42 U.S.C. § 1437t : US Code - Section 1437T: Authority to convert public housing to vouchers

Search 42 U.S.C. § 1437t : US Code - Section 1437T: Authority to convert public housing to vouchers

(a) Authority
A public housing agency may convert any public housing project
(or portion thereof) owned by the public housing agency to tenant-
based assistance, but only in accordance with the requirements of
this section.
(b) Conversion assessment
(1) In general
To convert public housing under this section, a public housing
agency shall conduct an assessment of the public housing that
includes -
(A) a cost analysis that demonstrates whether or not the cost
(both on a net present value basis and in terms of new budget
authority requirements) of providing tenant-based assistance
under section 1437f of this title for the same families in
substantially similar dwellings over the same period of time is
less expensive than continuing public housing assistance in the
public housing project for the remaining useful life of the
project;
(B) an analysis of the market value of the public housing
project both before and after rehabilitation, and before and
after conversion;
(C) an analysis of the rental market conditions with respect
to the likely success of the use of tenant-based assistance
under section 1437f of this title in that market for the
specific residents of the public housing project, including an
assessment of the availability of decent and safe dwellings
renting at or below the payment standard established for tenant-
based assistance under section 1437f of this title by the
agency;
(D) the impact of the conversion to tenant-based assistance
under this section on the neighborhood in which the public
housing project is located; and
(E) a plan that identifies actions, if any, that the public
housing agency would take with regard to converting any public
housing project or projects (or portions thereof) of the public
housing agency to tenant-based assistance.
(2) Timing
Not later than 2 years after the effective date under section
503(a) of the Quality Housing and Work Responsibility Act of
1998, each public housing agency shall conduct an assessment
under paragraph (1) or (3) of the status of each public housing
project owned by such agency and shall submit to the Secretary
such assessment. A public housing agency may otherwise undertake
an assessment under this subsection at any time and for any
public housing project (or portion thereof) owned by the agency.
A public housing agency may update a previously conducted
assessment for a project (or portion thereof) for purposes of
compliance with the one-year limitation under subsection (c) of
this section.
(3) Streamlined assessment
At the discretion of the Secretary or at the request of a
public housing agency, the Secretary may waive any or all of the
requirements of paragraph (1) or (3) or otherwise require a
streamlined assessment with respect to any public housing project
or class of public housing projects.
(c) Criteria for implementation of conversion plan
A public housing agency may convert a public housing project (or
portion thereof) owned by the agency to tenant-based assistance
only pursuant to a conversion assessment under subsection (b) of
this section that one year (!1) and that demonstrates that the
conversion -
(1) will not be more expensive than continuing to operate the
public housing project (or portion thereof) as public housing;
(2) will principally benefit the residents of the public
housing project (or portion thereof) to be converted, the public
housing agency, and the community; and
(3) will not adversely affect the availability of affordable
housing in such community.
(d) Conversion plan requirement
A public housing project may be converted under this section to
tenant-based assistance only as provided in a conversion plan under
this subsection, which has not been disapproved by the Secretary
pursuant to subsection (e) of this section. Each conversion plan
shall -
(1) be developed by the public housing agency, in consultation
with the appropriate public officials, with significant
participation by the residents of the project (or portion
thereof) to be converted;
(2) be consistent with and part of the public housing agency
plan;
(3) describe the conversion and future use or disposition of
the project (or portion thereof) and include an impact analysis
on the affected community;
(4) provide that the public housing agency shall -
(A) notify each family residing in a public housing project
(or portion) to be converted under the plan 90 days prior to
the displacement date except in cases of imminent threat to
health or safety, consistent with any guidelines issued by the
Secretary governing such notifications, that -
(i) the public housing project (or portion) will be removed
from the inventory of the public housing agency; and
(ii) each family displaced by such action will be offered
comparable housing -
(I) that meets housing quality standards;
(II) that is located in an area that is generally not
less desirable than the location of the displaced person's
housing; and
(III) which may include -
(aa) tenant-based assistance, except that the
requirement under this clause regarding offering of
comparable housing shall be fulfilled by use of tenant-
based assistance only upon the relocation of such family
into such housing;
(bb) project-based assistance; or
(cc) occupancy in a unit operated or assisted by the
public housing agency at a rental rate paid by the family
that is comparable to the rental rate applicable to the
unit from which the family is vacated;
(B) provide any necessary counseling for families displaced
by such action;
(C) ensure that, if the project (or portion) converted is
used as housing after such conversion, each resident may choose
to remain in their dwelling unit in the project and use the
tenant-based assistance toward rent for that unit; and
(D) provide any actual and reasonable relocation expenses for
families displaced by the conversion; and
(5) provide that any proceeds to the agency from the conversion
will be used subject to the limitations that are applicable under
section 1437p(a)(5) of this title to proceeds resulting from the
disposition or demolition of public housing.
(e) Review and approval of conversion plans
The Secretary shall disapprove a conversion plan only if -
(1) the plan is plainly inconsistent with the conversion
assessment for the agency developed under subsection (b) of this
section;
(2) there is reliable information and data available to the
Secretary that contradicts that conversion assessment; or
(3) the plan otherwise fails to meet the requirements of this
section.
(f) Tenant-based assistance
To the extent approved by the Secretary, the funds used by the
public housing agency to provide tenant-based assistance under
section 1437f of this title shall be added to the annual
contribution contract administered by the public housing agency.