HUD HCV Guidebook § 4.2

Housing assistance payments stop when the family can afford to pay the full rent to owner and any
utilities for which the family is responsible. Specifically, the PHA does not make housing assistance
payments when the following occurs:

       Thirty percent of the family’s monthly adjusted income equals or exceeds the applicable
        payment standard or
       The family share equals or exceeds the gross rent (rent to owner plus utility allowance).

This is commonly known as “zero HAP.” As the HAP contract remains in effect for 180 calendar days

17 24 CFR § 982.308(g)
18 24 CFR § 982.451(b)(3)
19 24 CFR § 982.451(b)(4)(ii)
20 24 CFR § 982.514(b)

after the PHA makes the last housing assistance payment, stopping the housing assistance payment
in these situations does not affect the family’s rights under the lease. If the family’s income, size,
composition, or other circumstances change during the remaining term of the HAP contract, housing
assistance payments may be resumed.