Sec. 302. PILOT PROGRAM FOR HOMEOWNERSHIP ASSISTANCE FOR DISABLED FAMILIES
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## SEC. 302 PILOT PROGRAM FOR HOMEOWNERSHIP ASSISTANCE FOR DISABLED FAMILIES **[**[42 U.S.C. 1437f note](/us/usc/t42/s1437f)**]** ###
(a)In General A public housing agency providing tenant-based assistance on behalf of an eligible family under section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) may provide assistance for a disabled family that purchases a dwelling unit (including a dwelling unit under a lease-purchase agreement) that will be owned by one or more members of the disabled family and will be occupied by the disabled family, if the disabled family— ####
(1)purchases the dwelling unit before the expiration of the 3-year period beginning on the date that the Secretary first implements the pilot program under this section; ####
(2)demonstrates that the disabled family has income from employment or other sources (including public assistance), as determined in accordance with requirements of the Secretary, that is not less than twice the payment standard established by the public housing agency (or such other amount as may be established by the Secretary); ####
(3)except as provided by the Secretary, demonstrates at the time the disabled family initially receives tenant-based assistance under this section that one or more adult members of the disabled family have achieved employment for the period as the Secretary shall require; ####
(4)participates in a homeownership and housing counseling program provided by the agency; and ####
(5)meets any other initial or continuing requirements established by the public housing agency in accordance with requirements established by the Secretary. ###
(b)Determination of Amount of Assistance ####
(1)In general #####
(A)Monthly expenses not exceeding payment standard If the monthly homeownership expenses, as determined in accordance with requirements established by the Secretary, do not exceed the payment standard, the monthly assistance payment shall be the amount by which the homeownership expenses exceed the highest of the following amounts, rounded to the nearest dollar: ######
(i)Thirty percent of the monthly adjusted income of the disabled family. ######
(ii)Ten percent of the monthly income of the disabled family. ######
(iii)If the disabled family is receiving payments for welfare assistance from a public agency, and a portion of those payments, adjusted in accordance with the actual housing costs of the disabled family, is specifically designated by that agency to meet the housing costs of the disabled family, the portion of those payments that is so designated. #####
(B)Monthly expenses exceed payment standard If the monthly homeownership expenses, as determined in accordance with requirements established by the Secretary, exceed the payment standard, the monthly assistance payment shall be the amount by which the applicable payment standard exceeds the highest of the amounts under clauses (i), (ii), and
(iii)of subparagraph (A). ####
(2)Calculation of amount #####
(A)Low-income families A disabled family that is a low-income family shall be eligible to receive 100 percent of the amount calculated under paragraph (1). #####
(B)Income between 81 and 89 percent of median A disabled family whose income is between 81 and 89 percent of the median for the area shall be eligible to receive 66 percent of the amount calculated under paragraph (1). #####
(C)Income between 90 and 99 percent of median A disabled family whose income is between 90 and 99 percent of the median for the area shall be eligible to receive 33 percent of the amount calculated under paragraph (1). #####
(D)Income more than 99 percent of median A disabled family whose income is more than 99 percent of the median for the area shall not be eligible to receive assistance under this section. ###
(c)Inspections and Contract Conditions ####
(1)In general Each contract for the purchase of a dwelling unit to be assisted under this section shall— #####
(A)provide for pre-purchase inspection of the dwelling unit by an independent professional; and #####
(B)require that any cost of necessary repairs be paid by the seller. ####
(2)Annual inspections not required The requirement under subsection (o)(8)(A)(ii) of section 8 of the United States Housing Act of 1937 for annual inspections shall not apply to dwelling units assisted under this section. ###
(d)Other Authority of the Secretary The Secretary may— ####
(1)limit the term of assistance for a disabled family assisted under this section; ####
(2)provide assistance for a disabled family for the entire term of a mortgage for a dwelling unit if the disabled family remains eligible for such assistance for such term; and ####
(3)modify the requirements of this section as the Secretary determines to be necessary to make appropriate adaptations for lease-purchase agreements. ###
(e)Assistance Payments Sent to Lender The Secretary shall remit assistance payments under this section directly to the mortgagee of the dwelling unit purchased by the disabled family receiving such assistance payments. ###
(f)Inapplicability of Certain Provisions Assistance under this section shall not be subject to the requirements of the following provisions: ####
(1)Subsection (c)(3)(B) of section 8 of the United States Housing Act of 1937. ####
(2)Subsection (d)(1)(B)(i) of section 8 of the United States Housing Act of 1937. ####
(3)Any other provisions of section 8 of the United States Housing Act of 1937 governing maximum amounts payable to owners and amounts payable by assisted families. ####
(4)Any other provisions of section 8 of the United States Housing Act of 1937 concerning contracts between public housing agencies and owners. ####
(5)Any other provisions of the United States Housing Act of 1937 that are inconsistent with the provisions of this section. ###
(g)Reversion to Rental Status ####
(1)Non-fha mortgages If a disabled family receiving assistance under this section defaults under a mortgage not insured under the National Housing Act, the disabled family may not continue to receive rental assistance under section 8 of the United States Housing Act of 1937 unless it complies with requirements established by the Secretary. ####
(2)All mortgages A disabled family receiving assistance under this section that defaults under a mortgage may not receive assistance under this section for occupancy of another dwelling unit owned by one or more members of the disabled family. ####
(3)Exception This subsection shall not apply if the Secretary determines that the disabled family receiving assistance under this section defaulted under a mortgage due to catastrophic medical reasons or due to the impact of a federally declared major disaster or emergency. ###
(h)Regulations Not later than 90 days after the date of the enactment of this Act,1 the Secretary shall issue regulations to implement this section. Such regulations may not prohibit any public housing agency providing tenant-based assistance on behalf of an eligible family under section 8 of the United States Housing Act of 1937 from participating in the pilot program under this section. 1The date of enactment was December 27, 2000. ###
(i)Definition of Disabled Family For the purposes of this section, the term “**disabled family**” has the meaning given the term “**person with disabilities**” in section 811(k)(2) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013(k)(2)).
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