PUBLIC LAW 104–330—OCT. 26, 1996

NATIVE AMERICAN HOUSING ASSISTANCE

AND SELF-DETERMINATION ACT OF 1996
110 STAT. 4016 PUBLIC LAW 104–330—OCT. 26, 1996

Public Law 104–330

104th Congress

An Act

To provide Federal assistance for Indian tribes in a manner that recognizes the

right of tribal self-governance, and for other purposes.

Be it enacted by the Senate and House of Representatives of

the United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

(a) SHORT TITLE.—This Act may be cited as the ‘‘Native

American Housing Assistance and Self-Determination Act of 1996’’.

(b) TABLE OF CONTENTS.—The table of contents for this Act

is as follows:

Sec. 1. Short title.

Sec. 2. Congressional findings.

Sec. 3. Administration through Office of Native American Programs.

Sec. 4. Definitions.

TITLE I—BLOCK GRANTS AND GRANT REQUIREMENTS

Sec. 101. Block grants.

Sec. 102. Indian housing plans.

Sec. 103. Review of plans.

Sec. 104. Treatment of program income and labor standards.

Sec. 105. Environmental review.

Sec. 106. Regulations.

Sec. 107. Effective date.

Sec. 108. Authorization of appropriations.

TITLE II—AFFORDABLE HOUSING ACTIVITIES

Sec. 201. National objectives and eligible families.

Sec. 202. Eligible affordable housing activities.

Sec. 203. Program requirements.

Sec. 204. Types of investments.

Sec. 205. Low-income requirement and income targeting.

Sec. 206. Certification of compliance with subsidy layering requirements.

Sec. 207. Lease requirements and tenant selection.

Sec. 208. Availability of records.

Sec. 209. Repayment.

Sec. 210. Continued use of amounts for affordable housing.

TITLE III—ALLOCATION OF GRANT AMOUNTS

Sec. 301. Annual allocation.

Sec. 302. Allocation formula.

TITLE IV—COMPLIANCE, AUDITS, AND REPORTS

Sec. 401. Remedies for noncompliance.

Sec. 402. Replacement of recipient.

Sec. 403. Monitoring of compliance.

Sec. 404. Performance reports.

Sec. 405. Review and audit by Secretary.

Sec. 406. GAO audits.

Sec. 407. Reports to Congress.

TITLE V—TERMINATION OF ASSISTANCE FOR INDIAN TRIBES UNDER

INCORPORATED PROGRAMS

Sec. 501. Repeal of provisions relating to Indian housing assistance under United

States Housing Act of 1937.

25 USC 4101

note.

Native American

Housing

Assistance and

SelfDetermination

Act of 1996.

Oct. 26, 1996

[H.R. 3219]
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4017

Sec. 502. Termination of Indian housing assistance under United States Housing

Act of 1937.

Sec. 503. Termination of new commitments for rental assistance.

Sec. 504. Termination of youthbuild program assistance.

Sec. 505. Termination of HOME program assistance.

Sec. 506. Termination of housing assistance for the homeless.

Sec. 507. Savings provision.

Sec. 508. Effective date.

TITLE VI—FEDERAL GUARANTEES FOR FINANCING FOR TRIBAL HOUSING

ACTIVITIES

Sec. 601. Authority and requirements.

Sec. 602. Security and repayment.

Sec. 603. Payment of interest.

Sec. 604. Training and information.

Sec. 605. Limitations on amount of guarantees.

Sec. 606. Effective date.

TITLE VII—OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

Sec. 701. Loan guarantees for Indian housing.

Sec. 702. 50-year leasehold interest in trust or restricted lands for housing

purposes.

Sec. 703. Training and technical assistance.

Sec. 704. Public and Assisted Housing Drug Elimination Act of 1990.

Sec. 705. Effective date.

SEC. 2. CONGRESSIONAL FINDINGS.

The Congress finds that—

(1) the Federal Government has a responsibility to promote

the general welfare of the Nation—

(A) by using Federal resources to aid families and

individuals seeking affordable homes in safe and healthy

environments and, in particular, assisting responsible,

deserving citizens who cannot provide fully for themselves

because of temporary circumstances or factors beyond their

control;

(B) by working to ensure a thriving national economy

and a strong private housing market; and

(C) by developing effective partnerships among the

Federal Government, State, tribal, and local governments,

and private entities that allow government to accept

responsibility for fostering the development of a healthy

marketplace and allow families to prosper without government involvement in their day-to-day activities;

(2) there exists a unique relationship between the Government of the United States and the governments of Indian

tribes and a unique Federal responsibility to Indian people;

(3) the Constitution of the United States invests the

Congress with plenary power over the field of Indian affairs,

and through treaties, statutes, and historical relations with

Indian tribes, the United States has undertaken a unique trust

responsibility to protect and support Indian tribes and Indian

people;

(4) the Congress, through treaties, statutes, and the general

course of dealing with Indian tribes, has assumed a trust

responsibility for the protection and preservation of Indian

tribes and for working with tribes and their members to

improve their housing conditions and socioeconomic status so

that they are able to take greater responsibility for their own

economic condition;

(5) providing affordable homes in safe and healthy environments is an essential element in the special role of the United

25 USC 4101.
110 STAT. 4018 PUBLIC LAW 104–330—OCT. 26, 1996

States in helping tribes and their members to improve their

housing conditions and socioeconomic status;

(6) the need for affordable homes in safe and healthy

environments on Indian reservations, in Indian communities,

and in Native Alaskan villages is acute and the Federal Government should work not only to provide housing assistance, but

also, to the extent practicable, to assist in the development

of private housing finance mechanisms on Indian lands to

achieve the goals of economic self-sufficiency and self-determination for tribes and their members; and

(7) Federal assistance to meet these responsibilities should

be provided in a manner that recognizes the right of Indian

self-determination and tribal self-governance by making such

assistance available directly to the Indian tribes or tribally

designated entities under authorities similar to those accorded

Indian tribes in Public Law 93–638 (25 U.S.C. 450 et seq.).

SEC. 3. ADMINISTRATION THROUGH OFFICE OF NATIVE AMERICAN

PROGRAMS.

The Secretary of Housing and Urban Development shall carry

out this Act through the Office of Native American Programs of

the Department of Housing and Urban Development.

SEC. 4. DEFINITIONS.

For purposes of this Act, the following definitions shall apply:

(1) ADJUSTED INCOME.—The term ‘‘adjusted income’’ means

the annual income that remains after excluding the following

amounts:

(A) YOUTHS, STUDENTS, AND PERSONS WITH DIS- ABILITIES.—$480 for each member of the family residing

in the household (other than the head of the household

or the spouse of the head of the household)—

(i) who is under 18 years of age; or

(ii) who is—

(I) 18 years of age or older; and

(II) a person with disabilities or a full-time

student.

(B) ELDERLY AND DISABLED FAMILIES.—$400 for an

elderly or disabled family.

(C) MEDICAL AND ATTENDANT EXPENSES.—The amount

by which 3 percent of the annual income of the family

is exceeded by the aggregate of—

(i) medical expenses, in the case of an elderly

or disabled family; and

(ii) reasonable attendant care and auxiliary

apparatus expenses for each family member who is

a person with disabilities, to the extent necessary to

enable any member of the family (including a member

who is a person with disabilities) to be employed.

(D) CHILD CARE EXPENSES.—Child care expenses, to

the extent necessary to enable another member of the

family to be employed or to further his or her education.

(E) EARNED INCOME OF MINORS.—The amount of any

earned income of any member of the family who is less

than 18 years of age.

(F) TRAVEL EXPENSES.—Excessive travel expenses, not

to exceed $25 per family per week, for employment- or

education-related travel.

25 USC 4103.

25 USC 4102.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4019

(G) OTHER AMOUNTS.—Such other amounts as may

be provided in the Indian housing plan for an Indian tribe.

(2) AFFORDABLE HOUSING.—The term ‘‘affordable housing’’

means housing that complies with the requirements for

affordable housing under title II. The term includes permanent

housing for homeless persons who are persons with disabilities,

transitional housing, and single room occupancy housing.

(3) DRUG-RELATED CRIMINAL ACTIVITY.—The term ‘‘drugrelated criminal activity’’ means the illegal manufacture, sale,

distribution, use, or possession with intent to manufacture,

sell, distribute, or use, of a controlled substance (as such term

is defined in section 102 of the Controlled Substances Act).

(4) ELDERLY FAMILIES AND NEAR-ELDERLY FAMILIES.—The

terms ‘‘elderly family’’ and ‘‘near-elderly family’’ mean a family

whose head (or his or her spouse), or whose sole member,

is an elderly person or a near-elderly person, respectively. Such

terms include 2 or more elderly persons or near-elderly persons

living together, and 1 or more such persons living with 1

or more persons determined under the Indian housing plan

for the agency to be essential to their care or well-being.

(5) ELDERLY PERSON.—The term ‘‘elderly person’’ means

a person who is at least 62 years of age.

(6) FAMILY.—The term ‘‘family’’ includes a family with or

without children, an elderly family, a near-elderly family, a

disabled family, and a single person.

(7) GRANT BENEFICIARY.—The term ‘‘grant beneficiary’’

means the Indian tribe or tribes on behalf of which a grant

is made under this Act to a recipient.

(8) INCOME.—The term ‘‘income’’ means income from all

sources of each member of the household, as determined in

accordance with criteria prescribed by the Secretary, except

that the following amounts may not be considered as income

under this paragraph:

(A) Any amounts not actually received by the family.

(B) Any amounts that would be eligible for exclusion

under section 1613(a)(7) of the Social Security Act.

(9) INDIAN.—The term ‘‘Indian’’ means any person who

is a member of an Indian tribe.

(10) INDIAN AREA.—The term ‘‘Indian area’’ means the area

within which a tribally designated housing entity is authorized

by one or more Indian tribes to provide assistance under this

Act for affordable housing.

(11) INDIAN HOUSING PLAN.—The term ‘‘Indian housing

plan’’ means a plan under section 102.

(12) INDIAN TRIBE.—

(A) IN GENERAL.—The term ‘‘Indian tribe’’ means a

tribe that is a federally recognized tribe or a State recognized tribe.

(B) FEDERALLY RECOGNIZED TRIBE.—The term ‘‘federally recognized tribe’’ means any Indian tribe, band, nation,

or other organized group or community of Indians,

including any Alaska Native village or regional or village

corporation as defined in or established pursuant to the

Alaska Native Claims Settlement Act, that is recognized

as eligible for the special programs and services provided

by the United States to Indians because of their status
110 STAT. 4020 PUBLIC LAW 104–330—OCT. 26, 1996

as Indians pursuant to the Indian Self-Determination and

Education Assistance Act of 1975.

(C) STATE RECOGNIZED TRIBE.—

(i) IN GENERAL.—The term ‘‘State recognized tribe’’

means any tribe, band, nation, pueblo, village, or

community—

(I) that has been recognized as an Indian tribe

by any State; and

(II) for which an Indian Housing Authority

has, before the effective date under section 107,

entered into a contract with the Secretary pursuant to the United States Housing Act of 1937

for housing for Indian families and has received

funding pursuant to such contract within the 5-

year period ending upon such effective date.

(ii) CONDITIONS.—Notwithstanding clause (i)—

(I) the allocation formula under section 302

shall be determined for a State recognized tribe

under tribal membership eligibility criteria in

existence on the date of the enactment of this

Act; and

(II) nothing in this paragraph shall be construed to confer upon a State recognized tribe any

rights, privileges, responsibilities, or obligations

otherwise accorded groups recognized as Indian

tribes by the United States for other purposes.

(13) LOW-INCOME FAMILY.—The term ‘‘low-income family’’

means a family whose income does not exceed 80 percent of

the median income for the area, as determined by the Secretary

with adjustments for smaller and larger families, except that

the Secretary may, for purposes of this paragraph, establish

income ceilings higher or lower than 80 percent of the median

for the area on the basis of the findings of the Secretary

or the agency that such variations are necessary because of

prevailing levels of construction costs or unusually high or

low family incomes.

