2. 2. Non-Life-Threatening (NLT). NLT deficiencies known as severe and moderate are those conditions that, if evident in the home or on the property, affect the physical security or safety of tenant and/or property. If the reported deficiency is non-life-threatening, THDA will, within fifteen (15) days of notification, both inspect the unit and notify the owner if the deficiency is confirmed. The owner must then make the repairs within thirty (30) days of notification from THDA or within any THDA-approved extension.
   9. (i) Severe conditions are those conditions that, if evident in the home or on the property, present a high risk of permanent disability, serious injury or illness, or the physical security or safety of tenant or property is seriously compromised.

   10. (ii) Moderate conditions are those conditions that, if evident in the home or on the property, present a moderate risk of an adverse medical event requiring a healthcare visit, causes temporary harm, if left untreated causes or worsens a chronic condition that may have long-lasting adverse health effects, or the physical security or safety of tenant or property is compromised.

       1. 3. Extraordinary Circumstances. In the event of extraordinary circumstances (e.g. presidentially declared disaster area) HUD may approve an exception of the twenty-four (24) hour or the fifteen (15) day inspection requirement until such time as an inspection is feasible.
   11. (d) Quality Control Audit. A supervisory quality control inspection is conducted on a certain percent of all units under lease by the THDA. The units to be included in the quality control sample are selected at random.

6. (4) Inspection Booklets and Certifications.

   1. (a) The Inspection Booklet is completed for every inspection type and all correspondence related to HQS is retained in an electronic file. The inspector will collect all required THDA and HQS Owner Certifications. Inspectors will provide blank forms, if needed.
   2. (b) Owners are responsible for returning all owner certifications to the THDA or its agent. Failure to do so will result in a failed item on an inspection.

7. (5) Inspection Results.

   1. (a) The inspection results must be signed by the adult that allowed entry into the unit. If the unit passes the HQS inspection, a HQS Compliance Pass Letter will be sent to the owner and left with the participant family.

   2. (b) Failed Results. The inspector may perform onsite maintenance at inspected units using their own provided supplies when such replacement would eliminate the need to perform a twenty-four (24) hour emergency re-inspection or thirty (30) day re-inspection at the unit (repair/replace damaged or missing light switch and outlet covers; repair/replace missing smoke alarm batteries). The Inspector is not obligated to provide such maintenance when other repair items are found that would require re-inspection of the unit within twenty-four (24) hours (for emergency repair items) or thirty (30) days (for routine items).

      1. 1. If other non-compliant fail items are present, the inspector will send the Notice of HQS Violations to the owner and participant family within three (3) business days. The necessary repairs will indicate who is responsible for the repairs, the THDA action that will result from non-compliance, and the requirement of self- certification for non-emergency items.

8. (6) Abatement.

   1. (a) When a repair is not completed within the 30-day repair period, Housing Assistance Payments (HAP) are suspended for an additional 30 days. This is known as the Abatement Period. If the repairs are completed and the Self-Certification is submitted within the abatement period, the HAP will resume. THDA does not retroactively issue HAP for abated units and the participant is not responsible for the abated HAP. If later the THDA determines that certified repairs were not made, the THDA will deduct HAP, terminate the HAP Contract, terminate the participant’s assistance, and disbar the owner from program participation.

      1. 1. An owner may not terminate the tenancy of any family due to withholding or abatement of assistance.

   2. (i) During the period that assistance is abated, the family may terminate the tenancy by notifying the owner and THDA. If the family chooses to terminate the tenancy, the HAP contract will automatically terminate on the effective date of the tenancy termination or the date the family vacates the unit, whichever is earlier. THDA must promptly issue the family a relocation voucher.

      1. 2. Failure to Repair and Certify Timely (24 C.F.R. 982.404). If the owner or participant fail to complete repairs, sign the Self-Certification Form, or submit a completed Self-Certification form by the 30-day deadline or by the extension deadline, the following actions will be taken:
   3. (i) Owner’s Responsibility. If the repairs are not made by the end of the abatement period, the HAP contract will be terminated and the participant will be issued a relocation voucher.

