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13-ILE. HAP CONTRACT TERM AND TERMINATIONS The term of the HAP contract runs concurrently with the term of the dwelling lease [24 CFR 982.451(a)(2)], beginning on the first day of the initial term of the lease and terminating on the last day of the term of the lease, including any lease term extensions. The HAP contract and the housing assistance payments made under the HAP contract terminate if [HCV Guidebook pp.l l-4 and 11-5, pg. 15-3]: • The owner or the family terminates the lease; • The lease expires; • SAHA terminates the HAP contract; • SAHA terminates assistance for the family; • The family moves from the assisted unit. In this situation, the owner is entitled to keep the housing assistance payment for the month when the family moves out of the unit. • 180 calendar days have elapsed since SAHA made the last housing assistance payment to the owner; • The family is absent from the unit for longer than the maximum period permitted by SAHA; • The Annual Contributions Contract (ACC) between SAHA and HUD expires • SAHA elects to terminate the HAP contract. • SAHA may elect to terminate the HAP contract in each of the following situations: Available program funding is not sufficient to support continued assistance for families in the program [24 CFR 982.454]; The unit does not meet HQS size requirements due to change in family composition [24 CFR 982.403] -see chapter 8; The unit does not meet HQS [24 CFR 982.404] -see chapter 8; The family breaks up [HUD Form 52641] -see chapter 3; The owner breaches the HAP contract [24 CFR 982.453(b)] -see Section 13-II.D. If SAHA terminates the HAP contract, SAHA must give the owner and the family written notice. The notice must specify the reasons for the termination and the effective date of the termination. Once a HAP contract is terminated, no further HAP payments maybe made under that contract [HCV Guidebook pg.15-4]. In all cases, the HAP contract terminates at the end of the calendar month that follows the calendar month in which SAHA gives written notice to the owner. The owner is not entitled to any housing assistance payment after this period, and must return to SAHA any housing assistance payment received after this period. If the family moves from the assisted unit into a new unit, even if the new unit is in the same building or complex as the assisted unit, the HAP contract for the assisted unit terminates. A new HAP contract would be required [HCV GB, p. 11-17]. 11 /29/10 Page 13-13