[Code of Federal Regulations]
[Title 24, Volume 4]
[Revised as of April 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR941.201]

[Page 370]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 
 
PART 941_PUBLIC HOUSING DEVELOPMENT--Table of Contents
 
           Subpart B_PHA Eligibility and Program Requirements
 
Sec.  941.201  PHA eligibility.


    (a) General. In order to participate in the public housing program, 
a PHA must be approved as an eligible PHA. HUD will determine 
eligibility based on a showing that the PHA has the legal authority and 
local cooperation required by this part.
    (b) Legal authority. The PHA must demonstrate that it has the legal 
authority to develop, own, and operate a public housing project under 
the Act.
    (c) Troubled PHAs. Unless HUD determines that a PHA that has been 
classified as troubled or modernization-troubled, in accordance with 24 
CFR part 901, has adequate capacity to develop public housing units, the 
PHA so classified shall engage a HUD-approved program manager to develop 
and implement the PHA's proposal. HUD shall review the solicitation and 
the selection before award of a contract is made by such a PHA.
    (d) Local cooperation. The PHA must provide a cooperation agreement 
between the PHA and the applicable local governing body for the area in 
which the public housing project is to be located as evidence that the 
local governing body will provide the local cooperation required by HUD 
pursuant to the Act. This local cooperation shall include exemption from 
real and personal property taxes, acceptance of PHA payments in lieu of 
taxes, and the provision at no cost or at no greater cost by the local 
governing body of the same public services and facilities normally 
furnished to others in the community.

[45 FR 60838, Sept. 12, 1980. Redesignated at 49 FR 6714, Feb. 23, 1984, 
as amended at 61 FR 38017, July 22, 1996]