Confidentiality is of paramount concern when dealing with Resident information. In the daily hustle and bustle of the office, it's easy to overlook some of the risks that present themselves. We must, however, always make an effort to keep confidentiality in mind.
What is considered to be confidential?
Confidential information includes dates of birth, social security numbers, bank account information, medical providers, pharmacy contacts (and in some cases, the names of medications), and other personal information. There are federal and state laws which require careful handling of this information.
Physical Safeguards:
Whenever you leave the office, ensure that the office door is closed and locked. When you leave for the day, ensure that all resident files and other confidential information is secured in a locked cabinet, and the office doors are closed and locked.
Compartmentalize information. Resident financial information should not be kept in the same file cabinet with maintenance records needed by the Superintendent. Ensure that file cabinets are accessible only to those people who need that information. Secure the keys so that unauthorized persons do not have access.
Other Safeguards:
Under no circumstances should one Resident's personal information be discussed with another Resident. This includes information about Residents who are in a health care facility. Do not share information about a Resident without their express written permission. Do not post information on a common board that indicates that a Resident may be away from the facility. If you are asked to share information by a Resident or their designee, use care when deciding what to share and what not to.
Always ensure that you have proper authorization before sharing information about a Resident with another person. This includes Resident Service Coordinators, Police and other EMS personnel, healthcare providers, and others - including, sometimes, the Resident's family members.
Remember that sharing financial information with the RSC requires the Resident's authorization. You are NOT permitted to share EIV information with anyone other than the Resident. If you provide the Resident with a copy of their EIV print-out, mark it "copy," and document in the tenant file that you have provided a copy to the Resident.
What if There's a Breach?
Report any breach of confidentiality to your Regional Manager immediately so that he/she may begin to work with you to address it.
Monday, January 26, 2015
Wednesday, January 14, 2015
Reasonable Accommodation Pitfalls and Best Practices
Few aspects of property management generate more angst, irritation, agitation, and worry than Reasonable Accommodations / Modifications. In order to help in starting the New Year off right, I thought I'd take some time to touch on some of the important elements of this challenging aspect of our job:
1. ALL REASONABLE ACCOMMODATIONS are to come to me - including the ones
you believe are "obvious and known." I will work with you to assess what needs to be
verified and what doesn't. This is in order to keep our approach consistent.
2. I cannot make a determination of whether we can approve without all the needed
information. This means that if a doctor / verifier does not fill out form completely,
I am going to send it back to you in order to clarify. In order to avoid delays,
follow up with the verifier to ensure the form is completed before you send it to me.
3. A verifier need not be a physician. They need only be qualified to make the
determination. If you are unsure as to whether someone can serve as a verifier,
please check with me.
4. A doctor's note is acceptable ONLY if it verifies that the resident a) qualifies as
disabled and b) needs what they're asking for. "Mary tells me she needs..."
"...would benefit from..." or "Please consider..." is likely to be insufficient.
If you receive a letter like this, it's a good idea to have the resident sign a
verification form so that we can easily get more info if needed. Send the letter to me,
and if we need more info, I'll let you know.
5. "It's too expensive" is not necessarily a reason to refuse. HUD / USDA may have
a very different definition of that than you do. If you believe a request constitutes a
burden, let me know and I'll talk with you to see what we deem reasonable.
6. Let me know any pertinent facts when you email me. For instance:
Resident makes a request for carpeting to be removed and replaced with tile due to
allergies and chemical sensitivity. She insists that only ceramic tile will suffice.
Her physician confirms the need for replacement of the carpeting; but does not
mention anything about the tile. The Administrator is aware that apartment is not
compliant with housekeeping standards, and there is lots of dust, etc. in the
apartment. The Resident also has a cat.
When you email me the forms, you should include some information for me, such as:
Pam, Attached is a RA request for Mrs. Smith. Her request only mentions removing
carpeting but she has said that she needs ceramic tile. Apartment failed last
housekeeping inspection due to a large amount of dust. This resident also has a cat.
Could you please call me to discuss?
If you believe the information is best discussed with me on the phone, you can simply
write something like this:
Pam, Attached is a RA request for Mrs. Smith. I would like to provide
some additional information before you make your determination. Could you
please give me a call?
7. RSCs can verify the existence of a disability and the need for an accommodation in
most cases. There are some cases where they have been instructed not to verify.
That determination is made by Lee. If you disagree with your RSC's conclusion,
let me know so that Lee and I can help reconcile the information and help determine
the best course of information.
8. When working with disabled residents to accommodate their needs, we should always
be looking for how we can be helpful, not how we can avoid making changes. That
being said, we are looking to do what is REASONABLE, and what is NEEDED,
not necessarily what meets the resident's personal preference. We can say no, but
we can only do so under specific guidelines. Always speak with your RM or me if
you are unsure of anything.
9. Be aware that a casual comment can be construed as a request. The resident need
not say "I am disabled," or "I need a reasonable accommodation" or put their
request in writing when they bring it to your attention. It is up to you to be alert for
any indication that a resident has asked for an accommodation.
Examples of "requests" that may be harder to discern are:
"The knobs on this stove are so hard to turn! With my arthritis I can hardly
work them."
"Whew, I had to park really far away today - I can hardly breathe, and I had
to stop three times on the way to the entrance!"
When you hear a comment like this, it's appropriate to take the resident aside and
advise that if they believe that they need a change to something because of a medical
or disability-related need, we have a process that allows that to be done. You can
assist them with filling out the request, or advise them that you will have the RSC
follow up with them to see how we may be able to help.
Reasonable Accommodations are not always easy to navigate through. If you have any
questions, or need assistance, please feel free to ask!
1. ALL REASONABLE ACCOMMODATIONS are to come to me - including the ones
you believe are "obvious and known." I will work with you to assess what needs to be
verified and what doesn't. This is in order to keep our approach consistent.
2. I cannot make a determination of whether we can approve without all the needed
information. This means that if a doctor / verifier does not fill out form completely,
I am going to send it back to you in order to clarify. In order to avoid delays,
follow up with the verifier to ensure the form is completed before you send it to me.
3. A verifier need not be a physician. They need only be qualified to make the
determination. If you are unsure as to whether someone can serve as a verifier,
please check with me.
4. A doctor's note is acceptable ONLY if it verifies that the resident a) qualifies as
disabled and b) needs what they're asking for. "Mary tells me she needs..."
"...would benefit from..." or "Please consider..." is likely to be insufficient.
If you receive a letter like this, it's a good idea to have the resident sign a
verification form so that we can easily get more info if needed. Send the letter to me,
and if we need more info, I'll let you know.
5. "It's too expensive" is not necessarily a reason to refuse. HUD / USDA may have
a very different definition of that than you do. If you believe a request constitutes a
burden, let me know and I'll talk with you to see what we deem reasonable.
6. Let me know any pertinent facts when you email me. For instance:
Resident makes a request for carpeting to be removed and replaced with tile due to
allergies and chemical sensitivity. She insists that only ceramic tile will suffice.
Her physician confirms the need for replacement of the carpeting; but does not
mention anything about the tile. The Administrator is aware that apartment is not
compliant with housekeeping standards, and there is lots of dust, etc. in the
apartment. The Resident also has a cat.
