
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC1437c]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                      CHAPTER 8--LOW-INCOME HOUSING
 
            SUBCHAPTER I--GENERAL PROGRAM OF ASSISTED HOUSING
 
Sec. 1437c. Contributions for low-income housing projects


(a) Contract authorization; amounts; use as security for obligations of 
        public housing agency; use of existing structures

    (1) The Secretary may make annual contributions to public housing 
agencies to assist in achieving and maintaining the lower income 
character of their projects. The Secretary shall embody the provisions 
for such annual contributions in a contract guaranteeing their payment. 
The contribution payable annually under this section shall in no case 
exceed a sum equal to the annual amount of principal and interest 
payable on obligations issued by the public housing agency to finance 
the development or acquisition cost of the lower income project 
involved. Annual contributions payable under this section shall be 
pledged, if the Secretary so requires, as security for obligations 
issued by a public housing agency to assist the development or 
acquisition of the project to which annual contributions relate and 
shall be paid over a period not to exceed 40 years.
    (2) The Secretary may make contributions (in the form of grants) to 
public housing agencies to cover the development cost of public housing 
projects. The contract under which such contributions shall be made 
shall specify the amount of capital contributions required for each 
project to which the contract pertains, and that the terms and 
conditions of such contract shall remain in effect for a 40-year period.
    (3) The amount of contributions that would be established for a 
newly constructed project by a public housing agency designed to 
accommodate a number of families of a given size and kind may be 
established under this section for a project by such public housing 
agency that would provide housing for the comparable number, sizes, and 
kinds of families through the acquisition and rehabilitation, or use 
under lease, of structures that are suitable for low-income housing use 
and obtained in the local market.

(b) Maximum amount of contributions; regulations; criteria for rates of 
        contribution

    The Secretary may prescribe regulations fixing the maximum 
contributions available under different circumstances, giving 
consideration to cost, location, size, rent-paying ability of 
prospective tenants, or other factors bearing upon the amounts and 
periods of assistance needed to achieve and maintain low rentals. Such 
regulations may provide for rates of contribution based upon 
development, acquisition, or operation costs, number of dwelling units, 
number of persons housed, interest charges, or other appropriate 
factors.

(c) Limitation on aggregate contractual contributions; contracts for 
        preliminary loans; payments of annual contributions; limitations 
        on specific authorities

    (1) The Secretary may enter into contracts for annual contributions 
aggregating not more than $7,875,049,000 per annum, which amount shall 
be increased by $1,494,400,000 on October 1, 1980, and by $906,985,000 
on October 1, 1981. The additional authority to enter into such 
contracts provided on or after October 1, 1980, shall be effective only 
in such amounts as may be approved in appropriation Acts. In addition, 
the aggregate amount which may be obligated over the duration of the 
contracts may not exceed $31,200,000,000 with respect to the additional 
authority provided on October 1, 1980, and $18,087,370,000 with respect 
to the additional authority provided on October 1, 1981.
    (2) The Secretary shall enter into only such new contracts for 
preliminary loans as are consistent with the number of dwelling units 
for which contracts for annual contributions may be entered into.
    (3) The full faith and credit of the United States is solemnly 
pledged to the payment of all annual contributions contracted for 
pursuant to this section, and there are hereby authorized to be 
appropriated in each fiscal year, out of any money in the Treasury not 
otherwise appropriated, the amounts necessary to provide for such 
payments.
    (4) All payments of annual contributions pursuant to this section 
shall be made out of any funds available for purposes of this chapter 
when such payments are due, except that funds obtained through the 
issuance of obligations pursuant to section 1437b(b) of this title 
(including repayments or other realizations of the principal of loans 
made out of such funds) shall not be available for the payment of such 
annual contributions.
    (5) During such period as the Secretary may prescribe for starting 
construction, the Secretary may approve the conversion of public housing 
development authority for use under section 1437g of this title or for 
use for the acquisition and rehabilitation of property to be used in 
public housing, if the public housing agency, after consultation with 
the unit of local government, certifies that such assistance would be 
more effectively used for such purpose, and if the total number of units 
assisted will not be less than 90 per centum of the units covered by the 
original reservation.
    (6) The aggregate amount of budget authority which may be obligated 
for contracts for annual contributions and for grants under section 
1437o of this title is increased by $9,912,928,000 on October 1, 1983, 
and by such sums as may be approved in appropriation Acts on October 1, 
1984. The aggregate amount of budget authority that may be obligated for 
contracts for annual contributions for assistance under section 1437f of 
this title, for contracts referred to in paragraphs (7)(A)(iv) and 
(7)(B)(iv), for grants for public housing, for comprehensive improvement 
assistance, and for amendments to existing contracts, is increased (to 
the extent approved in appropriation Acts) by $7,167,000,000 on October 
1, 1987, and by $7,300,945,000 on October 1, 1988. The aggregate amount 
of budget authority that may be obligated for assistance referred to in 
paragraph (7) is increased (to the extent approved in appropriation 
Acts) by $16,194,000,000 on October 1, 1990, and by $14,709,400,000 on 
October 1, 1991. The aggregate amount of budget authority that may be 
obligated for assistance referred to in paragraph (7) is increased (to 
the extent approved in appropriation Acts) by $14,710,990,520 on October 
1, 1992, and by $15,328,852,122 on October 1993.
    (7)(A) Using the additional budget authority provided under 
paragraph (6) and the balances of budget authority that become available 
during fiscal year 1993, the Secretary shall, to the extent approved in 
appropriation Acts, reserve authority to enter into obligations 
aggregating--
        (i) for public housing grants under subsection (a)(2) of this 
    section, not more than $830,900,800, of which amount not more than 
    $257,320,000 shall be available for Indian housing;
        (ii) for assistance under section 1437f of this title, not more 
    than $1,977,662,720, of which $20,000,000 shall be available for 15-
    year contracts for project-based assistance to be used for a 
    multicultural tenant empowerment and homeownership project located 
    in the District of Columbia, except that assistance provided for 
    such project shall not be considered for purposes of the percentage 
    limitations under section 1437f(i)(2) of this title; except that not 
    more than 49 percent of any amounts appropriated under this clause 
    may be used for vouchers under section 1437f(o) of this title;
        (iii) for comprehensive improvement assistance grants under 
    section 1437l(k) of this title, not more than $3,100,000,000;
        (iv) for assistance under section 1437f of this title for 
    property disposition, not more than $93,032,000;
        (v) for assistance under section 1437f of this title for loan 
    management, not more than $202,000,000;
        (vi) for extensions of contracts expiring under section 1437f of 
    this title, not more than $6,746,135,000, which shall be for 5-year 
    contracts for assistance under section 1437f of this title and for 
    loan management assistance under such section;
        (vii) for amendments to contracts under section 1437f of this 
    title, not more than $1,350,000,000;
        (viii) for public housing lease adjustments and amendments, not 
    more than $83,055,000;
        (ix) for conversions from leased housing contracts under section 
    1421b of this title (as in effect immediately before August 22, 
    1974) to assistance under section 1437f of this title, not more than 
    $12,767,000; and
        (x) for grants under section 1437v of this title for 
    revitalization of severely distressed public housing, not more than 
    $300,000,000.

