Ralph Bunche Cooperative, Inc.

Membership Eligibility Selection Plan

Effective Date:July 23, 2009

Revised:January 15, 2010

Revised:August 17, 2011

  1. OBJECTIVE STATEMENT

Ralph Bunche Cooperative is a BMIR development that is administered by the U.S. Department HUD, and is designated to attract applicants for occupancy from all potentially eligible groups of familial status. Ralph Bunche Cooperative has one, two, three and four bedroom units available for membership to all family types. The project-specific occupancy standards are listed on Page 8 of this Resident Selection Plan. To be eligible for occupancy at Ralph Bunche Cooperative, there must be a match between the applicant’s family size and the unit size available in Ralph Bunche Cooperative. The goal of this Resident Selection Plan is to establish a guideline for the selection of members in accordance with HUD regulations, which will enhance the quality of life for our members and improve the financial viability of Ralph Bunche cooperative.

B. FAIR HOUSING & EQUAL OPPORTUNITY STATEMENT

Non Discrimination

It is the policy of Ralph Bunche Cooperative to comply fully with Title VI of the Civil Rights Act of 1964, Title VIII and Section 3 of the Civil Rights Act of 1968 (as amended by the Community Development Act of 1974), Executive Order 11063, Section 504 of the Rehabilitation Act of 1973, the Age Discrimination Act of 1975, and any legislation protecting the individual rights of members, applicants or staff which may subsequently be enacted.

Ralph Bunche Cooperative will not discriminate on the basis of race, color, sex, religion, age, handicap, disability, or national origin in the leasing, rental, or other disposition of housing or related facilities, or in the use or occupancy thereof. In addition, Ralph Bunche Cooperative will not:

Deny to any applicant the opportunity to apply for housing, nor deny any eligible applicant the opportunity to lease housing suitable to its needs;

Provide housing which is different from that provided others;

Subject a person to segregation or disparate treatment;

Restrict a person’s access to any benefit enjoyed by others in connection with the housing program;

Treat a person differently in determining eligibility or other requirements for admission;

Deny a personaccess to the same level of services; or

Deny a person the opportunity to participate in a planning or advisory group that is an integral part of the housing program.

Ralph Bunche Cooperative shall not automatically deny admission to a particular group or category of otherwise eligible applicants. Each applicant in a particular group or category will be treated on an individual basis in the normal processing routine.

Reasonable Accommodations

Ralph Bunche Cooperative will seek hitoidentify and eliminate situations or procedures that create a barrier to equalhousing opportunity for all. In accordance with Section 504 of the Rehabilitation Act, Ralph Bunche Cooperative will make reasonable accommodations for individuals with handicaps or disabilities (applicants or members). Such accommodations may include changes in the method of administering policies, procedures, or services at Ralph Bunche Cooperative where such modifications would be necessary to afford full access to the housing program for qualified individuals with handicaps.

In reaching a reasonable accommodation with, or performing structural modifications for otherwise a qualified individual with disabilities, Ralph Bunche Cooperative is not required to:

Make structural alterations that require the removal or altering of a load-bearing structural member;

Provide support services that are not already part of its housing programs;

Take any action that would result in a fundamental alteration in the nature of the program or service;

Mitigating Circumstances

Section 504 and Fair Housing regulations state consideration or mitigating circumstances shall be given to all persons applying for occupancy. If an applicant feels there is a mitigating circumstances or reasonable accommodation to be considered for determining occupancy, they should contact Ralph Bunche Cooperative immediately to schedule a meeting.

  1. PRIVACY POLICY

It is the policy of Ralph Bunche Cooperative to guard the privacy of individuals conferred by the federal Privacy Act of 1974, and to ensure the protection of such individuals’ records maintained by Ralph Bunche Cooperative.

Personal Information

Unless required by Federal or State law, neither Ralph Bunche cooperative nor its agents shall disclose any personal information contained in its records to any person or agency unless the individual about whom information is requested shall give written consent to such disclosure.

Determining Eligibility for Assistance

This privacy policy in no way limits Ralph Bunche Cooperative’s ability to collect such information as it may need to determine eligibility and income, compute rent, or determine an applicant’s suitability for tenancy.

Information on Handicaps/Disabilities

Consistent with the intent of Section 504 of the Rehabilitation Act of 1973, any information obtained on handicap or disability will be treated in a confidential manner.

Investigations into Fraud/Criminal Activities

This privacy policy is not intended to preclude the cooperation of Ralph Bunche cooperative with local, state, or Federal investigations into fraud or criminal activity. With proper identification, Ralph Bunche Cooperative is permitted to advise the investigating officer of the following:

Whether or not an individual is a member

How long an individual is a member; and

Any other appropriate answers to questions related to the investigation.

Ralph Bunche Cooperativewill not make files, forms, or documents available to the investigating officer unless a court order for such action is provided.