When you email me the forms, you should include some information for me, such as:
Pam, Attached is a RA request for Mrs. Smith. Her request only mentions removing
carpeting but she has said that she needs ceramic tile. Apartment failed last
housekeeping inspection due to a large amount of dust. This resident also has a cat.
Could you please call me to discuss?
If you believe the information is best discussed with me on the phone, you can simply
write something like this:
Pam, Attached is a RA request for Mrs. Smith. I would like to provide
some additional information before you make your determination. Could you
please give me a call?
7. RSCs can verify the existence of a disability and the need for an accommodation in
most cases. There are some cases where they have been instructed not to verify.
That determination is made by Lee. If you disagree with your RSC's conclusion,
let me know so that Lee and I can help reconcile the information and help determine
the best course of information.
8. When working with disabled residents to accommodate their needs, we should always
be looking for how we can be helpful, not how we can avoid making changes. That
being said, we are looking to do what is REASONABLE, and what is NEEDED,
not necessarily what meets the resident's personal preference. We can say no, but
we can only do so under specific guidelines. Always speak with your RM or me if
you are unsure of anything.
9. Be aware that a casual comment can be construed as a request. The resident need
not say "I am disabled," or "I need a reasonable accommodation" or put their
request in writing when they bring it to your attention. It is up to you to be alert for
any indication that a resident has asked for an accommodation.
Examples of "requests" that may be harder to discern are:
"The knobs on this stove are so hard to turn! With my arthritis I can hardly
work them."
"Whew, I had to park really far away today - I can hardly breathe, and I had
to stop three times on the way to the entrance!"
When you hear a comment like this, it's appropriate to take the resident aside and
advise that if they believe that they need a change to something because of a medical
or disability-related need, we have a process that allows that to be done. You can
assist them with filling out the request, or advise them that you will have the RSC
follow up with them to see how we may be able to help.
Reasonable Accommodations are not always easy to navigate through. If you have any
questions, or need assistance, please feel free to ask!
Thursday, December 11, 2014
Are You Experiencing OneSite Issues?
If you are experiencing issues using OneSite this week, here's why (from our OneSite logon page):
OneSite ProductsOn December 9th, Microsoft released a security update for Internet Explorer (MS14-080) which introduced instability issues with a number of internet applications, including OneSite. Microsoft has not publicly confirmed awareness of the issue but RealPage has confirmed a roll-back of the update resolves the issues that have been reported to us. Any customers that have installed the MS14-080 update are likely to experience accessibility issues within OneSite. We will continue to work directly with Microsoft to resolve this issue and will post updates as we receive them. Please refer to Microsoft’s knowledgebase article for a description of the MS14-080 patch and its implications: https://technet.microsoft.com/library/security/ms14-080
If you're thinking "What the heck did I just read??" you're probably not alone. Allow me to translate. One of the updates to Microsoft Windows was a security update to Internet Explorer. Most of you probably have Windows updating automatically, so it was probably installed and you didn't notice. That update, however, is resulting in some glitches within OneSite.
Before we begin - IF YOU ARE NOT EXPERIENCING TROUBLE ACCESSING FUNCTIONS IN ONESITE, DO NOT CHANGE ANYTHING.
Before we begin - IF YOU ARE NOT EXPERIENCING TROUBLE ACCESSING FUNCTIONS IN ONESITE, DO NOT CHANGE ANYTHING.
If you are having issues, however, you need to uninstall the update that caused the issue. The instructions and screenshots below are based on Windows 7; if you are using a different operating system, your system may be slightly different. If you need assistance, please email your RM or Pam (please email rather than call, as we may have several people needing assistance, and it will be easier for us to work through the list).
Here's how to fix this issue (click on the pictures for a larger view):
Here's how to fix this issue (click on the pictures for a larger view):
1. First, click on the "Start" button over there in the lower left-hand corner of your Desktop.
2. Next, click on "Control Panel."
3. Next, click "Uninstall a Program"
4. Now, click "View Installed Updates"
5. Now, you'll need to look for the file we're going to uninstall. Under the "Microsoft Windows" heading, look for KB3008923. It will have an install date on or around 12/09/2014.
6. Once you find that file, right-click on the name, and click "Uninstall"
7. You will be prompted to confirm that you're sure that you want to uninstall. Click "Yes."
8. From here, you will need to restart your computer. OneSite should be fully functional after that.
Friday, September 26, 2014
VAWA - Not Just for Section 8 Anymore...
Did you know that when VAWA was renewed in 2013, its applicability was expanded? Yes indeed.
VAWA, the Violence Against Women Act, protects victims of stalking and domestic violence (whether or not they are women).
The facts about domestic violence and stalking are alarming. Although women are disproportionately victims, men are not immune.
According to the National Task Force to End Sexual and Domestic Violence: ·
In addition, please add the following document, now on the Compliance Blog, to your application packet:
Notice of VAWA Protections
VAWA forms are also on the Forms and Procedures page of this blog, in the Application Packet and Lease sections.
According to the National Task Force to End Sexual and Domestic Violence: ·
- Nearly one in five women and one in seventy-one men have been raped in their lifetime. ·
- Women are four more times more likely than men to be beaten, six times more likely to be slammed against something, and nine times more likely to be hurt by choking or suffocating.
- One in six women nave been stalked during their lifetime; one in nineteen men have experienced stalking in their lifetime.
- HOME Investment Partnerships program ·
- Section 202 supportive housing for the elderly (including PAC and PRAC) ·
- Section 236 Rental Program
- Section 811 supportive housing for people with disabilities
- Section 221(d)(3) Below Market Interest Rate (BMIR) Program
- HOPWA housing program
- HUD's McKinney-Vento homeless programs ·
- Low-Income Housing Tax Credit properties
- USDA Rural Housing properties
- Prohibits eviction / termination due to a tenant's status as a survivor. Landlords must maintain survivor tenant confidentiality. Landlords must not deny assistance, tenancy, or occupancy rights based solely on criminal activity related to an act of domestic violence committed against them. · Includes victims of sexual assault in its protections, and ads the term "intimate partner" to the list of eligible relationships. This includes anyone living with the survivor and related to him by blood or marriage - spouse, parent. brother, sister, child, or anyone to whom the survivor stands in loco parentis
- Permits lease bifurcation in order to allow the abuser to be removed from the household without removing the victim. If the victim cannot establish eligibility, he or she must be given a reasonable amount of time in which to find new housing or establish eligibility under another covered housing program. ·
- Housing providers must provide a VAWA "notice of rights" at the time a person applies for housing, when a person is admitted as a tenant of a housing unit, and when a tenant is threatened with eviction or termination of housing benefits.
- HUD is expected to issue guidance on what "notice of rights" and "reasonable time" mean at some future point. However, this does not mean that we should wait to provide the protections. VAWA is in force now, and we should act accordingly. Ensure that your Residents have signed the VAWA Lease Amendment (If your residents have not signed, you can obtain it here. They should sign it at their next Lease renewal. Each adult family member need only sign it once).
