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Chapter 7: Current State Rent Calculation and Verifications (in effect until December 1, 2024) 

  1. Overview 

The accurate calculation of Annual Income and Adjusted Income will ensure that families are not paying more or less money for rent than their obligation under the regulations. 

HUD regulations require that the factors of eligibility and Total Tenant Payment be verified by NYCHA. Applicants and program tenants must furnish proof of their statements whenever required by NYCHA, and the information they provide must be true and complete. NYCHA's verification policies are designed to meet HUD's requirements and to maintain program integrity. 

  1. Consent to the Housing Authority’s Collection and Use of Family Information  

Each family member aged 18 years or older must sign the Authorization for the Release of Information/Privacy Act (HUD-9886) and other consent forms as needed to permit the Housing Authority to collect information relevant to the family’s eligibility.  

  1. Anticipated Annual Income  

 Annual adjusted income is used to determine rent and eligibility for continued occupancy. It is defined as the anticipated yearly gross income from all sources received by the lessee or co-lessee (even if they are temporarily absent), and each authorized household member, less any applicable deductions.  

There are eight (8) general categories of income included in annual income:  

    • Employment;  
    • Own business net income;  
    • Asset income; 
    • Full amount of recurring sums received from Social Security (SS), annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts (excluding lump sum SS and Supplemental Security Income [SSI] payments). Refer to Section (d)(i) of this chapter, Nonrecurring or Sporadic Income or Benefit Reimbursement, for more information; 
    • Income received in place of earnings (e.g. unemployment, workers compensation);  
    • Welfare assistance payments;  
    • Alimony and child support; and 
    • Military pay. Refer to Section (c)(xi) of this chapter, Military Pay, for more information. 

The lessee’s, co-lessee’s, and authorized household members’ current earned income will be used to project their income for the year.  

If there is a change to any household member’s income later in the year, the lessee may submit an Interim Recertification request, and the household’s rent may be recalculated. 

    1. Wages and Related Compensation 

Income from employment consists of the gross amount of salaries, wages, tips, commissions, bonuses, and overtime wages before payroll deductions. Each employed household member must submit at least two paystubs from his or her employer which shows the current rate of pay. If he or she is unable to produce two paystubs, the employed household member must have NYCHA Form 040.013, Verification of Employment – Employer, completed and signed by his or her employer to verify the current income.  

Property Management staff may telephone or mail the employer for additional information or clarity concerning information submitted by the tenant on NYCHA Form 040.013, Verification of Employment – Employer. 

For full-time students 18 years of age and older, income equal to or less than $480 is included, and any income in excess of $480 is excluded, except for the lessee, co-lessee, or spouse. Refer to Section (d) of this chapter, Excluded Income Sources, for more information. 

    1. Business and Self-employment Income 

Examples of self-employment or privately-owned business activities include but are not limited to:  

      • Child care;  
      • Cosmetology (beauticians/barbers); 
      • Car service/taxi drivers/ride sharing; 
      • Street vending; 
      • Housekeeping; 
      • Independent contractors; and  
      • Computer-based business. 
    1. Social Security 
      1. Old Age Survivor's Insurance (OASI)  

The Social Security Administration (SSA) provides a monthly benefit that retired employees receive based on their employment history. The benefits are payable to the insured employee, as well as to other household members (i.e. spouse, dependent, surviving children, or dependent parents). Lump sum deferred periodic payments are not included as income.  

      1. Social Security Disability (SSD)/Old Age Survivor's Disability Insurance (OASDI)  

SSD/OASDI is a monthly benefit received from the federal government if a tenant or authorized household member is not eligible for regular SS benefits, but must stop working because of a disability. Minor children may be entitled to a small portion of their parent's benefits. 

Medicare, a Federal health insurance program, is available for OASI, SSD, OASDI recipients who are 65 years of age; or are disabled, regardless of age, provided they have been entitled to the benefits for 2 or more consecutive years.  

Medicare premiums are included in gross income calculations, but not if the recipient also receives SSI. 

    1. Supplemental Security Income 

SSI, administered by the SSA, pays a monthly benefit to people with low incomes and limited assets who are 65 years of age or older, blind, or disabled. 

    1. Treatment of Overpayment Deductions from Social Security Benefits 

Reduction in a periodic payment because of prior overpayment is not considered a deduction. Only the actual amount received during the reduction period is included as income. 

    1. Veteran’s Disability Benefits 

The federal government pays disability benefits to disabled individuals who have served in the Armed Forces of the United States. The widow(er) of a veteran entitled to a pension may also receive benefits from the United States Department of Veterans Affairs (VA). 

    1. Pensions, Annuities and Other Periodic Benefits 

Pensions and annuities are retirement benefits received by the tenant on a regularly scheduled basis. Military pensions are included in this category. 

    1. Unemployment, Disability, Worker’s Compensation and Severance Pay 

      1. State Unemployment Insurance Benefits (UIB) 

UIB are compensation paid to a lessee or authorized household member who is not working due to a layoff or strike. Benefit rates and eligibility are based upon the household member's recent history of employment. Benefits are payable for 6 months, unless Extended or Emergency Benefits are granted. 

      1. Non-Governmental Unemployment Insurance Benefits 

Employees may receive unemployment benefits from unions, fraternal organizations, or other non-governmental sources. These benefits are included in the employee’s income in addition to any other unemployment benefits they receive. 

      1. Workers' Compensation  

Workers' compensation may be paid due to an on-the-job injury. Awards may be for total or partial disability, and the employee may continue to work. If the employee dies, the award may go to their dependent(s). 

      1. New York State Disability  

New York State Disability Insurance program provides weekly cash payments to protect employees against total wage loss from an off-the-job accident and/or illness. The weekly benefit is paid during temporary total disability. The benefit is based on the employee's average weekly wages for the 8 weeks prior to the disability. 

    1. Public Assistance Income 

A full-public-assistance household is one where public assistance is the only source of income. If there are authorized household members who are not listed on the Human Resources Administration (HRA) Budget Letter, they receive no income.  

The rent for a full-public-assistance household is set based on the HRA shelter allowances table. The HRA Shelter Allowance is different for families with and without children. Full-public-assistance households do not receive income deductions. 

If the tenant or an authorized household member has been sanctioned by public assistance, the full amount the tenant or authorized household member should receive must still be counted. 

    1. Alimony and Child Support 

Payments are determined by court order or a written agreement between the parties.  

      1. Alimony  

Alimony is financial support paid to an adult by another adult who is not a household member.  

      1. Child Support  

Child support is payment for the support of a child or children in the household made by an adult who is not a household member.  

When a lessee or authorized household member receives public assistance, the court can elect to have the alimony or child support paid to the tenant through HRA. Regardless of the amount of money paid to HRA for child support or alimony, that household member will receive only $50 per month in addition to the basic allowance. However, if the household member receives the money directly, the basic allowance is reduced to reflect the additional income received. 

    1. Military Pay 

      1. Included in income  

Regular pay, special pay, and allowances a member of the Armed Services, who is a lessee or authorized household member, receives.  

