based on the amounts reported by the family at 
the time the agency or owner reviews the family’s 
income. 
‘‘(3) COMPLIANCE FOR PUBLIC HOUSING DWELL-
ING UNITS.—When recertifying family income with 
respect to families residing in public housing dwelling 
units, a public housing agency may, in the discretion 
of the agency and only pursuant to a policy that is 
set forth in the public housing agency plan under sec-
tion 5A for the agency, choose not to enforce the limi-
tation under paragraph (1). 
‘‘(4) AUTHORITY TO DELAY EVICTIONS.—In the 
case of a family residing in a dwelling unit assisted 
under this Act who does not comply with the limita-
tion under paragraph (1), the public housing agency 
or project owner may delay eviction or termination of 
the family based on such noncompliance for a period 
of not more than 6 months.’’. 
(b) INCOME.—The United States Housing Act of 1937 
is amended— 
(1) in section 3(a)(1) (42 U.S.C. 1437a(a)(1)), 
by striking the first sentence and inserting the fol-
lowing: ‘‘Dwelling units assisted under this Act may 
be rented, and assistance under this Act may be pro-
vided, whether initially or at time of recertification, 
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only to families who are low-income families at the 
time such initial or continued assistance, respectively, 
is provided, except that families residing in dwelling 
units as of the date of the enactment of the Section 
8 Voucher Reform Act of 2007 that, under agreements 
in effect on such date of enactment, may have incomes 
up to 95 percent of local area median income shall 
continue to be eligible for assistance at recertification 
as long as they continue to comply with such income 
restrictions. When recertifying family income with re-
spect to families residing in public housing dwelling 
units, a public housing agency may, in the discretion 
of the agency and only pursuant to a policy that is 
set forth in the public housing agency plan under sec-
tion 5A for the agency, choose not to enforce the pro-
hibition under the preceding sentence. When recerti-
fying family income with respect to families residing 
in dwelling units for which project-based assistance is 
provided, a project owner may, in the owner’s discre-
tion and only pursuant to a policy adopted by such 
owner, choose not to enforce such prohibition. In the 
case of a family residing in a dwelling unit assisted 
under this Act who does not comply with the prohibi-
tion under the first sentence of this paragraph, the 
public housing agency or project owner may delay 
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eviction or termination of the family based on such 
noncompliance for a period of not more than 6 
months.’’; 
(2) in section 8(o)(4) (42 U.S.C. 1437f(o)(4)), by 
striking the matter preceding subparagraph (A) and 
inserting the following: 
‘‘(4) ELIGIBLE FAMILIES.—Assistance under this 
subsection may be provided, whether initially or at 
each recertification, only pursuant to subsection (t) to 
a family eligible for assistance under such subsection 
or to a family who at the time of such initial or con-
tinued assistance, respectively, is a low-income family 
that is—’’; and 
(3) in section 8(c)(4) (42 U.S.C. 1437f(c)(4)), by 
striking ‘‘at the time it initially occupied such dwell-
ing unit’’ and inserting ‘‘according to the restrictions 
under section 3(a)(1)’’. 
SEC. 5. TARGETING ASSISTANCE TO LOW-INCOME WORKING 
FAMILIES. 
(a) VOUCHERS.—Section 16(b)(1) of the United States 
Housing Act of 1937 (42 U.S.C. 1437n(b)(1)) is amended— 
(1) by inserting after ‘‘do not exceed’’ the fol-
lowing: ‘‘the higher of (A) the poverty line (as such 
term is defined in section 673 of the Omnibus Budget 
Reconciliation Act of 1981 (42 U.S.C. 9902), includ-
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ing any revision required by such section) applicable 
to a family of the size involved, or (B)’’; and 
(2) by inserting before the period at the end the 
following: ‘‘; and except that clause (A) of this sen-
tence shall not apply in the case of families residing 
in Puerto Rico or any other territory or possession of 
the United States’’. 
(b) PUBLIC HOUSING.—Section 16(a)(2)(A) of the 
United 
States 
Housing 
Act 
of 
1937 
(42 
U.S.C. 
