107
exceed 80 percent of the median income for the
area, as determined by the Secretary with adjust-
ments for smaller and larger families, except that
the Secretary may, for purposes of this paragraph,
establish income ceilings higher or lower than 80
percent of the median for the area on the basis of
the public housing agency’s findings that such vari-
ations are necessary because of unusually high or
low family incomes.
(14) LOW-INCOME HOUSING.—The term ‘‘low-
income housing’’ means dwellings that comply with
the requirements—
(A) under title XII for assistance under
such title for the dwellings; or
(B) under title XIII for rental assistance
payments under such title for the dwellings.
(15) 
NEAR-ELDERLY
PERSON.—The 
term
‘‘near-elderly person’’ means a person who is at least
55 years of age.
(16) OPERATION.—When used in reference to
public housing, the term ‘‘operation’’ means any or
all undertakings appropriate for management, oper-
ation, services, maintenance, security (including the
cost of security personnel), or financing in connec-
108
tion with a public housing development, including
the financing of resident programs and services.
(17) PERSON WITH DISABILITIES.—The term
‘‘person with disabilities’’ means a person who—
(A) has a disability as defined in section
223 of the Social Security Act;
(B) is determined, pursuant to regulations
issued by the Secretary, to have a physical,
mental, or emotional impairment which (i) is
expected to be of long-continued and indefinite
duration, (ii) substantially impedes his or her
ability to live independently, and (iii) is of such
a nature that such ability could be improved by
more suitable housing conditions; or
(C) has a developmental disability as de-
fined in section 102 of the Developmental Dis-
abilities Assistance and Bill of Rights Act.
Such term shall not exclude persons who have the
disease of acquired immunodeficiency syndrome or
any conditions arising from the etiologic agent for
acquired immunodeficiency syndrome. Notwithstand-
ing any other provision of law, no individual shall be
considered a person with disabilities, for purposes of
eligibility for public housing under title XII of this
Act, solely on the basis of any drug or alcohol de-
109
pendence. The Secretary shall consult with other ap-
propriate Federal agencies to implement the preced-
ing sentence.
(18) PRODUCTION.—When used in reference to
public housing, the term ‘‘production’’ means any or
all undertakings necessary for planning, land acqui-
sition, financing, demolition, construction, or equip-
ment, in connection with the construction, acquisi-
tion, or rehabilitation of a property for use as a pub-
lic housing development, including activity in connec-
tion with a public housing development that is con-
fined to the reconstruction, remodeling, or repair of
existing buildings.
(19) PRODUCTION COST.—When used in ref-
erence to public housing, the term ‘‘production cost’’
means the costs incurred by a public housing agency
for production of public housing and the necessary
financing for production (including the payment of
carrying charges and acquisition costs).
(20) PUBLIC
HOUSING.—The term ‘‘public
housing’’ means housing, and all necessary appur-
tenances thereto, that—
(A) is low-income housing, low-income
dwelling units in mixed-finance housing (as pro-
vided in subtitle F of title XII), or low-income
110
dwelling units in mixed income housing (as pro-
vided in section 1221(c)(2)); and
(B)(i) is subject to an annual block grant
contract under title XII; or
(ii) was subject to an annual block grant
contract under title XII (or an annual contribu-
tions contract under the United States Housing
Act of 1937) which is not in effect, but for
which occupancy is limited in accordance with
the requirements under section 1222(a).
(21) PUBLIC
HOUSING
AGENCY.—The term
‘‘public housing agency’’ is defined in section 1103.
(22) RESIDENT COUNCIL.—The term ‘‘resident
council’’ means an organization or association that
meets the requirements of section 1234(a).
(23) RESIDENT MANAGEMENT CORPORATION.—
The term ‘‘resident management corporation’’ means
a corporation that meets the requirements of section
1234(b)(2).
(24) RESIDENT PROGRAM.—The term ‘‘resident
programs and services’’ means programs and serv-
ices for families residing in public housing develop-
ments. Such term may include: (A) the development
and maintenance of resident organizations which
participate in the management of public housing de-
111
velopments; (B) the training of residents to manage
and operate the public housing development and the
utilization of their services in management and oper-
ation of the development; (C) counseling on house-
hold management, housekeeping, budgeting, money
management, homeownership issues, child care, and
similar matters; (D) advice regarding resources for
job training and placement, education, welfare,
health, and other community services; (E) services
that are directly related to meeting resident needs
and providing a wholesome living environment; and
(F) referral to appropriate agencies in the commu-
nity when necessary for the provision of such serv-
ices. To the maximum extent available and appro-
priate, existing public and private agencies in the
community shall be used for the provision of such
services.
(25) 
SECRETARY.—The 
term 
‘‘Secretary’’
means the Secretary of Housing and Urban Develop-
ment.
(26) STATE.—The term ‘‘State’’ means the
States of the United States, the District of Colum-
bia, the Commonwealth of Puerto Rico, the Com-
monwealth of the Northern Mariana Islands, Guam,
the Virgin Islands, American Samoa, and any other
112
territory or possession of the United States and In-
dian tribes.
(27) VERY
LOW-INCOME
FAMILY.—The term
‘‘very low-income family’’ means a low-income family
whose income does not exceed 50 percent of the me-
dian family income for the area, as determined by
the Secretary with adjustments for smaller and larg-
er families, except that the Secretary may, for pur-
poses of this paragraph, establish income ceilings
higher or lower than 50 percent of the median for
the area on the basis of the public housing agency’s
findings that such variations are necessary because
of unusually high or low family incomes.