      1. Excluded from income  

Special pay to a lessee or authorized household member serving in the Armed Forces who is exposed to hostile fire. This is the only income earned by service persons who are lessees or authorized household members that is not included in household income. 

    1. Regular Contributions 

Monetary support a lessee or authorized household member receives regularly from an outside source, either from individuals or organizations. Contributions are not necessarily monetary amounts given directly to the household; but also include regular payments of a bill or expense. 

    1. Odd Jobs/Non-traditional Income without Expenses 

Longshoremen’s Earnings – Longshoremen who qualify receive pay for any day of work they are clocked in for, regardless of whether there is work for them. If work is available, the worker is paid for the work performed, which may include overtime.  

    1. Lottery Winnings 

Amounts that include lottery or sweepstakes winnings paid in installments.  

    1. Income from Assets  

Assets include anything that has monetary value. The value of a permanent authorized household member’s assets may affect the household’s annual income and rent. Actual or imputed income generated from an asset is included in household income in calculating rent. In the Public Housing Program, there are no asset limits, and lessees and authorized household members are not required to convert any of their assets to cash. All asset income must be verified. 

Refer to Section (e) of this chapter, Assets, for more information. 

      1. Actual Income from Assets 

Actual anticipated income from assets is the amount of income the assets are expected to produce in the next 12 months.  Some assets may not produce any income. 

      1. Cash Value of Asset 

The cash value of an asset is the market value minus any verified “reasonable costs” that would be incurred by the lessee or authorized household member when disposing of real property, savings, stocks, bonds, or other forms of capital investment. 

      1. Imputed Asset Income 

Imputed asset income is the income that would be received from an asset if it were converted to cash, and the cash were placed in a savings account earning a set passbook interest rate. 

      1. Market Value of an Asset 

The market value of an asset is the worth of the asset if it were offered for sale on the open market. 

  1. Excluded Income Sources  

To reflect an accurate record of the household’s income, the lessee and all authorized household members must report all income, even if it is from an excluded source. These exempt income sources are excluded from the household’s net income, which is used to set rent.  

Property Management staff must not count any excluded income when calculating household rent even if the only monies a household receives are from an excluded source.  

Households in which the only income source is from an excluded source are not required to complete NYCHA Form 040.481, Zero Income Questionnaire. The Zero Income Questionnaire must only be completed for households that have no reported income.  

The housing assistant must make every effort to verify income documentation. If staff finds that the household has no other income after using all the verification levels to verify, the rent will be set at the minimum rent, zero ($0). The lessee must complete NYCHA Form 040.481, Zero Income Questionnaire, on a quarterly basis. Refer to Section (g)(iii)(12) of this chapter, Zero Income, for more information. 

    1. Nonrecurring or Sporadic Income or Benefit Reimbursement  
      • Casual, nonrecurring, or sporadic income is defined as income that is unpredictable, not reliable or periodic, or unlikely to reoccur. This includes occasional weekend, holiday work, or irregular gifts. 
      • Payments specifically for, or in reimbursement of, the cost of medical expenses. This includes prescription drug discount card benefits.  
      • Lump sum assets such as inheritances, insurance payments (including payments under health and accident insurance, and workers’ compensation), capital gains, and settlement for personal property losses.  
      • Hazardous duty pays to a lessee or authorized household member in the Armed Forces away from home and exposed to hostile fire. 
      • Compensation from the Mustering-out Payment Act or Lump Sum Death Benefits from military service.  
      • One-time recovery payments to beneficiaries of SS, SSI, unemployment, certain railroad retirement programs, veterans’ retirement, and disability under programs such as the American Recovery and Reinvestment Act (ARRA) and the Coronavirus Aid, Relief, and Economic Security Act (CARES). 
      • Income from Persons with Temporary Permission to Live in Household  
        • Temporary Permission 
          The income of persons with temporary permission to live in the household does not have to be reported to NYCHA and is not included in the income calculation. The tenant must have written permission from the property manager via NYCHA Form 040.297D, Request to Add a New Household Member (Permanent/Temporary), for the person to live in the household on a temporary basis only.  
        • Permanent Permission
          Income for new authorized household members with permission to live in the household on a permanent basis must be reported. 
    1. Disabled or Elderly Assistance  

      1. Care of Foster Adults 

Payments made to the tenant or authorized household members who care for individuals, unrelated to the foster household, who have disabilities, and are unable to live alone.  

      1. State Homecare Payments 

Payments made to offset the cost of equipment and services needed to keep a developmentally disabled tenant or authorized household member at home.  

      1. Plan for Achieving Self-support (PASS) 

Payments made to persons pursuing a PASS which has been approved by the Secretary of the U.S. Department of Health and Human Services (HHS).  

      1. Live-in Aide's Income 

A person who resides with an elderly, disabled, or handicapped person(s) and who NYCHA has determined: 

        • Is essential to the care and well-being of the person; 
        • Is not obligated for the support of the person; and 
        • Would not be living in the unit except to provide necessary support services. 

The Live-In Aide receives temporary permission only, not permanent permission. The income of a person with temporary permission is not included in household income. 

      1. Title V Employment, funded under Title V of the Older Americans Act of 1965 

Service community employment programs for unemployed persons who are 55 years of age or older. 

      1. Title II Employment, Subtitle A, of the Americans with Disabilities Act 

Service community employment programs for unemployed people with disabilities. 

    1. Educational Assistance  

      1. Title IV Scholarships 

Scholarships funded under Title IV of the Higher Education Act of 1965 that are used to cover the cost of attendance at an educational institution.  

      1. Other Scholarships  

Scholarships paid directly to the student or the educational institution, and used for tuition, fees, books, equipment, materials, supplies, transportation, and/or miscellaneous personal expenses.  

      1. Veterans' Benefits 

Payments by the government to veterans, and used for tuition, fees, books, equipment, materials, supplies, transportation, and/or miscellaneous personal expenses.  

      1. Student Assistance 

All payments received from scholarships, educational entitlement, grants, work study programs, and/or financial aid packages, even if earmarked for general living expenses. 

      1. LIHTC Full-Time Student Eligibility 

A household must qualify under the full-time student rule to get a LIHTC unit. 

        • A full-time student is someone who attends (or plans to attend) school on a full-time basis for at least 5 months out of the current year. 
          • The 5 months do not need to be consecutive. 
          • NYCHA must verify the full-time status of the student with the educational institution he or she attends. 
          • A child in grades K-12 is considered a full-time student. 
        • An unborn child is counted as a household member for selecting the household’s income limit. An unborn child is included as a household member when applying the student rule. 
        • Development staff must use NYCHA Form 040.824, Student Status Verification, to document a tenant’s compliance with the full-time student rule at every Initial Certification and Annual Recertification. A family that is no longer in compliance with the full-time student rule cannot get a tax credit unit. 
    1. Income Received by/for Children  

      1. Employment 

Earned income of children under 18 years of age; includes foster children, but not the lessee, co-lessee, or spouse.  

      1. Foster Care 

Payments to an adult in the household for the care of foster children by the child services agency.  

      1. Adoption Assistance Payments 

All payments for the care of adopted children over $480 per adopted child.  

      1. Kinship Guardian Assistant Payments (Kin-GAP) and Other Kinship Care 

Payments for children living with a related legal guardian. 

