Current through Register 2024 Notice Reg. No. 38, September 20, 2024
(a) Sponsors shall select only eligible households as tenants of assisted units. The sponsor shall develop a tenant selection plan for assisted units which shall be subject to the approval of the department. The plan shall include the following:
(1) an affirmative marketing plan which shall include policies and steps to ensure equal access to all housing units in the rental housing development for all persons in any category protected by federal, state or local laws governing discrimination, and regardless of any other arbitrary factor.
(2) reasonable criteria for selection or rejection which shall not discriminate in violation of any federal, state or local laws governing discrimination, or any other arbitrary factor.
(3) prohibition of local residency requirements.
(4) tenant selection procedures that include the following requirements:
(A) selection of tenants based on order of application, lottery or other reasonable method approved by the department;
(B) notification of tenant applicants of eligibility and, based on turnover history, when a unit may be available;
(C) notification of tenant applicants of ineligibility to occupy an assisted unit and the reason for the ineligibility; and
(D) maintenance of a waiting list of eligible households applying to occupy assisted units and if applicable, which distinguishes between lower and very low-income tenants.
(5) tenant occupancy standards that shall be used by the sponsor upon both initial occupancy and recertification to determine a tenant's unit size, as follows:
| Unit Size | Minimum No. of Persons in Household |
|
| 0-BR | 1 |
|
| 1-BR | 1 |
|
| 2-BR | 2 |
|
| 3-BR | 4 |
|
| 4-BR | 6 |
|
| 5-BR | 8 |
(A) Flexibility for assignment by a sponsor to a different sized unit is permitted if the sponsor reasonably determines that special circumstances warrant such an assignment and the reasons are documented in the tenant's file.
(B) If at the time of recertification, the tenant's household size has changed and no longer meets the minimum occupancy standards pursuant to this subdivision, tenant household shall be required to move to the next available appropriately sized unit pursuant to this subdivision.
(b) The sponsor shall submit for Department approval the form of the rental agreement for assisted units prior to its use. The form shall include the following:
(1) provisions requiring good cause for termination of tenancy. One or more of the following constitutes "good cause:"
(A) failure by the tenant to maintain eligibility under the program;
(B) material noncompliance by the tenant with the lease, including one or more substantial violations of the lease or habitual minor violations of the lease which
1. adversely affect the health and safety of any person or the right of any tenant to the quiet enjoyment of the leased premises and related project facilities;
2. substantially interfere with the management, maintenance, or operation of the rental housing development;
3. result from the failure or refusal to pay, in a timely fashion, rent or other charges when due. Failure or refusal to pay in a timely fashion is a substantial violation of the lease when there is nonpayment of rent or other financial obligations under the lease after a three-day notice to pay rent or quit, but such failure or refusal to pay in a timely fashion is a minor violation if payment is made during the three-day notice period.
(C) material failure by the tenant to carry out obligations under state or local law;
(D) subletting by the tenant of all or any portion of the assisted unit;
(E) actions or conduct of the tenant constituting significant problems which can be reasonably resolved only by eviction of the tenant and for which the sponsor previously notified the tenant that the conduct in question would be considered cause for eviction. These may include the refusal after written notice, to accept reasonable rules or any reasonable changes in the lease or the refusal to recertify income or household size.
(2) a provision requiring that the facts constituting the grounds for any eviction be set forth in the notice provided to the tenant pursuant to state law;
(3) establishment of grievance procedures for hearing complaints of tenants and appeal of management action;
(4) a requirement that the tenant annually recertify household income and size.
(c) If, upon notification of tenant or at the time of recertification, the tenant's household income extends the upper limit for lower income households, the tenant's lease shall terminate six months after the date of recertification and the tenant shall be required to vacate the assisted unit.
(1) If the tenant provides to the sponsor additional evidence which establishes income eligibility prior to the expiration of the six months, the tenant shall not be required to vacate the assisted unit.
(2) Upon determination by the sponsor that the rental housing development is located in a high cost rental area with low rental vacancy rates as determined by the department, the sponsor may approve one additional six-month extension of the lease.
(3) If the assisted unit is subject to state or federal rules governing low-income housing tax credits, those eligibility provisions shall govern continued eligibility for occupancy.
(4) In a limited equity housing cooperative where the household income of a tenant occupying an assisted unit exceeds the upper limit for lower income households, the tenant shall not be required to vacate the assisted unit.
(A) After recertification and determination of ineligibility, the sponsor shall immediately notify the tenant that the rent will increase to a market rate payment six months after said notification. Market rate payment shall be the rent paid for a comparable unassisted unit, or the rent charged for comparable units in the area. This market rate payment shall be subject to department approval.
(B) The next available membership share for occupancy in a comparable unit shall be sold to an eligible household.
(d) If the income of a household residing in a unit designated for occupancy by very low-income households changes from very low-income to other lower income at the time of recertification, the following shall apply:
(1) The household shall not be required to vacate the unit;
(2) The sponsor shall charge rent that does not exceed the highest current rent allowed for any comparable assisted unit designated for occupancy by lower income households pursuant to section 7683, or where there are no such units, the maximum rent which would be allowed pursuant to section 7683;
(3) The sponsor shall designate the unit as an assisted unit for lower income households until the lower income household vacates the unit; and
(4) The sponsor shall designate the next available comparable assisted unit as an assisted unit for very low-income households units the unit mix required by the Regulatory Agreement is achieved.
(5) In a limited equity housing cooperative, where the tenants in an assisted unit designated as a very low-income unit becomes an other lower-income household, the sponsor shall comply with the provisions of subdivisions (d)(1) through (d)(4).
1. New section filed 6-12-89 as an emergency pursuant to Health and Safety Code section 50668.5(g); operative 6-12-90 (Register 89, No. 24). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed by operation of law on 10-10-89. For history of former subchapter 8 (sections 7700-7714.5, not consecutive), see Register 85, No. 33.
2. New section filed 10-6-89 as an emergency pursuant to Health and Safety Code section 50668.5(g) and Government Code section 11346.1(h); operative 10-10-89 (Register 89, No. 42). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed by operation of law on 2-7-90.
3. New section refiled 2-5-90 as an emergency pursuant to Health and Safety Code section 50668.5(g) and Government Code section 11346.1(h); operative 2-7-90 (Register 90, No. 6). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed by operation of law on 6-7-90.
4. Amendment of subsections (a)(1)(D) and (E) filed 3-5-90 as an emergency pursuant to Health and Safety Code section 50668.5(g); operative 3-5-90 (Register 90, No. 12). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 7-3-90.
5. Certificate of Compliance as to 2-5-90 and 3-5-90 orders including amendment of subsection (b) transmitted to OAL 5-22-90 and filed 5-29-90 (Register 90, No. 29).
Note: Authority cited: Section 50668.5, Health and Safety Code. Reference: Sections 50010, 50668.5 and 50670, Health and Safety Code.