   4. (ii) Participant’s Responsibility. If the repairs are not made by the end of the 30-day repair period, a proposed termination will be issued to the participant and the family’s assistance is terminated; the HAP Contract will be terminated in thirty (30) days.

      1. (I) The participant has the right to appeal a termination decision that results from the failure to make HQS repairs.

   5. (iii) If either party does not make the repairs at the end of the 30-day repair period, the unit will be abated and the participant will be issued a proposed termination.

      1. 3. Special Circumstances.
   6. (i) Owner and Participant Responsibility. In cases where there is a discrepancy, THDA will investigate. For example, in cases where one party completes the repairs and the other party is unwilling/unable to sign the self-certification form, THDA will determine if the repairs are completed satisfactorily. If the repairs are the participant’s responsibility, the family may be issued a proposed termination and the landlord may not be abated.
   7. (ii) Affidavit in Lieu of Self-Certification. In cases when the landlord and/or participant claim that the self-certification was submitted, but it was not received, the THDA may accept an affidavit in lieu of the self-certification. The THDA will consider the self-certification as timely.

9. (7) Life-Threatening Deficiencies.

   1. (a) Life-Threatening (LT) Deficiencies include, but are not limited to:

      1. 1. Bathtub or shower, where only one (1) is present in the unit, and it is inoperable or does not drain;
      2. 2. Call-for-aid system is blocked, pull cord is higher than six (6) inches off floor, or does not emit sound, light, or send a signal to the annunciator;
      3. 3. Smoke alarm or carbon monoxide alarm is missing, not installed, not installed in a proper location, is obstructed, does not produce audio or visual alarm;
      4. 4. Damaged or incomplete chimney unit such that it may not safely contain fire and convey smoke and combustion gases to the exterior;
      5. 5. Electric or gas clothes dryer transition duct is detached, missing, or constructed of unsuitable material or the ventilation system has restricted airflow;
      6. 6. Entry door and/or fire labeled door is missing;
      7. 7. Obstructed means of egress;
      8. 8. Outlet or switch is damaged, including exposed electrical conductor or water in contact with conductor;
      9. 9. Overcurrent protection device (fuse or breaker) is damaged;
      10. 10. Exit sign is damaged, missing, obstructed, or not adequately illuminated;
      11. 11. Fire escape component is damaged or missing;
      12. 12. Fire extinguisher is damaged or missing, pressure gauge reads over- or under- charged, or service tag is missing, illegible, or expired;
      13. 13. Combustible materials or improperly stored chemicals near the gas water heater or gas furnace;
      14. 14. Guardrail is missing, not installed, or not functionally adequate;
      15. 15. The permanently installed heating source is inoperable or interior temperature is 64 degrees Fahrenheit between October 1 and March 31;
      16. 16. Unvented space heater that burns gas, oil, or kerosene is present;
      17. 17. Fuel burning heating system or device exhaust vent is misaligned, blocked, disconnected, improperly connected, damaged, or missing; or combustion chamber cover or gas shutoff valve is missing;
      18. 18. Natural gas, propane, or oil leak;
      19. 19. Presence of mold-like substance at extremely high levels is observed visually (cumulative area of patches is more than 9 square foot in a room);
      20. 20. Sprinkler head assembly is encased or obstructed by an item or object that is within 18 inches of the sprinkler head or sprinkler head assembly or component is damaged, inoperable, missing and it is detrimental to performance, has evidence of corrosion or foreign material that is detrimental to performance;
      21. 21. Structural system exhibits signs of serious failure;
      22. 22. Toilet, where only 1 is present in unit, is missing, damaged, or inoperable; or
      23. 23. Water heater chimney or flue piping is blocked, misaligned, or missing; or gas shutoff valve is damaged, missing, or not installed.

   2. (b) Deadline for LT Deficiencies. Such conditions must be corrected within twenty-four (24) hours of the repair notice or the HAP will be abated or terminated, depending on the circumstances as outlined below.

