---
kind: "section"
citation: "42 U.S.C. § 1437z–10"
title: "42"
title_heading: "The Public Health and Welfare"
number: "1437z–10"
heading: "Small public housing agencies"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/1437z-10"
units:
  - "Chapter 8 — Low-Income Housing"
  - "Subchapter I — General Program of Assisted Housing"
---

# §1437z–10. Small public housing agencies

- (a) **Definitions—** In this section:
  - (1) **Housing voucher program—** The term “housing voucher program” means a program for tenant-based assistance under [section 1437f of this title](/usc/42/1437f.md).
  - (2) **Small public housing agency—** The term “small public housing [agency](/usc/42/8262.md?p=1)” means a public housing [agency](/usc/42/8262.md?p=1)—
    - (A) for which the sum of the number of public housing dwelling units administered by the [agency](/usc/42/8262.md?p=1) and the number of vouchers under [section 1437f(o)](/usc/42/1437f.md?p=o) of this title administered by the [agency](/usc/42/8262.md?p=1) is 550 or fewer; and
    - (B) that predominantly operates in a rural area, as described in section 1026.35(b)(2)(iv)(A) of title 12, Code of Federal Regulations.
  - (3) **Troubled small public housing agency—** The term “troubled small public housing [agency](/usc/42/8262.md?p=1)” means a small public housing [agency](/usc/42/8262.md?p=1) designated by the [Secretary](/usc/42/242q–4.md?p=2) as a troubled small public housing [agency](/usc/42/8262.md?p=1) under [subsection (c)(3)](#c-3).
- (b) **Applicability—** Except as otherwise provided in this section, a small public housing [agency](/usc/42/8262.md?p=1) shall be subject to the same requirements as a public housing [agency](/usc/42/8262.md?p=1).
- (c) **Program inspections and evaluations—**
  - (1) **Public housing projects—**
    - (A) **Frequency of inspections by Secretary—** The [Secretary](/usc/42/242q–4.md?p=2) shall carry out an inspection of the physical condition of a small public housing [agency](/usc/42/8262.md?p=1)’s public housing [projects](/usc/42/13641.md?p=2) not more frequently than once every 3 years, unless the [agency](/usc/42/8262.md?p=1) has been designated by the [Secretary](/usc/42/242q–4.md?p=2) as a troubled small public housing [agency](/usc/42/8262.md?p=1) based on deficiencies in the physical condition of its public housing [projects](/usc/42/13641.md?p=2). Nothing contained in this subparagraph relieves the [Secretary](/usc/42/242q–4.md?p=2) from conducting lead safety inspections or assessments in accordance with procedures established by the [Secretary](/usc/42/242q–4.md?p=2) under [section 4822 of this title](/usc/42/4822.md).
    - (B) **Standards—** The [Secretary](/usc/42/242q–4.md?p=2) shall apply to small public housing [agencies](/usc/42/8262.md?p=1) the same standards for the acceptable condition of public housing [projects](/usc/42/13641.md?p=2) that apply to [projects](/usc/42/13641.md?p=2) assisted under [section 1437f of this title](/usc/42/1437f.md).
  - (2) **Housing voucher program—** Except as required by [section 1437f(o)(8)(F)](/usc/42/1437f.md?p=o-8-F) of this title, a small public housing [agency](/usc/42/8262.md?p=1) administering assistance under [section 1437f(o)](/usc/42/1437f.md?p=o) of this title shall make periodic physical inspections of each assisted dwelling unit not less frequently than once every 3 years to determine whether the unit is maintained in accordance with the requirements under [section 1437f(o)(8)(A)](/usc/42/1437f.md?p=o-8-A) of this title. Nothing contained in this paragraph relieves a small public housing [agency](/usc/42/8262.md?p=1) from conducting lead safety inspections or assessments in accordance with procedures established by the [Secretary](/usc/42/242q–4.md?p=2) under [section 4822 of this title](/usc/42/4822.md).
  - (3) **Troubled small public housing agencies—**
    - (A) **Public housing program—** Notwithstanding any other provision of law, the [Secretary](/usc/42/242q–4.md?p=2) may designate a small public housing [agency](/usc/42/8262.md?p=1) as a troubled small public housing [agency](/usc/42/8262.md?p=1) with respect to the public housing program of the small public housing [agency](/usc/42/8262.md?p=1) if the [Secretary](/usc/42/242q–4.md?p=2) determines that the [agency](/usc/42/8262.md?p=1) has failed to maintain the public housing units of the small public housing [agency](/usc/42/8262.md?p=1) in a satisfactory physical condition, based upon an inspection conducted by the [Secretary](/usc/42/242q–4.md?p=2).
    - (B) **Housing voucher program—** Notwithstanding any other provision of law, the [Secretary](/usc/42/242q–4.md?p=2) may designate a small public housing [agency](/usc/42/8262.md?p=1) as a troubled small public housing [agency](/usc/42/8262.md?p=1) with respect to the housing voucher program of the small public housing [agency](/usc/42/8262.md?p=1) if the [Secretary](/usc/42/242q–4.md?p=2) determines that the [agency](/usc/42/8262.md?p=1) has failed to comply with the inspection requirements under [paragraph (2)](#c-2).
