“A bill to establish a pilot program to improve the family self-sufficiency program, and for other purposes.”
No CRS summary available for this bill.
This section establishes a pilot program under which the Secretary of Housing and Urban Development selects not more than 25 eligible entities (i.e., public housing agencies or other entities under current law) to establish interest-bearing escrow accounts for rent increases attributable to earned income for not more than 5,000 covered families receiving assistance under section 8 (Housing Choice Voucher program) or section 9 (public housing). (As background, the Family Self-Sufficiency (FSS) program under 42 U.S.C. 1437u escrows such rent increases—which families generally receive upon successfully completing an FSS contract of participation and exiting welfare assistance—to promote economic independence for assisted families; this pilot expands escrow availability without requiring an FSS contract or individual training plan.) The pilot limits escrows to families with adjusted income not exceeding 80% of area median income; permits interim income recertifications multiple times per year (at least annually); disregards earned income increases for eligibility or benefit amounts in other HUD programs; requires normal rent calculations; mandates notification, detailed descriptions, and opt-out rights for families (with no dual participation in FSS); ensures geographic and entity diversity in selections; and sets awards not later than 18 months after enactment. Covered families may withdraw escrow funds (plus interest), after ceasing welfare assistance, (1) no earlier than 5 years and no later than 7 years after account establishment; (2) upon ceasing section 8 or 9 assistance if earlier than 5 years; (3) earlier than 5 years to advance approved self-sufficiency goals; or (4) under other Secretary-approved good cause exemptions.