1437n(a)(2)(A)) is amended— 
(1) by inserting after ‘‘do not exceed’’ the fol-
lowing: ‘‘the higher of (i) the poverty line (as such 
term is defined in section 673 of the Omnibus Budget 
Reconciliation Act of 1981 (42 U.S.C. 9902), includ-
ing any revision required by such section) applicable 
to a family of the size involved, or (ii)’’; and 
(2) by inserting before the period at the end the 
following: ‘‘; and except that clause (i) of this sentence 
shall not apply in the case of families residing in 
Puerto Rico or any other territory or possession of the 
United States’’. 
(c) PROJECT-BASED SECTION 8 ASSISTANCE.—Section 
16(c)(3) of the United States Housing Act of 1937 (42 
U.S.C. 1437n(c)(3)) is amended— 
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(1) by inserting after ‘‘do not exceed’’ the fol-
lowing: ‘‘the higher of (A) the poverty line (as such 
term is defined in section 673 of the Omnibus Budget 
Reconciliation Act of 1981 (42 U.S.C. 9902), includ-
ing any revision required by such section) applicable 
to a family of the size involved, or (B)’’; and 
(2) by inserting before the period at the end the 
following: ‘‘; and except that clause (A) of this sen-
tence shall not apply in the case of families residing 
in Puerto Rico or any other territory or possession of 
the United States’’. 
SEC. 6. VOUCHER RENEWAL FUNDING. 
(a) IN GENERAL.—Section 8 of the United States 
Housing Act of 1937 (42 U.S.C. 1437f) is amended by strik-
ing subsection (dd) and inserting the following new sub-
section: 
‘‘(dd) TENANT-BASED VOUCHERS.— 
‘‘(1) AUTHORIZATION
OF
APPROPRIATIONS.— 
There are authorized to be appropriated, for each of 
fiscal years 2008 through 2012, such sums as may be 
necessary for tenant-based assistance under subsection 
(o) for the following purposes: 
‘‘(A) To renew all expiring annual con-
tributions contracts for tenant-based rental as-
sistance. 
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‘‘(B) To provide tenant-based rental assist-
ance for— 
‘‘(i) relocation and replacement of 
housing units that are demolished or dis-
posed of pursuant to the Omnibus Consoli-
dated Rescissions and Appropriations Act 
of 1996 (Public Law 104–134); 
‘‘(ii) conversion of section 23 projects 
to assistance under this section; 
‘‘(iii) the family unification program 
under subsection (x) of this section; 
‘‘(iv) relocation of witnesses in connec-
tion with efforts to combat crime in public 
and assisted housing pursuant to a request 
from a law enforcement or prosecution 
agency; 
‘‘(v) 
enhanced 
vouchers 
authorized 
under subsection (t) of this section; 
‘‘(vi) vouchers in connection with the 
HOPE VI program under section 24; 
‘‘(vii) demolition or disposition of pub-
lic housing units pursuant to section 18 of 
the United States Housing Act of 1937 (42 
U.S.C. 1437p); 
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‘‘(viii) mandatory and voluntary con-
versions of public housing to vouchers, pur-
suant to sections 33 and 22 of the United 
States Housing Act of 1937, respectively (42 
U.S.C. 1437z–5, 1437t); 
‘‘(ix) vouchers necessary to comply 
with a consent decree or court order; 
‘‘(x) vouchers to replace dwelling units 
that cease to receive project-based assistance 
under subsection (b), (c), (d), (e), or (v) of 
this section; 
‘‘(xi) tenant protection assistance, in-
cluding replacement and relocation assist-
ance; and 
‘‘(xii) emergency voucher assistance for 
the protection of victims of domestic vio-
lence, dating violence, sexual assault, or 
stalking. 
Subject only to the availability of sufficient 
amounts provided in appropriation Acts, the 
Secretary shall provide tenant-based rental as-
sistance to replace all dwelling units that cease 
to be available as assisted housing as a result of 
clause (i), (ii), (v), (vi), (vii), (viii), or (x). 