In addition, please add the following document, now on the Compliance Blog, to your application packet:
Notice of VAWA Protections
VAWA forms are also on the Forms and Procedures page of this blog, in the Application Packet and Lease sections.
The Sixth Sense EHM Style - "I See Fair Housing Testers"
Stay in this business long enough, and you'll have the experience of getting an inquiry that you're sure doesn't come from a "regular" applicant. Instead of asking the questions you're used to, they may seem more savvy. They may use terms that seem too much like industry jargon, or they may inquire about things that your average applicant just doesn't ask about. Something like this:
STAFF: "Good afternoon, Green Hills Apartments, this is Sally. May I help you?"
CALLER: "Yes, I'm twenty-eight and I am disabled. I'm wondering if I qualify to live there."
STAFF: "We have an application packet that discusses our eligibility criteria. May I send one to you?"
CALLER:"Well, you're elderly housing, right? So I'm wondering first what definition of disabled you use."
Right about now, Sally is starting to get that prickly feeling on the back of her neck. 'Oh, I HATE it when people ask questions like this,' she thinks. She doesn't want to not answer, and be seen as rude, but she doesn't want to say the wrong thing. And after all, your average applicant doesn't ask 'what definition of disability do you use?' Could this be a tester?
The short answer is, yes.
HUD's 2015 budget includes an increase of $10 million for the Fair Housing Initiatives Program, and a large focus of the increase will be the study of discrimination in housing. How does one study discrimination in housing? In large part, though testing.
Testers contact sites and, among other things, request applications and inquire about the housing. They may visit in person, call, or possibly even write. They may be of any race, color, or other protected class status. They can come at any time. For all I know, we may be tested regularly.
So what do we do?
The simple answer is, if you don't discriminate, you've got nothing to worry about. How do you accomplish that? Here are a few tips:
1. Have a site script, and use it. You should have the site script posted where you can get
to it easily if you need it. Don't take for granted that you know what to say and what not
to say. Remember, if there is a Fair Housing complaint, it's often your word against the
other person's. Having a site script that you use for every call goes a long way to
demonstrate what your answers are to particular questions.
2. Do not answer eligibility questions over the phone at any point before you have a
completed application in hand. Get in the habit of telling people that you can't answer
any questions about whether or not someone qualifies until you see an application. If
you have someone who says that they don't want to apply unless they know they will
qualify, tell them that company Fair Housing policy prohibits you from answering those
questions over the phone or before you've provided an application. Once you've sent or
provided an application, there is a little more leeway. If you get backed into a corner,
and feel you run the risk of discouraging an applicant if you don't answer the question,
read directly from your facility description (included in your application packet), or refer to your site script, which may contain the answer to the question. Again, the best
answer is, "We don't discuss whether a particular individual may or may not qualify
without an application on file."
3. Make sure your staff is trained. Ensure that all individuals who answer phone calls
and/or deal with the public know what they can and cannot say. Individuals with limited
knowledge and Fair Housing training should know that they should not answer any
questions about eligibility, wait lists, or applications - those questions should be referred
to the Administrator, Assistant Administrator or Occupancy Specialist, depending on site
staffing and training level.
Some other Fair Housing tips:
1. Make sure maintenance, housekeeping, kitchen, or other staff are aware of Fair
Housing, too. While they may not require the amount of Fair Housing training that an
Administrator does, they should, at a minimum, know what they should or should not say
to or around residents. A good bridge to this is the Non-harassment policy that they are
required to sign. An easy way to ensure that you do this regularly is to make it part of a
staff meeting on an annual basis. It doesn't have to be complicated - just have them
review the Non-harassment policy and give them an opportunity to ask questions. If you
find that your staff has a lot of questions or concerns, I'm happy to come and speak with
them.
2. Check your postings on a regular basis. Are they worn or faded? Can a person in a
wheelchair read them easily at the height they're posted? Are they all there? Are they
current?
Postings can be found here:
State:
CT "Discrimination is Illegal" Poster (English)
CT "Discrimination is Illegal" Poster (Spanish)
HUD:
FHEO "house" logo poster. You can order one or make your own. The logo can be
found in different formats and sizes here.
HUD Fair Housing Poster (English)
HUD Fair Housing Poster (Spanish)
This poster is also available in Arabic, Bengali, Cambodian, Chinese, Farsi,
French, Haitian, Creole, Hindi, Hmong, Japanese, Khmer, Korean, Lao,
Polish, Russian, Tagalog and Vietnamese.
You should have it in any language spoken at your site.
Other optional HUD handouts and postings can be found here.
USDA:
And Justice For All poster
3. If you don't know what to do, don't guess - ask for help. Call your Regional Manager,
me, or Tammy if you aren't sure about something. Fair Housing mistakes can be costly. Don't be afraid to tell someone "I'll have to get back to you on that" if you need to get
further guidance.
Remember, if you are always acting in compliance with Fair Housing guidelines, you will not have anything to worry about should a tester come your way.
STAFF: "Good afternoon, Green Hills Apartments, this is Sally. May I help you?"
CALLER: "Yes, I'm twenty-eight and I am disabled. I'm wondering if I qualify to live there."
STAFF: "We have an application packet that discusses our eligibility criteria. May I send one to you?"
CALLER:"Well, you're elderly housing, right? So I'm wondering first what definition of disabled you use."
Right about now, Sally is starting to get that prickly feeling on the back of her neck. 'Oh, I HATE it when people ask questions like this,' she thinks. She doesn't want to not answer, and be seen as rude, but she doesn't want to say the wrong thing. And after all, your average applicant doesn't ask 'what definition of disability do you use?' Could this be a tester?
The short answer is, yes.
HUD's 2015 budget includes an increase of $10 million for the Fair Housing Initiatives Program, and a large focus of the increase will be the study of discrimination in housing. How does one study discrimination in housing? In large part, though testing.
Testers contact sites and, among other things, request applications and inquire about the housing. They may visit in person, call, or possibly even write. They may be of any race, color, or other protected class status. They can come at any time. For all I know, we may be tested regularly.
So what do we do?
The simple answer is, if you don't discriminate, you've got nothing to worry about. How do you accomplish that? Here are a few tips:
1. Have a site script, and use it. You should have the site script posted where you can get
to it easily if you need it. Don't take for granted that you know what to say and what not
to say. Remember, if there is a Fair Housing complaint, it's often your word against the
other person's. Having a site script that you use for every call goes a long way to
demonstrate what your answers are to particular questions.
2. Do not answer eligibility questions over the phone at any point before you have a
completed application in hand. Get in the habit of telling people that you can't answer
any questions about whether or not someone qualifies until you see an application. If
you have someone who says that they don't want to apply unless they know they will
qualify, tell them that company Fair Housing policy prohibits you from answering those
questions over the phone or before you've provided an application. Once you've sent or
provided an application, there is a little more leeway. If you get backed into a corner,
and feel you run the risk of discouraging an applicant if you don't answer the question,
read directly from your facility description (included in your application packet), or refer to your site script, which may contain the answer to the question. Again, the best
answer is, "We don't discuss whether a particular individual may or may not qualify
without an application on file."
