[Code of Federal Regulations]
[Title 24, Volume 4]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR983.6]

[Page 656-658]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 
               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
 
PART 983_SECTION 8 PROJECT-BASED CERTIFICATE PROGRAM--Table of Contents
 
                      Subpart A_General Information
 
Sec. 983.6  Site and neighborhood standards.

    (a) Rehabilitation site and neighborhood standards. In addition to 
meeting the standards required in Sec. 982.401(l) of this chapter, the 
proposed sites for rehabilitation units must meet the following site and 
neighborhood standards:
    (1) Be adequate in size, exposure and contour to accommodate the 
number and type of units proposed; adequate utilities and streets must 
be available to service the site. (The existence of a private disposal 
system and private sanitary water supply for the site, approved in 
accordance with law, may be considered adequate utilities.)
    (2) Be suitable from the standpoint of facilitating and furthering 
full compliance with the applicable provisions of Title VI of the Civil 
Rights Act of 1964, Title VIII of the Civil Rights Act of 1968, E.O. 
11063, and HUD regulations issued pursuant thereto.
    (3) Promote greater choice of housing opportunities and avoid undue 
concentration of assisted persons in areas containing a high proportion 
of low-income persons.
    (4) Be accessible to social, recreational, educational, commercial, 
and health facilities and services, and other municipal facilities and 
services that are at least equivalent to those typically found in 
neighborhoods consisting largely of unassisted, standard housing of 
similar market rents.
    (5) Be so located that travel time and cost via public 
transportation or private automobile from the neighborhood to places of 
employment providing a range of jobs for lower-income workers is not 
excessive. (While it is important that housing for the elderly not be 
totally isolated from employment opportunities, this requirement need 
not be adhered to rigidly for such projects.)
    (b) New construction site and neighborhood standards. The proposed 
sites for

[[Page 657]]

new construction units must be approved by the HUD field office as 
meeting the following site and neighborhood standards:
    (1) The site must be adequate in size, exposure, and contour to 
accommodate the number and type of units proposed, and adequate 
utilities (water, sewer, gas, and electricity) and streets must be 
available to service the site.
    (2) The site and neighborhood must be suitable from the standpoint 
of facilitating and furthering full compliance with the applicable 
provisions of title VI of the Civil Rights Act of 1964, the Fair Housing 
Act, Executive Order 11063, and implementing HUD regulations.
    (3)(i) The site must not be located in an area of minority 
concentration, except as permitted under paragraph (b)(3)(ii) of this 
section, and must not be located in a racially mixed area if the project 
will cause a significant increase in the proportion of minority to non-
minority residents in the area.
    (ii) A project may be located in an area of minority concentration 
only if:
    (A) Sufficient, comparable opportunities exist for housing for 
minority families, in the income range to be served by the proposed 
project, outside areas of minority concentration (see paragraph 
(b)(3)(iii) of this section for further guidance on this criterion); or
    (B) The project is necessary to meet overriding housing needs that 
cannot be met in that housing market area (see paragraph (b)(3)(iv) of 
this section for further guidance on this criterion).
    (iii)(A) ``Sufficient'' does not require that in every locality 
there be an equal number of assisted units within and outside of areas 
of minority concentration. Rather, application of this standard should 
produce a reasonable distribution of assisted units each year, that, 
over a period of several years, will approach an appropriate balance of 
housing choices within and outside areas of minority concentration. An 
appropriate balance in any jurisdiction must be determined in light of 
local conditions affecting the range of housing choices available for 
low-income minority families and in relation to the racial mix of the 
locality's population.
    (B) Units may be considered ``comparable opportunities'' if they 
have the same household type (elderly, disabled, family, large family) 
and tenure type (owner/renter); require approximately the same tenant 
contribution towards rent; serve the same income group; are located in 
the same housing market; and are in standard condition.
    (C) Application of this sufficient, comparable opportunities 
standard involves assessing the overall impact of HUD-assisted housing 
on the availability of housing choices for low-income minority families 
in and outside areas of minority concentration, and must take into 
account the extent to which the following factors are present, along 
with other factors relevant to housing choice:
    (1) A significant number of assisted housing units are available 
outside areas of minority concentration.
    (2) There is significant integration of assisted housing projects 
constructed or rehabilitated in the past 10 years, relative to the 
racial mix of the eligible population.
    (3) There are racially integrated neighborhoods in the locality.
    (4) Programs are operated by the locality to assist minority 
families that wish to find housing outside areas of minority 
concentration.
    (5) Minority families have benefited from local activities (e.g., 
acquisition and write-down of sites, tax relief programs for homeowners, 
acquisitions of units for use as assisted housing units) undertaken to 
expand choice for minority families outside of areas of minority 
concentration.
    (6) A significant proportion of minority households has been 
successful in finding units in non-minority areas under the Section 8 
certificate and voucher programs.
    (7) Comparable housing opportunities have been made available 
outside areas of minority concentration through other programs.
    (iv) Application of the ``overriding housing needs'' criterion, for 
example, permits approval of sites that are an integral part of an 
overall local strategy for the preservation or restoration of the 
immediate neighborhood and of sites in a neighborhood experiencing 
significant private investment that is

[[Page 658]]

demonstrably changing the economic character of the area (a 
``revitalizing area''). An ``overriding housing need,'' however, may not 
serve as the basis for determining that a site is acceptable if the only 
reason the need cannot otherwise be feasibly met is that discrimination 
on the basis of race, color, religion, sex, national origin, age, 
familial status or disability renders sites outside areas of minority 
concentration unavailable or if the use of this standard in recent years 
has had the effect of circumventing the obligation to provide housing 
choice.
    (4) The site must promote greater choice of housing opportunities 
and avoid undue concentration of assisted persons in areas containing a 
high proportion of low-income persons.
    (5) The neighborhood must not be one which is seriously detrimental 
to family life or in which substandard dwellings or other undesirable 
conditions predominate, unless there is actively in progress a concerted 
program to remedy the undesirable conditions.
    (6) The housing must be accessible to social, recreational, 
educational, commercial, and health facilities and services, and other 
municipal facilities and services that are at least equivalent to those 
typically found in neighborhoods consisting largely of unassisted, 
standard housing of similar market rents.
    (7) Except for new construction housing designed for elderly 
persons, travel time and cost via public transportation or private 
automobile, from the neighborhood to places of employment providing a 
range of jobs for lower-income workers, must not be excessive.