HUD Handbook 7465.1 § 6-1

a.   POLICY

         (1)   A PHA may (but is not required to) enter into an
               agreement with a social service agency to provide
               support services to applicants who need special
               help in order to establish a tenancy. A PHA may
               also enter into an agreement with a social service
               agency to manage a project or certain designated
               units within a project on the PHA's behalf.

         (2)   If an applicant's tenancy is to be dependent on
               participating in a social service agency's
               program, the circumstances must be explained to
               the applicant and the arrangement must be
               incorporated into the lease.

         (3)   Applicants who can become public housing tenants
               without help from a social service agency cannot
               be required to participate in the social service
               agency's program.

         (4)   Public housing is housing first. The service
               component, if necessary, must play an auxiliary
               role.

         (5)   The persons admitted must become tenants of the
               PHA with all the rights and responsibilities that
               entails.

         (6)   In cases where a social service agency is
               assisting a PHA in evaluating applicants and
               selecting tenants, the PHA may not permit the
               social service agency to give its clients a higher
               priority for admission than similar persons who
               are not its clients.

         (7)   A PHA which has entered into an agreement with a
               social service agency remains ultimately
               responsible to HUD for all aspects of management.

    b.   DISCUSSION

         (1)   Agreements with social service agencies can be
               helpful in broadening the public housing
               population to include eligible persons who could
               not otherwise be assisted. For example, such
               agreements might enable a PHA to house more
               persons who:

(a)   are handicapped, especially those who are
                     mentally, developmentally, or emotionally
                     handicapped; or

               (b)   have special problems such as persons who
                     have been homeless or victims of domestic
                     violence.

         (2)   Some of the functions which the social service
               agency could perform are:

               (a)   assisting the PHA in evaluating applicants
                     and selecting tenants;

               (b)   collecting rents, security deposits, and any
                     other charges;

               (c)   checking to tee if the tenants are properly
                     maintaining their units;

               (d)   helping the tenants to run their households,
                     including managing their money;

               (e)   providing special programs such as counseling
                     and job training; and

               (f)   providing crisis intervention--removing a
                     tenant quickly but temporarily in order to
                     get treatment, without affecting the lease.

         (3)   If the social service agency can serve members of
               a specific target population such as the mentally
               handicapped, wherever they might live in a project
               or projects, there would be no need to designate
               certain units for that target population and no
               need for the PHA to establish a separate waiting
               list for the m.

         (4)   If the PHA finds it necessary or desirable to
               designate certain units for occupancy by members
               of a specific target population, the PHA may
               establish a separate community-wide waiting list
               for just those units, but applicants on such lists
               way also be on the PHA's general community-wide
               list if they are qualified.

         (5)   A PHA which is considering setting aside units to
               accommodate persons with a particular handicap or
               need should keep in mind the demands of all lower
               income families in the community and the
               constraints on the available housing stock.

         (6)   A PHA which is considering entering into an

                  agreement with a social service agency should make
                  sure that the organization

is reliable and fiscally sound. The agency's
                  failure to live up to its agreement with the PHA
                  could result in serious problems for both the PHA
                  and the tenants.

            (7)   Before entering into an agreement with a social
                  service agency, the PHA may want to discuss the
                  matter with the local HUD office to make sure it
                  would be in keeping with the statute and
                  regulations.