Landlord Accountability Act of 2022
Bill: H.R.6556 | Sponsor: Rep. Velazquez, Nydia M. (D-NY)
Policy area: Housing and Community Development

Summary:
Landlord Accountability Act of  2022
This bill provides protections to tenants of certain federally assisted housing and establishes a low-income housing maintenance tax credit for eligible landlords.
Specifically, the bill prohibits discrimination, in the context of rental housing, against individuals who possess a housing choice voucher. Additionally, the bill prohibits landlords from taking or failing to take certain actions with the intent to make a unit ineligible to receive assistance from the Department of Housing and Urban Development (HUD). Landlords that violate this prohibition are subject to a penalty for each violation and may be sued by tenants who are harmed.
In addition, the bill allows HUD to provide grants to states, Indian tribes, local governments, and affordable housing organizations to develop, expand, and assist tenant harassment prevention programs.
The bill also provides protections to tenants of multifamily housing projects by requiring HUD to (1) increase the staffing level for the Multifamily Housing Complaint Line, (2) create a Multifamily Housing Complaint Resolution Program, and (3) publicly disclose on its website information regarding each complaint received under the program. Landlords must also display in certain multifamily housing projects information about the complaint line and the phone number of the regional or local HUD office.
In addition, the bill provides a tax credit to qualifying landlords that is equal to the landlord's low-income housing maintenance expenses for the year. To qualify, landlords must have addressed within 30 days any complaints filed against them under the complaint resolution program.

To amend the Fair Housing Act, to prohibit discrimination based on use 
             of section 8 vouchers, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Landlord Accountability Act of 
2022''.

SEC. 2. PROHIBITION OF DISCRIMINATION ON ACCOUNT OF USE OF SECTION 8 
              VOUCHERS.

    (a) In General.--Section 804 of the Fair Housing Act (42 U.S.C. 
3604) is amended by inserting after paragraph (f) the following new 
paragraph:
            ``(g) To discriminate in connection with the rental of a 
        dwelling because the tenant or prospective tenant is the holder 
        of a housing voucher.''.
    (b) Definition.--Section 802 of the Fair Housing Act (42 U.S.C. 
3602) is amended by adding at the end the following new paragraph:
            ``(p) `Holder of a housing voucher' means a holder of a 
        voucher for rental assistance under subsection (o) or (t) of 
        section 8 of the United States Housing Act of 1937 (42 U.S.C. 
        1437f).''.

SEC. 3. PENALTIES FOR INTENTIONAL ACTS TO DISQUALIFY DWELLING UNITS 
              FROM ELIGIBILITY FOR FEDERAL HOUSING PROGRAMS.

    (a) Violation.--An owner of a dwelling unit that is available for 
rental may not take any action, or fail to take any action, with the 
intent to make the dwelling unit insufficiently decent, safe, sanitary, 
or inhabitable, or cause such other physical condition, so that the 
dwelling does not qualify for assistance within the jurisdiction of the 
Department (as such term is defined in section 102(m) of the Department 
of Housing and Urban Development Reform Act of 1989 (42 U.S.C. 
3545(m))).
    (b) Civil Money Penalties.--Any person who is found by the 
Secretary of Housing and Urban Development, after notice and 
opportunity for a hearing in accordance with section 554 of title 5, 
United States Code, to have violated subsection (a) shall be assessed a 
civil money penalty by the Secretary in the amount of $100,000 for each 
such action or failure to act.
    (c) Liability to Tenants.--A tenant who, at the time of a violation 
under subsection (a), occupies the dwelling unit to which the violation 
relates may bring a civil action for damages in the following amounts:
            (1) $50,000 for each action or failure to act in violation 
        of subsection (a).
            (2) Any actual damages and costs to the tenant resulting 
        from the violation, including any costs of finding a 
        replacement dwelling unit.

SEC. 4. RESOURCES FOR RECEIVING AND RESOLVING COMPLAINTS REGARDING 
              MULTIFAMILY HOUSING PROJECTS.

    (a) Increased HUD Staffing for Complaint Call Staffing.--
            (1) Increased staffing.--The Secretary shall, not later 
        than the expiration of the 180-day period beginning on the date 
        of the enactment of this Act, increase the staffing level for 
        the Multifamily Housing Complaint Line established and operated 
        by the Multifamily Housing Clearinghouse of the Department so 
        that it is sufficient and appropriate to handle the volume of 
        calls received without unreasonable waiting periods.
            (2) Authorization of appropriations.--For carrying out 
        paragraph (1), there are authorized to be appropriated to the 
        Secretary such sums as may be necessary for each fiscal year 
        for carrying out paragraph (1).
    (b) Multifamily Housing Complaint Resolution Program.--
            (1) In general.--The Secretary shall carry out a 
        Multifamily Housing Complaint Resolution Program for receiving 
        complaints about multifamily housing projects from voucher 
        users who reside in such projects and local governmental 
        officials, under which the Secretary shall provide for--
                    (A) gathering of information regarding each such 
                complaint;
                    (B) determining whether there is a likelihood that 
                there is any violation of the requirements under the 
                rental assistance voucher program relating to such 
                complaint;
                    (C) informing the owner or landlord of the 
                complaint and any violations; and
                    (D) attempting to resolve the complaint and 
                violations, including through mediation.
            (2) Resolution.--The Secretary may provide for carrying out 
        the activities required under paragraph (1)(D) through regional 
        or field offices of the Department or through such local or 
        private organizations or agencies as the Secretary determines 
        have appropriate capabilities and expertise to carry out such 
        activities.
            (3) Funding.--Amounts made available for administrative 
        fees under section 8(q) of the United States Housing Act of 
        1937 (42 U.S.C. 1437f(q)) shall be available for carrying out 
        the program under this subsection.
            (4) Regulations.--Not later than the expiration of the 12-
        month period beginning on the date of the enactment of this 
        Act, the Secretary shall issue any regulations necessary to 
        establish the Program required under this subsection.

