Student Status

(1) Full-Time Students under Age Eighteen. The THDA may need to verify the full-time school enrollment of a household member under the age of eighteen (18) for household composition purposes. (2) Full-Time Students Age Eighteen or Older. The THDA requires families to provide information about the student status and income of all full-time student household members who are eighteen (18) years of age or older. (a) Dependents. Usually a dependent is a family member who is under eighteen (18) years of age, but a dependent may also be a person of any age who is a person with a disability or a full-time student. 1. The head of household, spouse, co-head, foster children/adults and live-in aides can never be defined as a dependent, even if the individual is a full-time student. 2. Income must be verified for full-time student dependents, because up to $480 of the annual income must be included in the income consideration. (b) Non-dependents. The THDA must verify the full-time student status of certain adult, non-dependent household members. Student information for non-dependents will be verified in the following circumstances: 1. To verify eligibility for single, adult student households; 2. The household claims a child care deduction to enable a household member to further his or her education; and 3. To determine student income of non-dependent adults who are enrolled in institutions of higher education. (3) Student Enrolled in Institutions of Higher Education, Whether Part-Time or Full-Time. (a) Eligibility Restriction that Applies to Full-Time and Part-Time Students. On December 30, 2005, HUD published a final rule (FR-5036-F-01), entitled, “Eligibility of Students for Assisted Housing Under Section 8 of the U.S. Housing Act of 1937,” implementing section 327 of the Appropriations Act of Fiscal Year (FY) 2006. The final rule became effective January 30, 2006. In brief, the law and final rule require that if a student is enrolled at an institution of higher education, is under the age of 24, is not a veteran, is unmarried and does not have a dependent child, is individually ineligible for Section 8 assistance, or the student’s parents are, individually or jointly, ineligible for assistance, no section 8 assistance can be provided to the student. 1. Under Section 8 of the 1937 Act, no assistance shall be provided to any individual who is already residing in a section 8 assisted unit without his or her parents, or who is seeking assistance to reside in his or her own unit with section HOUSING CHOICE VOUCHER PROGRAM CHAPTER 0770-01-05 8 assistance, if the individual is a student enrolled in an institution of higher education, as defined by the Higher Education Act of 1965 (20 U.S.C. 1002) and: (i) Is under twenty-four (24) years of age; and (ii) Is not a veteran of the United States military; and (iii) Is unmarried; and (iv) Does not have a dependent child of his own (must live with student at least 51% of the time and pregnancy does not count); and (v) Is not otherwise individually eligible, or has parents who, individually or jointly, are not eligible on the basis of income to receive section 8 assistance. (I) Two-Part Income Eligibility Test. If a student is under the age of 24, is not a veteran, is not married, and does not have a dependent child, the rule establishes a two-part eligibility test and both tests must be met for the student to receive Section 8 assistance. The student must be individually eligible to receive assistance and the student’s parents, individually or jointly, must be income eligible for the student to receive assistance, unless the student can demonstrate his or her independence from the parents. In determining the parents’ income eligibility to receive assistance, the THDA will use the applicable low income limit for the parents’ family size for the locality where the parents reside. 2. Individual Capacity. This restriction only applies to students matching the above criteria that are seeking assistance in their individual capacity. It does not apply to dependents that are residing with their parents or guardians. 3. When to Obtain Declaration and Certification from Parents. If a student is under the age of 24, is not a veteran, is not married, and does not have a dependent child, then a declaration and certification of income must be obtained from the parents. In determining whether to obtain a declaration and certification of income from the parents individually or jointly, the THDA will consider the following (i) If the student’s parents are married and living together, a declaration and certification of joint income will be obtained from both parents; (ii) If the student’s parent is widowed or single, a declaration and certification of income will be obtained from that parent; (iii) If the student’s parents are divorced or separated, a declaration and certification of income will be obtained from each parent; (iv) If the student has been living with one parent and has not had contact with the other parent or does not know how to contact the other parent, a declaration and certification of income will be obtained from the parent the student has been living with and a self-certification will be obtained from the student stating that the student has not received financial assistance from the other parent. (24 C.F.R. 5.612); or HOUSING CHOICE VOUCHER PROGRAM CHAPTER 0770-01-05 (v) Verification of Independence. Whether the student can demonstrate independence from his parents, and if so, then a declaration and certification of income from the parents is not necessary. The criteria that the THDA will employ to determine and verify a student’s independence from his or her parents includes, but is not limited to, the following: (I) The individual must be of legal contract age under state law; and (II) The individual must have established a household separate from parents or legal guardians for at least one year prior to application for occupancy or the individual must meet the U.S. Department of Education’s definition of an independent student, which can be verified by reviewing previous address information to determine evidence of the separate household; and (III) The individual must not be claimed as a dependent by parents or legal guardians pursuant to IRS regulations, which can be verified by reviewing the prior years’ tax returns to determine whether the individual was claimed as a dependent; and (IV) The individual must obtain a certification of the amount of financial assistance that will be provided by parents, even if no assistance will be provided, and it must be signed by the individual providing support. 4. What if the Parents Refuse to Declare and Certify? In order for the student to be eligible for section 8 assistance, his or her parents must also be eligible for section 8 assistance, therefore, if the parents refuse to provide a declaration and certification of their income, the student is not eligible unless the student can demonstrate his or her independence from parents. 