§1437n. Income eligibility for assisted housing

(a) Percentage availability under contracts prior to October 1, 1981

Not more than 25 per centum of the dwelling units which were available for occupancy under public housing annual contributions contracts and section 8 [42 U.S.C. 1437f] housing assistance payments contracts under this chapter before October 1, 1981, and which will be leased on or after October 1, 1981, shall be available for leasing by low-income families other than very low-income families.

(b) Percentage availability under contracts on or after October 1, 1981

(1) Not more than 15 percent of the dwelling units which become available for occupancy under public housing contributions contracts and section 8 [42 U.S.C. 1437f] housing assistance payments contracts under this chapter on or after October 1, 1981, shall be available for leasing by low-income families other than very low-income families.

(2) Not more than 25 percent of the dwelling units in any project of any agency shall be available for occupancy by low-income families other than very low-income families. The limitation shall not apply in the case of any project in which, before November 28, 1990, such low-income families occupy more than 25 percent of the dwelling units.

(c) Admission procedures

In developing admission procedures implementing subsection (b) of this section, the Secretary may not totally prohibit admission of low-income families other than very low-income families and shall establish an appropriate specific percentage of low-income families other than very-low income families that may be assisted in each assisted housing program that, when aggregated, will achieve the overall percentage limitation contained in subsection (b) of this section. In developing such admission procedures, the Secretary shall prohibit project owners from selecting families for residence in an order different from the order on the waiting list for the purpose of selecting relatively higher income families for residence; except that such prohibition shall not apply with respect to families selected for occupancy in public housing under the system of preferences established by the agency pursuant to section 1437d(c)(4)(A)(ii) of this title. The Secretary shall issue regulations to carry out this subsection not later than 60 days after February 5, 1988.

(d) Applicability of admission procedures limitations

(1) The limitations established in subsection (b) of this section shall not apply to dwelling units made available under section 8 [42 U.S.C. 1437f] housing assistance contracts for the purpose of preventing displacement, or ameliorating the effects of displacement, including displacement caused by rents exceeding 30 percent of monthly adjusted family income, of low-income families from projects being rehabilitated with assistance from rehabilitation grants under section 1437o ¹ of this title and the Secretary shall not otherwise unduly restrict the use of payments under section 8 [42 U.S.C. 1437f] housing assistance contracts for this purpose.

(2) The limitations established in subsections (a) and (b) of this section shall not apply to dwelling units assisted by Indian public housing agencies,² to scattered site public housing dwelling units sold or intended to be sold to public housing tenants under section 1437c(h) of this title..³

(Sept. 1, 1937, ch. 896, title I, §16, as added Aug. 13, 1981, Pub. L. 97–35, title III, §323, 95 Stat. 404 ; amended Nov. 30, 1983, Pub. L. 98–181, title II, §213, 97 Stat. 1184 ; Feb. 5, 1988, Pub. L. 100–242, title I, §§103, 112(b)(8), 101 Stat. 1822 , 1824; renumbered title I, June 29, 1988, Pub. L. 100–358, §5, 102 Stat. 681 ; Nov. 7, 1988, Pub. L. 100–628, title X, §1001(a), 102 Stat. 3263 ; Nov. 28, 1990, Pub. L. 101–625, title V, §§511, 572(1), 104 Stat. 4194 , 4236; Oct. 28, 1992, Pub. L. 102–550, title I, §105, 106 Stat. 3684 .)

References in Text

Section 1437o of this title, referred to in subsec. (d)(1), was repealed by Pub. L. 101–625, title II, §289(b)(1), Nov. 28, 1990, 104 Stat. 4128 .

Codification

October 1, 1981, referred to in subsecs. (a) and (b)(1), was in the original "the effective date of the Housing and Community Development Amendments of 1981" and "such effective date" meaning the effective date of subtitle A of title III of Pub. L. 97–35, Aug. 13, 1981, 95 Stat. 384 , which was generally effective Oct. 1, 1981. See Effective Date note below.

Amendments

1992-Subsec. (c). Pub. L. 102–550, §105(a), substituted "very low-income families and shall" for "very low-income families, shall" and ". In developing such admission procedures, the Secretary shall" for ", and shall" and inserted "; except that such prohibition shall not apply with respect to families selected for occupancy in public housing under the system of preferences established by the agency pursuant to section 1437d(c)(4)(A)(ii) of this title" after "higher income families for residence".

Subsec. (d)(2). Pub. L. 102–550, §105(b), inserted before period at end ", to scattered site public housing dwelling units sold or intended to be sold to public housing tenants under section 1437c(h) of this title."

1990-Subsec. (a). Pub. L. 101–625, §572(1), substituted "low-income families" for "lower income families".

Subsec. (b). Pub. L. 101–625, §572(1), substituted "low-income families" for "lower income families" in par. (1).

Pub. L. 101–625, §511, designated existing provisions as par. (1), substituted "15 percent" for "5 per centum", and added par. (2).

Subsecs. (c), (d)(1). Pub. L. 101–625, §572(1), substituted "low-income families" for "lower income families" wherever appearing.

1988-Subsec. (b). Pub. L. 100–242, §112(b)(8), struck out "annual" before "contributions".

Subsec. (c). Pub. L. 100–628 substituted "shall establish an appropriate specific percentage of lower income families other than very-low income families that may be assisted in each assisted housing program" for "and shall establish, as appropriate, differing percentage limitations on admission of lower income families in separate assisted housing programs" and inserted before period at end of first sentence ", and shall prohibit project owners from selecting families for residence in an order different from the order on the waiting list for the purpose of selecting relatively higher income families for residence".

Pub. L. 100–242, §103, added subsec. (c).

Subsec. (d). Pub. L. 100–242, §103, added subsec. (d).

1983-Subsec. (a). Pub. L. 98–181 increased to 25 from 10 the percentage of dwelling units available for leasing.

Effective Date

Section effective Oct. 1, 1981, see section 371 of Pub. L. 97–35, set out as a note under section 3701 of Title 12, Banks and Banking.

Section Referred to in Other Sections

This section is referred to in section 1437r of this title; title 12 section 1715z–1a.

¹ See References in Text note below.

² So in original. The comma probably should be "or".

³ So in original.