E. Procedures for Requesting and Using Exceptions to the Very Low-Income Limit in…

1. Owners of post-1981 properties must submit a written request for an exception to the very low-income limit, with certification and documentation as specified in Exhibit 3-1, to the HUD Field Office.

   • a. The HUD Field Office makes the final decision on requests for exceptions.

   • b. In cases where HUD is not the Contract Administrator, the Contract Administrator must gather and submit all documentation with its recommendation to the HUD Field Office. The HUD Field Office makes the final decision on requests for exceptions.

   • c. If HUD determines that the criterion for any permitted exception has not been met, its letter to the owner will specify the reasons for its decision and advise the owner that an appeal may be considered if additional documentation is submitted to the HUD Multifamily HUB Director within 30 days. If the request is denied after submission of additional information, there are no further avenues of appeal.

2. When using exceptions, owners must adhere to the following:

   • a. Owners may not reuse individual tenant exceptions if the tenant for whom the exception was granted moves out or stops receiving Section 8 assistance.

   • b. Owners may reuse project or unit exceptions, however, until the HUD Field Office recalls them, or the timeframe permitting exceptions expires.

HUD Occupancy Handbook Chapter 3: Eligibility for Assistance and Occupancy

06/07

3-14

Section 1: Program Eligibility

4350.3 REV-1