IIB
110th CONGRESS
1st Session
H. R. 1851
IN THE SENATE OF THE UNITED STATES
July 16, 2007
Received; read twice and referred to the Committee on Banking, Housing, and Urban Affairs
AN ACT
To reform the housing choice voucher program under section 8 of the United States Housing Act of 1937.
Short title
This Act may be cited as the
Section 8 Voucher Reform Act of
2007
.
Inspection of dwelling units
In General
Section 8(o)(8) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(8)) is amended—
by striking subparagraph (A) and inserting the following new subparagraph:
Initial inspection
In general
For each dwelling unit for which a housing assistance payment contract is established under this subsection, the public housing agency (or other entity pursuant to paragraph (11)) shall inspect the unit before any assistance payment is made to determine whether the dwelling unit meets the housing quality standards under subparagraph (B), except as provided in clause (ii) or (iii) of this subparagraph.
Correction of non-life threatening conditions
In the case of any dwelling unit that is determined, pursuant to an inspection under clause (i), not to meet the housing quality standards under subparagraph (B), assistance payments may be made for the unit notwithstanding subparagraph (C) if failure to meet such standards is a result only of non-life threatening conditions. A public housing agency making assistance payments pursuant to this clause for a dwelling unit shall, 30 days after the beginning of the period for which such payments are made, suspend any assistance payments for the unit if any deficiency resulting in noncompliance with the housing quality standards has not been corrected by such time, and may not resume such payments until each such deficiency has been corrected.
Projects receiving certain federal housing subsidies
In the case of any property that within the previous 12 months has been determined to meet housing quality and safety standards under any Federal housing program inspection standard, including the program under section 42 of the Internal Revenue Code of 1986 or under subtitle A of title II of the Cranston Gonzalez National Affordable Housing Act of 1990, a public housing agency may authorize occupancy before the inspection under clause (i) has been completed, and may make assistance payments retroactive to the beginning of the lease term after the unit has been determined pursuant to an inspection under clause (i) to meet the housing quality standards under subparagraph (B).
;
by striking subparagraph (D) and inserting the following new subparagraph:
Biennial inspections
Requirement
Each public housing agency providing assistance under this subsection (or other entity, as provided in paragraph (11)) shall, for each assisted dwelling unit, make inspections not less often than biennially during the term of the housing assistance payments contract for the unit to determine whether the unit is maintained in accordance with the requirements under subparagraph (A). The agency (or other entity) shall retain the records of the inspection for a reasonable time and shall make the records available upon request to the Secretary, the Inspector General for the Department of Housing and Urban Development, and any auditor conducting an audit under section 5(h).
Sufficient inspection
An inspection of a property shall be sufficient to comply with the inspection requirement under clause (i) if—
the inspection was conducted pursuant to requirements under a Federal, State, or local housing assistance program (including the HOME investment partnerships program under title II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721 et seq.)); and
pursuant to such inspection, the property was determined to meet the standards or requirements regarding housing quality or safety applicable to units assisted under such program, and, if a non-Federal standard was used, the public housing agency has certified to the Secretary that such standards or requirements provide the same protection to occupants of dwelling units meeting such standards or requirements as, or greater protection than, the housing quality standards under subparagraph (B).
; and
by redesignating subparagraph (E) as subparagraph (G);
by inserting after subparagraph (D) the following new subparagraphs:
Interim inspections
Upon notification to the public housing agency, by a family on whose behalf tenant-based rental assistance is provided under this subsection or by a government official, that the dwelling unit for which such assistance is provided does not comply with the housing quality standards under subparagraph (B), the agency shall inspect the dwelling unit—
in the case of any condition that is life-threatening, within 24 hours after receipt of such notice; and
in the case of any condition that is not life-threatening, within 15 days after receipt of such notice.
Enforcement of housing quality standards
Determination of noncompliance
A dwelling unit that is covered by a housing assistance payments contract under this subsection shall be considered, for purposes of this subparagraph, to be in noncompliance with the housing quality standards under subparagraph (B) if—
the public housing agency or an inspector authorized by the State or unit of local government determines upon inspection of the unit that the unit fails to comply with such standards;
the agency or inspector notifies the owner of the unit in writing of such failure to comply; and
the failure to comply is not corrected—
in the case of any such failure that is a result of life-threatening conditions, within 24 hours after receipt of such notice; and
in the case of any such failure that is a result of non-life threatening conditions, within 30 days after receipt of such notice or such other reasonable period as the public housing agency may establish.
Withholding of assistance amounts
The public housing agency shall withhold all of the assistance amounts under this subsection with respect to a dwelling unit that is in noncompliance with housing quality standards under subparagraph (B). Upon completion of repairs by the public housing agency or the owner sufficient so that the dwelling unit complies with such housing quality standards, the agency shall recommence payments under the housing assistance payments contract to the owner of the dwelling unit.
Use of withheld assistance to pay for repairs
The public housing agency may use such amounts withheld to make repairs to the dwelling unit or to contract to have repairs made, except that a contract to make repairs may not be entered into with the inspector for the dwelling unit referred to in clause (i)(I).
Protection of tenants
An owner of a dwelling unit may not terminate the tenancy of any tenant or refuse to renew a lease for such unit because of the withholding of assistance pursuant to this subparagraph. During the period that assistance is withheld pursuant to this subparagraph, the tenant may terminate the tenancy by notifying the owner.
Termination of lease or assistance payments contract
If assistance amounts under this section for a dwelling unit are withheld pursuant to clause (ii) and the owner does not correct the noncompliance within 60 days after the effective date of the determination of noncompliance under clause (i), or such other reasonable period as the public housing agency may establish, and the agency does not use its authority under clause (iii), the agency shall terminate the housing assistance payments contract for the dwelling unit.
Relocation
If the public housing agency terminates the housing assistance payments contract for a dwelling unit, the lease for any family residing in that unit shall terminate and the family may remain in the unit subject to a new lease as an unassisted family. The agency shall provide the family residing in such a dwelling unit a period of 90 days, beginning upon termination of the contract, to lease a new residence to assist with the tenant-based rental assistance made available under this section for the family. If the family is unable to lease such a new residence during such period, the public housing agency shall extend the period during which the family may lease a new residence to be assisted with such assistance or provide such family a preference for occupancy in a dwelling unit of public housing owned or operated by the agency that first becomes available for occupancy after the expiration of such period. The agency shall provide reasonable assistance to the family in finding a new residence, including use of two months of any assistance amounts withheld pursuant to clause (ii) for costs associated with relocation of the family to a new residence.
Limitation of liability of public housing agencies
A public housing agency that uses its authority under clause (iii) shall not, if the agency accomplishes the work through a contractor that is licensed, bonded, and insured in amounts and with coverage as required by the Secretary, be liable for any injury or damages that may result to persons or to any property owned by the tenant or owner.
Tenant-caused damages
If a public housing agency determines that any damage to a dwelling unit that results in a failure of the dwelling unit to comply with housing quality standards under subparagraph (B), other than any damage resulting from ordinary use, was caused by the tenant, any member of the tenant’s household, or any guest or other person under the tenant’s control, the agency may, in the discretion of the agency, waive the applicability of this subparagraph, except that this clause shall not exonerate a tenant from any liability otherwise existing under applicable law for damages to the premises caused by such tenant.
Applicability
This subparagraph shall apply to any dwelling unit for which a housing assistance payments contract is entered into or renewed after the date of the effectiveness of the regulations implementing this subparagraph.
.
Regulations
The Secretary of Housing and Urban Development shall issue any regulations necessary to carry out the amendment made by subsection (a)(3) not later than the expiration of the 12-month period beginning upon the date of the enactment of this Act. Such regulations shall take effect not later than the expiration of the 90-day period beginning upon such issuance. This subsection shall take effect upon enactment of this Act.
Rent reform and income reviews
Rent for public housing and section 8 programs
Section 3 of the United States Housing Act of 1937 (42 U.S.C. 1437a(a)) is amended—
in subsection (a)—
in paragraph (1)
by inserting Low-income
occupancy requirement and rental payments.—
after
(1)
;
in paragraph (1)—
by
striking paragraph (2)
and inserting paragraphs (2) and
(3)
; and
by
striking paragraph (3)
and inserting paragraph
(4)
;
in paragraph
(2)(A)(i), by striking paragraph (3)
and inserting
paragraph (4)
;
by redesignating paragraphs (4) and (5) as paragraphs (5) and (6), respectively;
by inserting after paragraph (2) the following new paragraph:
PHA authority to establish alternative rents
Rent flexibility for public housing and voucher program
Subject to the requirements under subparagraph (B), a public housing agency may establish for public housing and for families on whose behalf assistance is provided under the program for tenant-based voucher assistance under section 8(o)—
a tenant rent structure in which—
the public housing agency establishes, based on the rental value of the unit, as determined by the public housing agency—
a ceiling rent for each dwelling unit that it owns and operates; and
a ceiling on the amount of the tenant contribution toward rent required of a family provided tenant-based assistance; and
such ceiling rent and tenant contribution are adjusted periodically on the basis of an inflation index or a recalculation of the rental value of the unit (which may be recalculated by unit or by building);
an income-tiered tenant rent structure in which the amount of rent a family shall pay is set and distributed on the basis of broad tiers of income and such tiers and rents are adjusted on the basis of an annual cost index except that families entering public housing shall not be offered a rent lower than the rent corresponding to their income tier; or
a tenant rent structure in which the amount of rent a family shall pay is based on a percentage of family income, except that lower percentages may apply only with respect to earned income; such a rent structure may provide for an amount of rent based on a calculation of earned income that provides for disregard of a higher percentage or higher dollar amount, or both, than provided for in paragraph (8)(B).
Limitation
Notwithstanding the authority provided under subparagraph (A), the amount paid for rent (including the amount allowed for tenant-paid utilities) by any family for a dwelling unit in public housing or for rental of a dwelling unit for which tenant-based voucher assistance under section 8(o) is provided may not exceed the amount determined under subsection (a)(1) of this section or section 8(o), respectively. The Secretary shall issue regulations and establish procedures to ensure compliance with this subparagraph.
Elderly families and disabled families
Notwithstanding any other provision of this Act, this paragraph shall not apply to elderly families and disabled families.
; and
by adding at the end the following new paragraphs:
Reviews of family income
Frequency
Reviews of family income for purposes of this section shall be made—
in the case of all families, upon the initial provision of housing assistance for the family;
annually thereafter, except as provided in subparagraph (B)(i);
upon the request of the family, at any time the income or deductions (under subsection (b)(5)) of the family change by an amount that is estimated to result in a decrease of $1,500 (or such lower amount as the public housing agency may, at the option of the agency or owner, establish) or more in annual adjusted income; and
at any time the income or deductions (under subsection (b)(5)) of the family change by an amount that is estimated to result in an increase of $1,500 or more in annual adjusted income, except that any increase in the earned income of a family shall not be considered for purposes of this clause (except that earned income may be considered if the increase corresponds to previous decreases under clause (iii)), except that a public housing agency or owner may elect not to conduct such review in the last three months of a certification period.
