((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—

((A)) such income was realized after the initial disbursement of the grant amounts received by the recipient; and

((B)) the recipient has agreed that it will utilize such income for housing related activities in accordance with this chapter.

((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—

((A)) whether the recipient for the tribe retains program income under paragraph (1);

((B)) the amount of any such program income retained;

((C)) whether the recipient retains reserve amounts described in ; or

((D)) whether the recipient has expended retained program income for housing-related activities.

((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 , 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.section 42 of title 26

((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.