out such other appropriate terms and conditions as
may be mutually agreed to by the agency and owner.
‘‘(i) PROJECT-BASED ASSISTANCE.—
‘‘(1) AUTHORITY.—Pursuant to an annual con-
tributions contract entered into under subsection
(b), a public housing agency may enter into a assist-
ance contract providing for assistance payments
under this section that are attached to a structure.
‘‘(2) REQUIREMENTS.—Any public housing
agency may approve project-based assistance under
this subsection with respect to any or all of the as-
sistance provided by the public housing agency if—
‘‘(A) the owner agrees to rehabilitate the
structure other than with assistance under this
Act and the owner otherwise complies with the
requirements of this section; and
‘‘(B) in the case of any newly constructed
structure, the owner or prospective owner
agrees to construct the structure other than
with assistance under this Act and otherwise
complies with the requirements of this section.
‘‘(3) LONG-TERM AFFORDABILITY.—
‘‘(A) IN GENERAL.—In the case of an as-
sistance contract for project-based assistance
under this subsection, a public housing agency
shall enter into a contract with an owner, con-
tingent upon the future availability of appro-
priations for the purpose of renewing expiring
contracts for assistance payments as provided
in appropriations Acts, to extend the term of
the underlying assistance contract for such pe-
riod or periods as the Secretary determines to
be appropriate to achieve long-term afford-
ability of the housing. The contract shall obli-
gate the owner to have the extensions of the as-
sistance contract accepted by the owner and the
owner’s successors in interest.
‘‘(B) TERM OF ASSISTANCE FOR LOW-IN-
COME HOUSING PRESERVATION.—The contract
for assistance may, at the option of the public
housing agency, have an initial term not exceed-
ing 15 years for any assistance that is at-
tached—
‘‘(i) to projects assisted under a State
program that permits the owner of the
projects to prepay a State assisted or sub-
sidized mortgage on the structure; and
‘‘(ii) for the purpose of providing in-
centives to owners to preserve such
projects for occupancy by low- and mod-
erate-income families (for the period that
assistance under this subparagraph is
available) and assisting low-income tenants
to afford any increases in rent that may be
required to induce the owner to maintain
occupancy in the project by low- and mod-
erate-income tenants.
Any assistance provided to low-income tenants
in the manner described in this subparagraph
shall not be considered for purposes of the limi-
tation under subsection (h)(2) regarding the
percentage of families that may receive assist-
ance under this section who do not qualify for
preferences under such subsection.
‘‘(4) SERVICE COORDINATORS.—In determining
the amount of assistance provided under an assist-
ance contract for project-based assistance under this
paragraph or a contract for assistance for housing
constructed or substantially rehabilitated pursuant
to assistance provided under section 8(b)(2) of this
Act (as such section existed before October 1, 1983),
the Secretary may, to the extent amounts are pro-
vided under section 5(c), increase the amount annu-
ally provided with respect to such project to provide
for the costs of employing or otherwise retaining the
services of one or more service coordinators under
section 671 of the Housing and Community Devel-
opment Act of 1992 to coordinate the provision of
any services within the project for residents of the
project who are elderly or disabled families.
‘‘(j) TERMINATION OF ASSISTANCE CONTRACTS.—
‘‘(1) NOTICE BY OWNER.—Any owner terminat-
ing any assistance contract shall provide written no-
tice to the Secretary and the tenants involved of the
proposed termination not less than one year before
the termination of the contract (but not less than 90
days in the case of tenant-based assistance). The no-
tice shall specify the date of the termination and the
reasons for the termination, with detail sufficient to
enable the Secretary to evaluate whether the termi-
nation is lawful and whether additional actions can
be taken by the Secretary to avoid the termination.
The notice shall include a statement that the owner
and the Secretary may agree to a renewal of the
contract, thus avoiding the termination.
‘‘(2) REVIEW OF NOTICE BY SECRETARY.—The
Secretary shall review the notice, shall consider
whether additional actions can be taken by the Sec-
retary to avoid the termination, and shall ensure a
proper adjustment of the contract rents for the
project in compliance with the requirements of sub-
section (d) and paragraph (3) of this subsection.
The Secretary shall issue a written finding of the le-
gality of the termination and the reasons for the ter-
mination, including the actions considered or taken
to avoid the termination. Within 30 days after issu-
ance of the findings, the owner shall provide written
notice to each tenant of the decision, together with
the written findings of the Secretary regarding the
termination. In the case of project-based assistance,
the Secretary and the owner shall complete the ac-
tions under this paragraph not later than the expira-
tion of the 9-month period beginning upon the date
that the owner provides written notice of termination
under paragraph (1).
‘‘(3) ADJUSTMENT OF CONTRACT RENT.—If an
owner provides notice of proposed termination under
paragraph (1) and the contract rent is less than the
maximum monthly rent for units assisted under this
section, the Secretary shall adjust the contract rent
based on the maximum monthly rent for units as-
sisted under this section and the value of the low-
income housing.
‘‘(4) NOTICE OF RENT INCREASES.—Each as-
sistance contract for project-based assistance under
this section shall require the owner to notify tenants
at least 90 days before the expiration of the contract
of any rent increase which may occur as a result of
the expiration of such contract.
‘‘(5) DEFINITION OF TERMINATION.—For pur-
poses of this subsection, the term ‘termination’
means the expiration of the assistance contract or
the refusal of the owner to renew an assistance con-
tract, which shall include the termination of tenancy
by an owner for business reasons.
‘‘(k) RENTAL ASSISTANCE
FOR MANUFACTURED
HOUSING.—
‘‘(1) IN GENERAL.—The Secretary may enter
into contracts to make assistance payments under
this subsection to assist low-income families by mak-
ing rental assistance payments on behalf of any such
family that utilizes a manufactured home as its prin-
cipal place of residence. In carrying out this sub-
section, the Secretary may—
‘‘(A) enter into annual contributions con-
tracts with public housing agencies pursuant to
which such agencies may enter into assistance
contracts to make such assistance payments to
the owners of such real property; or
‘‘(B) enter into such contracts directly
with the owners of such real property.
‘‘(2) USE OF ASSISTANCE.—Rental assistance
payments under this subsection may be made with
respect to the rental of the real property on which
is located a manufactured home that is owned by a
low-income family or with respect to the rental by
such a family of a manufactured home and the real
property on which it is located.
‘‘(3) ASSISTANCE FOR RENTAL OF MANUFAC-
TURED HOME SITE.—
‘‘(A) MAXIMUM MONTHLY RENT.—A con-
tract entered into pursuant to this paragraph
shall establish the maximum monthly rent (in-
cluding maintenance and management charges)
that the owner is entitled to receive for the
space on which a manufactured home is located
and with respect to which assistance payments
are to be made. The maximum monthly rent
shall not exceed by more than 10 percent the
fair market rental established by the Secretary
periodically (but not less than annually) with
respect to the market area for the rental of real
property suitable for occupancy by families as-
sisted under this paragraph.