Fixed-income families
Self certification and 3-year review
In the case of any family described in clause (ii), after the initial review of the family’s income pursuant to subparagraph (A)(i), the public housing agency or owner shall not be required to conduct a review of the family’s income pursuant to subparagraph (A)(ii) for any year for which such family certifies, in accordance with such requirements as the Secretary shall establish, that the income of the family meets the requirements of clause (ii) of this subparagraph, except that the public housing agency or owner shall conduct a review of each such family’s income not less than once every 3 years.
Eligible families
A family described in this clause is a family who has an income, as of the most recent review pursuant to subparagraph (A) or clause (i) of this subparagraph, of which 90 percent or more consists of fixed income, as such term is defined in clause (iii).
Fixed income
For purposes of this subparagraph, the term fixed
income
includes income from—
the supplemental security income program under title XVI of the Social Security Act, including supplementary payments pursuant to an agreement for Federal administration under section 1616(a) of the Social Security Act and payments pursuant to an agreement entered into under section 212(b) of Public Law 93–66;
Social Security payments;
Federal, State, local and private pension plans; and
other periodic payments received from annuities, insurance policies, retirement funds, disability or death benefits, and other similar types of periodic receipts.
In general
Reviews of family income for purposes of this section shall be subject to the provisions of section 904 of the Stewart B. McKinney Homeless Assistance Amendments Act of 1988.
Calculation of income
Use of prior year’s income
Except as otherwise provided in this paragraph, in determining the income of a family for a year, a public housing agency or owner may use the income of the family as determined by the agency or owner for the preceding year, taking into consideration any redetermination of income during such prior year pursuant to clause (iii) or (iv) of paragraph (7)(A).
Earned income
For purposes of this section, the earned income of a family for a year shall be the amount of earned income by the family in the prior year minus an amount equal to 10 percent of the lesser of such prior year’s earned income or $10,000, except that the income of a family for purposes of section 16 (relating to eligibility for assisted housing and income mix) shall be determined without regard to any reduction under this subparagraph.
Inflationary adjustment for fixed income families
If, for any year, a public housing agency or owner determines the income for any family described in paragraph (7)(B)(ii), or the amount of fixed income of any other family, based on the prior year’s income or fixed income, respectively, pursuant to subparagraph (A), such prior year’s income or fixed income, respectively, shall be adjusted by applying an inflationary factor as the Secretary shall, by regulation, establish.
Other income
If, for any year, a public housing agency or owner determines the income for any family based on the prior year’s income, with respect to prior year calculations of types of income not subject to subparagraph (B), a public housing agency or owner may make other adjustments as it considers appropriate to reflect current income.
Safe harbor
A public housing agency or owner may, to the extent such information is available to the public housing agency or owner, determine the family’s income for purposes of this section based on timely income determinations made for purposes of other means-tested Federal public assistance programs (including the program for block grants to States for temporary assistance for needy families under part A of title IV of the Social Security Act, a program for medicaid assistance under a State plan approved under title XIX of the Social Security Act, and the food stamp program as defined in section 3(h) of the Food Stamp Act of 1977). The Secretary shall, in consultation with other appropriate Federal agencies, develop procedures to enable public housing agencies and owners to have access to such income determinations made by other Federal programs.
PHA and owner compliance
A public housing agency or owner may not be considered to fail to comply with this paragraph or paragraph (7) due solely to any de minimus errors made by the agency or owner in calculating family incomes.
;
by striking subsections (d) and (e); and
by redesignating subsection (f) as subsection (d).
Income
Section 3(b) of the United States Housing Act of 1937 (42 U.S.C. 1437a(b)) is amended—
by striking paragraph (4) and inserting the following new paragraph:
Income
The term income means, with respect to a family, income received from all sources by each member of the household who is 18 years of age or older or is the head of household or spouse of the head of the household, plus unearned income by or on behalf of each dependent who is less than 18 years of age, as determined in accordance with criteria prescribed by the Secretary, in consultation with the Secretary of Agriculture, subject to the following requirements:
Included amounts
Such term includes recurring gifts and receipts, actual income from assets, and profit or loss from a business.
Excluded amounts
Such term does not include—
any imputed return on assets; and
any amounts that would be eligible for exclusion under section 1613(a)(7) of the Social Security Act (42 U.S.C. 1382b(a)(7)).
Earned income of students
Such term does not include earned income of any dependent earned during any period that such dependent is attending school on a full-time basis or any grant-in-aid or scholarship amounts related to such attendance used for the cost of tuition or books.
Educational savings accounts
Income shall be determined without regard to any amounts in or from, or any benefits from, any Coverdell education savings account under section 530 of the Internal Revenue Code of 1986 or any qualified tuition program under section 529 of such Code.
Other exclusions
Such term shall not include other exclusions from income as are established by the Secretary or any amount required by Federal law to be excluded from consideration as income. The Secretary may not require a public housing agency or owner to maintain records of any amounts excluded from income pursuant to this subparagraph.
; and
by striking paragraph (5) and inserting the following new paragraph:
Adjusted income
The term adjusted income means, with respect to a family, the amount (as determined by the public housing agency or owner) of the income of the members of the family residing in a dwelling unit or the persons on a lease, after any deductions from income as follows:
Elderly and disabled families
$725 in the case of any family that is an elderly family or a disabled family.
Dependents
In the case of any family that includes a member or members who—
are less than 18 years of age or attending school or vocational training on a full-time basis; or
is a person with disabilities who is 18 years of age or older and resides in the household,
Health and medical expenses
The amount, if any, by which 10 percent of annual family income is exceeded by the sum of—
in the case of any elderly or disabled family, any unreimbursed health and medical care expenses; and
any unreimbursed reasonable attendant care and auxiliary apparatus expenses for each handicapped member of the family, to the extent necessary to enable any member of such family to be employed.
Permissive deductions
Such additional deductions as a public housing agency may, at its discretion, establish, except that the Secretary shall establish procedures to ensure that such deductions do not increase Federal expenditures.
.
Housing choice voucher program
Paragraph (5) of section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(5)) is amended—
in the paragraph
heading, by striking Annual review
and inserting
Reviews
;
in subparagraph (A)—
by striking
the provisions of
and inserting paragraphs (7) and (8) of
section 3(a) and to
; and
by striking
and shall be conducted upon the initial provision of housing assistance
for the family and thereafter not less than annually
; and
in subparagraph (B), by striking the second sentence.
Enhanced voucher program
Section 8(t)(1)(D) of the United States Housing Act of
1937 (42 U.S.C.
1437f(t)(1)(D)) is amended by striking income
each place such term appears and inserting annual adjusted
income
.
Project-based housing
Paragraph (3) of section 8(c) of the United States Housing Act of 1937 (42 U.S.C. 1437f(c)(3)) is amended by striking the last sentence.
Impact on public housing revenues
Interaction with asset management rule
If the Secretary of Housing and Urban Development determines that the application of the amendments made by this section results in a reduction in the rental income of a public housing agency that is not de minimus during the period that the operating formula income is frozen at a level that does not fully reflect the changes made by such amendments, the Secretary shall make appropriate adjustments in the formula income of the agency.
HUD reports on public housing revenue impact
For each of fiscal years 2008 and 2009, the Secretary of Housing and Urban Development shall submit a report to Congress identifying and calculating the impact of changes made by the amendments made by this section on the revenues and costs of operating public housing units.
Effective date and transition
The amendments made by this section shall apply with respect to fiscal year 2008 and fiscal years thereafter.
Eligibility for assistance based on assets and income
Assets
Section 16 of the United States Housing Act of 1937 (42 U.S.C. 1437n) is amended by inserting after subsection (d) the following new subsection:
Eligibility for assistance based on assets
Limitation on assets
Subject to paragraph (3) and notwithstanding any other provision of this Act, a dwelling unit assisted under this Act may not be rented and assistance under this Act may not be provided, either initially or at each recertification of family income, to any family—
whose net family assets exceed $100,000, as such amount is adjusted annually by applying an inflationary factor as the Secretary considers appropriate; or
who has a present ownership interest in, and a legal right to reside in, real property that is suitable for occupancy as a residence, except that the prohibition under this subparagraph shall not apply to—
any property for which the family is receiving assistance under this Act;
any person that is a victim of domestic violence; or
any family that is making a good faith effort to sell such property.
Net family assets
In general
For purposes of this subsection, the term net family assets means, for all members of the household, the net cash value of all assets after deducting reasonable costs that would be incurred in disposing of real property, savings, stocks, bonds, and other forms of capital investment. Such term does not include interests in Indian trust land, equity accounts in homeownership programs of the Department of Housing and Urban Development, or Family Self Sufficiency accounts.
Exclusions
Such term does not include—
the value of personal property, except for items of personal property of significant value, as the public housing agency may determine;
the value of any retirement account;
any amounts recovered in any civil action or settlement based on a claim of malpractice, negligence, or other breach of duty owed to a member of the family and arising out of law, that resulted in a member of the family being disabled (under the meaning given such term in section 1614 of the Social Security Act (42 U.S.C. 1382c)); and
the value of any Coverdell education savings account under section 530 of the Internal Revenue Code of 1986 or any qualified tuition program under section 529 of such Code.
Trust funds
In cases where a trust fund has been established and the trust is not revocable by, or under the control of, any member of the family or household, the value of the trust fund shall not be considered an asset of a family if the fund continues to be held in trust. Any income distributed from the trust fund shall be considered income for purposes of section 3(b) and any calculations of annual family income, except in the case of medical expenses for a minor.
Self-certification
A public housing agency or owner may determine the net assets of a family, for purposes of this section, based on the amounts reported by the family at the time the agency or owner reviews the family’s income.
Compliance for public housing dwelling units
When recertifying family income with respect to families residing in public housing dwelling units, a public housing agency may, in the discretion of the agency and only pursuant to a policy that is set forth in the public housing agency plan under section 5A for the agency, choose not to enforce the limitation under paragraph (1).
Authority to delay evictions
In the case of a family residing in a dwelling unit assisted under this Act who does not comply with the limitation under paragraph (1), the public housing agency or project owner may delay eviction or termination of the family based on such noncompliance for a period of not more than 6 months.
.
Income
The United States Housing Act of 1937 is amended—
in
section 3(a)(1) (42
U.S.C. 1437a(a)(1)), by striking the first sentence and
inserting the following: Dwelling units assisted under this Act may be
rented, and assistance under this Act may be provided, whether initially or at
time of recertification, only to families who are low-income families at the
time such initial or continued assistance, respectively, is provided, except
that families residing in dwelling units as of the date of the enactment of the
Section 8 Voucher Reform Act of 2007 that, under agreements in effect on such
date of enactment, may have incomes up to 95 percent of local area median
income shall continue to be eligible for assistance at recertification as long
as they continue to comply with such income restrictions. When recertifying
family income with respect to families residing in public housing dwelling
units, a public housing agency may, in the discretion of the agency and only
pursuant to a policy that is set forth in the public housing agency plan under
section 5A for the agency, choose not to enforce the prohibition under the
preceding sentence. When recertifying family income with respect to families
residing in dwelling units for which project-based assistance is provided, a
project owner may, in the owner’s discretion and only pursuant to a policy
adopted by such owner, choose not to enforce such prohibition. In the case of a
family residing in a dwelling unit assisted under this Act who does not comply
with the prohibition under the first sentence of this paragraph, the public
housing agency or project owner may delay eviction or termination of the family
based on such noncompliance for a period of not more than 6
months.