(14) MEDIAN INCOME.—The term ‘‘median income’’ means,

with respect to an area that is an Indian area, the greater

of—

(A) the median income for the Indian area, which

the Secretary shall determine; or

(B) the median income for the United States.

(15) NEAR-ELDERLY PERSON.—The term ‘‘near-elderly person’’ means a person who is at least 55 years of age and

less than 62 years of age.

(16) NONPROFIT.—The term ‘‘nonprofit’’ means, with respect

to an organization, association, corporation, or other entity,

that no part of the net earnings of the entity inures to the

benefit of any member, founder, contributor, or individual.

(17) PERSON WITH DISABILITIES.—The term ‘‘person with

disabilities’’ means a person who—

(A) has a disability as defined in section 223 of the

Social Security Act;

(B) is determined, pursuant to regulations issued by

the Secretary, to have a physical, mental, or emotional

impairment which—
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4021

(i) is expected to be of long-continued and indefinite

duration;

(ii) substantially impedes his or her ability to live

independently; and

(iii) is of such a nature that such ability could

be improved by more suitable housing conditions; or

(C) has a developmental disability as defined in section

102 of the Developmental Disabilities Assistance and Bill

of Rights Act.

Such term shall not exclude persons who have the disease

of acquired immunodeficiency syndrome or any conditions

arising from the etiologic agent for acquired immunodeficiency

syndrome. Notwithstanding any other provision of law, no

individual shall be considered a person with disabilities, for

purposes of eligibility for housing assisted under this Act, solely

on the basis of any drug or alcohol dependence. The Secretary

shall consult with other appropriate Federal agencies to implement the preceding sentence.

(18) RECIPIENT.—The term ‘‘recipient’’ means an Indian

tribe or the entity for one or more Indian tribes that is authorized to receive grant amounts under this Act on behalf of

the tribe or tribes.

(19) SECRETARY.—Except as otherwise specifically provided

in this Act, the term ‘‘Secretary’’ means the Secretary of Housing and Urban Development.

(20) STATE.—The term ‘‘State’’ means the States of the

United States, the District of Columbia, the Commonwealth

of Puerto Rico, the Commonwealth of the Northern Mariana

Islands, Guam, the Virgin Islands, American Samoa, and any

other territory or possession of the United States and Indian

tribes.

(21) TRIBALLY DESIGNATED HOUSING ENTITY.—The terms

‘‘tribally designated housing entity’’ and ‘‘housing entity’’ have

the following meaning:

(A) EXISTING IHA’S.—With respect to any Indian tribe

that has not taken action under subparagraph (B), and

for which an Indian housing authority—

(i) was established for purposes of the United

States Housing Act of 1937 before the date of the

enactment of this Act that meets the requirements

under the United States Housing Act of 1937,

(ii) is acting upon such date of enactment as the

Indian housing authority for the tribe, and

(iii) is not an Indian tribe for purposes of this

Act,

the terms mean such Indian housing authority.

(B) OTHER ENTITIES.—With respect to any Indian tribe

that, pursuant to this Act, authorizes an entity other than

the tribal government to receive grant amounts and provide

assistance under this Act for affordable housing for Indians,

which entity is established—

(i) by exercise of the power of self-government

of one or more Indian tribes independent of State

law, or

(ii) by operation of State law providing specifically

for housing authorities or housing entities for Indians,
110 STAT. 4022 PUBLIC LAW 104–330—OCT. 26, 1996

including regional housing authorities in the State of

Alaska,

the terms mean such entity.

(C) ESTABLISHMENT.—A tribally designated housing

entity may be authorized or established by one or more

Indian tribes to act on behalf of each such tribe authorizing

or establishing the housing entity.

TITLE I—BLOCK GRANTS AND GRANT

REQUIREMENTS

SEC. 101. BLOCK GRANTS.

(a) AUTHORITY.—For each fiscal year, the Secretary shall (to

the extent amounts are made available to carry out this Act) make

grants under this section on behalf of Indian tribes to carry out

affordable housing activities. Under such a grant on behalf of an

Indian tribe, the Secretary shall provide the grant amounts for

the tribe directly to the recipient for the tribe.

(b) PLAN REQUIREMENT.—

(1) IN GENERAL.—The Secretary may make a grant under

this Act on behalf of an Indian tribe for a fiscal year

only if—

(A) the Indian tribe has submitted to the Secretary

an Indian housing plan for such fiscal year under section

102; and

(B) the plan has been determined under section 103

to comply with the requirements of section 102.

(2) WAIVER.—The Secretary may waive the applicability

of the requirements under paragraph (1), in whole or in part,

if the Secretary finds that an Indian tribe has not complied

or cannot comply with such requirements due to circumstances

beyond the control of the tribe.

(c) LOCAL COOPERATION AGREEMENT.—The Secretary may not

make any grant under this Act on behalf of an Indian tribe unless

the governing body of the locality within which any affordable

housing to be assisted with the grant amounts will be situated

has entered into an agreement with the recipient for the tribe

providing for local cooperation required by the Secretary pursuant

to this Act.

(d) EXEMPTION FROM TAXATION.—A grant recipient for an

Indian tribe may receive a block grant under this Act only if—

(1) the affordable housing assisted with grant amounts

received by the recipient (exclusive of any portions not assisted

with amounts provided under this Act) is exempt from all

real and personal property taxes levied or imposed by any

State, tribe, city, county, or other political subdivision; and

(2) the recipient makes annual payments of user fees to

compensate such governments for the costs of providing governmental services, including police and fire protection, roads,

water and sewerage systems, utilities systems and related

facilities, or payments in lieu of taxes to such taxing authority,

in an amount equal to the greater of $150 per dwelling unit

or 10 percent of the difference between the shelter rent and

the utility cost, or such lesser amount as—

(A) is prescribed by State, tribal, or local law;

25 USC 4111.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4023

(B) is agreed to by the local governing body in the

agreement under subsection (c); or

(C) the recipient and the local governing body agree

that such user fees or payments in lieu of taxes shall

not be made.

(e) EFFECT OF FAILURE TO EXEMPT FROM TAXATION.—Notwithstanding subsection (d), a grant recipient that does not comply

with the requirements under such subsection may receive a block

grant under this Act, but only if the tribe, State, city, county,

or other political subdivision in which the affordable housing development is located contributes, in the form of cash or tax remission,

the amount by which the taxes paid with respect to the development

exceed the amounts prescribed in subsection (d)(2).

(f) AMOUNT.—Except as otherwise provided under this Act,

the amount of a grant under this section to a recipient for a

fiscal year shall be—

(1) in the case of a recipient whose grant beneficiary is

a single Indian tribe, the amount of the allocation under section

301 for the Indian tribe; and

(2) in the case of a recipient whose grant beneficiary is

more than 1 Indian tribe, the sum of the amounts of the

allocations under section 301 for each such Indian tribe.

(g) USE FOR AFFORDABLE HOUSING ACTIVITIES UNDER PLAN.—

Except as provided in subsection (h), amounts provided under a

grant under this section may be used only for affordable housing

activities under title II that are consistent with an Indian housing

plan approved under section 103.

(h) ADMINISTRATIVE EXPENSES.—The Secretary shall, by regulation, authorize each recipient to use a percentage of any grant

amounts received under this Act for any reasonable administrative

and planning expenses of the recipient relating to carrying out

this Act and activities assisted with such amounts, which may

include costs for salaries of individuals engaged in administering

and managing affordable housing activities assisted with grant

amounts provided under this Act and expenses of preparing an

Indian housing plan under section 102.

(i) PUBLIC-PRIVATE PARTNERSHIPS.—Each recipient shall make

all reasonable efforts, consistent with the purposes of this Act,

to maximize participation by the private sector, including nonprofit

organizations and for-profit entities, in implementing the approved

Indian housing plan.

SEC. 102. INDIAN HOUSING PLANS.

(a) PLAN SUBMISSION.—The Secretary shall provide—

(1) for an Indian tribe to submit to the Secretary, for

each fiscal year, a housing plan under this section for the

tribe;

(2) for the tribally designated housing entity for the tribe

to submit the plan as provided in subsection (d) for the tribe;

and

(3) for the review of such plans.

(b) 5-YEAR PLAN.—Each housing plan under this section shall

be in a form prescribed by the Secretary and shall contain, with

respect to the 5-year period beginning with the fiscal year for

which the plan is submitted, the following information:

(1) MISSION STATEMENT.—A general statement of the

mission of the Indian tribe to serve the needs of the low25 USC 4112.

Regulations.
110 STAT. 4024 PUBLIC LAW 104–330—OCT. 26, 1996

income families in the jurisdiction of the Indian tribe during

the period.

(2) GOALS AND OBJECTIVES.—A statement of the goals and

objectives of the Indian tribe to enable the tribe to serve the

needs identified in paragraph (1) during the period.

(3) ACTIVITIES PLAN.—An overview of the activities planned

during the period including an analysis of the manner in which

the activities will enable the tribe to meet its mission, goals,

and objectives.

(c) 1-YEAR PLAN.—A housing plan under this section for an

Indian tribe shall be in a form prescribed by the Secretary and

contain the following information relating to the upcoming fiscal

year for which the assistance under this Act is to be made available:

(1) GOALS AND OBJECTIVES.—A statement of the goals and

objectives to be accomplished during that period.

(2) STATEMENT OF NEEDS.—A statement of the housing

needs of the low-income Indian families residing in the jurisdiction of the Indian tribe and the means by which such needs

will be addressed during the period, including—

(A) a description of the estimated housing needs and

the need for assistance for the low-income Indian

families in the jurisdiction, including a description of the

manner in which the geographical distribution of assistance

is consistent with the geographical needs and needs for

various categories of housing assistance; and

(B) a description of the estimated housing needs for

all Indian families in the jurisdiction.

(3) FINANCIAL RESOURCES.—An operating budget for the

recipient, in a form prescribed by the Secretary, that includes—

(A) an identification and a description of the financial

resources reasonably available to the recipient to carry

out the purposes of this Act, including an explanation

of the manner in which amounts made available will leverage additional resources; and

(B) the uses to which such resources will be committed,

including eligible and required affordable housing activities

under title II and administrative expenses.

(4) AFFORDABLE HOUSING RESOURCES.—A statement of the

affordable housing resources currently available and to be made

available during the period, including—

(A) a description of the significant characteristics of

the housing market in the jurisdiction, including the availability of housing from other public sources, private market

housing, and the manner in which such characteristics

influence the decision of the recipient to use grant amounts

to be provided under this Act for rental assistance,

production of new units, acquisition of existing units, or

rehabilitation of units;

(B) a description of the structure, coordination, and

means of cooperation between the recipient and any other

governmental entities in the development, submission, or

implementation of housing plans, including a description

of the involvement of private, public, and nonprofit

organizations and institutions, and the use of loan

guarantees under section 184 of the Housing and Community Development Act of 1992, and other housing assistance
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4025

provided by the Federal Government for Indian tribes,

including loans, grants, and mortgage insurance;

(C) a description of the manner in which the plan

will address the needs identified pursuant to paragraph

(2);

(D) a description of the manner in which the recipient

will protect and maintain the viability of housing owned

and operated by the recipient that was developed under

a contract between the Secretary and an Indian housing

authority pursuant to the United States Housing Act of

1937;

(E) a description of any existing and anticipated

homeownership programs and rental programs to be carried

out during the period, and the requirements and assistance

available under such programs;

(F) a description of any existing and anticipated

housing rehabilitation programs necessary to ensure the

long-term viability of the housing to be carried out during

the period, and the requirements and assistance available

under such programs;

(G) a description of all other existing or anticipated

housing assistance provided by the recipient during the

period, including transitional housing, homeless housing,

college housing, supportive services housing, and the

requirements and assistance available under such programs;

(H) a description of any housing to be demolished

or disposed of, a timetable for such demolition or disposition, and any other information required by the Secretary

with respect to such demolition or disposition;

(I) a description of the manner in which the recipient

will coordinate with tribal and State welfare agencies to

ensure that residents of such housing will be provided

with access to resources to assist in obtaining employment

and achieving self-sufficiency;

(J) a description of the requirements established by

the recipient to promote the safety of residents of such

housing, facilitate the undertaking of crime prevention

measures, allow resident input and involvement, including

the establishment of resident organizations, and allow for

the coordination of crime prevention activities between the

recipient and tribal and local law enforcement officials;

and

(K) a description of the entity that will carry out the

activities under the plan, including the organizational

capacity and key personnel of the entity.