SEC. 5. HUD DISCLOSURE OF LANDLORD COMPLAINTS.

    (a) Public Disclosure.--The Secretary shall publicly disclose, on a 
website of the Department and on a timely basis, information regarding 
each complaint received under the Program establish pursuant to section 
4(b), which shall include for each such complaint--
            (1) the nature of the complaint;
            (2) the date on which such complaint was submitted to the 
        Department;
            (3) the disposition, as of the time of such disclosure, of 
        such complaint; and
            (4) information identifying the multifamily housing project 
        to which such complaint relates.
    (b) Reports to Congress.--The Secretary of Housing and Urban 
Development shall submit a report annually to the Committee on 
Financial Services of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate summarizing the 
complaints described in subsection (a) that were received by the 
Department during the preceding year and describing the disposition to 
such date of such complaints.

SEC. 6. TAX CREDIT INCENTIVE FOR MAINTENANCE OF MULTIFAMILY HOUSING 
              WITH VOUCHER USER TENANTS.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 45U. LOW-INCOME HOUSING MAINTENANCE CREDIT.

    ``(a) In General.--For purposes of section 38, in the case of an 
eligible landlord, the low-income housing maintenance credit determined 
under this section for the taxable year is an amount equal to the 
amount of the taxpayer's low-income housing maintenance expenses for 
such taxable year.
    ``(b) Limitations.--
            ``(1) Per unit limitation.--The credit allowed under 
        subsection (a) with respect to any taxpayer for any taxable 
        year shall not exceed the product of $2,500 multiplied by the 
        number of low-income housing units owned by the taxpayer.
            ``(2) Per building limitation.--The credit allowed under 
        subsection (a) with respect to any taxpayer for any taxable 
        year shall not exceed the product of $100,000 multiplied by the 
        number of eligible low-income housing projects owned by the 
        taxpayer.
            ``(3) Per taxpayer limitation.--The credit allowed under 
        subsection (a) with respect to any taxpayer for any taxable 
        year shall not exceed $500,000.
    ``(c) Eligible Landlord.--For purposes of this section, the term 
`eligible landlord' means any taxpayer for any taxable year if--
            ``(1) such taxpayer owns one or more eligible low-income 
        housing projects during such taxable year, and
            ``(2) either--
                    ``(A) each complaint that is filed, under the 
                program under section 4(b) of the Landlord 
                Accountability Act of 2022, during such taxable year 
                with respect to a dwelling unit in an eligible low-
                income housing project owned by such taxpayer has been 
                determined by the Secretary of Housing and Urban 
                Development to have been remedied not later than the 
                date which is 30 days after the date on which such 
                complaint is so filed, or
                    ``(B) no such complaint has been filed with respect 
                to such a dwelling unit in such a housing project owned 
                by such taxpayer during such taxable year.
    ``(d) Other Definitions.--For purposes of this section--
            ``(1) Low-income housing maintenance expenses.--The term 
        `low-income housing maintenance expenses' means the aggregate 
        amount paid or incurred by the taxpayer during the taxable year 
        for maintenance or improvement of low-income housing units.
            ``(2) Eligible low-income housing project.--The term 
        `eligible low-income housing project' means, with respect to a 
        taxable year, a housing project--
                    ``(A) that consists of five or more dwelling units 
                at least one of which was occupied during such year by 
                a family who rented the dwelling unit using a voucher 
                for rental assistance under section 8(o) of the United 
                States Housing Act of 1937 (42 U.S.C. 1437f(o)); and
                    ``(B) with respect to which the eligible landlord 
                has entered into such binding agreements as the 
                Secretary of Housing and Urban Development shall 
                require to ensure that rents for dwelling units in the 
                project do not, at any time after the taxable year in 
                which a low-income housing maintenance credit under 
                this section is allowable, exceed the applicable fair 
                market rental under section 8(c) of the United States 
                Housing Act of 1937 (42 U.S.C. 1437f(c)) for the market 
                area in which the project is located.
            ``(3) Low-income housing unit.--The term `low-income 
        housing unit' means a dwelling unit within an eligible low-
        income housing project.
    ``(e) Aggregation Rule.--All persons treated as a single employer 
under subsection (a) or (b) of section 52 or subsection (m) or (o) of 
section 414 shall be treated as one person for purposes of applying 
this section. The credit determined under subsection (a) (after 
application of subsection (b)) shall be allocated among such persons in 
such manner as the Secretary may prescribe.
    ``(f) Termination.--No credit shall be determined under this 
section with respect to any taxable year beginning after December 31, 
2032.''.
    (b) Credit To Be Part of General Business Credit.--Section 38(b) of 
such Code is amended by striking ``plus'' at the end of paragraph (32), 
by striking the period at the end of paragraph (33) and inserting ``, 
plus'', and by adding at the end the following new paragraph:
            ``(34) in the case of an eligible landlord (as defined in 
        section 45U(c)), the low-income housing maintenance credit 
        determined under section 45U.''.
    (c) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of such Code is amended by adding 
at the end the following new item:

``Sec. 45U. Low-income housing maintenance credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 7. PUBLIC DISPLAY OF TENANT'S RIGHTS AND COMPLAINT LINE.

    (a) Required Display.--An owner of a multifamily housing project in 
which three or more voucher users reside shall display, at all times 
and in clear and conspicuous location on each floor of such project 
that contains any dwelling unit, a written notice that includes--
            (1) a statement describing the rights under Federal law 
        afforded to tenants of the project who are voucher users;
            (2) the phone number for the Multifamily Housing Complaint 
        Line established and operated by the Multifamily Housing 
        Clearinghouse; and
            (3) the phone number for a regional or local office of the 
        Department which can provide tenants additional information 
        regarding State and local resources for tenants.
    (b) Civil Money Penalty.--Any person who is found by the Secretary 
of Housing and Urban Development, after notice and opportunity for a 
hearing in accordance with section 554 of title 5, United States Code, 
to have failed to make a good faith effort to display notice complying 
with subsection (a) may be assessed a civil money penalty by the 
Secretary in the amount of $500 for each day of each such failure, 
except that the Secretary shall waive such penalty in any case in which 
an owner cures such violation within the 5-day period beginning upon 
notice by the Secretary of such violation.
    (c) Model Notice.--
            (1) Development.--Not later than the expiration of the 12-
        month period beginning on the date of the enactment of this 
        Act, the Secretary shall develop and publish in the Federal 
        Register a model notice that fulfills the requirements under 
        subsection (a)(1).
            (2) Availability.--The Secretary shall make copies of the 
        notice developed pursuant to paragraph (1) available, upon 
        request, to owners of multifamily housing projects.
    (d) Applicability.--Subsections (a) and (b) shall apply beginning 
upon the expiration of the 60-day period that begins on the date that 
the Secretary publishes notice in the Federal Register pursuant to 
subsection (c)(1).
    (e) Regulations.--Not later than the expiration of the 180-day 
period beginning on the date of the enactment of this Act, the 
Secretary shall issue regulations to carry out this section.

SEC. 8. GRANTS FOR TENANT HARASSMENT PREVENTION PROGRAMS.

    (a) Authority.--The Secretary may, to the extent amounts are made 
available for grants under this section, make grants to States, Indian 
tribes, units of local government, and nonprofit, nongovernmental 
affordable housing organizations to develop, expand, or assist tenant 
harassment prevention programs.
    (b) Tenant Harassment Prevention Program.--For purposes of this 
section, the term ``tenant harassment prevention program'' means any 
program or activities designed to protect, assist, or educate tenants 
of residential rental dwelling units regarding harassing or illegal 
behavior by their landlords intended to force the tenant to vacate the 
dwelling unit or surrender any of their rights as tenants. Such term 
includes programs and activities providing legal assistance, 
counseling, education, intervention, complaint processes.
    (c) Federal Share.--The amount of a grant under this section for 
any tenant harassment prevention program may not exceed 75 percent of 
the total costs of the program or activities to be carried out, 
including administrative costs.
    (d) Applications.--The Secretary shall provide for eligible 
entities specified in subsection (a) to apply for grants under this 
section, which applications shall describe the tenant harassment 
prevention program to be assisted with grant amounts, the activities to 
be carried out under the program, and the projected costs of such 
activities.
    (e) Selection.--The Secretary shall select applicants to receive 
grants based on criteria that the Secretary shall establish.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated $25,000,000 for each of fiscal years 2023 through 2027 for 
grants under this section.

SEC. 9. DEFINITIONS.

    For purposes of this Act, the following definitions shall apply:
            (1) Multifamily housing project.--The term ``multifamily 
        housing project'' means a housing project consisting of five or 
        more dwelling units.
            (2) Rental assistance voucher.--The term ``rental 
        assistance voucher'' means a voucher for rental assistance made 
        available under section 8(o) of the United States Housing Act 
        of 1937 (42 U.S.C. 1437f(o)).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Housing and Urban Development.
            (4) Voucher user.--The term ``voucher user'' means a family 
        who is renting a dwelling unit using a rental assistance 
        voucher.

SEC. 10. REGULATIONS.

    The Secretary may issue any regulations necessary to carry out this 
Act.
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