SEC-547 -- REVISIONS TO PROJECT-BASED CERTIFICATE PROGRAM. 

 
 (a) Tenant Selection.-Section 8(d)(2) of the United States Housing Act
of 1937 (42 U.S.C. 1437f(d)(2)) is amended by adding at the end the
following new subparagraph:
 
 "(D) Where a contract for assistance payments is attached to a
structure, the owner shall adopt written tenant selection procedures
that are satisfactory to the Secretary as (i) consistent with the
purpose of improving housing opportunities for very low-income families;
and (ii) reasonably related to program eligibility and an applicant's
ability to perform the obligations of the lease. An owner shall promptly
notify in writing any rejected applicant of the grounds for any
rejection.".
 
 (b) Project-Basing of Certificates.-Section 8(d)(2) of the United
States Housing Act of 1937 (42 U.S.C. 1437f(d)(2)), as amended by the
preceding provisions of this Act, is further amended by adding at the
end the following new subparagraph:
 
 "(E) The Secretary shall annually survey public housing agencies to
determine which public housing agencies have, in providing assistance
in such year, reached the 15 percent limitations contained in
subparagraphs (A) and (B), and shall report to the Congress on the
results of such survey.".
 
 (c) Term of Assistance.-Section 8(d)(2)(C) of the United States Housing
Act of 1937 (42 U.S.C. 1437f(d)(2)(C)) is amended to read as follows:
 
 "(C) In the case of a contract for assistance payments that is
attached to a structure under this paragraph, a public housing agency
shall enter into a contract with an owner, contingent upon the future
availability of appropriations for the purpose of renewing expiring
contracts for assistance payments as provided in appropriations Acts,
to extend the term of the underlying contract for assistance payments
for such period or periods as the Secretary determines to be appropriate
to achieve long-term affordability of the housing. The contract shall
obligate the owner to have such extensions of the underlying contract
for assistance payments accepted by the owner and the owner's successors
in interest.".