---
kind: "section"
citation: "42 U.S.C. § 1490l"
title: "42"
title_heading: "The Public Health and Welfare"
number: "1490l"
heading: "Processing of applications"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/1490l"
units:
  - "Chapter 8A — Slum Clearance, Urban Renewal, and Farm Housing"
  - "Subchapter III — Farm Housing"
---

# §1490l. Processing of applications

- (a) **Priority—** Except as otherwise provided in [subsection (c)](#c), the [Secretary](/usc/42/242q–4.md?p=2) shall, in making assistance available under this subchapter, give a priority to applications submitted by—
  - (1) persons and families that have the greatest [housing assistance](/usc/42/13641.md?p=3) needs because of their low income and their residing in inadequate dwellings;
  - (2) applicants applying for assistance for [projects](/usc/42/13641.md?p=2) that will serve such persons and families; and
  - (3) applicants residing in areas which are the most rural in character.
- (b) **Preliminary reservation of assistance at time of initial approval of project—** In making available the assistance authorized by [section 1483 of this title](/usc/42/1483.md) and [section 1490a(a) of this title](/usc/42/1490a.md?p=a) with respect to [projects](/usc/42/13641.md?p=2) involving insured and guaranteed loans and interest credits and rental assistance payments, the [Secretary](/usc/42/242q–4.md?p=2) shall process and approve requests for such assistance in a manner that provides for a preliminary reservation of assistance at the time of initial approval of the [project](/usc/42/13641.md?p=2).
- (c) **Prioritization of section 1485 housing assistance—**
  - (1) **In general—** The [Secretary](/usc/42/242q–4.md?p=2) shall make assistance under [section 1485 of this title](/usc/42/1485.md) available pursuant to an objective procedure established by the [Secretary](/usc/42/242q–4.md?p=2), under which the [Secretary](/usc/42/242q–4.md?p=2) shall identify counties and communities having the greatest need for such assistance and designate such counties and communities to receive such assistance.
  - (2) **Objective measures—** The [Secretary](/usc/42/242q–4.md?p=2) shall use the following objective measures to determine the need for rental [housing assistance](/usc/42/13641.md?p=3) under [paragraph (1)](#c-1):
    - (A) The incidence of poverty.
    - (B) The lack of affordable housing and the existence of substandard housing.
    - (C) The lack of mortgage credit.
    - (D) The rural characteristics of the location.
    - (E) Other factors as determined by the [Secretary](/usc/42/242q–4.md?p=2), demonstrating the need for affordable housing.
  - (3) **Information—** In administering this subsection, the [Secretary](/usc/42/242q–4.md?p=2) shall use information from the most recent decennial census of the United States, relevant comprehensive affordable housing strategies under [section 12705 of this title](/usc/42/12705.md), and other reliable sources obtained by the [Secretary](/usc/42/242q–4.md?p=2) which demonstrate the need for affordable housing in rural areas.
  - (4) **Designation—** A designation under this subsection shall not be effective for a period of more than 3 years, but may be renewed by the [Secretary](/usc/42/242q–4.md?p=2) in accordance with the procedure set forth in this subsection. The [Secretary](/usc/42/242q–4.md?p=2) shall take such other reasonable actions as the [Secretary](/usc/42/242q–4.md?p=2) considers to be appropriate to notify the public of such designations.

## Source credit

(July 15, 1949, ch. 338, title V, § 532, as added Pub. L. 98–181, title I [title V, § 521], Nov. 30, 1983, 97 Stat. 1250; amended Pub. L. 104–180, title VII, § 734(f), Aug. 6, 1996, 110 Stat. 1604.)

## Notes

### Editorial Notes

### Amendments

1996—Subsec. (a). Pub. L. 104–180, § 734(f)(1), substituted “Except as otherwise provided in subsection (c), the Secretary” for “The Secretary” in introductory provisions.

Subsec. (c). Pub. L. 104–180, § 734(f)(2), added subsec. (c).
