PWS Attachment 6_Notice to Owner of FEMA Issuance of Tenant Notic of Revocation.pdf

Direct Lease 30-Day Notice of Revocation:

End of Period of Assistance and Penalty Fee

30-DAY NOTICE OF REVOCATION

END OF PERIOD OF ASSISTANCE AND PENALTY FEE

Disaster-[Number]-State Date:

Name:

Address:

FEMA Application #:

Dear [Mr./Ms.] [Applicant Name]:

As part of the Federal Emergency Management Agency’s (FEMA) mission to help you recover from [Insert Disaster (DR-XXXX-XX)], the Agency provided your household with a temporary housing unit, subject to FEMA terms and conditions and agreement with the property owner, which you signed on [Insert Date Lease was Signed by Applicant].

The period of assistance for [Insert Disaster (DR-XXXX-XX)] is ending on [Insert Program End Date]. Because the period of assistance is ending, FEMA will no longer support the housing program and your lease with the property owner will expire on [Insert Program End Date]. You will not be able to remain in the unit unless you sign a new lease agreement with the property owner and agree to the standard tenant policies and rental rate set by the property owner. FEMA will not be able to assist you with reaching new rental terms or the payment of rental fees.

At the end of the period of assistance, occupants who remain in the unit without signing a new lease with the property owner will be assessed a monthly Penalty Fee as authorized by 44 CFR Section 206.117(b)(1)(ii)(H).

Remaining occupants will also be subject to the terms of eviction provided in the lease agreement including any associated costs or legal fees. Therefore, starting on [Insert the First Day of the Month Following the Date the Program Ends], you will be assessed a monthly penalty fee in the amount of [$ Penalty Fee = Fair Market Rent plus Flat Fee Established by FEMA]. This fee will be due to FEMA on the first day of every month for as long as you remain in the unit after the period of assistance ends and have not signed a new lease with the property owner. Failure to pay your monthly Penalty Fee results in a debt to the Federal government for which FEMA will be required to pursue through debt collection proceedings. See attached “Debt Collection Notice” for additional information.

If you intend to move out of the unit at the end of the program date, you should continue to work with your FEMA Recertification Advisor. Once you have moved out of the unit, FEMA, in coordination with the property owner, will perform a move-out inspection to inspect the rental unit for damage. If there is any damage other than ordinary wear and tear, you may be required to pay for this damage.

Respectfully, [Insert Name of Individual Assistance Branch Director]

[Disaster-####-State]

DEBT COLLECTION NOTICE

You will owe a debt to FEMA if you remain in the temporary housing unit and you fail to timely pay any charges and/or fees assessed. Under 31 U.S.C. 3711(a), 31 CFR part 285 and 6 CFR part 11, FEMA may take the following steps to collect any debt you may incur:

A. If you do not pay the debt in full within 30 days of the date of the bill from FEMA, you may be charged interest at the applicable rate. FEMA will also charge you administrative fees for the cost of processing and handling your debt.

B. If you do not pay the debt in full within 90 days of the date of the bill, FEMA may charge additional fees, including any interest and administrative fees.

C. If you do not pay a debt in full within 120 days of the date of the bill, FEMA may refer your debt to the U.S. Department of Treasury, who may take the following actions to recover the debt:

i. Reduce or withhold any of your eligible Federal payments by the amount of your FEMA debt, through the Treasury Offset Program (TOP). Federal payments include income tax refunds, Federal and Military salary and retirement pay, and certain benefit payments such as Social Security. The U.S. Department of Treasury will add additional collection fees to the amount of the debt.

ii. Report the debt to national credit bureaus and render the debt to private collection agencies, and the Department of Justice for litigation.

iii. Match your name and social security number with computer records to identify sources to recover this debt through the methods listed above.