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A. INTRODUCTION
The Housing Assistance Payments (HAP) Contract is the Contract between the owner and the
JCHA, which defines the responsibilities of both parties. This Chapter describes the circumstances under which the Contract can be terminated by the JCHA and by the owner, and the policies and procedures for such terminations.
B. CONTRACT TERMINATION
The term of the HAP Contract is the same as the term of the lease. The Contract between the owner and the JCHA may be terminated by the JCHA, or by the owner or tenant terminating the lease. The JCHA may terminate the HAP Contract due to repeated failure by the owner to maintain the apartment according to HQS standards, for neglect of the property and for failure to enroll in the JCHA’s Direct Deposit program so that HAP Contract payments can be made to the owner electronically by the JCHA (see Chapter 12).
No future subsidy payments on behalf of the family will be made by the JCHA to the owner after the month in which the Contract is terminated. The owner must reimburse the JCHA for any subsidies paid by the JCHA for any period after the Contract termination date. If the family continues to occupy the unit after the Section 8 Contract is terminated, the family chooses to do so without rental assistance from the JCHA.
After a Contract termination, if the family meets the criteria for a move with continued assistance, the family may lease-up in another unit. The Contract for a new unit may begin during the month in which the family moved from the old unit.
C. TERMINATION BY THE FAMILY: MOVES
The lease stipulates that the family cannot move from the unit until after the first year of the lease unless mutually agreed upon by both the owner and the family. The notice period to the owner is determined by the Contract/lease. The JCHA requires 60 days written notice to the owner and to the JCHA prior to this period.
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JCHA Section 8 Administrative Plan Chapter 15: Contract Terminations
D. TERMINATION BY THE OWNER: EVICTIONS
If the owner wishes to terminate the lease, the owner is required to evict, using the notice procedures in the HUD regulations and New Jersey law. The owner must provide the JCHA with a copy of the eviction notice. The owner must also provide the tenant a written notice specifying the grounds for termination of tenancy, at or before the commencement of the eviction action. The notice may be included in, or may be combined with, any owner eviction notice to the tenant. The owner eviction notice means a notice to vacate, or a complaint, or other initial pleading used under New Jersey law to commence an eviction action.
During the term of the lease the owner may only evict for the following reasons:
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Serious or repeated violation of the terms and conditions of the lease.
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Violation of Federal, State or local law related to occupancy of the unit or use of the premises.
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Criminal activity by the tenant, any member of the household, a guest or another person under the tenant’s control that threatens the health, safety or right to peaceful enjoyment of the premises by the other residents, or persons residing in the immediate vicinity of the premises including engaging in Domestic Violence crimes.
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Any drug-related or violent criminal activity on or near the premises.
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Tenant history of disturbance of neighbors, destruction of property, or behavior resulting in damage to the premises.
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Other good cause, after the first year of the lease, including business or economic reason for regaining possession of the unit; owner’s desire to repossess the unit for personal use; or tenant’s refusal to accept offer of a new lease.
The JCHA requires that the owner specify the section of the lease that has been violated and cite some or all of the ways in which the tenant has violated that section as documentation for JCHA termination of assistance.
Housing Assistance Payments are paid to the owner under the terms of the HAP Contract. If the owner has begun eviction and the family continues to reside in the unit, the JCHA must continue to make Housing Assistance Payments to the owner until the owner has obtained a court judgment or other legal process allowing the owner to evict the tenant. If the owner does not pursue eviction for lease violation, the JCHA will not abate the Housing Assistance Payment.
The JCHA must continue making Housing Assistance Payments to the owner in accordance with the Contract as long as the tenant continues to occupy the unit and the Contract is not violated.
By endorsing the monthly check from the JCHA, the owner certifies that the tenant is still in the unit and she/he is in compliance with the Contract. If action is finalized in court, the owner must provide the JCHA with the documentation, including notice of the lock-out date.
If the eviction is not due to a serious or repeated violation of the lease, and if the JCHA has no other grounds for termination of assistance, the JCHA will issue a new Voucher so that the family can move with continued assistance.
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JCHA Section 8 Administrative Plan Chapter 15: Contract Terminations
E. TERMINATION OF THE CONTRACT BY JCHA
The term of the HAP Contract terminates when the lease terminates, or when the JCHA terminates program assistance for the family, or when the owner has breached the HAP Contract.
(See Chapter 10, Section J “Owner Disapproval”). The JCHA may also terminate the contract if:
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The JCHA terminates assistance to the family.
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The family is required to move from a unit which is overcrowded or under-utilized.
 For failure to enroll in the JCHA’s Direct Deposit program in which HAP payments are electronically deposited into the owner’s bank account.
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Sufficient funding is no longer available under the ACC. Should this occur, the
JCHA will terminate HAP Contracts with the lowest amounts first.
The Contract will terminate automatically if 180 days have passed since the last Housing
Assistance Payment to the owner. The JCHA will provide the owner and family with at least 30 days written notice of termination of the Contract.
F. TERMINATIONS DUE TO INELIGIBLE IMMIGRATION STATUS
Families who were participants on June 19, 1995 but are ineligible for continued assistance due to the ineligible immigration status of all members of the family or because a “mixed” family chooses not to accept pro-ration of assistance, are eligible for temporary deferral of termination of assistance if it is necessary to permit the family additional time to transition into affordable housing. Deferrals may be granted for intervals not to exceed six (6) months, up to an aggregate maximum of:
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Three years for deferrals granted prior to 11/29/96, or
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18 months for deferrals granted after 11/29/96
The family will be notified in writing at least 60 days in advance of the expiration of the deferral period that termination of assistance will not be deferred because:
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Granting another deferral will result in an aggregate deferral period of longer than the statutory maximum (three years for deferrals granted before 11/29/96; 18 months for deferrals granted after 11/29/96), or
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A determination has been made that other affordable housing is available.
G. TERMINATION DUE TO OWNER DISAPPROVAL
If the JCHA terminates the contract due to owner disapproval (See Chapter 10, “Request for
Lease Approval and Contract Execution”), the JCHA will provide the owner and family with at least 30 days written notice of termination of the Contract.
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