[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 5087 Introduced in Senate (IS)]
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118th CONGRESS
2d Session
S. 5087
To amend the United States Housing Act of 1937 to promote the
establishment of tenant organizations and provide additional amounts
for tenant organizations, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 18, 2024
Mr. Fetterman (for himself, Ms. Warren, Mr. Murphy, Mr. Wyden, Mr.
Blumenthal, Mr. Sanders, and Ms. Smith) introduced the following bill;
which was read twice and referred to the Committee on Finance
_______________________________________________________________________
A BILL
To amend the United States Housing Act of 1937 to promote the
establishment of tenant organizations and provide additional amounts
for tenant organizations, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Tenants' Right to Organize Act''.
SEC. 2. HOUSING CHOICE VOUCHER TENANT ORGANIZATIONS.
Section 8(o) of the United States Housing Act of 1937 (42 U.S.C.
1437f(o)) is amended by adding at the end the following:
``(23) Right to organize.--
``(A) Definitions.--In this paragraph:
``(i) Adverse action.--The term `adverse
action' means an action, including the
termination or non-renewal of a lease,
termination of a subsidy, decreases or delays
in services, unplanned increases of the rent or
fees, bringing or threats to bring a lawsuit
against a lessee for possession, a violation of
tenant privacy, or harassment of a tenant and
tenant organizers, that is motivated by the
good-faith exercise of protected activities
described in subparagraph (D).
``(ii) Legitimate tenant organization.--The
term `legitimate tenant organization'--
``(I) means an organization of 3 or
more families receiving tenant-based
rental assistance that--
``(aa) meets regularly and
operates democratically;
``(bb) is representative of
all residents in the
organization;
``(cc) is completely
independent of owners,
landlords, management, and
their representatives; and
``(dd) has been established
for the purpose described in
subparagraph (B); and
``(II) includes newly formed
resident organizing committees, which
do not require specific structures,
written by-laws, elections, or resident
petitions.
``(iii) Owner.--The term `owner' means any
private person or entity, including a landlord,
a cooperative, an investor with an ownership
share, an agency of the Federal Government, a
State housing credit agency, or a public
housing agency, who owns and has the legal
right to lease or sublease the dwelling unit
occupied by a tenant that receives rental
assistance.
``(iv) Tenant organizer.--The term `tenant
organizer' means a tenant or nontenant who--
``(I) assists tenants in
establishing and operating a legitimate
tenant organization; and
``(II) is not an employee or
representative of current or
prospective owners, managers, or their
agents.
``(B) Right to organize.--Families receiving
voucher rental assistance--
``(i) have the right to establish, operate,
and participate in a legitimate tenant
organization for the purpose of addressing
issues related to their living environment,
including the terms and conditions of their
tenancy and activities related to housing and
community development; and
``(ii) may not be retaliated against for
asserting the rights described in clause (i).
``(C) Requirements for public housing agencies and
owners.--
``(i) Prohibition on interference and
retaliation.--Each public housing agency and
each owner may not interfere with the right of
tenants to establish and operate a legitimate
tenant organization or retaliate against any
tenant or tenant organizer because of their
association with or participation in activities
related to a legitimate tenant organization.
``(ii) Public housing agencies.--Each
public housing agency shall--
``(I) recognize legitimate tenant
organizations;
``(II) solicit comments from all
legitimate tenant organizations--
``(aa) if a public housing
agency is required to complete
an annual public housing agency
plan, in alignment with the
submission of that plan; or
``(bb) if a public housing
agency is a qualified public
housing agency, as described in
section 5A(b)(3)(A)(i), not
less than once a year;
``(III) after receiving a comment
from a legitimate tenant organization--
``(aa) except as provided
in item (bb), not later than 60
days after receiving the
comment, meaningfully respond
in writing to the comment; and
``(bb) regarding exigent
poor housing conditions, not
later than 30 days after
receiving the comment, respond
in writing to the comment; and
``(IV) seek resident advisory board
appointments from legitimate tenant
organizations.
``(iii) Owners of units.--Each owner
shall--
``(I) recognize legitimate tenant
organizations; and
``(II) allow tenant organizers to
assist tenants in establishing and
operating legitimate tenant
organizations.
``(D) Protections.--
``(i) Protected activities.--Each public
housing agency and each owner shall allow
tenants and tenant organizers to conduct the
following activities related to the
establishment or operation of a legitimate
tenant organization:
``(I) Distributing leaflets in
lobby areas.
``(II) Placing leaflets at or under
tenants' doors.
``(III) Distributing leaflets in
common areas.
``(IV) Initiating contact with
tenants.
