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Chapter 6 <br />INCOME AND SUBSIDY DETERMINATIONS <br />[24 CFR Part 5, Subparts E and F; 24 CFR 982] <br />INTRODUCTION <br />A family's income determines eligibility for assistance and is also used to calculate the family's <br />payment and the Santa Ana Housing Authority's (SAHA's) subsidy. SAHA will use the policies <br />and methods described in this chapter to ensure that only eligible families receive assistance and <br />that no family pays more or less than its obligation under the regulations. This chapter describes <br />HUD regulations and SAHA policies related to these topics in three parts as follows: <br />Part I: Annual Income. HUD regulations specify the sources of income to include and <br />exclude to arrive at a family's annual income. These requirements and SAHA policies for <br />calculating annual income are found in Part I. <br />Part II: Adjusted Income. Once annual income has been established HUD regulations <br />require SAHA to subtract from annual income any of five mandatory deductions for which a <br />family qualifies. These requirements and SAHA policies for calculating adjusted income are <br />found in Part II. <br />• Part III: Calculatin Fly Share and SAHA SubsidX. This part describes the statutory <br />formula for calculating total tenant payment (TTP), the use of utility allowances, and the <br />methodology for determining SAHA subsidy and required family payment. <br />iii29iio Page 6-1 <br />