
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: 42USC1437i]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                      CHAPTER 8--LOW-INCOME HOUSING
 
            SUBCHAPTER I--GENERAL PROGRAM OF ASSISTED HOUSING
 
Sec. 1437i. Obligations of public housing agencies; 
        contestability; full faith and credit of United States pledged 
        as security; tax exemption
        
    (a) Obligations issued by a public housing agency in connection with 
low-income housing projects which (1) are secured (A) by a pledge of a 
loan under any agreement between such public housing agency and the 
Secretary, or (B) by a pledge of annual contributions under an annual 
contributions contract between such public housing agency and the 
Secretary, or (C) by a pledge of both annual contributions under an 
annual contributions contract and a loan under an agreement between such 
public housing agency and the Secretary, and (2) bear, or are 
accompanied by, a certificate of the Secretary that such obligations are 
so secured, shall be incontestable in the hands of a bearer and the full 
faith and credit of the United States is pledged to the payment of all 
amounts agreed to be paid by the Secretary as security for such 
obligations.
    (b) Except as provided in section 1437c(g) of this title, 
obligations, including interest thereon, issued by public housing 
agencies in connection with low-income housing projects shall be exempt 
from all taxation now or hereafter imposed by the United States whether 
paid by such agencies or by the Secretary. The income derived by such 
agencies from such projects shall be exempt from all taxation now or 
hereafter imposed by the United States.

(Sept. 1, 1937, ch. 896, title I, Sec. 11, as added Pub. L. 93-383, 
title II, Sec. 201(a), Aug. 22, 1974, 88 Stat. 667; amended Pub. L. 97-
35, title III, Sec. 322(c), Aug. 13, 1981, 95 Stat. 402; renumbered 
title I, Pub. L. 100-358, Sec. 5, June 29, 1988, 102 Stat. 681; Pub. L. 
101-625, title V, Sec. 572(2), Nov. 28, 1990, 104 Stat. 4236.)


                            Prior Provisions

    A prior section 11 of act Sept. 1, 1937, ch. 896, 50 Stat. 893, as 
amended, authorized capital grants to public housing agencies in 
assistance of low rentals and was classified to section 1411 of this 
title, prior to the general revision of this chapter by Pub. L. 93-383.


                               Amendments

    1990--Pub. L. 101-625 substituted ``low-income housing'' for ``lower 
income housing'' wherever appearing.
    1981--Pub. L. 97-35 substituted reference to lower income for 
reference to low-income wherever appearing.


                    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.

                  Section Referred to in Other Sections

    This section is referred to in section 1437q of this title; title 26 
section 149.
