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Administrative Plan 7/1/2025 Page 6-58 <br />SAHA Policy <br />For a family to qualify, they must demonstrate that their inability to pay rent would be as <br />a result of the loss of this deduction. SAHA defines this hardship as a potential decrease <br />in income or increase in other expenses that would result from the loss of the childcare <br />expense and such loss would impact the family’s ability to pay their rent. <br />Some factors to consider when determining if the family is unable to pay rent may <br />include determining that the rent, utility payment, and applicable expenses (childcare <br />expenses or health and medical expenses) are more than 40 percent of the family’s <br />adjusted income, or verifying whether the family has experienced unanticipated expenses, <br />such as large medical bills, that have affected their ability to pay their rent. <br />The family must also demonstrate that the childcare expense is still necessary even <br />though the family member is no longer employed or furthering their education. SAHA <br />will consider qualification under this criterion on a case-by case basis. <br />The family must provide third-party verification of the hardship with the request. If third- <br />party verification is not available, SAHA will document the file with the reason and will <br />attempt to obtain third-party verification prior to the end of the 90-day hardship <br />exemption period. <br />The PHA must promptly notify the family in writing of the change in the determination of <br />adjusted income and the family’s rent resulting from hardship exemptions. <br />If the PHA denies the request, the notice must specifically state the reason for the denial. PHAs <br />must provide families 30 days’ notice of any increase in rent. <br />If the PHA approves the request, the notice must inform the family of when the hardship <br />exemption will begin and expire [24 CFR 5.611(e)(2)]. The notice must also state the <br />requirement for the family to report to the PHA if the circumstances that made the family eligible <br />for relief are no longer applicable and that the family’s adjusted income and tenant rent will be <br />recalculated upon expiration of the hardship exemption [Notice PIH 2023-27]. <br />SAHA Policy <br />SAHA will make a determination of whether the family qualifies within 30 calendar days <br />and will notify the family in writing of the result. <br />If SAHA denies the hardship exemption request, SAHA notice will also state that <br />if the family does not agree with SAHA determination, the family may request an <br />informal hearing. <br />EXHIBIT 1