``(V) Conducting door-to-door
surveys of tenants to ascertain
interest in establishing a legitimate
tenant organization and to offer
information about legitimate tenant
organizations.
``(VI) Posting information on
bulletin boards.
``(VII) Assisting tenants to
participate in legitimate tenant
organization activities.
``(VIII) Convening regularly
scheduled meetings in a space on site
and accessible to tenants, in a manner
that is fully independent of management
representatives. In order to preserve
the independence of legitimate tenant
organizations, public housing agency
staff, owners, landlords, management
and their representatives may not
attend such meetings unless invited by
the legitimate tenant organization to
specific meetings to discuss a specific
issue or issues.
``(IX) Assisting tenants in
creating or appointing tenants to serve
on a resident advisory board or
resident council.
``(X) Speaking to the public,
including the media, elected officials,
and government agencies.
``(XI) Other reasonable activities
related to the establishment or
operation of a legitimate tenant
organization.
``(ii) Permission.--A public housing agency
or owner may not require tenants or tenant
organizers to obtain prior permission before
engaging in the activities permitted under this
paragraph.
``(iii) Presumption.--If a public housing
agency or owner takes an adverse action against
a tenant or tenant organizer that is a member
of a legitimate tenant organization during the
180-day period beginning on the date on which
the tenant engages in a protected activity
under this subparagraph, there shall be a
rebuttable presumption that the adverse action
is an act of retaliation relating to the
participation of the tenant in the legitimate
tenant organization.
``(E) Notice of right to organize.--
``(i) Owners.--Each owner shall notify
shall notify each tenant living at a qualified
low-income housing project of the right to
organize as described in this paragraph
annually.
``(ii) Tenancy addendum.--The Secretary
shall require each public housing agency to
amend the lease addendum to include the right
to organize provider for in this paragraph.
``(F) Authorization of appropriations.--There are
authorized to be appropriated to the Secretary such
sums as are necessary to carry out this paragraph.''.
SEC. 3. LIHTC TENANT ORGANIZATIONS.
(a) In General.--Section 42(g) of the Internal Revenue Code of 1986
is amended by adding at the end the following new paragraph:
``(10) LIHTC tenant organizations.--
``(A) Rights of tenants.--In the case of any
qualified low-income housing project which is an
applicable project, families occupying rent-restricted
units in such project shall have the same right as
families described in section 8(o)(23)(B)(i) of the
United States Housing Act of 1937.
``(B) Responsibilities of owners and state housing
credit agencies.--In the case of any applicable
project, such project shall not be treated as a
qualified low-income housing project for purposes of
this section unless--
``(i) each owner of such project meets
requirements which are the same as the
requirements of clauses (i) and (iii) of
subparagraph (C) and subparagraph (D) of
section 8(o)(23) of the United States Housing
Act of 1937, and
``(ii) each State housing credit agency
meets requirements which are the same as the
requirements of clauses (i) and (ii) of
subparagraph (C) and subparagraph (D) of such
section.
``(C) Applicable project.--For purposes of this
paragraph, the term `applicable project' means--
``(i) any project which is placed in
service after the date of enactment of the
Tenants' Right to Organize Act, and
``(ii) any project--
``(I) which was placed in service
on or before the date of enactment of
such Act, and
``(II) for which the date of
enactment of such Act occurred before
the end of the compliance period for
such project.
``(D) Notice of right to organize.--
``(i) In general.--Each State housing
credit agency shall notify each tenant living
at a qualified low-income housing project of
the right to organize as described in paragraph
10 annually.
``(ii) Tenancy addendum.--The Secretary
shall require each State housing credit
agency--
``(I) that has implemented a
standard lease, lease addendum, or
other guidance to owners of a qualified
low-income housing project, to amend
that document to include language
affirming lessees' right to organize
provided for in this paragraph; or
``(II) that performs lease-based
evaluations of low income-housing tax
credit compliance to include in that
evaluation a requirement to include a
written affirmation of the tenant's
right to organize as provided for in
this paragraph.
``(E) Authorization of appropriations.--There are
authorized to be appropriated to the Secretary such
sums as are necessary to carry out this paragraph.''.
(b) Effective Date.--The amendment made by this section shall apply
to taxable years beginning after the date of the enactment of this Act.
SEC. 4. ENFORCEMENT.
(a) In General.--Not later than 1 year after the date of enactment
of this Act, the Office of Public and Indian Housing of the Department
of Housing and Urban Development shall, in coordination with the
Department of the Treasury, establish a protocol for the enforcement of
paragraph (23) of section 8(o) of the United States Housing Act of 1937
(42 U.S.C. 1437f(o)), as added by section 2 of this Act, and paragraph
(10) of section 42(g) of the Internal Revenue Code of 1986, as added by
section 3 of this Act, that--
(1) reflects or integrates into existing enforcement
protocol for tenants protected under section 202 of the Housing
and Community Development Amendments Act of 1978 (12 U.S.C.