    (B) Using the additional budget authority provided under paragraph 
(6) and the balances of budget authority that become available during 
fiscal year 1994, the Secretary shall, to the extent approved in 
appropriation Acts, reserve authority to enter into obligations 
aggregating--
        (i) for public housing grants under subsection (a)(2) of this 
    section, not more than $865,798,634, of which amount not more than 
    $268,127,440 shall be available for Indian housing;
        (ii) for assistance under section 1437f of this title, not more 
    than $2,060,724,554, of which $20,000,000 shall be available for 15-
    year contracts for project-based assistance to be used for a 
    multicultural tenant empowerment and homeownership project located 
    in the District of Columbia, except that assistance provided for 
    such project shall not be considered for purposes of the percentage 
    limitations under section 1437f(i)(2) of this title; except that not 
    more than 49 percent of any amounts appropriated under this clause 
    may be used for vouchers under section 1437f(o) of this title;
        (iii) for comprehensive improvement assistance grants under 
    section 1437l(k) of this title, not more than $3,230,200,000;
        (iv) for assistance under section 1437f of this title for 
    property disposition, not more than $96,939,344;
        (v) for assistance under section 1437f of this title for loan 
    management, not more than $210,484,000;
        (vi) for extensions of contracts expiring under section 1437f of 
    this title, not more than $7,029,472,670, which shall be for 5-year 
    contracts for assistance under section 1437f of this title and for 
    loan management assistance under such section;
        (vii) for amendments to contracts under section 1437f of this 
    title, not more than $1,406,700,000;
        (viii) for public housing lease adjustments and amendments, not 
    more than $86,543,310;
        (ix) for conversions from leased housing contracts under section 
    1421b of this title (as in effect immediately before August 22, 
    1974) to assistance under section 1437f of this title, not more than 
    $13,303,214; and
        (x) for grants under section 1437v of this title for 
    revitalization of severely distressed public housing, not more than 
    $312,600,000.

    (C)(i) Any amount available for the conversion of a project to 
assistance under section 1437f(b)(1) of this title, if not required for 
such purpose, shall be used for assistance under section 1437f(b)(1) of 
this title.
    (ii) Any amount available for assistance under section 1437f of this 
title for property disposition, if not required for such purpose, shall 
be used for assistance under section 1437f(b)(1) of this title.
    (8) Any amount available for Indian housing under subsection (a) of 
this section that is recaptured shall be used only for such housing.

(d) Scope of contracts for loans or annual contributions

    Any contract for loans or annual contributions, or both, entered 
into by the Secretary with a public housing agency, may cover one or 
more than one low-income housing project owned by such public housing 
agency; in the event the contract covers two or more projects, such 
projects may, for any of the purposes of this chapter and of such 
contract (including, but not limited to, the determination of the amount 
of the loan, annual contributions, or payments in lieu of taxes, 
specified in such contract), be treated collectively as one project.

