42 U.S.C. § 1437z-5 : US Code - Section 1437Z-5: Required conversion of distressed public housing to tenant-based assistance

Search 42 U.S.C. § 1437z-5 : US Code - Section 1437Z-5: Required conversion of distressed public housing to tenant-based assistance

(a) Identification of units
Each public housing agency shall identify all public housing
projects of the public housing agency that meet all of the
following requirements:
(1) The project is on the same or contiguous sites.
(2) The project is determined by the public housing agency to
be distressed, which determination shall be made in accordance
with guidelines established by the Secretary, which guidelines
shall take into account the criteria established in the Final
Report of the National Commission on Severely Distressed Public
Housing (August 1992).
(3) The project -
(A) is identified as distressed housing under paragraph (2)
for which the public housing agency cannot assure the long-term
viability as public housing through reasonable modernization
expenses, density reduction, achievement of a broader range of
family income, or other measures; or
(B) has an estimated cost, during the remaining useful life
of the project, of continued operation and modernization as
public housing that exceeds the estimated cost, during the
remaining useful life of the project, of providing tenant-based
assistance under section 1437f of this title for all families
in occupancy, based on appropriate indicators of cost (such as
the percentage of total development costs required for
modernization).
(b) Consultation
Each public housing agency shall consult with the appropriate
public housing residents and the appropriate unit of general local
government in identifying any public housing projects under
subsection (a) of this section.
(c) Plan for removal of units from inventories of PHAs
(1) Development
Each public housing agency shall develop and carry out a 5-year
plan in conjunction with the Secretary for the removal of public
housing units identified under subsection (a) of this section
from the inventory of the public housing agency and the annual
contributions contract.
(2) Approval
Each plan required under paragraph (1) shall -
(A) be included as part of the public housing agency plan;
(B) be certified by the relevant local official to be in
accordance with the comprehensive housing affordability
strategy under title I of the Housing and Community Development
Act of 1992; and
(C) include a description of any disposition and demolition
plan for the public housing units.
(3) Extensions
The Secretary may extend the 5-year deadline described in
paragraph (1) by not more than an additional 5 years if the
Secretary makes a determination that the deadline is
impracticable.
(4) Review by Secretary
(A) Failure to identify projects
If the Secretary determines, based on a plan submitted under
this subsection, that a public housing agency has failed to
identify 1 or more public housing projects that the Secretary
determines should have been identified under subsection (a) of
this section, the Secretary may designate the public housing
projects to be removed from the inventory of the public housing
agency pursuant to this section.
(B) Erroneous identification of projects
If the Secretary determines, based on a plan submitted under
this subsection, that a public housing agency has identified 1
or more public housing projects that should not have been
identified pursuant to subsection (a) of this section, the
Secretary shall -
(i) require the public housing agency to revise the plan of
the public housing agency under this subsection; and
(ii) prohibit the removal of any such public housing
project from the inventory of the public housing agency under
this section.
(d) Conversion to tenant-based assistance
(1) In general
To the extent approved in advance in appropriations Acts, the
Secretary shall make budget authority available to a public
housing agency to provide assistance under this chapter to
families residing in any public housing project that, pursuant to
this section, is removed from the inventory of the agency and the
annual contributions contract of the agency.
(2) Conversion requirements
Each agency carrying out a plan under subsection (c) of this
section for removal of public housing dwelling units from the
inventory of the agency shall -
(A) notify each family residing in a public housing project
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 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; and
(II) 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;
(D) ensure that each displaced resident is offered comparable
housing in accordance with the notice under subparagraph (A);
and
(E) provide any actual and reasonable relocation expenses for
families displaced by such action.
(e) Cessation of unnecessary spending
Notwithstanding any other provision of law, if, in the
determination of the Secretary, a project or projects of a public
housing agency meet or are likely to meet the criteria set forth in
subsection (a) of this section, the Secretary may direct the agency
to cease additional spending in connection with such project or
projects until the Secretary determines or approves an appropriate
course of action with respect to such project or projects under
this section, except to the extent that failure to expend such
amounts would endanger the health or safety of residents in the
project or projects.
(f) Use of budget authority
Notwithstanding any other provision of law, if a project or
projects are identified pursuant to subsection (a) of this section,
the Secretary may authorize or direct the transfer, to the tenant-
based assistance program of such agency or to appropriate site
revitalization or other capital improvements approved by the
Secretary, of -
(1) in the case of an agency receiving assistance under the
comprehensive improvement assistance program, any amounts
obligated by the Secretary for the modernization of such project
or projects pursuant to section 1437l of this title (as in effect
immediately before the effective date under section 503(a) of the
Quality Housing and Work Responsibility Act of 1998);
(2) in the case of an agency receiving public housing
modernization assistance by formula pursuant to such section
1437l of this title, any amounts provided to the agency which are
attributable pursuant to the formula for allocating such
assistance to such project or projects;
(3) in the case of an agency receiving assistance for the major
reconstruction of obsolete projects, any amounts obligated by the
Secretary for the major reconstruction of such project or
projects pursuant to section 1437c(j)(2) of this title, as in
effect immediately before the effective date under section 503(a)
of the Quality Housing and Work Responsibility Act of 1998; and
(4) in the case of an agency receiving assistance pursuant to
the formulas under section 1437g of this title, any amounts
provided to the agency which are attributable pursuant to the
formulas for allocating such assistance to such project or
projects.
(g) Removal by Secretary
The Secretary shall take appropriate actions to ensure removal of
any public housing project identified under subsection (a) of this
section from the inventory of a public housing agency, if the
public housing agency fails to adequately develop a plan under
subsection (c) of this section with respect to that project, or
fails to adequately implement such plan in accordance with the
terms of the plan.
(h) Administration
(1) In general
The Secretary may require a public housing agency to provide to
the Secretary or to public housing residents such information as
the Secretary considers to be necessary for the administration of
this section.
(2) Applicability of section 1437p
Section 1437p of this title shall not apply to the demolition
of public housing projects removed from the inventory of the
public housing agency under this section.