112 STAT. 2622 PUBLIC LAW 105-276—OCT. 21, 1998 "(2) APPROVAL. — The Secretary may approve jurisdictions for participation in the demonstration program under this title, but only from among applications that the Secretary has determined under paragraph are approvable under this title and only in accordance with section 402(c). The Secretary shall base the selection of jurisdictions to approve on the potential success, as evidenced by the application, in— "(A) achieving the goals set forth in the performance standards under paragraph (4)(A); and "(B) increasing housing choices for low-income families. "(3) AGREEMENT.— The Secretary shall offer to enter into an agreement with each jurisdiction approved for participation in the program under this title providing for assistance pursuant to this title for a period in accordance with section 402(b) and incorporating a requirement that the jurisdiction achieve a particular level of performance in each of the areas for which performance standards are established under paragraph (4)(A) of this subsection. If the Secretary and the jurisdiction enter into an agreement, the Secretary shall provide any covered housing assistance for the jurisdiction in the manner authorized under this title. The Secretary may not provide covered housing assistance for a jurisdiction in the manner authorized under this title unless the Secretary and jurisdiction enter into an agreement under this paragraph. " (4) PERFORMANCE STANDARDS. — " (A) ESTABLISHMENT. —The Secretary and each participating jurisdiction may collectively establish standards for evaluating the performance of the participating jurisdiction in meeting the purposes under section 401 of this title, which may include standards for— "(i) moving dependent low-income families to economic self-sufficiency; "(ii) reducing the per-family cost of providing housing assistance; "(iii) expanding the stock of affordable housing and housing choices for low-income families; "(iv) improving program management; "(v) increasing the number of homeownership opportunities for low-income families; "(vi) reducing homelessness through providing permanent housing resources; "(vii) reducing geographic concentration of assisted families; and "(viii) any other performance goals that the Secretary and the participating jurisdiction may establish. "(B) FAILURE TO COMPLY. —If, at any time during the participation of a jurisdiction in the program under this title, the Secretary determines that the jurisdiction is not sufficiently meeting, or making progress toward meeting, the levels of performance incorporated into the agreement of the jurisdic^on pursuant to subparagraph (A), the Secretary shall terminate the participation of the jurisdiction in the program under this title and require the implementation of the procedures included in the application of the jurisdiction pursuant to subsection (a)( 10). "(5) TROUBLED AGENCIES. —The Secretary may establish requirements for the approval of applications under this section
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