Department of Veterans Affairs, M26-12, Revised
Table of Contents
Specially Adapted Housing Grant Processing Procedures, Loan Guaranty Operations for Regional Offices
Table of Contents
Chapter 1: Specially Adapted Housing Application/Eligibility
Overview...... 1-1
1.VA Form 26-4555...... 1-2
2.Methods of Submitting Application...... 1-3
3.Grant Programs and Eligibility Requirements...... 1-4
.4.Governing Law...... 1-7
5.Rating Decisions...... 1-8
6.VA Fiduciary/Financial Incompetency...... 1-10
7.Outreach to Veterans Not Yet Rated...... 1-12
Chapter 2: Pre-Grant Approval: Initial Interview
Overview...... 2-1
1.General Information about the Initial Interview...... 2-2
2.Preparation for the Initial Interview...... 2-5
3.Completing the Initial Interview...... 2-6
4.Documenting the Initial Interview and Follow Up...... 2-10
Chapter 3: Pre-Grant Approval: Feasibility and Suitability
Overview...... 3-1
1.General Information about Feasibility and Suitability...... 3-2
2.Medical Feasibility...... 3-4
3.Financial Feasibility...... 3-5
4.Property Suitability...... 3-9
5.Determinations of Non-Feasibility...... 3-12
Chapter 4: Getting to Conditional Approval
Overview...... 4-1
1.What is Conditional Approval?...... 4-2
2.Disability Requirements...... 4-3
3.Feasibility and Suitability Requirements...... 4-4
4.Use and Dollar Limitations...... 4-5
5.Conditional Approval and Preconstruction Costs...... 4-6
Continued on next page
Table of Contents, Continued
Chapter 5: Getting to Final Approval
Overview...... 5-1
1.Ownership...... 5-2
2.Veterans Mortgage Life Insurance (VMLI)...... 5-5
3.Proposed Adaptations and Waivers...... 5-8
4.Bids and Waivers...... 5-10
5.Contracts...... 5-13
6.Plans and Specifications...... 5-15
7.Cost Analysis...... 5-23
8.Required Documents for Other Situations...... 5-27
9.Regional Loan Center (RLC) Requirements for Grant Disapproval...... 5-30
Chapter 6: SAH Agent’s Responsibility during Construction and Handling Disputes/Complaints
Overview...... 6-1
1.Project Management Responsibilities...... 6-2
2.Change Orders...... 6-4
3.Dispute Resolution...... 6-6
Chapter 7: The Compliance Inspection and Review of Compliance Inspection Reports
Overview...... 7-1
1.Compliance Inspections and Compliance Inspection Reports, VA Form 26-18397-2
2.Compliance Inspector Qualifications...... 7-3
3.Inspection Schedules...... 7-5
4.Assigning the VA Compliance Inspector...... 7-6
5.Requirements of the Compliance Inspection...... 7-8
6.Reviewing VA Form 26-1839, Compliance Inspection Report...... 7-10
7.Handling Non-Compliant Inspections...... 7-11
Chapter 8: Escrows, Escrow Agents, and the Authorization of Funds
Overview...... 8-1
1.Escrow and When Escrow is Required...... 8-2
2.Selection of the Escrow Agent...... 8-4
3.Responsibilities of the Escrow Agent...... 8-6
4.Authorization to Disburse Funds When VA is Not the Escrow Agent...... 8-8
5.Processing Procedures When VA is the Escrow Agent...... 8-10
Chapter 9: Supplemental Grants
Overview...... 9-1
1.General Information on Supplemental Grants...... 9-2
2.Approving a Supplemental Grant...... 9-3
3.Impact of Supplemental Funds on the Disbursement Schedule ...... 9-4
Continued on next page
Table of Contents, Continued
Chapter 10: SAH Agent Final Field Review
Overview...... 10-1
1.General Information about the SAH Agent Final Field Review...... 10-2
2.Final Field Review Requirements...... 10-3
3.Following up with the Veteran, Builder and Compliance Inspector...... 10-4
Chapter 11: Final Accounting
Overview...... 11-1
1.Process for Final Accounting...... 11-2
2.Obtaining the Supporting Documentation and Providing Required Exhibits to
Close the File...... 11-3
3.Requirements for Closing Final Accounting ...... 11-4
Chapter 12: Death Cases
Overview...... 12-1
1.General Information about Death Cases...... 12-2
2.Next of Kin Notification...... 12-3
3.Processing Death Cases when there is Conditional Approval and Outstanding
Expenses are Claimed...... 12-4
4.Processing Death Cases with an Approved Grant and Before Construction Has
Begun...... 12-7
5.Processing Death Cases with an Approved Grant and After Construction Has
Begun...... 12-9
Appendix A: Specially Adapted Housing (SAH) Minimum Property Requirements and Recommended Adaptations
Overview...... A-1
1.General Information about SAHMinimum Property Requirements...... A-2
2.SAH Minimum Property Requirements: Ingress and Egress Requirements....A-5
3. SAH Minimum Property Requirements: Primary Bathroom Requirements....A-9
4. SAH Minimum Property Requirements: Primary Bedroom/Sleeping Area
Requirements...... A-11
5.Minimum Property Requirements for Condominiums and Townhouses...... A-12
6.General Information about SAH Recommended Adaptations...... A-14
7.SAH Recommended Adaptations...... A-18
8.Special Equipment...... A-23
9.Recommended Adaptations for Burn Injuries and Respiratory Related Injuries..A-24
Continued on next page
Table of Contents, Continued
Appendix B: Recommended Adaptations for Special Housing Adaptation (SHA) Grants
Overview...... B-1
1.General Information about SHA Recommended Adaptations...... B-2
2.Recommended Adaptations for Blindness in Both Eyes with a 20/200 Visual
Acuity or Less...... B-4
3.Recommended Adaptations for Loss, or Loss of Use, of Both Hands...... B-7
4.Recommended Adaptations for Burn Injuries and Respiratory Related Injuries..B-8
5.Recommended Adaptations for Secondary Disabilities...... B-9
Appendix C: Specially Adapted Housing (SAH) Plan Types and Grant Calculations
Overview...... C-1
1.General Information About SAH Plan Types...... C-2
2.Plan 1: Description and Calculations...... C-3
3.Plan 2: Description and Calculations...... C-5
4.Plan 3: Description and Calculations...... C-7
5.Plan 4: Description and Calculations...... C-10
Appendix D: Special Housing Adaptations (SHA) Plan Types and Grant Calculations
Overview...... D-1
1.General Information About SHA Plan Types...... D-2
2.Plan 1: Description and Calculations...... D-3
3.Plan 2: Description and Calculations...... D-4
4.Plan 3: Description and Calculations...... D-6
5.Plan 4: Description and Calculations...... D-7
6.Plan 5: Description and Calculations...... D-9
Appendix E: Temporary Residence Adaptations (TRA) Grant
Overview...... E-1
1.TRA Grant...... E-2
Appendix F: Timeliness Requirements
Overview...... F-1
Appendix G: References
Overview...... G-1
1.United States Code (statute)...... G-2
2.Code of Federal Regulations (regulations)...... G-3
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