II 

109TH CONGRESS 

2D SESSION S. 3475 

To provide housing assistance for very low-income veterans. 

IN THE SENATE OF THE UNITED STATES 

JUNE 7, 2006 

Mr. OBAMA introduced the following bill; which was read twice and referred 

to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To provide housing assistance for very low-income veterans. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Homes for Heroes Act 

5 of 2006’’. 

6 SEC. 2. SPECIAL ASSISTANT FOR VETERANS AFFAIRS IN OF7 FICE OF SECRETARY OF HOUSING AND 

8 URBAN DEVELOPMENT. 

9 Section 4 of the Department of Housing and Urban 

10 Development Act (42 U.S.C. 3533) is amended by adding 

11 at the end the following new subsection: 


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1 ‘‘(g) SPECIAL ASSISTANT FOR VETERANS AF2 FAIRS.— 

3 ‘‘(1) ESTABLISHMENT.—There shall be in the 

4 Department a Special Assistant for Veterans Af5 fairs, who shall be in the Office of the Secretary. 

6 ‘‘(2) APPOINTMENT.—The Special Assistant for 

7 Veterans Affairs shall be appointed based solely on 

8 merit and shall be covered under the provisions of 

9 title 5, United States Code, governing appointments 

10 in the competitive service. 

11 ‘‘(3) RESPONSIBILITIES.—The Special Assist12 ant for Veterans Affairs shall be responsible for— 

13 ‘‘(A) ensuring veterans have access to 

14 housing and homeless assistance under each 

15 program of the Department providing either 

16 such assistance; 

17 ‘‘(B) coordinating all programs and activi18 ties of the Department relating to veterans; 

19 ‘‘(C) serving as a liaison for the Depart20 ment with the Department of Veterans Affairs, 

21 including establishing and maintaining relation22 ships with the Secretary of Veterans Affairs; 

23 ‘‘(D) serving as a liaison for the Depart24 ment, and establishing and maintaining rela25 tionships with officials of State, local, regional, 


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1 and nongovernmental organizations concerned 

2 with veterans; 

3 ‘‘(E) providing information and advice re4 garding— 

5 ‘‘(i) sponsoring housing projects for 

6 veterans assisted under programs adminis7 tered by the Department; or 

8 ‘‘(ii) assisting veterans in obtaining 

9 housing or homeless assistance under pro10 grams administered by the Department; 

11 ‘‘(F) administering the technical assistance 

12 grants program under section 7 of the Homes 

13 for Heroes Act of 2006; 

14 ‘‘(G) preparing the annual report under 

15 section 8 of such Act; and 

16 ‘‘(H) carrying out such other duties as 

17 may be assigned to the Special Assistant by the 

18 Secretary or by law.’’ 

19 SEC. 3. SUPPORTIVE HOUSING FOR VERY LOW-INCOME 

20 VETERAN FAMILIES. 

21 (a) PURPOSE.—The purposes of this section are— 

22 (1) to expand the supply of permanent housing 

23 for very low-income veteran families; and 


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1 (2) to provide supportive services through such 

2 housing to support the needs of such veteran fami3 lies. 

4 (b) AUTHORITY.— 

5 (1) IN GENERAL.—The Secretary of Housing 

6 and Urban Development shall, to the extent amounts 

7 are made available for assistance under this section 

8 and the Secretary receives approvable applications 

9 for such assistance, provide assistance to private 

10 nonprofit organizations and consumer cooperatives 

11 to expand the supply of supportive housing for very 

12 low-income veteran families. 

13 (2) NATURE OF ASSISTANCE.—Such assistance 

14 shall be available for use to plan for and finance the 

15 acquisition, construction, reconstruction, or mod16 erate or substantial rehabilitation of a structure or 

17 a portion of a structure to be used as supportive 

18 housing for very low-income veteran families in ac19 cordance with this section. Assistance may also cover 

20 the cost of real property acquisition, site improve21 ment, conversion, demolition, relocation, and other 

22 expenses that the Secretary determines are nec23 essary to expand the supply of supportive housing 

24 for very low-income veteran families. 


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1 (3) CONSULTATION.—In meeting the require2 ment of paragraph (1), the Secretary shall consult 

3 with the Secretary of Veterans Affairs and the Spe4 cial Assistant for Veterans Affairs, under section 

5 4(g) of the Department of Housing and Urban De6 velopment Act (as amended by section 2). 