    - (C) **Appeals—**
      - (i) **Establishment—** The [Secretary](/usc/42/242q–4.md?p=2) shall establish an appeals process under which a small public housing [agency](/usc/42/8262.md?p=1) may dispute a designation as a troubled small public housing [agency](/usc/42/8262.md?p=1).
      - (ii) **Official—** The appeals process established under [clause (i)](#c-3-C-i) shall provide for a decision by an official who has not been involved, and is not subordinate to a person who has been involved, in the original determination to designate a small public housing [agency](/usc/42/8262.md?p=1) as a troubled small public housing [agency](/usc/42/8262.md?p=1).
    - (D) **Corrective action agreement—**
      - (i) **Agreement required—** Not later than 60 days after the date on which a small public housing [agency](/usc/42/8262.md?p=1) is designated as a troubled public housing [agency](/usc/42/8262.md?p=1) under subparagraph [(A)](#c-3-A) or [(B)](#c-3-B), the [Secretary](/usc/42/242q–4.md?p=2) and the small public housing [agency](/usc/42/8262.md?p=1) shall enter into a corrective action agreement under which the small public housing [agency](/usc/42/8262.md?p=1) shall undertake actions to correct the deficiencies upon which the designation is based.
      - (ii) **Terms of agreement—** A corrective action agreement entered into under [clause (i)](#c-3-D-i) shall—
        - (I) have a term of 1 year, and shall be renewable at the option of the [Secretary](/usc/42/242q–4.md?p=2);
        - (II) provide, where feasible, for technical assistance to assist the public housing [agency](/usc/42/8262.md?p=1) in curing its deficiencies;
        - (III) provide for—
          - (aa) reconsideration of the designation of the small public housing [agency](/usc/42/8262.md?p=1) as a troubled small public housing [agency](/usc/42/8262.md?p=1) not less frequently than annually; and
          - (bb) termination of the agreement when the [Secretary](/usc/42/242q–4.md?p=2) determines that the small public housing [agency](/usc/42/8262.md?p=1) is no longer a troubled small public housing [agency](/usc/42/8262.md?p=1); and
        - (IV) provide that in the event of substantial noncompliance by the small public housing [agency](/usc/42/8262.md?p=1) under the agreement, the [Secretary](/usc/42/242q–4.md?p=2) may—
          - (aa) contract with another public housing [agency](/usc/42/8262.md?p=1) or a private entity to manage the public housing of the troubled small public housing [agency](/usc/42/8262.md?p=1);
          - (bb) withhold funds otherwise distributable to the troubled small public housing [agency](/usc/42/8262.md?p=1);
          - (cc) assume possession of, and direct responsibility for, managing the public housing of the troubled small public housing [agency](/usc/42/8262.md?p=1);
          - (dd) petition for the appointment of a receiver, in accordance with [section 1437d(j)(3)(A)(ii) of this title](/usc/42/1437d.md?p=j-3-A-ii); and
          - (ee) exercise any other remedy available to the [Secretary](/usc/42/242q–4.md?p=2) in the event of default under the public housing annual contributions contract entered into by the small public housing [agency](/usc/42/8262.md?p=1) under [section 1437c of this title](/usc/42/1437c.md).
    - (E) **Emergency actions—** Nothing in this paragraph may be construed to prohibit the [Secretary](/usc/42/242q–4.md?p=2) from taking any emergency action necessary to protect Federal financial resources or the health or safety of residents of public housing [projects](/usc/42/13641.md?p=2).
- (d) **Reduction of administrative burdens—**
  - (1) **Exemption—** Notwithstanding any other provision of law, a small public housing [agency](/usc/42/8262.md?p=1) shall be exempt from any environmental review requirements with respect to a development or [modernization](/usc/42/300s–3.md?p=9) [project](/usc/42/13641.md?p=2) having a total cost of not more than $100,000.
  - (2) **Streamlined procedures—** The [Secretary](/usc/42/242q–4.md?p=2) shall, by rule, establish streamlined procedures for environmental reviews of small public housing [agency](/usc/42/8262.md?p=1) development and [modernization](/usc/42/300s–3.md?p=9) [projects](/usc/42/13641.md?p=2) having a total cost of more than $100,000.

## Source credit

(Sept. 1, 1937, ch. 896, title I, § 38, as added Pub. L. 115–174, title II, § 209(a), May 24, 2018, 132 Stat. 1313.)

## Notes

### Statutory Notes and Related Subsidiaries

### Effective Date

Section effective 60 days after May 24, 2018, see section 209(d) of Pub. L. 115–174, set out as an Effective Date of 2018 Amendment note under section 1437g of this title.