GHURA lawyer: Landlords in conflict of interest cases liable for payments

Guam Housing and Urban Renewal Authority (PNC file photo)

The legal counsel of the Guam Housing & Urban Renewal Authority (GHURA) has released a statement, saying that landlords in conflict of interest cases are liable to repay the rental payments given to them.

Atty. Charles H. McDonald said that in 2017, the United States Department of Housing and Urban Renewal (HUD) instructed that GHURA reimburse it for rental assistance associated with a Section 8 landlord because of a conflict of interest. The Housing Assistance Program (HAP) contract with the landlord was terminated as a result.

“GHURA’s position is that the conflicted HAP landlord is liable for the total amount of rental assistance that was paid during the time of the conflict. GHURA has identified other instances in which HAP lessors failed to clear a conflict of interest, while their tenants received housing assistance, and has requested that our firm review those files. That process has begun,” McDonald said.

He stressed that all conflicted HAP landlords are liable for the total amount of rental assistance that was paid during the time that they were ineligible under the HAP program because of their conflict.

GHURA would again like to remind all Section 8 landlords that it is their obligation to understand all applicable federal rules and regulations under the HAP program and to seek
advice so that they fulfill their obligation.

If a Section 8 landlord should have a question regarding a HAP contract, call GHURA at 477-9851, or your advisor.