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Section 533 of the Quality Housing and Work Responsibility Act of 1998 (Pub. L. 105-276) amended section 22 of the United States Housing Act (42 U.S.C. 1437, et seq.) As amended, section 533 authorizes Public Housing Agencies (PHAs) to convert a development to tenant-based assistance by removing the development or a portion of the development from its public housing inventory and providing for relocation of the residents or provision of tenant based assistance to them.  This action is permitted only when that change would be cost effective, be beneficial to residents of the development and the surrounding area, and not have an adverse impact on the availability of affordable housing.  To implement this requirement, HUD published a final rule on March 21, 2006 (71 FR 14328) that provides the cost methodology that PHAs must use to determine whether a voluntary conversion would be cost effective.  HUD also released a web-based cost comparison calculator to aid PHAs in conducting the required cost comparisons.  This proposed rule will revise and replace the current (excel-based) cost-test to make it more streamlined, accurate, and usable by PHAs. This proposed rule aims to reduce regulatory burdens and requirements on PHAs that are pursuing voluntary conversion, including streamlining the administrative requirements associated with the Conversion Assessment and Conversion Plan.