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HR 1851
July 16, 2007
Received; read twice and referred to the Committee on Banking, Housing, and Urban Affairs
To reform the housing choice voucher program under section 8 of the United States Housing Act of 1937.
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 `Section 8 Voucher Reform Act of 2007'.
SEC. 2. INSPECTION OF DWELLING UNITS.
(a) In General- Section 8(o)(8) of the United States Housing Act of 1937 (
(1) by striking subparagraph (A) and inserting the following new subparagraph:
`(A) INITIAL INSPECTION-
`(i) 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.
`(ii) 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.
`(iii) 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).';
(2) by striking subparagraph (D) and inserting the following new subparagraph:
`(D) BIENNIAL INSPECTIONS-
`(i) 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).
`(ii) SUFFICIENT INSPECTION- An inspection of a property shall be sufficient to comply with the inspection requirement under clause (i) if--
`(I) 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 (
`(II) 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
(3) by redesignating subparagraph (E) as subparagraph (G);
(4) by inserting after subparagraph (D) the following new subparagraphs:
`(E) 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--
`(i) in the case of any condition that is life-threatening, within 24 hours after receipt of such notice; and
`(ii) in the case of any condition that is not life-threatening, within 15 days after receipt of such notice.
`(F) ENFORCEMENT OF HOUSING QUALITY STANDARDS-
`(i) 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--
`(I) 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;
`(II) the agency or inspector notifies the owner of the unit in writing of such failure to comply; and
`(III) the failure to comply is not corrected--
`(aa) in the case of any such failure that is a result of life-threatening conditions, within 24 hours after receipt of such notice; and
`(bb) 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.
`(ii) 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.
`(iii) 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).
`(iv) 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.
`(v) 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.
`(vi) 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.
`(vii) 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.
`(viii) 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.
`(ix) 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.'.
(b) 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.
SEC. 3. RENT REFORM AND INCOME REVIEWS.
(a) Rent for Public Housing and Section 8 Programs- Section 3 of the United States Housing Act of 1937 (
(1) in subsection (a)--
(A) in paragraph (1) by inserting `LOW-INCOME OCCUPANCY REQUIREMENT AND RENTAL PAYMENTS- ' after `(1)';
(B) in paragraph (1)--
(i) by striking `paragraph (2)' and inserting `paragraphs (2) and (3)'; and
(ii) by striking `paragraph (3)' and inserting `paragraph (4)';
(C) in paragraph (2)(A)(i), by striking `paragraph (3)' and inserting `paragraph (4)';
(D) by redesignating paragraphs (4) and (5) as paragraphs (5) and (6), respectively;
(E) by inserting after paragraph (2) the following new paragraph:
`(3) PHA AUTHORITY TO ESTABLISH ALTERNATIVE RENTS-
`(A) 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)--
`(i) a tenant rent structure in which--
`(I) the public housing agency establishes, based on the rental value of the unit, as determined by the public housing agency--
`(aa) a ceiling rent for each dwelling unit that it owns and operates; and
`(bb) a ceiling on the amount of the tenant contribution toward rent required of a family provided tenant-based assistance; and
`(II) 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);
`(ii) 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
`(iii) 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).
`(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.
`(C) ELDERLY FAMILIES AND DISABLED FAMILIES- Notwithstanding any other provision of this Act, this paragraph shall not apply to elderly families and disabled families.'; and
(F) by adding at the end the following new paragraphs:
`(7) REVIEWS OF FAMILY INCOME-
`(A) FREQUENCY- Reviews of family income for purposes of this section shall be made--
`(i) in the case of all families, upon the initial provision of housing assistance for the family;
`(ii) annually thereafter, except as provided in subparagraph (B)(i);
`(iii) 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
`(iv) 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.
`(B) FIXED-INCOME FAMILIES-
`(i) 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.
`(ii) 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).
`(iii) FIXED INCOME- For purposes of this subparagraph, the term `fixed income' includes income from--
`(I) 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;
`(II) Social Security payments;
`(III) Federal, State, local and private pension plans; and
`(IV) other periodic payments received from annuities, insurance policies, retirement funds, disability or death benefits, and other similar types of periodic receipts.
