Title 42The Public Health and WelfareRelease 119-73

§12872 Planning grants

Title 42 › Chapter CHAPTER 130— - NATIONAL AFFORDABLE HOUSING › Subchapter SUBCHAPTER IV— - HOPE FOR HOMEOWNERSHIP OF MULTIFAMILY AND SINGLE FAMILY HOMES › Part Part A— - HOPE for Homeownership of Multifamily Units › § 12872

Last updated Apr 6, 2026|Official source

Summary

The Secretary can give planning grants to help create homeownership programs, including cooperative ownership. Grants are normally no more than $200,000, but the Secretary may approve a larger amount for good cause. Grant money can pay for things like setting up resident management groups and councils; training and technical help; feasibility studies; required lead-paint inspections; early architectural and engineering work; tenant and homebuyer counseling; planning for job training and economic self-sufficiency; security plans; and preparing an application for an implementation grant. To get a grant, an applicant must apply in the form the Secretary requires. The application must describe the proposed activities, schedule, staff, and amount requested; explain who the applicant is and why they are qualified; identify the property and describe tenants (including family size and income); include a public official’s certification that the work fits the approved State or local housing strategy (or, within the first 12 months after November 28, 1990, another approved State or local housing plan); and promise to follow the Fair Housing Act, Title VI, Section 504, and the Age Discrimination Act and to actively further fair housing. The Secretary will set selection rules and choose winners based on factors like applicant ability, tenant interest, property suitability, national geographic diversity, and other appropriate factors.

Full Legal Text

Title 42, §12872

The Public Health and Welfare — Source: USLM XML via OLRC

(a)The Secretary is authorized to make planning grants to applicants for the purpose of developing homeownership programs under this part. The amount of a planning grant under this section may not exceed $200,000, except that the Secretary may for good cause approve a grant in a higher amount.
(b)Planning grants may be used for activities to develop homeownership programs (which may include programs for cooperative ownership), including—
(1)development of resident management corporations and resident councils;
(2)training and technical assistance of applicants related to the development of a specific homeownership program;
(3)studies of the feasibility of a homeownership program;
(4)inspection for lead-based paint hazards, as required by section 4822(a) of this title;
(5)preliminary architectural and engineering work;
(6)tenant and homebuyer counseling and training;
(7)planning for economic development, job training, and self-sufficiency activities that promote economic self-sufficiency for homebuyers and homeowners under the homeownership program;
(8)development of security plans; and
(9)preparation of an application for an implementation grant under this part.
(c)(1)An application for a planning grant shall be submitted by an applicant in such form and in accordance with such procedures as the Secretary shall establish.
(2)The Secretary shall require that an application contain at a minimum—
(A)a request for a planning grant, specifying the activities proposed to be carried out, the schedule for completing the activities, the personnel necessary to complete the activities, and the amount of the grant requested;
(B)a description of the applicant and a statement of its qualifications;
(C)identification and description of the eligible property involved, and a description of the composition of the tenants, including family size and income;
(D)a certification by the public official responsible for submitting the comprehensive housing affordability strategy under section 12705 of this title that the proposed activities are consistent with the approved housing strategy of the State or unit of general local government within which the project is located (or, during the first 12 months after November 28, 1990, that the application is consistent with such other existing State or local housing plan or strategy that the Secretary shall determine to be appropriate); and
(E)a certification that the applicant will comply with the requirements of the Fair Housing Act [42 U.S.C. 3601 et seq.], title VI of the Civil Rights Act of 1964 [42 U.S.C. 2000d et seq.], section 504 of the Rehabilitation Act of 1973 [29 U.S.C. 794], and the Age Discrimination Act of 1975 [42 U.S.C. 6101 et seq.], and will affirmatively further fair housing.
(d)The Secretary shall, by regulation, establish selection criteria for a national competition for assistance under this section, which shall include—
(1)the qualifications or potential capabilities of the applicant;
(2)the extent of tenant interest in the development of a homeownership program for the property;
(3)the potential of the applicant for developing a successful and affordable homeownership program and the suitability of the property for homeownership;
(4)national geographic diversity among housing for which applicants are selected to receive assistance; and
(5)such other factors that the Secretary shall require that (in the determination of the Secretary) are appropriate for purposes of carrying out the program established by this part in an effective and efficient manner.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Fair Housing Act, referred to in subsec. (c)(2)(E), is title VIII of Pub. L. 90–284, Apr. 11, 1968, 82 Stat. 81, which is classified principally to subchapter I (§ 3601 et seq.) of chapter 45 of this title. For complete classification of this Act to the Code, see

Short Title

note set out under section 3601 of this title and Tables. The Civil Rights Act of 1964, referred to in subsec. (c)(2)(E), is Pub. L. 88–352, July 2, 1964, 78 Stat. 241. Title VI of the Act is classified generally to subchapter V (§ 2000d et seq.) of chapter 21 of this title. For complete classification of this Act to the Code, see

Short Title

note set out under section 2000a of this title and Tables. The Age Discrimination Act of 1975, referred to in subsec. (c)(2)(E), is title III of Pub. L. 94–135, Nov. 28, 1975, 89 Stat. 728, which is classified generally to chapter 76 (§ 6101 et seq.) of this title. For complete classification of this Act to the Code, see

Short Title

note set out under section 6101 of this title and Tables.

Amendments

1992—Subsec. (b)(4) to (9). Pub. L. 102–550 added par. (4) and redesignated former pars. (4) to (8) as (5) to (9), respectively.

Reference

Citations & Metadata

Citation

42 U.S.C. § 12872

Title 42The Public Health and Welfare

Last Updated

Apr 6, 2026

Release point: 119-73