Calculation of Subsidy and Family Share:
The family share is calculated by subtracting the amount of the housing assistance payment from the gross rent.
Determine Adjusted Income
After determining the total annual income for the household, the PHA makes any necessary adjustments to the annual income in accordance with HUD regulations. If the family qualifies, there are five (5) possible deductions and allowances. HUD approved deductions and allowable expenses are subtracted from the annual income to get the family's adjusted annual income.
Deductions and HUD Allowable Expenses:
Dependents:
A $480.00 deduction is made for all minors under the age of 18, and for family members 18 and over who are full time students or a person with a disability, other than the Head or Spouse.
Elderly/Disability Allowance:
A $400.00 household deduction is made for families whose Head, Spouse, or Sole Member is 62 or over, or is a person with a Disability.
Maximum Rent at Initial Occupancy:
At the time a family initially receives tenant-based assistance for occupancy of a dwelling unit, if the gross rent for the unit is greater than the Payment Standard for the family, the family share cannot exceed 40% of the family's monthly adjust income.
The family share is the gross rent minus the Housing Assistance Payment.
The family may ask the PHA to assist the family in negotiating a lower rent to the owner.
Rent Reasonableness:
At the time of inspection, the inspector will also be evaluating the rent reasonableness of the housing unit. The proposed rent will be compared to the rent for other units on the market of similar size, features, and amenities.
Although there are no HUD "ceilings" on the rents charged in the Voucher Program, the rents must still be reasonable and comparable to those charged for similar unassisted units. The PHA bases the determination of reasonableness and comparability on the unit inspection report and rental market information.
PHA Disapproval of Tenancy:
If the family chooses a unit with gross rent greater than the payment standard and the family share exceeds 40% of their monthly adjusted income, the PHA is NOT PERMITTED to approve tenancy.
Assignment of Bedroom Sizes (Subsidy Standards)
The Housing Authority of the City of Arkadelphia will issue a voucher for particular bedroom size - the bedroom size is a factor in determining the family's level of assistance. The following guidelines will determine each family's unit size without overcrowding or over-housing:
These standards are based on the assumption that each bedroom will accommodate no more than two (2) persons.
In determining bedroom size, the Housing Authority of the City of Arkadelphia will include the presence of children to be born to a pregnant woman, children who are in the process of being adopted, children whose custody is being obtained, children who are temporarily away at school or temporarily in foster-care.
Bedroom size will also be determined using the following guidelines for Section 8:
A. The Head of Household gets one room and two persons per bedroom thereafter regardless of sex or age.
B. Foster adults and children will not be required to share a bedroom with family members
C. Live-in aides will get a separate bedroom.
Bedroom size will also be determined using the following guidelines for Public Housing:
A. The Head of Household and/or Spouse gets one room
B. Children five (5) and under will be required to share a bedroom regardless of sex of the children
C. Family members or children of the same sex - ages 5 and younger will be required to share a bedroom
D. Family members or children of opposite six - ages 6 and older will be assigned a separate bedroom
E. Foster adults and children will not be required to share a bedroom with family members
F. Live-in aides will get a separate bedroom
The Housing Authority of the City of Arkadelphia will grant exceptions to normal occupancy standards when a family requests a larger size than the guidelines allow and documents a medical reason why the larger size is necessary.
The family unit size will be determined by the Housing Authority of the City of Arkadelphia in accordance with the above guidelines and will determine the maximum rent subsidy for the family; however, the family selects a smaller unity, the payment standard for the smaller size will be used to calculate the subsidy. If the family selects a larger size, the payment standard for the family unit size will determine the maximum subsidy.
Effective 01/01/2021
FY 2021 Fair Market Rents for Section 8
0-Bedroom $442
1-Bedroom $565
2-Bedroom $658
3-Bedroom $876
4-Bedroom $1,028
FY 2021 Fair Market Rents for Public Housing
1-Bedroom $452
2-Bedroom $526
3-Bedroom $700
For additional information on how these 2021 Rent/Payment calculations are achieved, please visit www.huduser.gov and select the following:
Select 2021
Then click on the button "Click Here for FY2021 FMRs"
Then Select State Arkansas- AR
Then select County Clark County, AR
Then Click on Next Screen