(e) Local determination of need as prerequisite for contracts for 
        preliminary loans, and contracts for loans or annual 
        contributions; notice

    In recognition that there should be local determination of the need 
for low-income housing to meet needs not being adequately met by private 
enterprise--
        (1) the Secretary shall not make any contract with a public 
    housing agency for preliminary loans (all of which shall be repaid 
    out of any moneys which become available to such agency for the 
    development of the projects involved) for surveys and planning in 
    respect to any low-income housing projects (i) unless the governing 
    body of the locality involved has by resolution approved the 
    application of the public housing agency for such preliminary loan; 
    and (ii) unless the public housing agency has demonstrated to the 
    satisfaction of the Secretary that there is need for such low-income 
    housing which is not being met by private enterprise; and
        (2) the Secretary shall not make any contract for loans (other 
    than preliminary loans) or for contributions pursuant to this 
    chapter unless the governing body of the locality involved has 
    entered into an agreement with the public housing agency providing 
    for the local cooperation required by the Secretary pursuant to this 
    chapter; the Secretary shall require that each such agreement shall 
    provide that, notwithstanding any order, judgment, or decree of any 
    court (including any settlement order), before making any amounts 
    that are provided pursuant to any contract for contributions under 
    this subchapter available for use for the development of any housing 
    or other property not previously used as public housing, the public 
    housing agency shall (A) notify the chief executive officer (or 
    other appropriate official) of the unit of general local government 
    in which the public housing for which such amounts are to be so used 
    is located (or to be located) of such use, and (B) pursuant to the 
    request of such unit of general local government, provide such 
    information as may reasonably be requested by such unit of general 
    local government regarding the public housing to be so assisted 
    (except to the extent otherwise prohibited by law).

(f) Modification by Secretary of terms of contracts, etc.; limitations; 
        amendment or supersedure of contracts for annual contributions 
        or loans

    Subject to the specific limitations or standards in this chapter 
governing the terms of sales, rentals, leases, loans, contracts for 
annual contributions, or other agreements, the Secretary may, whenever 
he deems it necessary or desirable in the fulfillment of the purposes of 
this chapter, consent to the modification, with respect to rate of 
interest, time of payment of any installment of principal or interest, 
security, amount of annual contribution, or any other term, of any 
contract or agreement of any kind to which the Secretary is a party. 
When the Secretary finds that it would promote economy or be in the 
financial interest of the Federal Government or is necessary to assure 
or maintain the lower income character of the project or projects 
involved, any contract heretofore or hereafter made for annual 
contributions, loans, or both, may be amended or superseded by a 
contract entered into by mutual agreement between the public housing 
agency and the Secretary. Contracts may not be amended or superseded in 
a manner which would impair the rights of the holders of any outstanding 
obligations of the public housing agency involved for which annual 
contributions have been pledged. Any rule of law contrary to this 
provision shall be deemed inapplicable.

(g) Pledge of annual contributions as guarantee of payment of 
        obligations issued by public housing agency; exception

    In addition to the authority of the Secretary under subsection (a) 
of this section to pledge annual contributions as security for 
obligations issued by a public housing agency, the Secretary is 
authorized to pledge annual contributions as a guarantee of payment by a 
public housing agency of all principal and interest on obligations 
issued by it to assist the development or acquisition of the project to 
which the annual contributions relate, except that no obligation shall 
be guaranteed under this subsection if the income thereon is exempt from 
Federal taxation.

(h) Audits

              (1) By Secretary and Comptroller General

        Each contract for contributions for any assistance under this 
    chapter to a public housing agency shall provide that the Secretary, 
    the Inspector General of the Department of Housing and Urban 
    Development, and the Comptroller General of the United States, or 
    any of their duly authorized representatives, shall, for the purpose 
    of audit and examination, have access to any books, documents, 
    papers, and records of the public housing agency that are pertinent 
    to this chapter and to its operations with respect to financial 
    assistance under the this \1\ chapter.
---------------------------------------------------------------------------
    \1\ So in original.
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    (2) Withholding of amounts for audits under Single Audit Act

        The Secretary may, in the sole discretion of the Secretary, 
    arrange for and pay the costs of an audit required under chapter 75 
    of title 31. In such circumstances, the Secretary may withhold, from 
    assistance otherwise payable to the agency under this chapter, 
    amounts sufficient to pay for the reasonable costs of conducting an 
    acceptable audit, including, when appropriate, the reasonable costs 
    of accounting services necessary to place the agency's books and 
    records in auditable condition. As agreed to by the Secretary and 
    the Inspector General, the Inspector General may arrange for an 
    audit under this paragraph.

(i) Prohibition on use of funds

    None of the funds made available to the Department of Housing and 
Urban Development to carry out this chapter, which are obligated to 
State or local governments, public housing agencies, housing finance 
agencies, or other public or quasi-public housing agencies, shall be 
used to indemnify contractors or subcontractors of the government or 
agency against costs associated with judgments of infringement of 
intellectual property rights.