      1. 1. Extension of LT Deficiencies. A short extension of no more than forty-eight (48) hours will be given where the owner or participant cannot be reached or if it is impossible to repair within the twenty-four (24) hour period, i.e., it is a weekend, etc.

   3. (c) Owner Responsibility for LT Deficiencies.

      1. 1. If the owner is responsible for the repair, the owner must correct the condition or the HAP contract will be abated immediately and the participant will be issued a voucher to relocate.
      2. 2. If the owner takes steps to correct the condition, but it is impossible for the condition to be corrected in twenty-four (24) hours; the participant does not want to relocate; and the family wants and is able to make alternative living arrangements during the repairs, the HAP will be abated until repairs are complete for a maximum of thirty (30) days. If the participant is unable to find alternate housing, the household must be relocated and the HAP contract will be terminated.

   4. (d) Participant Responsibility for LT Deficiencies.

      1. 1. If an HQS violation caused by the family is identified as a LT deficiency, the family must correct the condition within twenty-four (24) hours. If deficiencies are not remedied, assistance will be terminated.
   5. (i) For other family-caused deficiencies, the family must correct the deficiency within 30 calendar days of notification or any THDA-approved extension.
   6. (e) If any of the above LT Deficiency conditions can be remedied in such a manner that the health and safety of the occupants is not compromised, the Inspection Booklet must be documented with an explanation of the manner taken to temporarily remedy the situation, but the LT Deficiency guidelines will not be required.

10. (8) Lead-Based Paint Standards. Lead-based paint is only an HQS issue if the unit was built before 1978 and there is a child under age six (6) who resides, or is expected to reside in the unit, which includes a pregnant woman.

    1. (a) This rule is not applicable to 0-bedroom units, units specifically designated or reserved for households of elderly or disabled persons, units that have been tested and have been certified to be free of lead-based paint, or units in which all lead-based paint was identified, was removed, and passed a clearance examination.

    2. (b) Inspection Requirements and General Actions.

       1. 1. For units that were not constructed prior to 1978, owners are not required to have their units tested for the presence of lead-based paint. However, if the owner chooses to have the unit tested, the owner must employ an entity certified by the State of Tennessee to conduct the test. If the unit is found to be lead-free, a copy of the certification must be given to the tenant and a copy must be maintained in the tenant’s file.
       2. 2. Units constructed prior to 1978 with a child under six (6) years old must be visually assessed (inspected) for deteriorated paint surfaces on the interior and exterior of the unit, prior to execution of the HAP Contract at move-in, and at each annual recertification.
       3. 3. All painted interior surfaces within the unit should be inspected for deteriorated paint. This includes ceilings, walls, floors, doors, windows, baseboard, trim, etc. Furniture is excluded from the inspection.
       4. 4. The entrance and hallway providing ingress and egress to a unit in a multi-unit building should be inspected for deteriorated paint.
       5. 5. Exterior surfaces including walls, stairs, decks, porches, railings, windows, and doors should be inspected for deteriorated paint. This includes outbuildings such as garages and sheds. In multi-unit complexes, laundry rooms and playgrounds should be inspected for deteriorated paint.
       6. 6. All deteriorated paint that is identified during the inspection must be stabilized, except units that have been tested and found to be lead-free, or when the deterioration is limited to hairline cracks or small nicks, scratches, or nail holes. However, the area of deteriorated paint must be determined to permit the inspector to know how to proceed.
       7. 7. If the area of deteriorated paint exceeds set de minimis levels, a person who has received training in lead-safe work practices through a HUD-approved training course must stabilize the paint. Proof of the training is required, or the owner must employ a person or company certified by the State of Tennessee to conduct the lead-hazard control activities.
       8. 8. The de minimis levels are:
    3. (i) 20 square feet on exterior surfaces.
    4. (ii) 2 square feet in any one interior room or space.
    5. (iii) 10% of a type of building component with a small surface area, such as painted windowsills, on interior and exterior surfaces.
    6. (c) Cost of Stabilizing Deteriorated Paint. Even though the THDA may not provide assistance until the deteriorated paint surfaces have stabilized, the THDA is not responsible for paying the costs incurred when stabilizing deteriorated paint.