    1. Training and Service  
      1. National Volunteer Programs 

Programs that assist small businesses and promote volunteer service by persons with business experience. This includes:  

        • Service Corps of Retired Executives (SCORE); and  
        • Active Corps of Executives (ACE).  
      1. Tenant Service Stipends 

Payments made to the tenant and/or authorized household members, not exceeding $200 per month, for performing services for NYCHA to enhance tenants’ quality of life.  

If the stipend exceeds $200/month, include the full amount in the income calculation; not just the portion that exceeds $200.  

A household may receive more than one stipend; however, only one stipend per tenant and/or authorized household member can be excluded. 

      1. Training Programs 

Payments received under a state or local employment or tenant management training program that is a component of a program with clearly defined goals, such as on-the-job training or an apprenticeship.  

Only the compensation that is received as part of the program is excluded.  

      1. JTPA 

Payments to trainees.  

      1. Comprehensive Grant 

Payments for training funded by Comprehensive Grant. 

      1. Domestic Volunteer Service Act of 1978 

Payments to volunteers. 

    1. Earned Income Disallowance 

(24 CFR 960.255) 

NYCHA grants qualified residents and household members an EID so that the household does not receive a rent increase after experiencing one of three qualifying events: (i) earning income from employment after unemployment; (ii) earning income from employment during participation in an economic self-sufficiency or job training program; or (iii) earning income from employment after receiving welfare.  

Based on 2016 regulatory changes at 24 CFR 5.617 and 960.255, eligible residents who experience a “qualifying event” after May 9, 2016 will have increased earnings excluded from their household’s rent calculations for a one-time, 24-month period.  

EID is a per-member, not per-household, benefit. Therefore, a single household may receive multiple income disallowances if multiple family members qualify for EID. 

The disallowances run for 24 consecutive months: 100 percent of the household member’s earned income is excluded for the first 12 months and 50 percent of the household member’s earned income is excluded for the second 12 months. 

      1. Elimination of EID  

No new families may be enrolled in EID after January 1, 2024.  

      1. Eligible Persons 

A head of household, co-head of household (if applicable) or household member is eligible for EID prior to January 1, 2024, if they meet the following requirements at the time of a qualifying event. They must be: 

        • A United States citizen or have eligible non-citizen status; 
        • An adult (18 years or older); 
        • Paying income-based rent or welfare rent; and 
        • A first-time EID beneficiary. 
      1. Ineligible Persons 

Persons ineligible to receive EID: 

        • Applicants;   
        • Individuals with temporary permission, ineligible non-citizen status, or under 18 years of age; 
        • Individuals in households that did not sign a public housing lease (i.e. resident employees, resident police officers, resident site caretakers, and resident superintendents); 
        • Individuals who already received EID under the old policy; and 
        • Individuals from households where the household rent is set at the flat rent. 
        • Individuals who seek to enroll in EID on or after January 1, 2024. 
      1. Baseline Income 

Baseline Income is the eligible resident’s or household member’s annual income immediately before the EID start date. The baseline income does not change during the duration of the EID period. 

      1. EID Start Date 

EID begins on the first of the month following the date of the qualifying event. The EID start date remains the same even if NYCHA does not learn of the qualifying event until months later. 

      1. EID Exclusion Time Periods 

The EID exclusion period is 24 consecutive months. 

        • For the first 12 months after the qualifying event (i.e., starting on the EID start date), 100 percent of the income above the baseline income is excluded from the rent calculation. 
        • For the second 12 months, 50 percent of the income above the baseline is excluded from the rent calculation. 
      1. Household Member Moveout with EID 

An eligible resident, co-resident (if applicable) or household member who started EID in one apartment and leaves before the 24 months expired can benefit from the remaining EID balance when he or she comes back to the same apartment or transfers to another public housing apartment. 

If the person that moves out or transfers had an existing four (4) year EID, he or she may leave the household and either (a) return to the same household or (b) transfer to another public housing household. The unexpired portion of EID will continue until it expires. 

 

    1. Miscellaneous  

      1. Holocaust Reparations
        Payments made by a foreign government pursuant to claims filed under the laws of that country's government by persons who were persecuted during the Nazi era.  
      2. Agent Orange Settlement Fund (AOSF)
        Payments to Vietnam-era Veterans exposed to Agent Orange.  
      3. State Rent Credits and Rebates for Property Taxes
        Full amount of payments. 
      4. Grants or Contributions for Elder/Disabled Care 
      5. Payments or allowances made under the HHS' Low-Income Home Energy Assistance Program (HEAP) 
    1. Supplemental Nutrition Assistance Program (SNAP) Food Stamps  

The value of the allotment provided to an eligible household for coupons under the Food Stamp Act of 1977. 

    1. Reparations to Native Americans  
      • Income derived from the disposition of funds of the Grand River Band of Ottawa Indians.  
      • The first $2000 of per capita shares received from judgment funds awarded by the Indian Claims Commission and the Court of Claims, or from funds held in trust for an Indian tribe by the Secretary of the Interior.  
      • Maine Indian Claims Settlement Act of 1980 (MICSA).  
      • Payments received under the Alaska Native Claims Settlement Act (ANCSA).  
      • Income derived from certain sub-marginal land of the United States that is held in trust for certain Indian tribes. 
    1. Income Derived Solely from Excludable Sources  

If a tenant or authorized household member derives income solely from excludable sources, this income does not count. 

  1. Assets  

Asset Definition 

Assets include anything that has monetary value. The value of a permanent authorized household member’s assets may affect the household’s annual income and rent. Actual or imputed income generated from an asset is included in household income in calculating rent. If the total cash value of the household’s assets is $5,000 or greater, the income used for income verification is the greater of: a) the actual income from the assets, or b) The imputed income from the assets. Effective 1/12/2022, imputed income is calculated by multiplying the total cash value of a household ’s assets by an interest rate of 0.06%. In the Public Housing Program, there are no asset limits, and lessees and authorized household members are not required to convert any of their assets to cash. All asset income must be verified. 

Examples of assets include: 

    • Checking accounts; 
    • Savings accounts; 
    • Cash; 
    • Certificates of deposit; 
    • Stocks, bonds, mutual funds, and other investments; 
    • Life insurance policies that have a monetary value, such as Whole Life 
    • Real estate; 
    • Mortgages or deeds of trust; 
    • Personal investment property; 
    • Personal property held as an investment; 
    • Retirement funds; 
    • Annuities; and 
    • Trust funds to which a household member has access. 
    1. Assets Greater than $1,000 Disposed of for Less than Fair Market Value 

Assets greater than $1,000 that were disposed of for less than fair market value during the two (2) years prior to the effective date of the Certification are counted as assets. Business assets disposed of for less than fair market value are processed under own business income.  Assets disposed of under the following circumstances are excluded: 

      • In a foreclosure of bankruptcy sale; and 
      • As part of a separation or divorce settlement when the individual disposing of the asset receives “important consideration not measurable in dollar terms”.  
    1. Jointly Owned Assets 

Assets may be owned by more than one person. If any lessee or authorized household member has unrestricted access or can legally dispose of the jointly owned asset, the full value of the asset and any income it produces is counted. 

