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13-II.E. HAP CONTRACT TERM AND TERMINATIONS <br />The term of the HAP contract runs concurrently with the term of the dwelling lease [24 CFR <br />982.451(a)(2)], beginning on the first day of the initial term of the lease and terminating on the <br />last day of the term of the lease, including any lease term extensions. <br />The HAP contract and the housing assistance payments made under the HAP contract terminate <br />if [HCV Guidebook pp. l l -4 and 11-5, pg.15 -3 ] <br />• The owner or the family terminates the lease; <br />• The lease expires; <br />• SARA terminates the HAP contract; <br />• SARA terminates assistance for the family; <br />• The family moves from the assisted unit. In this situation, the owner is entitled to keep the <br />housing assistance payment for the month when the family moves out of the unit. <br />• 180 calendar days have elapsed since SARA made the last housing assistance payment to the <br />owner; <br />• The family is absent from the unit for longer than the maximum period permitted by SARA; <br />• The Annual Contributions Contract (ACC) between SARA and HUD expires <br />• SARA elects to terminate the HAP contract. <br />• SARA may elect to terminate the HAP contract in each of the following situations: <br />Available program funding is not sufficient to support continued assistance for <br />families in the program [24 CFR 982.454]; <br />The unit does not meet HQS size requirements due to change in family composition <br />[24 CFR 982.403] -see chapter 8; <br />The unit does not meet HQS [24 CFR 982.404] -see chapter 8; <br />The family breaks up [HUD Form 52641 ] -see chapter 3; <br />The owner breaches the HAP contract [24 CFR 982.453(b)] -see Section 13-II.D. <br />If SARA terminates the HAP contract, SARA must give the owner and the family written notice. <br />The notice must specify the reasons for the termination and the effective date of the termination. <br />Once a HAP contract is terminated, no further HAP payments may be made under that contract <br />[HCV Guidebook pg.15-4]. <br />In all cases, the HAP contract terminates at the end of the calendar month that follows the <br />calendar month in which SARA gives written notice to the owner. The owner is not entitled to <br />any housing assistance payment after this period, and must return to SARA any housing <br />assistance payment received after this period. <br />If the family moves from the assisted unit into a new unit, even if the new unit is in the same <br />building or complex as the assisted unit, the HAP contract for the assisted unit terminates. A new <br />HAP contract would be required [HCV GB, p. 11-17] . <br />7/02/12 Page 13 -13 <br />