SEC. 1103. ORGANIZATION OF PUBLIC HOUSING AGENCIES.
(a) REQUIREMENTS.—For purposes of this division,
the terms ‘‘public housing agency’’ and ‘‘agency’’ mean
any entity that—
(1) is—
(A) a public housing agency that was au-
thorized under the United States Housing Act
of 1937 to engage in or assist in the develop-
ment or operation of low-income housing;
(B) authorized under this division to en-
gage in or assist in the development or oper-
ation of low-income housing by any State, coun-
113
ty, municipality, or other governmental body or
public entity;
(C) an entity authorized by State law to
administer 
choice-based 
housing 
assistance
under title XIII; or
(D) an entity selected by the Secretary,
pursuant to subtitle D of title XV, to manage
housing; and
(2) complies with the requirements under sub-
section (b).
The term does not include any entity that is an Indian
housing authority for purposes of the United States Hous-
ing Act of 1937 (as in effect before the effectiveness of
the Native American Housing Assistance and Self-Deter-
mination Act of 1996) or a tribally designated housing en-
tity, as such term is defined in section 4 of the Native
American Housing Assistance and Self-Determination Act
of 1996.
(b) GOVERNANCE.—
(1) BOARD OF DIRECTORS.—Each public hous-
ing agency shall have a board of directors or other
form of governance as prescribed in State or local
law. No person may be barred from serving on such
board or body because of such person’s residency in
115
(ii) any public housing agency that
owns or operates less than 250 public
housing dwelling units (including any
agency that does not own or operate public
housing); or
(iii) any public housing agency in a
State that requires the members of the
board of directors or other similar body of
a public housing agency to be salaried and
to serve on a full-time basis.
(3) FULL PARTICIPATION.—No public housing
agency may limit or restrict the capacity or offices
in which a member of such board or body may serve
on such board or body solely because of the mem-
ber’s status as a resident member.
(4) CONFLICTS OF INTEREST.—The Secretary
shall establish guidelines to prevent conflicts of in-
terest on the part of members of the board or direc-
tors or governing body of a public housing agency.
(5) DEFINITIONS.—For purposes of this sub-
section, the following definitions shall apply:
(A) ELECTED PUBLIC HOUSING RESIDENT
MEMBER.—The term ‘‘elected public housing
resident member’’ means, with respect to the
public housing agency involved, an individual
116
who is a resident member of the board of direc-
tors (or other similar governing body of the
agency) by reason of election to such position
pursuant to an election—
(i) in which eligibility for candidacy in
such election is limited to individuals
who—
(I) maintain their principal resi-
dence in a dwelling unit of public
housing administered or assisted by
the agency; and
(II) have not been convicted of a
felony;
(ii) in which only residents of dwelling
units of public housing administered by the
agency may vote; and
(iii) that is conducted in accordance
with standards and procedures for such
election, which shall be established by the
Secretary.
(B) RESIDENT MEMBER.—The term ‘‘resi-
dent member’’ means a member of the board of
directors or other similar governing body of a
public housing agency who is a resident of a
public housing dwelling unit owned, adminis-
117
tered, or assisted by the agency or is a member
of an assisted family (as such term is defined
in section 1371) assisted by the agency.
(c) ESTABLISHMENT OF POLICIES.—Any rules, regu-
lations, policies, standards, and procedures necessary to
implement policies required under section 1106 to be in-
cluded in the local housing management plan for a public
housing agency shall be approved by the board of directors
or similar governing body of the agency and shall be pub-
licly available for review upon request.
SEC. 1104. DETERMINATION OF ADJUSTED INCOME AND
MEDIAN INCOME.
(a) ADJUSTED INCOME.—For purposes of this divi-
sion, the term ‘‘adjusted income’’ means, with respect to
a family, the difference between the income of the mem-
bers of the family residing in a dwelling unit or the per-
sons on a lease and the amount of any income exclusions
for the family under subsections (b) and (c), as deter-
mined by the public housing agency.
(b) MANDATORY EXCLUSIONS FROM INCOME.—In
determining adjusted income, a public housing agency
shall exclude from the annual income of a family the fol-
lowing amounts:
(1) ELDERLY AND DISABLED FAMILIES.—$400
for any elderly or disabled family.
118
(2) MEDICAL
EXPENSES.—The amount by
which 3 percent of the annual family income is ex-
ceeded by the sum of—
(A) unreimbursed medical expenses of any
elderly family;
(B) unreimbursed medical expenses of any
nonelderly family, except that this subpara-
graph shall apply only to the extent approved in
appropriation Acts; and
(C) unreimbursed reasonable attendant
care and auxiliary apparatus expenses for each
handicapped member of the family, to the ex-
tent necessary to enable any member of such
family (including such handicapped member) to
be employed.
(3) CHILD CARE EXPENSES.—Any reasonable
child care expenses necessary to enable a member of
the family to be employed or to further his or her
education.
(4) MINORS, STUDENTS, AND PERSONS WITH
DISABILITIES.—$480 for each member of the family
residing in the household (other than the head of the
household or his or her spouse) who is less than 18
years of age or is attending school or vocational
119
training on a full-time basis, or who is 18 years of
age or older and is a person with disabilities.
