
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 106-400 Section 2]
[CITE: 42USC1437bbb-5]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                      CHAPTER 8--LOW-INCOME HOUSING
 
         SUBCHAPTER II-B--HOME RULE FLEXIBLE GRANT DEMONSTRATION
 
Sec. 1437bbb-5. Application


(a) In general

    The Secretary shall provide for jurisdictions to submit applications 
for approval to participate in the demonstration program under this 
subchapter. An application--
        (1) shall be submitted only after the jurisdiction provides for 
    citizen participation through a public hearing and, if appropriate, 
    other means;
        (2) shall include a plan for the provision of housing assistance 
    with amounts received pursuant to this subchapter that--
            (A) is developed by the jurisdiction;
            (B) takes into consideration comments from the public 
        hearing, any other public comments on the proposed program, and 
        comments from current and prospective residents who would be 
        affected; and
            (C) identifies each term or condition for which the 
        jurisdiction is requesting waiver under section 1437bbb-3(a)(1) 
        of this title;

        (3) shall describe how the plan for use of amounts will assist 
    in meeting the purposes of, and be used in accordance with, sections 
    1437bbb and 1437bbb-1(a) of this title, respectively;
        (4) shall propose standards for measuring performance in using 
    assistance provided pursuant to this subchapter based on the 
    performance standards under subsection (b)(4) of this section;
        (5) shall propose the length of the period for participation of 
    the jurisdiction is \1\ in the demonstration program under this 
    subchapter;
---------------------------------------------------------------------------
    \1\ So in original.
---------------------------------------------------------------------------
        (6) shall--
            (A) in the case of the application of any jurisdiction 
        within whose boundaries are areas subject to any other unit of 
        general local government, include the signed consent of the 
        appropriate executive official of such unit to the application; 
        and
            (B) in the case of the application of a consortia of units 
        of general local government (as provided under section 1437bbb-
        8(1)(B) of this title), include the signed consent of the 
        appropriate executive officials of each unit included in the 
        consortia;

        (7) shall include information sufficient, in the determination 
    of the Secretary--
            (A) to demonstrate that the jurisdiction has or will have 
        management and administrative capacity sufficient to carry out 
        the plan under paragraph (2), including a demonstration that the 
        applicant has a history of effectively administering amounts 
        provided under other programs of the Department of Housing and 
        Urban Development, such as the community development block grant 
        program, the HOME investment partnerships program, and the 
        programs for assistance for the homeless under the Stewart B. 
        McKinney Homeless Assistance Act [42 U.S.C. 11301 et seq.];
            (B) to demonstrate that carrying out the plan will not 
        result in excessive duplication of administrative efforts and 
        costs, particularly with respect to activities performed by 
        public housing agencies operating within the boundaries of the 
        jurisdiction;
            (C) to describe the function and activities to be carried 
        out by such public housing agencies affected by the plan; and
            (D) to demonstrate that the amounts received by the 
        jurisdiction will be maintained separate from other funds 
        available to the jurisdiction and will be used only to carry out 
        the plan;

        (8) shall include information describing how the jurisdiction 
    will make decisions regarding asset management of housing for low-
    income families under programs for covered housing assistance or 
    assisted with grant amounts under this subchapter;
        (9) shall--
            (A) clearly identify any State or local laws that will 
        affect implementation of the plan under paragraph (2) and any 
        contractual rights and property interests that may be affected 
        by the plan;
            (B) describe how the plan will be carried out with respect 
        to such laws, rights, and interests; and
            (C) contain a legal memorandum sufficient to describe how 
        the plan will comply with such laws and how the plan will be 
        carried out without violating or impairing such rights and 
        interests; and

        (10) shall identify procedures for how the jurisdiction shall 
    return to providing covered assistance for the jurisdiction under 
    the provisions of subchapter I of this chapter, in the case of 
    determination under subsection (b)(4)(B) of this section.

A plan required under paragraph (2) to be included in the application 
may be contained in a memorandum of agreement or other document executed 
by a jurisdiction and public housing agency, if such document is 
submitted together with the application.

(b) Review, approval, and performance standards

                             (1) Review

        The Secretary shall review each application for participation in 
    the demonstration program under this subchapter and shall determine 
    and notify the jurisdiction submitting the application, not later 
    than 90 days after its submission, of whether the application is 
    approvable under this subchapter. If the Secretary determines that 
    the application of a jurisdiction is approvable under this 
    subchapter, the Secretary shall provide affected public housing 
    agencies an opportunity to review and to provide written comments on 
    the application for a period of not less than 30 days after 
    notification under the preceding sentence. If the Secretary 
    determines that an application is not approvable under this 
    subchapter, the Secretary shall notify the jurisdiction submitting 
    the application of the reasons for such determination. Upon making a 
    determination of whether an application is approvable or 
    nonapprovable under this subchapter, the Secretary shall make such 
    determination publicly available in writing together with a written 
    statement of the reasons for such determination.

