---
kind: "section"
citation: "42 U.S.C. § 12871"
title: "42"
title_heading: "The Public Health and Welfare"
number: "12871"
heading: "Program authority"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/12871"
units:
  - "Chapter 130 — National Affordable Housing"
  - "Subchapter IV — Hope for Homeownership of Multifamily and Single Family Homes"
  - "Part A — HOPE for Homeownership of Multifamily Units"
---

# §12871. Program authority

- (a) **In general—** The [Secretary](/usc/42/12704.md?p=16) is authorized to make—
  - (1) planning grants to enable [applicants](/usc/42/12876.md?p=1) to develop [homeownership programs](/usc/42/12876.md?p=4); and
  - (2) implementation grants to enable [applicants](/usc/42/12876.md?p=1) to carry out [homeownership programs](/usc/42/12876.md?p=4).
- (b) **Authority to reserve housing assistance—** In connection with a grant under this part, the [Secretary](/usc/42/12704.md?p=16) may reserve authority to provide assistance under [section 1437f of this title](/usc/42/1437f.md) to the extent necessary to provide rental assistance for a nonpurchasing tenant who resides in the [project](/usc/42/13641.md?p=2) on the date the [Secretary](/usc/42/12704.md?p=16) approves the application for an implementation grant, for use by the tenant in another [project](/usc/42/13641.md?p=2).

## Source credit

(Pub. L. 101–625, title IV, § 421, Nov. 28, 1990, 104 Stat. 4162; Pub. L. 102–550, title I, § 181(a)(2)(B)(i), Oct. 28, 1992, 106 Stat. 3735.)

## Notes

### Editorial Notes

### References in Text

This part, referred to in subsec. (b), was in the original “this subtitle”, meaning subtitle B (§§ 421–431) of title IV of Pub. L. 101–625, Nov. 28, 1990, 104 Stat. 4162, which enacted this part and amended section 1709 of Title 12, Banks and Banking.

### Amendments

1992—Subsec. (c). Pub. L. 102–550 struck out subsec. (c) which read as follows: “Authorization of Appropriations.—There is authorized to be appropriated for grants under this part $51,000,000 for fiscal year 1991 and $280,000,000 for fiscal year 1992. Any amounts appropriated pursuant to this subsection shall remain available until expended.”