;
in section 8(o)(4) (42 U.S.C. 1437f(o)(4)), by striking the matter preceding subparagraph (A) and inserting the following:
Eligible families
Assistance under this subsection may be provided, whether initially or at each recertification, only pursuant to subsection (t) to a family eligible for assistance under such subsection or to a family who at the time of such initial or continued assistance, respectively, is a low-income family that is—
; and
in section 8(c)(4) (42 U.S.C.
1437f(c)(4)), by striking at the time it initially
occupied such dwelling unit
and inserting according to the
restrictions under section 3(a)(1)
.
Targeting assistance to low-income working families
Vouchers
Section 16(b)(1) of the United States Housing Act of 1937 (42 U.S.C. 1437n(b)(1)) is amended—
by inserting after
do not exceed
the following: the higher of (A) the
poverty line (as such term is defined in section 673 of the Omnibus Budget
Reconciliation Act of 1981 (42 U.S.C. 9902), including any
revision required by such section) applicable to a family of the size involved,
or (B)
; and
by inserting
before the period at the end the following: ; and except that clause (A)
of this sentence shall not apply in the case of families residing in Puerto
Rico or any other territory or possession of the United States
.
Public housing
Section 16(a)(2)(A) of the United States Housing Act of 1937 (42 U.S.C. 1437n(a)(2)(A)) is amended—
by inserting after
do not exceed
the following: the higher of (i) the
poverty line (as such term is defined in section 673 of the Omnibus Budget
Reconciliation Act of 1981 (42 U.S.C. 9902), including any
revision required by such section) applicable to a family of the size involved,
or (ii)
; and
by
inserting before the period at the end the following: ; and except that
clause (i) of this sentence shall not apply in the case of families residing in
Puerto Rico or any other territory or possession of the United
States
.
Project-based section 8 assistance
Section 16(c)(3) of the United States Housing Act of 1937 (42 U.S.C. 1437n(c)(3)) is amended—
by inserting after
do not exceed
the following: the higher of (A) the
poverty line (as such term is defined in section 673 of the Omnibus Budget
Reconciliation Act of 1981 (42 U.S.C. 9902), including any
revision required by such section) applicable to a family of the size involved,
or (B)
; and
by inserting
before the period at the end the following: ; and except that clause (A)
of this sentence shall not apply in the case of families residing in Puerto
Rico or any other territory or possession of the United States
.
Voucher renewal funding
In general
Section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) is amended by striking subsection (dd) and inserting the following new subsection:
Tenant-based vouchers
Authorization of appropriations
There are authorized to be appropriated, for each of fiscal years 2008 through 2012, such sums as may be necessary for tenant-based assistance under subsection (o) for the following purposes:
To renew all expiring annual contributions contracts for tenant-based rental assistance.
To provide tenant-based rental assistance for—
relocation and replacement of housing units that are demolished or disposed of pursuant to the Omnibus Consolidated Rescissions and Appropriations Act of 1996 (Public Law 104–134);
conversion of section 23 projects to assistance under this section;
the family unification program under subsection (x) of this section;
relocation of witnesses in connection with efforts to combat crime in public and assisted housing pursuant to a request from a law enforcement or prosecution agency;
enhanced vouchers authorized under subsection (t) of this section;
vouchers in connection with the HOPE VI program under section 24;
demolition or disposition of public housing units pursuant to section 18 of the United States Housing Act of 1937 (42 U.S.C. 1437p);
mandatory and voluntary conversions of public housing to vouchers, pursuant to sections 33 and 22 of the United States Housing Act of 1937, respectively (42 U.S.C. 1437z–5, 1437t);
vouchers necessary to comply with a consent decree or court order;
vouchers to replace dwelling units that cease to receive project-based assistance under subsection (b), (c), (d), (e), or (v) of this section;
relocation and replacement of public housing units that are demolished or disposed of pursuant to eminent domain, pursuant to a homeownership program, or in connection with a mixed finance development method under section 35 or otherwise;
tenant protection assistance, including replacement and relocation assistance; and
emergency voucher assistance for the protection of victims of domestic violence, dating violence, sexual assault, or stalking.
Allocation of renewal funding among public housing agencies
From amounts appropriated for each year pursuant to paragraph (1)(A), the Secretary shall provide renewal funding for each public housing agency—
based on leasing and cost data from the preceding calendar year, as adjusted by an annual adjustment factor to be established by the Secretary, which shall be established using the smallest geographical areas for which data on changes in rental costs are annually available;
by making any adjustments necessary to provide for the first-time renewal of vouchers funded under paragraph (1)(B) and of any incremental vouchers funded in previous years;
by making any adjustments necessary for full year funding of vouchers ported in the prior calendar year under subsection (r)(2); and
by making such other adjustments as the Secretary considers appropriate, including adjustments necessary to address changes in voucher utilization rates and voucher costs related to natural and other major disasters.
Leasing and cost data
For purposes of subparagraph (A)(i), leasing and cost data shall be calculated annually by using the average for the preceding calendar year. Such leasing and cost data shall be adjusted to include vouchers that were set aside under a commitment to provide project-based assistance under subsection (o)(13) and to exclude amounts funded through advances under paragraph (3). Such leasing and cost data shall not include funds not appropriated for tenant-based assistance under section 8(o), unless the agency’s funding was prorated in the prior year and the agency used other funds to maintain vouchers in use.
Overleasing
For the purpose of determining allocations under subsection (A)(i), the leasing rate calculated for the prior calendar year may exceed an agency’s authorized voucher level, except that such calculation in 2009 shall not include amounts resulting from a leasing rate in excess of 103 percent of an agency’s authorized vouchers in 2008 which results from the use of accumulated amounts, as referred to in paragraph (4)(A).
Moving to work; housing innovation program
Notwithstanding subparagraphs (A) and (B), each public housing agency participating at any time in the moving to work demonstration under section 204 of the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1996 (42 U.S.C. 1437f note) or in the housing innovation program under section 36 of this Act shall be funded pursuant to its agreement under such program and shall be subject to any pro rata adjustment made under subparagraph (E)(i).
Pro rata allocation
Insufficient funds
To the extent that amounts made available for a fiscal year are not sufficient to provide each public housing agency with the full allocation for the agency determined pursuant to subparagraphs (A) and (D), the Secretary shall reduce such allocation for each agency on a pro rata basis, except that renewal funding of enhanced vouchers under section 8(t) shall not be subject to such proration.
Excess funds
To the extent that amounts made available for a fiscal year exceed the amount necessary to provide each housing agency with the full allocation for the agency determined pursuant to subparagraphs (A) and (D), such excess amounts shall be used for the purposes specified in subparagraphs (B) and (C) of paragraph (4).
Prompt funding allocation
The Secretary shall allocate all funds under this subsection for each year before the latter of (i) February 15, or (ii) the expiration of the 45-day period beginning upon the enactment of the appropriations Act funding such renewals.
Advances
Authority
During the last 3 months of each calendar year, the Secretary shall provide amounts to any public housing agency, at the request of the agency, in an amount up to two percent of the allocation for the agency for such calendar year, subject to subparagraph (C).
Use
Amounts advanced under subparagraph (A) may be used to pay for additional voucher costs, including costs related to temporary overleasing.
Use of prior year amounts
During the last 3 months of a calendar year, if amounts previously provided to a public housing agency for tenant-based assistance for such year or for previous years remain unobligated and available to the agency—
the agency shall exhaust such amounts to cover any additional voucher costs under subparagraph (B) before amounts advanced under subparagraph (A) may be so used; and
the amount that may be advanced under subparagraph (A) to the agency shall be reduced by an amount equal to the total of such previously provided and unobligated amounts.
Repayment
Amounts advanced under subparagraph (A) in a calendar year shall be repaid to the Secretary in the subsequent calendar year by reducing the amounts made available for such agency for such subsequent calendar year pursuant to allocation under paragraph (2) by an amount equal to the amount so advanced to the agency.
Recapture
In general
The Secretary shall recapture, from amounts provided under the annual contributions contract for a public housing agency for a calendar year, all accumulated amounts allocated under paragraph (2) and from previous years that are unused by the agency at the end of each calendar year except—
with respect to the recapture under this subparagraph at the end of 2007, an amount equal to 12.5 percent of the amount allocated to the public housing agency for such year pursuant to paragraph (2)(A); and
with respect to the recapture under this subparagraph at the end of each of 2008, 2009, 2010, and 2011, an amount equal to 5 percent of such amount allocated to the agency for such year. Notwithstanding any other provision of law, each public housing agency may retain all amounts not authorized to be recaptured under this subparagraph, and may use such amounts for all authorized purposes.
Reallocation
Not later than May 1 of each calendar year, the Secretary shall—
calculate the aggregate unused amounts for the preceding year recaptured pursuant to subparagraph (A);
set aside and make available such amounts as the Secretary considers appropriate to reimburse public housing agencies for increased costs related to portability and family self-sufficiency activities during such year; and
reallocate all remaining amounts among public housing agencies, with priority given based on the extent to which an agency has utilized the amount allocated under paragraph (2) for the agency to serve eligible families.
Use
Amounts reallocated to a public housing agency pursuant to subparagraph (B)(iii) may be used only to increase voucher leasing rates as provided under paragraph (2)(C).
.
Absorption of vouchers from other agencies
Section 8(r)(2) of the United States
Housing Act of 1937 (42 U.S.C. 1437f(r)(2)) is amended
by adding after the period at the end the following: The agency shall
absorb the family into its program for voucher assistance under this section
and shall have priority to receive additional funding from the Secretary for
the housing assistance provided for such family from amounts made available
pursuant to subsection (dd)(4)(B).
.
Vouchers for persons with disabilities
The Secretary of Housing and Urban Development shall develop and issue, to public housing agencies that received voucher assistance under section 8(o) for non-elderly disabled families pursuant to appropriations Acts for fiscal years 1997 through 2002, guidance to ensure that, to the maximum extent practicable, such vouchers continue to be provided upon turnover to qualified non-elderly disabled families.
Administrative fees
In general
Section 8(q) of the United States Housing Act of 1937 (42 U.S.C. 1437f(q)) is amended—
in paragraph (1), by striking subparagraphs (B) and (C) and inserting the following new subparagraphs:
Calculation
The fee under this subsection shall—
be payable to each public housing agency for each month for which a dwelling unit is covered by an assistance contract;
be based on the per-unit fee payable to the agency in fiscal year 2003, updated for each subsequent year as specified in subsection (iv);
include an amount for the cost of issuing voucher to new participants;
be updated each year using an index of changes in wage data or other objectively measurable data that reflect the costs of administering the program for such assistance, as determined by the Secretary; and
include an amount for the cost of family self-sufficiency coordinators, as provided in section 23(h)(1).
Publication
The Secretary shall cause to be published in the Federal Register the fee rate for each geographic area.
; and
in paragraph (4),
by striking 1999
and inserting 2007
.
Administrative fees for family self-sufficiency program costs
Subsection (h) of section 23 of the United States Housing Act of 1937 (42 U.S.C. 1437u(h)) is amended by striking paragraph (1) and inserting the following new paragraph:
Section 8 fees
In general
The Secretary shall establish a fee under section 8(q) for the costs incurred in administering the self-sufficiency program under this section to assist families receiving voucher assistance through section 8(o).