`(C) 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.
`(8) CALCULATION OF INCOME-
`(A) 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).
`(B) 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.
`(C) 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.
`(D) 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.
`(E) 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.
`(F) 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.';
(2) by striking subsections (d) and (e); and
(3) by redesignating subsection (f) as subsection (d).
(b) Income- Section 3(b) of the United States Housing Act of 1937 (
(1) by striking paragraph (4) and inserting the following new paragraph:
`(4) 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:
`(A) INCLUDED AMOUNTS- Such term includes recurring gifts and receipts, actual income from assets, and profit or loss from a business.
`(B) EXCLUDED AMOUNTS- Such term does not include--
`(i) any imputed return on assets; and
`(ii) any amounts that would be eligible for exclusion under section 1613(a)(7) of the Social Security Act (
`(C) 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.
`(D) 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.
`(E) 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
(2) by striking paragraph (5) and inserting the following new paragraph:
`(5) 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:
`(A) ELDERLY AND DISABLED FAMILIES- $725 in the case of any family that is an elderly family or a disabled family.
`(B) DEPENDENTS- In the case of any family that includes a member or members who--
`(i) are less than 18 years of age or attending school or vocational training on a full-time basis; or
`(ii) is a person with disabilities who is 18 years of age or older and resides in the household,
$500 for each such member.
`(C) HEALTH AND MEDICAL EXPENSES- The amount, if any, by which 10 percent of annual family income is exceeded by the sum of--
`(i) in the case of any elderly or disabled family, any unreimbursed health and medical care expenses; and
`(ii) 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.
`(D) 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.
The Secretary shall annually adjust the amounts of the exclusions under subparagraphs (A) and (B), as such amounts may have been previously adjusted, by applying an inflationary factor as the Secretary shall, by regulation, establish. If the dollar amount of any such exclusion determined for any year by applying such inflationary factor is not a multiple of $25, the Secretary shall round such amount to the next lowest multiple of $25.'.
(c) Housing Choice Voucher Program- Paragraph (5) of section 8(o) of the United States Housing Act of 1937 (
(1) in the paragraph heading, by striking `ANNUAL REVIEW' and inserting `REVIEWS';
(2) in subparagraph (A)--
(A) by striking `the provisions of' and inserting `paragraphs (7) and (8) of section 3(a) and to'; and
(B) by striking `and shall be conducted upon the initial provision of housing assistance for the family and thereafter not less than annually'; and
(3) in subparagraph (B), by striking the second sentence.
(d) Enhanced Voucher Program- Section 8(t)(1)(D) of the United States Housing Act of 1937 (
(e) Project-Based Housing- Paragraph (3) of section 8(c) of the United States Housing Act of 1937 (
(f) Impact on Public Housing Revenues-
(1) 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.
(2) 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.
(g) Effective Date and Transition- The amendments made by this section shall apply with respect to fiscal year 2008 and fiscal years thereafter.
SEC. 4. ELIGIBILITY FOR ASSISTANCE BASED ON ASSETS AND INCOME.
(a) Assets- Section 16 of the United States Housing Act of 1937 (
`(e) Eligibility for Assistance Based on Assets-
`(1) 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--
`(A) whose net family assets exceed $100,000, as such amount is adjusted annually by applying an inflationary factor as the Secretary considers appropriate; or
`(B) 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--
`(i) any property for which the family is receiving assistance under this Act;
`(ii) any person that is a victim of domestic violence; or
`(iii) any family that is making a good faith effort to sell such property.
`(2) NET FAMILY ASSETS-
`(A) 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.
`(B) EXCLUSIONS- Such term does not include--
`(i) the value of personal property, except for items of personal property of significant value, as the public housing agency may determine;
`(ii) the value of any retirement account;
`(iii) 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 (
`(iv) 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.
`(C) 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.
`(D) 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.
`(3) 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).
`(4) 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.'.
