FDIC Compliance

• Report this change to AHC
• Review the LURA (contractual agreement) to become familiar with your required number of Set-Aside or Qualified Units
• Prepare a management plan that incorporates FDIC compliance procedures and required documents and forms
• Train all persons who will be involved in applicant intake, property management and reporting.

Under FDIC, a tenant’s annual income is calculated according to the method used to determine gross annual income for HUD’s Section 8 Program. This method differs from the way a household’s income is calculated for tax purposes. Owners/managers should refer to the Chapter 4 of the FDIC Owners Manual. For additional information, contact AHC.

Also, the local Section 8 Administrator or Public Housing Authority may be able to provide some guidance.

When that unit is occupied by an income eligible tenant (who has completed a certification form and whose information has been verified) who has executed a lease within the rent limit.

Owners/managers are required to anticipate the amount of income a household will receive during the coming 12-month period. Generally, this amount is calculated by estimating the family’s annual income using current income and assets. However, if changes from current circumstances can be verified (e.g., an approved raise, an expected bonus, a change in the number of overtime hours to be worked) these should also be considered in anticipating annual income.

Under AHP, there is no limitation on the amount of assets an eligible household can own. But, anticipated income from assets must be included in the calculation of annual income. Section 8 program rules specify the types of assets to be considered. If the household has less than $5000 in assets, use the short-cut to verify assets. This is the Under $5000 Asset Certification form.