Eligibility for fee
The fee shall provide funding for family self-sufficiency coordinators as follows:
Base fee
A public housing agency serving 25 or more participants in the family self-sufficiency program under this section shall receive a fee equal to the costs of employing one full-time family self-sufficiency coordinator. An agency serving fewer than 25 such participants shall receive a prorated fee.
Additional fee
An agency that meets minimum performance standards shall receive an additional fee sufficient to cover the costs of employing a second family self-sufficiency coordinator if the agency has 75 or more participating families, and a third such coordinator if it has 125 or more participating families.
Previously funded agencies
An agency that received funding from the Department of Housing and Urban Development for more than three such coordinators in any of fiscal years 1998 through 2007 shall receive funding for the highest number of coordinators funded in a single fiscal year during that period, provided they meet applicable size and performance standards.
Initial year
For the first year in which a public housing agency exercises its right to develop an family self-sufficiency program for its residents, it shall be entitled to funding to cover the costs of up to one family self-sufficiency coordinator, based on the size specified in its action plan for such program.
State and regional agencies
For purposes of calculating the family self-sufficiency portion of the administrative fee under this subparagraph, each administratively distinct part of a State or regional public housing agency shall be treated as a separate agency.
Determination of number of coordinators
In determining whether a public housing agency meets a specific threshold for funding pursuant to this paragraph, the number of participants being served by the agency in its family self-sufficiency program shall be considered to be the average number of families enrolled in such agency’s program during the course of the most recent fiscal year for which the Department of Housing and Urban Development has data.
Proration
If insufficient funds are available in any fiscal year to fund all of the coordinators authorized under this section, the first priority shall be given to funding one coordinator at each agency with an existing family self-sufficiency program. The remaining funds shall be prorated based on the number of remaining coordinators to which each agency is entitled under this subparagraph.
Recapture
Any fees allocated under this subparagraph by the Secretary in a fiscal year that have not been spent by the end of the subsequent fiscal year shall be recaptured by the Secretary and shall be available for providing additional fees pursuant to subparagraph (B)(ii).
Performance Standards
Within six months after the date of the enactment of this paragraph, the Secretary shall publish a proposed rule specifying the performance standards applicable to funding under clauses (ii) and (iii) of subparagraph (B). Such standards shall include requirements applicable to the leveraging of in-kind services and other resources to support the goals of the family self-sufficiency program.
Data collection
Public housing agencies receiving funding under this paragraph shall collect and report to the Secretary, in such manner as the Secretary shall require, information on the performance of their family self-sufficiency programs.
Evaluation
The Secretary shall conduct a formal and scientific evaluation of the effectiveness of well-run family self-sufficiency programs, using random assignment of participants to the extent practicable. Not later than the expiration of the 4-year period beginning upon the enactment of this paragraph, the Secretary shall submit an interim evaluation report to the Congress. Not later than the expiration of the 8-year period beginning upon such enactment, the Secretary shall submit a final evaluation report to the Congress. There is authorized to be appropriated $10,000,000 to carry out the evaluation under this subparagraph.
Incentives for innovation and high performance
The Secretary may reserve up to 10 percent of the amounts made available for administrative fees under this paragraph to provide support to or reward family self-sufficiency programs that are particularly innovative or highly successful in achieving the goals of the program.
.
Repeal
Section 202 of the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1997 (42 U.S.C. 1437f note; Public Law 104–204; 110 Stat. 2893) is hereby repealed.
Homeownership
Section 8 homeownership downpayment program
Section 8(y)(7) of the United States Housing Act of 1937 (42 U.S.C. 1437f(y)(7)) is amended by striking subparagraphs (A) and (B) and inserting the following new subparagraphs:
In general
Subject to the provisions of this paragraph, in the case of a family on whose behalf rental assistance under section 8(o) has been provided for a period of not less than 12 months prior to the date of receipt of downpayment assistance under this paragraph, a public housing agency may, in lieu of providing monthly assistance payments under this subsection on behalf of a family eligible for such assistance and at the discretion of the agency, provide a downpayment assistance grant in accordance with subparagraph (B).
Grant requirements
A downpayment assistance grant under this paragraph—
shall be used by the family only as a contribution toward the downpayment and reasonable and customary closing costs required in connection with the purchase of a home;
shall be in the form of a single one-time grant; and
may not exceed $10,000.
No effect on obtaining outside sources for downpayment assistance
This Act may not be construed to prohibit a public housing agency from providing downpayment assistance to families from sources other than a grant provided under this Act, or as determined by the public housing agency.
.
Use of vouchers for manufactured housing
Section 8(o)(12) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(12) is amended—
in subparagraph (A), by striking the period at the end of the first sentence and all that follows through “of” in the second sentence and inserting “and rents”; and
in subparagraph (B)—
in clause (i), by
striking the rent
and all that follows and inserting the
following: “rent shall mean the sum of the monthly payments made by a family
assisted under this paragraph to amortize the cost of purchasing the
manufactured home, including any required insurance and property taxes, the
monthly amount allowed for tenant-paid utilities, and the monthly rent charged
for the real property on which the manufactured home is located, including
monthly management and maintenance charges.”;
by striking clause (ii); and
in clause (iii)—
by inserting after the period at the end the following: “If the amount of the monthly assistance payment for a family exceeds the monthly rent charged for the real property on which the manufactured home is located, including monthly management and maintenance charges, a public housing agency may pay the remainder to the family, lender or utility company, or may choose to make a single payment to the family for the entire monthly assistance amount.”; and
by redesignating such clause as clause (ii).
PHA reporting of rent payments to credit reporting agencies
In general
Section 3 of the United States Housing Act of 1937 (42 U.S.C. 1437a), as amended by the preceding provisions of this Act, is further amended by adding at the end the following new subsection:
PHA reporting of rent payments to credit reporting agencies
Authority
To the extent that a family receiving tenant-based housing choice vouchers under section 8 by a public housing agency agrees in writing to reporting under this subsection, the public housing agency may submit to consumer reporting agencies described in section 603(p) of the Fair Credit Reporting Act (15 U.S.C. 1681a) information regarding the past rent payment history of the family with respect to the dwelling unit for which such assistance is provided.
Format
The Secretary, after consultation with consumer reporting agencies referred in paragraph (1), shall establish a system and format to be used by public housing agencies for reporting of information under such paragraph that provides such information in a format and manner that is similar to other credit information submitted to such consumer reporting agencies and is usable by such agencies.
.
Effective date
The amendment made by subsection (a) shall take effect on the date of the enactment of this Act.
Performance assessments
Section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)) is amended by adding at the end the following new paragraph:
Performance assessments
Establishment
The Secretary shall, by regulation, establish standards and procedures for assessing the performance of public housing agencies in carrying out the programs for tenant-based rental assistance under this subsection and for homeownership assistance under subsection (y).
Contents
The standards and procedures under this paragraph shall provide for assessment of the performance of public housing agencies in the following areas:
Quality of dwelling units obtained using such assistance.
Extent of utilization of assistance amounts provided to the agency and of authorized vouchers.
Timeliness and accuracy of reporting by the agency to the Secretary.
Effectiveness in carrying out policies to achieve deconcentration of poverty.
Reasonableness of rent burdens, consistent with public housing agency responsibilities under section 8(o)(1)(E)(iii).
Accurate rent calculations and subsidy payments.
Effectiveness in carrying out family self-sufficiency activities.
Timeliness of actions related to landlord participation.
Such other areas as the Secretary considers appropriate.
Periodic assessment
Using the standards and procedures established under this paragraph, the Secretary shall conduct an assessment of the performance of each public housing agency carrying out a program referred to in subparagraph (A) and shall submit a report to the Congress regarding the results of each such assessment.
.
PHA project-based assistance
Section 8(o)(13) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(13)) is amended—
by striking subparagraph (B) and inserting the following new subparagraph:
Percentage limitation
In general
Subject to clause (ii), not more than 25 percent of the funding available for tenant-based assistance under this section that is administered by the agency may be attached to structures pursuant to this paragraph.
Exception
An agency may attach up to an additional 5 percent of the funding available for tenant-based assistance under this section to structures pursuant to this paragraph for dwelling units that house individuals and families that meet the definition of homeless under section 103 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11302).
;
by striking subparagraph (D) and inserting the following new subparagraph:
Income mixing requirement
In general
Except as provided in clause (ii), not more than the greater of 25 dwelling units or 25 percent of the dwelling units in any project may be assisted under a housing assistance payment contract for project-based assistance pursuant to this paragraph. For purposes of this subparagraph, the term project means a single building, multiple contiguous buildings, or multiple buildings on contiguous parcels of land.
Exceptions
Certain housing
The limitation under clause (i) shall not apply in the case of assistance under a contract for housing consisting of single family properties, or for dwelling units that are specifically made available for households comprised of elderly families, disabled families, and families receiving supportive services. For purposes of the preceding sentence, the term single family properties means buildings with no more than four dwelling units.
Certain areas
With respect to areas
in which fewer than 75 percent of families issued vouchers become participants
in the program, the public housing agency has established the payment standard
at 110 percent of the fair market rent for all census tracts in the area for
the previous six months, and the public housing agency grants an automatic
extension of 90 days (or longer) to families with vouchers who are attempting
to find housing, clause (i) shall be applied by substituting 50
percent
for 25
percent
.
;
in the first
sentence of subparagraph (F), by striking 10 years
and inserting
15 years
;
in subparagraph (G)—
by inserting after
the period at the end of the first sentence the following: Such contract
may, at the election of the public housing agency and the owner of the
structure, specify that such contract shall be extended for renewal terms of up
to 15 years each, if the agency makes the determination required by this
subparagraph and the owner is in compliance with the terms of the
contract.
; and
by adding at the
end the following: A public housing agency may agree to enter into such
a contract at the time it enters into the initial agreement for a housing
assistance payment contract or at any time thereafter that is before the
expiration of the housing assistance payment contract.
;
in subparagraph
(H), by inserting before the period at the end of the first sentence the
following: , except that in the case of a contract unit that has been
allocated low-income housing tax credits and for which the rent limitation
pursuant to such section 42 is less than the amount that would otherwise be
permitted under this subparagraph, the rent for such unit may, in the sole
discretion of a public housing agency, be established at the higher section 8
rent, subject only to paragraph (10)(A)
;
in subparagraph
(I)(i), by inserting before the semicolon the following: , except that
the contract may provide that the maximum rent permitted for a dwelling unit
shall not be less than the initial rent for the dwelling unit under the initial
housing assistance payments contract covering the unit
;
in subparagraph (J)—
by striking the fifth and sixth sentences
and inserting the following: A public housing agency may establish and
utilize procedures for maintaining site-based waiting lists under which
applicants may apply directly at, or otherwise designate to the public housing
agency, the project or projects in which they seek to reside, except that all
applicants on the waiting list of an agency for assistance under this
subsection shall be permitted to place their names on such separate list. All
such procedures shall comply with title VI of the Civil Rights Act of 1964, the
Fair Housing Act, and other applicable civil rights laws. The owner or manager
of a structure assisted under this paragraph shall not admit any family to a
dwelling unit assisted under a contract pursuant to this paragraph other than a
family referred by the public housing agency from its waiting list, or a family
on a site-based waiting list that complies with the requirements of this
subparagraph. A public housing agency shall fully disclose to each applicant
each option in the selection of a project in which to reside that is available
to the applicant.