(5) CHILD SUPPORT PAYMENTS.—Any payment
made by a member of the family for the support and
maintenance of any child who does not reside in the
household, except that the amount excluded under
this paragraph may not exceed $480 for each child
for whom such payment is made.
(6) EARNED INCOME OF MINORS.—The amount
of any earned income of a member of the family who
is not—
(A) 18 years of age or older; and
(B) the head of the household (or the
spouse of the head of the household).
(c) PERMISSIVE EXCLUSIONS FROM INCOME.—In de-
termining adjusted income, a public housing agency may,
in the discretion of the agency, establish exclusions from
the annual income of a family. Such exclusions may in-
clude the following amounts:
(1) EXCESSIVE TRAVEL EXPENSES.—Excessive
travel expenses in an amount not to exceed $25 per
family per week, for employment- or education-relat-
ed travel.
(2) EARNED
INCOME.—An amount of any
earned income of the family, established at the dis-
120
cretion of the public housing agency, which may be
based on—
(A) all earned income of the family,
(B) the amount earned by particular mem-
bers of the family;
(C) the amount earned by families having
certain characteristics; or
(D) the amount earned by families or
members during certain periods or from certain
sources.
(3) OTHERS.—Such other amounts for other
purposes, as the public housing agency may estab-
lish.
(d) MEDIAN INCOME.—In determining median in-
comes (of persons, families, or households) for an area or
establishing any ceilings or limits based on income under
this division, the Secretary shall determine or establish
area median incomes and income ceilings and limits for
Westchester and Rockland Counties, in the State of New
York, as if each such county were an area not contained
within the metropolitan statistical area in which it is lo-
cated. In determining such area median incomes or estab-
lishing such income ceilings or limits for the portion of
such metropolitan statistical area that does not include
Westchester or Rockland Counties, the Secretary shall de-
121
termine or establish area median incomes and income ceil-
ings and limits as if such portion included Westchester
and Rockland Counties.
(e) AVAILABILITY OF INCOME MATCHING INFORMA-
TION.—
(1) DISCLOSURE
TO
PHA.—A public housing
agency shall require any family described in para-
graph (2) who receives information regarding in-
come, earnings, wages, or unemployment compensa-
tion from the Department of Housing and Urban
Development pursuant to income verification proce-
dures of the Department to disclose such informa-
tion, upon receipt of the information, to the public
housing agency that owns or operates the public
housing dwelling unit in which such family resides or
that provides the housing assistance on behalf of
such family, as applicable.
(2) APPLICABILITY
TO
FAMILIES
RECEIVING
PUBLIC HOUSING OR CHOICE-BASED HOUSING AS-
SISTANCE.—A family described in this paragraph is
a family that resides in a dwelling unit—
(A) that is a public housing dwelling unit;
or
(B) for which housing assistance is pro-
vided under title XIII (or under the program
122
for tenant-based assistance under section 8 of
the United States Housing Act of 1937 (as in
effect before the effective date of the repeal
under section 1601(b) of this Act)).
(3) PROTECTION OF APPLICANTS AND PARTICI-
PANTS.—Section 904 of the Stewart B. McKinney
Homeless Assistance Amendments Act of 1988 (42
U.S.C. 3544) is amended—
(A) in subsection (b)—
(i) in paragraph (2), by striking
‘‘and’’ at the end;
(iii) in paragraph (3), by striking the
period at the end and inserting ‘‘; and’’;
and
(ii) by adding at the end the following
new paragraph:
‘‘(4) only in the case of an applicant or partici-
pant that is a member of a family described in sec-
tion 1104(e)(2) of the Housing Opportunity and Re-
sponsibility Act of 1998, sign an agreement under
which the applicant or participant agrees to provide
to the appropriate public housing agency the infor-
mation required under such section 1104(e)(1) of
the Housing Opportunity and Responsibility Act of
1998 for the sole purpose of the public housing
123
agency verifying income information pertinent to the
applicant’s or participant’s eligibility or level of ben-
efits, and comply with such agreement.’’; and
(B) in subsection (c)—
(i) in paragraph (2)(A), in the matter
preceding clause (I)—
(I) by inserting before ‘‘or’’ the
first place it appears the following: ‘‘,
pursuant to section 1104(e)(1) of the
Housing Opportunity and Responsibil-
ity Act of 1997 from the applicant or
participant,’’; and
(II) by inserting ‘‘or 104(e)(1)’’
after ‘‘such section 303(i)’’; and
(ii) in paragraph (3)—
(I) in subparagraph (A), by in-
serting ‘‘, section 1104(e)(1) of the
Housing Opportunity and Responsibil-
ity Act of 1998,’’ after ‘‘Social Secu-
rity Act’’; and
(II) in subparagraph (A), by in-
serting ‘‘or agreement, as applicable,’’
after ‘‘consent’’;
(III) in subparagraph (B), by in-
serting ‘‘section 1104(e)(1) of the
124
Housing Opportunity and Responsibil-
ity Act of 1998,’’ after ‘‘Social Secu-
rity Act,’’; and
(IV) in subparagraph (B), by insert-
ing ‘‘ such section 1104(e)(1),’’ after ‘‘such
section 303(i),’’ each place it appears.
SEC. 1105. COMMUNITY WORK AND FAMILY SELF-SUFFI-
CIENCY REQUIREMENTS.
