42 U.S.C. § 1437aaa–1

The Secretary is authorized to make planning grants to applicants for the purpose of developing homeownership programs under this subchapter. 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.

Planning grants may be used for activities to develop homeownership programs (which may include programs for cooperative ownership), including—

development of resident management corporations and resident councils;

training and technical assistance for applicants related to development of a specific homeownership program;

studies of the feasibility of a homeownership program;

inspection for lead-based paint hazards, as required by ;

preliminary architectural and engineering work;

tenant and homebuyer counseling and training;

planning for economic development, job training, and self-sufficiency activities that promote economic self-sufficiency of homebuyers and homeowners under the homeownership program;

development of security plans; and

preparation of an application for an implementation grant under this subchapter.

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.

The Secretary shall require that an application contain at a minimum—

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;

a description of the applicant and a statement of its qualifications;

identification and description of the public housing project or projects involved, and a description of the composition of the tenants, including family size and income;

a certification by the public official responsible for submitting the comprehensive housing affordability strategy under  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 , 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

a certification that the applicant will comply with the requirements of the Fair Housing Act [ et seq.], title VI of the Civil Rights Act of 1964 [ et seq.], , and the Age Discrimination Act of 1975 [ et seq.], and will affirmatively further fair housing.

The Secretary shall, by regulation, establish selection criteria for a national competition for assistance under this section, which shall include—

the qualifications or potential capabilities of the applicant;

the extent of tenant interest in the development of a homeownership program for the project;

the potential of the applicant for developing a successful and affordable homeownership program and the suitability of the project for homeownership;

national geographic diversity among projects for which applicants are selected to receive assistance; and

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 subchapter in an effective and efficient manner.