Housing Affordability for America Act of 2002

(Sec. 102) Removes fair market rents from rent level determinations.

(Sec. 104) Revises project inspection requirements. Requires that tax credit projects be inspected at least every three years.

(Sec. 105) Repeals the 20 percent limitation on program assistance that participating jurisdictions may use to provide education to homeowners and tenants, organizational support, and other technical assistance.

(Sec. 106) Makes the addition of bedrooms for elderly family members an eligible activity under the elder cottage housing opportunity program.

(Sec. 107) Allows jurisdictions to report on the use of funds based on their program year, as well as the fiscal year.

(Sec. 108) Prohibits the Secretary of Housing and Urban Development (Secretary) from barring any public employee who is in an unelected and non-decision-making role from membership on a local board of a community housing development organization.

(Sec. 109) Allows participating jurisdictions to charge compliance monitoring fees.

(Sec. 110) Makes religious organizations eligible HOME subrecipients for qualifying secular activities.

Title II: FHA Mortgage Insurance - Subtitle A: Multifamily Housing and Health Care Facilities - (Sec. 201) Amends the National Housing Act to increase and index to the Bureau of the Census' annual construction cost index multifamily project mortgage loan limits for: (1) rental housing; (2) cooperative housing; (3) rehabilitation and neighborhood conservation housing; (4) housing for moderate income and displaced families; (5) housing for the elderly; and (6) condominiums.

(Sec. 202) Increases loan limits in high-cost areas.

(Sec. 203) Provides mortgage insurance for: (1) integrated service facilities, including hospital-owned facilities, providing health, clinical, outpatient, and hospital ancillary care for elderly or infirm persons; and (2) refinancing by such facilities.

Subtitle B: Single Family Housing - (Sec. 221) Amends the National Housing Act to revise single family housing downpayment requirements for mortgage insurance eligibility.

(Sec. 222) Provide for one percent downpayments (and deferral and reduction of up-front payments) for Federal Housing Administration (FHA) mortgage loans for qualified elementary and secondary school teachers and administrators and public safety officers to purchase homes within the jurisdictions of their employing agencies.

(Sec. 223) Provides a 50 percent discount for teachers and public safety officers purchasing certain eligible asset properties for primary residence use.

(Sec. 224) Directs the Secretary to carry out a three-year mortgage assistance pilot program to assist Federal, State, and local public safety officers purchase primary residences in high-crime areas.

(Sec. 225) Provides for the merging of mortgage servicing functions and personnel of HUD-held single family mortgages and Department of Agriculture single-family rural housing. (Amends the Housing Act of 1949 to provide similar rural housing provisions.)

(Sec. 226) Directs the Secretary to ensure that the Mutual Mortgage Insurance Fund maintains a minimum amount equal to the sum of the minimum basic capital ratio and the minimum risk-based capital ratio (as defined by this Act).

(Sec. 227) Eliminates the one percent interest rate restrictions on hybrid FHA adjustable rate mortgages having a fixed interest rate for the first five or fewer years.

(Sec. 228) Sets uniform national loan limits for reverse mortgages used by senior homeowners. (Eliminates FHA area loan limits.)

(Sec. 229) Requires mortgagor and co-mortgagor occupancy of any FHA insured home under the rehabilitation loan program.

(Sec. 230) Requires a rehabilitation loan agreement to include the lender's responsibility to select an inspector or consultant who would act as an agent for the lender in approving loan advances.

(Sec. 231) Makes qualifying organizations eligible purchasers of HUD-held one- to four-family properties.

(Sec. 232) Amends the Housing and Urban Development Act of 1970 to extend the holding period for equity skimming penalty purposes to 18 months.

(Sec. 233) Amends Federal law to subject false loan and credit application statements made to HUD to criminal penalties.

Title III: Supportive Housing for Elderly and Disabled Families - (Sec. 301) Directs the Secretary to carry out a modernization demonstration program for housing for the elderly (under the National Housing Act) through FY 2005.

(Sec. 302) Amends the Housing and Community Development Act of 1992 to require service coordinators for supportive housing for persons with disabilities.

(Sec. 303) Amends the Housing Act of 1959 to make religious organizations eligible project owners under the supportive housing for the elderly program.

