§ 950.935 - Replacement housing plan.

(a) HUD may not approve an application or furnish assistance under this subpart unless the IHA submitting the application for disposition or demolition also submits a plan for the provision of an additional decent, safe, sanitary, and affordable dwelling unit (at rents no higher than permitted under the Act) for each dwelling unit to be disposed of or demolished under the application. The plan shall include any one or a combination of the following:

(1) The acquisition or development of additional low-income housing dwelling units;

(2) The use of project-based assistance under section 8 (as provided for in 24 CFR part 882, subpart G);

(3) The use of project-based assistance under other Federal programs;

(4) The acquisition or development of dwelling units assisted under a State or local tribal government program that provides for project-based assistance comparable in terms of eligibility, contribution to rent, and length of assistance contract to assistance under section 8(b)(1) of the Act; or

(5) The use of tenant-based assistance under section 8 of the Act (excluding vouchers under section 8(o) of the Act (42 U.S.C. 1437f(o)), under the conditions described in paragraph (b) of this section.

(b) Tenant-based assistance under section 8 may be approved under the replacement plan only if:

(1) There is a finding by HUD that replacement with project-based assistance is not feasible; that the supply of private rental housing actually available to those who would receive project-based assistance under the plan is sufficient for the total number of certificates and vouchers available in the community after implementation of the plan; and that this available housing supply is likely to remain available for the full term of the assistance; and

(2) HUD's findings under paragraph (b)(1) of this section are based on objective information, which shall include rates of participation by landlords in the Section 8 program; size, condition, and rent levels of available rental housing as compared to Section 8 standards; the supply of vacant existing housing meeting the Section 8 housing quality standards with rents at or below the fair market rent or the likelihood of adjusting the fair market rent; the number of eligible families waiting for housing assistance under the Act; the extent of discrimination practiced against the types of individuals or families to be served by the assistance; and such additional data as HUD may determine to be relevant in particular circumstances.

(c) The plan shall be approved by the unit of general local government (including tribal government) in which the project is located.

(d) The plan shall include a schedule for carrying out all its terms within a period consistent with the size of the proposed disposition or demolition, except that the schedule for completing the plan shall in no event exceed six years from the date specified to begin plan implementation.

(e) The plan shall include a method that ensures that at least the same total number of individuals and families will be provided housing, allowing for replacement with units of different sizes to accommodate changes in local priority needs.

(f) The plan shall include an assessment of the suitability of the location of proposed replacement housing based upon application of the site selection criteria established in § 950.235.

(g) The plan shall contain assurances that any replacement units acquired, newly constructed, or rehabilitated will meet the applicable accessibility requirements set forth in 24 CFR 8.25.