                            (2) Approval

        The Secretary may approve jurisdictions for participation in the 
    demonstration program under this subchapter, but only from among 
    applications that the Secretary has determined under paragraph \2\ 
    are approvable under this subchapter and only in accordance with 
    section 1437bbb-1(c) of this title. The Secretary shall base the 
    selection of jurisdictions to approve on the potential success, as 
    evidenced by the application, in--
---------------------------------------------------------------------------
    \2\ So in original. Probably should be preceded by ``this''.
---------------------------------------------------------------------------
            (A) achieving the goals set forth in the performance 
        standards under paragraph (4)(A); and
            (B) increasing housing choices for low-income families.

                            (3) Agreement

        The Secretary shall offer to enter into an agreement with each 
    jurisdiction approved for participation in the program under this 
    subchapter providing for assistance pursuant to this subchapter for 
    a period in accordance with section 1437bbb-1(b) of this title and 
    incorporating a requirement that the jurisdiction achieve a 
    particular level of performance in each of the areas for which 
    performance standards are established under paragraph (4)(A) of this 
    subsection. If the Secretary and the jurisdiction enter into an 
    agreement, the Secretary shall provide any covered housing 
    assistance for the jurisdiction in the manner authorized under this 
    subchapter. The Secretary may not provide covered housing assistance 
    for a jurisdiction in the manner authorized under this subchapter 
    unless the Secretary and jurisdiction enter into an agreement under 
    this paragraph.

                      (4) Performance standards

        (A) Establishment

            The Secretary and each participating jurisdiction may 
        collectively establish standards for evaluating the performance 
        of the participating jurisdiction in meeting the purposes under 
        section 1437bbb of this title, which may include standards for--
                (i) moving dependent low-income families to economic 
            self-sufficiency;
                (ii) reducing the per-family cost of providing housing 
            assistance;
                (iii) expanding the stock of affordable housing and 
            housing choices for low-income families;
                (iv) improving program management;
                (v) increasing the number of homeownership opportunities 
            for low-income families;
                (vi) reducing homelessness through providing permanent 
            housing resources;
                (vii) reducing geographic concentration of assisted 
            families; and
                (viii) any other performance goals that the Secretary 
            and the participating jurisdiction may establish.

        (B) Failure to comply

            If, at any time during the participation of a jurisdiction 
        in the program under this subchapter, the Secretary determines 
        that the jurisdiction is not sufficiently meeting, or making 
        progress toward meeting, the levels of performance incorporated 
        into the agreement of the jurisdiction pursuant to subparagraph 
        (A), the Secretary shall terminate the participation of the 
        jurisdiction in the program under this subchapter and require 
        the implementation of the procedures included in the application 
        of the jurisdiction pursuant to subsection (a)(10) of this 
        section.

                        (5) Troubled agencies

        The Secretary may establish requirements for the approval of 
    applications under this section submitted by public housing agencies 
    designated under section 1437d(j)(2) of this title as troubled, 
    which may include additional or different criteria determined by the 
    Secretary to be more appropriate for such agencies.

(c) Status of PHAs

    This subchapter may not be construed to require any change in the 
legal status of any public housing agency or in any legal relationship 
between a jurisdiction and a public housing agency as a condition of 
participation in the program under this subchapter.

(d) PHA plans

    In carrying out this subchapter, the Secretary may provide for a 
streamlined public housing agency plan and planning process under 
section 1437c-1 of this title for participating jurisdictions.

(Sept. 1, 1937, ch. 896, title IV, Sec. 406, as added Pub. L. 105-276, 
title V, Sec. 561, Oct. 21, 1998, 112 Stat. 2620.)

                       References in Text

    The Stewart B. McKinney Homeless Assistance Act, referred to in 
subsec. (a)(7)(A), is Pub. L. 100-77, July 22, 1987, 101 Stat. 482, as 
amended, which is classified principally to chapter 119 (Sec. 11301 et 
seq.) of this title. For complete classification of this Act to the 
Code, see Short Title note set out under section 11301 of this title and 
Tables.

                  Section Referred to in Other Sections

    This section is referred to in sections 1437bbb-1, 1437bbb-4, 
1437bbb-7, 1437bbb-8 of this title.
