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Page 6 of 17 HUD 52531A Agreement, Part 1 of 2 Previous Editions are obsolete Project-based Voucher Program 1.9 Inspection and Acceptance by the PHA of Completed Contract Units A. Completion of Contract Units: Upon receipt of owner notice of completion of contract units, the PHA shall take the following steps: 1. Review all evidence of completion submitted by owner. 2. Inspect the units to determine if the housing has been completed in accordance with this Agreement, including compliance with the HQS and any additional requirements imposed by the PHA under this Agreement. B. Non-Acceptance: If the PHA determines the work has not been completed in accordance with this Agreement, including non-compliance with the HQS, the PHA shall promptly notify the owner of this decision and the reasons for the non- acceptance. The parties must not enter into the HAP contract at this point. However, work deficiencies may be corrected in accordance with Section 1.10 of this Agreement. C. Acceptance: If the PHA determines that the work has been completed in accordance with this Agreement, and that the owner has submitted all required evidence of completion, the PHA must submit the HAP contract for execution by the owner and must then execute the HAP contract. 1.10 Acceptance Where Work Deficiencies Exist A. If the PHA determines that work deficiencies exist, the PHA shall determine whether and to what extent the deficiencies are correctable, whether the units will be accepted after correction of the deficiencies, and the requirements and procedures (consistent with HUD requirements) for such correction and acceptance of contract units. The PHA shall notify the owner of the PHA’s decision. B. Completion in Stages: When the units will be completed in stages, the procedures of this section shall apply to each stage. 1.11 Execution of HAP Contract A. Time and Execution: Upon acceptance of the units by the PHA, the owner and the PHA execute the HAP contract. 4-9