HARRY HUGHES, Governor

2217

(iii) cannot be served by a federal or more
cost effective State housing assistance program; and

(iv) are capable of maintaining independent
living quarters; or

(2) Eligible households with critical and emergency
housing needs that cannot be served by a federal on more cost
elective State housing assistance program.

(d)  The pilot program shall be administered by the
Department in conjunction with local political subdivisions or
through their housing agencies or departments except as provided
in subsection (e)(2), and in consultation with the Department of
Human Resources.

(e)  (1) Housing allowance grants will be awarded to
political subdivisions taking into account:

(i) The number of eligible households in a
jurisdiction;

(ii) The availability of suitable housing stock
in the jurisdiction for the target population the political
subdivision proposes to serve;

(iii) The political subdivision's willingness
to contribute administrative costs; and

(iv) Other factors the Department deems
relevant.

(2) The Department may retain up to 25 percent of the
funds provided for this program for housing allowances to
eligible households on a statewide basis including allowances for
critical emergency housing needs.

(f)  On or before December 1, 1987 the Secretary of Economic
and Community Development shall report to the Governor and to the
appropriate standing fiscal committees on the effectiveness of
the pilot program. The report shall evaluate the pilot program
and include the number, type, and income levels of persons
served, and any recommendations for modifying, eliminating, or
expanding the program.