Section 17-528-3 - General applicability and scope(a) The rules, contained herein are applicable to the making of housing assistance payments (HAP) on behalf of eligible families leasing housing pursuant to the provisions of Section 8 of the U.S. Housing Act of 1937. In implementing the Section 3 program, the authority shall apply to HUD for the prescribed authority in accordance with the appropriate HUD guidelines governing public housing agency (PHA) application and designation of contract authority. In any case HUD shall retain the right to review and audit the authority's operations to ensure the authority and owners are in compliance with the terms and conditions established pursuant to this part.(b) To effect implementation of the housing assistance payments program, the authority with the approval of HUD is authorized to lease or cause to be leased to eligible families, newly constructed or substantially rehabilitated units which are in decent, safe and sanitary condition. The authority is further authorized to construct new or substantially rehabilitate existing housing (or cause such to be done) for the purpose of providing units for participation in the housing assistance payments program.[Eff: OCT 05 1981] (Auth: HRS § 356-10; 24 CFR 880, 881, 883) (Imp: HRS § 356-21; 24 CFR 880, 881, 883)