(5) CERTIFICATION OF COMPLIANCE.—Evidence of compliance which shall include, as appropriate—

(A) a certification that the recipient will comply with

title II of the Civil Rights Act of 1968 in carrying out

this Act, to the extent that such title is applicable, and

other applicable Federal statutes;

(B) a certification that the recipient will maintain adequate insurance coverage for housing units that are owned

and operated or assisted with grant amounts provided

under this Act, in compliance with such requirements as

may be established by the Secretary;
110 STAT. 4026 PUBLIC LAW 104–330—OCT. 26, 1996

(C) a certification that policies are in effect and are

available for review by the Secretary and the public governing the eligibility, admission, and occupancy of families

for housing assisted with grant amounts provided under

this Act;

(D) a certification that policies are in effect and are

available for review by the Secretary and the public governing rents charged, including the methods by which such

rents or homebuyer payments are determined, for housing

assisted with grant amounts provided under this Act; and

(E) a certification that policies are in effect and are

available for review by the Secretary and the public governing the management and maintenance of housing assisted

with grant amounts provided under this Act.

(d) PARTICIPATION OF TRIBALLY DESIGNATED HOUSING

ENTITY.—A plan under this section for an Indian tribe may be

prepared and submitted on behalf of the tribe by the tribally designated housing entity for the tribe, but only if such plan contains

a certification by the recognized tribal government of the grant

beneficiary that such tribe—

(1) has had an opportunity to review the plan and has

authorized the submission of the plan by the housing entity;

or

(2) has delegated to such tribally designated housing entity

the authority to submit a plan on behalf of the tribe without

prior review by the tribe.

(e) COORDINATION OF PLANS.—A plan under this section may

cover more than 1 Indian tribe, but only if the certification requirements under subsection (d) are complied with by each such grant

beneficiary covered.

(f) PLANS FOR SMALL TRIBES.—

(1) SEPARATE REQUIREMENTS.—The Secretary may—

(A) establish requirements for submission of plans

under this section and the information to be included in

such plans applicable to small Indian tribes and small

tribally designated housing entities; and

(B) waive any requirements under this section that

the Secretary determines are burdensome or unnecessary

for such tribes and housing entities.

(2) SMALL TRIBES.—The Secretary may define small Indian

tribes and small tribally designated housing entities based on

the number of dwelling units assisted under this title by the

tribe or housing entity or owned or operated pursuant to a

contract under the United States Housing Act of 1937 between

the Secretary and the Indian housing authority for the tribe.

(g) REGULATIONS.—The requirements relating to the contents

of plans under this section shall be established by regulation, pursuant to section 106.

SEC. 103. REVIEW OF PLANS.

(a) REVIEW AND NOTICE.—

(1) REVIEW.—The Secretary shall conduct a limited review

of each Indian housing plan submitted to the Secretary to

ensure that the plan complies with the requirements of section

102. The Secretary shall have the discretion to review a plan

only to the extent that the Secretary considers review is

necessary.

25 USC 4113.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4027

(2) NOTICE.—The Secretary shall notify each Indian tribe

for which a plan is submitted and any tribally designated

housing entity for the tribe whether the plan complies with

such requirements not later than 60 days after receiving the

plan. If the Secretary does not notify the Indian tribe, as

required under this subsection and subsection (b), the plan

shall be considered, for purposes of this Act, to have been

determined to comply with the requirements under section

102 and the tribe shall be considered to have been notified

of compliance upon the expiration of such 60-day period.

(b) NOTICE OF REASONS FOR DETERMINATION OF NONCOMPLIANCE.—If the Secretary determines that a plan, as submitted, does

not comply with the requirements under section 102, the Secretary

shall specify in the notice under subsection (a) the reasons for

the noncompliance and any modifications necessary for the plan

to meet the requirements under section 102.

(c) REVIEW.—After submission of the Indian housing plan or

any amendment or modification to the plan to the Secretary, to

the extent that the Secretary considers such action to be necessary

to make determinations under this subsection, the Secretary shall

review the plan (including any amendments or modifications thereto) to determine whether the contents of the plan—

(1) set forth the information required by section 102 to

be contained in an Indian housing plan;

(2) are consistent with information and data available to

the Secretary; and

(3) are prohibited by or inconsistent with any provision

of this Act or other applicable law.

If the Secretary determines that any of the appropriate certifications

required under section 102(c)(5) are not included in the plan, the

plan shall be deemed to be incomplete.

(d) UPDATES TO PLAN.—After a plan under section 102 has

been submitted for an Indian tribe for any fiscal year, the tribe

may comply with the provisions of such section for any succeeding

fiscal year (with respect to information included for the 5-year

period under section 102(b) or the 1-year period under section

102(c)) by submitting only such information regarding such changes

as may be necessary to update the plan previously submitted.

Not less than once every 5 years, the tribe shall submit a complete

plan.

(e) EFFECTIVE DATE.—This section and section 102 shall take

effect on the date provided by the Secretary pursuant to section

106(a) to provide for timely submission and review of Indian housing

plans as necessary for the provision of assistance under this Act

in fiscal year 1998.

SEC. 104. TREATMENT OF PROGRAM INCOME AND LABOR STANDARDS.

(a) PROGRAM INCOME.—

(1) AUTHORITY TO RETAIN.—A recipient may retain any

program income that is realized from any grant amounts under

this Act if—

(A) such income was realized after the initial disbursement of the grant amounts received by the recipient; and

(B) the recipient has agreed that it will utilize the

program income for affordable housing activities in accordance with the provisions of this Act.

25 USC 4114.
110 STAT. 4028 PUBLIC LAW 104–330—OCT. 26, 1996

(2) PROHIBITION OF REDUCTION OF GRANT.—The Secretary

may not reduce the grant amount for any Indian tribe based

solely on—

(A) whether the recipient for the tribe retains program

income under paragraph (1);

(B) the amount of any such program income

retained; or

(C) whether the recipient retains reserve amounts

described in section 210.

(3) EXCLUSION OF AMOUNTS.—The Secretary may, by

regulation, exclude from consideration as program income any

amounts determined to be so small that compliance with the

requirements of this subsection would create an unreasonable

administrative burden on the recipient.

(b) LABOR STANDARDS.—

(1) IN GENERAL.—Any contract or agreement for assistance,

sale, or lease pursuant to this Act shall contain a provision

requiring that not less than the wages prevailing in the locality,

as determined or adopted (subsequent to a determination under

applicable State, tribal, or local law) by the Secretary, shall

be paid to all architects, technical engineers, draftsmen, and

technicians employed in the development, and all maintenance

laborers and mechanics employed in the operation, of the affordable housing project involved; and shall also contain a provision

that not less than the wages prevailing in the locality, as

predetermined by the Secretary of Labor pursuant to the DavisBacon Act (40 U.S.C. 276a–276a–5), shall be paid to all laborers

and mechanics employed in the development of the affordable

housing involved, and the Secretary shall require certification

as to compliance with the provisions of this paragraph before

making any payment under such contract or agreement.

(2) EXCEPTIONS.—Paragraph (1) and the provisions relating

to wages (pursuant to paragraph (1)) in any contract or agreement for assistance, sale, or lease pursuant to this Act, shall

not apply to any individual who receives no compensation or

is paid expenses, reasonable benefits, or a nominal fee to

perform the services for which the individual volunteered and

who is not otherwise employed at any time in the construction

work.

SEC. 105. ENVIRONMENTAL REVIEW.

(a) IN GENERAL.—

(1) RELEASE OF FUNDS.—In order to ensure that the policies

of the National Environmental Policy Act of 1969 and other

provisions of law that further the purposes of such Act (as

specified in regulations issued by the Secretary) are most effectively implemented in connection with the expenditure of grant

amounts provided under this Act, and to ensure to the public

undiminished protection of the environment, the Secretary, in

lieu of the environmental protection procedures otherwise

applicable, may by regulation provide for the release of amounts

for particular projects to tribes which assume all of the responsibilities for environmental review, decisionmaking, and action

pursuant to such Act, and such other provisions of law as

the regulations of the Secretary specify, that would apply to

the Secretary were the Secretary to undertake such projects

as Federal projects.

25 USC 4115.

Contracts.

Certification.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4029

(2) REGULATIONS.— (A) IN GENERAL.—The Secretary shall issue regulations

to carry out this section only after consultation with the

Council on Environmental Quality.

(B) CONTENTS.—The regulations issued under this

paragraph shall—

(i) provide for the monitoring of the environmental

reviews performed under this section;

(ii) in the discretion of the Secretary, facilitate

training for the performance of such reviews; and

(iii) provide for the suspension or termination of

the assumption of responsibilities under this section.

(3) EFFECT ON ASSUMED RESPONSIBILITY.—The duty of the

Secretary under paragraph (2)(B) shall not be construed to

limit or reduce any responsibility assumed by a recipient of

grant amounts with respect to any particular release of funds.

(b) PROCEDURE.—The Secretary shall approve the release of

funds subject to the procedures authorized by this section only

if, not less than 15 days prior to such approval and prior to any

commitment of funds to such projects, the tribe has submitted

to the Secretary a request for such release accompanied by a certification that meets the requirements of subsection (c). The approval

of the Secretary of any such certification shall be deemed to satisfy

the responsibilities of the Secretary under the National Environmental Policy Act of 1969 and such other provisions of law as

the regulations of the Secretary specify insofar as those responsibilities relate to the releases of funds for projects to be carried out

pursuant thereto that are covered by such certification.

(c) CERTIFICATION.—A certification under the procedures

authorized by this section shall—

(1) be in a form acceptable to the Secretary;

(2) be executed by the chief executive officer or other officer

of the tribe under this Act qualified under regulations of the

Secretary;

(3) specify that the tribe has fully carried out its responsibilities as described under subsection (a); and

(4) specify that the certifying officer—

(A) consents to assume the status of a responsible

Federal official under the National Environmental Policy

Act of 1969 and each provision of law specified in regulations issued by the Secretary insofar as the provisions

of such Act or such other provisions of law apply pursuant

to subsection (a); and

(B) is authorized and consents on behalf of the tribe

and such officer to accept the jurisdiction of the Federal

courts for the purpose of enforcement of the responsibilities

of the certifying officer as such an official.

SEC. 106. REGULATIONS.

(a) TRANSITION REQUIREMENTS.—

(1) IN GENERAL.—Not later than 90 days after the date

of the enactment of this Act, the Secretary shall, by notice

issued in the Federal Register, establish any requirements

necessary to provide for the transition (upon the effectiveness

of this Act and the amendments made by this Act) from the

provision of assistance for Indian tribes and Indian housing

authorities under the United States Housing Act of 1937 and

Federal Register,

publication.

25 USC 4116.
110 STAT. 4030 PUBLIC LAW 104–330—OCT. 26, 1996

other related provisions of law to the provision of assistance

in accordance with this Act and the amendments made by

this Act.

(2) PUBLIC COMMENTS; GENERAL NOTICE OF PROPOSED

RULEMAKING.—The notice issued under paragraph (1) shall—

(A) invite public comments regarding such transition

requirements and final regulations to carry out this Act;

and

(B) include a general notice of proposed rulemaking

(for purposes of section 564(a) of title 5, United States

Code) of the final regulations under subsection (b).