3. Make sure your staff is trained. Ensure that all individuals who answer phone calls
and/or deal with the public know what they can and cannot say. Individuals with limited
knowledge and Fair Housing training should know that they should not answer any
questions about eligibility, wait lists, or applications - those questions should be referred
to the Administrator, Assistant Administrator or Occupancy Specialist, depending on site
staffing and training level.
Some other Fair Housing tips:
1. Make sure maintenance, housekeeping, kitchen, or other staff are aware of Fair
Housing, too. While they may not require the amount of Fair Housing training that an
Administrator does, they should, at a minimum, know what they should or should not say
to or around residents. A good bridge to this is the Non-harassment policy that they are
required to sign. An easy way to ensure that you do this regularly is to make it part of a
staff meeting on an annual basis. It doesn't have to be complicated - just have them
review the Non-harassment policy and give them an opportunity to ask questions. If you
find that your staff has a lot of questions or concerns, I'm happy to come and speak with
them.
2. Check your postings on a regular basis. Are they worn or faded? Can a person in a
wheelchair read them easily at the height they're posted? Are they all there? Are they
current?
Postings can be found here:
State:
CT "Discrimination is Illegal" Poster (English)
CT "Discrimination is Illegal" Poster (Spanish)
HUD:
FHEO "house" logo poster. You can order one or make your own. The logo can be
found in different formats and sizes here.
HUD Fair Housing Poster (English)
HUD Fair Housing Poster (Spanish)
This poster is also available in Arabic, Bengali, Cambodian, Chinese, Farsi,
French, Haitian, Creole, Hindi, Hmong, Japanese, Khmer, Korean, Lao,
Polish, Russian, Tagalog and Vietnamese.
You should have it in any language spoken at your site.
Other optional HUD handouts and postings can be found here.
USDA:
And Justice For All poster
3. If you don't know what to do, don't guess - ask for help. Call your Regional Manager,
me, or Tammy if you aren't sure about something. Fair Housing mistakes can be costly. Don't be afraid to tell someone "I'll have to get back to you on that" if you need to get
further guidance.
Remember, if you are always acting in compliance with Fair Housing guidelines, you will not have anything to worry about should a tester come your way.
Wednesday, July 23, 2014
HUD's New Definition of Third-party Documentation - When HUD Makes Sense
We often joke about the regulations in our industry, and how "common sense" doesn't necessarily equate with what the regulatory body has us doing. Every once in a while, though, the two worlds collide in a way that works to our advantage.
Read the HUD 4350.3 REV-1, CHG-4, Chapter 5, and you'll find that HUD has made an interesting decision about Third-party documentation. To review, HUD permits you to verify information in the following ways (in order of preference):
1. Third-party Documentation
2. Documentation submitted by the Tenant
3. Signed statement by the tenant
Sounds simple enough, but in reality, there are a few points that need clarification. Let's first look at the definition of Third-party Documentation. Traditionally, third-party documentation has meant that we mail (or fax, or scan, or email) a verification to the source, and they send a response back to us. There is no involvement of the tenant except to sign consent forms.
That has now changed, and that's good news for us.
HUD now considers the following to be third-party documentation:
- Information obtained through EIV
- Information obtained online or by phone through third-party sources (like ADP, The Work
Line, etc.)
- Information provided in written form from third-party sources
It's that last one that has changed significantly, and may have you doing the "happy dance" in your office. HUD has clarified that written third-party documentation includes documents that:
"...may be in possession of the tenant (or applicant), and commonly referred to as tenant-provided documents. These documents are considered third-party verification because they originated from a third-party source.
Examples of tenant-provided documentation that may be used includes, but is not limited to: pay stubs, payroll summary report, employer notice/letter of hire/termination, SSA benefit letter, bank statements, child support payment stubs, welfare benefit letters and/or printouts, and unemployment monetary benefit notices...."
That's right - if your resident brings you sufficient documentation, you no longer have to send out a third-party request for verification.
So how do we know if we have sufficient documents? Well, HUD gives the following guidance:
Owners must consider the following when using tenant-provided documentation:
(a) Is the document current? Documentation of public assistance may be inaccurate
if it is not recent and does not show any changes in the family’s benefits or
work and training activities.
(b) Is the documentation complete? Owners may not accept pay stubs to document
employment income unless the applicant or tenant provides the most recent four
to six, consecutive pay stubs to illustrate variations in hours worked. Actual
paychecks or copies of paychecks should never be used to document income
because deductions are not shown on the paycheck.
(c) Is the document an unaltered original? The greatest shortcoming of tenant-
provided documents as a verification source is their susceptibility to
undetectable change through the use of high-quality copying equipment.
Documents with original signatures are the most reliable. Photocopied
documents generally cannot be assumed to be reliable.
This means that you will need to carefully examine any documents that you receive to make sure they're sufficient. Among the things you'll need to check are the following:
- Is the documentation current? Make sure to ignore receipts older than 12 months. If you're
looking at a letter from a third-party source, is it dated within the last 120 days? If not, HUD
considers it unacceptable.
- Is the documentation an accurate predictor of what the situation will be over the next 12
months? Remember, you're projecting income, so be sure to ask about any knowledge of
upcoming changes.
- Is the documentation acceptable? Bank statements (6) may be acceptable documentation
to use when calculating the balance of a checking account, but they are not acceptable for
calculating Social Security, Pension, etc. Bills, in general, are not acceptable to calculate
medical expenses; there is no proof that they will be paid in full. For instance, if I make
a payment arrangement on my $3500 balance, I may only pay $600 of that in the next 12
months. My bill would not be an acceptable form of verification. If all you have is a bill, one
way to handle this is to also get a signed (preferably notarized) statement from the tenant
that says exactly how much they intend to pay over the next 12 months. Another, and likely
more preferable way, is to confirm with the provider what payment arrangements have
been made - and whether your applicant / tenant is compliant with the plan.
If you are not sure that what you are looking at is acceptable, you can consult Appendix 3 of the 4350.3 REV-1, CHG-4. Although HUD says it's not a comprehensive list, it's pretty thorough and shows you what forms of documentation are acceptable to verify just about everything. Up until I had the 4350.3 on my laptop to carry around with me, I used to keep a paper copy of the Appendix 3 with me at all times when doing file reviews.
And if that doesn't help, don't hesitate to reach out to your resources within EHM - your Regional Manager, or me, or Tammy if you can't reach either of those. We are here to support you, so don't be afraid to ask for help when you need it.
What do you think about this change? Leave a comment to let us know!
Read the HUD 4350.3 REV-1, CHG-4, Chapter 5, and you'll find that HUD has made an interesting decision about Third-party documentation. To review, HUD permits you to verify information in the following ways (in order of preference):
1. Third-party Documentation
2. Documentation submitted by the Tenant
3. Signed statement by the tenant
Sounds simple enough, but in reality, there are a few points that need clarification. Let's first look at the definition of Third-party Documentation. Traditionally, third-party documentation has meant that we mail (or fax, or scan, or email) a verification to the source, and they send a response back to us. There is no involvement of the tenant except to sign consent forms.
That has now changed, and that's good news for us.