An asset owned by more than one person may be prorated according to the percentage of ownership. If no percentage is specified or provided by state or local law, the asset is prorated evenly among all owners. 

  1. Deductions  

    1. Income-based Rent  

Income-based rent (generally 30% of the household’s monthly adjusted income) is calculated based on the household’s income, deductions, and the development's funding source.  

      • Deductions do not apply to households that receive full public assistance. Refer to Section (h)(vi) of this chapter, Scheduled HRA Rent, for more information.  
      • Deductions do apply to dual-income (i.e. public assistance plus other income sources) households.  
      • The age of the individual determines elderly deductions as of the cutoff date.  
      • The age of the individual determines minor deductions as of the cutoff date. 
    1. Flat Rent     

Once income-based rent is calculated, it is compared to the applicable flat rent. The lower of the two is always set as the tenant’s rent. 

    1. Mixed Households 

Mixed-citizen households are those that contain both U.S. citizens and/or eligible non-citizens, as well as ineligible non-citizens. In these situations, HUD requires housing authorities to prorate the household’s rental assistance, and grant a rent subsidy only to tenants and authorized household members who are either U.S. citizens or non-citizens with eligible immigration status. Ineligible non-citizens will not receive a rental subsidy. NYCHA uses the ratio of citizen/immigration eligible household members compared to the total number of household members (i.e., the tenant(s) and all authorized household members) in determining eligibility for public housing and rent calculation. Refer to Section (g)(vi)(4) of this chapter, Citizenship or Eligible Immigration Status, for more information. 

    1. Deduction Types and Amounts 

NYCHA must deduct the following amounts from annual income: 

      • $480 for each dependent that is:  
        • Under the age of 18; or 
        • Disabled (any age); or  
        • A full-time student (of any age).  

Live-in aides, foster children, and foster adults are not entitled to this deduction. 

      • $400 for any elderly family or disabled family where: 
        • The applicant, co-applicant, or sole member is at least 62 years of age or is a person with disabilities; or 
        • Two or more persons are at least 62 years of age or are disabled.  

Each applicant family with elderly or disabled family members is limited to one $400 deduction regardless of the number of elderly or disabled family members.  

      • The sum of the following, to the extent that the sum exceeds 3% of annual income: 
        • Unreimbursed reasonable medical expenses of any elderly family or disabled family; and 
        • Unreimbursed reasonable attendant care and auxiliary apparatus expenses for each member of the family who is a person with disabilities, to the extent necessary to enable any member of the family (including the member who is a person with disabilities) to be employed. This deduction may not exceed the earned income received by family members who are 18 years of age or older who are able to work because of such attendant care or auxiliary apparatus.  
      • Any reasonable childcare expenses necessary to enable the family member to be employed or to further his/her education (see 24 CFR 5.611). The child must be under 13 years of age. 

Refer to Section (g)(v) of this chapter, Verifying Deductions, for more information. 

  1. Verifications  

(24 CFR 960.259) 

    1. General Verification Requirements 

HUD has six (6) levels of income verification. Staff must make a maximum effort to obtain verification at the highest levels, including EIV and Upfront Income Verification (UIV). Third-party documents must be dated within 60 calendar days prior to the recertification or additional information request date. 

In order of priority, the forms of verification that NYCHA uses are detailed in the table below. 

Verification Levels 

6 

HUD Enterprise Income Verification (EIV)  

Highest/Mandatory  

EIV provides a comprehensive online system for the determination and verification of various tenant information. EIV, while mandatory, is only used as a method of verifying information provided through other sources.  

5 

Upfront Income Verification Using Non-HUD Systems  

Highest (Highly Recommended)  

Data received through an independent source that systematically and uniformly maintains income information in a computerized form, such as access to NYCHA’s Data Verification System (DVS) in order to get Welfare Management System (WMS) and Office of Payroll Administration (OPA) information.  

4 

Written Third-party Verification (Documents)  

High  

An original document provided by the tenant that is generated by a third-party source such as a paystub, award letter, or a printout of benefits statement.  

3 

Written Third-party Verification Form (Requests)  

Medium/Low  

A third-party verification form completed by a third-party source, such as NYCHA Form 040.013, Verification of Employment – Employer.  

2 

Oral Third-party Verification 

Low 

Phone call by NYCHA staff to a third-party source following up on the submission of a written third-party form. 

1 

Tenant Declaration  

Lowest (only use after verification cannot be made at any higher levels)  

Statement of reported income and/or expenses signed by applicant or tenant on NYCHA forms.  

    1. Enterprise Income Verification (EIV) System 

HUD’s EIV system is a web-based application which provides NYCHA with employment, wage, unemployment compensation, and SS benefit information for tenants and authorized household members who participate in the Public Housing program under the jurisdiction of the Office of Public and Indian Housing (PIH). This system is available to all PHAs nationwide.  

Information in EIV is derived from computer matching programs initiated by HUD with the SSA and the HHS, for all tenants with valid personal identifying information (name, date of birth, and SSN reported on the form HUD-50058.  

NYCHA uses EIV in its entirety, including all reports, as required by HUD, to accomplish the following:  

      • As a third-party verification source for all sources of household income and deductions when processing Annual Recertifications, Interim Recertifications, additional household member requests, current household member requests, rentals, and transfers; 
      • To verify the citizenship status for U.S. citizens and non-citizens; and 
      • As disclosure and verification of the SSN for all applicable members of the household.  

HUD EIV Reports 

Reason to Use Report 

When to Use Report 
  1. Summary Report 

To verify identity status of each tenant and authorized household member and a tenant and/or authorized household member with a duplicate subsidy status. 

Mandatory use when processing Annual Recertification or Interim Recertification. 

 
  1. Income Report 

To confirm and validate tenant-reported income as third-party verification of income and employment. 

Mandatory use when processing Annual Recertification or Interim Recertification. 
  1. Existing Tenant Search Report 

 

To identify applicants who may be receiving rental assistance at another multifamily or PIH location. 

Prior to signing leases with new tenants, transferring tenants, or Remaining Family Member (RFM) claimants. 

When processing permanent additional household member requests. 
  1. Former Tenant Search 

To identify tenants that a PHA has reported for an adverse termination and/or debt owed. 

Prior to signing leases with new rentals or RFM Claimants. 

When processing permanent additional household member requests. 
  1. Deceased Tenant Report 

To identify tenants reported by the SSA as being deceased. 

Monthly to review and correct deficiencies. 
  1. Immigration Report 

To monitor compliance with the SSN disclosure and verification requirements and program and proration assistance for mixed families. 

Monthly to review and correct deficiencies. 
  1. Identity Verification Reports:  
  1. Pre-Screening Report; and  
  1. SSA Screening Report. 
  1. To identify overdue Annual Recertifications and tenants who need to disclose an SSN. 
  1. To identify tenants whose personal identifiers (last name, date of birth, SSN) do not match the SSA database. 

Monthly to review and correct deficiencies. 
  1. Multiple Subsidy Report 

To identify tenants who may be receiving rental assistance at more than one location. 

