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Family Members of Live-in Aides- New HUD Guidance

July 25, 2019

In the past, HUD guidance has indicated that family members of live-in aides could not reside with the aide in housing developments assisted under the HUD Multifamily Housing Division. This includes project-based rental assistance programs such as Section 8, as…

IRS Chief Counsel Memorandum Takes Hard Line on LIHTC Common Area Noncompliance

July 6, 2019

An IRS Chief Counsel Memorandum issued on May 22, 2019 takes a hard line regarding the noncompliance of common area for purposes of §42 Low-Income Housing Credit. The memo was prepared by the Office of Associate Chief Counsel (Passthroughs and…

IRS Issues New Guidance on General Public Use Rules – Revenue Procedure 2019-17

June 23, 2019

The IRS has issued Revenue Procedure 2019-17, which allows projects with tax-exempt bonds issued on or after April 3, 2019, to apply the general public use rules for residential rental housing in the same manner the rules are applied for…

2019 HOME Income Limits

June 16, 2019

HUD has published the 2019 HOME income limits. The limits will be effective on June 28, 2019. Until that date, HOME fund recipients should continue to use the 2018 HOME income limits, which were published on June 1, 2018. The…

Criminal Background Checks and Fair Housing

June 15, 2019

The federal Department of Housing & Urban Development (HUD) and the Department of Justice (DOJ) are making investigations of fair housing violations in three specific areas a priority for 2019. These areas are sexual harassment, tenant-on-tenant harassment, and policies…

Priority Fair Housing Issue Number Two – Tenant-on-Tenant Harassment

June 10, 2019

The federal Department of Housing & Urban Development (HUD) and the Department of Justice (DOJ) are making investigations of fair housing violations in three specific areas a priority for 2019. Those areas are sexual harassment, tenant-on-tenant harassment, and policies…

Sexual Harassment – A Fair Housing Priority

June 2, 2019

The federal Department of Housing & Urban Development (HUD) and the Department of Justice (DOJ) are making investigations of fair housing violations in three specific areas a priority for 2019. Those areas are sexual harassment, tenant-on-tenant harassment, and policies…

Federal Court Holds Tenant Screening Services Subject to the Fair Housing Act

May 19, 2019

In a landmark civil rights decision (Connecticut Fair Housing Center, et al. v. CoreLogic Rental Property Solutions, LLC, March 25, 2019), the Connecticut federal District Court established for the first time that consumer reporting agencies must comply with the Fair…

New HUD Income Exclusion – ABLE Accounts

May 18, 2019

On May 6, 2019, HUD published Notice H-2019-06 and Notice PIH 2019-09, Treatment of ABLE Accounts in HUD-Assisted Programs. Background The Achieving Better Life Experience (ABLE) Act was signed into law on December 19, 2014. The ABLE Act allows states…

Non-Profit Right of First Refusal on Section 42 Project – Relevant Court Case

May 11, 2019

Many nonprofit organizations participate in the development of Section 42 Low-Income Housing Tax Credit (LIHTC) properties on the condition that the nonprofit has a right of first refusal to purchase the project at the end of the Section 42 compliance…

Senior Housing – What the Law Requires to Exclude Families with Children from Multifamily Housing

May 4, 2019

When the Fair Housing Amendments Act of 1988 passed, amending the Fair Housing Act, it added protections for families with children as well as for the disabled. The familial status provisions made it unlawful to discriminate against applicants or residents…

HUD Guidance On Voluntary Conversion of Small PHA Public Housing to Section 8

April 20, 2019

On March 21, 2019, HUD issued Notice PIH 2019-05 (HA), creating a streamlined procedure for Public Housing Agencies (PHAs) with 250 or fewer public housing units to convert the public housing to Section 8 assistance. PHAs may receive Tenant…

HUD Conciliation Agreement for Discrimination Based on Sex with Regard to Domestic Violence Victim – March 2019

April 12, 2019

On March 12, 2019, HUD entered into a Conciliation Agreement with a domestic violence victim and Essex Property Trust, Inc (and others). This is an important case because it indicates that victims of domestic violence may have a fair…

Firearms – Can They be Banned in Apartment Communities?