(b) FINAL REGULATIONS.—

(1) TIMING.—The Secretary shall issue final regulations

necessary to carry out this Act not later than September 1,

1997, and such regulations shall take effect not later than

the effective date of this Act.

(2) NEGOTIATED RULEMAKING PROCEDURE.—

(A) IN GENERAL.—Notwithstanding sections 563(a) and

565(a) of title 5, United States Code, all regulations

required under this Act shall be issued according to a

negotiated rulemaking procedure under subchapter III of

chapter 5 of title 5, United States Code.

(B) COMMITTEE.—

(i) IN GENERAL.—The Secretary shall establish a

negotiated rulemaking committee, in accordance with

the procedures under that subchapter, for the development of proposed regulations under subparagraph (A).

(ii) ADAPTATION.—In establishing the negotiated

rulemaking committee, the Secretary shall—

(I) adapt the procedures under the subchapter

described in clause (i) to the unique governmentto-government relationship between the Indian

tribes and the United States, and shall ensure

that the membership of the committee include only

representatives of the Federal Government and

of geographically diverse small, medium, and large

Indian tribes; and

(II) shall not preclude the participation of

tribally designated housing entities should tribes

elect to be represented by such entities.

(c) EFFECTIVE DATE.—This section shall take effect on the date

of the enactment of this Act.

SEC. 107. EFFECTIVE DATE.

Except as otherwise expressly provided in this Act, this Act

and the amendments made by this Act shall take effect on October

1, 1997.

SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated for grants under this

title such sums as may be necessary for each of fiscal years 1998,

1999, 2000, and 2001. This section shall take effect on the date

of the enactment of this Act.

Effective date.

25 USC 4117.

25 USC 4101

note.

Effective date.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4031

TITLE II—AFFORDABLE HOUSING

ACTIVITIES

SEC. 201. NATIONAL OBJECTIVES AND ELIGIBLE FAMILIES.

(a) PRIMARY OBJECTIVE.—The national objectives of this Act

are—

(1) to assist and promote affordable housing activities to

develop, maintain, and operate affordable housing in safe and

healthy environments on Indian reservations and in other

Indian areas for occupancy by low-income Indian families;

(2) to ensure better access to private mortgage markets

for Indian tribes and their members and to promote selfsufficiency of Indian tribes and their members;

(3) to coordinate activities to provide housing for Indian

tribes and their members with Federal, State, and local activities to further economic and community development for Indian

tribes and their members;

(4) to plan for and integrate infrastructure resources for

Indian tribes with housing development for tribes; and

(5) to promote the development of private capital markets

in Indian country and to allow such markets to operate and

grow, thereby benefiting Indian communities.

(b) ELIGIBLE FAMILIES.— (1) IN GENERAL.—Except as provided under paragraph (2),

assistance under eligible housing activities under this Act shall

be limited to low-income Indian families on Indian reservations

and other Indian areas.

(2) EXCEPTION TO LOW-INCOME REQUIREMENT.—A recipient

may provide assistance for homeownership activities under

section 202(2), model activities under section 202(6), or loan

guarantee activities under title VI to Indian families who are

not low-income families, to the extent that the Secretary

approves the activities pursuant to such section or title because

there is a need for housing for such families that cannot reasonably be met without such assistance. The Secretary shall

establish limits on the amount of assistance that may be provided under this Act for activities for families who are not

low-income families.

(3) NON-INDIAN FAMILIES.—Notwithstanding paragraph (1),

a recipient may provide housing or housing assistance provided

through affordable housing activities assisted with grant

amounts under this Act for a non-Indian family on an Indian

reservation or other Indian area if the recipient determines

that the presence of the family on the Indian reservation or

other Indian area is essential to the well-being of Indian families and the need for housing for the family cannot reasonably

be met without such assistance.

(4) PREFERENCE FOR TRIBAL MEMBERS AND OTHER INDIAN

FAMILIES.—The Indian housing plan for an Indian tribe may

require preference, for housing or housing assistance provided

through affordable housing activities assisted with grant

amounts provided under this Act on behalf of such tribe, to

be given (to the extent practicable) to Indian families who

are members of such tribe, or to other Indian families. In

any case in which the applicable Indian housing plan for an

Indian tribe provides for preference under this paragraph, the

25 USC 4131.
110 STAT. 4032 PUBLIC LAW 104–330—OCT. 26, 1996

recipient for the tribe shall ensure that housing activities that

are assisted with grant amounts under this Act for such tribe

are subject to such preference.

(5) EXEMPTION.—Title VI of the Civil Rights Act of 1964

and title VIII of the Civil Rights Act of 1968 shall not apply

to actions by Indian tribes under this subsection.

SEC. 202. ELIGIBLE AFFORDABLE HOUSING ACTIVITIES.

Affordable housing activities under this title are activities, in

accordance with the requirements of this title, to develop or to

support affordable housing for rental or homeownership, or

to provide housing services with respect to affordable housing,

through the following activities:

(1) INDIAN HOUSING ASSISTANCE.—The provision of

modernization or operating assistance for housing previously

developed or operated pursuant to a contract between the Secretary and an Indian housing authority.

(2) DEVELOPMENT.—The acquisition, new construction,

reconstruction, or moderate or substantial rehabilitation of

affordable housing, which may include real property acquisition,

site improvement, development of utilities and utility services,

conversion, demolition, financing, administration and planning,

and other related activities.

(3) HOUSING SERVICES.—The provision of housing-related

services for affordable housing, such as housing counseling

in connection with rental or homeownership assistance,

establishment and support of resident organizations and resident management corporations, energy auditing, activities

related to the provision of self-sufficiency and other services,

and other services related to assisting owners, tenants, contractors, and other entities, participating or seeking to participate

in other housing activities assisted pursuant to this section.

(4) HOUSING MANAGEMENT SERVICES.—The provision of

management services for affordable housing, including preparation of work specifications, loan processing, inspections, tenant

selection, management of tenant-based rental assistance, and

management of affordable housing projects.

(5) CRIME PREVENTION AND SAFETY ACTIVITIES.—The provision of safety, security, and law enforcement measures and

activities appropriate to protect residents of affordable housing

from crime.

(6) MODEL ACTIVITIES.—Housing activities under model

programs that are designed to carry out the purposes of this

Act and are specifically approved by the Secretary as appropriate for such purpose.

SEC. 203. PROGRAM REQUIREMENTS.

(a) RENTS.—

(1) ESTABLISHMENT.—Subject to paragraph (2), each

recipient shall develop written policies governing rents and

homebuyer payments charged for dwelling units assisted under

this Act, including the methods by which such rents and homebuyer payments are determined.

(2) MAXIMUM RENT.—In the case of any low-income family

residing in a dwelling unit assisted with grant amounts under

this Act, the monthly rent or homebuyer payment (as

25 USC 4133.

25 USC 4132.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4033

applicable) for such dwelling unit may not exceed 30 percent

of the monthly adjusted income of such family.

(b) MAINTENANCE AND EFFICIENT OPERATION.—Each recipient

who owns or operates (or is responsible for funding any entity

that owns or operates) housing developed or operated pursuant

to a contract between the Secretary and an Indian housing authority

pursuant to the United States Housing Act of 1937 shall, using

amounts of any grants received under this Act, reserve and use

for operating assistance under section 202(1) such amounts as may

be necessary to provide for the continued maintenance and efficient

operation of such housing. This subsection may not be construed

to prevent any recipient (or entity funded by a recipient) from

demolishing or disposing of Indian housing referred to in this subsection, pursuant to regulations established by the Secretary.

(c) INSURANCE COVERAGE.—Each recipient shall maintain

adequate insurance coverage for housing units that are owned

or operated or assisted with grant amounts provided under this

Act.

(d) ELIGIBILITY FOR ADMISSION.—Each recipient shall develop

written policies governing the eligibility, admission, and occupancy

of families for housing assisted with grant amounts provided under

this Act.

(e) MANAGEMENT AND MAINTENANCE.—Each recipient shall

develop policies governing the management and maintenance of

housing assisted with grant amounts under this Act.

SEC. 204. TYPES OF INVESTMENTS.

(a) IN GENERAL.—Subject to section 203 and the Indian housing

plan for an Indian tribe, the recipient for that tribe shall have—

(1) the discretion to use grant amounts for affordable housing activities through equity investments, interest-bearing loans

or advances, noninterest-bearing loans or advances, interest

subsidies, leveraging of private investments, or any other form

of assistance that the Secretary has determined to be consistent

with the purposes of this Act; and

(2) the right to establish the terms of assistance.

(b) INVESTMENTS.—A recipient may invest grant amounts for

the purposes of carrying out affordable housing activities in investment securities and other obligations as approved by the Secretary.

SEC. 205. LOW-INCOME REQUIREMENT AND INCOME TARGETING.

(a) IN GENERAL.—Housing shall qualify as affordable housing

for purposes of this Act only if—

(1) each dwelling unit in the housing—

(A) in the case of rental housing, is made available

for occupancy only by a family that is a low-income family

at the time of their initial occupancy of such unit; and

(B) in the case of housing for homeownership, is made

available for purchase only by a family that is a lowincome family at the time of purchase; and

(2) except for housing assisted under section 202 of the

United States Housing Act of 1937 (as in effect before the

date of the effectiveness of this Act), each dwelling unit in

the housing will remain affordable, according to binding

commitments satisfactory to the Secretary, for the remaining

useful life of the property (as determined by the Secretary)

without regard to the term of the mortgage or to transfer

of ownership, or for such other period that the Secretary

25 USC 4135.

25 USC 4134.
110 STAT. 4034 PUBLIC LAW 104–330—OCT. 26, 1996

determines is the longest feasible period of time consistent

with sound economics and the purposes of this Act, except

upon a foreclosure by a lender (or upon other transfer in lieu

of foreclosure) if such action—

(A) recognizes any contractual or legal rights of public

agencies, nonprofit sponsors, or others to take actions that

would avoid termination of low-income affordability in the

case of foreclosure or transfer in lieu of foreclosure; and

(B) is not for the purpose of avoiding low-income affordability restrictions, as determined by the Secretary.

(b) EXCEPTION.—Notwithstanding subsection (a), housing

assisted pursuant to section 201(b)(2) shall be considered affordable

housing for purposes of this Act.

SEC. 206. CERTIFICATION OF COMPLIANCE WITH SUBSIDY LAYERING

REQUIREMENTS.

With respect to housing assisted with grant amounts provided

under this Act, the requirements of section 102(d) of the Department

of Housing and Urban Development Reform Act of 1989 shall be

considered to be satisfied upon certification by the Secretary that

the combination of Federal assistance provided to any housing

project is not any more than is necessary to provide affordable

housing.

SEC. 207. LEASE REQUIREMENTS AND TENANT SELECTION.

(a) LEASES.—Except to the extent otherwise provided by or

inconsistent with tribal law, in renting dwelling units in affordable

housing assisted with grant amounts provided under this Act, the

owner or manager of the housing shall utilize leases that—

(1) do not contain unreasonable terms and conditions;

(2) require the owner or manager to maintain the housing

in compliance with applicable housing codes and quality standards;

(3) require the owner or manager to give adequate written

notice of termination of the lease, which shall be the period

of time required under State, tribal, or local law;

(4) specify that, with respect to any notice of eviction or

termination, notwithstanding any State, tribal, or local law,

a resident shall be informed of the opportunity, prior to any

hearing or trial, to examine any relevant documents, records,

or regulations directly related to the eviction or termination;

(5) require that the owner or manager may not terminate

the tenancy, during the term of the lease, except for serious

or repeated violation of the terms or conditions of the lease,

violation of applicable Federal, State, tribal, or local law, or

for other good cause; and

(6) provide that the owner or manager may terminate

the tenancy of a resident for any activity, engaged in by the

resident, any member of the household of the resident, or

any guest or other person under the control of the resident,

that—

(A) threatens the health or safety of, or right to

peaceful enjoyment of the premises by, other residents

or employees of the owner or manager of the housing;

(B) threatens the health or safety of, or right to peaceful enjoyment of their premises by, persons residing in

the immediate vicinity of the premises; or

25 USC 4137.

25 USC 4136.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4035

(C) is criminal activity (including drug-related criminal

activity) on or off the premises.