; and
by inserting after the third sentence the
following new sentence: Any family who resides in a dwelling unit
proposed to be assisted under this paragraph, or in a unit to be replaced by a
proposed unit to be assisted under this paragraph shall be given an absolute
preference for selection for placement in the proposed unit, if the family is
otherwise eligible for assistance under this subsection.
; and
by adding at the end the following new subparagraphs:
Use in cooperative housing and elevator buildings
A public housing agency may enter into a housing assistance payments contract under this paragraph with respect to—
dwelling units in cooperative housing;
notwithstanding subsection (c), dwelling units in a high-rise elevator project, including such a project that is occupied by families with children, without review and approval of the contract by the Secretary.
Reviews
Subsidy layering
A subsidy layering review in accordance with section 102(d) of the Department of Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3545(d)) shall not be required for assistance under this subparagraph in the case of a housing assistance payments contract for an existing structure, or if a subsidy layering review has been conducted by the applicable State or local agency.
Environmental review
A public housing agency shall not be required to undertake any environmental review before entering into a housing assistance payments contract under this paragraph for an existing structure, except to the extent such a review is otherwise required by law or regulation.
Administrative fee
The administrative fee applicable to the administration of assistance under this paragraph shall be determined in the same manner as administrative fees applicable to other assistance administered under other provisions of this subsection.
Leases and tenancy
Assistance provided under this paragraph shall be subject to the provisions of paragraph (7), except that subparagraph (A) of such paragraph shall not apply.
.
Rent burdens
Reviews
Section 8(o)(1) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(1)) is amended by striking subparagraph (E) and inserting the following new subparagraph:
Reviews
Rent burdens
The Secretary shall monitor rent burdens and submit a report to the Congress annually on the percentage of families assisted under this subsection, occupying dwelling units of any size, that pay more than 30 percent of their adjusted incomes for rent and such percentage that pay more than 40 percent of their adjusted incomes for rent. Using information regularly reported by public housing agencies, the Secretary shall provide public housing agencies, on an annual basis, a report with the information described in the first sentence of this clause, and may require a public housing agency to modify a payment standard that results in a significant percentage of families assisted under this subsection, occupying dwelling units of any size, paying more than 30 percent of their adjusted incomes for rent.
Concentration of poverty
The Secretary shall submit a report to the Congress annually on the degree to which families assisted under this subsection in each metropolitan area are clustered in lower rent, higher poverty areas and how, and the extent to which, greater geographic distribution of such assisted families could be achieved, including by increasing payment standards for particular communities within such metropolitan areas.
Public housing agency responsibilities
Each public housing agency shall make publicly available the information on rent burdens provided by the Secretary pursuant to clause (i), and, for agencies located in metropolitan areas, the information on concentration provided by the Secretary pursuant to clause (ii). If the percentage of families paying more than 30 percent or 40 percent of income exceeds the national average for either of such categories, as reported pursuant to clause (i), the public housing agency shall adjust the payment standard to eliminate excessive rent burdens within a reasonable time period or explain its reasons for not making such adjustment. The Secretary may not deny the request of a public housing agency to set a payment standard up to 120 percent of the fair market rent to remedy rent burdens in excess of the national average or undue concentration of families assisted under this subsection in lower rent, higher poverty sections of a metropolitan area except on the basis that an agency has not demonstrated that its request meets these criteria. If a request of a public housing agency has not been denied or approved with 45 days after the request is made, the request shall be considered to have been approved.
.
Public housing agency plan
Section 5A(d)(4) of the United States Housing Act of 1937 (42 U.S.C. 1437c–1(d)(4)) is amended by inserting before the period at the end the following: “, including the report with respect to the agency furnished by the Secretary pursuant to section 8(o)(1)(E) concerning rent burdens and, if applicable, geographic concentration of voucher holders, any changes in rent or other policies the public housing agency is making to address excessive rent burdens or concentration, and if the public housing agency is not adjusting its payment standard, its reasons for not doing so”.
Rent burdens for persons with disabilities
Subparagraph (D) of section 8(o)(1) is amended by inserting before the period at the end the following: “, except that a public housing agency may establish a payment standard of not more than 120 percent of the fair market rent where necessary as a reasonable accommodation for a person with a disability, without approval of the Secretary. A public housing agency may seek approval of the Secretary to use a payment standard greater than 120 percent of the fair market rent as a reasonable accommodation for a person with a disability”.
Establishment of fair market rent
In general
Paragraph (1) of section 8(c) of the United States Housing Act of 1937 (42 U.S.C. 1437f(c)(1)) is amended—
by inserting
(A)
after the paragraph designation;
by striking the seventh, eighth, and ninth sentences; and
by adding at the end the following:
The Secretary shall endeavor to define market areas for purposes of this paragraph in a manner that results in fair market rentals that are adequate to cover typical rental costs of units suitable for occupancy by persons assisted under this section in as wide a range of communities as is feasible, including communities with low poverty rates.
The Secretary at a minimum shall define a separate market area for each—
metropolitan city, as such term is defined in section 102(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5302(a)), with more than 40,000 rental dwelling units; and
urban county or portion of an urban county, as such term is defined in such section 102(a), located outside the boundaries of any metropolitan city specified in subclause (I).
The Secretary shall, at the request of one or more public housing agencies, establish a separate market area for part or all of the area under the jurisdiction of such agencies, if—
the requested market area contains at least 20,000 rental dwelling units;
the areas contained in the requested market area are geographically contiguous and share similar housing market characteristics;
adequate data are available to establish a reliable fair market rental for the requested market area, and for the remainder of the market area in which it is currently located; and
establishing the requested market area would raise or lower the fair market rental by 10 percent or more at the time the requested market area is established.
The Secretary shall not reduce the fair market rental in a market area as a result of a change in the percentile of the distribution of market rents used to establish the fair market rental.
.
Payment standard
Subparagraph (B) of section 8(o)(1) of the United States
Housing Act of 1937 (42 U.S.C. 1437f(o)(1)(B)) is
amended by inserting before the period at the end the following: ,
except that no public housing agency shall be required as a result of a
reduction in the fair market rental to reduce the payment standard applied to a
family continuing to reside in a unit for which the family was receiving
assistance under this section at the time the fair market rental was
reduced
.
Screening of applicants
Subparagraph (B) of
section 8(o)(6) of the United States Housing Act of 1937 (1437f(o)(6)(B)) is
amended by inserting after the period at the end of the second sentence the
following: A public housing agency’s elective screening shall be limited
to criteria that are directly related to an applicant’s ability to fulfill the
obligations of an assisted lease and shall consider mitigating circumstances
related to such applicant. Any applicant or participant determined to be
ineligible for admission or continued participation to the program shall be
notified of the basis for such determination and provided, within a reasonable
time after the determination, an opportunity for an informal hearing on such
determination at which mitigating circumstances, including remedial conduct
subsequent to the notice, shall be considered.
.
Enhanced vouchers
Treatment of unit and family size.—Subparagraph
(B) of section 8(t)(1) of the United States Housing Act of 1937 (42 U.S.C.
1437f(t)(1)(B)) is amended by inserting after eligibility event for the
project,
the following: regardless of unit and family size
standards normally used by the administering agency (except that tenants may be
required to move to units of appropriate size if available on the
premises),
.
Eligibility of certain projects
Notwithstanding any other provision of law—
the property known as The Heritage Apartments (FHA No. 023-44804), in Malden, Massachusetts, shall be considered eligible low-income housing for purposes of the eligibility of residents of the property for enhanced voucher assistance under section 8(t) of the United States Housing Act of 1937 (42 U.S.C. 1437f(t)), pursuant to paragraph (2)(A) of section 223(f) of the Low-Income Housing Preservation and Resident Homeownership Act of 1990 (12 U.S.C. 4113(f)(2)(A));
such residents shall receive enhanced rental housing vouchers upon the prepayment of the mortgage loan for the property under section 236 of the National Housing Act (12 U.S.C. 1715z–1); and
the Secretary shall approve such prepayment and subsequent transfer of the property without any further condition, except that the property shall be restricted for occupancy, until the original maturity date of the prepaid mortgage loan, only by families with incomes not exceeding 80 percent of the adjusted median income for the area in which the property is located, as published by the Secretary.
Housing innovation program
Establishment of program
Title I of the United States Housing Act of 1937 (42 U.S.C. 1437 et seq.) is amended by adding at the end the following new section:
Housing innovation program
Purpose
The purpose of the program under this section is to provide public housing agencies and the Secretary the flexibility to design and evaluate innovative approaches to providing housing assistance that—
increase housing opportunities for low-income families, including preventing homelessness, rehabilitate or replace housing at risk of physical deterioration or obsolescence, and develop additional affordable housing;
leverage other Federal, State, and local funding sources, including the low-income housing tax credit program, to expand and preserve affordable housing opportunities, including public housing;
provide financial incentives and other support mechanisms to families to obtain employment and increase earned income;
test alternative rent-setting policies to determine whether rent determinations can be simplified and administrative cost savings can be realized while protecting extremely low- and very low-income families from increased rent burdens;
are subject to rigorous evaluation to test the effectiveness of such innovative approaches; and
are developed with the support of the local community and with the substantial participation of affected residents.
Program authority
Scope
The Secretary shall carry out a housing innovation program under this section under which the Secretary may designate not more than 60 public housing agencies to participate, at any one time, in the housing innovation program, in accordance with subsections (c) and (d), except that, in addition to such 60 agencies, the Secretary may designate an additional 20 agencies to participate in the program under the terms of subsection (h).
Duration
The Secretary may carry out the housing innovation program under this section only during the 10-year period beginning on the date of the enactment of the Section 8 Voucher Reform Act of 2007.
Participation of existing MTW agencies
Existing MTW agencies
Subject to the requirements of paragraph (2), all existing MTW agencies shall be designated to participate in the program.
Conditions of participation
The Secretary shall approve and transfer into the housing innovation program under this section each existing MTW agency that the Secretary determines is not in default under such agreement and which the Secretary also determines is meeting the goals and objectives of its moving to work plan. Each such agency shall, within two years after the date of the enactment of the Section 8 Voucher Reform Act of 2007, make changes to its policies that were implemented before such date of enactment in order to comply with the requirements of this section.
Additional agencies
Proposals; selection process
In addition to agencies participating in the program pursuant to subsection (c), the Secretary shall, within 18 months after such date of enactment, select public housing agencies to participate in the program pursuant to a competitive process that meets the following requirements:
Any public housing agency may be selected to participate in the program, except that not more than 5 agencies that are near-troubled under the public housing assessment system and/or section 8 management assessment program may be selected, and except that any agency that is a troubled agency under either such assessment program or for which the Secretary has hired an alternative management entity for such agency or has taken possession of all or any part of such agency’s public housing program shall not be eligible for participation. Any near-troubled public housing agency participating in the program shall remain subject to the requirements of this Act governing tenant rent contributions, eligibility, and continued participation, and may not adopt policies described in subsection (e)(4) (relating to rents and requirements for continued occupation and participation).
