112 STAT. 2598 PUBLIC LAW 105-276—OCT. 21, 1998 housing assistance payment shall be determined in accordance with subsection (c)(3) of this section. "(3) 40 PERCENT LIMIT. —At the time a family initially receives tenant-based assistance under this section with respect to any dwelling unit, the total amount that a family may be required to pay for rent may not exceed 40 percent of the monthly adjusted income of the family. "(4) ELIGIBLE FAMILIES.— To be eligible to receive assistance under this subsection, a family shall, at the time a family initially receives assistance under this subsection, be a lowincome family that is— "(A) a very low-income family; "(B) a family previously assisted under this title; "(C) a low-income family that meets eligibility criteria specified by the public housing agency; "(D) a family that qualifies to receive a voucher in connection with a homeownership program approved under title IV of the Cranston-Gonzalez National Affordable Housing Act; or "(E) a family that qualifies to receive a voucher under section 223 or 226 of the Low-Income Housing Preservation and Resident Homeownership Act of 1990. " (5) ANNUAL REVIEW OF FAMILY INCOME. — "(A) IN GENERAL.— Reviews of family incomes for purposes of this section shall be subject to the provisions of section 904 of the Stewart B. McKinney Homeless Assistance Amendments Act of 1988 and shall be conducted upon the initial provision of housing assistance for the family and thereafter not less than annually. "(B) PROCEDURES.— Each public housing agency administering assistance under this subsection shall establish procedures that are appropriate and necessary to ensure that income data provided to the agency and owners by families applying for or receiving assistance from the agency is complete and accurate. Each public housing agency shall, not less frequently than annually, conduct a review of the family income of each family receiving assistance under this subsection. "(6) SELECTION OF FAMILIES AND DISAPPROVAL OF OWNERS.— "(A) PREFERENCES. — "(i) AUTHORITY TO ESTABLISH.— Each public housing agency may establish a system for making tenantbased assistance under this subsection available on behalf of eligible families that provides preference for such assistance to eligible families having certain characteristics, which may include a preference for families residing in public housing who are victims of a crime of violence (as such term is defined in section 16 of title 18, United States Code) that has been reported to an appropriate law enforcement agency. "(ii) CONTENT. —Each system of preferences established pursuant to this subparagraph shall be based upon local housing needs and priorities, as determined by the public housing agency using generally accepted data sources, including any information obtained
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