4-1 SUBMISSION ANNUAL ADMIN PLAN_EXHIBIT 3

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In the Agreement the owner agrees to develop the PBV contract units to comply with HQS, and the PHA agrees that upon timely completion of such development in accordance with the terms of the Agreement, the PHA will enter into a HAP contract with the owner for the contract units \[24 CFR 983.152(b)\]. Content of the Agreement \[24 CFR 983.152(c)\] At a minimum, the Agreement must describe the following features of the housing to be developed and assisted under the PBV program: Site and the location of the contract units; Number of contract units by area (size) and number of bedrooms and bathrooms; Services, maintenance, or equipment to be supplied by the owner without charges in addition to the rent; Utilities available to the contract units, including a specification of utility services to be paid by the owner and utility services to be paid by the tenant; An indication of whether or not the design and construction requirements of the Fair Housing Act and section 504 of the Rehabilitation Act of 1973 apply to units under the Agreement. If applicable, any required work item resulting from these requirements must be included in the description of work to be performed under the Agreement; Estimated initial rents to owner for the contract units; Description of the work to be performed under the Agreement. For rehabilitated units, the description must include the rehabilitation work write up and, where determined necessary by SAHA, specifications and plans. For new construction units, the description must include the working drawings and specifications. Any additional requirements for quality, architecture, or design over and above HQS. Execution of the Agreement \[24 CFR 983.153, FR Notice 11/24/08\] The Agreement must be executed promptly after PHA notice of proposal selection to the selected owner. Generally, the PHA may not enter into the Agreement with the owner until the subsidy layering review is completed. Likewise, the PHA may not enter into the Agreement until the environmental review is completed and the PHA has received environmental approval. However, the PHA does not need to conduct a subsidy layering review in the case of a HAP contract for an existing structure or if the applicable state or local agency has conducted such a review. Similarly, environmental reviews are not required for existing structures unless otherwise required by law or regulation. SAHA Policy SAHA will enter into the Agreement with the owner within 30 business days of receiving both environmental approval and notice that subsidy layering requirements have been met, and before construction or rehabilitation work is started. 17-IV.C. CONDUCT OF DEVELOPMENT WORK 04/01/14 Page 17-14