[Federal Register Volume 60, Number 11 (Wednesday, January 18, 1995)]
[Notices]
[Page 3646]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-1121]



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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Assistant Secretary for Housing--Federal Housing 
Commissioner
Office of the Assistant Secretary for Public and Indian Housing
[Docket No. N-95-3853; FR-3833-N-01]


Preferences for Admission to Assisted Housing; Preference for 
Working Families--Notice of Statutory Amendment

AGENCY: Office of the Assistant Secretary for Housing--Federal Housing 
Commissioner; and Office of the Assistant Secretary for Public and 
Indian Housing, HUD.

ACTION: Notice.

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SUMMARY: This notice advises that sections 6(c)(4)(A)(ii) and 
(8)(d)(1)(A)(ii) of the U.S. Housing Act of 1937 were amended by the 
HUD Appropriations Act for Fiscal Year 1995 to provide a discretionary 
local preference for admission to public housing and HUD-assisted 
housing for ``families that include one or more adult members who are 
employed.'' The amendment by the HUD Appropriations Act provides that 
this preference for working families ``shall be effective only during 
fiscal year 1995.''

FOR FURTHER INFORMATION CONTACT: For the public housing and Section 8 
Moderate Rehabilitation programs, Edward Whipple, Director, Occupancy 
Division, Office of Public Housing, (202) 708-0744 (voice); (202) 708-
0850 (TDD).
    For the Section 8 programs except for the Moderate Rehabilitation 
program, Barbara Hunter, Acting Director, Planning and Procedures 
Division, Office of Multifamily Housing, Office of Housing (202) 708-
3944 (voice); (202) 708-4594 (TDD).
    None of these telephone numbers is toll-free. All of the 
individuals listed are located at the Department of Housing and Urban 
Development, 451 Seventh Street, SW, Washington, DC 20410.

SUPPLEMENTARY INFORMATION:

I. Background

    Sections 6(c)(4)(A)(ii) and (8)(d)(1)(A)(ii) of the U.S. Housing 
Act of 1937 (1937 Act) (42 U.S.C. 1437d and 42 U.S.C. 1437f) provide an 
illustrative list of local preferences that may be given by housing 
authorities and project owners in selecting residents for public 
housing and section 8 existing housing. The Departments of Veterans 
Affairs and Housing and Urban Development, and Independent Agencies 
Appropriations Act, 1995 (Pub. L. 103-327, approved September 28, 1994, 
108 Stat. 2315) (HUD Appropriations Act for FY 1995) amended these 
sections of the 1937 Act to add an additional, illustrative local 
preference for ``families that include one or more adult members who 
are employed.''
    For public housing, section 6(c)(4)(A)(ii) of the 1937 Act, as 
amended by the HUD Appropriations Act of FY 1995, provides in relevant 
part that:

    [E]xcept for projects or portions of projects specifically 
designated for elderly families with respect to which the Secretary 
has determined that application of this subparagraph would result in 
excessive delays in meeting the housing need of such families, the 
establishment of tenant criteria which * * *
    (ii) for any remaining units to be made available for occupancy 
give preference in accordance with a system of preferences 
established by the public housing agency in writing and after public 
hearings to respond to local housing needs and priorities, which may 
include * * * (V) assisting families that include one or more adult 
members who are employed.

    For section 8 existing housing, section (8)(d)(1)(A)(ii) of the 
1937 Act, as amended by the HUD Appropriations Act for FY 1995, 
provides in relevant part that:

    [T]he selection of tenants for such units shall be the function 
of the owner, subject to the provisions of the annual contributions 
contract between the Secretary and the agency, except that the 
tenant selection criteria used by the owner * * *
    (ii) for any remaining assistance in any 1-year period give 
preference to families who qualify under a system of local 
preferences established by the public housing agency in writing and 
after public hearing to respond to local housing needs and 
priorities, which may include * * *
    (V) assisting families that include one or more adult members 
who are employed.

    The Department notes that these amendments only apply to local 
preference admissions and not to admissions covered by Federal 
preference.
    The HUD Appropriations Act also provides that this preference 
``shall be effective only during fiscal year 1995.''
    The preference added by the Congress is consistent with the 
Department's final rule entitled, ``Preferences for Admission to 
Assisted Housing,'' published on July 18, 1994 (59 FR 36616), and its 
final rule entitled ``Section 8 Certificate and Voucher Programs 
Conforming Rule: Admissions,'' also published on July 18, 1994 (59 FR 
36662). The preamble to the ``Preferences for Admission'' final rule 
stated that:

    The Department is convinced that housing agencies must have the 
flexibility to give preference to working families to assure 
diversity in the residency of projects and to include families who 
can serve as role models for other families. (59 FR 36618)

The preamble noted, however, that the preference for working families 
may not be administered in a way that will violate the legal 
prohibitions against discrimination. (59 FR 33619)
    The purpose of this notice is to advise housing authorities and 
project owners of the amendment to sections 6(c)(4)(A)(ii) and 
(8)(d)(1)(A)(ii) of the 1937 Act made by the HUD Appropriations Act for 
FY 1995.

    Dated: January 10, 1995.
Jeanne K. Engel,
General Deputy Assistant Secretary for Housing--Federal Housing 
Commissioner.
Michael B. Janis,
General Deputy Assistant Secretary for Public and Indian Housing.
[FR Doc. 95-1121 Filed 1-17-95; 8:45 am]
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