•HR 5443 IH1S 
‘‘(A) ELDERLY
AND
DISABLED
FAMI-
LIES.—$750 in the case of any family that is 
an elderly family or a disabled family. 
‘‘(B) DEPENDENTS.—In the case of any 
family that includes a member or members who 
are dependents (as such term is defined in sec-
tion 152 of the Internal Revenue Code of 1986 
(26 U.S.C. 152)) and resides in the household, 
$500 for each such member. 
‘‘(C) HEALTH AND MEDICAL EXPENSES.— 
In the case of any elderly or disabled family, 
the amount, if any, by which the sum of any 
unreimbursed medical and health care expenses 
and reasonable attendant care and auxiliary ap-
paratus expenses for any person with disabil-
ities exceeds 10 percent of the family’s income. 
The Secretary shall annually adjust the amounts of 
the exclusions under subparagraphs (A) and (B), as 
such amounts may have been previously adjusted, by 
applying an inflationary factor as the Secretary 
shall, by regulation, establish. If the dollar amount 
of any such exclusion determined for any year by ap-
plying such inflationary factor is not a multiple of 
$25, the Secretary shall round such amount to the 
next lowest multiple of $25.’’. 
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•HR 5443 IH1S 
(c) HOUSING CHOICE VOUCHER PROGRAM.—Section 
8(o)(2) of the United States Housing Act of 1937 (42 
U.S.C. 1437f(o)(2)) is amended— 
(1) in subparagraph (A)— 
(A) by striking clause (ii); and 
(B) by redesignating clause (iii) as clause 
(ii); and 
(2) in subparagraph (B), by striking ‘‘, (ii), and 
(iii)’’ and inserting ‘‘and (ii)’’. 
(d) 
ENHANCED
VOUCHER
PROGRAM.—Section 
8(t)(1)(D) of the United States Housing Act of 1937 (42 
U.S.C. 1437f(t)(1)(D)) is amended by striking ‘‘income’’ 
and inserting ‘‘annual adjusted income’’. 
(e) HOMEOWNERSHIP PROGRAM.—Section 8(y)(2) of 
the United States Housing Act of 1937 (42 U.S.C. 
1437f(y)(2)) is amended— 
(1) in subparagraph (A)— 
(A) by striking clause (ii); and 
(B) by redesignating clause (iii) as clause 
(ii); and 
(2) in subparagraph (B), by striking ‘‘, (ii), and 
(iii)’’ and inserting ‘‘and (ii)’’. 
(f) EFFECTIVE
DATE
AND
TRANSITION.—The 
amendments made by this section shall apply with respect 
to fiscal year 2008 and fiscal years thereafter. 
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•HR 5443 IH1S 
SEC. 4. TARGETING VOUCHERS TO LOW-INCOME WORKING 
FAMILIES. 
Section 16(b)(1) of the United States Housing Act 
of 1937 (42 U.S.C. 1437n(b)(1)) is amended by inserting 
after ‘‘do not exceed’’ the following: ‘‘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), including any revision required by such sec-
tion) applicable to a family of the size involved, or (B)’’. 
SEC. 5. MOVING TO WORK PROGRAM. 
(a) IN GENERAL.—Title I of the United States Hous-
ing Act of 1937 (42 U.S.C. 1437 et seq.) is amended by 
adding at the end the following new section: 
‘‘SEC. 36. MOVING TO WORK PROGRAM. 
‘‘(a) PURPOSES.—The purposes of the program es-
tablished under this section are— 
‘‘(1) to give incentives to families to become 
self-sufficient; 
‘‘(2) to give public housing agencies and the 
Secretary flexibility to develop approaches for pro-
viding and administering housing assistance that 
achieve greater cost-effectiveness in Federal expendi-
tures; 
‘‘(3) to increase housing opportunities for low- 
income families; 
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•HR 5443 IH1S 
‘‘(4) to reduce administrative burdens on public 
housing agencies in providing housing assistance; 
and 
‘‘(5) to allow Federal resources to be more ef-
fectively utilized at the local level. 
‘‘(b) PROGRAM AUTHORITY.— 
‘‘(1) IN GENERAL.—The Secretary shall carry 
out a Moving to Work Program (in this section re-
ferred to as the ‘program’), in which public housing 
agencies selected under subsection (c) may partici-
pate. 