(a) COMMUNITY WORK REQUIREMENT.—
(1) IN GENERAL.—Except as provided in para-
graph (3), each public housing agency shall require,
as a condition of occupancy of a public housing
dwelling unit by a family and of providing housing
assistance under title XIII on behalf of a family,
that each adult member of the family shall contrib-
ute not less than 8 hours of work per month (not
including political activities) within the community
in which the family resides, which may include work
performed on locations not owned by the public
housing agency.
(2) EMPLOYMENT
STATUS
AND
LIABILITY.—
The requirement under paragraph (1) may not be
construed to establish any employment relationship
between the public housing agency and the member
of the family subject to the work requirement under
125
such paragraph or to create any responsibility, duty,
or liability on the part of the public housing agency
for actions arising out of the work done by the mem-
ber of the family to comply with the requirement, ex-
cept to the extent that the member of the family is
fulfilling the requirement by working directly for
such public housing agency.
(3) EXEMPTIONS.—A public housing agency
shall provide for the exemption, from the applicabil-
ity of the requirement under paragraph (1), of each
individual who is—
(A) an elderly person;
(B) a person with disabilities;
(C) working, attending school or vocational
training, or otherwise complying with work re-
quirements applicable under other public assist-
ance programs (as determined by the agencies
or organizations responsible for administering
such programs); or
(D) otherwise physically impaired to the
extent that they are unable to comply with the
requirement, as certified by a doctor.
(b) REQUIREMENT REGARDING TARGET DATE FOR
TRANSITION OUT OF ASSISTED HOUSING.—
126
(1) IN GENERAL.—Each public housing agency
shall require, as a condition of occupancy of a public
housing dwelling unit by a family and of providing
housing assistance under title XIII on behalf of a
family, that the family and the agency enter into an
agreement 
(included, 
pursuant 
to 
subsection
(d)(2)(C), as a term of an agreement under sub-
section (d)) establishing a target date by which the
family intends to graduate from, terminate tenancy
in, or no longer receive public housing or housing as-
sistance under title XIII.
(2) RIGHTS OF OCCUPANCY.—This subsection
may not be construed (nor may any provision of sub-
section (d) or (e)) to create a right on the part of
any public housing agency to evict or terminate as-
sistance for a family solely on the basis of any fail-
ure of the family to comply with the target date es-
tablished pursuant to paragraph (1).
(3) FACTORS.—In establishing a target date
pursuant to paragraph (1) for a family that receives
benefits for welfare or public assistance from a State
or other public agency under a program that limits
the duration during which such benefits may be re-
ceived, the public housing agency and the family
may take into consideration such time limit. This
127
section may not be construed to require any public
housing agency to adopt any such time limit on the
duration of welfare or public assistance benefits as
the target date pursuant to paragraph (1) for a resi-
dent.
(4) EXEMPTIONS.—A public housing agency
shall provide for the exemption, from the applicabil-
ity of the requirements under paragraph (1), of each
individual who is—
(A) an elderly person;
(B) a person with disabilities;
(C) working, attending school or vocational
training, or otherwise complying with work re-
quirements applicable under other public assist-
ance programs (as determined by the agencies
or organizations responsible for administering
such programs); or
(D) otherwise physically impaired to the
extent that they are unable to comply with the
requirement, as certified by a doctor.
(c) TREATMENT OF INCOME CHANGES RESULTING
FROM WELFARE PROGRAM REQUIREMENTS.—
(1) COVERED FAMILY.—For purposes of this
subsection, the term ‘‘covered family’’ means a fam-
ily that: (A) receives benefits for welfare or public
128
assistance from a State or other public agency under
a program for which the Federal, State, or local law
relating to the program requires, as a condition of
eligibility for assistance under the program, partici-
pation of a member of the family in an economic
self-sufficiency program; and (B) resides in a public
housing dwelling unit or is provided housing assist-
ance under title XIII.
(2) DECREASES IN INCOME FOR FAILURE TO
COMPLY.—Notwithstanding the provisions of sec-
tions 1225 and 1322 (relating to family rental con-
tributions), if the welfare or public assistance bene-
fits of a covered family are reduced under a Federal,
State, or local law regarding such an assistance pro-
gram because of any failure of any member of the
family to comply with the conditions under the as-
sistance program requiring participation in an eco-
nomic self-sufficiency program, the amount required
to be paid by the family as a monthly contribution
toward rent may not be decreased, during the period
of the reduction, as a result of any decrease in the
income of the family (to the extent that the decrease
in income is a result of the benefits reduction).
(3) EFFECT OF FRAUD.—Notwithstanding the
provisions of sections 1225 and 1322 (relating to
129
family rental contributions), if the welfare or public
assistance benefits of a covered family are reduced
because of an act of fraud by a member of the fam-
ily under the law or program, the amount required
to be paid by the covered family as a monthly con-
tribution toward rent may not be decreased, during
the period of the reduction, as a result of any de-
crease in the income of the family (to the extent that
the decrease in income is a result of the benefits re-
duction).
(4) NOTICE.—Paragraphs (2) and (3) shall not
apply to any covered family before the public hous-
ing agency providing assistance under this division
on behalf of the family obtains written notification
from the relevant welfare or public assistance agency
specifying that the family’s benefits have been re-
duced because of noncompliance with economic self-
sufficiency program requirements or fraud and the
level of such reduction.
(5) OCCUPANCY RIGHTS.—This subsection may
not be construed to authorize any public housing
agency to establish any time limit on tenancy in a
public housing dwelling unit or on receipt of housing
assistance under title XIII.