(Sept. 1, 1937, ch. 896, title I, Sec. 5, as added Pub. L. 93-383, title 
II, Sec. 201(a), Aug. 22, 1974, 88 Stat. 656; amended Pub. L. 94-375, 
Sec. 2(a), (b), Aug. 3, 1976, 90 Stat. 1067; Pub. L. 95-24, title I, 
Sec. 101(a), Apr. 30, 1977, 91 Stat. 55; Pub. L. 95-128, title II, 
Sec. 201(a), (b), Oct. 12, 1977, 91 Stat. 1128; Pub. L. 95-557, title 
II, Sec. 206(a), (b), Oct. 31, 1978, 92 Stat. 2091; Pub. L. 95-619, 
title II, Sec. 251(a), Nov. 9, 1978, 92 Stat. 3235; Pub. L. 96-153, 
title II, Sec. 201(a), (b), Dec. 21, 1979, 93 Stat. 1105; Pub. L. 96-
399, title II, Secs. 201(a), 210, Oct. 8, 1980, 94 Stat. 1624, 1636; 
Pub. L. 97-35, title III, Secs. 321(a)-(c), 322(c), Aug. 13, 1981, 95 
Stat. 398, 402; Pub. L. 98-181, title II, Sec. 201(b), Nov. 30, 1983, 97 
Stat. 1176; Pub. L. 100-242, title I, Secs. 101, 112(a), (b)(1), 113-
115, Feb. 5, 1988, 101 Stat. 1820, 1823-1825; renumbered title I and 
amended Pub. L. 100-358, Secs. 3, 5, June 29, 1988, 102 Stat. 680, 681; 
Pub. L. 101-625, title IV, Sec. 417(a), title V, Secs. 571, 572(2), Nov. 
28, 1990, 104 Stat. 4161, 4235, 4236; Pub. L. 102-550, title I, 
Secs. 101, 111(a), title VI, Sec. 624, Oct. 28, 1992, 106 Stat. 3681, 
3687, 3819; Pub. L. 104-19, title I, Sec. 1002(c), July 27, 1995, 109 
Stat. 236; Pub. L. 104-330, title V, Sec. 501(b)(2), Oct. 26, 1996, 110 
Stat. 4042; Pub. L. 105-276, title V, Secs. 510, 518(a)(1), (b), 
522(b)(1), 566, Oct. 21, 1998, 112 Stat. 2531, 2551, 2564, 2632.)

                       References in Text

    Section 1437o of this title, referred to in subsec. (c)(6), was 
repealed by Pub. L. 101-625, title II, Sec. 289(b), Nov. 28, 1990, 104 
Stat. 4128.
    Section 1437l of this title, referred to in subsec. (c)(7)(A)(iii), 
(B)(iii), was repealed by Pub. L. 105-276, title V, Sec. 522(a), Oct. 
21, 1998, 112 Stat. 2564.
    Section 1421b of this title, referred to in subsec. (c)(7)(A)(ix), 
(B)(ix), was omitted in the general revision of this chapter by Pub. L. 
93-383, title II, Sec. 201(a), Aug. 22, 1974, 88 Stat. 653.
    The Single Audit Act, referred to in subsec. (h)(2) heading, 
probably means the Single Audit Act of 1984, Pub. L. 98-502, Oct. 19, 
1984, 98 Stat. 2327, which is classified generally to chapter 75 
(Sec. 7501 et seq.) of Title 31, Money and Finance. For complete 
classification of this Act to the Code, see Short Title note set out 
under section 7501 of Title 31 and Tables.


                            Prior Provisions

    A prior section 5 of act Sept. 1, 1937, ch. 896, 50 Stat. 890, as 
amended, enumerated miscellaneous powers and functions of the Authority 
and was classified to section 1405 of this title, prior to the general 
revision of this chapter by Pub. L. 93-383.


