[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4432 Introduced in House (IH)]

103d CONGRESS
  2d Session
                                H. R. 4432

     To provide relief from regulatory requirements inhibiting the 
       effectiveness and productivity of public housing agencies.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 17, 1994

 Mr. Bereuter introduced the following bill; which was referred to the 
            Committee on Banking, Finance and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
     To provide relief from regulatory requirements inhibiting the 
       effectiveness and productivity of public housing agencies.

    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 ``Public Housing Regulatory Relief 
Act''.

SEC. 2. AUTHORITY TO WAIVE PUBLIC HOUSING PROGRAM REQUIREMENTS.

    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:

``SEC. 27. WAIVER OF PUBLIC HOUSING PROGRAM REQUIREMENTS.

    ``(a) Authority.--Upon the written request of a public housing 
agency or resident management corporation, the Secretary may authorize 
the agency or corporation to establish policies for the operation, 
maintenance, management, and development (including modernization) of 
one or more public housing projects and, in connection with granting 
such authority and except as provided in subsection (b), may waive or 
modify (with respect to the project or projects)--
            ``(1) the requirements of this Act applicable to public 
        housing; and
            ``(2) any requirements applicable to the project or 
        projects under other provisions of law that the Secretary 
        determines are not consistent with the policies proposed for 
        the project or projects.
    ``(b) Limitation.--The Secretary may not waive or modify--
            ``(1) any provision of this Act or any other provision of 
        law that limits occupancy of public housing dwelling units to 
        low-income families;
            ``(2) under section 18 of this Act that requires 
        replacement of dwelling units in the case of demolition or 
        disposition of public housing (except that the limitation on 
        the use of tenant-based assistance to applications proposing 
        demolition or disposition of 200 or more units may be waived);
            ``(3) any provision of the Uniform Relocation Assistance 
        and Real Property Acquisition Policies Act of 1970;
            ``(4) any provision of law that relates to equal 
        opportunity, nondiscrimination, or the environment; or
            ``(5) any provision of this Act or any other provision of 
        law that relates to labor standards.
    ``(c) Request for Waiver.--A request under subsection (a) shall--
            ``(1) specify the provision or provisions of law to be 
        waived or modified and the waivers or modifications proposed;
            ``(2) identify the public housing projects for which the 
        waivers or modifications are requested;
            ``(3) describe the policies to be effective for the 
        projects for which the waivers or modifications are requested; 
        and
            ``(4) describe the costs to the public housing agency or 
        resident management corporation, and to the Federal Government, 
        of the waivers or modifications requested and the change of 
        policies proposed.
    ``(d) Minimum Criteria for Approval.--The Secretary may approve a 
request under subsection (a) only if the Secretary determines that the 
request--
            ``(1) would not, over the term of such authority, result in 
        the Federal Government incurring more costs than the Government 
        would otherwise incur if the request were not approved;
            ``(2) is consistent with the overall purposes of the public 
        housing program;
            ``(3) is consistent with the Fair Housing Act, title VI of 
        the Civil Rights Act of 1964, section 504 of the Rehabilitation 
        Act of 1973, the Age Discrimination Act of 1975, and the 
        National Environmental Policy Act of 1969; and
            ``(4) such other requirements as the Secretary may 
        establish to carry out the purposes of this section.
    ``(e) Timing.--Any authority granted to a public housing agency 
pursuant to subsection (a), including any waiver or modification 
pursuant to this section of any requirement, shall be effective only 
for the period established by the Secretary in granting the waiver or 
modification, which may not exceed 4 years. Upon such expiration and 
pursuant to a written request, the Secretary may renew such authority 
for a public housing agency or resident management corporation, subject 
to the requirements of this section.
    ``(f) Applicability of State and Local Laws.--The provisions of any 
applicable State and local laws shall apply to any public housing 
agency, resident management corporation, and public housing project 
with respect to which authority is granted under subsection (a).
    ``(g) Reports.--The Secretary shall require each public housing 
agency and resident management corporation for which a request under 
subsection (a) is approved to submit a report to the Secretary annually 
for each year during the term for which the authority granted under 
subsection (a) is effective. The report shall describe the activities, 
operations, and policies of the agency or corporation during the year 
for which the report is submitted.
    ``(h) Definition.--For purposes of this section, the term `resident 
management corporation' means a resident management corporation 
established in accordance with the requirements of the Secretary under 
section 20.''.