130
(6) REVIEW.—Any covered family residing in
public housing that is affected by the operation of
this subsection shall have the right to review the de-
termination under this subsection through the ad-
ministrative grievance procedure established pursu-
ant to section 1110 for the public housing agency.
(7) COOPERATION AGREEMENTS FOR ECONOMIC
SELF-SUFFICIENCY ACTIVITIES.—
(A) REQUIREMENT.—A public housing
agency providing public housing dwelling units
or housing assistance under title XIII for cov-
ered families shall make its best efforts to enter
into such cooperation agreements, with State,
local, and other agencies providing assistance to
covered families under welfare or public assist-
ance programs, as may be necessary, to provide
for such agencies to transfer information to fa-
cilitate administration of subsection (a) and
paragraphs (2), (3), and (4) of this subsection,
and other information regarding rents, income,
and assistance that may assist a public housing
agency or welfare or public assistance agency in
carrying out its functions.
(B) CONTENTS.—A public housing agency
shall seek to include in a cooperation agreement
131
under this paragraph requirements and provi-
sions designed to target assistance under wel-
fare and public assistance programs to families
residing in public housing developments and re-
ceiving choice-based assistance under title XIII,
which may include providing for self-sufficiency
services within such housing, providing for serv-
ices designed to meet the unique employment-
related needs of residents of such housing and
recipients of such assistance, providing for
placement of workfare positions on-site in such
housing, and such other elements as may be ap-
propriate.
(C) CONFIDENTIALITY.—This paragraph
may not be construed to authorize any release
of information that is prohibited by, or in con-
travention of, any other provision of Federal,
State, or local law.
(d) COMMUNITY WORK AND FAMILY SELF-SUFFI-
CIENCY AGREEMENTS.—
(1) IN
GENERAL.—A public housing agency
shall enter into a community work and family self-
sufficiency agreement under this subsection with
each adult member and head of household of each
family who is to reside in a dwelling unit in public
132
housing of the agency and each family on behalf of
whom the agency will provide housing assistance
under title XIII. Under the agreement the family
shall agree that, as a condition of occupancy of the
public housing dwelling unit or of receiving such
housing assistance, the family will comply with the
terms of the agreement.
(2) TERMS.—An agreement under this sub-
section shall include the following:
(A) Terms designed to encourage and fa-
cilitate the economic self-sufficiency of the as-
sisted family entering into the agreement and
the graduation of the family from assisted
housing to unassisted housing.
(B) Notice of the requirements under sub-
section (a) (relating to community work) and
the conditions imposed by, and exemptions
from, such requirement.
(C) The target date agreed upon by the
family pursuant to subsection (b) for gradua-
tion from, termination of tenancy in, or termi-
nation of receipt of public housing or housing
assistance under title XIII.
(D) Terms providing for any resources,
services, and assistance relating to self-suffi-
133
ciency that will be made available to the family,
including any assistance to be made available
pursuant to subsection (c)(7)(B) under a co-
operation agreement entered into under sub-
section (c)(7).
(E) Notice of the provisions of paragraphs
(2) through (7) of subsection (c) (relating to ef-
fect of changes in income on rent and assisted
families rights under such circumstances).
(e) LEASE PROVISIONS.—A public housing agency
shall incorporate into leases under section 1226, and into
any agreements for the provision of choice-based assist-
ance under title XIII on behalf of a family—
(1) a provision requiring compliance with the
requirement under subsection (a); and
(2) provisions incorporating the conditions
under subsection (c).
(f) TREATMENT OF INCOME.—Notwithstanding any
other provision of this section, in determining the income
or tenancy of a family who resides in public housing or
receives housing assistance under title XIII, a public hous-
ing agency shall consider any decrease in the income of
a family that results from the reduction of any welfare
or public assistance benefits received by the family under
any Federal, State, or local law regarding a program for
134
such assistance if the family (or a member thereof, as ap-
plicable) has complied with the conditions for receiving
such assistance and is unable to obtain employment not-
withstanding such compliance.
(g) DEFINITION.—For purposes of this section, the
term ‘‘economic self-sufficiency program’’ means any pro-
gram designed to encourage, assist, train, or facilitate the
economic independence of participants and their families
or to provide work for participants, including programs
for job training, employment counseling, work placement,
basic skills training, education, workfare, financial or
household management, apprenticeship, or other activities
as the Secretary may provide.
SEC. 1106. LOCAL HOUSING MANAGEMENT PLANS.
(a) 5-YEAR PLAN.—The Secretary shall provide for
each public housing agency to submit to the Secretary,
once every 5 years, a plan under this subsection for the
agency covering a period consisting of 5 fiscal years. Each
such plan shall contain, with respect to the 5-year period
covered by the plan, the following information:
(1) STATEMENT OF MISSION.—A statement of
the mission of the agency for serving the needs of
low-income families in the jurisdiction of the agency
during such period.
135
(2) GOALS AND OBJECTIVES.—A statement of
the goals and objectives of the agency that will en-
able the agency to serve the needs identified pursu-
ant to paragraph (1) during such period.
(3) CAPITAL IMPROVEMENT OVERVIEW.—If the
agency will provide capital improvements for public
housing developments during such period, an over-
view of such improvements, the rationale for such
improvements, and an analysis of how such improve-
ments will enable the agency to meet its goals, objec-
tives, and mission.
The first 5-year plan under this subsection for a public
housing agency shall be submitted for the 5-year period
beginning with the first fiscal year for which the agency
receives assistance under this division.
