
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: 42USC1437t]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                      CHAPTER 8--LOW-INCOME HOUSING
 
            SUBCHAPTER I--GENERAL PROGRAM OF ASSISTED HOUSING
 
Sec. 1437t. Authority to convert public housing to vouchers


(a) Authority

    A public housing agency may convert any public housing project (or 
portion thereof) owned by the public housing agency to tenant-based 
assistance, but only in accordance with the requirements of this 
section.

(b) Conversion assessment

                           (1) In general

        To convert public housing under this section, a public housing 
    agency shall conduct an assessment of the public housing that 
    includes--
            (A) a cost analysis that demonstrates whether or not the 
        cost (both on a net present value basis and in terms of new 
        budget authority requirements) of providing tenant-based 
        assistance under section 1437f of this title for the same 
        families in substantially similar dwellings over the same period 
        of time is less expensive than continuing public housing 
        assistance in the public housing project for the remaining 
        useful life of the project;
            (B) an analysis of the market value of the public housing 
        project both before and after rehabilitation, and before and 
        after conversion;
            (C) an analysis of the rental market conditions with respect 
        to the likely success of the use of tenant-based assistance 
        under section 1437f of this title in that market for the 
        specific residents of the public housing project, including an 
        assessment of the availability of decent and safe dwellings 
        renting at or below the payment standard established for tenant-
        based assistance under section 1437f of this title by the 
        agency;
            (D) the impact of the conversion to tenant-based assistance 
        under this section on the neighborhood in which the public 
        housing project is located; and
            (E) a plan that identifies actions, if any, that the public 
        housing agency would take with regard to converting any public 
        housing project or projects (or portions thereof) of the public 
        housing agency to tenant-based assistance.

                             (2) Timing

        Not later than 2 years after the effective date under section 
    503(a) of the Quality Housing and Work Responsibility Act of 1998, 
    each public housing agency shall conduct an assessment under 
    paragraph (1) or (3) of the status of each public housing project 
    owned by such agency and shall submit to the Secretary such 
    assessment. A public housing agency may otherwise undertake an 
    assessment under this subsection at any time and for any public 
    housing project (or portion thereof) owned by the agency. A public 
    housing agency may update a previously conducted assessment for a 
    project (or portion thereof) for purposes of compliance with the 
    one-year limitation under subsection (c) of this section.

                     (3) Streamlined assessment

        At the discretion of the Secretary or at the request of a public 
    housing agency, the Secretary may waive any or all of the 
    requirements of paragraph (1) or (3) or otherwise require a 
    streamlined assessment with respect to any public housing project or 
    class of public housing projects.

(c) Criteria for implementation of conversion plan

    A public housing agency may convert a public housing project (or 
portion thereof) owned by the agency to tenant-based assistance only 
pursuant to a conversion assessment under subsection (b) of this section 
that one year \1\ and that demonstrates that the conversion--
---------------------------------------------------------------------------
    \1\ So in original.
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        (1) will not be more expensive than continuing to operate the 
    public housing project (or portion thereof) as public housing;
        (2) will principally benefit the residents of the public housing 
    project (or portion thereof) to be converted, the public housing 
    agency, and the community; and
        (3) will not adversely affect the availability of affordable 
    housing in such community.

(d) Conversion plan requirement

    A public housing project may be converted under this section to 
tenant-based assistance only as provided in a conversion plan under this 
subsection, which has not been disapproved by the Secretary pursuant to 
subsection (e) of this section. Each conversion plan shall--
        (1) be developed by the public housing agency, in consultation 
    with the appropriate public officials, with significant 
    participation by the residents of the project (or portion thereof) 
    to be converted;
        (2) be consistent with and part of the public housing agency 
    plan;
        (3) describe the conversion and future use or disposition of the 
    project (or portion thereof) and include an impact analysis on the 
    affected community;
        (4) provide that the public housing agency shall--
            (A) notify each family residing in a public housing project 
        (or portion) to be converted under the plan 90 days prior to the 
        displacement date except in cases of imminent threat to health 
        or safety, consistent with any guidelines issued by the 
        Secretary governing such notifications, that--
                (i) the public housing project (or portion) will be 
            removed from the inventory of the public housing agency; and
                (ii) each family displaced by such action will be 
            offered comparable housing--
                    (I) that meets housing quality standards;
                    (II) that is located in an area that is generally 
                not less desirable than the location of the displaced 
                person's housing; and
                    (III) which may include--
                        (aa) tenant-based assistance, except that the 
                    requirement under this clause regarding offering of 
                    comparable housing shall be fulfilled by use of 
                    tenant-based assistance only upon the relocation of 
                    such family into such housing;
                        (bb) project-based assistance; or
                        (cc) occupancy in a unit operated or assisted by 
                    the public housing agency at a rental rate paid by 
                    the family that is comparable to the rental rate 
                    applicable to the unit from which the family is 
                    vacated;

