Section 8-79a-14 - Rent determinationRents shall be based upon a percentage of family income.
(a) In projects where a federal subsidy is available, the percentage of family income used to establish the rental will be determined by the federal agency (HUD).(b) In projects where no federal subsidy exists, a base rental shall be established and the lessee will pay: (1) A base rent established by using a percentage of the HUD very low income limits for each geographical area in the state as published from time to time in the federal register for federal low income housing. The percentage will be recommended by the developer and approved by the commissioner of the department of housing.(2) Or, a percentage of the adjusted net family income up to the established continued limits not to exceed a percentage as established by the developer and the commissioner of the department of housing, or the base rent as noted in item (1) whichever is greater.(c) The following items shall be deducted from the total (gross) family income to arrive at adjusted net family income. (1) Income from all dependents who have not reached their 18th birthday, including income received as compensation for the care of foster children, and the state department of children and youth services (DCYS) adoption program.(2) Income from full-time students who have not reached their 23rd birthday.(3) Annual medical expenses which exceed 3% of the family's gross income.(4) Child care costs which enable one or both parents to be gainfully employed, and alimony payments ordered by the courts for dependents and certified as paid.(5) Each dependent as defined by the internal revenue service, will be allowed a deduction of $750. This amount may be adjusted from time to time by the commissioner of housing in his sole discretion.(6) Any other item which may from time to time be determined by the commissioner of housing.(7) An amount which equals ten percent of the difference between total family income, less deductions 1 through 6.(8) The utility allowance shall be determined by the prevailing rates and the average energy consumption of like units in the project and or other data available to the developer. The percentage of adjusted net family income may be adjusted at the request of the developer and at the discretion of the commissioner.(d) In the event that the tenant is self employed, the following shall be utilized to compute tenant income: (2) Allowable deductions including the cost of goods sold, insurances, salary expenses to employees, etc.(3) Depreciation shall not be considered an allowable expense.(4) If the developer permits the tenant to use the dwelling unit as an office, the rental and other necessary expenses of the unit shall not be allowable deductions from income for the purposes of rental computation.(e) For purposes of translating the federally published low income limits chart to a basis for use in determining a percentage for any particular unit size, the following conversions shall be used. Size of Unit | Column for federal register |
1 Bedroom | 2 Persons |
2 Bedroom | 3 Persons |
3 Bedroom | 4 Persons |
4 Bedroom | 6 Persons |
5 Bedroom | 7 Persons |
(f) Where rental increases fall into the following categories, rental increases may be phased in by using the following table. $1.00-$25.00 - 1 Year
$26.00-$50.00 - 2 Year
$51.00-$100.00 - 3 Year
A rental increase exceeding the $100.00 figure may be phased in and adjusted by the developer with the approval of the commissioner of the department of housing.
Conn. Agencies Regs. § 8-79a-14