D. ELIGIBILITY REQUIREMENTS

  1. Ralph Bunche Cooperative is a Below Market Interest Rate (BMIR) project with 281 total units. This project ismulti-family and not designated for a special population or family type.
  1. All Applicants must provide proof of Citizenship or Eligible Immigration Status. Acceptable documentation is as follows:

a)Birth Certificate from the United States of America

b)Naturalization Certificate for the United States of America

c)Acceptable Department of Homeland Security Documents Attachment 1

  1. All Applicants must provide proof of social security number. Acceptable verification of a social security number isan original social security card or, when a card is unavailable, a statement of verification from the Social Security Administration. When the statement of verification is provided, the applicant is required to provide an original social security card prior to moving into the Cooperative.
  1. All Applicants must provide all sources of verifiable income to the Cooperative and upon verification, it must be determined that the minimum income has been met. The minimum income requirements are as follows:

Applicant’s respective size unit’s carrying charges cannot be more than 30% more than thegross annual income.

Adjustments to monthly income are deducted for car payments, credit card payments; installment loans and so forth. The monthly carrying charges are then divided by the adjusted monthly income to arrive at the percentage.

  1. All Applicants must provide all sources of verifiable income to the Cooperative and upon verification, it must be determined that the maximum income limit has not been surpassed. The maximum income limits are published annually by the Department of Housing & Urban Development. Attachment 2
  1. All Applicants must agree that the Cooperative unit will be their only place of residence. Assisted members are allowed to have assets of many different types, including owning real estate. However, this real estate may never be used as their residence while they live in an assisted unit.

7.Applicants must agree to pay the carrying charge required by the BMIR formula used at Ralph Bunche Cooperative, which is defined in HUD’s Occupancy Handbook, HUD Handbook 4350.3 REV-1,CHG-1 as follows:

  • BMIR Carrying Charges Established and approved by HUD

Or

  • Additional 10% over the BMIR rates (surcharge rate)

8.Applicants must understand and agree to HUD’s requirement of an annual recertification of family income and circumstances in an established time frame per occupancy agreement and program description.

9.Further, to ensure that assisted families pay carrying charges based on their ability to pay, applicants must understand and agree to HUD’s requirement that they are required to supply interim information to Ralph Bunche Cooperative when the following occurs between annually scheduled recertifications:

  • A family member moves in or out of the unit
  • An adult member of the family who was reported as unemployed on the most recent certification/recertification obtains employment

E.APPLICATION PROCEDURES

A complete application packet will include:

  1. A completed written/typed and signed Cooperative Application for Housing and Income / Asset Checklist
  2. Signed release of information forms for all items requiring verification, including the 9887 and 9887A
  3. A copy of the Photo ID’s for all adults (18 years and older) - The copy must be taken by the Cooperative Staff
  4. Copies of Social Security Cards or other acceptable verification for all persons listed on the application – The copies must be taken by the Cooperative Staff
  5. Copies of Birth Certificates for all persons listed on the application – The copies must be taken by the Cooperative Staff
  6. Payment of the $50.00 Application Processing Fee for each adult applicant - this fee must be paid in the form of a money order or cashier’s check.

Applications will not be accepted without all of the above items.

Each application will be timed, dated and signed by the agent taking the application. Applications will beprocessed in the order in which they are received.

1

F. APPLICATION SCREENING ELEMENTS

The date the application is initially accepted by the onsite office will be the determining factor for waiting list position. Upon receipt of a complete application packet, the following items will need to be verified/completed to determine eligibility:

  • All Sources of Income & AssetsCurrent for 120-Days from the date of verification
  • Previous Landlord HistoryCurrent for 120-Days from the date of verification
  • Credit Background CheckCurrent 120-Days from the date of verification
  • Criminal Background CheckCurrent 120-Days from the date of verification
  • InterviewCurrent unless Interview program is updated prior to

move-in

  • OrientationCurrent for a period of 1 year from date of orientation

Please note it will be the applicant’s responsibility to attend an updated interview in the event the interview program is modified or changed in such a way that would require an updated interview. Also, orientation is only current for a period of one year from the date of orientation. If the applicant fails to purchase a Membership within one year from the date of orientation, he/she will be required to attend orientation again.

Credit Background

Ralph Bunche Cooperative will not offer Membership to an applicant with bad credit. Bad credit is defined as:

  • Accounts Sent to Collections – Applicant may have up to four (4) collection accounts that cannot exceed a total collective debt of $5,000
  • Accounts Sent to Collections – Applicant’s collection accounts cannot exceed a total collective debt of $5,000, no matter the number of collection accounts
  • Paid Landlord Judgments for Damages, Non-Compliance, or Non-Payment of Rent
  • Unpaid All Other Judgments
  • Six or more credit accounts reflecting a current delinquency of more than 30-Days

Ralph Bunche reserves the right to offer an exception to this credit criteria for an existing resident who is applying for Membership if they meet the following criteria:

  • Been an occupant for at least two (2) years
  • Resides in a household that has not been turned over for non-payment in prior twelve (12) months
  • Resides in a household that does not have any record of serious material non-compliance violation(s)
  • Provides verification of the minimum income required to satisfy the monthly carrying charges

Criminal Background

An applicant will be denied Membership if the following criminal activity is verified in the prior ten (10) years:

  • Any household member currently engaging in illegal drug use or if Management determines that there is reasonable cause to believe that a household member's illegal use or a pattern of illegal use of a drug may interfere with the health, safety, or right to peaceful enjoyment of the premises by other residents. (Examples of evidence of illegal activities may include a conviction record, former landlord references, etc.)
  • Conviction for rape, prostitution or sexual deviation
  • Conviction for the manufacture or distribution of controlled substances
  • Conviction for the illegal use of controlled substance
  • The Cooperative determines that there is reasonable cause to believe that a household member's abuse or pattern of abuse of alcohol interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents
  • Felony conviction for any crime
  • Subject to a Registration Requirement under the State Sex Offender Registration Program
  • Having been evicted from any Federal Assisted site for drug related criminal activity by any household member

EXCEPTION – an applicant subject to a Registration Requirement under the State Sex Offender Registration Program is NEVER eligible, even if the Registration and/or crime occurred prior to ten (10) years.

EXCEPTION - an applicant will not be rejected on the basis of illegal use of controlled substances if an accredited rehabilitation agency confirms, in writing, that the applicant or household member is not a current illegal abuser or addict of controlled substances. The applicant must have completed the program a minimum of 12 months prior to their application with no additional record of abuse.

Landlord History

Landlord history and Residency will be verified for a period ofthree(3) years prior to the date of application. If at any time during that period an applicant lived with a parent or relative, they must complete a Live With Relative Affidavit verifying the dates of residency. An applicant will be denied if any verification confirms that:

  • They were ever evicted or turned over to an attorney for habitual non payment, even if the suit was later dropped, this includes non-compliance and non-payment action
  • They have a record of disruptive behavior
  • They damaged the property in any way
  • They have a record of major lease violations
  • They had unsanitary and/or hazardous housekeeping habits
  • They received three (3) or more legal notices for non-payment of rent in a 12-month period
  • They owe an outstanding balance to the Landlord

Please note, if the applicant has a previous verifiable resident history with Ralph Bunche, Management reserves the right to verify this residency even if beyond the previousthree(3) years.

Interview process

If the applicant meets requirements of credit, criminal, household size, income and landlord references, they are interviewed by aRBC Committee. They must meet the interview requirement of receiving an average of 85 out of a possible 125 points. If they fail, the Applicant is rejected. All household members overeight(8) years of age must attend the interview. Also, if the Applicant does not appear for the scheduled interview and does not notify the office by the next business day, the application will be rejected.

If an applicant is rejected as the result of the personal interview, they cannot reapply for a period ofthree(3) years from the date of rejection.

Orientation

After the applicant passes all eligibility criteria through the interview process, the application is approved. Prior to purchasing a Membership, the Applicant and all household Members overeight(8)years of age, are required to attend a scheduled orientation. In order to keep current with Cooperative policies and procedures, the applicant is required to attend an updated orientation if a Membership is not purchased within one year of the date of orientation. The applicant will be notified by Ralph Bunche Cooperative of the updated orientation schedule.

Attempted Fraud

Any information provided by the applicant that verification proves to be untrue may be used to disqualify the applicant for admission on the basis of attempted fraud. Ralph Bunche Cooperative considers false information about the following items to be grounds for rejecting an applicant:

  • Income, assets, family composition; Social Security numbers; allowances; and
  • Previous resident history or criminal history

Unwitting errors that do not secure an advantage with regard to program eligibility, preferences, or rent will not be used as a basis to exclude applicants.

G. NOTIFICATION OF REJECTION

All rejected applicants will be notified in writing within 3 business days of the date of rejection. The notification will state the reasons for rejection and advise them of their rights for reconsideration and appeal.

H.RECONSIDERATION & APPEAL

If an applicant is not satisfied with the decision to reject their application, the applicant shall have the right to submit a written request for reconsideration and appeal.

The request for reconsideration & appeal must be submitted to the Ralph Bunche Cooperative Sales Office in writing within fourteen(14) days of the mailing date of the rejection notice.

The applicant will be notified in writing, withinthree(3) business days of the date of the next regularly scheduled Board of Directors meeting, of the decision made.

The applicant may also appeal to the following organization(s):

  • Federal/State Agency

I.NOTIFICATIONOF APPROVAL

When an applicant has met all eligibility requirements as described herein, a notification of approval will beprovided, in writing, withinthree(3) business days of the approval date. The approval letter will:

  1. Advise the applicant of the necessity of notifying us of changes which will affect the application
  2. Notify the applicant that it is their responsibility to contact the office every six months to keep the application active
  3. Explains that all items used to determine eligibility will be re-verified according to the time frames as provided in the Selection Plan, and that their approval status could change based on the results of the update

J. OCCUPANCY STANDARDS

The household size cannot exceed the current household size limits for the type of units provided at the development.

Size of UnitMinimumMaximum Persons

1 Bedroom1 Person2 People
2 Bedroom1 Person4 People

3 Bedroom 2 People6 People

4 Bedroom3 People8 People

In order to determine the size of the unit that would be appropriate for a particular family, Ralph Bunche Cooperative will count all full-time members of the family including live-in aides and foster persons who will reside in the unit. In addition, Ralph Bunche Cooperative will count all anticipated person including