H.R. 4205 (107th): Affordable Housing Improvements Act

107th Congress, 2001–2002. Text as of Apr 11, 2002 (Introduced).

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HR 4205 IH

107th CONGRESS

2d Session

H. R. 4205

To authorize the Secretary of Housing and Urban Development to permit public housing agencies to transfer unused low-income rental assistance amounts for use under the HOME investment partnerships program or for activities eligible for assistance from the public housing Capital Fund.

IN THE HOUSE OF REPRESENTATIVES

APRIL 11, 2002

Mrs. MEEK of Florida introduced the following bill; which was referred to the Committee on Financial Services


A BILL

To authorize the Secretary of Housing and Urban Development to permit public housing agencies to transfer unused low-income rental assistance amounts for use under the HOME investment partnerships program or for activities eligible for assistance from the public housing Capital Fund.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ‘Affordable Housing Improvements Act’.

SEC. 2. PURPOSES.

    The purposes of this Act are--

      (1) to ensure that amounts provided under the section 8 rental assistance program for low-income families for use in communities having affordable housing needs can be fully used within such communities to benefit low-income families needing affordable housing;

      (2) to provide flexibility in the use of unused amounts made available under the section 8 tenant-based rental assistance program so that amounts made available to public housing agencies in jurisdictions having insufficient numbers of affordable housing dwelling units to exhaust their section 8 funds can be used under the HOME investment partnerships program, or for activities eligible for assistance under the public housing Capital Fund;

      (3) to provide for development of affordable housing in communities needing such housing, without supplanting existing appropriations for the section 8 program; and

      (4) to promote and facilitate quality and affordable housing for low-income families.

SEC. 3. AUTHORITY TO TRANSFER UNUSED SECTION 8 RENTAL ASSISTANCE AMOUNTS.

    Section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) is amended by adding at the end the following new subsection:

    ‘(ee) TRANSFER OF UNUSED TENANT-BASED ASSISTANCE AMOUNTS FOR USE UNDER HOME AND PUBLIC HOUSING CAPITAL FUND PROGRAMS-

      ‘(1) AUTHORITY- In lieu of reallocating the unused tenant-based assistance of a public housing agency, the Secretary may authorize the agency to transfer all or a portion of such assistance, as provided in this subsection only--

        ‘(A) to the HOME Investment Trust Fund for an applicable participating jurisdiction of the agency for use only under section 212(a)(4) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12742(a)(4)); or

        ‘(B) for use for activities eligible for assistance by such agency with amounts provided from the Capital Fund under section 9(d).

      ‘(2) PERIOD OF USE- Any amounts transferred under this subsection shall be available for use as provided in paragraph (1) only until the expiration of the 18-month period beginning upon approval of the request under paragraph (2) for such transfer.

      ‘(3) REQUEST FOR TRANSFER- The Secretary may authorize transfer of unused tenant-based assistance of a public housing agency pursuant to this subsection only pursuant to a written request for transfer of such amounts that complies with the following requirements:

        ‘(A) PREPARATION- The request shall be prepared, and submitted to the Secretary, by--

          ‘(i) in the case of a request for transfer of amounts to the HOME Investment Trust Fund, the applicable participating jurisdiction of the agency, after consultation and agreement with the public housing agency having such unused assistance amounts; and

          ‘(ii) in the case of a request for transfer of amounts for use for Capital Fund activities, the public housing agency.

        ‘(B) CONTENTS- The request shall include--

          ‘(i) information on the affordable housing needs, conditions, and availability in the geographical area served by the

agency, which shall include information regarding vacancy rates, waiting lists for rental assistance under this section, rates for return of vouchers for such rental assistance, and any other information the agency considers appropriate;

          ‘(ii) a certification that the agency is in compliance with applicable laws and regulations regarding management of the program for tenant-based assistance under this section and, because of circumstances beyond the control of the agency, cannot increase its rate of use of tenant-based assistance amounts;

          ‘(iii) a detailed description of the agency’s efforts to assist eligible families to utilize the unused assistance;

          ‘(iv) a proposal describing how the unused assistance will be used under title II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721 et seq.) or for activities eligible for assistance with amounts provided from the Capital Fund under section 9(d) of this Act (42 U.S.C. 1437g(d)), as applicable; and

          ‘(v) any other information or certifications that the Secretary considers appropriate.

        ‘(C) TIMING- A request under this paragraph shall be submitted to the Secretary during the 60-day period ending upon the conclusion of the fiscal year of the public housing agency involved. The Secretary shall determine whether to approve such request, and notify the applicable participating jurisdiction and the public housing agency involved of such determination, not later than 30 days after the request is submitted.

