WRIGHT ET AL. v. CITY OF ROANOKE REDEVELOPMENT AND HOUSING AUTHORITY
No. 85-5915
Supreme Court of the United States
Argued October 6, 1986—Decided January 14, 1987
479 U.S. 418
No. 85-5915. Argued October 6, 1986—Decided January 14, 1987
Henry L. Woodward argued the cause for petitioners. With him on the briefs was Renae Reed Patrick.
Bayard E. Harris argued the cause and filed a brief for respondent.*
JUSTICE WHITE delivered the opinion of the Court.
Petitioners in this case, tenants living in low-income housing projects owned by respondent, brought suit under
I
Respondent is one of many public housing authorities (PHA‘s) established throughout the country under the United
II
Maine v. Thiboutot, 448 U. S. 1 (1980), held that
Here, the Court of Appeals held that the statute and the Brooke Amendment clearly manifested congressional intention to vest in HUD the exclusive power to enforce the benefits due housing project tenants and hence the intention to foreclose both a private cause of action under the Housing Act and any private enforcement under
We disagree with the Court of Appeals’ rather summary conclusion that the administrative scheme of enforcement foreclosed private enforcement. The Court of Appeals merely relied on one of its prior cases which had referred to HUD‘s authority to enforce the annual contributions contracts between PHA‘s and HUD, see
In 1981, Congress changed the maximum percentage of income that could be paid as “rent” from 25 percent to 30 percent. Omnibus Budget Reconciliation Act of 1981, Pub. L. 97-35, § 322, 95 Stat. 400. In making this change, Congress gave the Secretary of HUD discretion to raise tenants’ rent incrementally over a 5-year period to ease the burden on low-income tenants during the transition. § 322(i), 95 Stat. 404. To avoid a potential multitude of litigation over the way in which the Secretary implemented the phased-in rate increase, Congress specifically made the Secretary‘s decisions effectuating the phase-in immune from judicial review. § 322(i)(3). At congressional hearings in which this specific and limited exception to judicial review was discussed, HUD representatives explained that this exception had no effect on tenants’ ability to enforce their rights under the Housing Act in federal court other than the limited exception concerning the phase-in.7 Apparently dissatisfied with even a tempo-
Also at odds with the holding that HUD has exclusive authority to enforce the Brooke Amendment is the enactment in 1985 of
In both Sea Clammers and Smith v. Robinson, the statutes at issue themselves provided for private judicial remedies, thereby evidencing congressional intent to supplant the
The Court of Appeals and respondents rely on HUD‘s authority to audit, enforce annual contributions contracts, and cut off federal funds. But these generalized powers are insufficient to indicate a congressional intention to foreclose
Lastly, it is said that tenants may sue on their lease in state courts and enforce their Brooke Amendment rights in that litigation. Perhaps they could, but the state-court remedy is hardly a reason to bar an action under
In sum, we conclude that nothing in the Housing Act or the Brooke Amendment evidences that Congress intended to preclude petitioners’
III
Although the Court of Appeals read the Brooke Amendment as extending to housing project tenants certain rights enforceable only by HUD, respondent asserts that neither the Brooke Amendment nor the interim regulations gave the
The judgment of the Court of Appeals is accordingly
Reversed.
JUSTICE O‘CONNOR, with whom THE CHIEF JUSTICE, JUSTICE POWELL, and JUSTICE SCALIA join, dissenting.
As the Court‘s opinion acknowledges, there must be a deprivation “of a ‘right’ secured by a federal statute” before
Whether a federal statute confers substantive rights is not an issue unique to
Petitioners in this case assert that the Brooke Amendment creates an enforceable right to have “reasonable utilities” included in the limitation on the “rent” they may be charged by a public housing authority (PHA). The Brooke Amendment, as amended, Pub. L. 97-35, § 322, 95 Stat. 400, provides that a low-income family “shall pay as rent” a specified percentage of its monthly income for publicly assisted housing. The Court concludes that the statute‘s language satisfies the standards we have used in ascertaining an intent to create substantive rights: it is phrased in mandatory and not merely precatory terms, and it places an unmistakable focus on the benefited class. Ante, at 430. The statute also is phrased using right-creating language rather than being framed “simply as a general prohibition or a command to a federal agency.” University Research Assn. v. Coutu, 450 U. S. 754, 772 (1981).