(b) Income- The United States Housing Act of 1937 is amended--
(1) in section 3(a)(1) (
(2) in section 8(o)(4) (
`(4) 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
(3) in section 8(c)(4) (
SEC. 5. TARGETING ASSISTANCE TO LOW-INCOME WORKING FAMILIES.
(a) Vouchers- Section 16(b)(1) of the United States Housing Act of 1937 (
(1) 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 (
(2) 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'.
(b) Public Housing- Section 16(a)(2)(A) of the United States Housing Act of 1937 (
(1) 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 (
(2) 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'.
(c) Project-Based Section 8 Assistance- Section 16(c)(3) of the United States Housing Act of 1937 (
(1) 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 (
(2) 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'.
SEC. 6. VOUCHER RENEWAL FUNDING.
(a) In General- Section 8 of the United States Housing Act of 1937 (
`(dd) Tenant-Based Vouchers-
`(1) 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:
`(A) To renew all expiring annual contributions contracts for tenant-based rental assistance.
`(B) To provide tenant-based rental assistance for--
`(i) 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);
`(ii) conversion of section 23 projects to assistance under this section;
`(iii) the family unification program under subsection (x) of this section;
`(iv) 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;
`(v) enhanced vouchers authorized under subsection (t) of this section;
`(vi) vouchers in connection with the HOPE VI program under section 24;
`(vii) demolition or disposition of public housing units pursuant to section 18 of the United States Housing Act of 1937 (
`(viii) mandatory and voluntary conversions of public housing to vouchers, pursuant to sections 33 and 22 of the United States Housing Act of 1937, respectively (
`(ix) vouchers necessary to comply with a consent decree or court order;
`(x) vouchers to replace dwelling units that cease to receive project-based assistance under subsection (b), (c), (d), (e), or (v) of this section;
`(xi) 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;
`(xii) tenant protection assistance, including replacement and relocation assistance; and
`(xiii) emergency voucher assistance for the protection of victims of domestic violence, dating violence, sexual assault, or stalking.
Subject only to the availability of sufficient amounts provided in appropriation Acts, the Secretary shall provide tenant-based rental assistance to replace all dwelling units that cease to be available as assisted housing as a result of clause (i), (ii), (v), (vi), (vii), (viii), (x), or (xi).
`(2) ALLOCATION OF RENEWAL FUNDING AMONG PUBLIC HOUSING AGENCIES-
`(A) From amounts appropriated for each year pursuant to paragraph (1)(A), the Secretary shall provide renewal funding for each public housing agency--
`(i) 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;
`(ii) 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;
`(iii) by making any adjustments necessary for full year funding of vouchers ported in the prior calendar year under subsection (r)(2); and
`(iv) 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.
`(B) 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.
`(C) 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).
`(D) 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 (
`(E) PRO RATA ALLOCATION-
`(i) 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.
`(ii) 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).
`(F) 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.
`(3) ADVANCES-
`(A) 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).
`(B) USE- Amounts advanced under subparagraph (A) may be used to pay for additional voucher costs, including costs related to temporary overleasing.
`(C) 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--
`(i) 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
`(ii) 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.
`(D) 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.
`(4) RECAPTURE-
`(A) 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--
`(i) 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
`(ii) 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.
`(B) REALLOCATION- Not later than May 1 of each calendar year, the Secretary shall--
`(i) calculate the aggregate unused amounts for the preceding year recaptured pursuant to subparagraph (A);
`(ii) 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
`(iii) 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.
`(C) 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).'.
(b) Absorption of Vouchers From Other Agencies- Section 8(r)(2) of the United States Housing Act of 1937 (
(c) 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.
SEC. 7. ADMINISTRATIVE FEES.
(a) In General- Section 8(q) of the United States Housing Act of 1937 (
(1) in paragraph (1), by striking subparagraphs (B) and (C) and inserting the following new subparagraphs:
`(B) CALCULATION- The fee under this subsection shall--
`(i) be payable to each public housing agency for each month for which a dwelling unit is covered by an assistance contract;
`(ii) 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);
`(iii) include an amount for the cost of issuing voucher to new participants;
`(iv) 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
`(v) include an amount for the cost of family self-sufficiency coordinators, as provided in section 23(h)(1).
