SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Public Housing Fair Compensation Act 
of 1993''.

SEC. 2. AUTHORITY AND AMOUNT.

    Section 6(d) of the United States Housing Act of 1937 (42 U.S.C. 
1437d(d)) is amended to read as follows:
    ``(d) Payments in Lieu of State and Local Taxes.--
            ``(1) In general.--Each contract for contributions with 
        respect to a low-income housing project shall provide that 
        contributions by the Secretary may not be made available for 
        the project unless the project (exclusive of any portion of the 
        project that is not assisted by contributions under this Act) 
        is exempt from all real and personal property taxes levied or 
        imposed by the State, city, county, or other political 
        subdivision. Each such contract shall require the public 
        housing agency to make payments in lieu of taxes, from amounts 
        provided to the agency pursuant to paragraph (5), in the amount 
        determined under paragraphs (2) and (3). If any low-income 
        housing project is not exempt from all real and personal 
        property taxes levied or imposed by the State, city, county, or 
        other political subdivision, such contract shall provide, in 
        lieu of the requirement for tax exemption and payment in lieu 
        of taxes, that contributions by the Secretary may not be made 
        available for the project unless and until the State, city, 
        county, or other political subdivision in which the project is 
        situated shall contribute, in the form of cash or tax 
        remission, the amount by which the taxes paid with respect to 
        the project exceed the amount determined under paragraph (2)(A) 
        for the project.
            ``(2) Determination of amount.--Subject to the limitations 
        under paragraph (4), the amount in lieu of taxes to be paid 
        under paragraph (1) by a public housing agency for a year for 
        any low-income housing project shall be--
                    ``(A) the sum of the amounts determined, for units 
                of each size, by multiplying (i) the number of dwelling 
                units in the project of such size, by (ii) the 
                applicable adjusted per unit payment amount determined 
                under paragraph (3) for units of such size; or
                    ``(B) such lesser amount that is--
                            ``(i) prescribed by State law;
                            ``(ii) agreed to by the local governing 
                        body in its agreement for local cooperation 
                        with the public housing agency required under 
                        section 5(e)(2); or
                            ``(iii) due to the failure of a local 
                        public body or bodies other than the public 
                        housing agency to perform any obligation under 
                        such agreement.
            ``(3) Adjusted per unit payment amounts.--
                    ``(A) In general.--For purposes of this subsection, 
                the Secretary shall determine the adjusted per unit 
                payment amounts for each fiscal year for dwelling units 
                of various sizes in low-income housing projects, as 
                determined by the Secretary. The per unit payment 
                amount for a dwelling unit for any fiscal year shall be 
                the pro rata share of the total amount available for 
                the fiscal year for all payments under this subsection 
                for all dwelling units, taking into consideration the 
                size of the dwelling unit (subject to subparagraph (B)) 
                and the cost of housing in the area in which the 
                project containing the dwelling unit is located (based 
                on the median family income and fair market rentals as 
                established under section 8(c), for such area).
                    ``(B) Dwelling size.--The Secretary shall provide 
                that (not taking into consideration any adjustment due 
                to area housing costs) the adjusted per unit payment 
                amount under this paragraph for single-room dwelling 
                units (not containing bathroom or kitchen facilities) 
                and units of 2 or more bedrooms is greater than such 
                amount for units of 1 bedroom that contain bathrooms 
                and kitchen facilities.
            ``(4) Limitations on amount.--Notwithstanding any other 
        provision of this subsection, the amount in lieu of taxes to be 
        paid under this subsection by a public housing agency in any 
        year may not exceed--
                    ``(A) for any single dwelling unit, $1,400; and
                    ``(B) for any project, the amount equal to the sum 
                of all real and personal property taxes that would be 
                levied or imposed with respect to the project by the 
                State, city, county, and other political subdivisions 
                were the project not exempt from all real and personal 
                property taxes.
            ``(5) Authorization of appropriations.--There are 
        authorized to be appropriated for providing amounts to public 
        housing agencies for making payments in lieu of taxes under 
        this subsection the following amounts for the following fiscal 
        years:
                    ``(A) $500,000,000 for fiscal year 1994.
                    ``(B) $1,000,000,000 for fiscal year 1995.
                    ``(C) $2,000,000,000 for fiscal year 1996.
                    ``(D) $2,000,000,000 for fiscal year 1997.
                    ``(E) $2,000,000,000 for fiscal year 1998.''.

SEC. 3. APPLICABILITY.

    The amendment made by section 2 shall apply only with respect to 
fiscal year 1994 and fiscal years thereafter, and the provisions of 
section 6(d) of the United States Housing Act of 1937, as in effect 
immediately before the enactment of this section, shall apply with 
respect to fiscal years preceding fiscal year 1994.
Public Housing Fair Compensation Act of 1993 - Amends the United States Housing Act of 1937 to revise the method of calculating the amounts paid by public housing agencies in lieu of State and local real and personal property taxes. 
Authorizes appropriations for such payments.
Public Housing Fair Compensation Act of 1993