7 (c) FORMS OF ASSISTANCE.—Assistance under this 

8 section shall be made available in the following forms: 

9 (1) Assistance may be provided as a grant for 

10 costs of planning a project to be used as supportive 

11 housing for very low-income veteran families. 

12 (2) Assistance may be provided as capital ad13 vance under this paragraph for a project, which 

14 shall— 

15 (A) bear no interest; 

16 (B) not be required to be repaid so long as 

17 the housing remains available for occupancy by 

18 very low-income veteran families in accordance 

19 with this section; and 

20 (C) be in an amount calculated in accord21 ance with the development cost limitation estab22 lished pursuant to subsection (h). 

23 (3) Assistance may be provided as project rent24 al assistance, under an annual contract that— 


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1 (A) obligates the Secretary to make 

2 monthly payments to cover any part of the 

3 costs attributed to units occupied (or, as ap4 proved by the Secretary, held for occupancy) by 

5 very low-income veteran families that is not met 

6 from project income; 

7 (B) provides for the project not more than 

8 the sum of the initial annual project rentals for 

9 all units so occupied and any initial utility al10 lowances for such units, as approved by the 

11 Secretary; 

12 (C) any contract amounts not used by a 

13 project in any year shall remain available to the 

14 project until the expiration of the contract; and 

15 (D) provides that the Secretary shall, to 

16 the extent appropriations for such purpose are 

17 available, adjust the annual contract amount if 

18 the sum of the project income and the amount 

19 of assistance payments available under this 

20 paragraph are inadequate to provide for reason21 able project costs. 

22 (d) TENANT RENT CONTRIBUTION.—A very low-in23 come veteran family shall pay as rent for a dwelling unit 

24 assisted under this section the highest of the following 

25 amounts, rounded to the nearest dollar: 


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1 (1) 30 percent of the veteran family’s adjusted 

2 monthly income. 

3 (2) 10 percent of the veteran family’s monthly 

4 income. 

5 (3) If the veteran family is receiving payments 

6 for welfare assistance from a public agency and a 

7 part of such payments, adjusted in accordance with 

8 the veteran family’s actual housing costs, is specifi9 cally designated by such agency to meet the veteran 

10 family’s housing costs, the portion of such payments 

11 which is so designated. 

12 (e) TERM OF COMMITMENT.— 

13 (1) USE LIMITATIONS.—All units in housing, 

14 assisted under this section, shall be made available 

15 for occupancy by very low-income veteran families 

16 for not less than 15 years. 

17 (2) CONTRACT TERMS.—The initial term of a 

18 contract entered into under subsection (c)(2) shall 

19 be 60 months. The Secretary shall, to the extent ap20 proved in appropriation Acts, extend any expiring 

21 contract for a term of not less than 12 months. In 

22 order to facilitate the orderly extension of expiring 

23 contracts, the Secretary may make commitments to 

24 extend expiring contracts during the year prior to 

25 the date of expiration. 


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1 (f) APPLICATIONS.— 

2 (1) IN GENERAL.—Amounts made available 

3 under this section shall be allocated by the Secretary 

4 among approvable applications submitted by private 

5 nonprofit organizations and consumer cooperatives. 

6 Applications for assistance under this section shall 

7 be submitted by an applicant in such form and in 

8 accordance with such procedures as the Secretary 

9 shall establish. Such applications shall contain— 

10 (A) a description of the proposed housing; 

11 (B) a description of the assistance the ap12 plicant seeks under this section; 

13 (C) a description of— 

14 (i) the supportive services to be pro15 vided to the persons occupying such hous16 ing; 

17 (ii) the manner in which such services 

18 will be provided to such persons, including, 

19 in the case of frail elderly persons (as such 

20 term is defined in section 202 of the Hous21 ing Act of 1959 (12 U.S.C. 1701q)), evi22 dence of such residential supervision as the 

23 Secretary determines is necessary to facili24 tate the adequate provision of such serv25 ices; and 


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1 (iii) the public or private sources of 

2 assistance that can reasonably be expected 

3 to fund or provide such services; 

4 (D) a certification from the public official 

5 responsible for submitting a housing strategy 

6 for the jurisdiction to be served in accordance 

7 with section 105 of the Cranston-Gonzalez Na8 tional Affordable Housing Act (42 U.S.C. 