Amends the Cranston-Gonzalez National Affordable Housing Act to make religious organizations eligible project owners under the supportive housing for persons with disabilities program.

Title IV: Section 8 Rental Housing Assistance Program - (Sec. 401) Amends the United States Housing Act of 1937 to authorize a thrifty production voucher program under which public housing agencies (PHAs) would use tenant-based vouchers for construction or rehabilitation of housing for extremely low-income families.

(Sec. 402) Revises voucher program initial rent limits.

(Sec. 403) Authorizes a PHA that is not designated as a troubled PHA to use up to five percent of allocated funds to directly support its housing choice voucher program for counseling, downpayment assistance, rental security deposits, and other activities that assist families in finding suitable housing.

(Sec. 404) Prohibits PHA re-screening of existing section 8 tenants in projects undergoing conversion under different criteria than were used to determine their eligibility for continued occupancy.

(Sec. 405) Authorizes the Secretary to pay incentive fees to PHAs that succeed in achieving high or substantially improved performances beginning in FY 2003.

(Sec. 406) Requires the owner of a multifamily housing project, in the case of an eligibility event such as mortgage prepayment, to lease to a family residing in the project who is provided with an enhanced voucher.

(Sec. 407) Amends the Quality Housing and Work Responsibility Act of 1998 to extend the (section 8) manufactured housing demonstration program through FY 2004.

(Sec. 408) Amends the Multifamily Assisted Housing Reform and Affordability Act of 1997 to revise rental reimbursement levels for expiring project-based section 8 contracts. (Sets rents for projects undergoing contract renewal at the current rent levels in effect for that project immediately prior to the renewal, with annual adjustments.)

Title V: Public Housing - Subtitle A: General Provisions - (Sec. 501) Amends the United States Housing Act of 1937 to authorize the Secretary to temporarily waive certain PHA membership criteria within a State that is in the process of making legislative or regulatory compliance efforts.

(Sec.502) States that Federal review and approval of PHA ventures does not extend to subsidiaries, joint ventures, partnerships, or business arrangements if Federal funds or income derived from Federal funds are not used in these ventures.

(Sec. 503) Directs the Secretary to provide for third-party assessment of PHA performance.

(Sec. 504) Exempts a small PHA (a non-troubled PHA administering 100 or fewer public housing units) from submitting annual agency plans for FY 2003 through 2005.

(Sec. 505) Authorizes the Secretary to approve, on a project-by-project basis, conversion of a public housing project (or portion) to project-based assistance in order to facilitate capital financing and development-based financial management and accountability. Provides that: (1) the number of such housing unit conversions shall be equal to the number of units receiving project-based voucher assistance; and (2) Capital Fund amounts may be used for such purposes.

Subtitle B: HOPE VI Revitalization Program - (Sec. 521) Amends the United States Housing Act of 1937 to revise selection criteria for HOPE VI (rehabilitation of distressed public housing projects) awards.

(Sec. 522) Authorizes FY 2003 and 2004 appropriations.

(Sec. 523) Extends program authority through FY 2004.

Title VI: Homeless Housing Programs - (Sec. 601) Amends the McKinney-Vento Homeless Assistance Act to authorize appropriations through FY 2004 for the Interagency Council on the Homeless.

(Sec. 602) Authorizes appropriations through FY 2004 for the Federal Emergency Management Agency food and shelter program.

(Sec. 603) Authorizes appropriations through FY 2004 for the emergency shelter grant program.

(Sec. 604) Authorizes appropriations through FY 2004 for the supportive housing program. Authorizes annual contract renewal funding for permanent housing through the Housing Certificate Fund through FY 2004.

Establishes a 30 percent minimum set-aside (excluding contract renewal amounts) for permanent housing activities for the homeless, which shall include permanent housing designed primarily to serve homeless families with children.

Eliminates the cap on supportive housing capital expenses.

(Sec. 605) Extends and authorizes increases for the section 8 single room occupancy moderate rehabilitation program through FY 2004.

(Sec. 606) Authorizes appropriations for the shelter plus care program through FY 2004.

Title VII: Native American Housing - (Sec. 701) Amends the Native American Housing Assistance and Self Determination Act of 1996 to authorize appropriations for grants, loan guarantees, credit subsidy, and training and technical assistance through FY 2007.

