ADMINISTRATIVE PLAN - San Antonio Housing Authority

Late HAP Payments [24 CFR 982.451(a)(5)]The PHA is responsible for making HAP payments promptly when due to the owner, inaccordance with the terms of the HAP contract. After the first two calendar months of the HAPcontract term, the HAP contract provides for penalties if the PHA fails to make the HAPpayment on time.Penalties for late HAP payments can only be imposed if 1) the penalties are in accordance withgenerally accepted local rental market practices and law governing penalties for late payment bytenants; 2) it is the owner’s normal business practice to charge late payment penalties for bothassisted and unassisted families; and 3) the owner charges the assisted family for late payment ofthe family’s share of the rent.The PHA is not required to pay a late payment penalty if HUD determines that the payment islate for reasons beyond the PHA’s control. In addition, late payment penalties are not required ifthe PHA intentionally delays or denies payment as a remedy to an owner breach of the HAPcontract [HCV Guidebook p. 11-7].Termination of HAP Payments [24 CFR 982.311(b)]The PHA must continue making housing assistance payments (HAP) to the owner in accordancewith the HAP contract as long as the tenant continues to occupy the unit and the HAP contract isnot violated.HAP terminate when the HAP contract terminates or when the tenancy is terminated inaccordance with the terms of the lease.If the owner has initiated eviction proceedings against the family and the family continues toreside in the unit, the PHA must continue to make HAP to the owner until the owner hasobtained a court judgment or other process allowing the owner to evict the tenant.PHA PolicyThe owner must inform the PHA when the owner has initiated eviction proceedingsagainst the family and the family continues to reside in the unit.The owner must inform the PHA when the owner has obtained a court judgment or otherprocess allowing the owner to evict the tenant, and provide the PHA with a copy of suchjudgment or determination.After the owner has obtained a final court judgment allowing the owner to evict thetenant, the PHA will terminate HAP to the owner at the end of the month of the effectivedate of the final court judgment or at the end of the month of the date the family vacatedthe unit, whichever is earliestFailure to submit a copy of the court order to the PHA within 10 business days will resultin collection of any HAP made following the effective termination date.© Copyright 2008 Nan McKay & Associates, Inc. Page 13-12 Revised/Approved 04/08/10 (Eff: 07/01/10)Unlimited copies may be made for internal use.