Monthly to review and correct deficiencies. 
  1. Income Validation Tool Report 

To identify families that may have substantially under-reported SS/SSI benefits, wages, and/or unemployment compensation. 

Mandated use when processing Annual Recertification or Interim Recertification. 

Monthly to review and correct deficiencies. 

    1. Verifying Income 

For income (as described in Section (c) of this chapter, Anticipated Annual Income) NYCHA will follow the hierarchy as noted above. An exception to this rule applies when a public housing unit is funded through multiple sources (i.e. is a combo unit). In such a situation, staff will follow the verification hierarchy for tax credit units; however, staff will still run EIV for households in public housing units, even when the unit has other funding sources. 

      1. Wages and Related Compensation 

Acceptable Third-Party Documents are listed below. 

        • Pay stubs.

          Each employed lessee and authorized household member must submit at least two (2) paystubs from his or her employer which shows the current rate of pay. If he or she is unable to produce two (2) paystubs, the employed lessee or authorized household member must have NYCHA Form 040.013, Verification of Employment – Employer, completed and signed by his or her employer to verify the current income. 
        • A payroll summary report. 
        • NYCHA Form 040.013, Verification of Employment – Employer, or a letter of hire or termination from the employer. 
        • Employees of New York City.

          OPA Reports, which provide the current rate of an employee’s pay, are official employment verification. OPA Reports, along with EIV, satisfy Third-party employment verification. 
      1. Business and Self-employment Income 

Self-employed lessees and authorized household members must maintain a record of daily receipts or sales, register readings, and expenses in one ledger. 

      1. Social Security and Supplemental Security Income 

SS and SSI recipients who are already tenants are not required to provide benefit verification letters since SSA electronically provides HUD with benefit information. However, if the SS and/or SSI recipient submitted a SS/SSI Award Letter with his/her AOI, this can be used as proof of SS benefits and/or SSI income. 

If a SS and/or SSI recipient does not have available EIV data and did not submit an award letter, or disputes the EIV income data, staff must initiate Third-party Written Verification (Level 4) to request written proof of the income via an award letter, dated within 60 calendar days of the request.  This request is made via NYCHA Form 040297B, Annual Recertification Additional Forms Cover Letter. 

      1. Unemployment 
        • Unemployment monetary benefit letter.  
        • NYCHA Form 040.589, Verification of Unemployment Benefits. 
      1. Public Assistance Income 
        • Electronic budget letter for public assistance recipients.  

NYCHA may obtain budget letters indicating public assistance benefits received by a tenant or authorized household member via the DVS.  

If the electronic budget letter is not available the tenant must provide a copy of the HRA budget letter. 

        • Welfare Management System verification for new tenants. 

The WMS is used for the verification of public assistance income for new tenants, applicants, and inter-project transferees. Data is available for all recipients of public assistance in New York City. 

        • NYCHA Form 040.591, Third Party Verification of Public Assistance. 
      1. Alimony and Child Support 
        • Child support payment stubs. 
        • NYCHA Form 040.584, Third Party Verification of Contributions/Support/Alimony. 
      1. Pensions and Annuities 

NYCHA Form 040.592, Third Party Verification of Pension and Annuities. 

      1. Disability and Worker’s Compensation 

NYCHA Form 040.587, Third Party Verification of Workers Compensation. 

      1. Veteran’s Administration Benefits 

NYCHA Form 040.588, Third Party Verification of Veterans Administration Benefits. 

      1. Military Pay 

NYCHA Form 040.585, Third Party Verification of Military Pay. 

      1. Regular Contributions 

NYCHA Form 040.584, Third Party Verification of Contributions/Support/Alimony.  

      1. Zero Income  

Zero ($0) income households are those that have no income. This does not include households where the source(s) of income is/are an excluded income type. 

If a tenant reports zero ($0) household income, they must attend a personal interview with NYCHA staff and complete NYCHA Form 040.481, Zero Income Questionnaire quarterly.  

    1. Verifying Assets 

The verification of asset income must be conducted on assets that the household currently possesses and that generate income. 

      1.  Checking/Savings Accounts, Certificates of Deposit, Stocks, Bonds, Mutual Funds, Pensions and Retirement Accounts, Individual Retirement Account, Annuities, and Other investment Accounts 

Copy of the most recent financial statement for each account. The statement must list the asset type for each account, the account number(s), current balance, and the interest or dividends earned for each account. 

      1. Cash 

None – Use amount indicated on AOI. 

      1. Life Insurance (Whole Life or Universal Life), Does not include Term Life Insurance 

Copy of the most recent annual insurance policy statement, including the account number(s), total monetary value of the insurance policy, and the full name of the business institution with their contact information. 

      1. Real Property 

If the property is sold: Use Fair Market Value, less the mortgage, less selling costs to determine the cash value of the property. 

If the property was not sold: The lessee or authorized household member submits a notarized statement for each property indicating the type of property; address; percent of ownership; date of purchase; original purchase price; and amount of existing loan with the name of the lender, current value, and income, if any, for the upcoming 12 months. 

      1. Mortgages or Deeds of Trust 

Original mortgage or deed of trust documents detailing the terms, the remaining balance, and interest earned. 

      1. Personal Property Held as an Investment 

Written appraisal from a licensed appraiser, indicating the current market value and income, if any, for the upcoming 12 months. 

      1. Trust Funds that a Household Member has Access to 

Statement from the Trustee of the account detailing the terms for dispersion of the trust. 

    1. Verifying Deductions 

Deduction verification must follow the same hierarchy (levels) as income verification, as applicable.  

Deduction verifications includes determination of eligibility for deductions and verification of the amount of deductions (e.g. childcare and medical expenses). 

      1. Dependents 

A mandatory deduction of $480 is applied for each dependent(s) in the household.  

A dependent is an authorized household member other than the lessee, co-lessee, or spouse (except foster children and foster adults) who fits any of the following criteria:  

        • A person under 18 years of age; 
        • A person over 18 years of age who is disabled; or 
        • A full-time student, 18 years old or older. 

The status of a new authorized household member that is a minor may be verified with a Social Security card and a birth certificate showing full name, date of birth, and relationship to the lessee. 

      1. Elderly  

An elderly household is defined as a household whose lessee and/or co-lessee, or spouse (or sole member) is a person who is at least 62 years of age or older. Elderly households receive one $400 deduction.  

If the lessee is new, a birth certificate or other appropriate documentation, such as receipt of SS retirement benefits or Medicare, is required to verify this deduction. 

      1. Student Status 

A full-time student is defined as a person who is attending school or vocational training on a full-time basis, and is 18 years of age or older (except the lessee, co-lessee, or spouse). It is the responsibility of the lessee to submit documentation supporting the authorized household member’s full-time student status.  

This status must be verified by a third party such as his or her school or program, using NYCHA Form 040.578, Third Party Verification of Full-Time Student Status, or an original school letter verifying school full-time attendance.  

      1. Disability 

A disabled household is defined as a household whose lessee and/or co-lessee, or spouse (or sole member) is a person with disabilities. It may include one or more persons with disabilities living in a single apartment, or one or more persons with disabilities living with one or more live-in aides. 

