[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4205 Introduced in House (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.
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