‘‘(2) USE
OF
ASSISTANCE.—Under the pro-
gram, a public housing agency— 
‘‘(A) may combine operating assistance 
provided under section 9(e), modernization as-
sistance provided under section 9(d), and assist-
ance provided under section 8 for voucher pro-
gram, to provide housing assistance for low-in-
come families, and services to facilitate the 
transition to work; and 
‘‘(B) shall continue to assist substantially 
the same total number of eligible low-income 
families as would have been served had the 
amounts not be combined. 
‘‘(3) AUTHORITY OF SECRETARY.— 
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•HR 5443 IH1S 
‘‘(A) WAIVER.—Notwithstanding any other 
provision of law, except as provided in sub-
section (f), the Secretary may waive any provi-
sion of this Act with respect to assistance under 
the program. 
‘‘(B) ADDITIONAL
POWERS.—The Sec-
retary may, as the Secretary determines appro-
priate to further the purposes of this section— 
‘‘(i) provide streamlined procedures 
including procurement procedures; and 
‘‘(ii) subject to paragraph (2), provide 
for immediate implementation of such pro-
cedures. 
‘‘(c) SELECTION.— 
‘‘(1) IN GENERAL.—The Secretary shall select 
public housing agencies to participate in the pro-
gram. The Secretary shall provide for agencies to 
submit applications, in such form as prescribed by 
the Secretary, for selection for participation in the 
program. 
‘‘(2) 
SELECTION
CRITERIA.—In 
selecting 
among applications by public housing agencies to 
participate in the program, the Secretary shall take 
into consideration the extent to which such public 
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•HR 5443 IH1S 
housing agency meets such criteria as the Secretary 
shall establish, including— 
‘‘(A) a demonstrated capacity by the public 
housing agency to develop and manage a suc-
cessful program; 
‘‘(B) demonstrated compliance by the 
agency with statutes and regulations applicable 
to Department of Housing and Urban Develop-
ment programs in which the public housing 
agency participates or has participated; 
‘‘(C) commitment by the agency of non- 
Federal resources, including resources from the 
local community; and 
‘‘(D) demonstrated commitment, by units 
of local government serving the areas within 
which the public housing agency administers its 
program, on removing regulatory barriers to af-
fordable housing. 
‘‘(3) LIMITATION ON TOTAL NUMBER OF AGEN-
CIES
PARTICIPATING.—Notwithstanding any other 
provision of law, the aggregate number of public 
housing agencies participating, at any single time, in 
the program under this section or in the moving to 
work demonstration program under section 204 of 
the Departments of Veterans Affairs and Housing 
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•HR 5443 IH1S 
and Urban Development, and Independent Agencies 
Appropriations Act, 1996 (42 U.S.C. 1437f note) (in 
this subsection referred to as the ‘demonstration 
program’) may not exceed 40. 
‘‘(4) TERM OF PARTICIPATION.— 
‘‘(A) 3-YEAR
TERM.—A public housing 
agency may participate in the program for a pe-
riod of 3 years pursuant to selection by the Sec-
retary. 
‘‘(B) REAPPLICATION
FOR
CONTINUED 
PARTICIPATION.— Upon the expiration (pursu-
ant to initial selection or reapplication under 
this subparagraph) of the period of participa-
tion of an agency in the program, the agency 
may reapply for selection for participation in 
the program and the Secretary shall select such 
agency for an additional 3-year period unless 
such agency fails to comply with the perform-
ance standards established by the Secretary 
pursuant to subsection (h)(3). 
‘‘(5) EFFECT ON AGENCIES CURRENTLY PAR-
TICIPATING IN DEMONSTRATION PROGRAM.—Subject 
to such procedures and requirements as the Sec-
retary may establish, a public housing agency that, 
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•HR 5443 IH1S 
as on the date of the enactment of this Act, is par-
ticipating in the demonstration program— 
‘‘(A) may apply, in accordance with the re-
quirements of this section, for participation in 
program under this section— 
‘‘(i) at any time before the expiration 
of the period of its participation in such 
demonstration, if the agency opts out of 
the demonstration program; or 
‘‘(ii) upon the expiration of the period 
of participation of such agency in the dem-
onstration program; and 
‘‘(B) upon such application, shall be treat-
ed, for purposes of selection for participation, 
as an agency reapplying under paragraph 
(4)(B). 
