Common use of Tenant Qualification Clause in Contracts

Tenant Qualification. a. The Affordable Units are to be leased to and occupied by Eligible Tenants for use as their Principal Residence. Immediately prior to any occupancy of an Affordable Unit, Owner shall obtain from each applicant, and maintain on file, an Income Certification Form, that certifies the applicant’s income based on the current Gross Income of each adult Household member. The Income Certification Form shall be dated immediately prior to the date of initial occupancy of the Affordable Unit by the applicant. b. Owner shall be required to accept tenants for Affordable Units submitted by City to Owner from the list of eligible program participants maintained by the Rent Stabilization and Housing Division of the City of West Hollywood, as provided in Section 9 hereof (“City List”). Affordable Units shall not be rented to Owner, its partners, members, their officers and employees, or their immediate relatives, including spouses, children, grandchildren, parents, grandparents, brothers, sisters, fathers-in-law, mothers-in-law, sons-in-law, daughters-in-law, aunts, uncles, niece, nephews, sisters-in-law and brothers-in-law. c. Owner shall not be required to accept a tenant from the City List if Owner can demonstrate that the applicant cannot satisfactorily maintain an Affordable Unit in good condition and repair. In the event a rental application is rejected, Owner shall deliver to City written notice stating the reasons therefore within five business days after receipt by Owner of the application. This does not relieve Owner from the requirement to accept a subsequent tenant from the City List. d. The Owner shall use diligent efforts to verify the qualifications of an applicant to reside in an Affordable Unit by obtaining the following applicable information from each adult Household: (a) a certification of the applicant’s household size; (b) proof of income for the most recent three months; (c) copies of the federal and state income tax returns; (d) written verification of income and employment; an income verification form for the Social Security Administration and/or California Department of Social Services; and (e) any other information that City may reasonably require to verify the eligibility of a prospective applicant. e. Four months following the end of each calendar year, Owner shall recertify the income of each tenant in an Affordable Unit by obtaining a from the tenant completed a Tenant Income Certification Form (Exhibit 5) based on the current income of each adult member of the Household. f. If the Gross Income of a Household occupying an Affordable Unit decreases below the category for which the tenant originally qualified, the tenant shall continue to have the right to continue to reside in the Affordable Unit, provided the tenant pays the rent established at the onset of the tenancy plus any subsequent increases and performs its other obligations to Owner. g. If the income of a tenant occupying an Affordable Unit increases above the category for which the tenant originally qualified, the tenant shall continue to have the right to reside in the Affordable Unit, provided the tenant pays the rent established at the onset of the tenancy plus any subsequent increases and performs its other obligations to Owner. Notwithstanding the local Rent Control Ordinance, however, if it is determined by the Rent Stabilization and Housing Division that the tenant’s aggregate annual adjusted gross income exceeds 150% of the maximum allowable income, as determined annually by the City Council, for two consecutive years, the tenant can be evicted based on the income increase. h. Owner shall maintain on file a copy of each Tenant Income Certification Form, and the accompanying verification information, for a period of five years. Owner shall provide such information to City upon request.

Tenant Qualification. a. The Affordable Units are to be leased to and occupied by Eligible Tenants for use as their Principal Residence. Immediately prior to any occupancy of an Affordable Unit, Owner shall obtain from each applicant, and maintain on file, an Income Certification Form, that certifies the applicant’s income based on the current Gross Income of each adult Household member. The Income Certification Form shall be dated immediately prior to the date of initial occupancy of the Affordable Unit by the applicant. b. Owner shall be required to accept tenants for Affordable Units submitted by City to Owner from the list of eligible program participants maintained by the Rent Stabilization and Housing Division of the City of West HollywoodCity, as provided in Section 9 6 hereof (“City List”). Affordable Units shall not be rented to Owner, its partners, members, their officers and employees, or their immediate relatives, including spouses, children, grandchildren, parents, grandparents, brothers, sisters, fathers-in-law, mothers-in-law, sons-in-law, daughters-in-law, aunts, uncles, niece, nephews, sisters-in-law and brothers-in-law. c. Owner shall not be required to accept a tenant from the City List if Owner can demonstrate that the applicant cannot satisfactorily maintain an Affordable Unit in good condition and repair. An applicant’s credit score may be considered only to the extent that the credit score is directly related to applicant’s rental history in regards to maintenance and/or damage. In the event a rental application is rejected, Owner shall deliver to City written notice stating the reasons therefore within five business days after receipt by Owner of the application. This does not relieve Owner from the requirement to accept a subsequent tenant from the City List. d. The Owner shall use diligent efforts to verify the qualifications of an applicant to reside in an Affordable Unit by obtaining the following applicable information from each adult Household: (a) a certification of the applicant’s household size; (b) proof of income for the most recent three months; (c) copies of the federal and state income tax returns; (d) written verification of income and employment; an income verification form for the Social Security Administration and/or California Department of Social Services; and (e) any other information that City may reasonably require to verify the eligibility of a prospective applicant. e. Four months following the end of each calendar year, Owner shall recertify the income of each tenant in an Affordable Unit by obtaining a from the tenant completed a Tenant Income Certification Form (Exhibit 53) based on the current income of each adult member of the Household. f. If the Gross Income of a Household occupying an Affordable Unit decreases below the category for which the tenant originally qualified, the tenant shall continue to have the right to continue to reside in the Affordable Unit, provided the tenant pays the rent established at the onset of the tenancy plus any subsequent increases and performs its other obligations to Owner. g. If the income of a tenant occupying an Affordable Unit increases above the category for which the tenant originally qualified, the tenant shall continue to have the right to reside in the Affordable Unit, provided the tenant pays the rent established at the onset of the tenancy plus any subsequent increases and performs its other obligations to Owner. Notwithstanding the local Rent Control Ordinance, however, if it is determined by the Rent Stabilization and Housing Division that the tenant’s aggregate annual adjusted gross income exceeds 150% of the maximum allowable income, as determined annually by the City Council, for two consecutive years, the tenant can be evicted based on the income increase. h. Owner shall maintain on file a copy of each Tenant Income Certification Form, and the accompanying verification information, for a period of five years. Owner shall provide such information to City upon request.