`(C) PUBLICATION- The Secretary shall cause to be published in the Federal Register the fee rate for each geographic area.'; and
(2) in paragraph (4), by striking `1999' and inserting `2007'.
(b) Administrative Fees for Family Self-Sufficiency Program Costs- Subsection (h) of section 23 of the United States Housing Act of 1937 (
`(1) SECTION 8 FEES-
`(A) 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).
`(B) ELIGIBILITY FOR FEE- The fee shall provide funding for family self-sufficiency coordinators as follows:
`(i) 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.
`(ii) 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.
`(iii) 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.
`(iv) 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.
`(v) 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.
`(vi) 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.
`(C) 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.
`(D) 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).
`(E) 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.
`(F) 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.
`(G) 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.
`(H) 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.'.
(c) Repeal- Section 202 of the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1997 (
SEC. 8. HOMEOWNERSHIP.
(a) Section 8 Homeownership Downpayment Program- Section 8(y)(7) of the United States Housing Act of 1937 (
`(A) 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).
`(B) GRANT REQUIREMENTS- A downpayment assistance grant under this paragraph--
`(i) 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;
`(ii) shall be in the form of a single one-time grant; and
`(iii) may not exceed $10,000.
`(C) 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.'.
(b) Use of Vouchers for Manufactured Housing- Section 8(o)(12) of the United States Housing Act of 1937 (
(1) 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
(2) in subparagraph (B)--
(A) 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.';
(B) by striking clause (ii); and
(C) in clause (iii)--
(i) 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
(ii) by redesignating such clause as clause (ii).
SEC. 9. PHA REPORTING OF RENT PAYMENTS TO CREDIT REPORTING AGENCIES.
(a) In General- Section 3 of the United States Housing Act of 1937 (
`(e) PHA Reporting of Rent Payments to Credit Reporting Agencies-
`(1) 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 (
`(2) 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.'.
(b) Effective Date- The amendment made by subsection (a) shall take effect on the date of the enactment of this Act.
SEC. 10. PERFORMANCE ASSESSMENTS.
Section 8(o) of the United States Housing Act of 1937 (
`(21) PERFORMANCE ASSESSMENTS-
`(A) 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).
`(B) CONTENTS- The standards and procedures under this paragraph shall provide for assessment of the performance of public housing agencies in the following areas:
`(i) Quality of dwelling units obtained using such assistance.
`(ii) Extent of utilization of assistance amounts provided to the agency and of authorized vouchers.
`(iii) Timeliness and accuracy of reporting by the agency to the Secretary.
`(iv) Effectiveness in carrying out policies to achieve deconcentration of poverty.
`(v) Reasonableness of rent burdens, consistent with public housing agency responsibilities under section 8(o)(1)(E)(iii).
`(vi) Accurate rent calculations and subsidy payments.
`(vii) Effectiveness in carrying out family self-sufficiency activities.
`(viii) Timeliness of actions related to landlord participation.
`(ix) Such other areas as the Secretary considers appropriate.
`(C) 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.'.
SEC. 11. PHA PROJECT-BASED ASSISTANCE.
Section 8(o)(13) of the United States Housing Act of 1937 (
(1) by striking subparagraph (B) and inserting the following new subparagraph:
`(B) PERCENTAGE LIMITATION-
`(i) 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.
`(ii) 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 (
(2) by striking subparagraph (D) and inserting the following new subparagraph:
`(D) INCOME MIXING REQUIREMENT-
`(i) 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.
`(ii) EXCEPTIONS-
`(I) 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.
`(II) 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'.';
(3) in the first sentence of subparagraph (F), by striking `10 years' and inserting `15 years';
(4) in subparagraph (G)--
(A) 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
(B) 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.';
(5) 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)';
(6) 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';
(7) in subparagraph (J)--
(A) 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
(B) 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
(8) by adding at the end the following new subparagraphs:
`(L) 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--
`(i) dwelling units in cooperative housing;
`(ii) 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.
