4-1 SUBMISSION ANNUAL ADMIN PLAN_EXHIBIT 3

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contract until HUD, or an independent entity approved by HUD, has conducted any required subsidy layering review and determined that the PBV assistance is in accordance with HUD subsidy layering requirements. However, in order to satisfy applicable requirements, HCAs must conduct subsidy layering reviews in compliance with the guidelines set forth in the Federal Register notice published July 9, 2010. The HAP contract must contain the owner's certification that the project has not received and will not receive (before or during the term of the HAP contract) any public assistance for acquisition, development, or operation of the housing other than assistance disclosed in the subsidy layering review in accordance with HUD requirements. 17-II.F. CAP ON NUMBER OF PBV UNITS IN EACH PROJECT 25 Percent per Project Cap \[24 CFR 983.56(a), FR Notice 11/24/08\] In general, the PHA may not select a proposal to provide PBV assistance for units in a project or enter into an agreement to enter into a HAP or a HAP contract to provide PBV assistance for units in a project, if the total number of dwelling units in the project that will receive PBV assistance during the term of the PBV HAP contract is more than 25 percent of the number of dwelling units (assisted or unassisted) in the project. Exceptions to 25 Percent per Project Cap \[24cfr 983.56(b), FR Notice 11/24/08\] Exceptions are allowed and PBV units are not counted against the 25 percent per project cap if: The units are in a single-family building (one to four units); The units are excepted units in a multi-family building because they are specifically made available for elderly or disabled families or families receiving supportive services (also known as qualifying families). PHAs must include in the PHA administrative plan the type of services offered to families for a project to qualify for the exception and the extent to which such services will be provided. It is not necessary that the services be provide at or by the project, if they are approved services. To qualify, a family must have a least on member receiving at least one qualifying supportive service. A PHA may not require participation in medical or disability-related services other than drug and alcohol treatment in the case of current abusers as a condition of living in an excepted unit, although such services may be offered. If a family at the time of initial tenancy is receiving, and while the resident of an excepted unit has received, FSS supportive services or any other supportive services as defined in the PHA administrative plan, and successfully completes the FSS Contract of Participation or the supportive services requirement, the unit continues to count as an excepted unit for as long as the family resides in the unit. appropriate action regarding those families that fail without good cause to complete their supportive services requirement. The PHA administrative plan must state the form and frequency of such monitoring. SAHA Policy 04/01/14 Page 17-8