1715z-1b), where possible;
(2) prohibits withholding the tenant-based assistance under
such section 8(o) or the denial of the right to occupy an
assisted unit or a rent-restricted unit, or any other right or
privilege required to be provided as a condition of the tenant-
based assistance or the project being treated as a qualified
low-income housing project until such complaint is closed;
(3) creates a mechanism for administrative complaints to be
filed, cataloged, and investigated regarding public housing
agencies, State housing credit agencies, owners, landlords,
management, and their representatives' alleged violation of
their obligation not to interfere with the right of tenants to
establish and operate a legitimate tenant organization, which
shall--
(A) provide families remedy when the agency
determines a violation of the obligation not to
interfere with the right of tenants to establish and
operate a legitimate tenant organization;
(B) include an independent investigation of tenant
and advocate allegations of abuse and retaliation;
(C) keep tenants informed about the progression of
any complaint; and
(D) provide confidentiality if necessary, including
in cases where alleged abuse is extreme and targeted;
and
(4) if relevant, appropriately refers complaints related to
potential violation of fair housing laws to the Office of Fair
Housing and Equal Opportunity at the Department of Housing and
Urban Development.
(b) Report.--The Secretary shall submit to the Committee on
Banking, Housing, and Urban Affairs of the Senate and the Committee on
Financial Services of the House of Representatives a quarterly report
on the enforcement of this section that--
(1) provides all data at both the property-level and
jurisdiction-level; and
(2) includes--
(A) the volume of outstanding complaints;
(B) the average response time to an initial
complaint;
(C) the average time it takes to close a complaint;
and
(D) information about the type of issues reported
by tenants that necessitate enforcement action.
SEC. 5. FUNDING FOR TENANT AND OTHER PARTICIPATION AND CAPACITY
BUILDING.
(a) Purpose.--The purpose of the amendment in subsection (b) is to
expand and demonstrate a firm commitment to tenant organizing in
Federal housing programs.
(b) Amendment.--Section 514(f)(3)(A) of the Multifamily Assisted
Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is
amended--
(1) by striking ``not more than'' and inserting ``not less
than'';
(2) by striking ``of low-income'' and all that follows
through ``services'' and inserting ``and improvement of low-
income housing for which project-based rental assistance,
public housing subsidies, low-income housing tax credits,
Federal or State subsidized loans, enhanced voucher assistance
under section 8(t) of the United States Housing Act of 1937 (42
U.S.C. 1437f(t)), tenant-based voucher assistance, or project-
based assistance is provided under section 8 of that Act are
provided or proposed''; and
(3) by inserting after the period at the end the following:
``For outreach and training of tenants and technical
assistance, the Secretary shall implement a grant program
utilizing performance-based outcome measures for eligible costs
incurred. Recipients providing capacity building or technical
assistance services to tenant groups shall be qualified
nonprofit State-wide, countywide, area-wide, or city-wide
organizations with demonstrated experience including at least a
2-year recent track record of organizing and providing
assistance to tenants, and independence from the owner, a
prospective purchaser, or their managing agents. The Secretary
may provide assistance and training to grantees in
administrative and fiscal management to ensure compliance with
applicable Federal requirements. The Secretary shall expedite
the provision of funding for the fiscal year in which the
Tenants' Right to Organize Act is enacted and by entering into
an interagency agreement for not less than $1,000,000 with the
Corporation for National and Community Service to conduct a
tenant outreach and training program to eligible housing under
this subsection. The Secretary shall also make available
flexible grants to qualified nonprofit organizations that do
not own eligible multifamily properties, for tenant outreach in
underserved areas, and to experienced national or regional
nonprofit organizations to provide specialized training or
support to grantees assisted under this section.
Notwithstanding any other provision of law, funds authorized
under this paragraph for any fiscal year shall be available for
obligation in subsequent fiscal years. The Secretary shall
require each recipient of amounts made available pursuant to
this subparagraph to submit to the Secretary quarterly reports
detailing the use of such funds and including such information
as the Secretary shall require.''.
SEC. 6. INCREASED TENANT PARTICIPATION FUNDS FOR RESIDENT COUNCILS.
In order to expand and demonstrate a firm commitment to tenant
organizing in Federal housing programs, not later than 1 year after the
date of enactment of this Act, the Secretary of Housing and Urban
Development shall provide each resident council, as defined in section
964.100 of title 24, Code of Federal Regulations, $40 per unit per
year, to be increased annually to keep pace with inflation.
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