(b) ANNUAL PLAN.—The Secretary shall provide for
each public housing agency to submit to the Secretary a
local housing management plan under this section for each
fiscal year that contains the information required under
subsection (d). For each fiscal year after the initial sub-
mission of a plan under this section by a public housing
agency, the agency may comply with requirements for sub-
mission of a plan under this subsection by submitting an
update of the plan for the fiscal year.
136
(c) PROCEDURES.—The Secretary shall establish re-
quirements and procedures for submission and review of
plans, including requirements for timing and form of sub-
mission, and for the contents of such plans. Such proce-
dures shall provide that a public housing agency—
(1) shall, in conjunction with the relevant State
or unit of general local government, establish proce-
dures to ensure that the plan under this section is
consistent with the applicable comprehensive housing
affordability strategy (or any consolidated plan in-
corporating such strategy) for the jurisdiction in
which the public housing agency is located, in ac-
cordance with title I of the Cranston-Gonzalez Na-
tional Affordable Housing Act; and
(2) may, at the option of the agency, submit a
plan under this section together with, or as part of,
the comprehensive housing affordability strategy (or
any consolidated plan incorporating such strategy)
for the relevant jurisdiction, and for concomitant re-
view of such plans submitted together.
(d) CONTENTS.—An annual local housing manage-
ment plan under this section for a public housing agency
shall contain the following information relating to the up-
coming fiscal year for which the assistance under this divi-
sion is to be made available:
137
(1) NEEDS.—A statement of the housing needs
of low-income and very low-income families residing
in the community served by the agency, and of other
low-income families on the waiting list of the agency
(including the housing needs of elderly families and
disabled families), and the means by which the agen-
cy intends, to the maximum extent practicable, to
address such needs.
(2) FINANCIAL RESOURCES.—A statement of fi-
nancial resources available for the agency the
planned uses of such resources that includes—
(A) a description of the financial resources
available to the agency;
(B) the uses to which such resources will
be committed, including all proposed eligible
and required activities under section 1203 and
housing assistance to be provided under title
XIII;
(C) an estimate of the costs of operation
and the market rental value of each public
housing development; and
(D) a specific description, based on popu-
lation and demographic data, of the unmet af-
fordable housing needs of families in the com-
munity served by the agency having incomes
138
not exceeding 30 percent of the area median in-
come and a statement of how the agency will
expend grant amounts received under this divi-
sion to meet the housing needs of such families.
(3) POPULATION SERVED.—A statement of the
policies of the agency governing eligibility, admis-
sions, and occupancy of families with respect to pub-
lic housing dwelling units and housing assistance
under title XIII, including—
(A) the requirements for eligibility for such
units and assistance and the method and proce-
dures by which eligibility and income will be de-
termined and verified;
(B) the requirements for selection and ad-
missions of eligible families for such units and
assistance, including any preferences and proce-
dures established by the agency and any out-
reach efforts;
(C) the procedures for assignment of fami-
lies admitted to dwelling units owned, leased,
managed, operated, or assisted by the agency;
(D) any standards and requirements for
occupancy of public housing dwelling units and
units assisted under title XIII, including resi-
dent screening policies, standard lease provi-
139
sions, conditions for continued occupancy, ter-
mination of tenancy, eviction, and conditions
for termination of housing assistance;
(E) the procedures for maintaining waiting
lists for admissions to public housing develop-
ments of the agency, which may include a sys-
tem of site-based waiting lists under section
1224(c);
(F) the criteria for providing and denying
housing assistance under title XIII to families
moving into the jurisdiction of the agency;
(G) the procedures for coordination with
entities providing assistance to homeless fami-
lies in the jurisdiction of the agency; and
(H) the fair housing policy of the agency.
(4) RENT
DETERMINATION.—A statement of
the policies of the agency governing rents charged
for public housing dwelling units and rental con-
tributions of assisted families under title XIII and
the system used by the agency to ensure that such
rents comply with the requirements of this division.
(5) OPERATION AND MANAGEMENT.—A state-
ment of the rules, standards, and policies of the pub-
lic housing agency governing maintenance and man-
agement of housing owned and operated by the
140
agency, and management of the public housing agen-
cy and programs of the agency, including—
(A) a description of the manner in which
the agency is organized (including any consortia
or joint ventures) and staffed to perform the
duties and functions of the public housing agen-
cy and to administer the operating fund dis-
tributions of the agency;
(B) policies relating to the rental of dwell-
ing units, including policies designed to reduce
vacancies;
(C) housing quality standards in effect
pursuant to sections 1232 and 1328 and any
certifications required under such sections;
(D) emergency and disaster plans for pub-
lic housing;
(E) priorities and improvements for man-
agement of public housing, including initiatives
to control costs; and
(F) policies of the agency requiring the
loss or termination of housing assistance and
tenancy under sections 1641 and 1642 (relating
to occupancy standards for federally assisted
housing).
141
(6) GRIEVANCE PROCEDURE.—A statement of
the grievance procedures of the agency under section
1110.
(7) CAPITAL IMPROVEMENTS.—With respect to
public housing developments owned or operated by
the agency, a plan describing the capital improve-
ments necessary to ensure long-term physical and
social viability of the developments.
(8) DEMOLITION AND DISPOSITION.—With re-
spect to public housing developments owned or oper-
ated by the agency—
(A) a description of any such housing to be
demolished or disposed of under subtitle E of
title XII; and
(B) a timetable for such demolition or dis-
position.
