Temporary Extension of Public Housing Reform Provisions Act of 1997

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Temporary Extension of Public 
Housing Reform Provisions Act of 1997''.

        TITLE I--PUBLIC HOUSING AND SECTION 8 RENTAL ASSISTANCE

SEC. 101. PUBLIC HOUSING CEILING RENTS AND INCOME ADJUSTMENTS AND 
              PREFERENCES FOR ASSISTED HOUSING.

    Section 402(f) of The Balanced Budget Downpayment Act, I (42 U.S.C. 
1437aa note) is amended by inserting before the period at the end the 
following: ``and the portion of fiscal year 1998 that precedes April 1, 
1998''.

SEC. 102. PUBLIC HOUSING DEMOLITION AND DISPOSITION.

    Section 1002(d) of the Emergency Supplemental Appropriations for 
Additional Disaster Assistance, for Anti-terrorism Initiatives, for 
Assistance in the Recovery from the Tragedy that Occurred at Oklahoma 
City, and Rescissions Act, 1995 (42 U.S.C. 1437c note) is amended by 
striking ``September 30, 1997'' and inserting ``March 31, 1998''.

SEC. 103. PUBLIC HOUSING FUNDING FLEXIBILITY AND MIXED-FINANCE 
              DEVELOPMENTS.

    Section 201(a)(2) of the Departments of Veterans Affairs and 
Housing and Urban Development, and Independent Agencies Appropriations 
Act, 1996 (as contained in section 101(e) of the Omnibus Consolidated 
Rescissions and Appropriations Act of 1996 (Public Law 104-134)) (42 
U.S.C. 1437l note) is amended by striking ``fiscal year 1997'' and 
inserting ``the portion of fiscal year 1998 that precedes April 1, 
1998''.

SEC. 104. MINIMUM RENTS.

  Section 402(a) of The Balanced Budget Downpayment Act, I (Public Law 
104-99; 110 Stat. 40) is amended in the matter preceding paragraph (1) 
by inserting after ``fiscal year 1997'' the following: ``and for the 
portion of fiscal year 1998 that precedes April 1, 1998''.

SEC. 105. PROVISIONS RELATING TO SECTION 8 RENTAL ASSISTANCE PROGRAM.

    (a) Take-One-Take-All, Notice Requirements, and Endless Lease 
Provisions.--Section 203(d) of the Departments of Veterans Affairs and 
Housing and Urban Development, and Independent Agencies Appropriations 
Act, 1996 (as contained in section 101(e) of the Omnibus Consolidated 
Rescissions and Appropriations Act of 1996 (Public Law 104-134)) (42 
U.S.C. 1437f note) is amended by striking ``for fiscal years 1996 and 
1997 only'' and inserting ``only for fiscal year 1996, fiscal year 
1997, and the portion of fiscal year 1998 that precedes April 1, 
1998''.
    (b) Fair Market Rentals.--The first sentence of section 403(a) of 
The Balanced Budget Downpayment Act, I (Public Law 104-99; 110 Stat. 
43) is amended by inserting after ``fiscal year 1997'' the following: 
``and the portion of fiscal year 1998 that precedes April 1, 1998,''.

        TITLE II--FEDERALLY ASSISTED MULTIFAMILY RENTAL HOUSING

SEC. 201. SECTION 8 PROJECT-BASED ASSISTANCE CONTRACT RENEWAL 
              AUTHORITY.

    Section 211 of the Departments of Veterans Affairs and Housing and 
Urban Development, and Independent Agencies Appropriations Act, 1997 
(42 U.S.C. 1437f note) is amended--
            (1) in subsection (a)(1), by inserting ``or 1998'' before 
        the semicolon at the end; and
            (2) in subsection (b)(4)(A), by inserting after ``fiscal 
        year 1997'' each place it appears the following: ``or 1998''.

SEC. 202. MORTGAGE RESTRUCTURING DEMONSTRATION FOR FHA-INSURED 
              MULTIFAMILY HOUSING.

    Section 212 of the Departments of Veterans Affairs and Housing and 
Urban Development, and Independent Agencies Appropriations Act, 1997 
(42 U.S.C. 1437f note) is amended--
            (1) in subsection (a)(1)(B), by striking ``fiscal year 
        1997'' and inserting ``fiscal year 1998'';
            (2) in subsection (a)(3)(B), by inserting ``or 1998'' 
        before the semicolon at the end;
            (3) in subsection (h)(1)(B), by striking ``fiscal year 
        1997'' and inserting ``fiscal years 1997 and 1998''; and
            (4) in subsection (h)(1)(F)(ii), by striking ``fiscal year 
        1997'' and inserting: ``fiscal years 1997 and 1998''.

SEC. 203. MULTIFAMILY HOUSING FINANCE PILOT PROGRAMS.

    Section 542 of the Housing and Community Development Act of 1992 
(12 U.S.C. 1707 note) is amended--
            (1) in subsection (b)(5), by inserting before the period at 
        the end of the first sentence the following: ``, and not more 
        than an additional 15,000 units during fiscal year 1998''; and
            (2) in the first sentence of subsection (c)(4)--
                    (A) by striking ``and'' and inserting a comma; and
                    (B) by inserting before the period at the end the 
                following: ``, and not more than an additional 15,000 
                units during fiscal year 1998''.

SEC. 204. PROPERTY DISPOSITION.

    (a) Enhanced Authority for HUD Disposition of Multifamily 
Housing.--Section 204 of the Departments of Veterans Affairs and 
Housing and Urban Development, and Independent Agencies Appropriations 
Act, 1997 (12 U.S.C. 1715z-11a) is amended by inserting after ``owned 
by the Secretary'' the following: ``, including the provision of grants 
and loans from the General Insurance Fund for the necessary costs of 
rehabilitation or demolition,''.
    (b) Disposition for Affordable Housing Purposes.--The provisions of 
section 714 of the bill, H.R. 2 (105th Congress), as passed by the 
House of Representatives on May 14, 1997, are hereby enacted into law.

