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When the minimum rent is suspended, the family share reverts to the highest of the remaining components of the calculated TTP. The example below demonstrates the effect of the minimum rent exemption. Example: Impact of Minimum Rent Exemption Assume the PHA has established a minimum rent of $35. Family Share - No Hardship Family Share -With Hardship $0 30% of monthly adjusted income $0 30% of monthly adjusted income $15 10% of monthly gross income $15 10% of monthly gross income NIA Welfare rent NIA Welfare rent $35 Minimum rent $35 Minimum rent Minimum rent applies. Hardship exemption granted. TTP = $ 3 5 TTP = $15 To qualify for hardship exemption, a family must submit a request for a hardship exemption in writing. The request must explain the nature of the hardship and how the hardship has affected the family's ability to pay the minimum rent. SARA will make the determination of hardship within 30 calendar days. 1Vo Financial Hardship If SARA determines there is no financial hardship, SARA will reinstate the minimum rent and require the family to repay the amounts suspended. SARA will require the family to repay the suspended amount within 30 calendar days of SAHA's notice that a hardship exemption has not been granted. Temporary Hardship If SARA determines that a qualifying financial hardship is temporary, SARA must suspend the minimum rent for the 90-day period beginning the first of the month following the date of the family's request for a hardship exemption. SARA will continue to review and monitor the family's income status every 60 days following the suspension of the minimum rent to ensure family's compliance with seeking available income resources and reporting requirements. At the end of the 90-day suspension period, the family must resume payment of the minimum rent and must repay SARA the amounts suspended. HUD requires SARA to offer a reasonable repayment agreement, on terms and conditions established by SARA. SARA also may determine that circumstances have changed and the hardship is now a long-term hardship. SARA will enter into a repayment agreement in accordance with the procedures found in Chapter 16 of this plan. Long-Term Hardship If SARA determines that the financial hardship islong-term, SARA must exempt the family from the minimum rent requirement for so long as the hardship continues. The exemption will apply from the first of the month following the family's request until the end of the qualifying 2/25/13 Page 6-32