The process provides, to the extent possible based on eligible agencies submitting applications and taking into account existing MTW agencies participating pursuant to subsection (c), for representation among agencies selected of agencies having various characteristics, including both large and small agencies, agencies serving urban, suburban, and rural areas, and agencies in various geographical regions throughout the United States, and which may include the selection of agencies that only administer the voucher program under section 8(o).
Any agency submitting a proposal under this paragraph shall have provided notice to residents and the local community, not later than 30 days before the first of the two public meetings required under subparagraph (D).
The agency submitting a proposal shall hold two public meetings to receive comments on the agency’s proposed application, on the implications of changes under the proposal, and the possible impact on residents.
The process includes criteria for selection, as follows:
The extent to which the proposal generally identifies existing rules and regulations that impede achievement of the goals and objectives of the proposal and an explanation of why participation in the program is necessary to achieve such goals and objectives.
The extent of commitment and funding for carrying out the proposal by local government agencies and nonprofit organizations, including the provision of additional funding and other services, and the extent of support for the proposal by residents, resident advisory boards, and members of the local community.
The extent to which the agency has a successful history of implementing strategies similar to those set forth in the agency’s proposal.
Whether the proposal pursues a priority strategy as specified in paragraph (2). In the case of any proposal utilizing a such a priority strategy, the proposal shall be evaluated based upon—
the extent to which the proposal is likely to achieve the objectives of developing additional housing dwelling units affordable to extremely low-, very low-, and low-income families, and preserving, rehabilitating, or modernizing existing public housing dwelling units; or
the extent to which the proposal is likely to achieve the purposes of moving families toward economic self-sufficiency and increasing employment rates and wages of families without imposing a significant rent burden on the lowest income families, as well as such of the additional purposes as may be identified in the proposal, which may include expanding housing choices utilizing coordinators for the family self-sufficiency program under section 23, making more effective use of program funds, and improving program management.
Such other factors as the Secretary may provide, in consultation with participating agencies, program stakeholders, and any entity conducting evaluations pursuant to subsection (f).
Priority strategies
For purposes of paragraph (1)(E)(iv), the following are priority strategies:
Development, rehabilitation, and financing
A strategy of development of additional affordable housing dwelling units and/or a strategy for preservation and physical rehabilitation and modernization of existing public housing dwelling units. Such strategies may include innovative financing proposals, leveraging of non-public housing funds (including the low-income housing tax credit program), and combining of funds for assistance under sections 8 and 9. Each such proposal shall include detailed information about the strategies expected to be employed, an explanation of why participation in the program is necessary to employ such strategies, and numerical goals regarding the number of dwelling units to be developed, preserved, or rehabilitated.
Rent reforms
A strategy to implement rent reforms, which shall be designed to help families increase their earned income through rent and other work incentives, and may also test the effectiveness of achieving administrative cost savings without increased rent burdens for extremely low- and very low-income families.
Contract amendment
After selecting agencies under this subsection, the Secretary shall promptly amend the applicable annual contributions contracts of such agencies to provide that—
subject to subparagraph (B), such agencies may implement any policies and activities that are not inconsistent with this section without specifying such policies and activities in such amendment and without negotiating or entering into any other agreements with the Secretary specifying such policies and activities; and
the activities to be implemented by an agency under the program in a given year shall be described in and subject to the requirements of the annual plan under subsection (e)(8). Upon the enactment of this section, any agency which has participated in the Moving to Work demonstration may, at its option, be subject to the provisions of this paragraph in lieu of any other agreement required by the Secretary for participation in the program.
Maintaining participation rate
If, at any time after the initial selection period under paragraph (1), the number of public housing agencies participating in the program under this section is fewer than 40, the Secretary shall promptly solicit applications from and select public housing agencies to participate in the program under the terms and conditions for application and selection provided in this section to increase the number of agencies participating in the program to 40.
Program requirements
Program funds
In general
To carry out a housing innovation program under this section, the participating agency may use amounts provided to the agency from the Operating Fund under section 9(e), amounts provided to the agency from the Capital Fund under section 9(d), and amounts provided to the agency for voucher assistance under section 8(o). Such program funds may be used for any activities that are authorized by section 8(o) or 9, or for other activities that are not inconsistent with this section, which shall include, without limitation—
providing capital and operating assistance, and financing for housing previously developed or operated pursuant to a contract between the Secretary and such agency;
the acquisition, new construction, rehabilitation, financing, and provision of capital or operating assistance for low-income housing (including housing other than public housing) and related facilities, which may be for terms exceeding the term of the program under this section in order to secure other financing for such housing;
costs of site acquisition and improvement, providing utility services, demolition, planning, and administration of activities under this paragraph;
housing counseling for low-income families in connection with rental or homeownership assistance provided under the program;
safety, security, law enforcement, and anticrime activities appropriate to protect and support families assisted under the program;
tenant-based rental assistance, which may include the project-basing of such assistance; and
appropriate and reasonable financial assistance that is required to preserve low-income housing otherwise assisted under programs administered by the Secretary or under State or local low-income housing programs.
Combining funds
Notwithstanding any other provision of law, a participating agency may combine and use program funds for any activities authorized under this section, except that a participating agency may use funds provided for assistance under section 8(o) for activities other than those authorized under section 8(o) only if (i) in the calendar year prior to its participation in the program, the agency utilized not less than 95 percent of such funds allocated for that calendar year for such authorized activities or 95 percent of its authorized vouchers, including vouchers ported in to the agency and vouchers ported out; or (ii) after approval to participate in the program, the agency achieves such utilization for a 12-month period. This subparagraph shall not apply to participating agencies approved by the Secretary to combine funds from sections 8 and 9 of the Act prior to enactment of this section.
Use of program funds
In carrying out the housing innovation program under this section, each participating agency shall continue to assist—
not less than substantially the same number of eligible low-income families under the program as it assisted in the base year for the agency; and
a comparable mix of families by family size, subject to adjustment to reflect changes in the agency’s waiting list, except that the Secretary may approve exceptions to such requirements for up to 3 years based on modernization or redevelopment activities proposed in an annual plan submitted and approved in accordance with paragraph (8).
Retained provisions
Notwithstanding any other provision of this section, families receiving assistance under this section shall retain the same rights of judicial review of agency action as they would otherwise have had if the agency were not participating in the program, and each participating agency shall comply with the following provisions of this Act:
Subsections (a)(2)(A) and (b)(1) of section 16 (relating to targeting for new admissions in the public housing and voucher programs).
Section 2(b) (relating to tenant representatives on the public housing agency board of directors).
Section 3(b)(2)
(relating to definitions for the terms low-income families
and
very low-income families
).
Section 5(A)(e) (relating to the formation of and consultation with a resident advisory board).
Sections 6(f)(1) and 8(o)(8)(B) (relating to compliance of units assisted with housing quality standards or other codes).
Sections 6(c)(3), 6(c)(4)(i), and 8(o)(6)(B) (relating to rights of public housing applicants and existing procedural rights for applicants under section 8(o)).
Section 6(k) (relating to grievance procedures for public housing tenants) and comparable procedural rights for families assisted under section 8(o).
Section 6(l) (relating to public housing lease requirements), except that for units assisted both with program funds and low-income housing tax credits, the initial lease term may be less than 12 months if required to conform lease terms with such tax credit requirements.
Section 7 (relating to designation of housing for elderly and disabled households), except that a participating agency may make such designations(at initial designation or upon renewal) for a term of up to 5 years if the agency includes in its annual plan under paragraph (8) an analysis of the impact of such designations on affected households and such designation is subject to the program evaluation. Any participating agency with a designated housing plan that was approved under the moving to work demonstration may continue to operate under the terms of such plan for a term of 5 years (with an option to renew on the same terms for an additional 5 years) if it includes in its annual plan an analysis of the impact of such designations on affected households and is subject to evaluation under subsection (f).
Subparagraphs (C) through (E) of section 8(o)(7) and section 8(o)(20) (relating to lease requirements and eviction protections for families assisted with tenant-based assistance).
Subject to
paragraph (1)(B) of this subsection, section 8(o)(13)(B) (relating to a
percentage limitation on project-based assistance), except that for purposes of
this subparagraph such section shall be applied by substituting 50
percent
for 20 percent
.
Section 8(o)(13)(E) (relating to resident choice for tenants of units with project-based vouchers), except with respect to—
in the case of agencies participating in the moving to work demonstration, any housing assistance payment contract entered into within 2 years after the enactment of this section;
project-based vouchers that replace public housing units;
not more than 10 percent of the vouchers available to the participating agency upon entering the housing innovation program under this section; and
any project-based voucher program that is subject to evaluation under subsection (f).
Section 8(r) (relating to portability of voucher assistance), except that a participating agency may receive funding for portability obligations under section 8(dd) in the same manner as other public housing agencies.
Sections 8(ee) and 6(u) (relating to records, certification and confidentiality regarding domestic violence).
Subsections (a) and (b) of section 12 (relating to payment of prevailing wages).
Section 18 (relating to demolition and disposition of public housing).
Rents and requirements for continued occupancy or participation
Before policy change
Before adopting any policy pursuant to participation in the housing innovation program under this section that would make a material change to the requirements of this Act regarding tenant rents or contributions, or conditions of continued occupancy or participation, a participating agency shall complete each of the following actions:
The agency shall conduct an impact analysis of the proposed policy on families the agency is assisting under the program under this section and on applicants on the waiting list, including analysis of the incidence and severity of rent burdens greater than 30 percent of adjusted income on households of various sizes and types and in various income tiers, that would result, if any, without application of the hardship provisions. The analysis with respect to applicants on the waiting list may be limited to demographic data provided by the applicable consolidated plan, information provided by the Secretary, and other generally available information. The proposed policy, including provisions for addressing hardship cases and transition provisions that mitigate the impact of any rent increases or changes in the conditions of continued occupancy or participation, and data from this analysis shall be made available for public inspection for at least 60 days in advance of the public meeting described in clause (ii).
The agency shall hold a public meeting regarding the proposed change, including the hardship provisions, which may be combined with a public meeting on the draft annual plan under paragraph (8) or the annual report under paragraph (9).
The board of directors or other similar governing body of the agency shall approve the change in public session.
The agency shall obtain approval from the Secretary of the annual plan or plan amendment. The Secretary may approve a plan or amendment containing a material change to the requirements of this Act regarding tenant rents or contributions, or conditions of continued occupancy or participation, only if the agency agrees that such policy may be included as part of the national evaluation.
After policy change
After adopting a policy described in subparagraph (A), a program agency shall complete each of the following actions:
The agency shall provide adequate notice to residents, which shall include a description of the changes in the public housing lease or participation agreement that may be required and of the hardship or transition protections offered.
In the case of any additional requirements for continued occupancy or participation, the agency shall execute a lease addendum or participation agreement specifying the requirements applicable to both the resident and the agency. A resident may bring a civil action to enforce commitments of the agency made through the lease addendum or participation agreement.
The agency shall reassess rent, subsidy level, and policies on program participation no less often than every two years, which shall include preparing a revised impact analysis, and make available to the public the results of such reassessment and impact analysis. The requirement under this clause may be met by sufficiently detailed interim reports, if any, by the national evaluating entity.