                               Amendments

    1998--Subsec. (c)(5). Pub. L. 105-276, Sec. 522(b)(1), substituted 
``for use under section 1437g of this title'' for ``for use under 
section 1437l of this title''.
    Subsec. (e)(2). Pub. L. 105-276, Sec. 518(b), inserted before period 
at end ``; the Secretary shall require that each such agreement shall 
provide that, notwithstanding any order, judgment, or decree of any 
court (including any settlement order), before making any amounts that 
are provided pursuant to any contract for contributions under this 
subchapter available for use for the development of any housing or other 
property not previously used as public housing, the public housing 
agency shall (A) notify the chief executive officer (or other 
appropriate official) of the unit of general local government in which 
the public housing for which such amounts are to be so used is located 
(or to be located) of such use, and (B) pursuant to the request of such 
unit of general local government, provide such information as may 
reasonably be requested by such unit of general local government 
regarding the public housing to be so assisted (except to the extent 
otherwise prohibited by law)''.
    Subsec. (h). Pub. L. 105-276, Sec. 566, added subsec. (h).
    Pub. L. 105-276, Sec. 518(a)(1)(A), struck out subsec. (h) which 
read as follows: ``Notwithstanding any other provision of law, a public 
housing agency may sell a low-income housing project to its lower income 
tenants, on such terms and conditions as the agency may determine, 
without affecting the Secretary's commitment to pay annual contributions 
with respect to that project, but such contributions shall not exceed 
the maximum contributions authorized under subsection (a) of this 
section.''
    Subsec. (i). Pub. L. 105-276, Sec. 518(a)(1), redesignated subsec. 
(l) as (i) and struck out former subsec. (i) which read as follows: ``In 
entering into contracts for assistance with respect to newly constructed 
or substantially rehabilitated projects under this section (other than 
for projects assisted pursuant to section 1437f of this title), the 
Secretary shall require the installation of a passive or active solar 
energy system in any such project where the Secretary determines that 
such installation would be cost effective over the estimated life of the 
system.''
    Subsecs. (j), (k). Pub. L. 105-276, Sec. 518(a)(1)(A), struck out 
subsecs. (j) and (k), which had: in subsec. (j), placed conditions upon 
reservation of funds for development of public housing after Sept. 30, 
1987, and placed limitations on amounts used for redesign, 
reconstruction, redevelopment, or operational improvement of existing 
projects, but directed that not less than 5 percent of certain amounts 
appropriated in fiscal years 1993 and 1994 be reserved for public 
housing projects designated for elderly or disabled families; and in 
subsec. (k), prohibited recapture of amounts of public housing 
development funds reserved to a public housing agency for failure to 
begin construction or rehabilitation, or to complete acquisition, during 
30-month period following date of reservation.
    Subsec. (l). Pub. L. 105-276, Sec. 518(a)(1)(B), redesignated 
subsec. (l) as (i).
    Pub. L. 105-276, Sec. 510, added subsec. (l).
    1996--Subsec. (j)(1). Pub. L. 104-330, Sec. 501(b)(2)(A), struck out 
``(other than for Indian families)'' after ``for public housing'' in 
introductory provisions.
    Subsec. (l). Pub. L. 104-330, Sec. 501(b)(2)(B), struck out subsec. 
(l) which read as follows: ``The Secretary may not use as a criterion 
for distributing assistance under this section the progress made by an 
Indian public housing agency in collecting rents owed by tenants 
unless--
        ``(1) such criterion is used as 1 of several criteria that are 
    weighted proportionally and is established by regulations issued 
    after public notice and opportunity to comment in accordance with 
    section 553 of title 5; or
        ``(2) the Secretary determines that the Indian public housing 
    agency has demonstrated a pattern of substantial noncompliance with 
    requirements governing the collection of rents.''
    1995--Subsec. (h). Pub. L. 104-19 struck out at end ``Any such sale 
shall be subject to the restrictions contained in section 1437aaa-3(g) 
of this title.''
    1992--Subsec. (c)(6). Pub. L. 102-550, Sec. 101(a), inserted at end 
``The aggregate amount of budget authority that may be obligated for 
assistance referred to in paragraph (7) is increased (to the extent 
approved in appropriation Acts) by $14,710,990,520 on October 1, 1992, 
and by $15,328,852,122 on October 1993.''
    Subsec. (c)(7)(A), (B). Pub. L. 102-550, Sec. 101(b), added subpars. 
(A) and (B) and struck out former subpars. (A) and (B) which directed 
Secretary to reserve authority to enter into certain obligations 
aggregating specified amounts using par. (6) budget authority and 
balances of such authority available in fiscal years 1991 and 1992.
    Subsec. (j)(1)(D). Pub. L. 102-550, Sec. 624(c)(1), which directed 
the striking of ``and'' at end, was executed by striking ``or'' at end 
to reflect the probable intent of Congress.
    Subsec. (j)(1)(E). Pub. L. 102-550, Sec. 624(c)(3), which directed 
amendment of subsec. (j)(1) by adding at the end a new subpar. (E), was 
executed by adding subsec. (E) after subpar. (D) to reflect the probable 
intent of Congress. Former subpar. (E) redesignated (F).
    Subsec. (j)(1)(F). Pub. L. 102-550, Sec. 624(c)(2), redesignated 
subpar. (E) as (F).
    Subsec. (j)(2). Pub. L. 102-550, Sec. 624(a), added subpar. (G).
    Pub. L. 102-550, Sec. 111(a), amended par. (2) generally. Prior to 
amendment, par. (2) read as follows: ``Notwithstanding any other 
provision of law, not more than 20 percent of the funds appropriated for 
development of public housing also may be committed by the Secretary for 
the substantial redesign, reconstruction, or redevelopment of existing 
public housing projects or units, which work shall be carried out 
pursuant to the rules and regulations applicable to the development of 
public housing.''
    Subsec. (j)(3). Pub. L. 102-550, Sec. 624(b), added par. (3).
    1990--Subsec. (a)(3). Pub. L. 101-625, Sec. 572(2), substituted 
``low-income housing'' for ``lower income housing''.
    Subsec. (c)(6). Pub. L. 101-625, Sec. 571(a), inserted at end ``The 
aggregate amount of budget authority that may be obligated for 
assistance referred to in paragraph (7) is increased (to the extent 
approved in appropriation Acts) by $16,194,000,000 on October 1, 1990, 
and by $14,709,400,000 on October 1, 1991.''
    Subsec. (c)(7)(A), (B). Pub. L. 101-625, Sec. 571(b), amended 
subpars. (A) and (B) generally, substituting present provisions for 
provisions directing Secretary to reserve authority to enter into 
certain obligations aggregating specified amounts using par. (6) budget 
authority and balances of such authority available in fiscal years 1988 
and 1989.
    Subsecs. (d), (e). Pub. L. 101-625, Sec. 572(2), substituted ``low-
income housing'' for ``lower income housing'' wherever appearing.
    Subsec. (h). Pub. L. 101-625, Sec. 572(2), substituted ``low-income 
housing'' for ``lower income housing''.
    Pub. L. 101-625, Sec. 417(a), inserted at end ``Any such sale shall 
be subject to the restrictions contained in section 1437aaa-3(g) of this 
title.''
    1988--Pub. L. 100-242, Sec. 112(b)(1)(A), substituted 
``Contributions'' for ``Annual contributions'' in section catchline.
    Subsec. (a). Pub. L. 100-242, Sec. 112(a), amended subsec. (a) 
generally, revising and restating as pars. (1) to (3) provisions 
formerly contained in a single unnumbered par.
    Subsec. (c)(6). Pub. L. 100-242, Sec. 101(a), inserted sentence at 
end providing for increases on Oct. 1, 1987, and Oct. 1, 1988, of 
aggregate amount of budget authority that may be obligated for specified 
purposes.
