1. (a) One hundred and eighty days prior to the date an Owner expects to begin leasing, Developments that have agreed to rent Units to households assisted by Section 811 PRA must contact Department staff and begin accepting referrals. Failure to reserve the agreed upon number of Units for 811 households will be cited as noncompliance, be referred for administrative penalties, and be considered possible grounds for debarment.
2. (b) Throughout the term of an 811 Use Agreement, Owners must maintain the required number of 811 households, and provide notice to the Department when an 811 household is expected to vacate. Notice must be provided 30 days prior to the date the household will vacate or in the event that the resident vacates without notice, upon discovery that the unit is vacant, whichever is earlier. Failure to notify the Department will be cited as noncompliance, be referred for administrative penalties, and be considered possible grounds for debarment.

3. (c) Compliance with 811 PRA requirements will be monitored at least once every three years, either through an onsite review or a desk review. During the review, Department staff will monitor for compliance with program eligibility which includes the following:

   1. (1) The household must include at least one person with a disability and who is 18 years of age or older and less than 62 years of age at the time of admission into the Development; and the person with a disability must be part of one or more of the target populations for the 811 program.
   2. (2) The household's income is less than the extremely low income limit at move in.

   3. (3) The Owner must check the criminal history related to drug use of the household. Participants in the 811 PRA program must not include:

      1. (A) Any member(s) who was evicted in the last three years from federally assisted housing for drug-related criminal activity;
      2. (B) Any member that is currently engaged in illegal use of drugs or for which the Owner has reasonable cause to believe that a member's illegal use or pattern of illegal use of a drug may interfere with the health, safety, and right to peaceful enjoyment of the property by other residents; and
      3. (C) Any household member who is subject to a State sex offender lifetime registration requirement.
   4. (4) Student Status. If the household includes a student, the student must meet all of the criteria described in HUD handbook 4350.3 par. 3-13B, as modified by the September 21, 2016, Federal Register Notice 5969-N-01.

4. (d) Noncompliance will be cited if the Development:

   1. (1) Leases to a household that is not eligible in accordance with the requirements of subsection (c)(1) - (4) of this section;
   2. (2) Fails to Use the Enterprise Income Verification system for documenting the household's income;
   3. (3) Fails to properly document and calculate deductions in order to determine adjusted income (dependent, child care, disability assistance, elderly/disabled family, unreimbursed medical expenses);

   4. (4) Fails to use the required HUD forms listed in §10.612(d) of this subchapter or the following forms when applicable:

      1. (A) EIV summary report;
      2. (B) EIV income report;
      3. (C) EIV income discrepancy report;
      4. (D) EIV No income reported;
      5. (E) EIV no income report by health and human services or social security administration;
      6. (F) EIV new hires report;
      7. (G) Existing tenant search;
      8. (H) Multiple Subsidy report;
      9. (I) Failed EIV pre-screening report;
      10. (J) Failed verification report;
      11. (K) Deceased tenants report;
      12. (L) Owner approval letter authorizing access to EIV for the EV coordinators;
      13. (M) EIV Coordinator Access Authorization form (CAAF);
      14. (N) The rules of behavior for staff that use EIV reports/data to perform their job functions; and
      15. (O) Cyber awareness challenge certificates of completion for anyone that uses EIV or has access to EIV data (annually);
   5. (5) Accepts funding that limits the ability for the Department to place the agreed upon number of 811 Units at the Development;
   6. (6) Violates §1.15 of this title (relating to Integrated Housing);
   7. (7) Fails to properly calculate the tenant portion of rent;
   8. (8) Fails to use the HUD model lease;
   9. (9) Egregiously fails to disperse 811 PRA Units throughout the Development;
   10. (10) Fails to conduct required interim certifications; or
   11. (11) Fails to conduct annual income recertification.

Source Note:The provisions of this §10.624 adopted to be effective February 11, 2019, 44 TexReg 560.