(9) DESIGNATION OF HOUSING FOR ELDERLY
AND DISABLED FAMILIES.—With respect to public
housing developments owned or operated by the
agency, a description of any developments (or por-
tions thereof) that the agency has designated or will
designate for occupancy by elderly and disabled fam-
ilies in accordance with section 1227 and any infor-
mation required under section 1227(d) for such des-
ignated developments.
142
(10) CONVERSION OF PUBLIC HOUSING.—With
respect to public housing owned or operated by the
agency, a description of any building or buildings
that the agency is required, under section 1203(b),
to convert to housing assistance under title XIII or
that the agency voluntarily converts, an analysis of
such buildings required under such section for con-
version, and a statement of the amount of grant
amounts under title XII to be used for rental assist-
ance or other housing assistance.
(11) HOMEOWNERSHIP ACTIVITIES.—A descrip-
tion of—
(A) any homeownership programs of the
agency under subtitle D of title XII or section
1329 for the agency;
(B) the requirements and assistance avail-
able under the programs described pursuant to
subparagraph (A); and
(C) the annual goals of the agency for ad-
ditional availability of homeownership units.
(12) ECONOMIC
SELF-SUFFICIENCY
AND
CO-
ORDINATION
WITH
WELFARE
AND
OTHER
APPRO-
PRIATE AGENCIES.—A description of—
(A) policies relating to services and amen-
ities provided or offered to assisted families, in-
143
cluding the provision of service coordinators
and services designed for certain populations
(such as the elderly and disabled);
(B) how the agency will coordinate with
State, local, and other agencies providing assist-
ance to families participating in welfare or pub-
lic assistance programs;
(C) how the agency will implement and ad-
minister section 1105; and
(D) any policies, programs, plans, and ac-
tivities of the agency for the enhancement of
the economic and social self-sufficiency of resi-
dents assisted by the programs of the agency,
including rent structures to encourage self-suf-
ficiency.
(13) SAFETY AND CRIME PREVENTION.—A plan
established by the public housing agency, which shall
be subject to the following requirements:
(A) SAFETY
MEASURES.—The plan shall
provide, on a development-by-development basis,
for measures to ensure the safety of public
housing residents.
(B) ESTABLISHMENT.—The plan shall be
established, with respect to each development,
in consultation with the police officer or officers
144
in command for the precinct in which the devel-
opment is located.
(C) CONTENT.—The plan shall describe
the need for measures to ensure the safety of
public housing residents and for crime preven-
tion measures, describe any such activities con-
ducted, or to be conducted, by the agency, and
provide for coordination between the public
housing agency and the appropriate police pre-
cincts for carrying out such measures and ac-
tivities.
(D) SECRETARIAL
ACTION.—If the Sec-
retary determines, at any time, that the secu-
rity needs of a development are not being ade-
quately addressed by the plan, or that the local
police precinct is not complying with the plan,
the Secretary may mediate between the public
housing agency and the local precinct to resolve
any issues of conflict. If after such mediation
has occurred and the Secretary determines that
the security needs of the development are not
adequately addressed, the Secretary may re-
quire the public housing agency to submit an
amended plan.
145
(14) ANNUAL AUDIT.—The results of the most
recent fiscal year audit of the agency required under
section 1541(b).
(15) TROUBLED AGENCIES.—Such other addi-
tional information as the Secretary may determine
to be appropriate for each public housing agency
that is designated—
(A) under section 1533(c) as at risk of be-
coming troubled; or
(B) under section 1533(a) as troubled.
(16) ASSET
MANAGEMENT.—A statement of
how the agency will carry out its asset management
functions with respect to the public housing inven-
tory of the agency, including how the agency will
plan for the long-term operating, capital investment,
rehabilitation, modernization, disposition, and other
needs for such inventory.
(e) CITIZEN PARTICIPATION.—
(1) PUBLICATION OF NOTICE.—Not later than
45 days before the date of a hearing conducted
under paragraph (2) by the governing body of a
public housing agency, the agency shall—
(A) publish a notice informing the public
that the proposed local housing management
plan or amendment is available for inspection at
146
the principal office of the public housing agency
during normal business hours and make the
plan or amendment so available for inspection
during such period; and
(B) publish a notice informing the public
that a public hearing will be conducted to dis-
cuss the local housing management plan and to
invite public comment regarding that plan.
(2) PUBLIC
HEARING.—Before submitting a
plan under this section or a significant amendment
under section 1107(f) to a plan, a public housing
agency shall, at a location that is convenient to resi-
dents, conduct a public hearing, as provided in the
notice published under paragraph (1), regarding the
public housing plan or the amendment of the agen-
cy.
(3) CONSIDERATION OF COMMENTS.—A public
housing agency shall consider any comments or
views made available pursuant to paragraphs (1)
and (2) in preparing a final plan or amendment for
submission to the Secretary. A summary of such
comments or views shall be attached to the plan,
amendment, or report submitted.
(4) ADOPTION OF PLAN.—After conducting the
public hearing under paragraph (2) and considering
147
public comments in accordance with paragraph (3),
the public housing agency shall make any appro-
priate changes to the local housing management
plan or amendment and shall—
(A) adopt the local housing management
plan;
(B) submit the plan to any local elected of-
ficial or officials responsible for appointing the
members of the board of directors (or other
similar governing body) of the public housing
agency for review and approval under sub-
section (f);
(C) submit the plan to the Secretary in ac-
cordance with this section; and
(D) make the submitted plan or amend-
ment publicly available.