    Subsec. (c)(7). Pub. L. 100-242, Sec. 101(b), amended par. (7) 
generally, substituting provisions relating to Secretary's authority to 
enter into obligations under this section for fiscal years 1988 and 
1989, for provisions relating to Secretary's authority for fiscal years 
1984 and 1985 and substituting provisions whereby amounts available for 
conversion of project to assistance under section 1437f(b)(1) of this 
title and amounts available for assistance under section 1437f for 
property disposition, if not required for such purpose, shall be used 
for assistance under section 1437f(b)(1) of this title, for provisions 
wherein specific authorities under this paragraph would be subject to 
adjustments under par. (5) of this subsection.
    Subsec. (c)(8). Pub. L. 100-358, Sec. 3, added par. (8).
    Subsec. (e)(2). Pub. L. 100-242, Sec. 112(b)(1)(B), struck out 
``annual'' before ``contributions''.
    Subsecs. (j) to (l). Pub. L. 100-242, Secs. 113-115, added subsecs. 
(j) to (l).
    1983--Subsec. (c)(1). Pub. L. 98-181, Sec. 201(b)(1), struck out 
concluding provision requiring the Secretary, in utilizing the 
additional authority to enter into contracts on and after Oct. 1, 1980, 
to administer the authorized programs to provide assistance, to the 
maximum extent practicable, consistent with section 1439(d) of this 
title.
    Subsec. (c)(2). Pub. L. 98-181, Sec. 201(b)(2), redesignated par. 
(4) as (2), and struck out former par. (2) which from funds made 
available on Oct. 1, 1980, had required at least $100,000,000 be 
available for section 1437l projects, and from remaining difference 
limited use of funds to 37.5 and 62.5 per centum for existing section 
1437f projects and for newly constructed and substantially rehabilitated 
units.
    Subsec. (c)(3). Pub. L. 98-181, Sec. 201(b)(2), redesignated par. 
(5) as (3), and struck out former par. (3) which from funds made 
available on Oct. 1, 1981, had required at least $75,000,000 be 
available for section 1437l projects, from remaining difference 
allocated sums as provided in section 1439(d) for different community 
and area uses, and from remaining difference required the accommodation 
of preferences of units of local government based on stated factors.
    Subsec. (c)(4). Pub. L. 98-181, Sec. 201(b)(2), redesignated par. 
(6) as (4). Former par. (4) redesignated (2).
    Subsec. (c)(5) to (7). Pub. L. 98-181, Sec. 201(b)(3), added pars. 
(5) to (7). Former pars. (5) and (6) redesignated (3) and (4), 
respectively.
    1981--Subsec. (a). Pub. L. 97-35, Sec. 322(c), substituted 
references to lower income for references to low-income wherever 
appearing.
    Subsec. (c). Pub. L. 97-35, Sec. 321(a)-(c), in par. (1) inserted 
provisions relating to increases on Oct. 1, 1981, and amount respecting 
additional authority as of Oct. 1, 1981, added par. (3), and 
redesignated former pars. (3) to (5) as (4) to (6), respectively.
    Subsecs. (d) to (f), (h). Pub. L. 97-35, Sec. 322(c), substituted 
references to lower income for references to low-income wherever 
appearing.
    1980--Subsec. (c). Pub. L. 96-399, Sec. 201(a), redesignated 
existing provisions as par. (1), among other changes, substituted 
provisions relating to the discretionary power of the Secretary to enter 
into contracts for annual contributions for provisions authorizing the 
Secretary to enter into such contracts, deleted references to 
contributions for assistance to Indian tribes, and added pars. (2) to 
(5).
    Subsec. (i). Pub. L. 96-399, Sec. 210, added subsec. (i).
    1979--Subsec. (c). Pub. L. 96-153 authorized increase in aggregate 
contractual contributions by $1,140,661,000 on Oct. 1, 1979, and 
inserted requirements that out of such additional authority not more 
than $195,053,000 be authorized to be approved in appropriation acts for 
units assisted under this chapter other than under section 1437f of this 
title and that not less than $50,000,000 of the later amount be 
authorized to be approved for modernization of the units.
    1978--Subsec. (c). Pub. L. 95-619 authorized the Secretary to enter 
into annual contribution contracts aggregating not more than $10,000,000 
per annum for financing the purchase and installation of energy 
conserving improvement in existing low-income housing projects which the 
Secretary determined had the greatest need for such improvements.
    Pub. L. 95-557 inserted ``and by $1,195,043,000 on October 1, 1978'' 
after ``October 1, 1977'', ``and on and after October 1, 1978'' after 
``October 1, 1976'' and ``Of the additional authority to enter into 
contracts for annual contributions provided on October 1, 1978, and 
approved in appropriation Acts, the Secretary shall make available not 
less than $50,000,000 for modernization of low-income housing projects'' 
after ``pursuant to section 5304(a)(4) of this title'', and struck out 
provisions after ``only such amounts as may be approved in 
appropriations Acts'' mandating that of the additional authority to 
enter into contracts provided on October 1, 1976, at least $60,000,000 
be made available for modernization of low-income housing projects and 
at least $140,000,000 to assist in financing low-income housing projects 
for ownership by public housing agencies other than under section 1437f, 
of which not less than $100,000,000 shall be available only for the 
purpose of financing the construction or rehabilitation of low-income 
housing projects, and provision after ``plans prepared pursuant to 
section 5304(a)(4) of this title'' mandating that of the additional 
authority to enter into contracts for annual contributions provided on 
Oct. 1, 1977, not less than $42,500,000 shall be made available for low-
income housing projects, not less than $197,139,200 for low-income 
housing projects permanently financed by loans from State housing 
finance or State development agencies, and not less than $120,000,000 
for low-income housing projects permanently financed by loans pursuant 
to section 1701q of title 12.
    1977--Subsec. (c). Pub. L. 95-128 authorized increase in aggregate 
contractual contributions by $1,159,995,000 on Oct. 1, 1977, and 
required the Secretary to make available therefrom minimum amounts of 
$42,500,000 for modernization of low-income housing projects, 
$197,139,200 for such projects financed by loans from State housing 
finance or State development agencies, and $120,000,000 for such 
projects financed by loans pursuant to section 1701q of title 12.
    Pub. L. 95-24 substituted ``and by $1,228,050,000 on October 1, 
1976'' for ``and by $850,000,000 on October 1, 1976''.
    1976--Subsec. (c). Pub. L. 94-375 substituted ``$1,524,000,000 per 
annum, which limit shall be increased by $965,000,000 on July 1, 1974, 
by $662,300,000 on July 1, 1975, and by $850,000,000 on October 1, 1976, 
except that the additional authority to enter into contracts for annual 
contributions provided on or after July 1, 1975, shall be effective only 
in such amounts as may be approved in appropriation Acts'' for 
``$1,199,250,000 per annum, which limit shall be increased by 
$225,000,000 on July 1, 1971, by $150,000,000 on July 1, 1972, by 
$400,000,000 on July 1, 1973, and by $965,000,000 on July 1, 1974'', 
provision requiring the Secretary make available a total of at least 
$200,000,000 for modernization and financing of low-income housing 
projects under the additional authority to enter into contracts for 
annual contributions provided on Oct. 1, 1976, for provision which 
required the Secretary to enter into contracts for annual contributions 
of at least $150,000,000 to assist in financing the development or 
acquisition cost of low-income housing projects, inserted ``and by not 
less than $17,000,000 per annum on October 1, 1976,'' after ``not less 
than $15,000,000 per annum, on July 1, 1975'', and struck out ``to the 
amounts of contracts for annual contributions required to be entered 
into by the Secretary under the second sentence of this subsection'' 
after ``In addition''.