    7. (d) Clearance Examinations.

       1. 1. The unit does not pass HQS until the unit passes the Clearance Examination.
       2. 2. Once the deteriorated paint has stabilized, the unit must be visually assessed (inspected) by the THDA or its agent to ensure that the area of deteriorated paint has been repaired and all visible dust, debris or residue has been eliminated.
       3. 3. Once the unit has passed the visual assessment, the owner must employ an entity certified by the State of Tennessee to conduct a Clearance Examination and the entity cannot be the same as the one that performed the lead-hazard control activities.
       4. 4. Once the unit passes the Clearance Examination, within fifteen (15) calendar days of receipt of the results, the owner must supply the tenant and the THDA with the certification.
       5. 5. The owner must certify, using the certification in the Inspection Booklet, that the deteriorated paint was stabilized in accordance with HUD regulations. The owner must also attach a copy of the certifications from the entity that conducted the lead-hazard control work and the clearance examination must be attached to the owner’s certification.
       6. 6. The owner must maintain the unit to ensure the paint remains intact.

    8. (e) Child with an Environmental Intervention Blood Lead Level. If a child under the age of six (6) is identified by a public health department or other medical health care provider as having an Environmental Intervention Blood Lead Level (EIBLL), a risk assessment of the dwelling unit must be conducted (24 C.F.R. 35.1225).

       1. 1. The THDA must contact the Child Health Director of the Tennessee Department of Health and the Tennessee Department of Health will then contact the Tennessee Department of Environment and Conservation, which will be responsible for conducting the Risk Assessment with fifteen (15) days of notification.
       2. 2. The assessor will issue a report to the THDA explaining the results of the investigation, as well as options and requirements for reducing lead-based paint hazards and the THDA must provide the report to the owner, who must notify the tenant of the results of the Risk Assessment within fifteen (15) days of receipt of the report from the THDA.
       3. 3. If a lead-poisoned child is identified in a unit, any lead hazards identified in the risk assessment must be corrected. Clearance must be achieved, within thirty

11. (30) calendar days of the issuance of the risk assessment, or the date specified by the THDA if an extension is granted for an exterior surface, before the unit can receive rental assistance, even if the lead-poisoned child is no longer present in the unit.

    1. (i) The appropriate method of correction should be identified in the Risk Assessment.
    2. (ii) Paint Stabilization. If the Risk Assessment states that just paint stabilization is required, then the owner may perform the paint stabilization if he, or someone he employees, has completed a HUD-approved training course.
    3. (iii) Other Lead-Hazard Reduction Work. For every other type of lead-hazard reduction work, such as abatement, interim controls, and dust and soil contamination controls, the owner must hire an entity certified by the State of Tennessee to perform the work.
    4. (iv) Clearance Examination. Once the lead-hazard reduction work is completed, the unit does not pass the HQS until the unit passes a Clearance Examination. The Clearance Examination cannot be performed by the same entity who performs the lead-hazard reduction work. See the Clearance Examinations requirements in 0770-01-05-.23(8)(d). The owner must notify the tenant and the THDA of the results of the Clearance Examination within fifteen (15) days.
    5. (v) Companies Certified by the State of Tennessee. The owner must contact the Tennessee Department of Environment and Conservation to obtain a list of companies certified by the State of Tennessee to perform lead- hazard reduction work. The list is continually updated.
12. (9) Enforcement of HQS (24 C.F.R. 982.407). A tenant has no right to require enforcement of the HQS requirements by HUD or THDA, or to assert any claim against HUD or THDA, for damages, injunction, or other relief for alleged failure to enforce the HQS.

Authority: T.C.A. §§ 13-23-102, 13-23-104, and 13-23-115(18), 42 U.S.C. § 1437, 24 C.F.R. 35.1225, and 24 C.F.R., Part 982. Administrative History: 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 September 9, 2024. Emergency rules filed January 13, 2026; effective through July 12, 2026.