      ‘(4) DETERMINATION REGARDING USE OF ASSISTANCE- The Secretary may authorize transfer of unused tenant-based assistance of a public housing agency pursuant to this subsection only if the Secretary determines, on the basis of the request under paragraph (3), that the unused assistance--

        ‘(A) if used under title II of the Cranston-Gonzalez National Affordable Housing Act, will be used in accordance with sections 212(a)(4) and 214(b) of such Act (42 U.S.C. 12742(a)(4), 12744(b));

        ‘(B) will be used to meet the needs described in the request submitted pursuant to paragraph (3)(B)(i);

        ‘(C) will be used consistent with the comprehensive housing affordability strategy of the jurisdiction submitted under section 105 of such Act (42 U.S.C. 12705) and, if applicable, the public housing agency plan for the agency; and

        ‘(D) can and will be used as provided in this subsection within 18 months of the Secretary’s determination to authorize use under this subsection.

      ‘(5) DEFINITIONS- For purposes of this subsection, the following definitions shall apply:

        ‘(A) APPLICABLE PARTICIPATING JURISDICTION- The term ‘applicable participating jurisdiction’ means, with respect to a public housing agency, a participating jurisdiction (as such term is defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704)) any part of which is located within the geographical area served by such agency.

        ‘(B) LEASING RATE- The term ‘leasing rate’ means, with respect to an amount of budget authority made available for tenant-based assistance, the ratio of the number of dwelling units leased using such budget authority to the number of reserved units for such budget authority.

        ‘(C) RESERVED UNITS- The term ‘reserved units’ means, with respect to an amount of budget authority made available for tenant-based assistance, the total number of dwelling units that may be leased using such budget authority.

        ‘(D) UNUSED TENANT-BASED ASSISTANCE- The term ‘unused tenant-based assistance’ means any budget authority for tenant-based assistance made available to a public housing agency that remains unused and, under the regulations and notices of the Secretary, is subject to reallocation to other agencies based upon the leasing rate of the agency.’.

SEC. 4. USE OF TRANSFERRED AMOUNTS UNDER HOME INVESTMENT PARTNERSHIPS PROGRAM.

    (a) USE WITHIN JURISDICTION OF TRANSFERRING PHA- Section 212(a) of the Cranston-Gonzalez National

Affordable Housing Act (42 U.S.C. 12742(a)) is amended by inserting after paragraph (3) the following new paragraph:

      ‘(4) UNUSED PUBLIC HOUSING AGENCY AMOUNTS- Any amounts in the HOME Investment Trust Fund for a participating jurisdiction pursuant to transfer under section 8(ee) of the United States Housing Act of 1937 (42 U.S.C. 1437f(ee)) may be used, as provided in this section, to develop and support only affordable rental housing and affordable housing for homeownership, that is located in a geographical area of the participating jurisdiction that is within the area served by the public housing agency that transferred such amounts.’.

    (b) TARGETING REQUIREMENTS- Section 214 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12744) is amended--

      (1) by striking ‘Each’ and inserting ‘(a) IN GENERAL- Except as provided in subsection (b), each’; and

      (2) by adding at the end the following new subsection:

    ‘(b) UNUSED PUBLIC HOUSING AGENCY AMOUNTS- In the case only of amounts in the HOME Investment Trust Fund for a participating jurisdiction pursuant to transfer under section 8(ee) of the United States Housing Act of 1937 (42 U.S.C. 1437f(ee)), the participating jurisdiction shall invest such amounts so that--

      ‘(1) with respect to rental assistance and rental units--

        ‘(A) not less than 75 percent of (i) the families receiving such rental assistance are families whose incomes do not exceed 30 percent of the median family income for the area, as determined by the Secretary with adjustments for smaller and larger families (except that the Secretary may establish income ceilings higher or lower than 30 percent of the median income for the area on the basis of the Secretary’s findings that such variations are necessary because of prevailing levels of construction cost or fair market rent, or unusually high or low family income) at the time of occupancy or at the time funds are invested, whichever is later, or (ii) the dwelling units assisted with such funds are occupied by families having such incomes; and

        ‘(B) the remainder of (i) the families receiving such rental assistance are households that qualify as low-income families (other than families described in subparagraph (A)) at the time of occupancy or at the time funds are invested, whichever is later, or (ii) the dwelling units assisted with such funds are occupied by such households;

      ‘(2) with respect to homeownership assistance, not less than 75 percent of such funds are invested with respect to dwelling units that are occupied by households having incomes described in paragraph (1)(A)(i) and the remainder of such funds are invested with respect to dwelling units that are occupied by households that qualify as low-income families; and

      ‘(3) all such funds are invested with respect to housing that qualifies as affordable housing under section 215.’.

SEC. 5. APPLICABILITY.

    The amendments made by this Act shall apply only to tenant-based assistance under section 8 of the United States Housing Act of 1937 that is appropriated for fiscal year 2003 or any fiscal year thereafter.

SEC. 6. REGULATIONS.

    Not later than 6 months after the date of the enactment of this Act, the Secretary of Housing and Urban Development shall issue final regulations to carry out the amendments made by this Act.