A person with disabilities is defined as a person who is determined, pursuant to HUD regulations, to have a physical, mental, or emotional impairment that: 

        • Is expected to be of long-term continued and indefinite duration;  
        • Substantially impedes his or her ability to live independently; and  
        • Is of such a nature that the ability to live independently could be improved by more suitable housing conditions. 

If the lessee or co-lessee is disabled, then the entire household is entitled to one $400 deduction verified with any of the following: 

        • Up-front income verification – receipt of SSD benefits;  
        • Written third-party verification request – NYCHA Form 040.582, Third Party Verification of Disability, completed by a qualified professional with knowledge of the tenant’s disability status; or 
        • Written third-party verification document – an award letter, indicating proof of receipt of disability benefits from the SSA. 
      1. Medical Expenses 

If the head of the household is elderly or disabled, the tenant and all authorized household members qualify for medical expense deductions.  

The most current IRS Publication 502, Medical and Dental Expenses, is used to determine which expenses are qualifying medical expenses. Refer to About Publication 502, Medical and Dental Expenses, for more information about acceptable medical expenses.  

To verify medical expenses, staff must follow Level 1 Verification: Tenant Declaration. All medical expenses must be paid and unreimbursed. Receipts must be provided for: 

        • Fees paid for medical care and treatment; 
        • Medical bills for services from healthcare facilities and healthcare professionals; 
        • Medical insurance premium documents; 
        • Printouts from pharmacies for out-of-pocket expenses for prescription and nonprescription medicines; and 
        • Proof of purchase for medical equipment. 
      1. Disability Assistance Expense 

Reasonable expenses for attendant care and auxiliary apparatuses for a disabled tenant or authorized household member may be deducted if: 

        • They are necessary to enable a tenant or authorized household member who is 18 years or older to work; 
        • The expense is not paid to a tenant or an authorized household member, or reimbursed by an outside source; 
        • The expense, in combination with any other medical expenses, exceeds three percent (3%) of the annual household income; and 
        • The expense does not exceed the earned income received by the tenant or authorized household member(s) who is enabled to work. 

The deduction amount is the portion of the expenses that exceeds three percent (3%) of the household’s annual income. This amount must be verified by a third party, using NYCHA Form 040.580, Third Party Verification of Handicap Assistance Expenses, or original documents verifying unreimbursed attendant care and/or auxiliary apparatus expenses.  

Auxiliary apparatus items must be directly related to permitting the disabled person to be gainfully employed, or to enabling the tenant or an authorized household member to go to work. Examples include: wheelchairs, ramps, adaptations to vehicles, and special equipment to enable a blind or visually impaired person to read or type. 


      1. Child Care/Dependent Care/Handicap Care Expenses 

A deduction for unreimbursed child-care, dependent-care, or handicap-care expenses must be verified using NYCHA Form 040.581, Third Party Verification of Child/Dependent Care and Handicap Care, or original documents verifying the unreimbursed expenses.  

The household may only claim deductions if: 

        • The care is necessary to enable a tenant or an authorized household member to work, seek employment, or further their education; 
        • There is no one, including the tenant and all authorized adult household members, who is capable of providing care during the hours care is needed; 
        • The expenses are not paid to a tenant or an authorized household member; 
        • The amount does not exceed the earned income of the lowest earning household member; 
        • The expenses are not reimbursed by an agency or individual outside the household; and 
        • For childcare, the child is younger than 13 years old (including foster care children). 
    1. Verifying Family Information 

      1. Legal Identity 

The tenant and authorized household members’ last names and first names must be verified via their original Social Security cards. The full names must match exactly with their full names as they appear on their Social Security cards or SSA records. 

If a tenant or authorized household member is ineligible for a Social Security card, verify his or her last name and first name via an original birth certificate, marriage certificate, certificate of domestic partnership, passport, state identification card, driver’s license, or name change order, as appropriate. 

      1. Social Security Numbers 
        • Acceptable forms of verification of Social Security Numbers 

One of the following documents must be submitted as SSN verification when processing an Annual Recertification, Interim Recertification, additional household member request, RFM claimant request, rental, or transfer: 

          • An original Social Security card issued by the SSA;  
          • An original SSA issued document containing the tenant’s or authorized household member’s name and SSN; or  
          • An original document issued by a federal, state, or local government agency containing the tenant’s or authorized household member’s name and SSN. 
        • Adding new household members under the age of 6 years old: 
          • Applicant households 

If a child under six years old was added to the applicant household within the six-month period prior to the household's date of admission, applicant household may be admitted, so long as the documentation required above is provided to NYCHA within 90 calendar days from the date of admission into the program. NYCHA must grant an extension of one additional ninety 90-day period only if NYCHA determines that the applicant’s failure to comply was due to circumstances that could not reasonably have been foreseen and were outside the control of the applicant. If the applicant household fails to produce the documentation required within the required time period, but NYCHA determines that the applicant is otherwise eligible to participate in the program, the applicant may retain their place on the waiting list for the program but cannot become a resident until they can provide the documentation required in this section to verify the SSN of each member of the household.

          • Existing tenant households 

When a resident requests to add a new household member who is under the age of six and does not have an SSA-assigned SSN, the resident must disclose the SSA-assigned SSN and provide NYCHA with the documents referenced above within 90 calendar days of the child being added to the household. If the family is unable to disclose and provide evidence of the SSN within 90 calendar days, NYCHA is required to grant the family an additional 90-day period to comply with the SSN disclosure and documentation requirement, only if NYCHA determines the family was unable to comply with the requirements due to circumstances that could not have reasonably been foreseen and were outside the control of the family. Examples include, but are not limited to, delayed processing of SSN application by SSA, natural disaster, fire, death in family, etc. If a resident requests to add an individual to the household but is unable to provide the required documentation, the request will be denied. Refer to Chapter 11(g), Terminations Related to Failure to Disclose or Document Social Security Numbers, for more information. 

      1. Documentation of Age 

Verify date of birth through an original birth certificate. If the birth certificate is unavailable, the following documents are acceptable forms of verification for date of birth: baptismal certificate, marriage certificate, certificate of domestic partnership, passport, state identification card or driver’s license, military discharge papers, or SSA award letter. 

      1. Citizenship or Eligible Immigration Status 

All applicants and family members 18 years of age or older must sign the appropriate sections of NYCHA Form 070.163, Declaration of Citizenship Status, declaring their citizenship or immigration status. The applicant or legal guardian must sign the appropriate sections on behalf of each family member 17 years of age or younger.  