HUD now considers the following to be third-party documentation:
- Information obtained through EIV
- Information obtained online or by phone through third-party sources (like ADP, The Work
Line, etc.)
- Information provided in written form from third-party sources
It's that last one that has changed significantly, and may have you doing the "happy dance" in your office. HUD has clarified that written third-party documentation includes documents that:
"...may be in possession of the tenant (or applicant), and commonly referred to as tenant-provided documents. These documents are considered third-party verification because they originated from a third-party source.
Examples of tenant-provided documentation that may be used includes, but is not limited to: pay stubs, payroll summary report, employer notice/letter of hire/termination, SSA benefit letter, bank statements, child support payment stubs, welfare benefit letters and/or printouts, and unemployment monetary benefit notices...."
That's right - if your resident brings you sufficient documentation, you no longer have to send out a third-party request for verification.
So how do we know if we have sufficient documents? Well, HUD gives the following guidance:
Owners must consider the following when using tenant-provided documentation:
(a) Is the document current? Documentation of public assistance may be inaccurate
if it is not recent and does not show any changes in the family’s benefits or
work and training activities.
(b) Is the documentation complete? Owners may not accept pay stubs to document
employment income unless the applicant or tenant provides the most recent four
to six, consecutive pay stubs to illustrate variations in hours worked. Actual
paychecks or copies of paychecks should never be used to document income
because deductions are not shown on the paycheck.
(c) Is the document an unaltered original? The greatest shortcoming of tenant-
provided documents as a verification source is their susceptibility to
undetectable change through the use of high-quality copying equipment.
Documents with original signatures are the most reliable. Photocopied
documents generally cannot be assumed to be reliable.
This means that you will need to carefully examine any documents that you receive to make sure they're sufficient. Among the things you'll need to check are the following:
- Is the documentation current? Make sure to ignore receipts older than 12 months. If you're
looking at a letter from a third-party source, is it dated within the last 120 days? If not, HUD
considers it unacceptable.
- Is the documentation an accurate predictor of what the situation will be over the next 12
months? Remember, you're projecting income, so be sure to ask about any knowledge of
upcoming changes.
- Is the documentation acceptable? Bank statements (6) may be acceptable documentation
to use when calculating the balance of a checking account, but they are not acceptable for
calculating Social Security, Pension, etc. Bills, in general, are not acceptable to calculate
medical expenses; there is no proof that they will be paid in full. For instance, if I make
a payment arrangement on my $3500 balance, I may only pay $600 of that in the next 12
months. My bill would not be an acceptable form of verification. If all you have is a bill, one
way to handle this is to also get a signed (preferably notarized) statement from the tenant
that says exactly how much they intend to pay over the next 12 months. Another, and likely
more preferable way, is to confirm with the provider what payment arrangements have
been made - and whether your applicant / tenant is compliant with the plan.
If you are not sure that what you are looking at is acceptable, you can consult Appendix 3 of the 4350.3 REV-1, CHG-4. Although HUD says it's not a comprehensive list, it's pretty thorough and shows you what forms of documentation are acceptable to verify just about everything. Up until I had the 4350.3 on my laptop to carry around with me, I used to keep a paper copy of the Appendix 3 with me at all times when doing file reviews.
And if that doesn't help, don't hesitate to reach out to your resources within EHM - your Regional Manager, or me, or Tammy if you can't reach either of those. We are here to support you, so don't be afraid to ask for help when you need it.
What do you think about this change? Leave a comment to let us know!
Tuesday, January 14, 2014
EHM RSCs Featured in NERSC 2014 Program!
Check this out!
Featured in the program for the 2014 New England Resident Service Coordinators conference are none other than our very own RSCs!
Check out the newsletter (scroll down to see the pictures) and you'll see:
Laurie McMorrow (Juniper Hill Village)
Lee Niles (Director of Resident Services)
Peggy Faughnan (Schoolhouse Apartments)
Tomeca West (Marian Heights / Grace House)
Heather Turton (Winding River / Juniper Hill Village)
Christine McPherson (Woodside Heights)
Melissa Wilson (Oak View / Woods Edge)
Jaime Field (Parish Court)
Lynn Mora (Ripton / Hallock's Landing)
Florence Klemenz (Davenport-Dunbar Residence)
Josselyn Esquivel (Victory Cathedral / Ida B. Wells)
Blanca Toledo-Perez(Davenport-Dunbar Residence)
Marlene Teixeira (Chestnut Hill / Laurel Ridge)
In fact, our RSCs are so photogenic that you just may find them featured in several photos on the NERSC site.
Great photos, ladies - looks like you had a great time at the conference!
Friday, January 10, 2014
Corrections and Modifies and Interims...Oh, My!
In my travels, I've noted that there is occasionally confusion over when to perform an Interim versus a Correction (HUD sites) and when to Modify a Certification versus performing a complete new Recertification (USDA/RD sites).
Making the wrong choice can be costly - at HUD sites, the property may lose funds. At a USDA/RD site, financial errors regarding certifications very often result in a financial loss to the Management Company.
In this post, I'm going to try and clarify when to use each of these options. There's also a quiz at the end to help you gauge your knowledge.
HUD Sites - Interims (HUD 4350.3, REV-1, CHG-4, Paragraphs 7-9 through 7-13):
The Basics:
An Interim Recertification (IR) is performed because there has been a change for the family. The family is required to report certain changes; others are optional. A family must report the following (HUD 4350.3, REV-1, CHG-4, Paragraph 7-10, page 7-22):
1. A family member moves out of the unit;
2. A family proposes to move a new member in;
3. An adult family member, previously reported as unemployed, gets a job; or
4. Any other change in income of $200 or more per month.
One of the most frequent areas of confusion surrounds the employment issue and the $200 per month threshhold. The two are separate requirements - the requirement to report employment has NO dollar threshhold. Even if a family member, previously listed as unemployed, gets a job that only pays $20 a month, they must report for an Interim. Other, non-employment changes are only required to be reported if they are $200 or more a month.
Why? The main reason is EIV. Remember, EIV will report any income differences of $200 a month or more. Many of the other types of changes will not show in EIV. Requiring that any employment be reported helps to limit false discrepancy reports.
The Process:
When Residents report changes as required, the process is fairly straightforward
1. Ask the tenant if there have been any other changes
2. Verify the item(s) reported as changed
3. Pull the EIV Summary Report, Income Report, and Discrepancy Report
4. Screen new additions to household / perform EIV Existing Tenant Search
5. Enter the information in OneSite / Print new 50059 and Lease Amendment
6. Sign the new paperwork, with the certification effective after a 30-day notice.
7. Submit through TRACS
8. Send paperwork to Financial Office
When Tenants do not Report as Required:
You're doing your holiday shopping in December, and are surprised to discover that the individual who comes to help you at the perfume counter is your unemployed Resident. When you say hello, and note your suprise at seeing her there, she tells you that she has been employed since August. What do you do?
The reality is that the current setting is not the appropriate one in which to discuss the reporting issue. You make your purchase, wish her Happy Holidays, and go on your way. When you are next in the office, however, you will need to send a notice to the Resident advising of the need to report to your office.