SEC. 3. PHA RETENTION OF SAVINGS REALIZED THROUGH EFFICIENT MANAGEMENT.

    Section 6(e) of the United States Housing Act of 1937 (42 U.S.C. 
1437d(e)) is amended to read as follows:
    ``(e) Treatment of Savings.--Each contract for contributions shall 
provide that whenever in any year the receipts of a public housing 
agency in connection with a low-income housing project exceed its 
expenditures (including debt service, operation, maintenance, 
establishment of reserves, and other costs and charges) and the 
Secretary determines that such excess resulted from increased 
efficiency in the operation of the agency--
            ``(1) an amount equal to one-half of such excess shall be 
        applied, or set aside for application, to purposes which, in 
        the determination of the Secretary, will effect a reduction in 
        the amount of subsequent annual contributions; and
            ``(2) an amount equal to one-half of such excess shall be 
        applied to operating reserve established for the project and 
        shall not be considered in subsequent years in calculating the 
        operating subsidies provided under section 9 to the public 
        housing agency, except to the extent proposed by the agency in 
        its operating budget.''.

SEC. 4. AVAILABILITY OF PUBLIC HOUSING MODERNIZATION FUNDS DURING TERM 
              OF PLAN.

    Section 14 of the United States Housing Act of 1937 (42 U.S.C. 
1437l) is amended--
            (1) in subsection (d)(3)(A), by striking ``within each 12-
        month period covered by such plan'';
            (2) in subsection (e)(1)(D), by striking ``at least a 
        schedule'' and inserting ``a listing'';
            (3) in subsection (e)(3)(B), by adding at the end the 
        following new sentence: ``This section may not be construed to 
        require a public housing agency to amend its comprehensive plan 
        under paragraph (1) to be able to (A) use assistance amounts 
        for purposes consistent with the plan but not according to the 
        schedule of actions to be taken under the plan, or (B) use 
        assistance amounts provided to an agency for a fiscal year in 
        another fiscal year covered by the plan for purposes consistent 
        with the plan, notwithstanding the annual statement of 
        activities by the agency under subparagraph (A).'';
            (4) in subsection (f)(1)(A), by striking ``specified for 
        such year in'' and inserting ``anticipated to be conducted 
        during such year under'';
            (5) in subsection (g), by striking ``to meet the objectives 
        for the preceding year'' and inserting ``during the preceding 
        year to meet the objectives''; and
            (6) in subsection (o), by striking ``for the purposes'' and 
        all that follows through ``appropriate'' and inserting the 
        following: ``in any year covered by the plan for the agency 
        under subsection (d)(4) or (e)(1)(D), as appropriate, that was 
        approved by the Secretary and for any purpose specified under 
        or consistent with such plan, notwithstanding the schedule 
        included in such plan pursuant to subsection (d)(3)(A) or 
        (e)(1)(D), as appropriate''.

SEC. 5. RECAPTURE OF PUBLIC HOUSING MODERNIZATION FUNDS.

    Section 14(g) of the United States Housing Act of 1937 (42 U.S.C. 
1437(l)(g)) is amended--
            (1) by inserting ``(1)'' after ``(g)''; and
            (2) by adding at the end the following new paragraph:
    ``(2) The Secretary may establish a system for recapturing and 
redistributing amounts provided to public housing agencies under this 
subsection, which shall--
            ``(A) provide for the recapture of such amounts only from 
        an agency that, in the determination of the Secretary pursuant 
        to a review under subsection (e)(4)(B) or an audit under 
        subsection (e)(4)(C), has not made reasonable progress in 
        carrying out modernization projects approved by the Secretary 
        under the comprehensive plan for the agency under subsection 
        (d)(4) or (e);
            ``(B) provide for the redistribution of such recaptured 
        amounts for use by other public housing agencies that, in the 
        determination of the Secretary, need such amounts to carry out 
        the comprehensive plans for such agencies and are capable of 
        using such amounts in a timely manner;
            ``(C) provide for redistribution to the agencies referred 
        to in subparagraph (B) based on an allocation system that takes 
        into consideration the formula established pursuant to 
        subsection (k)(2)(A); and
            ``(D) establish an annual schedule for redistribution of 
        amounts recaptured.''.