Assuming, as the Court finds, that Congress intended to create an enforceable right to a limitation on the amount PHA‘s may charge “as rent,” the question remains whether petitioners’ claim to reasonable utilities comes within the
The legislative history of the Brooke Amendment, far from indicating an intent to create a statutory right to utilities, shows that Congress was presented with, and ultimately rejected, a proposal to create an enforceable right to “reasonable utilities.” As originally reported out of the Senate, Senator Brooke‘s bill enumerated a range of shelter costs in addition to “rent” that were to be subject to the statutory rent limit. The Senate bill provided that the term “rental” was to include “the proportionate share attributable to the unit of the total shelter costs to be borne by the tenants in a low-rent housing project, including any separate charges to a tenant for reasonable utility use and for public services and facilities.” 115 Cong. Rec. 26726 (1969) (emphasis added). In the bill reported out of Conference, however, this reference to utilities was deleted. The Conference Report stated that the substitute bill “retain[ed] the basic concept” of the Senate bill by “generally limiting rents that may be charged to no more than 25% of [the tenant‘s] income,” but it included no reference to the utilities charges provided for in the Senate bill. See H. R. Conf. Rep. No. 91-740, p. 30 (1969). In adopting the Brooke Amendment, therefore, Congress deliberately refrained from including “charges to a tenant for reasonable utility use and for public services and facilities” within the statutory entitlement.
The Court does not find that the statute‘s language or legislative history supports its conclusion that Congress intended to create a statutory entitlement to reasonable utilities. Instead, the Court concludes that the Department of Housing and Urban Development (HUD) has so interpreted
The 1980 interim regulations on which petitioners rely do not reflect a different understanding on the part of the agency.1 The reason given for adopting a uniform federal
In 1984, HUD enacted its final utilities regulations, which follow the approach of the proposed regulations and replace the more specific requirements of the interim regulations with a “reasonable utilities” standard. In establishing allowances, PHA‘s should consider a host of factors such as climatic location; air temperature to be maintained in the dwelling unit; the temperature of domestic hot water measured at the tap; and the physical condition of the housing project. See
In the absence of any indication in the language, legislative history, or administrative interpretation of the Brooke Amendment that Congress intended to create an enforceable right to utilities, it is necessary to ask whether administrative regulations alone could create such a right. This is a troubling issue not briefed by the parties, and I do not attempt to resolve it here. The Court‘s questionable reasoning that, because for four years HUD gave somewhat less discretion to the PHA‘s in setting reasonable utilities allowances, HUD understood Congress to have required enforceable utility standards, apparently allows it to sidestep the
Even assuming that agency regulations of the sort at issue here could create rights enforceable in a
The Court‘s only response to the legislative and regulatory history of the utility regulations is to suggest that other actions taken by Congress and HUD show that they were of the view that low-income tenants could resort to federal courts when claiming that a PHA violated the utility regulations. See ante, at 424–427, 430, n. 11. That is simply not the case. The three actions by Congress and HUD identified in the Court‘s opinion are the congressional hearings preceding the Omnibus Budget Reconciliation Act of 1981, Pub. L. 97-35, § 322, 95 Stat. 400; the 1985 enactment of
“PHA action or non-action concerning general policy issues or class grievances (including determination of the PHA‘s schedules of allowances for PHA-furnished utilities or of allowances for Tenant-purchased utilities) does not constitute adverse action by the PHA, and the PHA is not required to provide the opportunity for a hearing
to consider such issues or grievances.” 51 Fed. Reg. 26528 (1986).
Moreover, HUD‘s proposed utilities regulations in 1982 stated that a PHA‘s determination of utilities allowances was subject to review “pursuant to such procedures as may be available under State or local law.” 47 Fed. Reg. 35249, 35254. In 1984, responding to comments challenging its “power . . . to divest Federal courts of jurisdiction,” 49 Fed. Reg. 31399, 31403, HUD amended the provision to state that PHA allowance determinations are valid unless found to be arbitrary, capricious, an abuse of discretion, “or otherwise not in accordance with law.”
In my view, petitioners do have a remedy in seeking to secure utilities from respondent: they may sue on their leases.2 Pursuant to its authority to ensure the lower rental character of publicly assisted housing, see
For the reasons given above, however, in my view petitioners do not also have a statutory entitlement enforceable in federal courts by virtue of