        • Applicants and/or family members who declare that they are citizens of the United States 
          • The declaration of citizenship is sufficient; further documentation is not required.  
        • Applicants and/or family members who declare that they are non-citizens with eligible immigration status 
          • Must provide documentation verifying immigration status.  
        • To verify immigration status, staff may use the SAVE Program, a web based intergovernmental database that provides NYCHA with verification of the immigration status of non-citizens. 
          This information is required to determine the eligibility of non-citizens for housing assistance. Proof of Eligible Non-Citizenship is described below. 
          • For Permanent Resident Aliens, Form I - 551, Alien Registration Receipt Card. 
          • Form I - 94, Arrival - Departure Record, with one of the following annotations: 
        • Section 207 – Admitted as Refugee Pursuant; 
        • Section 208 – Asylum; 
        • Section 243(h) – Deportation Stayed by Attorney General; or 
        • Paroled Pursuant to Section 212(d)(5) of the Immigration and Nationality Act. 
          • If Form I - 94, Arrival - Departure Record, is not annotated, then it must be accompanied by one of the following documents: 
        • A final court decision granting asylum; 
        • A court decision granting withholding of deportation; 
        • If the application was filed on or after October 1,1990, a letter from an Immigration and Naturalization Service (INS) asylum officer granting withholding of deportation must be included; or 
        • If the application was filed before October 1,1990, a letter from an INS district director granting withholding of deportation must be included. 
          • Form I - 688, Temporary Resident Card; must be annotated Section 245A or Section 210. 
          • Form I - 688B, Employment Authorization Card; must be annotated Provision of Law 274a.12(11) or Provision of Law 274a.12. 
          • A Department of Homeland Security issued receipt indicating the submission of an application for replacement of one of the above listed documents, including verification from the Department of Homeland Security that the member(s) is/are entitlement to the document. 
      1. Family Relationships 

Family composition is a key factor in determining the apartment size, income limit, and rent. A family may be a single person; two or more persons related by blood, marriage, registered domestic partnership, adoption, or guardianship; or two or more persons who maintain an interdependent relationship and whose resources are available to meet the needs of the family. 

        • Marriage 
          Any of the following verifies that a marriage occurred:  
          • Civil or religious certificate of marriage;  
          • Statement from family court verifying the marriage;  
          • Documentation from a government agency; or 
          • Registered domestic partner. 
        • Minors  

Every minor (a person under 18 years) for whom a request is made to include the minor to the application must be the birth/natural child, adoptive child, or judicially declared ward (under the permanent legal custody or guardianship) of the applicant, co-applicant, or family member. Acceptable forms of verification are listed below for each item. 

        • Birth/natural child  
          • A birth certificate identifying the applicant, co-applicant, or family member as the birth/natural parent.  
          • Court papers identifying the applicant, co-applicant, or family member as the birth/natural parent. 
        • Adoptive child  
          • Court papers showing that the applicant, co-applicant, or family member has adopted the minor. 
        • Judicially declared ward  
          • Court papers showing that the applicant, co-applicant, or family member has permanent legal custody or guardianship of the minor.  
      • Joint custody of dependents  

Dependents that are subject to a joint custody arrangement will be considered family members if they live with the applicant family 51% or more of the year (i.e., at least 183 days out of the year). The determination to include dependents will be at the discretion of NYCHA and based on available documents, such as court orders or school records.  

      • Pregnancy  

Pregnancies are verified by a written statement from a doctor, hospital, or maternity clinic stating the expected date of delivery. The housing assistant records the expected birth date of the unborn child. The unborn child is counted when determining room size assignment. 

      • Temporary absence  

Family members temporarily absent from the household in the situations listed below may be included on the application, and are counted when determining room size assignment. 

      • Absence of the applicant or co-applicant due to employment  

If the applicant or co-applicant must remain away from home for extended periods of time, he/she is considered a full-time member of the household unless there is evidence that he or she will spend less than 120 days of the time in the apartment during the course of the year. 

Reasons for the absence of the applicant or co-applicant include, but are not limited to: 

        • Employment in the Merchant Marines; 
        • Employment as a traveling salesman; or 
        • Employment outside of New York City. 
      • Temporary absence due to military service 

A family member who is in military service, whether by enlistment or induction, may be considered part of the household unless: 

        • The family member marries while in the service and establishes a separate household; 
        • The family member obtains a legal separation or divorce; or 
        • The family member dies while in service. 
      • Temporary absence of full-time students 

A family member who is a full-time student attending school outside of New York City is considered part of the household unless: 

        • The family member marries while in school; or 
        • The family member establishes a separate household. 
      • Questionable Family Member (QFM)  

If, at any time during the applications process, NYCHA has concerns or questions with regard to whether a person is or will be a member of the applicant family, NYCHA may further investigate the composition of the applicant family.  

Pursuant to this policy, the ATAD shall thoroughly investigate family composition when there is a questionable family member. 

A QFM is generally defined as someone who: 

      • The applicant claims will not be part of the household in public housing; and 
      • Falls into one or more of the following categories: 
        • At the eligibility interview, the family reported that the person is a member of the household; 
        • The family reports that the person is now a member of the household but will not join the household in public housing; 
        • The person is listed as a member of the household on an application, and the family reports that the person moved out within 2 years before the interview; 
        • The person is listed as a member of the household on an application, and the family reports that the person is currently in prison; and/or 
        • The WMS lists the person as part of the household within the last 2 years, but the person's case is currently not active. 
    • Family composition evaluation  

NYCHA will consider as many of the following factors as each case presents:  

      • Information in the WMS regarding the applicant family and/or QFM;  
      • Information gathered from contacts with landlords, social workers, or other government agencies;  
      • Any information or documents provided by the applicant family;  
      • Any documents with respect to the residence of the QFM or the family composition of the applicant family;  
      • The credibility of the applicant family in providing information to NYCHA; and 
      • The nature and extent of the QFM’s relationship with the applicant family, including, but not limited to:  
        • Whether the QFM is a parent of any child in the applicant family;  
        • The duration of the QFM’s relationship with any member of the applicant family; and 
        • Evidence of recent changes in the relationship of the QFM to the applicant family.  
    • If NYCHA determines that a reasonable basis exists to believe that the QFM is or will be a member of the applicant's household, the applicant will be ineligible for 2 years based on non-verifiable family composition and income.  
    • If NYCHA determines that the QFM will not be part of the applicant family, the applicant must complete NYCHA Form 070.579, Eligibility Interview Declaration, stating that the QFM will not reside in the apartment. 
    • An unauthorized occupant is a person who resides in an apartment without NYCHA’s authorization or permission. A tenant or co-tenant may be subject to termination of tenancy proceedings if an unauthorized occupant resides in the apartment.  

  1. Rent Calculation 

Rent is determined by using the household’s adjusted net income (the household's total gross income minus total deductions). The appropriate rent is set based on one of the following possible rent categories: 

  1. Income-based Rent 

Income-based rent is 30% of the adjusted net income for rent. The adjusted net income for rent is calculated by subtracting statutory deductions from the household’s gross income.  

Income-based rent does not include additional charges, such as recurring electricity fees for a major appliance. 

NYCHA requires all public housing tenants to recertify their income on a yearly basis in order to be in compliance with HUD regulations. 

  1. Public Housing Flat Rent  

For public housing tenants, flat rent is the highest amount of rent a tenant can be charged for a particular size apartment. Flat rent is based on a percentage of the Fair Market Rent for the New York City area, with different amounts set based on the apartment size. Refer to on.nyc.gov/payrent for NYCHA’s flat rent schedule.  

Flat rent does not include additional charges, such as recurring utility (e.g. electricity) fees for a major appliance. 

Tenants paying flat rent are now entitled to the utility allowance, starting with the 2014 Fourth Quarter Annual Recertification’s, effective 2/1/2015. 