                    Effective Date of 1998 Amendment

    Amendment by title V of Pub. L. 105-276 effective and applicable 
beginning upon Oct. 1, 1999, except as otherwise provided, with 
provision that Secretary may implement amendment before such date, 
except to extent that such amendment provides otherwise, and with 
savings provision, see section 503 of Pub. L. 105-276, set out as a note 
under section 1437 of this title.


                    Effective Date of 1996 Amendment

    Amendment by Pub. L. 104-330 effective Oct. 1, 1997, except as 
otherwise expressly provided, see section 107 of Pub. L. 104-330, set 
out as an Effective Date note under section 4101 of Title 25, Indians.


                    Effective Date of 1995 Amendment

    Section 1002(d) of Pub. L. 104-19, as amended by Pub. L. 104-134, 
title I, Sec. 101(e) [title II, Sec. 201(b)(1)], Apr. 26, 1996, 110 
Stat. 1321-257, 1321-278; renumbered title I, Pub. L. 104-140, 
Sec. 1(a), May 2, 1996, 110 Stat. 1327; Pub. L. 104-204, title II, 
Sec. 201(b), Sept. 26, 1996, 110 Stat. 2892; Pub. L. 105-65, title II, 
Sec. 201(a), Oct. 27, 1997, 111 Stat. 1364, provided that: Subsections 
(a), (b), and (c) [amending this section and sections 1437p and 1437aaa-
3 of this title] shall be effective for applications for the demolition, 
disposition, or conversion to homeownership of public housing approved 
by the Secretary, and other consolidation and relocation activities of 
public housing agencies undertaken, on, before, or after September 30, 
1995 and on or before September 30, 1998.''


