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U.S. Code as of:
01/19/04
Section 1701u. Economic opportunities for low- and very low-income persons
(a) Findings
The Congress finds that -
(1) Federal housing and community development programs provide
State and local governments and other recipients of Federal
financial assistance with substantial funds for projects and
activities that produce significant employment and other economic
opportunities;
(2) low- and very low-income persons, especially recipients of
government assistance for housing, often have restricted access
to employment and other economic opportunities;
(3) the employment and other economic opportunities generated
by projects and activities that receive Federal housing and
community development assistance offer an effective means of
empowering low- and very low-income persons, particularly persons
who are recipients of government assistance for housing; and
(4) prior Federal efforts to direct employment and other
economic opportunities generated by Federal housing and community
development programs to low- and very low-income persons have not
been fully effective and should be intensified.
(b) Policy
It is the policy of the Congress and the purpose of this section
to ensure that the employment and other economic opportunities
generated by Federal financial assistance for housing and community
development programs shall, to the greatest extent feasible, be
directed toward low- and very low-income persons, particularly
those who are recipients of government assistance for housing.
(c) Employment
(1) Public and Indian housing program
(A) In general
The Secretary shall require that public and Indian housing
agencies, and their contractors and subcontractors, make their
best efforts, consistent with existing Federal, State, and
local laws and regulations, to give to low- and very low-income
persons the training and employment opportunities generated by
development assistance provided pursuant to section 1437c of
title 42, operating assistance provided pursuant to section
1437g of title 42, and modernization grants provided pursuant
to section 1437l of title 42.(!1)
(B) Priority
The efforts required under subparagraph (A) shall be directed
in the following order of priority:
(i) To residents of the housing developments for which the
assistance is expended.
(ii) To residents of other developments managed by the
public or Indian housing agency that is expending the
assistance.
(iii) To participants in Youthbuild programs receiving
assistance under subtitle D of title IV of the
Cranston-Gonzalez National Affordable Housing Act [42 U.S.C.
12899 et seq.].
(iv) To other low- and very low-income persons residing
within the metropolitan area (or nonmetropolitan county) in
which the assistance is expended.
(2) Other programs
(A) In general
In other programs that provide housing and community
development assistance, the Secretary shall ensure that, to the
greatest extent feasible, and consistent with existing Federal,
State, and local laws and regulations, opportunities for
training and employment arising in connection with a housing
rehabilitation (including reduction and abatement of lead-based
paint hazards), housing construction, or other public
construction project are given to low- and very low-income
persons residing within the metropolitan area (or
nonmetropolitan county) in which the project is located.
(B) Priority
Where feasible, priority should be given to low- and very
low-income persons residing within the service area of the
project or the neighborhood in which the project is located and
to participants in Youthbuild programs receiving assistance
under subtitle D of title IV of the Cranston-Gonzalez National
Affordable Housing Act [42 U.S.C. 12899 et seq.].
(d) Contracting
(1) Public and Indian housing program
(A) In general
The Secretary shall require that public and Indian housing
agencies, and their contractors and subcontractors, make their
best efforts, consistent with existing Federal, State, and
local laws and regulations, to award contracts for work to be
performed in connection with development assistance provided
pursuant to section 1437c of title 42, operating assistance
provided pursuant to section 1437g of title 42, and
modernization grants provided pursuant to section 1437l of
title 42,(!1) to business concerns that provide economic
opportunities for low- and very low-income persons.
(B) Priority
The efforts required under subparagraph (A) shall be directed
in the following order of priority:
(i) To business concerns that provide economic
opportunities for residents of the housing development for
which the assistance is provided.
(ii) To business concerns that provide economic
opportunities for residents of other housing developments
operated by the public and Indian housing agency that is
providing the assistance.
(iii) To Youthbuild programs receiving assistance under
subtitle D of title IV of the Cranston-Gonzalez National
Affordable Housing Act [42 U.S.C. 12899 et seq.].
(iv) To business concerns that provide economic
opportunities for low- and very low-income persons residing
within the metropolitan area (or nonmetropolitan county) in
which the assistance is provided.
(2) Other programs
(A) In general
In providing housing and community development assistance
pursuant to other programs, the Secretary shall ensure that, to
the greatest extent feasible, and consistent with existing
Federal, State, and local laws and regulations, contracts
awarded for work to be performed in connection with a housing
rehabilitation (including reduction and abatement of lead-based
paint hazards), housing construction, or other public
construction project are given to business concerns that
provide economic opportunities for low- and very low-income
persons residing within the metropolitan area (or
nonmetropolitan county) in which the assistance is expended.
(B) Priority
Where feasible, priority should be given to business concerns
which provide economic opportunities for low- and very
low-income persons residing within the service area of the
project or the neighborhood in which the project is located and
to Youthbuild programs receiving assistance under subtitle D of
title IV of the Cranston-Gonzalez National Affordable Housing
Act [42 U.S.C. 12899 et seq.].
(e) Definitions
For the purposes of this section the following definitions shall
apply:
(1) Low- and very low-income persons
The terms "low-income persons" and "very low-income persons"
have the same meanings given the terms "low-income families" and
"very low-income families", respectively, in section 1437a(b)(2)
of title 42.
(2) Business concern that provides economic opportunities
The term "a business concern that provides economic
opportunities" means a business concern that -
(A) provides economic opportunities for a class of persons
that has a majority controlling interest in the business;
(B) employs a substantial number of such persons; or
(C) meets such other criteria as the Secretary may establish.
(f) Coordination with other Federal agencies
The Secretary shall consult with the Secretary of Labor, the
Secretary of Health and Human Services, the Secretary of Commerce,
the Administrator of the Small Business Administration, and such
other Federal agencies as the Secretary determines are necessary to
carry out this section.
(g) Regulations
Not later than 180 days after October 28, 1992, the Secretary
shall promulgate regulations to implement this section.
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