SEC. 205. MULTIFAMILY MORTGAGE AUCTIONS.

    Section 221(g)(4)(C) of the National Housing Act (12 U.S.C. 
1715l(g)(4)(C)) is amended--
            (1) in the first sentence of clause (viii), by striking 
        ``September 30, 1996'' and inserting ``December 31, 2005''; and
            (2) by adding at the end the following new clauses:
            ``(ix) Subject to the limitation in clause (x), the costs 
        of any multifamily auctions under this subparagraph occurring 
        during any fiscal year shall be paid from amounts in the 
        General Insurance Fund established under section 519.
            ``(x) This authority of the Secretary to conduct 
        multifamily auctions under this subparagraph shall be effective 
        for any fiscal year only to the extent or in such amounts that 
        amounts in the General Insurance Fund are or have been approved 
        in appropriation Acts for costs of such auctions occurring 
        during such fiscal year.''.

SEC. 206. INTEREST REDUCTION PAYMENTS IN CONNECTION WITH SALES OF 
              SECTION 236 MORTGAGES HELD BY HUD.

    Section 236 of the National Housing Act (12 U.S.C. 1715z-1) is 
amended--
            (1) in the first sentence of subsection (b), by inserting 
        before the colon at the end of the first proviso the following: 
        ``and when the mortgage is assigned or otherwise transferred to 
        a subsequent holder or purchaser (including any successors and 
        assignees)'';
            (2) in subsection (c)--
                    (A) by inserting ``(1)'' after the subsection 
                designation; and
                    (B) by adding at the end the following new 
                paragraphs:
    ``(2) The Secretary may continue to make interest reduction 
payments to the holder or purchaser (including any successors and 
assignees) of a mortgage formerly held by the Secretary upon such terms 
and conditions as the Secretary may determine. In exercising the 
authority under the preceding sentence, upon cancellation of any 
contract for such interest reduction payments as a result of 
foreclosure or transfer of a deed in lieu of foreclosure, any amounts 
of budget authority which would have been available for such contract, 
absent cancellation, shall remain available for the project for the 
balance of the term of the original mortgage upon such terms and 
conditions as the Secretary may determine.
    ``(3) Notwithstanding subsection (i)(2) or any other provision of 
law, in connection with the sale of mortgages held by the Secretary, 
the Secretary may establish appropriate terms and conditions, based on 
section 42 of the Internal Revenue Code of 1986 or another appropriate 
standard, for determining eligibility for occupancy in the project and 
rental charges.''.

SEC. 207. ASSIGNMENT OF REGULATORY AGREEMENTS IN CONNECTION WITH SALES 
              OF MORTGAGES HELD BY HUD.

    Section 203(k) of the Housing and Community Development Amendments 
of 1978 (12 U.S.C. 1701z-11(k)) is amended by adding at the end the 
following new paragraph:
            ``(7) Assignment of regulatory agreement in connection with 
        sale of mortgages.--Notwithstanding any other provision of law, 
        and upon such terms and conditions as the Secretary may 
        prescribe, the Secretary may, in connection with the sale of 
        mortgages held by the Secretary, provide for the assumption of 
        all rights and responsibilities under the regulatory agreement 
        executed by or for the benefit of the Secretary. Such 
        assumption shall further provide for the regulatory agreement 
        to be so assumed by any successor or assignee of the initial 
        assuming entity. Such regulatory agreement shall continue to be 
        binding upon the mortgagor and its successors and assignees.''.

Summary: TABLE OF CONTENTS: Title I: Public Housing and Section 8 Rental Assistance Title II: Federally Assisted Multifamily Rental Housing Temporary Extension of Public Housing Reform Provisions Act of 1997 - Title I: Public Housing and Section 8 Rental Assistance - Amends the Balanced Budget Downpayment Act, I to extend provisions regarding public housing ceiling rents, income adjustments, and Federal preferences for assisted housing. Amends the Emergency Supplemental Appropriations for Additional Disaster Assistance, for Antiterrorism Initiatives, for Assistance in the Recovery from the Tragedy that Occurred at Oklahoma City, and Rescissions Act, 1995 to extend the public housing demolition and disposition one-for-one replacement requirement. Amends the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1996 to extend provisions regarding use of public housing modernization funding for mixed income developments. Amends the Balanced Budget Downpayment Act, I to extend minimum rent provisions. Amends the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1996 to extend certain provisions regarding the section 8 rental assistance program. Amends the Balanced Budget Downpayment Act, I to extend fair market rental provisions. Title II: Federally Assisted Multifamily Rental Housing - Amends the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1997 to extend authority for: (1) section 8 contract renewals. And (2) the multifamily housing mortgage restructuring demonstration. Amends the Housing and Community Development Act of 1992 to increase the number of units and extend the risk-sharing and housing finance agency multifamily housing finance pilot programs. Amends the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1997 to state that the Secretary of Housing and Urban Development's (HUD) authority to manage and dispose of multifamily housing includes the provision of grants and loans from the General Insurance Fund. Amends the National Housing Act to: (1) extend multifamily mortgage auction authority. And (2) authorize the Secretary to continue to make interest reduction payments on transferred mortgage loans under the rental or cooperative housing for lower income families program. Amends the Housing and Community Development Amendments of 1978 to authorize the Secretary to provide for the assumption of all regulatory rights and responsibilities in connection with the sale of a HUD-held mortgage.