The agency shall include in the annual report under paragraph (8) information sufficient to describe any hardship requests, including the number and types of requests made, granted, and denied, the use of transition rules, and adverse impacts resulting from changes in rent or continued occupancy policies, including actions taken by the agency to mitigate such impacts and impacts on families no longer assisted under the program.
Applicability to existing MTW agencies
An existing MTW agency that, before the date of the enactment of this section, implemented material changes to the requirements of this Act regarding tenant rents or contributions, or conditions of continued occupancy or participation, as part of the moving to work demonstration shall not be subject to subparagraph (A) with regard to such previously implemented changes, but shall comply with the requirements of subparagraph (B)(ii) and provide the evaluation and impact analysis required by subparagraph (B)(iii) by the end of the second agency fiscal year ending after such date of enactment.
Prohibition against decrease in program funds
The amount of program funds a participating agency receives shall not be diminished by its participation in the housing innovation program under this section.
Submission of information
As part of the annual report required under subsection (g)(2), each participating agency shall submit information annually to the Secretary regarding families assisted under the program of the agency and comply with any other data submissions required by the Secretary for purposes of evaluation of the program under this section.
Public and resident participation
Each participating agency shall provide opportunities for resident and public participation in the annual plan under paragraph (8), as follows:
Notice to residents
Notice
Each year, the agency shall provide notice to the low-income families it serves under the programs authorized by this section as to the impact of proposed policy changes and program initiatives and of the schedule of resident advisory board and public meetings for the annual plan.
Meeting
The agency shall hold at least one meeting with the resident advisory board (including representatives of recipients of assistance under section 8) to review the annual plan for each year.
Public meeting
With respect to each annual plan, the agency shall hold at least one annual public meeting to obtain comments on the plan, which may be combined with a meeting to review the annual report. In the case of any agency that administers, in the aggregate, more than 15,000 public housing units and vouchers, the agency shall hold additional meetings in locations that promote attendance by residents and other stakeholders.
Public availability
Before adoption of any annual plan, and not less than 30 days before the public meeting required under subparagraph (A)(ii) with respect to the plan, the agency shall make the proposed annual plan available for public inspection. The annual plan shall be made available for public inspection not less than 30 days before approval by the board of directors (or other similar governing body) of the agency and shall remain publicly available.
Board approval
Before submitting an annual plan or annual report to the Secretary, the plan or report, as applicable, shall be approved in a public meeting by the board of directors or other governing body of the agency.
Annual plan
Requirement
For each year that a participating agency participates in the housing innovation program under this section, the agency shall submit to the Secretary, in lieu of all other planning requirements, an annual plan under this paragraph.
Contents
Each annual plan shall include the following information:
A list and description of all program initiatives and generally applicable policy changes, including references to affected provisions of law or the implementing regulations affected.
A description and comparison of changes under the housing innovation program of the agency from the plan for such program for the preceding year.
A description of property redevelopment or portfolio repositioning strategies and proposed changes in policies or uses of funds required to implement such strategies.
Documentation of public and resident participation sufficient to comply with the requirements under paragraphs (4) and (7), including a copy of any recommendations submitted in writing by the resident advisory board of the agency and members of the public, a summary of comments, and a description of the manner in which the recommendations were addressed.
Certifications by the agency that—
the annual plan will be carried out in conformity with title VI of the Civil Rights Act of 1964, the Fair Housing Act, section 504 of the Rehabilitation Act of 1973, title II of the Americans with Disabilities Act of 1990, and the rules, standards, and policies in the approved plan;
the agency will affirmatively further fair housing; and
the agency has complied and will continue to comply with its obligations under the national evaluation.
A description of the agency’s local asset management strategy for public housing properties, which shall be in lieu of any other asset management, project based management or accounting, or other system of allocating resources and costs to participating agency assets or cost centers that the Secretary may otherwise impose under this Act.
Changes
If the agency proposes to make material changes in policies or initiatives in the plan during the year covered by the plan, the agency shall consult with the resident advisory board for the agency established pursuant to section 5A(e) and the public regarding such changes before their adoption.
Approval process
Timing
The Secretary shall review and approve or disapprove each annual plan submitted to the Secretary within 45 days after such submission.
Standards for disapproval
The Secretary may disapprove a plan only if—
the Secretary reasonably determines, based on information contained in the annual plan or annual report, that the agency is not in compliance with the requirements of this section;
the annual plan or most recent annual report is not consistent with other reliable information available to the Secretary; or
the annual plan or annual report or the agency’s activities under the program are not otherwise in accordance with applicable law.
Failure to disapprove
If a submitted plan is not disapproved within 45 days after submission, the plan shall be considered to be approved for purposes of this section. The preceding sentence shall not preclude judicial review regarding such compliance pursuant to chapter 7 of title 5, United States Code, or an action regarding such compliance under section 1979 of the Revised Statutes of the United States (42 U.S.C. 1983).
Evaluation of Performance
In general
The Secretary shall conduct detailed evaluations of all public housing agencies participating in the program under this section—
to determine the level of success of each public housing agency in achieving the purposes of the program under subsection (a); and
to identify program models that can be replicated by other agencies to achieve such success.
Reports
In general
The Secretary shall submit three reports to the Congress, as provided in subparagraph (B), evaluating the programs of all public housing agencies participating in the program under this section and all agencies participating in the moving to work demonstration. Each such report shall include findings and recommendations for any appropriate legislative action.
Timing
The reports under this paragraph shall include—
an initial report, which shall be submitted before the expiration of the 3-year period beginning on the date of the enactment of the Section 8 Voucher Reform Act of 2007;
an interim report, which shall be submitted before the expiration of the 5-year period beginning on such date of enactment; and
a final report, which shall be submitted before the expiration of the 10-year period beginning on such date of enactment.
Evaluating entity
The Secretary may contract out the responsibilities under this paragraphs (1) and (2) to an independent entity that is qualified to perform such responsibilities.
Performance measures
The Secretary or the evaluating entity, as applicable, shall establish performance measures, which may include—
a baseline performance level against which program activities may be evaluated; and
performance measures for—
increasing housing opportunities for extremely low-, very low-, and low-income families, replacing or rehabilitating housing at risk of physical deterioration or obsolescence, and developing additional affordable housing;
leveraging other Federal, State, and local funding sources, including the low-income housing tax credit program, to expand and preserve affordable housing opportunities, including public housing;
moving families to self-sufficiency and increasing employment rates and wages of families without imposing a significant rent burden on the families having the lowest incomes;
reducing administrative costs; and
any other performance measures that the Secretary or evaluating entity, as applicable, may establish.
Recordkeeping, reports, and audits
Recordkeeping
Each public housing agency participating in the program under this section shall keep such records as the Secretary may prescribe as reasonably necessary to disclose the amounts and the disposition of amounts under the program, to ensure compliance with the requirements of this section, and to measure performance.
Reports
In lieu of all other reporting requirements, each such agency participating in the program shall submit to the Secretary an annual report in a form and at a time specified by the Secretary. Each annual report shall include the following information:
A description, including an annual consolidated financial report, of the sources and uses of funds of the agency under the program, which shall account separately for funds made available under section 8 and subsections (d) and (e) of section 9, and shall compare the agency’s actions under the program with its annual plan for the year.
An annual audit that complies with the requirements of Circular A–133 of the Office of Management and Budget, including the OMB Compliance Supplement.
A description of each hardship exception requested and granted or denied, and of the use of any transition rules.
Documentation of public and resident participation sufficient to comply with the requirements under paragraph (7).
A comparison of income and the sizes and types of families assisted by the agency under the program compared to those assisted by the agency in the base year.
Every two years, an evaluation of rent policies, subsidy level policies, and policies on program participation.
A description of any ongoing local evaluations and the results of any local evaluations completed during the year.
Access to documents by secretary
The Secretary shall have access for the purpose of audit and examination to any books, documents, papers, and records that are pertinent to assistance in connection with, and the requirements of, this section.
Access to documents by the Comptroller General
The Comptroller General of the United States, or any of the duly authorized representatives of the Comptroller General, shall have access for the purpose of audit and examination to any books, documents, papers, and records that are pertinent to assistance in connection with, and the requirements of, this section.
Reports regarding evaluations
The Secretary shall require each public housing agency participating in the program under this section to submit to the Secretary, as part of the agency’s annual report under paragraph (2), such information as the Secretary considers appropriate to permit the Secretary to evaluate (pursuant to subsection (f)) the performance and success of the agency in achieving the purposes of the demonstration.
Additional program agencies
In participating in the program under the terms of this subsection, the public housing agencies designated for such participation shall be subject to the requirements of this section, and the additional following requirements:
Applicability of certain existing provisions
Such agencies shall be subject to the provisions of—
subsections (a) and (b) of section 3; and
section 8(o), except for paragraph (11) and except as the requirements of section 8(o) are modified by subsection (e)(3) of this section.
No time limits
Such agencies may not impose time limits on the term of housing assistance received by families under the program.
No employment conditions
Such agencies may not condition the receipt of housing assistance by families under the program on the employment status of one of more family members.
One-for-one replacement
Conditions on demolition
Such agencies may not demolish or dispose of any dwelling unit of public housing operated or administered by such agency (including any uninhabitable unit and any unit previously approved for demolition) except pursuant to a plan for replacement of such units in accordance with, and approved by the Secretary of Housing and Urban Development pursuant to, subparagraph (B).
Plan requirements
The Secretary may not approve a plan that provides for demolition or disposition of any dwelling unit of public housing referred to in subparagraph (A) unless—
such plan provides for outreach to public housing agency residents in accordance with paragraph (5);
not later than 60 days before the date of the approval of such plan, such agency has convened and conducted a public hearing regarding the demolition or disposition proposed in the plan;
such plan provides that for each such dwelling unit demolished or disposed of, such public housing agency will provide an additional dwelling unit through—
the acquisition or development of additional public housing dwelling units; or
the acquisition, development, or contracting (including through project-based assistance) of additional dwelling units that are subject to requirements regarding eligibility for occupancy, tenant contribution toward rent, and long-term affordability restrictions which are comparable to public housing units, except that no household may be prevented from occupying a replacement dwelling unit provided pursuant to clause (iii) except to the extent specifically provided by any other provision of Federal law (including subtitle F of title V of the Quality Housing and Work Responsibility Act of 1998 (42 U.S.C. 13661 et seq.; relating to safety and security in public and assisted housing, subtitle D of title VI of the Housing and Community Development Act of 1992 (42 U.S.C. 13611 et seq.; relating to preferences for elderly and disabled residents), and section 16(f) of this Act (42 U.S.C. 1437n(f)); relating to ineligibility of persons convicted of methamphetamine offenses);
such plan provides for a right, and implementation of such right, to occupancy of additional dwelling units provided in accordance with clause (iii), for households who, as of the time that dwelling units demolished or disposed of were vacated to provide for such demolition or disposition, were occupying such dwelling units;
such plan provides that the proposed demolition or disposition and relocation will be carried out in a manner that affirmatively furthers fair housing, as described in subsection (e) of section 808 of the Civil Rights Act of 1968; and
to the extent that such plan provides for the provision of replacement or additional dwelling units, or redevelopment, in phases over time, such plan provides that the ratio of dwelling units described in subclauses (I) and (II) of clause (iii) that are provided in any such single phase to the total number of dwelling units provided in such phase is not less than the ratio of the aggregate number of such dwelling units provided under the plan to the total number of dwelling units provided under the plan.
