within 120 days of issuance or, if a suffi-
cient number of comparable families have 
not received vouchers, an alternative meas-
ure, as the Secretary shall design, is met; 
‘‘(ii) existing voucher holders are 
widely dispersed geographically in areas of 
low poverty with access to public transpor-
tation, education, and other amenities, as 
determined by the Secretary, among the 
available private rental housing stock; and 
‘‘(iii) the applicant provides a market 
analysis demonstrating that— 
‘‘(I) there is a relatively high va-
cancy rate among units that would 
meet or exceed housing quality stand-
ards, as determined by the Secretary, 
within the market area with rent and 
utility costs not exceeding the applica-
ble payment standard under section 
8(o) of the United States Housing Act 
of 1937 (42 U.S.C. 1437f(o)); and 
‘‘(II) such high vacancy rate 
within the market area is expected to 
continue for the next 5 years or 
longer. 
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‘‘(3) CONTINUATION OF USE RESTRICTIONS.— 
In the event of a foreclosure or bankruptcy of an 
owner of such a property, notwithstanding any other 
provision of State or Federal law, such property 
shall remain subject to the requirements of any 
project-based rental assistance contract in existence 
at the time of the foreclosure or bankruptcy, the 
lease between the prior owner and tenants assisted 
under such contract, and any use agreement in ef-
fect immediately before the foreclosure or bank-
ruptcy filing, and a successor in interest in such 
property shall assume such contract, extensions, 
leases, and use agreement obligations, provided that 
the Secretary may modify this requirement if the 
Secretary determines that the converted units are 
not physically viable. 
‘‘(4) OTHER
REQUIREMENTS.—Admission to, 
administration of, and eviction from replacement 
housing units that are not public housing dwelling 
units shall be subject to the following provisions to 
the same extent as public housing dwelling units: 
‘‘(A) Section 578 of the Quality Housing 
and Work Responsibility Act of 1998 (42 
U.S.C. 13663; relating to ineligibility of dan-
gerous sex offenders). 
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‘‘(B) Section 16(f) of the United States 
Housing Act of 1937 (42 U.S.C. 1437n(f); re-
lating to ineligibility of certain drug offenders). 
‘‘(C) Sections 20 and 21 of the United 
States Housing Act of 1937 (42 U.S.C. 1437r, 
1437s; relating to resident management). 
‘‘(D) Section 25 of the United States 
Housing Act of 1937 (42 U.S.C. 1437w; relat-
ing to transfer of management at request of 
residents). 
‘‘(E) Section 6(k) of the United States 
Housing Act of 1937 (42 U.S.C. 1437d(k); re-
lating to administrative grievance procedure). 
‘‘(F) Section 6(f) of the United States 
Housing Act of 1937 (42 U.S.C. 1437d(f); re-
lating to housing quality requirements). 
‘‘(G) Part 964 of title 24, Code of Federal 
regulations (relating to tenant participation and 
opportunities). 
‘‘(5) RETENTION OF RIGHTS.—Tenants occu-
pying a replacement housing unit shall have all 
rights provided to tenants of public housing under 
this Act. 
‘‘(6) SIZE.— 
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‘‘(A) IN
GENERAL.—Replacement units 
shall be of comparable size, unless a market 
analysis shows a need for other sized units, in 
which case such need shall be addressed. 
‘‘(B) BEDROOMS.—The number of bed-
rooms within each replacement unit shall be 
sufficient to serve families displaced as a result 
of the demolition or disposition. Replacement 
units may include a greater number of bed-
rooms than the number of bedrooms in units 
replaced if an analysis of the waiting list of the 
public housing agency shows that more bed-
rooms are needed to accommodate families on 
the waiting list. 
‘‘(7) LOCATION ON SITE.—At least one-third of 
all replacement units for public housing units demol-
ished shall be public housing units constructed on 
the original public housing location, unless the Sec-
retary determines that— 
‘‘(A) construction on such location would 
result in the violation of a consent decree; or 
‘‘(B) the land on which the public housing 
is located is environmentally unsafe, geologically 
unstable, or otherwise is unsuitable for the con-
struction of housing. 
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‘‘(8) LOCATION
IN
OTHER
AREAS.—Any re-
placement housing units provided in addition to 
dwelling units provided pursuant to paragraph (3) 
shall be provided in areas within the jurisdiction of 
the public housing agency having low concentrations 
of poverty, in a manner that furthers the economic 
and educational opportunities for residents.’’; 
(6) in subsection (f) (as so redesignated by 
paragraph (1) of this subsection)— 
(A) by striking the subsection designation 
and all that follow through ‘‘Nothing’’ and in-
serting the following: 
‘‘(f) TREATMENT OF OCCUPANCY.— 
‘‘(1) CONSOLIDATION OF OCCUPANCY WITHIN 
OR AMONG BUILDINGS.—Nothing’’; 
(B) by inserting before the period at the 
end the following: ‘‘, except that, a public hous-
ing agency submitting an application for demo-
lition or disposition pursuant to this section 
may not consolidate any units during the period 
that begins upon submission of such application 
and ends upon approval of the application by 
the Secretary, except in cases of an imminent 
and substantial threat to health or safety’’; and 
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(C) by adding at the end the following new 
paragraphs: 
‘‘(2) DETERMINATION
OF
OCCUPANCY.—For 
purposes of this subsection, the number of public 
housing residents residing in a development shall be 
determined as of the date the initial public housing 
agency plan or a proposed amendment thereto indi-
cating an intent to apply for a demolition application 
pursuant to subsection (b) of this section is or 
should have been presented to the resident advisory 
board for consideration, or in the case of a demoli-
tion application due to a natural disaster, on the 
date of the natural disaster. 
‘‘(3) RESIDENT PREFERENCES.—A public hous-
ing agency shall, not later than 30 days before sub-
mitting an application to the Secretary for demoli-
tion, disposition, or demolition or disposition or both 
pursuant to conversion under section 22 or 33— 
‘‘(A) meet with and inform in writing all 
residents who occupied a public housing unit on 
the date determined in accordance with para-
graph (2) of this subsection of— 
‘‘(i) the public housing agency’s intent 
to submit an application for demolition, 
disposition, or both; 
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