If she reports as required, you will follow the steps above, with one major difference. By failing to report, the resident forfeits the right to a 30-day notice of an increase. This means that the effective date will now be the first of the month after the Date of Action (the day things changed).
So, if your Resident started her new job on August 3rd, the increase in rent will be effective on September 1st, and you will be asking her to sign a payment agreement for back-due rent.
If she does not report as required, what happens depends on what type of site she lives in. At all HUD-subsidized sites other than PRACs, failure to report on time leads to termination of assistance. This means that they now owe Market Rent.
HUD Sites - Corrections:
Interims are performed because the family's financial situation has changed. Corrections, on the other hand, are performed because there was an error on the original certification, either due to tenant misreporting or Management error.
Corrections always have an effective date identical to the certification they are correcting. You will perform a certification with the same effective date, and the software will ask you to designate the reason for the correction.
When the correction is due to a tenant's failure to report accurate info, they will bear the financial cost of the error. They will not be eligible for anything other than their own direct actions. For instance, if you use documents submitted by the Resident, to sign a certification, and a verification form comes in after that with a different number, this is not the Resident's fault. The Resident's obligation is to report on time and to provide accurate and complete information to the best of their knowledge. Anything else that results in an error is not likely to be considered their responsibility.
USDA/ RD Sites - Modifying a Recertification:
USDA/RD Sites do not have a "Correction" option - when a Recertification must be corrected, it is necessary to Modify the existing Certification. This must be done within 90 days of the original certification, and it is likely that a charge to the Management Company will result. If the correction is due to a situation beyond Management's control, the charge may be appealed.
In any case where a modification is to be performed, you must inform your Regional Manager so that they may assist. Modifying a certification requires RD notification and approval (which the RM will take care of for you). We will also want to discuss the situation with USDA/RD if we will be requesting that the charge be waived.
When we will be modifying, only the changed information will be verified. This makes the process fairly straightforward and simple.
1. Ask if any other information has changed.
2. Document the reason that the original information was inaccurate.
3. Verify the changed information
4. Contact your Regional Manager to advise
5. Complete the new paperwork
6. Submit through MINC.
7. Send the corrected paperwork to the Financial Office
USDA Sites - Full Recertification:
USDA/RD sites do not have the option of an Interim Recertification. Therefore, if information changes beyond 90 days of the Annual, a full Recertification must be performed, including verification of all Income, Assets, and Expenses.
Once the new certification is performed, it is important to note that the next Annual Recertification date will be one year from this certification's effective date, rather than the original anniversary date.
Example:
A Resident is recertified, as usual, on May 1st. On November 1st, the Resident advises that her medical expenses have changed significantly. A complete recertification is performed, and is effective January 1st. The Resident will now have an Annual Recertification date of January 1.
Think you've got this down? Test your knowledge:
Take the Interim vs. Correction Quiz!
Take the "Recertification vs. Modify" Quiz!
Making the wrong choice can be costly - at HUD sites, the property may lose funds. At a USDA/RD site, financial errors regarding certifications very often result in a financial loss to the Management Company.
In this post, I'm going to try and clarify when to use each of these options. There's also a quiz at the end to help you gauge your knowledge.
HUD Sites - Interims (HUD 4350.3, REV-1, CHG-4, Paragraphs 7-9 through 7-13):
The Basics:
An Interim Recertification (IR) is performed because there has been a change for the family. The family is required to report certain changes; others are optional. A family must report the following (HUD 4350.3, REV-1, CHG-4, Paragraph 7-10, page 7-22):
1. A family member moves out of the unit;
2. A family proposes to move a new member in;
3. An adult family member, previously reported as unemployed, gets a job; or
4. Any other change in income of $200 or more per month.
One of the most frequent areas of confusion surrounds the employment issue and the $200 per month threshhold. The two are separate requirements - the requirement to report employment has NO dollar threshhold. Even if a family member, previously listed as unemployed, gets a job that only pays $20 a month, they must report for an Interim. Other, non-employment changes are only required to be reported if they are $200 or more a month.
Why? The main reason is EIV. Remember, EIV will report any income differences of $200 a month or more. Many of the other types of changes will not show in EIV. Requiring that any employment be reported helps to limit false discrepancy reports.
The Process:
When Residents report changes as required, the process is fairly straightforward
1. Ask the tenant if there have been any other changes
2. Verify the item(s) reported as changed
3. Pull the EIV Summary Report, Income Report, and Discrepancy Report
4. Screen new additions to household / perform EIV Existing Tenant Search
5. Enter the information in OneSite / Print new 50059 and Lease Amendment
6. Sign the new paperwork, with the certification effective after a 30-day notice.
7. Submit through TRACS
8. Send paperwork to Financial Office
When Tenants do not Report as Required:
You're doing your holiday shopping in December, and are surprised to discover that the individual who comes to help you at the perfume counter is your unemployed Resident. When you say hello, and note your suprise at seeing her there, she tells you that she has been employed since August. What do you do?
The reality is that the current setting is not the appropriate one in which to discuss the reporting issue. You make your purchase, wish her Happy Holidays, and go on your way. When you are next in the office, however, you will need to send a notice to the Resident advising of the need to report to your office.
If she reports as required, you will follow the steps above, with one major difference. By failing to report, the resident forfeits the right to a 30-day notice of an increase. This means that the effective date will now be the first of the month after the Date of Action (the day things changed).
So, if your Resident started her new job on August 3rd, the increase in rent will be effective on September 1st, and you will be asking her to sign a payment agreement for back-due rent.
If she does not report as required, what happens depends on what type of site she lives in. At all HUD-subsidized sites other than PRACs, failure to report on time leads to termination of assistance. This means that they now owe Market Rent.
Example:Jenny gets a new job on May 1. EIV notes the discrepancy in October. Management sends a notice, and Jenny complies by coming into the office and completing an Interim. The new certification is signed on November 14th. The Interim is effective June 1st, and Jenny signs a payment agreement for the money owed.In a 202PRAC, there is no such thing as a Market Rent, so the consequence of failing to report is eviction.
Example:Lawrence starts a new business completing tax returns, for which he receives income. He fails to report it on time, but one of his neighbors reports it to Management on March 14th after Lawrence completes her tax return. Management sends a notice to Lawrence on March 16th asking him to report to the office within 10 days to complete an Interim certification, or his rent will be raised to Market as of April 1. Lawrence does not comply, so as of April 1, he now owes Market Rent. As of April 10th, Lawrence realizes he does not want to pay Market Rent, so he reports to the office. Management completes a recertification, and Lawrence is put back on subsidy with an Initial Certification (NOT an Interim) which starts on May 1. Lawrence still owes Market Rent for April 1.Because his subsidy was terminated as of April 1, he can only be placed back on subsidy as of May 1. Annual Recertifications are effective the first of the month during which the Resident began receiving subsidy; therefore, his next recertification date will be May 1 next year. It is almost as if he moved out and moved back in.
HUD Sites - Corrections:
Interims are performed because the family's financial situation has changed. Corrections, on the other hand, are performed because there was an error on the original certification, either due to tenant misreporting or Management error.