            (B) provide any necessary counseling for families displaced 
        by such action;
            (C) ensure that, if the project (or portion) converted is 
        used as housing after such conversion, each resident may choose 
        to remain in their dwelling unit in the project and use the 
        tenant-based assistance toward rent for that unit; and
            (D) provide any actual and reasonable relocation expenses 
        for families displaced by the conversion; and

        (5) provide that any proceeds to the agency from the conversion 
    will be used subject to the limitations that are applicable under 
    section 1437p(a)(5) of this title to proceeds resulting from the 
    disposition or demolition of public housing.

(e) Review and approval of conversion plans

    The Secretary shall disapprove a conversion plan only if--
        (1) the plan is plainly inconsistent with the conversion 
    assessment for the agency developed under subsection (b) of this 
    section;
        (2) there is reliable information and data available to the 
    Secretary that contradicts that conversion assessment; or
        (3) the plan otherwise fails to meet the requirements of this 
    section.

(f) Tenant-based assistance

    To the extent approved by the Secretary, the funds used by the 
public housing agency to provide tenant-based assistance under section 
1437f of this title shall be added to the annual contribution contract 
administered by the public housing agency.

(Sept. 1, 1937, ch. 896, title I, Sec. 22, as added Pub. L. 101-625, 
title V, Sec. 515(a), Nov. 28, 1990, 104 Stat. 4196; amended Pub. L. 
102-550, title I, Sec. 119, Oct. 28, 1992, 106 Stat. 3695; Pub. L. 105-
276, title V, Sec. 533(a), Oct. 21, 1998, 112 Stat. 2576.)

                       References in Text

    Section 503(a) of the Quality Housing and Work Responsibility Act of 
1998, referred to in subsec. (b)(2), is section 503(a) of Pub. L. 105-
276, which is set out as an Effective Date of 1998 Amendment note under 
section 1437 of this title.


                               Amendments

    1998--Pub. L. 105-276 amended section generally. Prior to amendment, 
section related to award of grants to public housing agencies to adapt 
public housing to help families gain better access to educational and 
job opportunities, use of funds for supportive services, development of 
facilities to accommodate them, and employment of service coordinators, 
applications, selection for grants, reports to Secretary and Congress, 
and appropriations for fiscal years 1993 and 1994.
    1992--Subsec. (k). Pub. L. 102-550 amended subsec. (k) generally, 
substituting present provisions for provisions authorizing $25,000,000 
in fiscal year 1991 and $26,100,000 in fiscal year 1992.


                    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.


                            Savings Provision

    Pub. L. 105-276, title V, Sec. 533(b), Oct. 21, 1998, 112 Stat. 
2578, provided that: ``The amendment made by subsection (a) [amending 
this section] shall not affect any contract or other agreement entered 
into under section 22 of the United States Housing Act of 1937 [42 
U.S.C. 1437t], as such section existed immediately before the effective 
date under section 503(a) of the Quality Housing and Work Responsibility 
Act of 1998 [Pub. L. 105-276, set out as an Effective Date of 1998 
Amendment note under section 1437 of this title].''


        Public Housing One-Stop Perinatal Services Demonstration

    Section 521 of Pub. L. 101-625, as amended by Pub. L. 102-550, title 
I, Sec. 125, Oct. 28, 1992, 106 Stat. 3710, which directed Secretary of 
Housing and Urban Development to carry out program to demonstrate 
effectiveness of providing grants to public housing agencies to assist 
such agencies in providing facilities for making one-stop perinatal 
services programs available for pregnant women residing in public 
housing, set forth preferences, limitation on grant amount, and program 
requirements, and required report to Congress not later than 1 year 
after amounts were first made available setting forth findings and 
conclusions and including recommendations with respect to establishment 
of permanent program, was repealed by Pub. L. 105-276, title V, 
Sec. 582(a)(9), Oct. 21, 1998, 112 Stat. 2644.

                  Section Referred to in Other Sections

    This section is referred to in section 1437c-1 of this title.
