Public Housing

What is the Earned Income Disallowance (EID)?

The earned income disallowance (EID) is an incentive to encourage current public housing residents to become self-sufficient (no longer dependent on government aid).  This incentive allows qualified tenants to not count a portion of income for a total of 12 months.  In order to qualify for EID one of the following events must occur while a tenant lives in public housing (it could not have happened prior to move in.)

  • Employment of a family member who was previously unemployed for one or more years prior to employment.
  • Increased earnings by a family member during participation in any economic self-sufficiency or other training program.
  • New employment or increased earnings of a family member during or within 6 months after receiving assistance, benefits, or services under any state program for temporary assistance (TANF, Welfare-to-Work).

How is a security deposit determined?

Security Deposits are based upon income with $50 being the minimum security deposit.  In determining the amount of security deposit to be paid the same formula is used that is used for calculating rent.  However, your security deposit is equal to the amount of monthly rent before you subtract the HUD approved utility allowance.

Formula:

(Annual gross income – HUD approved deduction) / 12 x 30%=Security Deposit

What is the role of the HA?

SCRHA3 is responsible for the management and operation of its local public housing program ensuring compliance with all HUD regulations as well as local and state laws.  SCRHA3 is also responsible for maintaining all units in a safe and decent manner.

How is rent determined?

Rent is based upon your income.  HUD has established a formula for determining the exact amount of your rent, however, rent is typically 30% of your annual gross income minus a HUD approved utility allowance and any HUD approved deductions.  However, there is a $50 minimum rent.

Formula:

(Annual gross income – HUD approved deduction) / 12 x 30%-HUD approved utility allowance=monthly rent

Are there any selection preferences?

Yes.

Definitions of Preferences:

  1. Applicants with an adult family member enrolled in an employment training program, currently working twenty or more hours a week or attending school on a full time basis. This preference is also extended equally to all elderly families and all families whose head of household or spouse is receiving income based on their inability to work or actively enrolled in the Family Independence (FI) Program through Department of Social Services.
  2. Involuntary Displaced. Individuals or families displaced by government action or whose dwelling has been extensively damaged or destroyed as a result of a disaster declared or otherwise formally recognized pursuant to Federal Disaster Relief Laws.
  3. Individuals or families living in substandard housing.
  4. Applicants paying more than 50% of income for rent and utilities.
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