AFFORDABLE HOUSING.

SEC. 208. AFFORDABLE HOUSING. (a) Rent Calculations.—Section 215(a) of the Cranston- Gonzalez National Affordable Housing Act (42 U.S.C. 12745(a)) is amended— (1) in paragraph (I)(A) by striking “smaller and larger families” and inserting “number of bedrooms in the unit”; (2) in paragraph (3), by adding at the end the following: “The preceding sentence shall not apply with respect to funds made available under this Act for units that have been allocated a low-income housing tax credit by a housing credit agency pursuant to section 42 of the Internal Revenue Code 1986.”; and (3) in the second sentence of paragraph (3), by striking “not less than” and inserting “the lesser of the amount payable by the tenant under State or local law or”. (b) Exception to Termination Rule.—Section 215(a)(1)(E) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12745(a)(1)(E)) is amended by inserting after “Act” the following: “, except upon a foreclosure by a lender (or upon other transfer in lieu of foreclosure) if such action (i) recognizes any contractual or legal rights of public agencies, nonprofit sponsors, or others to take actions that would avoid termination of low-income afford-ability in the case of foreclosure or transfer in lieu of foreclosure, and (ii) is not for the purpose of avoiding low income affordability restrictions, as determined by the Secretary”.