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Title 42, The Public Health and WelfareRelease 119-110

§1504 Rental Rates; Exemption From Limitations of United States Housing Act of 1937

Title 42 › CHAPTER 9 — HOUSING OF PERSONS ENGAGED IN NATIONAL DEFENSE › SUBCHAPTER I — PROJECTS GENERALLY › § 1504

Last updated Sep 23, 2026|Official source

Summary

Allows contracts for financial help under the United States Housing Act of 1937 to be changed so a project can be used for the purposes of this subchapter. The Navy, Army, Air Force, or the Secretary of Housing and Urban Development (HUD) must set rents in projects they run so people working in national defense and their families can afford them, and HUD must require those rents in any assistance contract or lease. Projects developed or helped by the military or HUD for these purposes are not subject to the elimination rules in sections 10(a) and 11(a), nor to parts of section 9 that would force development costs to be paid any way other than from loans or funds from HUD. Money spent under this subchapter is left out when calculating State spending under section 21(d). Except where this subchapter says otherwise, the rules in title I of the 1937 Act apply. If the President finds an urgent local need for defense housing, units set aside for defense workers are not subject to sections 2(1) and 2(2) and are treated as low-rent projects under title I.

Full Legal Text

Title 42, §1504

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

Any contract made for financial assistance under the United States Housing Act of 1937, as amended [42 U.S.C. 1437 et seq.], may be revised so as to provide that the project involved will be assisted for any of the purposes of this subchapter. The Department of the Navy or Army or the Air Force or the Secretary of Housing and Urban Development, in the administration of any project developed for the purposes of this subchapter, shall fix rentals for persons engaged in national defense activities and their families which will be within their financial reach, and the Secretary of Housing and Urban Development, in any contract for financial assistance or any lease of such a project, shall require the fixing of such rentals. Projects developed by the Department of the Navy or Army or Air Force, or developed or assisted by the Secretary of Housing and Urban Development, for the purposes of this subchapter shall not be subject to the elimination requirements of section 10(a) and 11(a) of said Act [42 U.S.C. 1410(a), 1411(a)], or to any provisions of section 9 of said Act [42 U.S.C. 1409] which would require any part of the development cost thereof to be met in any manner other than from funds loaned or furnished by the Secretary of Housing and Urban Development. Funds expended for the purposes of this subchapter shall be excluded in determining, for the purposes of section 21(d) of said Act [42 U.S.C. 1421(d)], the amounts expended within each State. Except as otherwise provided in this subchapter or as may be inconsistent with this subchapter, all the provisions of title I of the United States Housing Act of 1937 [42 U.S.C. 1437 et seq.] shall apply to this subchapter. During the period when the President determines that in any locality there is an acute need for housing to assure the availability of dwellings for persons engaged in national defense activities, dwellings in a project developed or assisted in said locality which are devoted to the purposes of providing housing for persons engaged in national defense activities shall not be subject to section 2(1) and 2(2) of the United States Housing Act of 1937, as amended [42 U.S.C. 1402(1), (2)], and during such period such projects shall be deemed projects of a low-rent character for the purposes of any of the applicable provisions in title I of the United States Housing Act of 1937.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The United States Housing Act of 1937, referred to in text, is act Sept. 1, 1937, ch. 896, as revised generally by Pub. L. 93–383, title II, § 201(a), Aug. 22, 1974, 88 Stat. 653, which is classified generally to chapter 8 (§ 1437 et seq.) of this title. For complete classification of this Act to the Code, see

Short Title

note set out under section 1437 of this title and Tables. section 2, 9, 10(a), and 11(a) of the United States Housing Act of 1937, referred to in text, is a reference to sections of the Act prior to the general revision of the Act by Pub. L. 93–383. The Act as so revised is classified to section 1437 et seq. of this title. Provisions of former section 2, 9, and 10(a) are covered by section 3, 4, and 5(a) of the Act which are classified to section 1437a, 1437b, and 1437c(a) of this title. section 21(d) of said Act, referred to in text, was repealed by Pub. L. 87–70, title II, § 204(c), June 30, 1961, 75 Stat. 164.

Statutory Notes and Related Subsidiaries

Change of Name

Department of the Air Force inserted to conform to act
July 26, 1947, ch. 343, title II, § 207(a), (f), 61 Stat. 502, 503, and Secretary of Defense Transfer Orders No. 14, eff.
July 1, 1948, and No. 40 [App. B(124)],
July 22, 1949. Department of War designated Department of the Army and title of Secretary of War changed to Secretary of the Army by act
July 26, 1947, ch. 343, title II, § 205(a), 61 Stat. 501. section 205(a) and 207(a), (f) of act
July 26, 1947, were repealed by act Aug. 10, 1956, ch. 1041, § 53, 70A Stat. 641. Act Aug. 10, 1956, ch. 1041, § 1, 70A Stat. 1, enacted “Title 10, Armed Forces”, which in sections 3010 to 3013 and 8010 to 8013 continued Departments of Army and Air Force under administrative supervision of Secretary of the Army and Secretary of the Air Force, respectively.

Transfer of Functions

For

Transfer of Functions

to Secretary of Housing and Urban Development, see note set out under section 1501 of this title.

Reference

Citations & Metadata

Citation

42 U.S.C. § 1504

Title 42, The Public Health and Welfare

Last Updated

Sep 23, 2026

Release point: 119-110