§ 4114. Treatment of program income and labor standards
(a)
Program income
(1)
Authority to retain
Notwithstanding any other provision of this chapter, a recipient may retain any program income that is realized from any grant amounts under this chapter if—
(2)
Prohibition of restricted access or reduction of grant
The Secretary may not restrict access to or reduce the grant amount for any Indian tribe based solely on—
(3)
Exclusion of amounts
The Secretary may, by regulation, exclude from consideration as program income any amounts determined to be so small that compliance with the requirements of this subsection would create an unreasonable administrative burden on the recipient.
(4)
Exclusion from program income of regular developer’s fees for low-income housing tax credit projects
Notwithstanding any other provision of this chapter, any income derived from a regular and customary developer’s fee for any project that receives a low-income housing tax credit under section
42 of title
26, and that is initially funded using a grant provided under this chapter, shall not be considered to be program income if the developer’s fee is approved by the State housing credit agency.
(b)
Labor standards
(1)
In general
Any contract or agreement for assistance, sale, or lease pursuant to this chapter shall contain a provision requiring that not less than the wages prevailing in the locality, as determined or adopted (subsequent to a determination under applicable State, tribal, or local law) by the Secretary, shall be paid to all architects, technical engineers, draftsmen, and technicians employed in the development, and all maintenance laborers and mechanics employed in the operation, of the affordable housing project involved; and shall also contain a provision that not less than the wages prevailing in the locality, as predetermined by the Secretary of Labor pursuant to sections
3141–3144,
3146, and
3147 of title
40, shall be paid to all laborers and mechanics employed in the development of the affordable housing involved, and the Secretary shall require certification as to compliance with the provisions of this paragraph before making any payment under such contract or agreement.
(2)
Exceptions
Paragraph (1) and the provisions relating to wages (pursuant to paragraph (1)) in any contract or agreement for assistance, sale, or lease pursuant to this chapter, shall not apply to any individual who receives no compensation or is paid expenses, reasonable benefits, or a nominal fee to perform the services for which the individual volunteered and who is not otherwise employed at any time in the construction work.
(3)
Application of tribal laws
Paragraph (1) shall not apply to any contract or agreement for assistance, sale, or lease pursuant to this chapter, if such contract or agreement is otherwise covered by one or more laws or regulations adopted by an Indian tribe that requires the payment of not less than prevailing wages, as determined by the Indian tribe.