106 STAT. 4032

PUBLIC LAW 102-550—OCT. 28,1992

42 USC 11405.

Contracts.

42 USC 11405a.

(f) PROJECT- AND SPONSOR-BASED RENTAL ASSISTANCE AND SIN-
GLE ROOM OCCUPANCY DWELLINGS.—Subtitle F of title IV of the
Stewart B. McKinney Homeless Assistance Act (42 U.S.C. 11403
et seq.), as amended by the preceding provisions of this section,
is further amended by inserting at the end the following new
parts:

TART m—PROJECT-BASED RENTAL

ASSISTANCE

"SEC. 476. AUTHORITY.

The Secretary may use amounts made available under section
463 to provide project-based rental housing assistance for eligible
persons in accordance with this part.

"SEC. 477. HOUSING ASSISTANCE.

"Assistance under this part shall be provided pursuant to a
contract between the recipient and an owner of an existing struc-
ture. The contract shall provide that rental assistance payments
shall be made to the owner and that the units in the structure
shall be occupied by eligible persons for not less than the term
of the contract.

42 USC 11405b. "SEC. 478. TERM OP CONTRACT AND AMOUNT OP ASSISTANCE.

"(a) TERM OF CONTRACT.—Each contract with a recipient for
assistance under this part shall be for a term of 5 years, and
the owner shall have an option to renew the assistance for an
additional 5-year term, subject to the availability of amounts pro-
vided hi appropriation Acts; except that if an expenditure of at
least $3,000 for each unit (including its prorated share of work
on common areas or systems) is required to make the structure
decent, safe, and sanitary, and the owner agrees to carry out the
rehabilitation with resources other than assistance under this sub-
title within 12 months of notification of grant approval, the contract
shall be for a term of 10 years.

"(b) AMOUNT OF ASSISTANCE.—Each contract shall provide that
the recipient shall receive aggregate amounts not to exceed the
appropriate existing housing fair market rental under section 8(cXl)
of the United States Housing Act of 1937 in effect at the tune
the application is approved. Any amounts not needed for a year
may be used to increase the amount available in subsequent years.

TART IV—SPONSOR-BASED RENTAL
ASSISTANCE

42 USC 11406.

Contracts.

42 USC 11406a.

"SEC. 481. AUTHORITY.

The Secretary may use amounts made available under section
463 to provide sponsor-based rental assistance for eligible persons
in accordance with this part.

"SEC. 482. HOUSING ASSISTANCE.

"Assistance under this part shall be provided pursuant to a
contract between the recipient and a private nonprofit sponsor
that owns or leases dwelling units. The contract shall provide
that rental assistance payments shall be made-to the sponsor and
that such assisted units snail be occupied by eligible persons.