cost of construction
(3) Distribution to States by needs-based formula (A) In general The Secretary shall, by regulation, establish a formula within 12 months of July 30, 2008 , to distribute amounts made available under this subsection to each State to provide affordable housing to extremely low- and very low-income households. (B) Basis for formula The formula required under subparagraph (A) shall include the following: (i) The ratio of the shortage of standard rental units both affordable and available to extremely low-income renter households in the State to the aggregate shortage of standard rental units both affordable and available to extremely low-income renter households in all the States. (ii) The ratio of the shortage of standard rental units both affordable and available to very low-income renter households in the State to the aggregate shortage of standard rental units both affordable and available to very low-income renter households in all the States. (iii) The ratio of extremely low-income renter households in the State living with either (I) incomplete kitchen or plumbing facilities, (II) more than 1 person per room, or (III) paying more than 50 percent of income for housing costs, to the aggregate number of extremely low-income renter households living with either (IV) incomplete kitchen or plumbing facilities, (V) more than 1 person per room, or (VI) paying more than 50 percent of income for housing costs in all the States. (iv) The ratio of very low-income renter households in the State paying more than 50 percent of income on rent relative to the aggregate number of very low-income renter households paying more than 50 percent of income on rent in all the States. (v) The resulting sum calculated from the factors described in clauses (i) through (iv) shall be multiplied by the relative cost of construction in the State. For purposes of this subclause, the term “cost of construction”— (I) means the cost of construction or building rehabilitation in the State relative to the national cost of construction or building rehabilitation; and (II) shall be calculated such that values higher than 1.0 indicate that the State’s construction costs are higher than the national average, a value of 1.0 indicates that the State’s construction costs are exactly the same as the national average, and values lower than 1.0 indicate that the State’s cost of construction are lower than the national average. (C) Priority The formula required under subparagraph (A) shall give priority emphasis and consideration to the factor described in subparagraph (B)(i).
Source
12 USC § 4568(c)(3)
Scoping language
None identified, default scope is assumed to be the parent (subpart 2) of this section.