9 12705) that the proposed project is consistent 

10 with the approved housing strategy; and 

11 (E) such other information or certifications 

12 that the Secretary determines to be necessary 

13 or appropriate to achieve the purposes of this 

14 section. 

15 (2) REJECTION.—The Secretary shall not reject 

16 an application on technical grounds without giving 

17 notice of that rejection and the basis therefor to the 

18 applicant. 

19 (g) SELECTION CRITERIA.—The Secretary shall es20 tablish selection criteria for assistance under this section, 

21 which shall include— 

22 (1) criteria based upon— 

23 (A) the ability of the applicant to develop 

24 and operate the proposed housing; 


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1 (B) the need for supportive housing for 

2 very low-income veteran families in the area to 

3 be served; 

4 (C) the extent to which the proposed size 

5 and unit mix of the housing will enable the ap6 plicant to manage and operate the housing effi7 ciently and ensure that the provision of sup8 portive services will be accomplished in an eco9 nomical fashion; 

10 (D) the extent to which the proposed de11 sign of the housing will meet the physical needs 

12 of very low-income veteran families; 

13 (E) the extent to which the applicant has 

14 demonstrated that the supportive services iden15 tified pursuant to subsection (f)(1)(D) will be 

16 provided on a consistent, long-term basis; 

17 (F) the extent to which the proposed de18 sign of the housing will accommodate the provi19 sion of supportive services that are expected to 

20 be needed, either initially or over the useful life 

21 of the housing, by the very low-income veterans 

22 the housing is intended to serve; and 

23 (G) such other factors as the Secretary de24 termines to be appropriate to ensure that funds 


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1 made available under this section are used ef2 fectively; 

3 (2) a preference in such selection for applica4 tions proposing housing to be reserved for occupancy 

5 by very low-income veteran families who are home6 less (as such term is defined in section 103 of the 

7 McKinney-Vento Homeless Assistance Act (42 

8 U.S.C. 11302); and 

9 (3) criteria appropriate to consider the need for 

10 supportive housing for very low-income veteran fami11 lies in nonmetropolitan areas and by Indian tribes. 

12 (h) PROVISION OF SUPPORTIVE SERVICES TO VET13 ERAN FAMILIES.— 

14 (1) IN GENERAL.—In carrying out the provi15 sions of this section, the Secretary shall ensure that 

16 housing assisted under this section provides a range 

17 of services tailored to the needs of the very low-in18 come veteran families occupying such housing, which 

19 may include services for— 

20 (A) outreach; 

21 (B) health (including counseling, mental 

22 health, substance abuse, and post-traumatic 

23 stress disorder) diagnosis and treatment; 

24 (C) habilitation and rehabilitation; 

25 (D) case management; 


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1 (E) daily living; 

2 (F) personal financial planning; 

3 (G) transportation; 

4 (H) vocation; 

5 (I) employment and training; 

6 (J) education; 

7 (K) assistance in obtaining veterans bene8 fits and public benefits, including health and 

9 medical care provided by the Department of 

10 Veterans Affairs; 

11 (L) assistance in obtaining income support; 

12 (M) assistance in obtaining health insur13 ance; 

14 (N) fiduciary and representative payee; 

15 (O) legal aid; 

16 (P) child care; 

17 (Q) housing counseling; 

18 (R) service coordination; and 

19 (S) other services necessary for maintain20 ing independent living. 

21 (2) LOCAL COORDINATION OF SERVICES.— 

22 (A) IN GENERAL.—The Secretary shall en23 sure that owners of housing assisted under this 

24 section have the managerial capacity to— 


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1 (i) assess on an ongoing basis the 

2 service needs of residents; 

3 (ii) coordinate the provision of sup4 portive services and tailor such services to 

5 the individual needs of residents; and 

6 (iii) seek on a continuous basis new 

7 sources of assistance to ensure the long8 term provision of supportive services. 

9 (B) CLASSIFICATION OF COSTS.—Any cost 

10 associated with this subsection shall be an eligi11 ble cost under subsections (c)(3) and (i). 