Corrections always have an effective date identical to the certification they are correcting. You will perform a certification with the same effective date, and the software will ask you to designate the reason for the correction.
When the correction is due to a tenant's failure to report accurate info, they will bear the financial cost of the error. They will not be eligible for anything other than their own direct actions. For instance, if you use documents submitted by the Resident, to sign a certification, and a verification form comes in after that with a different number, this is not the Resident's fault. The Resident's obligation is to report on time and to provide accurate and complete information to the best of their knowledge. Anything else that results in an error is not likely to be considered their responsibility.
Example:Management completes an Annual Recertification effective 12/01. On 1/15, a verification arrives that indicates that the resident will be paying twice the amount as last year for a medical expense. The Annual will be corrected with the new expense amount, noted as due to Management or Third Party error, and the Resident will likely have a rent credit.
Example:Management completes an Annual Recertification effective 7/01. On 9/01, the Resident pays her rent with a check from an account that Management didn't know about. The Resident says that she simply forgot about the new account, so Management cannot prove that the oversight was intentional. The resulting correction raises the Resident's rent by $3 a month. The new Annual Recertification is performed, noted as a Correction due to tenant misreporting, and the Resident will owe the back rent.
USDA/ RD Sites - Modifying a Recertification:
USDA/RD Sites do not have a "Correction" option - when a Recertification must be corrected, it is necessary to Modify the existing Certification. This must be done within 90 days of the original certification, and it is likely that a charge to the Management Company will result. If the correction is due to a situation beyond Management's control, the charge may be appealed.
In any case where a modification is to be performed, you must inform your Regional Manager so that they may assist. Modifying a certification requires RD notification and approval (which the RM will take care of for you). We will also want to discuss the situation with USDA/RD if we will be requesting that the charge be waived.
When we will be modifying, only the changed information will be verified. This makes the process fairly straightforward and simple.
1. Ask if any other information has changed.
2. Document the reason that the original information was inaccurate.
3. Verify the changed information
4. Contact your Regional Manager to advise
5. Complete the new paperwork
6. Submit through MINC.
7. Send the corrected paperwork to the Financial Office
USDA Sites - Full Recertification:
USDA/RD sites do not have the option of an Interim Recertification. Therefore, if information changes beyond 90 days of the Annual, a full Recertification must be performed, including verification of all Income, Assets, and Expenses.
Once the new certification is performed, it is important to note that the next Annual Recertification date will be one year from this certification's effective date, rather than the original anniversary date.
Example:
A Resident is recertified, as usual, on May 1st. On November 1st, the Resident advises that her medical expenses have changed significantly. A complete recertification is performed, and is effective January 1st. The Resident will now have an Annual Recertification date of January 1.
Think you've got this down? Test your knowledge:
Take the Interim vs. Correction Quiz!
Take the "Recertification vs. Modify" Quiz!
Wednesday, December 18, 2013
'Tis the Season for Giving (and Receiving)...What to Do if you Receive a Gift
Gifts from Residents / Vendors:
EHM policy states that:
"Employees and anyone with whom they have a personal and/or business relationship (such as family members and/or business partner) must not accept entertainment, gifts, or personal favors that could, in any way, influence, or appear to influence, business decisions in favor of any person or Company with whom or with which EHM has, or is likely to have, business dealings. Similarly, employees and anyone with whom they have a personal and/or business relationship must not accept any other preferential treatment under these circumstances because their position with EHM might be inclined to, or be perceived to, place them under obligation." (EHM Employee Handbook, Page 18, "Gifts, Entertainment, and Favors)
Generally speaking, a holiday or similar gift that is under $25 in value will not cause concern. But please bear in mind that regardless of the dollar amount, any gift that appears to be part of a quid pro quo may be an issue. Great care should always be taken to avoid any impression of bias for or against any resident or group or residents, especially those who are members of a protected class.
In some cases, Managers may be concerned about refusing a well-intentioned gift. In some cases, there are other options. Where possible, gifts that may cause a concern if accepted by the individual Manager, but that are not necessarily a concern with regard to amount, can simply be diverted to the building so that they may be enjoyed by all.'
For Example:
1. Resident Mary Smith brings down a large tin of holiday butter cookies. The Property Manager is hesitant to accept the gift for herself, but Mary is insistent. The Manager may take the option of thanking Mary for her gift, and advising Mary that the cookies look so wonderful, they should be shared. She will tell Mary that the tin of cookies will be left in the Community Room, where everyone can enjoy them.
2. Joseph's daughter stops by and says that after her father's fall on the ice a few weeks ago, the staff was so kind that she would like to give them a gift of $200, to be split among the Super and the Administrator. The Administrator tells her that staff is prohibited from accepting such a gift directly, but if she wishes to make a donation to the building, or to EHM / New Samaritan, they will ensure that it is put to good use.
3. Murphy's Snow Removal and Landscaping sends a gift tower of snacks to the corporate office every year, addressed to the Maintenance Supervisor. It is always left in the break room where everyone can enjoy it.
Gifts from Owners / Boards of Directors:
Just as with Residents, gifts provided by the property Owners can also causes concerns. As an EHM employee, your compensation must come solely from EHM. As stated in the Employee Handbook:
Regarding EHM's business activities, employees and anyone with whom they have a personal and/or business relationship may not receive payment or compensation of any kind, except as authorized by EHM. In particular, EHM strictly prohibits the acceptance of kickbacks and secret commissions from suppliers others. Any breach of this rule will result in immediate termination and prosecution to the fullest extent of the law. (EHM Employee Handbook, page 18 "Kickbacks and Secret Commissions")
Again, staff should be concerned with anything that gives the impression that the above is occurring. Vendors should clearly be told that we are not permitted to accept commissions, referral fees, etc.
Boards / Owners occasionally will want to provide a "holiday bonus" or similar gift to the site staff. This can only be done with the direct approval of EHM, and there are certain steps that must be taken to ensure that the rules are followed.
Any time anyone outside of EHM payroll is attempting to provide compensation, the Regional Coordinator should be contacted immediately for guidance. The same is true with anyone who wishes to provide a gift to staff that may conflict with policy. Just as with most things in our business, it is important to document everything. While it is wonderful to be appreciated by the Residents, Boards, and Vendors we come into contact with, it is vital that we do our jobs in a manner that is above reproach.
References:
EHM Employee Handbook
Questions to:
Regional Manager
Pam Kazlauskas, Assistant Director of Property Management
Tammy Lautz, Director of Property Management
Jill Vangor, Director of Human Resources.
Thursday, December 12, 2013
"My Son is Paying My Rent..." - Recurring Gifts
Recurring Gift income is one of the most difficult items to verify and track. Often, we find out after the fact, by discovering something on a bank statement, seeing a different name on a rent check, etc.
HUD, DECD, CHFA, and USDA all look at recurring gift income. The language in all cases is largely identical to HUD's:
Owners must count as income any regular contributions and gifts from persons not living in the unit. These sources may include rent and utility payments paid on behalf of the family, and other cash or noncash contributions provided on a regular basis.
Most of the time, you're dealing with a definite amount - the amount of a car payment, or health insurance, for example. In the case of utility bills, you can get a general idea by averaging the last six payments.