(b) TENANT SELECTION.—The owner or manager of affordable

rental housing assisted with grant amounts provided under this

Act shall adopt and utilize written tenant selection policies and

criteria that—

(1) are consistent with the purpose of providing housing

for low-income families;

(2) are reasonably related to program eligibility and the

ability of the applicant to perform the obligations of the lease;

and

(3) provide for—

(A) the selection of tenants from a written waiting

list in accordance with the policies and goals set forth

in the Indian housing plan for the tribe that is the grant

beneficiary of such grant amounts; and

(B) the prompt notification in writing of any rejected

applicant of the grounds for any rejection.

SEC. 208. AVAILABILITY OF RECORDS.

(a) PROVISION OF INFORMATION.—Notwithstanding any other

provision of law, except as provided in paragraph (2), the National

Crime Information Center, police departments, and other law

enforcement agencies shall, upon request, provide information to

Indian tribes or tribally designated housing entities regarding the

criminal conviction records of adult applicants for, or tenants of,

housing assisted with grant amounts provided to such tribe or

entity under this Act for purposes of applicant screening, lease

enforcement, and eviction.

(b) EXCEPTION.—A law enforcement agency described in paragraph (1) shall provide information under this paragraph relating

to any criminal conviction of a juvenile only to the extent that

the release of such information is authorized under the law of

the applicable State, tribe, or locality.

(c) CONFIDENTIALITY.—An Indian tribe or tribally designated

housing entity receiving information under this section may use

such information only for the purposes provided in this section

and such information may not be disclosed to any person who

is not an officer, employee, or authorized representative of the

tribe or entity or the owner of housing assisted under this Act,

and who has a job-related need to have access to the information

for the purposes under this section. For judicial eviction proceedings,

disclosures may be made to the extent necessary. The Secretary

shall, by regulation, establish procedures necessary to ensure that

information provided under this section to any tribe or entity is

used, and confidentiality is maintained, as required under this

section.

SEC. 209. REPAYMENT.

If a recipient uses grant amounts to provide affordable housing

under activities under this title and, at any time during the useful

life of the housing the housing does not comply with the requirement

under section 205(2), the Secretary shall reduce future grant payments on behalf of the grant beneficiary by an amount equal to

the grant amounts used for such housing (under the authority

under section 401(a)(2)) or require repayment to the Secretary

of an amount equal to such grant amounts.

25 USC 4139.

Regulations.

Procedures.

25 USC 4138.
110 STAT. 4036 PUBLIC LAW 104–330—OCT. 26, 1996

SEC. 210. CONTINUED USE OF AMOUNTS FOR AFFORDABLE HOUSING.

Any funds for programs for low-income housing under the

United States Housing Act of 1937 that, on the date of the

applicability of this Act to an Indian tribe, are owned by, or in

the possession or under the control of, the Indian housing authority

for the tribe, including all reserves not otherwise obligated, shall

be considered assistance under this Act and subject to the provisions

of this Act relating to use of such assistance.

TITLE III—ALLOCATION OF GRANT

AMOUNTS

SEC. 301. ANNUAL ALLOCATION.

For each fiscal year, the Secretary shall allocate any amounts

made available for assistance under this Act for the fiscal year,

in accordance with the formula established pursuant to section

302, among Indian tribes that comply with the requirements under

this Act for a grant under this Act.

SEC. 302. ALLOCATION FORMULA.

(a) ESTABLISHMENT.—The Secretary shall, by regulations issued

not later than the expiration of the 12-month period beginning

on the date of the enactment of this Act, in the manner provided

under section 106, establish a formula to provide for allocating

amounts available for a fiscal year for block grants under this

Act among Indian tribes in accordance with the requirements of

this section.

(b) FACTORS FOR DETERMINATION OF NEED.—The formula shall

be based on factors that reflect the need of the Indian tribes

and the Indian areas of the tribes for assistance for affordable

housing activities, including the following factors:

(1) The number of low-income housing dwelling units owned

or operated at the time pursuant to a contract between an

Indian housing authority for the tribe and the Secretary.

(2) The extent of poverty and economic distress and the

number of Indian families within Indian areas of the tribe.

(3) Other objectively measurable conditions as the

Secretary and the Indian tribes may specify.

(c) OTHER FACTORS FOR CONSIDERATION.—In establishing the

formula, the Secretary shall consider—

(1) the relative administrative capacities and other challenges faced by the recipient, including, but not limited to

geographic distribution within the Indian area and technical

capacity; and

(2) the extent to which terminations of assistance under

title V will affect funding available to State recognized tribes.

(d) FUNDING FOR PUBLIC HOUSING OPERATION AND

MODERNIZATION.— (1) FULL FUNDING.—The formula shall provide that, if,

in any fiscal year, the total amount made available for assistance under this Act is equal to or greater than the total amount

made available for fiscal year 1996 for assistance for the operation and modernization of public housing developed or

operated pursuant to a contract between the Secretary and

an Indian housing authority pursuant to the United States

Housing Act of 1937, the amount provided for such fiscal year

Regulations.

25 USC 4152.

25 USC 4151.

25 USC 4140.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4037

for each Indian tribe for which such operating or modernization

assistance was provided for fiscal year 1996 shall not be less

than the total amount of such operating and modernization

assistance provided for fiscal year 1996 for such tribe.

(2) PARTIAL FUNDING.—The formula shall provide that, if,

in any fiscal year, the total amount made available for

assistance under this Act is less than the total amount made

available for fiscal year 1996 for assistance for the operation

and modernization of public housing developed or operated

pursuant to a contract between the Secretary and an Indian

housing authority pursuant to the United States Housing Act

of 1937, the amount provided for such fiscal year for each

Indian tribe for which such operating or modernization assistance was provided for fiscal year 1996 shall not be less than

the amount that bears the same ratio to the total amount

available for assistance under this Act for such fiscal year

that the amount of operating and modernization assistance

provided for the tribe for fiscal year 1996 bears to the total

amount made available for fiscal year 1996 for assistance for

the operation and modernization of such public housing.

(e) EFFECTIVE DATE.—This section shall take effect on the

date of the enactment of this Act.

TITLE IV—COMPLIANCE, AUDITS, AND

REPORTS

SEC. 401. REMEDIES FOR NONCOMPLIANCE.

(a) ACTIONS BY SECRETARY AFFECTING GRANT AMOUNTS.— Except as provided in subsection (b), if the Secretary finds after

reasonable notice and opportunity for hearing that a recipient of

assistance under this Act has failed to comply substantially with

any provision of this Act, the Secretary shall—

(1) terminate payments under this Act to the recipient;

(2) reduce payments under this Act to the recipient by

an amount equal to the amount of such payments that were

not expended in accordance with this Act;

(3) limit the availability of payments under this Act to

programs, projects, or activities not affected by such failure

to comply; or

(4) in the case of noncompliance described in section 402(b),

provide a replacement tribally designated housing entity for

the recipient, under section 402.

If the Secretary takes an action under paragraph (1), (2), or (3),

the Secretary shall continue such action until the Secretary determines that the failure to comply has ceased.

(b) NONCOMPLIANCE BECAUSE OF TECHNICAL INCAPACITY.—If

the Secretary makes a finding under subsection (a), but determines

that the failure to comply substantially with the provisions of

this Act—

(1) is not a pattern or practice of activities constituting

willful noncompliance, and

(2) is a result of the limited capability or capacity of the

recipient,

the Secretary may provide technical assistance for the recipient

(directly or indirectly) that is designed to increase the capability

and capacity of the recipient to administer assistance provided

25 USC 4161.
110 STAT. 4038 PUBLIC LAW 104–330—OCT. 26, 1996

under this Act in compliance with the requirements under this

Act.

(c) REFERRAL FOR CIVIL ACTION.— (1) AUTHORITY.—In lieu of, or in addition to, any action

authorized by subsection (a), if the Secretary has reason to

believe that a recipient has failed to comply substantially with

any provision of this Act, the Secretary may refer the matter

to the Attorney General of the United States with a

recommendation that an appropriate civil action be instituted.

(2) CIVIL ACTION.—Upon such a referral, the Attorney

General may bring a civil action in any United States district

court having venue thereof for such relief as may be

appropriate, including an action to recover the amount of the

assistance furnished under this Act that was not expended

in accordance with it, or for mandatory or injunctive relief.

(d) REVIEW.—

(1) IN GENERAL.—Any recipient who receives notice under

subsection (a) of the termination, reduction, or limitation of

payments under this Act—

(A) may, not later than 60 days after receiving such

notice, file with the United States Court of Appeals for

the circuit in which such State is located, or in the United

States Court of Appeals for the District of Columbia, a

petition for review of the action of the Secretary; and

(B) upon the filing of any petition under subparagraph

(A), shall forthwith transmit copies of the petition to the

Secretary and the Attorney General of the United States,

who shall represent the Secretary in the litigation.

(2) PROCEDURE.—The Secretary shall file in the court a

record of the proceeding on which the Secretary based the

action, as provided in section 2112 of title 28, United States

Code. No objection to the action of the Secretary shall be

considered by the court unless such objection has been urged

before the Secretary.

(3) DISPOSITION.—

(A) COURT PROCEEDINGS.—The court shall have jurisdiction to affirm or modify the action of the Secretary

or to set it aside in whole or in part. The findings of

fact by the Secretary, if supported by substantial evidence

on the record considered as a whole, shall be conclusive.

The court may order additional evidence to be taken by

the Secretary, and to be made part of the record.

(B) SECRETARY.—The Secretary—

(i) may modify the findings of fact of the Secretary,

or make new findings, by reason of the new evidence

so taken and filed with the court; and

(ii) shall file—

(I) such modified or new findings, which findings with respect to questions of fact shall be

conclusive if supported by substantial evidence on

the record considered as a whole; and

(II) the recommendation of the Secretary, if

any, for the modification or setting aside of the

original action of the Secretary.

(4) FINALITY.—Upon the filing of the record with the court,

the jurisdiction of the court shall be exclusive and its judgment

shall be final, except that such judgment shall be subject to

Records.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4039

review by the Supreme Court of the United States upon writ

of certiorari or certification as provided in section 1254 of

title 28, United State Code.

SEC. 402. REPLACEMENT OF RECIPIENT.

(a) AUTHORITY.—As a condition of the Secretary making a

grant under this Act on behalf of an Indian tribe, the tribe shall

agree that, notwithstanding any other provision of law, the

Secretary may, only in the circumstances set forth in subsection

(b), require that a replacement tribally designated housing entity

serve as the recipient for the tribe, in accordance with subsection

(c).

(b) CONDITIONS OF REMOVAL.—The Secretary may require such

replacement tribally designated housing entity for a tribe only

upon a determination by the Secretary on the record after opportunity for a hearing that the recipient for the tribe has engaged

in a pattern or practice of activities that constitutes substantial

or willful noncompliance with the requirements under this Act.

(c) CHOICE AND TERM OF REPLACEMENT.—If the Secretary

requires that a replacement tribally designated housing entity serve

as the recipient for a tribe (or tribes)—

(1) the replacement entity shall be an entity mutually

agreed upon by the Secretary and the tribe (or tribes) for

which the recipient was authorized to act, except that if no

such entity is agreed upon before the expiration of the 60-

day period beginning upon the date that the Secretary makes

the determination under subsection (b), the Secretary shall

act as the replacement entity until agreement is reached upon

a replacement entity; and

(2) the replacement entity (or the Secretary, as provided

in paragraph (1)) shall act as the tribally designated housing

entity for the tribe (or tribes) for a period that expires upon—

(A) a date certain, which shall be specified by the

Secretary upon making the determination under subsection

(b); or

(B) the occurrence of specific conditions, which conditions shall be specified in written notice provided by the

Secretary to the tribe upon making the determination

under subsection (b).