Inapplicable provisions
Subparagraphs (B) and (D) of section 8(o)(13) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(13)) shall not apply with respect to vouchers used to comply with the requirements of subparagraph (B)(iii) of this paragraph.
Monitoring
The Secretary of Housing and Urban Development shall provide for the appropriate field offices of the Department to monitor and supervise enforcement of this paragraph and plans approved under this paragraph and to consult, regarding such monitoring and enforcement, with resident councils of, and residents of public housing operated or administered by, the agency.
Comprehensive outreach plan
No program funds of such agencies may be use to demolish or dispose of any public housing dwelling units except in accordance with a comprehensive outreach plan for such activities, developed by the agency in conjunction with the residents of the public housing agency, as follows:
The plan shall be developed by the agency and a resident task force, which may include members of the Resident Council, but may not be limited to such members, and which shall represent all segments of the population of residents of the agency, including single parent-headed households, the elderly, young employed and unemployed adults, teenage youth, and disabled persons.
The votes and agreements regarding the plan shall involve—
in the case of any public housing agency that administers 250 or fewer public housing dwelling units, not less than 10 percent of affected residents; and
in the case of any public housing agency that administers more than 250 public housing dwelling units, not less than 25 affected residents.
The plan shall provide for and describe outreach efforts to inform residents of the program under this subsection, including a door-to-door information program, monthly newsletters to each resident household, monthly meetings dedicated solely to every aspect of the proposed development, including redevelopment factors, which shall include the one-for-one replacement requirement under paragraph (5), resident rights to return, the requirements of the program under this subsection, new resident support and community services to be provided, opportunities for participation in architectural design, and employment opportunities for residents, which shall make available at least 30 percent of the total hours worked at all such employment, and shall also make available at least 25 percent of unskilled jobs in demolition activities and 25 percent of unskilled jobs in construction activities related to the redevelopment project, including job training, apprenticeships, union membership assistance.
The plan shall provide for regularly scheduled monthly meeting updates and a system for filing complaints about any aspect of the redevelopment process.
Definitions
For purposes of this section, the following definitions shall apply:
Existing MTW agency
The term existing MTW agency means a public housing agency that as of the date of the enactment of the Section 8 Voucher Reform Act of 2007 has an existing agreement with the Secretary pursuant to the moving to work demonstration.
Base year
The term base year means, with respect to a participating agency, the agency fiscal year most recently completed prior to selection and approval for participation in the housing innovation program under this section.
Moving to work demonstration
The term moving to work demonstration means the moving to work demonstration program under section 204 of the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1996 (42 U.S.C. 1437f note).
Participating agencies
The term participating agencies means public housing agencies designated and approved for participation, and participating, in the housing innovation program under this section.
Program funds
The term program funds means, with respect to a participating agency, any amounts that the agency is authorized, pursuant to subsection (e)(1), to use to carry out the housing innovation program under this section of the agency.
Residents
The term residents means, with respect to a public housing agency, tenants of public housing of the agency and participants in the voucher or other housing assistance programs of the agency funded under section 8(o), or tenants of other units owned by the agency and assisted under this section.
Authorization of appropriations for resident technical assistance
There is authorized to be appropriated for each of fiscal years 2008 through 2012 $10,000,000, for providing capacity building and technical assistance to enhance the capabilities of low-income families assisted under the program under this section to participate in the process for establishment of annual plans under this section for participating agencies.
Authorization of appropriations for evaluations
There is authorized to be appropriated $15,000,000 to the Department of Housing and Urban Development for the purpose of conducting the evaluations required under subsection (f)(1).
.
GAO report
Not later than 48 months after the date of the enactment of this Act, the Comptroller General of the United States shall submit a report to the Congress on the extent to which the public housing agencies participating in the housing innovation program under section 36 of the United States Housing Act of 1937 are meeting the goals and purposes of such program, as identified in subsection (a) of such section 36.
Demonstration program waiver authority
Authority To enter into agreements
Notwithstanding any other provision of law, the Secretary of Housing and Urban Development may enter into such agreements as may be necessary with the Social Security Administration and the Secretary of Health and Human Services to allow for the participation, in any demonstration program described in subsection (c), by the Department of Housing and Urban Development and the use under such program of housing choice vouchers under section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)).
Waiver of income requirements
The Secretary of Housing and Urban Development may, to extent necessary to allow rental assistance under section 8(o) of the United States Housing Act of 1937 to be provided on behalf of persons described in subsection (c) who participate in a demonstration program described in such subsection, and to allow such persons to be placed on a waiting list for such assistance, partially or wholly disregard increases in earned income for the purpose of rent calculations under section 3 for such persons.
Demonstration programs
A demonstration program described in this subsection is a demonstration program of a State that provides for persons with significant disabilities to be employed and continue to receive benefits under programs of the Department of Health and Human Services and the Social Security Administration, including the program of supplemental security income benefits under title XVI of the Social Security Act, disability insurance benefits under title II of such Act, and the State program for medical assistance (Medicaid) under title XIX of such Act.
Access to HUD programs for persons with limited English proficiency
HUD responsibilities
To allow the Department of Housing and Urban Development to better serve persons with limited proficiency in the English language by providing technical assistance to recipients of Federal funds, the Secretary of Housing and Urban Development shall take the following actions:
Task force
Within 90 days after the enactment of this Act, convene a
task force comprised of appropriate industry groups, recipients of funds from
the Department of Housing and Urban Development (in this section referred to as
the Department
), community-based organizations that serve
individuals with limited English proficiency, civil rights groups, and
stakeholders, which shall identify a list of vital documents, including
Department and certain property and other documents, to be competently
translated to improve access to federally conducted and federally assisted
programs and activities for individuals with limited English proficiency. The
task force shall meet not less frequently than twice per year.
Translations
Within 6 months after identification of documents pursuant to paragraph (1), produce translations of the documents identified in all necessary languages and make such translations available as part of the library of forms available on the website of the Department and as part of the clearinghouse developed pursuant to paragraph (4).
Plan
Develop and carry out a plan that includes providing resources of the Department to assist recipients of Federal funds to improve access to programs and activities for individuals with limited English proficiency, which plan shall include the elements described in paragraph (4).
Housing information resource center
Develop and maintain a housing information resource center to facilitate the provision of language services by providers of housing services to individuals with limited English proficiency. Information provided by such center shall be made available in printed form and through the Internet. The resources provided by the center shall include the following:
Translation of written materials
The center may provide, directly or through contract, vital documents from competent translation services for providers of housing services.
Toll-free customer service telephone number
The center shall provide a 24-hour toll-free interpretation service telephone line, by which recipients of funds of the Department and individuals with limited English proficiency may—
obtain information about federally conducted or federally assisted housing programs of the Department;
obtain assistance with applying for or accessing such housing programs and understanding Federal notices written in English; and
communicate with housing providers. and learn how to access additional language services.
Document clearinghouse
The center shall collect and evaluate for accuracy or develop, and make available, templates and documents that are necessary for consumers, relevant industry representatives, and other stakeholders of the Department, to access, make educated decisions, and communicate effectively about their housing, including—
administrative and property documents;
legally binding documents;
consumer education and outreach materials;
documents regarding rights and responsibilities of any party; and
remedies available to consumers.
Study of language assistance programs
The center shall conduct a study that evaluates best-practices models for all programs of the Department that promote language assistance and strategies to improve language services for individuals with limited English proficiency. Not later than 18 months after the date of the enactment of this Act, the center shall submit a report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate, which shall provide recommendations for implementation, specific to programs of the Department, and information and templates that could be made available to all recipients of grants from the Department.
Cultural and linguistic competence materials
The center shall provide information relating to culturally and linguistically competent housing services for populations with limited English proficiency.
Authorization of appropriations
There are authorized to be appropriated such sums as may be necessary to carry out subsection (a).
Report
Not later than the expiration of the 6-month period beginning on the date of the enactment of this Act, and annually thereafter, the Secretary of Housing and Urban Development shall submit a report regarding its compliance with the requirements under subsection (a) to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate.
Transfer of certain rental assistance contracts
Transfer
Subject to subsection (c) and notwithstanding any other provision of law, the Secretary of Housing and Urban Development shall, at the request of the owner, transfer or authorize the transfer, of the contracts, restrictions, and debt described in subsection (b)—
on the housing that is owned or managed by Community Properties of Ohio Management Services LLC or an affiliate of Ohio Capital Corporation for Housing and located in Franklin County, Ohio, to other properties located in Franklin County, Ohio; and
on the housing that is owned or managed by The Model Group, Inc., and located in Hamilton County, Ohio, to other properties located in Hamilton County, Ohio.
Contracts, restrictions, and debt covered
The contracts, restrictions, and debt described in this subsection are as follows:
All or a portion of a project-based rental assistance housing assistance payments contract under section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f).
Existing Federal use restrictions, including without limitation use agreements, regulatory agreements, and accommodation agreements.
Any subordinate debt held by the Secretary or assigned and any mortgages securing such debt, all related loan and security documentation and obligations, and reserve and escrow balances.
Retention of same number of units and amount of assistance
Any transfer pursuant to subsection (a) shall result in—
a total number of dwelling units (including units retained by the owners and units transferred) covered by assistance described in subsection (b)(1) after the transfer remaining the same as such number assisted before the transfer, with such increases or decreases in unit sizes as may be contained in a plan approved by a local planning or development commission or department; and
no reduction in the total amount of the housing assistance payments under contracts described in subsection (b)(1).
Effective date
This section shall take effect on the date of the enactment of this Act.
Authorization of appropriations
There is authorized to be appropriated the amount necessary for each of fiscal years 2008 through 2012 to provide public housing agencies with incremental tenant-based assistance under section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)) sufficient to assist 20,000 incremental dwelling units in each such fiscal year.
Acceptable identification requirement
In general
Rental housing assistance under section 8(o) of the United States Housing Act of 1937 may not be provided on behalf of any individual or household unless the individual provides, or, in the case of a household, all adult members of the household provide, valid personal identification in one of the following forms:
Social security card with photo identification card or Real ID Act identification
A social security card accompanied by a photo identification card issued by the Federal Government or a State Government; or
A driver’s license or identification card issued by a State in the case of a State that is in compliance with title II of the REAL ID Act of 2005 (title II of division B of Public Law 109–13; 49 U.S.C. 30301 note).
Passport
A passport issued by the United States or a foreign government.
USCIS photo identification card
A photo identification card issued by the Secretary of Homeland Security (acting through the Director of the United States Citizenship and Immigration Services).
Regulations
The Secretary of Housing and Urban Development shall, by regulation, require that each public housing agency or other entity administering rental housing assistance described in subsection (a) take such actions as the Secretary considers necessary to ensure compliance with the requirements of subsection (a).
Effective date
Except as otherwise specifically provided in this Act, this Act and the amendments made by this Act, shall take effect on January 1, 2008.
Passed the House of Representatives July 12, 2007.
Lorraine C. Miller,
Clerk.