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‘‘(2) ALLOCATION OF RENEWAL FUNDING AMONG 
PUBLIC HOUSING AGENCIES.— 
‘‘(A) From amounts appropriated for each 
year pursuant to paragraph (1)(A), the Sec-
retary shall provide renewal funding for each 
public housing agency— 
‘‘(i) based on leasing and cost data 
from the preceding calendar year, as ad-
justed by an annual adjustment factor to be 
established by the Secretary, which shall be 
established using the smallest geographical 
areas for which data on changes in rental 
costs are annually available; 
‘‘(ii) by making any adjustments nec-
essary to provide for the first-time renewal 
of vouchers funded under paragraph (1)(B); 
‘‘(iii) by making any adjustments nec-
essary for full year funding of vouchers 
ported in the prior calendar year under 
subsection (r)(2); and 
‘‘(iv) by making such other adjust-
ments as the Secretary considers appro-
priate, including adjustments necessary to 
address changes in voucher utilization rates 
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and voucher costs related to natural and 
other major disasters. 
‘‘(B) LEASING AND COST DATA.—For pur-
poses of subparagraph (A)(i), leasing and cost 
data shall be calculated annually by using the 
average for the preceding calendar year. Such 
leasing and cost data shall be adjusted to include 
vouchers that were set aside under a commitment 
to provide project-based assistance under sub-
section (o)(13) and to exclude amounts funded 
through advances under paragraph (3). Such 
leasing and cost data shall not include funds not 
appropriated for tenant-based assistance under 
section 8(o), unless the agency’s funding was 
prorated in the prior year and the agency used 
other funds to maintain vouchers in use. 
‘‘(C) OVERLEASING.—For the purpose of de-
termining allocations under subsection (A)(i), 
the leasing rate calculated for the prior calendar 
year may exceed an agency’s authorized voucher 
level, except that such calculation in 2009 shall 
not include amounts resulting from a leasing 
rate in excess of 103 percent of an agency’s au-
thorized vouchers in 2008 which results from the 
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use of accumulated amounts, as referred to in 
paragraph (4)(A). 
‘‘(D) MOVING TO WORK; HOUSING INNOVA-
TION
PROGRAM.—Notwithstanding 
subpara-
graphs (A) and (B), each public housing agency 
participating at any time in the moving to work 
demonstration under section 204 of the Depart-
ments of Veterans Affairs and Housing and 
Urban Development, and Independent Agencies 
Appropriations Act, 1996 (42 U.S.C. 1437f note) 
or in the housing innovation program under sec-
tion 36 of this Act shall be funded pursuant to 
its agreement under such program and shall be 
subject to any pro rata adjustment made under 
subparagraph (E)(i). 
‘‘(E) PRO RATA ALLOCATION.— 
‘‘(i) INSUFFICIENT FUNDS.—To the ex-
tent that amounts made available for a fis-
cal year are not sufficient to provide each 
public housing agency with the full alloca-
tion for the agency determined pursuant to 
subparagraphs (A) and (D), the Secretary 
shall reduce such allocation for each agency 
on a pro rata basis, except that renewal 
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funding of enhanced vouchers under section 
8(t) shall not be subject to such proration. 
‘‘(ii) EXCESS
FUNDS.—To the extent 
that amounts made available for a fiscal 
year exceed the amount necessary to provide 
each housing agency with the full allocation 
for the agency determined pursuant to sub-
paragraphs (A) and (D), such excess 
amounts shall be used for the purposes spec-
ified in subparagraphs (B) and (C) of para-
graph (4). 
‘‘(F) PROMPT FUNDING ALLOCATION.—The 
Secretary shall allocate all funds under this sub-
section for each year before the latter of (i) Feb-
ruary 15, or (ii) the expiration of the 45-day pe-
riod beginning upon the enactment of the appro-
priations Act funding such renewals. 
