@Nick Brubaker, I downloaded an application straight from my city's housing authority and it specifically asks how long the tenant expects to live there, so I think (at least in NY) it must be a legally allowed question.

Check with the authority having jurisdiction (Fire Dept/inspections) for what edition of the life safety code, and fire code they go by.

As far as "landlord friendly", a lot of things can drive that perception - how restrictive legislation is, what your obligations are for holding and returning security deposits, oversight by local housing authorities, etc.

Can the two of you seek a higher authority on the issue?

This fee shallbe considered added rent.I copied and pasted from Rochester, NY Housing Authority Free lease :) Last night I Read the legal decision in NYS passed this past June and late fees cannot be over a certain percentage (6%) of the rent. 

This should be spelled out in the Housing Authority Payment (HAP) contract.

This is secondhand information, however, since I have not interfaced with them personally.Cohoes Housing Authority (S8), on the other hand, was great to work with (direct deposit on the 1st, would answer my questions), although they would not pay me market rate for my apartment

What I know is its as simple as contacting the housing authority, getting an inspection, finding a tenant and signing the lease with the tenant and a separate contract with the housing authority.

@Jay HinrichsMS and MO I secondIn regards to authors comment: I was going off ease of finding assets, pricing and legal arenaFor example jay mentions Texas which is great but you will pay through the nose for a note in TX.

That info can only come from their lender....to them or to you if they have given you proper written authorization or jointly on a  phone call.