104 STAT. 4218 PUBLIC LAW 101-625—NOV. 28, 1990 years, beginning not less than 30 days following the date on which the report is submitted to the Secretary. Reports. "(iii) The Secretary shall, not later than 3 months following the end of each fiscal year, submit a report to Congress that identifies the public housing agencies that have submitted reports for such fiscal year under clause (ii), summarizes and assesses such reports, and includes recommendations for such legislative or administrative actions that the Secretary deems appropriate to correct problems identified in such reports.". (b) HOUSING STRATEGY. —The second sentence of section 8(c)(1) of the United States Housing Act of 1937 (42 U.S.C. 1437fl[cXl)) is amended by— (1) inserting "(A)" after "fair market rental" the second place it appears; and (2) by striking "a local housing assistance plan" and all that follows through the end of the sentence and inserting the following: "a housing strategy as defined in section 105 of the Cranston-Gonzalez National Affordable Housing Act, or (B) by such higher amount as may be requested by a tenant and approved by the public housing agency in accordance with paragraph (3)(B). ". SEC. 544. OPT-OUTS. Section 8(c)(9) of the United States Housing Act of 1937 (42 U.S.C. 1437f(c)(9)) is amended— (1) by inserting at the end of the first sentence the following new sentence: "The owner's notice shall include a statement that the owner and the Secretary may agree to a renewal of the contract, thus avoiding the termination."; and (2) by inserting before the final sentence the following new sentence: "Within 30 days of the Secretary's finding, the owner shall provide written notice to each tenant of the Secretary's decision.". SEC. 545. PREFERENCE RULES. (a) CERTIFICATE PROGRAM.— Section 8(d)(l)(A) of the United States Housing Act of 1937 (42 U.S.C. 1437f[dXl)(A)) is amended to read as follows: "(A) the selection of tenants for such units shall be the function of the owner, subject to the provisions of the annual contributions contract between the Secretary and the agency, except that the tenant selection criteria used by the owner shall— "(i) for not less than (I) 70 percent of the families who initially receive assistance in any 1-year period in the case of assistance attached to a structure and (II) 90 percent of such families in the case of assistance not attached to a structure, give preference to fsmiilies that occupy substandard housing (including families that are homeless or living in a shelter for homeless families), are paying more than 50 percent of family income for rent, or are involuntarily displaced at the time they are seeking assistsince under this section; except that any family otherwise eligible for assistance under this section may not be denied pref- erence for assistance not attached to a structure (or delayed or otherwise adversely affected in the provision of such
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