12 (i) FINANCIAL ASSISTANCE FOR SERVICES.— 

13 (1) IN GENERAL.—The Secretary of Veterans 

14 Affairs shall, to the extent amounts are available for 

15 assistance under this subsection, provide financial 

16 assistance for the provision of supportive services, 

17 and for coordinating the provision of such services, 

18 to very low-income veteran families occupying hous19 ing assisted under this section. Such assistance shall 

20 be made through payments to owners of such hous21 ing for each resident of the housing based on the 

22 formula established under paragraph (2). 

23 (2) FORMULA.—The Secretary of Veterans Af24 fairs shall establish a formula to determine the rate 

25 of the payments to be provided under this subVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 section. The formula shall determine a rate for each 

2 resident of the housing assisted under this section 

3 (which shall be adjusted not less than annually to 

4 take into consideration changes in the cost of living). 

5 (3) AUTHORIZATION OF APPROPRIATIONS.— 

6 (A) IN GENERAL.—There is authorized to 

7 be appropriated for the Department of Veterans 

8 Affairs to carry out this subsection amounts as 

9 follows: 

10 (i) For fiscal year 2007, $25,000,000. 

11 (ii) For each fiscal year after fiscal 

12 year 2007, such sums as may be necessary 

13 for such fiscal year. 

14 (B) AVAILABILITY.—Amounts authorized 

15 to be appropriated by subparagraph (A) shall 

16 remain available until expended. 

17 (j) DEVELOPMENT COST LIMITATIONS.— 

18 (1) IN GENERAL.—The Secretary shall periodi19 cally establish development cost limitations by mar20 ket area for various types and sizes of supportive 

21 housing for very low-income veteran families by pub22 lishing a notice of the cost limitations in the Federal 

23 Register. The cost limitations shall reflect— 

24 (A) the cost of construction, reconstruc25 tion, or moderate or substantial rehabilitation 


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1 of supportive housing for very low-income vet2 eran families that meets applicable State and 

3 local housing and building codes; 

4 (B) the cost of movables necessary to the 

5 basic operation of the housing, as determined 

6 by the Secretary; 

7 (C) the cost of special design features nec8 essary to make the housing accessible to very 

9 low-income veteran families; 

10 (D) the cost of congregate space necessary 

11 to accommodate the provision of supportive 

12 services to veteran families; 

13 (E) if the housing is newly constructed, the 

14 cost of meeting the energy efficiency standards 

15 promulgated by the Secretary in accordance 

16 with section 109 of the Cranston-Gonzalez Na17 tional Affordable Housing Act (42 U.S.C. 

18 12709); and 

19 (F) the cost of land, including necessary 

20 site improvement. 

21 (2) USE OF DATA.—In establishing development 

22 cost limitations for a given market area under this 

23 subsection, the Secretary shall use data that reflect 

24 currently prevailing costs of construction, reconVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 struction, or moderate or substantial rehabilitation, 

2 and land acquisition in the area. 

3 (3) CONGREGATE SPACE.—For purposes of 

4 paragraph (1), a congregate space shall include 

5 space for cafeterias or dining halls, community 

6 rooms or buildings, workshops, child care, adult day 

7 health facilities or other outpatient health facilities, 

8 or other essential service facilities. 

9 (4) COMMERCIAL FACILITIES.—Neither this 

10 section nor any other provision of law may be con11 strued as prohibiting or preventing the location and 

12 operation, in a project assisted under this section, of 

13 commercial facilities for the benefit of residents of 

14 the project and the community in which the project 

15 is located, except that assistance made available 

16 under this section may not be used to subsidize any 

17 such commercial facility. 

18 (5) ACQUISITION.—In the case of existing hous19 ing and related facilities to be acquired, the cost lim20 itations shall include— 

21 (A) the cost of acquiring such housing; 

22 (B) the cost of rehabilitation, alteration, 

23 conversion, or improvement, including the mod24 erate or substantial rehabilitation thereof; and 


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1 (C) the cost of the land on which the hous2 ing and related facilities are located. 

3 (6) ANNUAL ADJUSTMENTS.—The Secretary 

4 shall adjust the cost limitation not less than annu5 ally to reflect changes in the general level of con6 struction, reconstruction, and moderate and substan7 tial rehabilitation costs. 