SEC. 403. MONITORING OF COMPLIANCE.

(a) ENFORCEABLE AGREEMENTS.—Each recipient, through binding contractual agreements with owners and otherwise, shall ensure

long-term compliance with the provisions of this Act. Such measures

shall provide for (1) enforcement of the provisions of this Act by

the grant beneficiary or by recipients and other intended beneficiaries, and (2) remedies for the breach of such provisions.

(b) PERIODIC MONITORING.—Not less frequently than annually,

each recipient shall review the activities conducted and housing

assisted under this Act to assess compliance with the requirements

of this Act. Such review shall include onsite inspection of housing

to determine compliance with applicable requirements. The results

of each review shall be included in the performance report of the

recipient submitted to the Secretary under section 404 and made

available to the public.

(c) PERFORMANCE MEASURES.—The Secretary shall establish

such performance measures as may be necessary to assess compliance with the requirements of this Act.

Public

information.

25 USC 4163.

Notification.

25 USC 4162.
110 STAT. 4040 PUBLIC LAW 104–330—OCT. 26, 1996

SEC. 404. PERFORMANCE REPORTS.

(a) REQUIREMENT.—For each fiscal year, each recipient shall—

(1) review the progress it has made during such fiscal

year in carrying out the Indian housing plan (or plans) for

the Indian tribes for which it administers grant amounts; and

(2) submit a report to the Secretary (in a form acceptable

to the Secretary) describing the conclusions of the review.

(b) CONTENT.—Each report under this section for a fiscal year

shall—

(1) describe the use of grant amounts provided to the

recipient for such fiscal year;

(2) assess the relationship of such use to the goals identified

in the Indian housing plan of the grant beneficiary;

(3) indicate the programmatic accomplishments of the

recipient; and

(4) describe the manner in which the recipient would

change its programs as a result of its experiences.

(c) SUBMISSION.—The Secretary shall establish dates for

submission of reports under this section, and review such reports

and make such recommendations as the Secretary considers appropriate to carry out the purposes of this Act.

(d) PUBLIC AVAILABILITY.—A recipient preparing a report under

this section shall make the report publicly available to the citizens

in the jurisdiction of the recipient in sufficient time to permit

such citizens to comment on such report prior to its submission

to the Secretary, and in such manner and at such times as the

recipient may determine. The report shall include a summary of

any comments received by the grant beneficiary or recipient from

citizens in its jurisdiction regarding its program.

SEC. 405. REVIEW AND AUDIT BY SECRETARY.

(a) ANNUAL REVIEW.—The Secretary shall, not less than on

an annual basis, make such reviews and audits as may be necessary

or appropriate to determine—

(1) whether the recipient has carried out its eligible activities in a timely manner, has carried out its eligible activities

and certifications in accordance with the requirements and

the primary objectives of this Act and with other applicable

laws, and has a continuing capacity to carry out those activities

in a timely manner;

(2) whether the recipient has complied with the Indian

housing plan of the grant beneficiary; and

(3) whether the performance reports under section 404

of the recipient are accurate.

Reviews under this section shall include, insofar as practicable,

onsite visits by employees of the Department of Housing and Urban

Development.

(b) REPORT BY SECRETARY.—The Secretary shall give a recipient

not less than 30 days to review and comment on a report under

this subsection. After taking into consideration the comments of

the recipient, the Secretary may revise the report and shall make

the comments of the recipient and the report, with any revisions,

readily available to the public not later than 30 days after receipt

of the comments of the recipient.

(c) EFFECT OF REVIEWS.—The Secretary may make appropriate

adjustments in the amount of the annual grants under this Act

in accordance with the findings of the Secretary pursuant to reviews

Public

information.

25 USC 4165.

25 USC 4164.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4041

and audits under this section. The Secretary may adjust, reduce,

or withdraw grant amounts, or take other action as appropriate

in accordance with the reviews and audits of the Secretary under

this section, except that grant amounts already expended on affordable housing activities may not be recaptured or deducted from

future assistance provided on behalf of an Indian tribe.

SEC. 406. GAO AUDITS.

To the extent that the financial transactions of Indian tribes

and recipients of grant amounts under this Act relate to amounts

provided under this Act, such transactions may be audited by

the Comptroller General of the United States under such rules

and regulations as may be prescribed by the Comptroller General.

The representatives of the General Accounting Office shall have

access to all books, accounts, records, reports, files, and other

papers, things, or property belonging to or in use by such tribes

and recipients pertaining to such financial transactions and

necessary to facilitate the audit.

SEC. 407. REPORTS TO CONGRESS.

(a) IN GENERAL.—Not later than 90 days after the conclusion

of each fiscal year in which assistance under this Act is made

available, the Secretary shall submit to the Congress a report

that contains—

(1) a description of the progress made in accomplishing

the objectives of this Act;

(2) a summary of the use of funds available under this

Act during the preceding fiscal year; and

(3) a description of the aggregate outstanding loan

guarantees under title VI.

(b) RELATED REPORTS.—The Secretary may require recipients

of grant amounts under this Act to submit to the Secretary such

reports and other information as may be necessary in order for

the Secretary to make the report required by subsection (a).

TITLE V—TERMINATION OF ASSISTANCE FOR INDIAN TRIBES UNDER

INCORPORATED PROGRAMS

SEC. 501. REPEAL OF PROVISIONS RELATING TO INDIAN HOUSING

ASSISTANCE UNDER UNITED STATES HOUSING ACT OF

1937.

(a) REPEAL OF TITLE II.—Title II of the United States Housing

Act of 1937 (42 U.S.C 1437aa et seq.) is hereby repealed.

(b) AMENDMENTS TO TITLE I.—Title I of the United States

Housing Act of 1937 (42 U.S.C. 1437 et seq.) is amended—

(1) in section 3(b)—

(A)in paragraph (5)—

(i) in subparagraph (F) by inserting ‘‘and’’ after

the semicolon at the end;

(ii) by striking subparagraph (G); and

(iii) by redesignating subparagraph (H) as subparagraph (G);

(B) in paragraph (6), by striking the last sentence;

(C) in paragraph (7)—

42 USC 1437a.

25 USC 4167.

25 USC 4166.
110 STAT. 4042 PUBLIC LAW 104–330—OCT. 26, 1996

(i) by inserting ‘‘and’’ before ‘‘the Trust’’; and

(ii) by striking ‘‘, and Indian tribes’’; and

(D) by striking paragraphs (9), (10), (11), and (12);

(2) in section 5—

(A) in subsection (j)(1), by striking ‘‘(other than for

Indian families)’’; and

(B) by striking subsection (l);

(3) in section 6(b)(1), by striking ‘‘and public housing for

Indians and Alaska Natives in accordance with the Indian

Housing Act of 1988’’;

(4) in subsection 7, by striking subsection (l);

(5) in section 9(a)(1)(A), in the second sentence—

(A) by inserting ‘‘and’’ after the comma at the end

of clause (i); and

(B) by striking ‘‘, and (iii)’’ and all that follows through

‘‘project is occupied’’;

(6) in section 14—

(A) in the section heading, by striking ‘‘AND INDIAN’’;

(B) in subsection (e)(1)(E)—

(i) in the matter preceding clause (i), by striking

‘‘(or Indian tribal official, if appropriate)’’;

(ii) in clause (i)—

(I) by striking ‘‘(or Indian tribal officials)’’; and

(II) by striking ‘‘(or tenants of the Indian housing projects)’’; and

(iii) in clause (ii), by striking ‘‘(or Indian tribe)’’;

(7) in section 16—

(A) in subsection (d)—

(i) by striking the paragraph designation for paragraph (1); and

(ii) by striking paragraph (2); and

(B) in subsection (e), by striking paragraph (3);

(8) in section 23(o), by striking paragraph (2);

(9) in section 24(h)(3), by striking ‘‘, except that it does

not include any Indian housing authority’’;

(10) in section 25(m)(4), by striking ‘‘, except that it does

not include Indian housing authorities’’; and

(11) in section 26, in subsections (a)(1) and (b), by striking

‘‘(including an Indian housing authority)’’ each place it appears.

(c) AMENDMENTS TO TITLE III.—Title III of the United States

Housing Act of 1937 (42 U.S.C. 1437aaa et seq.) is amended—

(1) by striking the heading for the title and inserting the

following:

‘‘TITLE III—HOPE FOR PUBLIC

HOUSING HOMEOWNERSHIP’’;

(2) in section 306—

(A) in paragraph (1)(A), by striking ‘‘(including an

Indian housing authority)’’; and

(B) in paragraph (2)(A), by striking ‘‘or Indian’’; and

(3) in section 307, by striking ‘‘and title II’’.

(d) OTHER RELATED PROVISIONS.—

(1) INDIAN HOUSING CHILD DEVELOPMENT.—Section 519 of

the Cranston-Gonzalez National Affordable Housing Act (12

U.S.C. 1701z–6 note) is hereby repealed.

42 USC

1437aaa–6.

42 USC

1437aaa–5.

42 USC 1437x.

42 USC 1437w.

42 USC 1437v.

42 USC 1437u.

42 USC 1437n.

42 USC 1437l.

42 USC 1437g.

42 USC 1437e.

42 USC 1437d.

42 USC 1437c.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4043

(2) PUBLIC HOUSING YOUTH SPORTS.—Section 520 of the

Cranston-Gonzalez National Affordable Housing Act (42 U.S.C.

11903a) is amended—

(A) in subsection (b)—

(i) in paragraph (5), by inserting ‘‘and’’ after the

semicolon at the end;

(ii) by striking paragraphs (6) and (7); and

(iii) by redesignating paragraph (8) as paragraph (6);

(B) in subsection (e)(2), by striking ‘‘Indian tribes,’’;

(C) in subsection (i)—

(i) by striking paragraph (1); and

(ii) by redesignating paragraphs (2) through (7)

as paragraphs (1) through (6), respectively; and

(D) in subsection (l)(5)(B), by striking ‘‘units of general

local government, and Indian housing authorities’’ and

inserting ‘‘and Indian housing authorities’’.

(3) ALLOCATION OF FUNDS.—Section 213(d)(1)(B)(ii) of the

Housing and Community Development Act of 1974 (42 U.S.C.

1439) is amended by striking ‘‘and Indian’’.

SEC. 502. TERMINATION OF INDIAN HOUSING ASSISTANCE UNDER

UNITED STATES HOUSING ACT OF 1937.

(a) TERMINATION OF ASSISTANCE.—After September 30, 1997,

financial assistance may not be provided under the United States

Housing Act of 1937 or pursuant to any commitment entered into

under such Act, for Indian housing developed or operated pursuant

to a contract between the Secretary and an Indian housing

authority, unless such assistance is provided from amounts made

available for fiscal year 1997 and pursuant to a commitment entered

into before September 30, 1997.

(b) TERMINATION OF RESTRICTIONS ON USE OF INDIAN

HOUSING.—After September 30, 1997, any housing developed or

operated pursuant to a contract between the Secretary and an

Indian housing authority pursuant to the United States Housing

Act of 1937 shall not be subject to any provision of such Act

or any annual contributions contract or other agreement pursuant

to such Act, but shall be considered and maintained as affordable

housing for purposes of this Act.

SEC. 503. TERMINATION OF NEW COMMITMENTS FOR RENTAL

ASSISTANCE.

After September 30, 1997, financial assistance for rental housing assistance under the United States Housing Act of 1937 may

not be provided to any Indian housing authority or tribally designated housing entity, unless such assistance is provided pursuant

to a contract for such assistance entered into by the Secretary

and the Indian housing authority before such date. Any such assistance provided pursuant to such a contract shall be governed by

the provisions of the United States Housing Act of 1937 (as in

effect before the date of the effectiveness of this Act) and the

provisions of such contract.