`(M) REVIEWS-
`(i) SUBSIDY LAYERING- A subsidy layering review in accordance with section 102(d) of the Department of Housing and Urban Development Reform Act of 1989 (
`(ii) 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.
`(N) 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.
`(O) 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.'.
SEC. 12. RENT BURDENS.
(a) Reviews- Section 8(o)(1) of the United States Housing Act of 1937 (
`(E) REVIEWS-
`(i) 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.
`(ii) 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.
`(iii) 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.'.
(b) Public Housing Agency Plan- Section 5A(d)(4) of the United States Housing Act of 1937 (
(c) 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'.
SEC. 13. ESTABLISHMENT OF FAIR MARKET RENT.
(a) In General- Paragraph (1) of section 8(c) of the United States Housing Act of 1937 (
(1) by inserting `(A)' after the paragraph designation;
(2) by striking the seventh, eighth, and ninth sentences; and
(3) by adding at the end the following:
`(B)(i) 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.
`(ii) The Secretary at a minimum shall define a separate market area for each--
`(I) metropolitan city, as such term is defined in section 102(a) of the Housing and Community Development Act of 1974 (
`(II) 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).
`(iii) 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--
`(I) the requested market area contains at least 20,000 rental dwelling units;
`(II) the areas contained in the requested market area are geographically contiguous and share similar housing market characteristics;
`(III) 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
`(IV) 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.
For purposes of subclause (III), data for an area shall be considered adequate if they are sufficient to establish from time to time a reliable benchmark fair market rental based primarily on data from that area, whether or not those data need to be supplemented with data from a larger area for purposes of annual updates.
`(iv) 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.'.
(b) Payment Standard- Subparagraph (B) of section 8(o)(1) of the United States Housing Act of 1937 (
SEC. 14. 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.'.
SEC. 15. ENHANCED VOUCHERS.
(a) Treatment of Unit and Family Size- Subparagraph (B) of section 8(t)(1) of the United States Housing Act of 1937 (
(b) Eligibility of Certain Projects- Notwithstanding any other provision of law--
(1) 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 (
(2) 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 (
(3) 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.
Amounts for the enhanced vouchers pursuant to this subsection shall be provided under amounts appropriated for tenant-based rental assistance otherwise authorized under section 8(t) of the United States Housing Act of 1937.
SEC. 16. HOUSING INNOVATION PROGRAM.
(a) Establishment of Program- Title I of the United States Housing Act of 1937 (
`SEC. 36. HOUSING INNOVATION PROGRAM.
`(a) 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--
`(1) 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;
`(2) 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;
`(3) provide financial incentives and other support mechanisms to families to obtain employment and increase earned income;
`(4) 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;
`(5) are subject to rigorous evaluation to test the effectiveness of such innovative approaches; and
`(6) are developed with the support of the local community and with the substantial participation of affected residents.
`(b) Program Authority-
`(1) 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).
`(2) 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.
`(c) Participation of Existing MTW Agencies-
`(1) EXISTING MTW AGENCIES- Subject to the requirements of paragraph (2), all existing MTW agencies shall be designated to participate in the program.
`(2) 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.
`(d) Additional Agencies-
`(1) 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:
`(A) 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).
`(B) 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).
`(C) 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).
`(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.
`(E) The process includes criteria for selection, as follows:
`(i) 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.
`(ii) 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.
`(iii) The extent to which the agency has a successful history of implementing strategies similar to those set forth in the agency's proposal.
`(iv) 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--
`(I) 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
`(II) the extent to which the proposal is likely to achieve
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Comments
can some one explain how the chamges will effect a disabled person on section 8.
is there anything about increases
sinlge mother request for a transfer of her voucher and now the agency is delaying the transfer. Now she is face with becoming homeless with her children. How long should she wait for her transfer and why is it taking so long.
Single mother requested that hr voucher be transfer. But the agency is delaying her transfer. She is staying with her sister for a month but after that she will be homeless with her children. She been told that the only reason why is taken so long is that the new admin and asst to the admin are trying to make a name for themself.
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