October 28, 2015 in Certs/ 50059s (Including income/assets/expenses), Eligibility, Expense Calculations, Q&A, TRACS

Q and A – Shared Custody Dependent in Two Applicant Households

Q and A – Shared Custody Dependent in Two Applicant Households

Question: I have 2 separate applicant households on the waiting list. Each is requesting a two-bedroom unit and each Head of Household has listed the same minor child as a member of their household. They say custody is equally split between the households, but there are no court documents regarding this custody arrangement. What do I need to obtain, in terms of verification, and what do I do with the information once I receive it? ~ Lola- Oklahoma

Answer: HUD’s guidance regarding how to code joint-custody dependents on 50059s was written under the assumption that all custody arrangements are court-ordered. Because they are not, owners are expected to exercise good judgment in verifying the terms of the arrangement with both parents. If there are no court documents to determine custody, the mother and father can sign an affidavit, explaining the custody arrangement. Both parties must agree to the same information and must agree to report any changes to the situation. If they sign the affidavit indicating the child’s custody is split 50/50 between the applicant households:

 

One household will code the child using shared custody code of JK.  This household will:

  • Receive the dependent deduction;
  • Be eligible for child care expense deduction for payments made by members of this household;
  • Include the child in the member count for income limits and unit size;
  • Include any unearned income for the child (if applicable).
 One household will code the child using shared custody code of CK.  This household will:

  • Not receive the dependent deduction;
  • Be eligible for child care expense deductions for payments made by members of this household;
  • Include the child in the member count for income limits and unit size.
Management does not decide which household gets which shared custody code.   The families make this determination.

References: 4350.3 Section 3-6 E4.b, Section 3-23 E6.b.(6) and Section 5-10.A