SEC. 504. TERMINATION OF YOUTHBUILD PROGRAM ASSISTANCE.

(a) IN GENERAL.—Subtitle D of title IV of the CranstonGonzalez National Affordable Housing Act (42 U.S.C. 12899 et

seq.) is amended—

(1) by redesignating section 460 as section 461; and 42 USC 12899i.

25 USC 4182.

25 USC 4181.
110 STAT. 4044 PUBLIC LAW 104–330—OCT. 26, 1996

(2) by inserting after section 459 the following new section:

‘‘SEC. 460. INELIGIBILITY OF INDIAN TRIBES.

‘‘Indian tribes, Indian housing authorities, and other agencies

primarily serving Indians or Indian areas shall not be eligible

applicants for amounts made available for assistance under this

subtitle for fiscal year 1997 and fiscal years thereafter.’’.

(b) APPLICABILITY.—The amendments under subsection (a) shall

apply with respect to amounts made available for assistance under

subtitle D of title II of the Cranston-Gonzalez National Affordable

Housing Act for fiscal year 1998 and fiscal years thereafter.

SEC. 505. TERMINATION OF HOME PROGRAM ASSISTANCE.

(a) IN GENERAL.—Title II of the Cranston-Gonzalez National

Affordable Housing Act (42 U.S.C. 12721 et seq.) is amended—

(1) in section 217(a)—

(A) in paragraph (1), by striking ‘‘reserving amounts

under paragraph (2) for Indian tribes and after’’; and

(B) by striking paragraph (2); and

(2) in section 288—

(A) in subsection (a), by striking ‘‘, Indian tribes,’’;

(B) in subsection (b), by striking ‘‘, Indian tribe,’’; and

(C) in subsection (c)(4), by striking ‘‘, Indian tribe,’’.

(b) APPLICABILITY.—The amendments under subsection (a) shall

apply with respect to amounts made available for assistance under

title II of the Cranston-Gonzalez National Affordable Housing Act

for fiscal year 1998 and fiscal years thereafter.

SEC. 506. TERMINATION OF HOUSING ASSISTANCE FOR THE

HOMELESS.

(a) MCKINNEY ACT PROGRAMS.—Title IV of the Stewart B.

McKinney Homeless Assistance Act (42 U.S.C. 11361 et seq.) is

amended—

(1) in section 411, by striking paragraph (10);

(2) in section 412, by striking ‘‘, and for Indian tribes,’’;

(3) in section 413—

(A) in subsection (a)—

(i) by striking ‘‘, and to Indian tribes,’’; and

(ii) by striking ‘‘, or for Indian tribes’’ each place

it appears;

(B) in subsection (c), by striking ‘‘or Indian

tribe’’; and

(C) in subsection (d)(3)—

(i) by striking ‘‘, or Indian tribe’’ each place it

appears; and

(ii) by striking ‘‘, or other Indian tribes,’’;

(4) in section 414(a)—

(A) by striking ‘‘or Indian tribe’’ each place it

appears; and

(B) by striking ‘‘, local government,’’ each place it

appears and inserting ‘‘or local government’’;

(5) in section 415(c)(4), by striking ‘‘Indian tribes,’’;

(6) in section 416(b), by striking ‘‘Indian tribe,’’;

(7) in section 422—

(A) by striking ‘‘Indian tribe,’’; and

(B) by striking paragraph (3);

(8) in section 441—

(A) by striking subsection (g);

42 USC 11401.

42 USC 11382.

42 USC 11376.

42 USC 11375.

42 USC 11374.

42 USC 11373.

42 USC 11372.

42 USC 11371.

42 USC 12747

note.

42 USC 12838.

42 USC 12747.

42 USC

12899h–1 note.

42 USC

12899h–1.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4045

(B) in subsection (h), by striking ‘‘or Indian housing

authority’’; and

(C) in subsection (j)(1), by striking ‘‘, Indian housing

authority’’;

(9) in section 462—

(A) in paragraph (2), by striking ‘‘, Indian tribe,’’; and

(B) by striking paragraph (4); and

(10) in section 491(e), by striking ‘‘, Indian tribes (as such

term is defined in section 102(a) of the Housing and Community

Development Act of 1974),’’.

(b) INNOVATIVE HOMELESS DEMONSTRATION.—Section 2(b) of

the HUD Demonstration Act of 1993 (42 U.S.C. 11301 note) is

amended—

(1) in paragraph (3), by striking ‘‘ ‘unit of general local

government’, and ‘Indian tribe’ ’’ and inserting ‘‘and ‘unit of

general local government’ ’’; and

(2) in paragraph (4), by striking ‘‘unit of general local

government (including units in rural areas), or Indian tribe’’

and inserting ‘‘or unit of general local government’’.

(c) APPLICABILITY.—The amendments under subsections (a) and

(b) shall apply with respect to amounts made available for assistance under title IV of the Stewart B. McKinney Homeless Assistance

Act and section 2 of the HUD Demonstration Act of 1993, respectively, for fiscal year 1998 and fiscal years thereafter.

SEC. 507. SAVINGS PROVISION.

(a) EXISTING RIGHTS AND DUTIES.—Except as provided in

sections 502 and 503, this Act may not be construed to affect

the validity of any right, duty, or obligation of the United States

or other person arising under or pursuant to any commitment

or agreement lawfully entered into before October 1, 1997, under

the United States Housing Act of 1937, subtitle D of title IV

of the Cranston-Gonzalez National Affordable Housing Act, title

II of the Cranston-Gonzalez National Affordable Housing Act, title

IV of the Stewart B. McKinney Homeless Assistance Act, or section

2 of the HUD Demonstration Act of 1993.

(b) OBLIGATIONS UNDER REPEALED PROVISIONS.—Notwithstanding the amendments made by this title, any obligation of the

Secretary made under or pursuant to subtitle D of title IV of

the Cranston-Gonzalez National Affordable Housing Act, title II

of the Cranston-Gonzalez National Affordable Housing Act, title

IV of the Stewart B. McKinney Homeless Assistance Act, or section

2 of the HUD Demonstration Act of 1993 shall continue to be

governed by the provisions of such Acts (as in effect before the

date of the effectiveness of the amendments made by this title).

SEC. 508. EFFECTIVE DATE.

Sections 502, 503, and 507 shall take effect on the date of

the enactment of this Act.

25 USC 4181

note.

25 USC 4183.

42 USC 11371

note.

42 USC 11408.

42 USC 11403g.
110 STAT. 4046 PUBLIC LAW 104–330—OCT. 26, 1996

TITLE VI—FEDERAL GUARANTEES FOR

FINANCING FOR TRIBAL HOUSING

ACTIVITIES

SEC. 601. AUTHORITY AND REQUIREMENTS.

(a) AUTHORITY.—To such extent or in such amounts as provided

in appropriations Acts, the Secretary may, subject to the limitations

of this title (including limitations designed to protect and maintain

the viability of rental housing units owned or operated by the

recipient that were developed under a contract between the

Secretary and an Indian housing authority pursuant to the United

States Housing Act of 1937), and upon such terms and conditions

as the Secretary may prescribe, guarantee and make commitments

to guarantee, the notes or other obligations issued by Indian tribes

or tribally designated housing entities with tribal approval, for

the purposes of financing affordable housing activities described

in section 202.

(b) LACK OF FINANCING ELSEWHERE.—A guarantee under this

title may be used to assist an Indian tribe or housing entity in

obtaining financing only if the Indian tribe or housing entity has

made efforts to obtain such financing without the use of such

guarantee and cannot complete such financing consistent with the

timely execution of the program plans without such guarantee.

(c) TERMS OF LOANS.—Notes or other obligations guaranteed

pursuant to this title shall be in such form and denominations,

have such maturities, and be subject to such conditions as may

be prescribed by regulations issued by the Secretary. The Secretary

may not deny a guarantee under this title on the basis of the

proposed repayment period for the note or other obligation, unless

the period is more than 20 years or the Secretary determines

that the period causes the guarantee to constitute an unacceptable

financial risk.

(d) LIMITATION ON OUTSTANDING GUARANTEES.—No guarantee

or commitment to guarantee shall be made with respect to any

note or other obligation if the total outstanding notes or obligations

of the issuer guaranteed under this title (excluding any amount

defeased under the contract entered into under section 602(a)(1))

would thereby exceed an amount equal to 5 times the amount

of the grant approval for the issuer pursuant to title III.

SEC. 602. SECURITY AND REPAYMENT.

(a) REQUIREMENTS ON ISSUER.—To assure the repayment of

notes or other obligations and charges incurred under this title

and as a condition for receiving such guarantees, the Secretary

shall require the Indian tribe or housing entity issuing such notes

or obligations to—

(1) enter into a contract, in a form acceptable to the

Secretary, for repayment of notes or other obligations guaranteed under this title;

(2) pledge any grant for which the issuer may become

eligible under this Act;

(3) demonstrate that the extent of such issuance and

guarantee under this title is within the financial capacity of

the tribe and is not likely to impair the ability to use grant

Contracts.

25 USC 4192.

25 USC 4191.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4047

amounts under title I, taking into consideration the

requirements under section 203(b); and

(4) furnish, at the discretion of the Secretary, such other

security as may be deemed appropriate by the Secretary in

making such guarantees, including increments in local tax

receipts generated by the activities assisted under this Act

or disposition proceeds from the sale of land or rehabilitated

property.

(b) REPAYMENT FROM GRANT AMOUNTS.—Notwithstanding any

other provision of this Act—

(1) the Secretary may apply grants pledged pursuant to

subsection (a)(2) to any repayments due the United States

as a result of such guarantees; and

(2) grants allocated under this Act for an Indian tribe

or housing entity (including program income derived therefrom)

may be used to pay principal and interest due (including such

servicing, underwriting, and other costs as may be specified

in regulations issued by the Secretary) on notes or other obligations guaranteed pursuant to this title.

(c) FULL FAITH AND CREDIT.—The full faith and credit of the

United States is pledged to the payment of all guarantees made

under this title. Any such guarantee made by the Secretary shall

be conclusive evidence of the eligibility of the obligations for such

guarantee with respect to principal and interest, and the validity

of any such guarantee so made shall be incontestable in the hands

of a holder of the guaranteed obligations.

SEC. 603. PAYMENT OF INTEREST.

The Secretary may make, and contract to make, grants, in

such amounts as may be approved in appropriations Acts, to or

on behalf of an Indian tribe or housing entity issuing notes or

other obligations guaranteed under this title, to cover not to exceed

30 percent of the net interest cost (including such servicing, underwriting, or other costs as may be specified in regulations of the

Secretary) to the borrowing entity or agency of such obligations.

The Secretary may also, to the extent approved in appropriations

Acts, assist the issuer of a note or other obligation guaranteed

under this title in the payment of all or a portion of the principal

and interest amount due under the note or other obligation, if

the Secretary determines that the issuer is unable to pay the

amount because of circumstances of extreme hardship beyond the

control of the issuer.

SEC. 604. TRAINING AND INFORMATION.

The Secretary, in cooperation with eligible public entities, shall

carry out training and information activities with respect to the

guarantee program under this title.

SEC. 605. LIMITATIONS ON AMOUNT OF GUARANTEES.

(a) AGGREGATE FISCAL YEAR LIMITATION.—Notwithstanding

any other provision of law and subject only to the absence of

qualified applicants or proposed activities and to the authority

provided in this title, to the extent approved or provided in appropriations Acts, the Secretary may enter into commitments to

guarantee notes and obligations under this title with an aggregate

principal amount not to exceed $400,000,000 for each of fiscal

years 1997, 1998, 1999, 2000, and 2001.

25 USC 4195.

25 USC 4194.

25 USC 4193.
110 STAT. 4048 PUBLIC LAW 104–330—OCT. 26, 1996

(b) AUTHORIZATION OF APPROPRIATIONS FOR CREDIT SUBSIDY.— There are authorized to be appropriated to cover the costs (as

such term is defined in section 502 of the Congressional Budget

Act of 1974) of guarantees under this title such sums as may

be necessary for each of fiscal years 1997, 1998, 1999, 2000, and

2001.