‘‘(3) ADVANCES.— 
‘‘(A) 
AUTHORITY.—During 
the 
last 
months of each calendar year, the Secretary shall 
provide amounts to any public housing agency, 
at the request of the agency, in an amount up 
to two percent of the allocation for the agency for 
such calendar year, subject to subparagraph (C). 
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‘‘(B) USE.—Amounts advanced under sub-
paragraph (A) may be used to pay for addi-
tional voucher costs, including costs related to 
temporary overleasing. 
‘‘(C) USE OF PRIOR YEAR AMOUNTS.—Dur-
ing the last 3 months of a calendar year, if 
amounts previously provided to a public housing 
agency for tenant-based assistance for such year 
or for previous years remain unobligated and 
available to the agency— 
‘‘(i) the agency shall exhaust such 
amounts to cover any additional voucher 
costs 
under 
subparagraph 
(B) 
before 
amounts advanced under subparagraph (A) 
may be so used; and 
‘‘(ii) the amount that may be advanced 
under subparagraph (A) to the agency shall 
be reduced by an amount equal to the total 
of such previously provided and unobligated 
amounts. 
‘‘(D) 
REPAYMENT.—Amounts 
advanced 
under subparagraph (A) in a calendar year shall 
be repaid to the Secretary in the subsequent cal-
endar year by reducing the amounts made avail-
able for such agency for such subsequent calendar 
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year pursuant to allocation under paragraph (2) 
by an amount equal to the amount so advanced 
to the agency. 
‘‘(4) RECAPTURE.— 
‘‘(A) IN GENERAL.—The Secretary shall re-
capture, from amounts provided under the an-
nual contributions contract for a public housing 
agency for a calendar year, all accumulated 
amounts allocated under paragraph (2) and 
from previous years that are unused by the agen-
cy at the end of each calendar year except— 
‘‘(i) with respect to the recapture under 
this subparagraph at the end of 2007, an 
amount equal to one twelfth the amount al-
located to the public housing agency for 
such year pursuant to paragraph (2)(A); 
and 
‘‘(ii) with respect to the recapture 
under this subparagraph at the end of each 
of 2008, 2009, 2010, and 2011, an amount 
equal to 5 percent of such amount allocated 
to the agency for such year. Notwith-
standing any other provision of law, each 
public housing agency may retain all 
amounts not authorized to be recaptured 
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under this subparagraph, and may use such 
amounts for all authorized purposes. 
‘‘(B) REALLOCATION.—Not later than May 
1 of each calendar year, the Secretary shall— 
‘‘(i) calculate the aggregate unused 
amounts for the preceding year recaptured 
pursuant to subparagraph (A); 
‘‘(ii) set aside and make available such 
amounts as the Secretary considers appro-
priate to reimburse public housing agencies 
for increased costs related to portability and 
family self-sufficiency activities during such 
year; and 
‘‘(iii) reallocate all remaining amounts 
among public housing agencies, with pri-
ority given based on the extent to which an 
agency has utilized the amount allocated 
under paragraph (2) for the agency to serve 
eligible families. 
‘‘(C) USE.—Amounts reallocated to a public 
housing 
agency 
pursuant 
to 
subparagraph 
(B)(iii) may be used only to increase voucher 
leasing rates as provided under paragraph 
(2)(C).’’. 
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(b) ABSORPTION OF VOUCHERS FROM OTHER AGEN-
CIES.—Section 8(r)(2) of the United States Housing Act 
of 1937 (42 U.S.C. 1437f(r)(2)) is amended by adding after 
the period at the end the following: ‘‘The agency shall absorb 
the family into its program for voucher assistance under 
this section and shall have priority to receive additional 
funding from the Secretary for the housing assistance pro-
vided for such family from amounts made available pursu-
ant to subsection (dd)(4)(B).’’ 
(c) VOUCHERS FOR PERSONS WITH DISABILITIES.— 
The Secretary of Housing and Urban Development shall de-
velop and issue, to public housing agencies that received 
voucher assistance under section 8(o) for non-elderly dis-
abled families pursuant to appropriations Acts for fiscal 
years 1997 through 2002, guidance to ensure that, to the 
maximum extent practicable, such vouchers continue to be 
provided upon turnover to qualified non-elderly disabled 
families. 
