Page:United States Statutes at Large Volume 112 Part 3.djvu/733

 PUBLIC LAW 105-276—OCT. 21, 1998 112 STAT. 2563 (b) DETERMINATION. —Section 6(b) of the United States Housing Act of 1937 (42 U.S.C. 1437d(b)) is amended by adding at the end the following new paragraphs: "(3) In calculating the total development cost of a project under paragraph (2), the Secretary shall consider only capital assistance provided by the Secretary to a public housing agency that are authorized for use in connection with the development of public housing, and shall exclude all other amounts, including amounts provided under— "(A) the HOME investment partnerships program authorized under title II of the Cranston-Conzalez National Affordable Housing Act; or "(B) the community development block grants program under title I of the Housing and Community Development Act of 1974. "(4) The Secretary may restrict the amount of capital funds that a public housing agency may use to pay for housing construction costs. For purposes of this paragraph, housing construction costs include the actual hard costs for the construction of units, builders' overhead and profit, utilities from the street, and finish landscaping.". SEC. 521. SANCTIONS FOR IMPROPER USE OF AMOUNTS. Section 6(j) of the United States Housing Act of 1937 (42 U.S.C. 1437d( j)) is amended— (1) by redesignating paragraph (4) as paragraph (5); and (2) by inserting after paragraph (3) the following new paragraph: " (4) SANCTIONS FOR IMPROPER USE OF AMOUNTS. — "(A) IN GENERAL.— In addition to any other actions authorized under this Act, if the Secretary finds that a public housing agency receiving assistance amounts under section 9 for public housing has failed to comply substantially with any provision of this Act relating to the public housing program, the Secretary kiay— "(i) terminate assistance payments under this section 9 to the agency; "(ii) withhold from the agency amounts from the total allocations for the agency pursuant to section 9; "(iii) reduce the amount of future assistance payments under section 9 to the agency by an amount equal to the amount of such payments that were not expended in accordance with this Act; "(iv) limit the availability of assistsmce amounts provided to the agency under section 9 to programs, projects, or activities not affected by such failure to comply; "(v) withhold from the agency amounts allocated for the agency under section 8; or "(vi) order other corrective action with respect to the agency. "(B) TERMINATION OF COMPLIANCE ACTION.—If the Secretary takes action under subparagraph (A) with respect to a public housing agency, the Secretary shall— "(i) in the case of action under subparagraph (A)(i), resume payments of assistance amounts under section 9 to the agency in the full amount of the total allocations

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