Importance of Income Verification in the Section 8 Housing Assistance Payments Program. (RE-ANNOUNCEMENT of PB85-126662-see notes field for explanation)

摘要

This report examines the factors that must be considered in determining an income-verification policy, estimates the potential level of payment error in the Section 8 Housing Assistance Payments Program using results from the Experimental Housing Allowance Program, and outlines procedures to minimize the incidence of future Section 8 payment errors. Some Section 8 administrators were found to place too little emphasis on the process of income verification. Many of the households participating in the Section 8 program receive only welfare or benefit income. These types of income have traditionally been reviewed as fixed, so very little effort has been devoted to checking and rechecking participants' income; however, recent studies of households receiving benefits from Aid for Families with Dependent Children indicate that the incomes of recipient families fluctuate irregularly due to changes in income from other sources and changes in family status. Further, the remaining households in the Section 8 program have some earned income, which has been shown to be the most variable income and therefore the most error-prone type of income. Overall, study findings suggest the following specific procedures necessary to minimize payment error in income-conditioned programs: (1) ensure that program administrators are aware of the importance of income-verification procedures for efficient and equitable program administration; (2) use active forms of income verification (preferably third-party) rather than client self-declaration for all program participants; (3) complete income verifications and recerifications on schedule; and (4) optimize the frequency and stringency of income reverification, subject to the types of participating households and the level of program resources. Tabular data and 18 footnotes are provided.