; and (iii) is not otherwise employed at any time in the construction work. (6) Access to residual receipts (A) In general The Secretary shall authorize the owner of a housing project assisted under this section to use any residual receipts held for the project in excess of $500 per unit (or in excess of such other amount prescribed by the Secretary based on the needs of the project) for activities to retrofit and renovate the project as described under section 802(d)(3) of the Cranston-Gonzalez National Affordable Housing Act ( 42 U.S.C. 8011(d)(3) ) or to provide supportive services to residents of the project. (B) Report Any owner that uses residual receipts under this paragraph shall submit to the Secretary a report, not less than annually, describing the uses of the residual receipts. (C) Determination of amount In determining the amount of project rental assistance to be provided to a project under subsection (c)(3) of this section, the Secretary may take into consideration the residual receipts held for the project only if, and to the extent that, excess residual receipts are not used under this paragraph. (7) Occupancy standards and obligations Each owner shall operate housing assisted under this section in compliance with subtitle C of title VI of the Housing and Community Development Act of 1992 ( 42 U.S.C. 13601 et seq. ) and any regulations issued under such subtitle. (8) Use of project reserves (A) In general Amounts for project reserves for a project assisted under this section may be used for costs, subject to reasonable limitations as the Secretary determines appropriate, for reducing the number of dwelling units in the project. (B) Approval of Secretary required Any use described in subparagraph (A) of amounts for project reserves for a project assisted under this section shall be subject to the approval of the Secretary to ensure that such use is designed to retrofit units that are currently obsolete or unmarketable. (9) Repayment of assistance and prevention of undue benefits (A) Repayment If a