  1. Income-based Rent versus Flat Rent 

Once income-based rent is calculated, it is compared to the applicable flat rent. The lower of the two is always set as the tenant’s rent. 

  1. Minimum Rent  

The lowest monthly rent NYCHA charges a tenant for living in a unit.  For public housing developments, the minimum rent is zero ($0). 

  1. Maximum Rent (Flat Rent) 

The maximum rent is the flat rent for a specific unit size. 

  1. Scheduled HRA Rent  

Welfare or public assistance rent is set based on a fixed HRA rent schedule. 

All households receiving full public assistance have their rent set at a fixed amount by NYCHA’s software, based upon the number of persons on the HRA Budget.  

  1. Full Rent Subsidy  

Tenants and authorized household members in the following statuses qualify for the full subsidy amount to be factored into the rent (i.e., paying 30% of the adjusted net income for rent, but not less than the minimum rent and not more than the flat rent):  

  • United States citizens;  
  • Non-citizens with an eligible immigration status;  
  • Members with a citizenship status of “Pending Verification”; and  
  • Certain mixed citizenship families admitted to NYCHA before June 20, 1995. 
  1. Over-income Rent  

Households whose income exceeds the 120 percent AMI for 2 consecutive years will pay the over-income rent. 

NYCHA will notify the household when they have exceeded the 120 percent AMI for 1 year.  This notice will explain that the household will be asked to pay the over-income rent if they remain above 120 percent AMI for an additional year. 

NYCHA will notify the household when they have exceeded the 120 percent AMI for a second consecutive year.  This notice will explain that the household will be charged the over-income rent. 

If the household falls below 120 percent AMI at any point during the initial 2 years, and then subsequently exceeds 120 percent AMI again, the 2 years start over. 

  1. Utility Allowance 

In certain developments that are individually metered, tenants pay for their own utility usage directly to the utility company. NYCHA grants these tenants a monthly utility allowance based on the estimated usage to the tenant.  

The utility allowance is deducted from the tenant’s monthly rent. If the deduction causes the monthly rent amount to be a negative amount (i.e., the utility reimbursement amount is larger than the rent), a utility reimbursement payment is issued to the tenant. 

Most NYCHA buildings are master metered, not individually metered. Tenants in master-metered buildings do not pay a utility bill to the utility company. They do not receive a utility allowance.  

  1. Prorated Rent for Families with Immigrants with Non-Eligible Status 

The subsidy is prorated for households in which one or more members are non-citizens with ineligible immigration status. The rent will be higher than the income-based rent but can be no more than the flat rent. 

    1. Mixed Citizenship Families Admitted to NYCHA Before June 20, 1995 

HUD granted continued full subsidy assistance to mixed citizenship households that were receiving full subsidy prior to June 20, 1995, if: 

      • The lessee, co-lessee, or spouse was a citizen or had eligible immigration status; and 
      • The household did not include any member without eligible immigration status, except for the lessee, co-lessee, spouse, parents of the lessee, parents of the spouse, or children of the lessee or spouse. 

The eligibility for continued assistance must have been established prior to November 29, 1996. 

If, as of November 29, 1996, anyone is added to the household, including a lessee, co-lessee, spouse, parents of the lessee, parents of the spouse, or children of the lessee or spouse, the household is no longer eligible for continued full assistance and the subsidy must be appropriately prorated. 

 

Chapter 8:  Current State: Reexaminations and Continued Occupancy (in effect until December 1, 2024) 

  1. Overview 

HUD requires the re-examination of every tenant’s income and household composition at least once every twelve (12) months.  NYCHA fulfills this requirement by conducting an Annual Recertification based on information provided by the tenant in the AOI. After reviewing and verifying the information submitted by the tenant, NYCHA determines the tenant's rent. 

  1. Annual Reexamination and Continued Eligibility 

In order to be recertified, families are required to provide current and accurate information on income, assets, allowances and deductions, and family composition through related forms. Refer to Chapter 7,  Rent Calculation and Verifications, for more information). 

The AOI can either be completed online or on paper. For tenants that are scheduled for an Annual Recertification and have opted-out of the online process a paper AOI packet is mailed directly to the tenant one month before it is due to be returned. 

Tenants who complete their Annual Recertification online are not mailed a paper packet. They are sent a notification letter informing them to complete their Annual Recertification with instructions on how to complete it online via the NYCHA Self-Service Portal. The notification letter is mailed to the tenant one calendar month before it is due to be returned. 

Refer to Chapter 2(c), Reasonable Accommodations, for information related to program accessibility and Limited English Proficiency accommodations. 

NYCHA staff verifies the information provided, including the household’s composition and income, and mails the Public Housing Lease Addendum and Rent Notice directly to the tenant via USPS.  

The Public Housing Lease Addendum and Rent Notice contains the following information:  

  • New rent and its effective date: The rent may have increased, decreased, or remained the same;  
  • Household Composition and Occupancy Notice: Lists all permanently authorized household members, and notifies the tenant how a person may receive permanent residency permission;  
  • Choice of Rent Calculation: Informs the tenant that household rent is being calculated at the lower of income-based rent or the flat rent; or the LIHTC rent if applicable for tenants living in an LLC I development;  
  • Projected Income: Projects the income of each household member;  
  • Allowances and Deductions: Lists applicable deductions for dependent, child care, disability assistance, elderly/disabled household, or medical deductions;  
  • Additional Monthly Rent for Amenities: Posted on the rent account as a recurring rent charge; this is a utility charge, for tenants living in a master metered building who use one or more of the designated major appliances;  
  • Utility Allowance: Credit given for tenants living in an individually metered building, who pay a utility company directly, for tenant consumption of utilities; and  
  • An explanation of any retroactive charge or retroactive credit. 

  1. Failure to Complete Reexamination 

If a tenant fails to submit the required documents and/or information for an Annual Recertification, a termination action will be initiated. Examples of required documents include the AOI form, Third Party Consent form, supporting documents for earned income, etc.  

  1. Interim Reviews 

An Interim Recertification is a change in a household’s composition, income, disability, senior citizenship status, or student status, that occurs between Annual Recertification periods. The event causing the Interim Recertification must be one that will last more than one month. Regardless of the type of change, tenants are required to report all income and household composition changes as they occur.  

Tenants may initiate an Interim Recertification via the NYCHA Self-Service Portal. Tenants also have the option of requesting a paper packet to submit their Interim Recertification. They must indicate the following information and provide their supporting documentation in order to submit the request: 

  • Type of change;  
  • Reason for the change;  
  • Household member who experienced the change; and  
  • Date of the change. 

The effective date of the subsequent rent change depends on whether the tenant reported the Interim Recertification request in a timely manner, and whether the rent will increase or decrease.  NYCHA will follow its procedures when determining the effective date of the change. 

NYCHA staff must complete processing an interim review within 60 calendar days of the date that all information or documentation is received. 

  1. Rent Hardship 

A household may qualify for a rent reduction based on rent hardship if all the following conditions are met: 

  • There is a 5% reduction to gross income; 
  • Current rent is more than 30% of the net income; and 
  • Reduction in income has lasted at least two months.