SEC. 7. ADMINISTRATIVE FEES. 
(a) IN GENERAL.—Section 8(q) of the United States 
Housing Act of 1937 (42 U.S.C. 1437f(q)) is amended— 
(1) in paragraph (1), by striking subparagraphs 
(B) and (C) and inserting the following new subpara-
graphs: 
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‘‘(B) CALCULATION.—The fee under this 
subsection shall— 
‘‘(i) be payable to each public housing 
agency for each month for which a dwelling 
unit is covered by an assistance contract; 
‘‘(ii) until superseded through subse-
quent rulemaking, be based on the per-unit 
fee payable to the agency in fiscal year 
2003, updated for each subsequent year as 
specified in subsection (iv); 
‘‘(iii) include an amount for the cost of 
issuing voucher to new participants; 
‘‘(iv) be updated each year using an 
index of changes in wage data or other ob-
jectively measurable data that reflect the 
costs of administering the program for such 
assistance, as determined by the Secretary; 
and 
‘‘(v) include an amount for the cost of 
family self-sufficiency coordinators, as pro-
vided in section 23(h)(1). 
‘‘(C) PUBLICATION.—The Secretary shall 
cause to be published in the Federal Register the 
fee rate for each geographic area.’’; and 
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(2) in paragraph (4), by striking ‘‘1999’’ and in-
serting ‘‘2007’’. 
(b) ADMINISTRATIVE FEES FOR FAMILY SELF-SUFFI-
CIENCY PROGRAM COSTS.—Subsection (h) of section 23 of 
the United States Housing Act of 1937 (42 U.S.C. 
1437u(h)) is amended by striking paragraph (1) and insert-
ing the following new paragraph: 
‘‘(1) SECTION 8 FEES.— 
‘‘(A) IN GENERAL.—The Secretary shall es-
tablish a fee under section 8(q) for the costs in-
curred in administering the self-sufficiency pro-
gram under this section to assist families receiv-
ing voucher assistance through section 8(o). 
‘‘(B) ELIGIBILITY FOR FEE.—The fee shall 
provide funding for family self-sufficiency coor-
dinators as follows: 
‘‘(i) BASE
FEE.—A public housing 
agency serving 25 or more participants in 
the family self-sufficiency program under 
this section shall receive a fee equal to the 
costs of employing one full-time family self- 
sufficiency coordinator. An agency serving 
fewer than 25 such participants shall re-
ceive a prorated fee. 
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‘‘(ii) ADDITIONAL
FEE.—An agency 
that meets minimum performance standards 
shall receive an additional fee sufficient to 
cover the costs of employing a second family 
self-sufficiency coordinator if the agency has 
75 or more participating families, and a 
third such coordinator if it has 125 or more 
participating families. 
‘‘(iii) PREVIOUSLY
FUNDED
AGEN-
CIES.—An agency that received funding 
from the Department of Housing and 
Urban Development for more than three 
such coordinators in any of fiscal years 
1998 through 2007 shall receive funding for 
the highest number of coordinators funded 
in a single fiscal year during that period, 
provided they meet applicable size and per-
formance standards. 
‘‘(iv) INITIAL YEAR.—For the first year 
in which a public housing agency exercises 
its right to develop an family self-suffi-
ciency program for its residents, it shall be 
entitled to funding to cover the costs of up 
to one family self-sufficiency coordinator, 
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based on the size specified in its action plan 
for such program. 
‘‘(v) STATE
AND
REGIONAL
AGEN-
CIES.—For purposes of calculating the fam-
ily self-sufficiency portion of the adminis-
trative fee under this subparagraph, each 
administratively distinct part of a State or 
regional public housing agency shall be 
treated as a separate agency. 