SEC. 6. AUTHORITY FOR PHA'S TO BORROW AGAINST FUTURE PUBLIC HOUSING 
              MODERNIZATION FUNDS.

    Section 14 of the United States Housing Act of 1937 (42 U.S.C. 
1437l) is amended by adding at the end the following new subsection:
    ``(q) Authority to Borrow Against Future Assistance.--
            ``(1) In general.--A public housing agency may, with the 
        approval of the Secretary, enter into an agreement to pay any 
        assistance for which the agency may become eligible under this 
        section to ensure the repayment of notes or other obligations 
        issued by the agency for the purpose of financing development, 
        rehabilitation, or modernization of public housing.
            ``(2) Terms.--Notes or other obligations for which 
        assistance under this section is pledged shall be in such form 
        and denominations, have such maturities not exceeding 30 years, 
        and be subject to such other conditions as the Secretary may 
        prescribe. The Secretary may not deny a guarantee under this 
        subsection on the basis of the proposed repayment period for 
        the obligation, unless the period exceeds 30 years or the 
        Secretary determines that the period causes the obligation to 
        constitute an unacceptable financial risk.
            ``(3) Limitation on amount of outstanding obligations.--
        Assistance under this section may not be pledged for the 
        repayment of any obligation if the total outstanding principal 
        of all obligations for which such assistance is pledged would 
        thereby exceed an amount equal to 5 times the amount of 
        assistance provided under this section during the most recently 
        completed fiscal year to the agency issuing the obligation.
            ``(4) Repayment.--Notwithstanding any other provision of 
        this section, assistance provided to an agency under this 
        section may be used in the payment of principal and interest 
        due (including such servicing, underwriting, and other costs as 
        the Secretary may prescribe) on the notes or other obligations 
        issued by the public housing agency pursuant to this 
        subsection.''.

SEC. 7. STUDY OF ACQUISITION AND LABOR REQUIREMENTS FOR PUBLIC HOUSING 
              AGENCIES.

    (a) Study.--The Secretary of Housing and Urban Development shall 
conduct a study to determine the efficiency of the procedures and 
requirements applicable to procurement by public housing agencies of 
materials, supplies, systems, appliances, labor, and services used in 
maintaining, operating, and modernizing public housing projects. Under 
the study, the Secretary shall--
            (1) compare the existing procurement system for public 
        housing agencies to--
                    (A) a system of procurement under which public 
                housing agencies procure materials, supplies, systems, 
                appliances, labor, and services for use in maintaining, 
                operating, and modernizing public housing projects 
                without being subject to any requirements established 
                by the Secretary or any other Federal laws or 
                regulations regarding procurement; and
                    (B) a system of procurement that operates in the 
                manner described under subparagraph (A), except that 
                under such system the Secretary would annually review 
                the procurement policies and actions of each public 
                housing agency for the preceding year and would have 
                the authority to establish limitations on procurement 
                policies and activities determined by the Secretary to 
                have instituted inappropriate procurement policies or 
                engaged in inappropriate procurement activities;
            (2) determine the advantages and disadvantages of 
        procurement pursuant to the existing procurement system for 
        public housing agencies and the systems referred to in 
        subparagraphs (A) and (B) of paragraph (1); and
            (3) determine the effect of the requirements under section 
        12 of the United States Housing Act of 1937 (relating to labor 
        standards) on the affordability of dwelling units in public 
        housing.
    (b) Report.--The Secretary of Housing and Urban Development shall 
submit a report to the Congress describing the study, the findings of 
the study, and any recommendations resulting from the study, not later 
than the expiration of the 2-year period beginning on the date of the 
enactment of this Act.

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