(f) LOCAL REVIEW.—The public housing agency shall
submit a plan under this subsection to any local elected
official or officials responsible for appointing the members
of the board of directors (or other similar governing body)
of the public housing agency for review and approval for
a 45-day period beginning on the date that the plan is
submitted to such local official or officials (which period
may run concurrently with any period under subsection
(e) for public comment). If the local official or officials
150
(b) NOTICE OF REASONS FOR DETERMINATION OF
NONCOMPLIANCE.—If the Secretary determines that a
plan, as submitted, does not comply with the requirements
under section 1106, the Secretary shall specify in the no-
tice under subsection (a) the reasons for the noncompli-
ance and any modifications necessary for the plan to meet
the requirements under section 1106.
(c) STANDARDS
FOR DETERMINATION
OF NON-
COMPLIANCE.—The Secretary may determine that a plan
does not comply with the requirements under section 1106
only if—
(1) the plan is incomplete in significant matters
required under such section;
(2) there is evidence available to the Secretary
that challenges, in a substantial manner, any infor-
mation provided in the plan;
(3) the Secretary determines that the plan does
not comply with Federal law or violates the purposes
of this division because it fails to provide housing
that will be viable on a long-term basis at a reason-
able cost;
(4) the plan plainly fails to adequately identify
the needs of low-income families for housing assist-
ance in the jurisdiction of the agency;
151
(5) the plan plainly fails to adequately identify
the capital improvement needs for public housing de-
velopments in the jurisdiction of the agency;
(6) the activities identified in the plan are
plainly inappropriate to address the needs identified
in the plan; or
(7) the plan is inconsistent with the require-
ments of this division.
The Secretary shall determine that a plan does not comply
with the requirements under section 1106 if the plan does
not include the information required under section
1106(d)(2)(D).
(d) TREATMENT
OF EXISTING PLANS.—Notwith-
standing any other provision of this title, a public housing
agency shall be considered to have submitted a plan under
this section if the agency has submitted to the Secretary
a comprehensive plan under section 14(e) of the United
States Housing Act of 1937 (as in effect immediately be-
fore the effective date of the repeal under section 1601(b)
of this Act) or under the comprehensive improvement as-
sistance program under such section 14, and the Secretary
has approved such plan, before January 1, 1997. The Sec-
retary shall provide specific procedures and requirements
for such authorities to amend such plans by submitting
152
only such additional information as is necessary to comply
with the requirements of section 1106.
(e) ACTIONS TO CHANGE PLAN.—A public housing
agency that has submitted a plan under section 1106 may
change actions or policies described in the plan before sub-
mission and review of the plan of the agency for the next
fiscal year only if—
(1) in the case of costly or nonroutine changes,
the agency submits to the Secretary an amendment
to the plan under subsection (f) which is reviewed in
accordance with such subsection; or
(2) in the case of inexpensive or routine
changes, the agency describes such changes in such
local housing management plan for the next fiscal
year.
(f) AMENDMENTS TO PLAN.—
(1) IN GENERAL.—During the annual or 5-year
period covered by the plan for a public housing
agency, the agency may submit to the Secretary any
amendments to the plan.
(2) REVIEW.—The Secretary shall conduct a
limited review of each proposed amendment submit-
ted under this subsection to determine whether the
plan, as amended by the amendment, complies with
the requirements of section 1106 and notify each
153
public housing agency submitting the amendment
whether the plan, as amended, complies with such
requirements not later than 30 days after receiving
the amendment. If the Secretary determines that a
plan, as amended, does not comply with the require-
ments under section 1106, such notice shall indicate
the reasons for the noncompliance and any modifica-
tions necessary for the plan to meet the require-
ments under section 1106. If the Secretary does not
notify the public housing agency as required under
this paragraph, the plan, as amended, shall be con-
sidered, for purposes of this section, to comply with
the requirements under section 1106.
(3) STANDARDS FOR DETERMINATION OF NON-
COMPLIANCE.—The Secretary may determine that a
plan, as amended by a proposed amendment, does
not comply with the requirements under section
1106 only if—
(A) the plan, as amended, would be subject
to a determination of noncompliance in accord-
ance with the provisions of subsection (c);
(B) the Secretary determines that—
(i) the proposed amendment is plainly
inconsistent with the activities specified in
the plan; or
154
(ii) there is evidence that challenges,
in a substantial manner, any information
contained in the amendment; or
(C) the Secretary determines that the plan,
as amended, violates the purposes of this divi-
sion because it fails to provide housing that will
be viable on a long-term basis at a reasonable
cost.
(4) AMENDMENTS TO EXTEND TIME OF PER-
FORMANCE.—Notwithstanding any other provision of
this subsection, the Secretary may not determine
that any amendment to the plan of a public housing
agency that extends the time for performance of ac-
tivities assisted with amounts provided under this
title fails to comply with the requirements under sec-
tion 1106 if the Secretary has not provided the
amount of assistance set forth in the plan or has not
provided the assistance in a timely manner.
SEC. 1108. REPORTING REQUIREMENTS.
(a) PERFORMANCE
AND EVALUATION REPORT.—
Each public housing agency shall annually submit to the
Secretary, on a date determined by the Secretary, a per-
formance and evaluation report concerning the use of
funds made available under this division. The report of
the public housing agency shall include an assessment by