‘‘(vi) DETERMINATION OF NUMBER OF 
COORDINATORS.—In determining whether a 
public housing agency meets a specific 
threshold for funding pursuant to this para-
graph, the number of participants being 
served by the agency in its family self-suffi-
ciency program shall be considered to be the 
average number of families enrolled in such 
agency’s program during the course of the 
most recent fiscal year for which the De-
partment of Housing and Urban Develop-
ment has data. 
‘‘(C) PRORATION.—If insufficient funds are 
available in any fiscal year to fund all of the co-
ordinators authorized under this section, the first 
priority shall be given to funding one coordi-
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nator at each agency with an existing family 
self-sufficiency program. The remaining funds 
shall be prorated based on the number of remain-
ing coordinators to which each agency is entitled 
under this subparagraph. 
‘‘(D) 
RECAPTURE.—Any 
fees 
allocated 
under this subparagraph by the Secretary in a 
fiscal year that have not been spent by the end 
of the subsequent fiscal year shall be recaptured 
by the Secretary and shall be available for pro-
viding additional fees pursuant to subparagraph 
(B)(ii). 
‘‘(E) PERFORMANCE
STANDARDS.—Within 
six months after the date of the enactment of this 
paragraph, the Secretary shall publish a pro-
posed rule specifying the performance standards 
applicable to funding under clauses (ii) and (iii) 
of subparagraph (B). Such standards shall in-
clude requirements applicable to the leveraging of 
in-kind services and other resources to support 
the goals of the family self-sufficiency program. 
‘‘(F) DATA
COLLECTION.—Public housing 
agencies receiving funding under this paragraph 
shall collect and report to the Secretary, in such 
manner as the Secretary shall require, informa-
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tion on the performance of their family self-suffi-
ciency programs. 
‘‘(G) EVALUATION.—The Secretary shall 
conduct a formal and scientific evaluation of the 
effectiveness of well-run family self-sufficiency 
programs, using random assignment of partici-
pants to the extent practicable. Not later than 
the expiration of the 4-year period beginning 
upon the enactment of this paragraph, the Sec-
retary shall submit an interim evaluation report 
to the Congress. Not later than the expiration of 
the 8-year period beginning upon such enact-
ment, the Secretary shall submit a final evalua-
tion report to the Congress. There is authorized 
to be appropriated $10,000,000 to carry out the 
evaluation under this subparagraph. 
‘‘(H) INCENTIVES
FOR
INNOVATION
AND 
HIGH
PERFORMANCE.—The Secretary may re-
serve up to 10 percent of the amounts made 
available for administrative fees under this 
paragraph to provide support to or reward fam-
ily self-sufficiency programs that are particu-
larly innovative or highly successful in achieving 
the goals of the program.’’. 
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(c) REPEAL.—Section 202 of the Departments of Vet-
erans Affairs and Housing and Urban Development, and 
Independent Agencies Appropriations Act, 1997 (42 U.S.C. 
1437f note; Public Law 104–204; 110 Stat. 2893) is hereby 
repealed. 
SEC. 8. HOMEOWNERSHIP. 
(a) SECTION 8 HOMEOWNERSHIP DOWNPAYMENT PRO-
GRAM.—Section 8(y)(7) of the United States Housing Act 
of 1937 (42 U.S.C. 1437f(y)(7)) is amended by striking sub-
paragraphs (A) and (B) and inserting the following new 
subparagraphs: 
‘‘(A) IN GENERAL.—Subject to the provi-
sions of this paragraph, in the case of a family 
on whose behalf rental assistance under section 
8(o) has been provided for a period of not less 
than 12 months prior to the date of receipt of 
downpayment assistance under this paragraph, 
a public housing agency may, in lieu of pro-
viding monthly assistance payments under this 
subsection on behalf of a family eligible for such 
assistance and at the discretion of the agency, 
provide a downpayment assistance grant in ac-
cordance with subparagraph (B). 
‘‘(B) GRANT REQUIREMENTS.—A downpay-
ment assistance grant under this paragraph— 
VerDate Aug 31 2005 
03:39 Jun 29, 2007
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