I 

109TH CONGRESS 

1ST SESSION H. R. 2654

To provide for renewal of project-based assisted housing contracts at reimbursement levels that are sufficient to sustain operations, and for other 

purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 26, 2005

Mr. ANDREWS introduced the following bill; which was referred to the 

Committee on Financial Services 

A BILL

To provide for renewal of project-based assisted housing contracts at reimbursement levels that are sufficient to sustain operations, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. EXTENSION OF SECTION 8 CONTRACT RENEW4 ALS. 

5 (a) RENEWAL OF EXPIRING PROJECT-BASED SEC6 TION 8 CONTRACTS.—Section 524 of the Multifamily As7 sisted Housing Reform and Affordability Act of 1997 (42 

8 U.S.C. 1437f note) is amended—

9 (1) in subsection (a)(4)(A)(iv)—
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1 (A) in subclause (I), by inserting ‘‘or’’ 

2 after the semicolon; 

3 (B) by striking subclause (II); and 

4 (C) by redesignating subclause (III) as 

5 subclause (II); and 

6 (2) by striking paragraph (3) of subsection (b). 

7 (b) ADJUSTMENTS FOR COVERED PROJECTS.—

8 (1) RENT DETERMINATION AT INITIAL RE9 NEWAL AFTER ENACTMENT.—Upon the first request 

10 for renewal of project-based assistance pursuant to 

11 section 524 after the date of enactment of this Act 

12 by an owner of a covered housing project—

13 (A) the rent levels at which assistance will 

14 be provided pursuant to such renewal will be 

15 determined as if such renewal were the initial 

16 renewal of a contract for assistance under sec17 tion 524, as amended by subsection (a) of this 

18 section; and 

19 (B) solely for purposes of determining the 

20 rent levels at which assistance will be provided 

21 pursuant to such first renewal after the date of 

22 enactment of this Act, in the case of a project 

23 for which contract rents were reduced on a 

24 prior renewal of an expiring contract pursuant 

25 to subsection (b)(3) of section 524, as in effect 
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1 on the day before the date of enactment of this 

2 Act, the contract rent levels in effect imme3 diately prior to such first renewal after the date 

4 of enactment of this Act shall be considered to 

5 be the deemed rent levels described in para6 graph (3)(C). 

7 (2) RENT ADJUSTMENTS AFTER INITIAL RE8 NEWAL AFTER ENACTMENT.—After the first renewal 

9 of a contract for assistance of a covered project after 

10 the date of enactment of this Act in accordance with 

11 paragraph (1) of this subsection, the Secretary shall 

12 adjust rents in accordance with section 524(c). 

13 (3) DEFINITIONS.—In this subsection—

14 (A) references to ‘‘section 524’’ or any 

15 subdivision thereof are references to section 524 

16 of the Multifamily Assisted Housing Reform 

17 and Affordability Act of 1997 (42 U.S.C. 1437f 

18 note); 

19 (B) the term ‘‘covered housing project’’ 

20 means a project that receives project-based as21 sistance under section 8 of the United States 

22 Housing Act of 1937 (42 U.S.C. 1437f) which 

23 was renewed prior to the date of enactment of 

24 this Act pursuant to subsection (b)(3) of sec-
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1 tion 524, as in effect on the day before the date 

2 of enactment of this Act; 

3 (C) the term ‘‘deemed rent levels’’ means 

4 the contract rent levels in effect immediately 

5 prior to the first renewal of assistance pursuant 

6 to subsection (b)(3) of section 524, as in effect 

7 on the day before the date of enactment of this 

8 Act, upon which contract rent levels were re9 duced, as adjusted by the applicable operating 

10 cost adjustment factor established by the Sec11 retary at the date of such renewal and at the 

12 date of any subsequent renewal pursuant to 

13 subsection (b)(3) of section 524 occurring be14 fore the date of enactment of this Act; and 

15 (D) the term ‘‘Secretary’’ means the Sec16 retary of Housing and Urban Development.

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