2013 CMHA HCVP Admin Plan - Cuyahoga Metropolitan Housing ...

XVIII. CHAPTER 18-OWNER OR FAMILY DEBTS
A. INTRODUCTION
This chapter describes the PHA's policies for the recovery of money which has been overpaid for
families, and to owners. It describes the methods that will be utilized for collection of money and
the guidelines for different types of debts. It is the PHA's policy to meet the informational needs
of owners and families, and to communicate the program rules in order to avoid owner and
family debts. Before a debt is assessed against a family, owner, or other interested party, the file
must contain documentation to support the PHA's claim that the debt is owed. The file must
further contain written documentation of the method of calculation in a clear format for review
by the owner, the family or other interested parties.
When families, owners or other interested parties owe money to the PHA, the PHA will make
every effort to collect it. The PHA may use a variety of collection tools to recover debts
including, but not limited to:
Civil suits
Credit bureaus
Collection agencies
Income tax set-off programs
Repayment agreements (applies to families only)
Reductions in HAP to owner
Demands for lump sum payments
B. FAMILY DEBTS OWED TO THE PHA [24 CFR 982.552 (c) (v-vii)]
A Repayment Agreement(RPA) as used in this Plan is a document entered into between the PHA
and the head of household, and/or spouse or co-head when it has been determined that an
overpayment in subsidy has been paid as a result of the family’s failure to report income
received by the household. The RPA contains details regarding the nature of the debt, the terms
of payment, any special provisions of the agreement, and the remedies available to the PHA
upon default of the agreement.
The PHA will explain the terms of the RPA, based on the circumstances surrounding the debt to
the PHA.
There are some circumstances in which the PHA may or may not enter into a repayment
agreement. They are:
The family already has a Repayment Agreement in place
The debt amount exceeds the amount allowable to enter into a repayment ($5,000).
Copyright 2000 by Nan McKay & Associates
To be printed only with permission of Nan McKay & Associates
Unlimited copies may be made for internal use
Approved by CMHA Board of Commissioners
October 3, 2012
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