‘‘(d) ELIGIBILITY FOR SELECTION.—A public hous-
ing agency shall be eligible for selection to participate in 
the program only if such public housing agency— 
‘‘(1) is designated, at the time of submission of 
an application for participation, as a high performer 
under the applicable assessment systems that evalu-
ate the performance of a public housing agency, if 
any, with respect to its public housing and voucher 
programs; and 
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•HR 5443 IH1S 
‘‘(2)(A) manages at least 500 units of public 
housing pursuant to contracts for annual contribu-
tions; or 
‘‘(B) administers at least 500 vouchers for as-
sistance under section 8. 
‘‘(e) PROGRAM REQUIREMENTS.—A public housing 
agency that is administering a program pursuant to this 
section shall, as a condition of continued participation in 
the program— 
‘‘(1) consult with representatives of the commu-
nity that represent a broad range of the various in-
terests that are affected by the program; 
‘‘(2) target, for purposes of the program, not 
fewer than 90 percent of families authorized in the 
program under this section to receive assistance, 
who have gross incomes that do not exceed 60 per-
cent of the median income for the area, as deter-
mined by the Secretary, with adjustments for small-
er or larger families; 
‘‘(3) establish a reasonable rent policy which is 
designed to encourage employment and self-suffi-
ciency by participating families; 
‘‘(4) provide such assurances, as the Secretary 
shall require, that housing assisted under the pro-
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•HR 5443 IH1S 
gram meets housing standards established or ap-
proved by the Secretary; and 
‘‘(5) provide such additional information as de-
termined by the Secretary. 
‘‘(f) APPLICABILITY OF SECTION 18 PROVISIONS.— 
Section 18 shall continue to apply to public housing not-
withstanding any use of the housing under the program. 
‘‘(g) EFFECT ON SECTION 8 AND OPERATING SUB-
SIDIES ALLOCATIONS.—The amount of assistance received 
under section 8 or section 9 by a public housing agency 
participating in the program shall, subject to appropria-
tions, not be affected by its participation in the program. 
‘‘(h) EVALUATION OF PERFORMANCE.— 
‘‘(1) IN GENERAL.—The Secretary shall con-
duct detailed evaluations of all public housing agen-
cies participating in the program under this section 
and all agencies participating in the moving to work 
demonstration referred to in subsection (c)(3)— 
‘‘(A) to determine the level of success of 
each public housing agency in achieving the 
purposes of the program under subsection (a); 
and 
‘‘(B) to identify program models that can 
be replicated by other agencies to achieve such 
success. 
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•HR 5443 IH1S 
‘‘(2) IN GENERAL.—The Secretary shall assess 
the performance of a public housing agency in the 
program under this section and in the moving to 
work demonstration program referred to in sub-
section (c)(3). Subject to paragraph (3) of this sub-
section, such assessment— 
‘‘(A) may be conducted, only during the 
period ending January 1, 2008, using the appli-
cable assessment systems that evaluate the per-
formance of a public housing agency with re-
spect to its public housing and voucher pro-
grams, including section 6(j); or 
‘‘(B) except as provided in subparagraph 
(A), shall be conducted under such assessment 
systems as shall be designed by the Secretary to 
evaluate the program under this section. 
‘‘(3) PERFORMANCE STANDARDS.— 
‘‘(A) ISSUANCE OF RULES.—The Secretary 
shall, for the purposes of designing and imple-
menting performance standards for public hous-
ing agencies participating in the program under 
this section and agencies participating in the 
moving to work demonstration program re-
ferred to in subsection (c)(3), issue a proposed 
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•HR 5443 IH1S 
rule and a final rule implementing performance 
standards under this section. 
‘‘(B) TIMING.—The final rule required 
under subparagraph (A) shall be issued not 
later than 24 months after the date of enact-
ment of the Section 8 Voucher Reform Act of 
2006. 
‘‘(C) STANDARDS.—Performance stand-
ards issued by the Secretary under subpara-
graph (A) may include— 
‘‘(i) a baseline performance level 
against which public housing agencies may 
be rated; and 
‘‘(ii) standards for— 
‘‘(I) moving assisted low-income 
families to economic self-sufficiency; 
‘‘(II) reducing the per-family cost 
of providing housing assistance; 
‘‘(III) expanding housing choices 
for low-income families; 
‘‘(IV) improving program man-
agement; 
‘‘(V) increasing the number of 
homeownership opportunities and af-
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