April 2, 2019

In my role as a consultant, I have been asked a number of times whether or not guns can be banned at apartment communities. The answer may well depend on the state in which the community is located, but…

Quiet Enjoyment – A Lease Concept that Managers Must Understand

March 30, 2019

Landlords are required to ensure that all residents have “quiet use and enjoyment” of their apartment. For this reason, owners must deal with any resident who disrupts the “livability” of the property. Owners can ensure that this responsibility is met…

Court Rules that Owner Can Evict Resident for Marijuana-Related Lease Violations in State That Permits Medical Marijuana Use

March 17, 2019

In Sherwood Associates, LP v. Jackson, January 2019, the Maine Supreme Court ruled that an owner could evict a resident for marijuana use that violated the terms of the lease – even though the use of medically prescribed marijuana…

Rules for Electronic Waiting Lists at HUD Projects

March 16, 2019

In most cases, HUD projects are required to maintain waiting lists. A waiting list is a formal record of applicants for housing that identifies the applicant’s name, date and time of application, selection preferences claimed, income category, and the need…

Fair Housing Testing – Understanding How it Works

March 10, 2019

Fair housing testing was first approved by the Supreme Court in 1982. The purpose of fair housing testing is to determine the likelihood that illegal housing discrimination is occurring. How Does Testing Work? The testing process often begins…

HUD Reduces Time for Advance Notice of REAC Inspections

February 25, 2019

On February 20, 2019, HUD announced in a press release a new Notice that reduces to 14 calendar days (from 120-days) the advance notification inspectors will give before conducting physical inspections of public housing and private HUD-assisted multifamily housing. The…

How to Properly Apply the HUD Minimum Rent Requirements

February 10, 2019

Owners participating in HUD Multifamily Housing Programs (MFH) are sometimes unsure of exactly how to apply HUD’s minimum rent rules. HUD occupancy regulations require all households (except those with hardship exemptions) to pay a monthly rent of at least $25…

Major Fair Housing Settlement in Housing Accessibility Case

February 9, 2019

The Department of Justice (DOJ) has settled a major fair housing and American with Disabilities Act (ADA) lawsuit against Mid-America Apartment Communities, Inc., and Mid-America Apartments, LP for $11.3 million to resolve allegations that these owners failed to build 50…

HUD Resumption of Multifamily Production and Asset Management Activities

February 3, 2019

The HUD Office of Multifamily Housing (MFH) issued two memorandums on February 1, 2019 outlining the departments plan for prioritizing the backlog of work from the shutdown. One memo deals with the resumption of multifamily production activities and the other…

Exceptions to Criminal Screening Policies as a Reasonable Accommodation

January 28, 2019

A court case in early 2018 provides a case study in why a company’s criminal screening policies must sometimes be waived as a reasonable accommodation for a disabled person. The case was Simmons v. T.M. Associates Management, VA – February…

Affirmative Fair Housing Marketing Requirements for HOME Properties

January 26, 2019

The HOME final rule (24 CFR 92.351[a]) requires Participating Jurisdictions (PJs) and state recipients to develop, adopt, and follow written affirmative marketing procedures and requirements for rental and homebuyer projects containing five or more HOME-assisted units, regardless of the specific…

Documents Critical to the IRS Section 42 Audit Process

January 20, 2019

DDespite a recent increase in IRS audit activity relating to Low-Income Housing Tax Credit (LIHTC) projects, audits of such projects remain relatively rare. However, such audits do occur, and owners should ensure that record retention protocols include the documents that…

Monitoring Fees for HOME Projects

January 19, 2019

Agencies that administer HOME funds are known as Participating Jurisdictions or “PJs.” For HOME-assisted projects with commitments on or after August 23, 2013, the HOME program regulations [24 CFR 92.214(b)(1)(i)] allow PJs and state recipients to charge owners if rental…

Documentation of Child Custody and Support

January 15, 2019

One of the most vexing problems faced by managers of affordable housing is how to handle the counting of children when full time residence in a unit is not clear. There are many households with children in shared custody situations.…

The Shutdown and Affordable Housing

January 6, 2019

As we enter the third week of the partial government shutdown, the impact is beginning to affect more than just the unfortunate federal workers who are not being paid. Some of America’s poorest families may soon be hit by the…

Occupancy Standards and Fair Housing

December 2, 2018

Every owner and manager of multifamily properties must develop occupancy standards for their property. It is these standards that determine how many people may live in a unit. When deciding on an occupancy standard, the key question is always –…

Verifying the Income of Ride-Hailing Drivers

November 24, 2018

Verifying the Income of Ride-Hailing Drivers A recent study by the JP Morgan Chase Institute showed that from late 2013 to the Spring of 2018, there was a 2,000 percent increase in the number of Uber and Lyft drivers. This…

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