Title VIII: Housing Impact Analysis - (Sec. 801) Requires Federal agencies, with exceptions, to certify (with documentation) in the Federal Register and to HUD that any proposed or final rule would not have a significant negative impact on housing affordability.

(Sec. 802) States that this title shall not apply to any proposed or final rule relating to the safety and soundness of: (1) federally insured depository institutions; (2) credit unions; (3) Federal home loan banks; (4) government sponsored enterprises; (5) Farm Credit institutions; or (6) foreign banks or their branches, agencies or their representative offices operating in the United States.

(Sec. 803) Requires an agency general notice of proposed rulemaking to: (1) state with particularity the text of the proposed rule; (2) request any interested persons to submit to the agency any written analyses, views and any specific alternatives; (3) provide an opportunity for comment prior to promulgation of the final rule; and (4) prepare and make available an initial housing impact analysis.

(Sec. 804) Requires an initial housing impact analysis to contain: (1) the reasons an agency is taking a particular action; (2) the objectives and legal basis for such rule; (3) a description of the estimate of the extent to which the rule would increase the cost or reduce the supply of housing or land for residential development; and (4) a description of the relevant Federal rules which may be duplicative or conflict with the proposed rule.

(Sec. 805) Requires a final housing impact analysis to contain: (1) a statement of the need for and objectives of the rule; (2) a summary of significant issues, analyses and alternatives to the proposed rule raised during the public comment period; and (3) an estimate of the extent to which the rule will impact housing affordability or an explanation of why no such estimate is available. Requires the agency to: (1) make copies of the final housing impact analysis available to the public; and (2) publish the analysis in the Federal Register.

(Sec. 806) Permits an agency to: (1) perform such analyses in conjunction with any other agenda or analyses required by any other law, executive order, or directive; and (2) consider a series of closely related rules as one rule for such purposes.

(Sec. 807) Permits an agency, in complying with such analyses requirements, to use either a quantifiable or numerical description of the effects of a proposed rule or alternatives to the proposed rule, or more general descriptive statement if quantification is not practicable or reliable.

(Sec. 809) Permits an agency to waive or delay initial housing impact analysis requirements. States that if any agency has not prepared a final housing impact analysis within 180 days from the date of publication of the final rule, the rule would have no effect.

(Sec. 810) Defines specified terms.

(Sec. 811) Directs the Secretary to develop model initial and final housing impact analyses.

(Sec. 812) States that any agency findings and housing impact analyses under this title shall not be subject to judicial review.

Title IX: Other Housing Programs - (Sec. 901) Amends the Higher Education Amendments of 1998 to repeal the scheduled Government National Mortgage Association (Ginnie Mae) mortgage guaranty fee increase.

(Sec. 902) Amends the Department of Housing and Urban Development Act to direct the Secretary to designate a single HUD office to establish, coordinate, and administer all requirements, standards, and performance measures relating to housing counseling, homeownership counseling, mortgage-related counseling, and rental housing counseling.

(Sec. 903) Amends the Housing Opportunity Program Extension Act of 1996 with respect to self-help housing provider assistance to authorize: (1) appropriations through FY 2007; (2) up to $15,000 assistance per unit, with additional amounts available in areas with high land or infrastructure costs; and (3) extension of the time limit for fund use to 48 months in extraordinary circumstances.

(Sec. 904) Amends the Cranston-Gonzalez National Affordable Housing Act to authorize appropriations for the housing opportunities for persons with AIDS program through FY 2007.

(Sec. 905) Amends the Housing and Community Development Act of 1974 to make religious organizations eligible community development block grant (CDBG) subrecipients for qualifying secular activities.

(Sec. 906) Amends the Housing and Community Development Act of 1974 to allow CDBG funds to be used to construct tornado- or storm-safe shelters for manufactured housing parks in low- and moderate income areas. (Requires that such shelters be available to all residents of the area in which they are located.)

Authorizes additional FY 2002 appropriations to facilitate homeownership for low- and moderate income individuals.

(Sec. 907) Amends the Housing and Community Development Act of 1974 to allow CDBG funds to be used to administer renewal communities.

(Sec. 908) Amends the Housing and Community Development Act of 1992 with respect to subsidy layering review to require (currently authorizes) HUD to accept the review and certification required by tax credit agencies for low-income housing tax credit projects.

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