Page:United States Statutes at Large Volume 108 Part 1.djvu/371

 PUBLIC LAW 103-233—APR. 11, 1994 108 STAT. 345 Secretary that is not a subsidized project or a formerly subsidized project. "(5) AFFORDABLE.— ^A unit shall be considered affordable if— "(A) for units occupied— "(i) by very low-income families, the rent does not exceed 30 percent of 50 percent of the area median income, as determined by the Secretary, with adjustments for smaller and larger families; and "(ii) by low-income families other than very lowincome families, the rent does not exceed 30 percent of 80 percent of the area median income, as determined by the Secretary, with adjustments for smaller and larger families; or "(B) the unit, or the family residing in the unit, is receiving assistance under section 8 of the United States Housing Act of 1937. " (6) LOW-INCOME FAMILIES AND VERY LOW-INCOME FAMI- LIES.— The terms 'low-income families' and 'very low-income families' shall have the meanings given the terms in section 3(b) of the United States Housing Act of 1937. "(7) PREEXISTING TENANT. —The term 'preexisting tenant' means, with respect to a multifamily housing project acquired pursuant to this section by a purchaser other than the Secretary at foreclosure or after sale by the Secretary, a family that resides in a unit in the project immediately before the acquisition of the project by the purchaser. "(8) MARKET AREA.— The term 'market area' means a market area determined by the Secretary. "(9) SECRETARY. — The term 'Secretary' means the Secretary of Housing and Urban Development. " (c) DISPOSITION OF PROPERTY. — "(1) DISPOSITION TO PURCHASERS.— In carrying out this section, the Secretary may dispose of a multifamily housing project owned by the Secretary on a negotiated, competitive bid, or other basis, on such terms as the Secretary deems appropriate considering the low-income character of the project and consistent with the goals in subsection (a), only to a purchaser determined by the Secretary to be capable of— "(A) satisfying the conditions of the disposition plan developed under paragraph (2) for the project; "(B) implementing a sound financial and physical management program that is designed to enable the project to meet anticipated operating and repair expenses to ensure that the project will remain in decent, safe, and sanitary condition and in compliance with any standards under applicable State or local laws, rules, ordingmces, or regulations relating to the physical condition of the housing and any such standards established by the Secretary; "(C) responding to the needs of the tenants and working cooperatively with tenant organizations; "(D) providing adequate organizational, staff, and financial resources to the project; and "(E) meeting such other requirements as the Secretary may determine. " (2) DISPOSITION PLAN.—

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