(c) AGGREGATE OUTSTANDING LIMITATION.—The total amount

of outstanding obligations guaranteed on a cumulative basis by

the Secretary pursuant to this title shall not at any time exceed

$2,000,000,000 or such higher amount as may be authorized to

be appropriated for this title for any fiscal year.

(d) FISCAL YEAR LIMITATIONS ON TRIBES.—The Secretary shall

monitor the use of guarantees under this title by Indian tribes.

If the Secretary finds that 50 percent of the aggregate guarantee

authority under subsection (c) has been committed, the Secretary

may—

(1) impose limitations on the amount of guarantees any

one Indian tribe may receive in any fiscal year of $50,000,000;

or

(2) request the enactment of legislation increasing the

aggregate outstanding limitation on guarantees under this title.

SEC. 606. EFFECTIVE DATE.

This title shall take effect on the date of the enactment of

this Act.

TITLE VII—OTHER HOUSING

ASSISTANCE FOR NATIVE AMERICANS

SEC. 701. LOAN GUARANTEES FOR INDIAN HOUSING.

(a) DEFINITION OF ELIGIBLE BORROWERS TO INCLUDE INDIAN

TRIBES.—Section 184 of the Housing and Community Development

Act of 1992 (12 U.S.C. 1515z–13a) is amended—

(1) in subsection (a)—

(A) by striking ‘‘and Indian housing authorities’’ and

inserting ‘‘, Indian housing authorities, and Indian tribes,’’;

and

(B) by striking ‘‘or Indian housing authority’’ and

inserting ‘‘, Indian housing authority, or Indian tribe’’; and

(2) in subsection (b)(1), by striking ‘‘or Indian housing

authorities’’ and inserting ‘‘, Indian housing authorities, or

Indian tribes’’.

(b) NEED FOR LOAN GUARANTEE.—Section 184(a) of the Housing

and Community Development Act of 1992 (12 U.S.C. 1715z–13a(a))

is amended by striking ‘‘trust land’’ and inserting ‘‘lands or as

a result of a lack of access to private financial markets’’.

(c) IHP REQUIREMENT.—Section 184(b)(2) of the Housing and

Community Development Act of 1992 (12 U.S.C. 1715z–13a(b)(2))

is amended by inserting before the period at the end the following:

‘‘that is under the jurisdiction of an Indian tribe for which an

Indian housing plan has been submitted and approved pursuant

to sections 102 and 103 of the Native American Housing Assistance

and Self-Determination Act of 1996 that provides for the use of

loan guarantees under this section to provide affordable homeownership housing in such areas’’.

12 USC

1715z–13a.

25 USC 4191

note.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4049

(d) LENDER OPTION TO OBTAIN PAYMENT UPON DEFAULT

WITHOUT FORECLOSURE.—Section 184(h) of the Housing and

Community Development Act of 1992 (12 U.S.C. 1715z–13a(h)) is

amended—

(1) in paragraph (1)(A)—

(A) in the first sentence of clause (i), by striking ‘‘in

a court of competent jurisdiction’’; and

(B) by striking clause (ii) and inserting the following:

‘‘(ii) NO FORECLOSURE.—Without seeking foreclosure (or in any case in which a foreclosure proceeding initiated under clause (i) continues for a period

in excess of 1 year), the holder of the guarantee may

submit to the Secretary a request to assign the obligation and security interest to the Secretary in return

for payment of the claim under the guarantee. The

Secretary may accept assignment of the loan if

the Secretary determines that the assignment is in

the best interests of the United States. Upon assignment, the Secretary shall pay to the holder of the

guarantee the pro rata portion of the amount guaranteed (as determined under subsection (e)). The

Secretary shall be subrogated to the rights of the holder

of the guarantee and the holder shall assign the obligation and security to the Secretary.’’;

(2) by striking paragraph (2); and

(3) by redesignating paragraph (3) as paragraph (2).

(e) LIMITATION OF MORTGAGEE AUTHORITY.—Section 184(h)(2)

of the Housing and Community Development Act of 1992 (12 U.S.C.

1715z–13a(h)(2)), as so redesignated by subsection (e)(3) of this

section, is amended—

(1) in the first sentence, by striking ‘‘tribal allotted or

trust land,’’ and inserting ‘‘restricted Indian land, the mortgagee

or’’; and

(2) in the second sentence, by striking ‘‘Secretary’’ each

place it appears, and inserting ‘‘mortgagee or the Secretary’’.

(f) LIMITATION ON OUTSTANDING AGGREGATE PRINCIPAL

AMOUNT.—Section 184(i)(5)(C) of the Housing and Community

Development Act of 1992 (12 U.S.C. 1715z–13a(i)(5)(C)) is amended

by striking ‘‘1993’’ and all that follows through ‘‘such year’’ and

inserting ‘‘1997, 1998, 1999, 2000, and 2001 with an aggregate

outstanding principal amount note exceeding $400,000,000 for each

such fiscal year’’.

(g) AUTHORIZATION OF APPROPRIATIONS FOR GUARANTEE

FUND.—Section 184(i)(7) of the Housing and Community

Development Act of 1992 (12 U.S.C. 1715z–13a(i)(7)) is amended

by striking ‘‘such sums’’ and all that follows through ‘‘1994’’ and

inserting ‘‘such sums as may be necessary for each of fiscal years

1997, 1998, 1999, 2000, and 2001’’.

(h) DEFINITIONS.—Section 184(k) of the Housing and

Community Development Act of 1992 (12 U.S.C. 1715z–13a(k)) is

amended—

(1) in paragraph (4), by inserting after ‘‘authority’’ the

following: ‘‘or Indian tribe’’;

(2) in paragraph (5)—

(A) by striking subparagraph (A) and inserting the

following new subparagraph:
110 STAT. 4050 PUBLIC LAW 104–330—OCT. 26, 1996

‘‘(A) is authorized to engage in or assist in the development or operation of—

‘‘(i) low-income housing for Indians; or

‘‘(ii) housing subject to the provisions of this section; and’’; and

(B) by adding at the end the following:

‘‘The term includes tribally designated housing entities under

the Native American Housing Assistance and Self-Determination Act of 1996.’’; and

(3) by striking paragraph (8) and inserting the following

new paragraph:

‘‘(8) TRIBE; INDIAN TRIBE.—The term ‘tribe’ or ‘Indian tribe’

means any Indian tribe, band, nation, or other organized group

or community of Indians, including any Alaska Native village

or regional or village corporation as defined in or established

pursuant to the Alaska Native Claims Settlement Act, that

is recognized as eligible for the special programs and services

provided by the United States to Indians because of their

status as Indians pursuant to the Indian Self-Determination

and Education Assistance Act of 1975.’’.

(i) PRINCIPAL OBLIGATION AMOUNTS.—Section 184(b)(5)(C) of

the Housing and Community Development Act of 1992 (12 U.S.C.

1715z–13a(b)(5)(C)) is amended by striking clause (i) and inserting

the following new clause:

‘‘(i) 97.75 percent of the appraised value of the

property as of the date the loan is accepted for guarantee (or 98.75 percent if the value of the property is

$50,000 or less); and’’.

(j) AVAILABILITY OF AMOUNTS.—

(1) REQUIREMENT OF APPROPRIATIONS.—Section 184(i)(5) of

the Housing and Community Development Act of 1992 (12

U.S.C. 1715z–13a(i)(5)) is amended by striking subparagraph

(A) and inserting the following:

‘‘(A) REQUIREMENT OF APPROPRIATIONS.—The authority

of the Secretary to enter into commitments to guarantee

loans under this section shall be effective for any fiscal

year to the extent or in such amounts as are or have

been provided in appropriations Acts, without regard to

the fiscal year for which such amounts were appropriated.’’.

(2) COSTS.—Section 184(i)(5)(B) of the Housing and

Community Development Act of 1992 (12 U.S.C. 1715z–

13a(i)(5)(B)) is amended by adding at the end the following

new sentence: ‘‘Any amounts appropriated pursuant to this

subparagraph shall remain available until expended.’’.

(k) GNMA AUTHORITY.—The first sentence of section 306(g)(1)

of the Federal National Mortgage Association Charter Act (12 U.S.C.

1721(g)(1)) is amended by inserting before the period at the end

the following: ‘‘; or guaranteed under section 184 of the Housing

and Community Development Act of 1992’’.

SEC. 702. 50-YEAR LEASEHOLD INTEREST IN TRUST OR RESTRICTED

LANDS FOR HOUSING PURPOSES.

(a) AUTHORITY TO LEASE.—Notwithstanding any other provision

of law, any trust or restricted Indian lands, whether tribally or

individually owned, may be leased by the Indian owners, subject

to the approval of the affected Indian tribe and the Secretary

of the Interior, for housing development and residential purposes.

25 USC 4211.
PUBLIC LAW 104–330—OCT. 26, 1996 110 STAT. 4051

(b) TERM.—Each lease pursuant to subsection (a) shall be for

a term not exceeding 50 years.

(c) RULE OF CONSTRUCTION.—This section may not be construed

to repeal, limit, or affect any authority to lease any trust or

restricted Indian lands that—

(1) is conferred by or pursuant to any other provision

of law; or

(2) provides for leases for any period exceeding 50 years.

(d) SELF-IMPLEMENTATION.—This section is intended to be selfimplementing and shall not require the issuance of any rule,

regulation, or order to take effect as provided in section 705.

SEC. 703. TRAINING AND TECHNICAL ASSISTANCE.

There are authorized to be appropriated for assistance for a

national organization representing Native American housing

interests for providing training and technical assistance to Indian

housing authorities and tribally designated housing entities such

sums as may be necessary for each of fiscal years 1997, 1998,

1999, 2000, and 2001.

SEC. 704. PUBLIC AND ASSISTED HOUSING DRUG ELIMINATION ACT

OF 1990.

The Public and Assisted Housing Drug Elimination Act of 1990

(42 U.S.C. 11901 et seq.) is amended—

(1) in section 5123—

(A) by striking ‘‘(including Indian Housing Authorities)’’; and

(B) by inserting ‘‘tribally designated housing entities,’’

before ‘‘and private’’; and

(2) in section 5124(a)(7)—

(A) by inserting ‘‘or tribally designated housing entity’’

after ‘‘public housing agency’’; and

(B) by striking ‘‘public housing’’ after nonprofit;

(3) in section 5125, by inserting ‘‘a tribally designated

housing entity,’’ after ‘‘resident management corporation,’’; and

(4) in section 5126—

(A) in paragraph (4)—

(i) in subparagraph (B), by striking ‘‘or’’ at the

end;

(ii) in subparagraph (C), by striking the period

at the end and inserting ‘‘; or’’; and

(iii) by adding at the end the following new

subparagraph:

‘‘(D) the Native American Housing Assistance and SelfDetermination Act.’’; and

(B) by adding at the end the following new paragraph:

‘‘(5) TRIBALLY DESIGNATED HOUSING ENTITY.—The term

‘tribally designated housing entity’ has the meaning given such

term in section 4 of the Native American Housing Assistance

and Self-Determination Act of 1996.’’.

42 USC 11905.

42 USC 11904.

42 USC 11903.

42 USC 11902.

25 USC 4212.

Appropriation

authorization.
110 STAT. 4052 PUBLIC LAW 104–330—OCT. 26, 1996

LEGISLATIVE HISTORY—H.R. 3219:

CONGRESSIONAL RECORD, Vol. 142 (1996):

Sept. 28, considered and passed House.

Oct. 3, considered and passed Senate.

Æ

SEC. 705. EFFECTIVE DATE.

This title and the amendments made by this title (but not

including the amendments made by section 704) shall take effect

on the date of the enactment of this Act.

Approved October 26, 1996.

25 USC 4211

note.