                    Effective Date of 1992 Amendment

    Amendment by subtitles B through F of title VI [Secs. 621-685] of 
Pub. L. 102-550 applicable upon expiration of 6-month period beginning 
Oct. 28, 1992, except as otherwise provided, see section 13642 of this 
title.


                    Effective Date of 1990 Amendment

    Section 417(b) of Pub. L. 101-625 provided that: ``The amendment 
made by subsection (a) [amending this section] shall not apply to 
applications submitted under section 5(h) of the United States Housing 
Act of 1937 [subsec. (h) of this section] prior to October 1, 1990.''


                    Effective Date of 1988 Amendment

    For date on which Secretary of Housing and Urban Development may 
carry out programs to provide lower income housing on Indian 
reservations and other Indian areas only in accordance with amendment by 
Pub. L. 100-358, see section 6 of Pub. L. 100-358, set out as a note 
under section 1437a of this title.


                    Effective Date of 1981 Amendment

    Amendment by Pub. L. 97-35 effective Oct. 1, 1981, see section 371 
of Pub. L. 97-35, set out as an Effective Date note under section 3701 
of Title 12, Banks and Banking.


                    Effective Date of 1978 Amendment

    Section 206(h) of Pub. L. 95-557 provided that: ``The amendments 
made by this section [amending this section and sections 1437a, 1437f, 
and 1437g of this title], except the amendment made by subsection (d) 
[amending section 1437f of this title], shall become effective on 
October 1, 1978.''


                    Effective Date of 1976 Amendment

    Section 2(b)(1), (2) of Pub. L. 94-375 provided that the amendment 
of subsec. (c), which required the Secretary to make available a total 
of $200,000,000 for modernization and financing of low-income housing 
and which struck out reference to the amount of contracts the Secretary 
was required to enter into under the second sentence of this subsection, 
is effective Oct. 1, 1976.


                             Effective Date

    Section effective on such date or dates as the Secretary of Housing 
and Urban Development shall prescribe, but not later than eighteen 
months after Aug. 22, 1974, except that all of the provisions of this 
section shall become effective on the same date, see section 201(b) of 
Pub. L. 93-383, set out as a note under section 1437 of this title.


                               Regulations

    Section 111(c) of Pub. L. 102-550 provided that: ``The Secretary 
shall issue regulations necessary to carry out the amendments made by 
this section [amending this section and sections 1437l and 1437p of this 
title] as provided under section 191 of this Act [42 U.S.C. 1437a 
note].''


   Inapplicability of Certain 1992 Amendments to Indian Public Housing

    Amendment by section 624 of Pub. L. 102-550 not applicable with 
respect to lower income housing developed or operated pursuant to 
contract between Secretary of Housing and Urban Development and Indian 
housing authority, see section 626 of Pub. L. 102-550, set out as a note 
under section 1437a of this title.


 Increase in Budget Authority for Certificate and Voucher Programs for 
                             Disaster Relief

    Section 931 of Pub. L. 101-625, as amended by Pub. L. 105-276, title 
V, Sec. 550(c), Oct. 21, 1998, 112 Stat. 2609, provided that: ``The 
budget authority available under section 5(c) of the United States 
Housing Act of 1937 (42 U.S.C. 1437c(c)) for tenant-based assistance 
under section 8 of the United States Housing Act of 1937 [42 U.S.C. 
1437f] is authorized to be increased in any fiscal year in which a major 
disaster is declared by the President under the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act [42 U.S.C. 5121 et seq.] in 
such amounts as may be necessary to provide assistance under such 
programs for individuals and families whose housing has been damaged or 
destroyed as a result of such disaster, except that in implementing this 
section, the Secretary shall evaluate the natural hazards to which any 
permanent replacement housing is exposed and shall take appropriate 
action to mitigate such hazards.''


  Increase in Budget Authority for Moderate Rehabilitation Program for 
                             Disaster Relief

    Section 932 of Pub. L. 101-625 provided that: ``The budget authority 
available under section 5(c) of the United States Housing Act of 1937 
(42 U.S.C. 1437c(c)) for assistance under the moderate rehabilitation 
program under section 8(e)(2) of such Act [42 U.S.C. 1437f(e)(2)] is 
authorized to be increased in any fiscal year in which a major disaster 
is declared by the President under the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act [42 U.S.C. 5121 et seq.] in such 
amount as may be necessary to provide assistance under such program for 
individuals and families whose housing has been damaged or destroyed as 
a result of such disaster, except that in implementing this section, the 
Secretary shall evaluate the natural hazards to which any permanent 
replacement housing is exposed and shall take appropriate action to 
mitigate such hazards.''

                  Section Referred to in Other Sections

    This section is referred to in sections 1437c-1, 1437d, 1437f, 
1437i, 1437q, 1437u, 1437z-5, 1437z-7, 1437aaa-4, 1437aaa-6, 8012, 
11401, 11907 of this title; title 12 sections 1701s, 1701u, 1701z-3, 
1715z, 1715z-1, 2294a, 4113; title 31 section 1305.