5. Students with Disabilities. (i) Students with disabilities who were receiving section 8 assistance as of November 30, 2005, are exempt from the restrictions for providing section 8 assistance to college students as provided in Public Law 109-249. (ii) Students with disabilities who are applying for, or who started receiving, section 8 assistance after November 30, 2005, are not exempt from the restrictions of the new law. (b) Additional Income Eligibility Restriction on Part-Time and Full-Time Students Seeking Assistance to Reside in Their Own Units. 1. As an additional restriction on eligibility, certain types of financial assistance in excess of amounts received for tuition that the student receives under the Higher Education Act of 1965, from private sources, or from an institution of higher education will be considered annual income to that individual. (i) Under the Higher Education Act of 1965. This includes Pell Grants, Federal Supplement Educational Opportunity Grants, Academic Achievement Incentive Scholarships, State Assistance under the Leveraging Educational Assistance Partnership Program, the Robert G. Byrd Honors Scholarship Program, and Federal Work Study programs. HOUSING CHOICE VOUCHER PROGRAM CHAPTER 0770-01-05 (ii) Assistance from Private Sources. Non-governmental sources of assistance, including assistance that may be provided to a student from a parent(s), guardian or other family member, whether residing within the family in the section 8 assisted unit or not, and from other persons not residing in the unit. (iii) From an institution of higher education requires reference to a particular institution and the institution’s listing of financial assistance. (iv) HUD has interpreted the term “financial assistance” to not include loan proceeds for the purpose of determining income. Therefore, Perkins loans, Stafford loans and Plus loans under the Higher Education Act of 1965 are not considered as financial assistance under 5.609(b)(9). (v) For complete information, see Title IV, Part A, under the Higher Education Act of 1965, as amended, located at: http://www.ed.gov/policy/highered/leg/hea98/index.html. 2. The financial assistance described above is not considered annual income for persons over the age of twenty-three (23) with dependent children. 3. This section also does not apply to students residing with his or her parents in the parents assisted unit. 4. Amounts received by veterans for educational purposes are excluded. 5. Financial assistance, includes money for food, clothing, personal items and other expenses, from a parent, guardian or other person, unless the student resides with the parent, guardian or other person providing the assistance. 6. If the financial assistance is sporadic, rather than periodic or regular, it would not be counted as income. (c) Verifications. 1. Eligibility Determination. (i) Age Verification. Use the birth certificate. (ii) Veteran Verification. The applicant/participant must provide documentation from the United States Military Services showing honorable discharge and veteran status. (iii) Marriage Status. Use marriage license to verify marital status. (iv) Dependents. Use the birth certificate of the dependent child(ren). Dependent child is defined in HUD’s income eligibility regulations at 24 C.F.R. 5.603 as a member of the family (except foster children and foster adults) other than the family head or spouse, who is under 18 years of age, or a person with a disability, or a full-time student. (v) Parental Income. (I) If the parents of the student(s) are married and living together, a declaration and certification of joint income will be obtained from both parents. HOUSING CHOICE VOUCHER PROGRAM CHAPTER 0770-01-05 (II) If the parent of the student(s) is widowed or single, a declaration and certification of income will be obtained from that parent. (III) If the parents of the student(s) are divorced or separated, a declaration and certification of income will be obtained from each parent. (IV) If the student has been living with one parent and has not had contact with or does not know where to contact the other parent: I. A self-certification will be obtained from the student stating that no financial assistance has been received from that parent, and II. A declaration and certification of income will be obtained from the parent with whom the student has been living. (V) Certification of Income of Student(s) or Parent(s). IRS tax returns, the four (4) most recent and consecutive pay stubs, bank statements, asset account statements, TANF award letter, SSA award letter, or other documents considered reasonably reliable for the purpose of verifying income. (vi) Ongoing Rent Calculation. To determine whether the student income should be included in the rent calculation, the THDA will consider the following: (I) If the student household member is twenty-four (24) years or older and has dependent children, student income is excluded. (II) If the student household member is twenty-three (23) years or younger and does not have dependent children, the student income that is not used towards tuition, is verified and included in the income determination. (vii) Financial Assistance Considered Income. Financial assistance in excess of amounts received for tuition that an individual receives under the Higher Education Act of 1965, from private sources or from an institution of higher education is considered income to that individual unless the person is over the age of 23 with dependent children. (I) Student financial assistance includes: educational scholarships, educational entitlements, grants, income earned through work-study programs, and financial aid packages including Title IV. Amounts received by veterans for educational purposes are excluded. (II) Financial assistance, including money for food, clothing, personal items and other expenses, from a parent, guardian or other person is counted as income for purposes of determining income eligibility and the rent calculation unless the student resides with the parent, guardian or other person providing the assistance. However, if the financial assistance is sporadic, rather than periodic or regular, it would not be counted as income. HOUSING CHOICE VOUCHER PROGRAM CHAPTER 0770-01-05 (viii) Financial Assistance Not Considered Income. Perkins loans, Stafford loans, Plus loans. (ix) Documents Required: (I) Computer-generated document from the educational institution that includes the name of the institution, total amount of financial assistance, type of financial assistance, amount of tuition, and time period (quarter, semester, annual) covered by the financial assistance payment. (II) If appropriate computer-generated documents are not available, third-party verification methods will be attempted by mailing the THDA Student Status/Income Verification form to the appropriate office at the institution. (III) If third-party verification fails, a self-certification will be accepted.