Page:United States Statutes at Large Volume 97.djvu/1217

 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1185 "(ii) for property other than dwelling units, the property is excess to the needs of a project or the disposition is incidental to, or does not interfere with, continued oper- ation of a project; and "(B) the net proceeds of the disposition will be used for (i) the payment of development cost for the project and for the retirement of outstanding obligations issued to finance original development or modernization of the project, and (ii) to the extent that any proceeds remciin after the applica- tion of proceeds in accordance with clause (i), the provision of housing assistance for lower income families through such measures as modernization of lower income housing, or the acquisition, development, or rehabilitation of other properties to operate as lower income housing. "(b) The Secretary may not approve an application or furnish assistance under this section under this Act unless— "(1) the application from the public housing agency has been developed in consultation with tenants and tenant councils, if any, who will be affected by the demolition or disposition and contains a certification by appropriate local government offi- cisils that the proposed activity is consistent with the applicable housing assistance plan; and "(2) all tenants to be displaced as a result of the demolition or disposition will be given assistance by the public housing agency and are relocated to other decent, safe, sanitary, and affordable housing, which is, to the maximum extent practicable, housing of their choice, including hoiising assisted under section 8 of this Act. "(c) Notwithstanding any other provision of law, the Secretary is authorized to make available financial assistance for applications approved under this section using available annual contributions authorized under section 5(c). "(d) The provisions of this section shall not apply to the convey- ance of unite in a public housing project for the purpose of providing homeownership opportunities for lower income families capable of assuming the responsibilities of homeownership.". (b) Section 6(f) and section 14(f) of such Act are repealed. FINANCING LIMITATIONS SEC. 215. The United States Housing Act of 1937 is amended by adding at the end thereof the following: Proceeds. 42 USC 1437f. Ante, p. 1176. 42 USC 1437d, 1437/. FINANCING LIMITATIONS 'SEC. 19. On and after October 1, 1983, the Secretary— Contracts. "(1) may only enter into contracts for annual contributions 42 USC 1437q. regarding obligations financing public housing projects author- ized by section 5(c) if such obligations are exempt from taxation -^"^ P- ^'^^_• under section 11(b), or if such obligations are issued under 42 USC 14371. section 4 and such obligations are exempt from taxation; and 42 USC 1437b. "(2) may not enter into contracts for periodic payments to the Federal Financing Bank to offset the costs to the Bank of purchasing obligations (as described in the first sentence of section 16(b) of the Federal Financing Bank Act of 1973) issued 12 USC 2294. by local public housing agencies for purposes of financing public housing projects authorized by section 5(c) of this Act.". 11-194 O - 85 — 39 QL3

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