But what do you do when someone will be paying the rent for a tenant? That can get very tricky, and here's why:
Let's say we do all the calculations, and here is our new resident's financial profile:
Non-Asset income: $12,000
Asset income : $0
Expenses: $1200
Allowable Medical Deduction: $840 (3% of annual income is $360)
Elderly Household Allowance: $400
Total Deductions: $1240
Adjusted Income: $10,760
Tenant Payment (30% of adjusted) = $269
So now we have to recalculate based on the son's gift. He says he's going to pay that $269. Watch what happens:
Now, non-asset income becomes $12,000 + $3228 = $15,228
Allowable Medical Expenses are now $743 (3% of $15,228 is $457).
Add in the Elderly Household Allowance, and the total deductions are $1,143.
This makes the adjusted income $14,085, and the Tenant Rent $352
So, that $269 monthly gift translated to $83 more rent monthly. If he then says, OK, I'll pay the $352, we now have a situation where we've got a moving target. Each time we increase the monthly contribution, the rent increases. So if they are really set on paying "the rent" for the tenant, this it will be necessary to keep making calculations until we arrive at a point that the contribution and the rent are relatively equal. In this case, that wouldn't happen until we arrive at a monthly contribution of $400, and a rent of $403.
How, then, do we address this situation?
The easiest way, by far, is to have the individual contribute a set amount to the household monthly. This is easy to document, and makes the calculation simpler. If it gets any more complicated than that, contact your Regional Manager, or the Assistant Director of Property Management (Pam) for assistance.
Things to Remember:
Don't forget, recurring gifts include any payments made on behalf of your tenant, or contributions to them, except for:
- Gifts of Food
(actual food. Money intended to be used for food IS COUNTED)
- Direct payments to a child care provider
Again, if the money is given to the tenant with the intent that it go to pay
for childcare, IT'S INCOME
- Payment of medical expenses on someone's behalf
(but then it also isn't counted as an expense)
Payment of any other expenses on behalf of a tenant (credit card bills, car payments, renters' insurance, etc.) IS INCOME, and must be counted. Be sure to explain that question adequately in the interview, so your Resident / Applicant understands what we're asking.
References:
HUD 4350.3, REV-1, CHG-4, paragraph 5-6(G), page 5-12
USDA HB-2-3560, Attachment 6-A, page 6-57
HUD, DECD, CHFA, and USDA all look at recurring gift income. The language in all cases is largely identical to HUD's:
Owners must count as income any regular contributions and gifts from persons not living in the unit. These sources may include rent and utility payments paid on behalf of the family, and other cash or noncash contributions provided on a regular basis.
Most of the time, you're dealing with a definite amount - the amount of a car payment, or health insurance, for example. In the case of utility bills, you can get a general idea by averaging the last six payments.
But what do you do when someone will be paying the rent for a tenant? That can get very tricky, and here's why:
Let's say we do all the calculations, and here is our new resident's financial profile:
Non-Asset income: $12,000
Asset income : $0
Expenses: $1200
Allowable Medical Deduction: $840 (3% of annual income is $360)
Elderly Household Allowance: $400
Total Deductions: $1240
Adjusted Income: $10,760
Tenant Payment (30% of adjusted) = $269
So now we have to recalculate based on the son's gift. He says he's going to pay that $269. Watch what happens:
Now, non-asset income becomes $12,000 + $3228 = $15,228
Allowable Medical Expenses are now $743 (3% of $15,228 is $457).
Add in the Elderly Household Allowance, and the total deductions are $1,143.
This makes the adjusted income $14,085, and the Tenant Rent $352
So, that $269 monthly gift translated to $83 more rent monthly. If he then says, OK, I'll pay the $352, we now have a situation where we've got a moving target. Each time we increase the monthly contribution, the rent increases. So if they are really set on paying "the rent" for the tenant, this it will be necessary to keep making calculations until we arrive at a point that the contribution and the rent are relatively equal. In this case, that wouldn't happen until we arrive at a monthly contribution of $400, and a rent of $403.
How, then, do we address this situation?
The easiest way, by far, is to have the individual contribute a set amount to the household monthly. This is easy to document, and makes the calculation simpler. If it gets any more complicated than that, contact your Regional Manager, or the Assistant Director of Property Management (Pam) for assistance.
Things to Remember:
Don't forget, recurring gifts include any payments made on behalf of your tenant, or contributions to them, except for:
- Gifts of Food
(actual food. Money intended to be used for food IS COUNTED)
- Direct payments to a child care provider
Again, if the money is given to the tenant with the intent that it go to pay
for childcare, IT'S INCOME
- Payment of medical expenses on someone's behalf
(but then it also isn't counted as an expense)
Payment of any other expenses on behalf of a tenant (credit card bills, car payments, renters' insurance, etc.) IS INCOME, and must be counted. Be sure to explain that question adequately in the interview, so your Resident / Applicant understands what we're asking.
References:
HUD 4350.3, REV-1, CHG-4, paragraph 5-6(G), page 5-12
USDA HB-2-3560, Attachment 6-A, page 6-57
Tuesday, December 3, 2013
OneSite Issue - Internet Explorer 11 Users
If you are having trouble running OneSite right now, it may
be because your computer automatically updated to Internet Explorer 11 Preview. Below is information on how to check to see what version you're running, as well as how to resolve the issue if you are indeed running Internet Explorer 11. Click the pictures to see larger versions.
NOTE: If you don't see the options listed below, you may be running an even older version of Internet Explorer. If this is the case, please let me know so that I can assist you in getting an updated version. Be VERY careful, and don't download a browser unless you know what you're doing - it's very easy to get a malicious program into your system if you don't pay close attention to where you're downloading from.
NOTE: If you don't see the options listed below, you may be running an even older version of Internet Explorer. If this is the case, please let me know so that I can assist you in getting an updated version. Be VERY careful, and don't download a browser unless you know what you're doing - it's very easy to get a malicious program into your system if you don't pay close attention to where you're downloading from.
To check to see which version of Internet Explorer you're running:
1. Open an Internet Explorer window
2. In the top
right-hand corner, click the little gear-looking icon, then click on “About
Internet Explorer.”
3. A little window
will open and tell you which version of Internet Explorer you are
running. While you are on that window, uncheck the box
that says “Install updates
Automatically.”
This will prevent future problems.
4. If you are running
Internet Explorer 10, but are still having problems,
check these settings. If that doesn't work, please let me know.
If you are running Internet Explorer 11, here’s how to solve
your problem (easy-peasy, lemon squeezy)!
1. Close out that
little box that tells you your Internet Explorer version.
2. Go up to the top
right-hand corner again, and click the little gear again. This time,
when the menu opens, click on "Compatibility View Settings."
3. In the window that opens, you will see "*.realpage.com" listed as a website to add to
the list of sites to run in "Compatibility View." Click "Add," and then click "Close."
OneSite should now run for you.
If it doesn't, or if you need help, please let me know.
Monday, December 2, 2013
Snowmen in the Kitchen...
Check out this stroke of decorating genius. The artist is Linda, a Resident at Lymewood:
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