8 (7) INCENTIVES FOR SAVINGS.— 

9 (A) SPECIAL HOUSING ACCOUNT.—The 

10 Secretary shall use the development cost limita11 tions established under paragraph (1) or (5) to 

12 calculate the amount of financing to be made 

13 available to individual owners. Owners which 

14 incur actual development costs that are less 

15 than the amount of financing shall be entitled 

16 to retain 50 percent of the savings in a special 

17 housing account. Such percentage shall be in18 creased to 75 percent for owners which add en19 ergy efficiency features which— 

20 (i) exceed the energy efficiency stand21 ards promulgated by the Secretary in ac22 cordance with section 109 of the Cranston23 Gonzalez National Affordable Housing Act 

24 (42 U.S.C. 12709); 


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1 (ii) substantially reduce the life-cycle 

2 cost of the housing; and 

3 (iii) reduce gross rent requirements. 

4 (B) USES.—The special housing account 

5 established under subparagraph (A) may be 

6 used— 

7 (i) to provide services to residents of 

8 the housing or funds set aside for replace9 ment reserves; or 

10 (ii) for such other purposes as deter11 mined by the Secretary. 

12 (8) DESIGN FLEXIBILITY.—The Secretary shall, 

13 to the extent practicable, give owners the flexibility 

14 to design housing appropriate to their location and 

15 proposed resident population within broadly defined 

16 parameters. 

17 (9) USE OF FUNDS FROM OTHER SOURCES.— 

18 An owner shall be permitted voluntarily to provide 

19 funds from sources other than this section for amen20 ities and other features of appropriate design and 

21 construction suitable for supportive housing under 

22 this section if the cost of such amenities is— 

23 (A) not financed with the advance; and 


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1 (B) is not taken into account in deter2 mining the amount of Federal assistance or of 

3 the rent contribution of tenants. 

4 (k) TENANT SELECTION.— 

5 (1) IN GENERAL.—An owner shall adopt writ6 ten tenant selection procedures that are— 

7 (A) satisfactory to the Secretary as— 

8 (i) consistent with the purpose of im9 proving housing opportunities for very low10 income veteran families; and 

11 (ii) reasonably related to program eli12 gibility and an applicant’s ability to per13 form the obligations of the lease; and 

14 (B) compliant with subtitle C of title VI of 

15 the Housing and Community Development Act 

16 of 1992 (42 U.S.C. 13601 et seq.) and any reg17 ulations issued under such subtitle. 

18 (2) NOTIFICATION OF REJECTION.—Owners 

19 shall promptly notify in writing any rejected appli20 cant of the grounds for any rejection. 

21 (3) INFORMATION REGARDING HOUSING.—The 

22 Secretary shall provide, to the Secretary of Veterans 

23 Affairs and the Secretary of Labor, information re24 garding the availability of the housing assisted under 

25 this section. Within 30 days of receipt of the inforVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00019 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 mation, the Secretary of Veterans Affairs and Sec2 retary of Labor shall provide such information to 

3 agencies in the area of the housing that receive as4 sistance from the Department of Veterans Affairs 

5 and the Department of Labor for providing medical 

6 care, housing, supportive services or employment 

7 and training services to homeless veterans. 

8 (l) MISCELLANEOUS PROVISIONS.— 

9 (1) TECHNICAL ASSISTANCE.—The Secretary 

10 shall make available appropriate technical assistance 

11 to ensure that prospective applicants are able to par12 ticipate more fully in the program carried out under 

13 this section. 

14 (2) CIVIL RIGHTS COMPLIANCE.—Each owner 

15 shall certify, to the satisfaction of the Secretary, 

16 that assistance made available under this section will 

17 be conducted and administered in conformity with 

18 title VI of the Civil Rights Act of 1964 (42 U.S.C. 

19 2000a et seq.), the Fair Housing Act (42 U.S.C. 

20 3601 et seq.), and other Federal, State, and local 

21 laws prohibiting discrimination and promoting equal 

22 opportunity. 

23 (3) OWNER DEPOSIT.— 

24 (A) IN GENERAL.—The Secretary shall re25 quire an owner of housing, assisted under this 


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1 section, to deposit an amount not to exceed 

2 $15,000 in a special escrow account to ensure 

3 the owner’s commitment to the housing. 

4 (B) REDUCTION OF REQUIREMENT.—The 

5 Secretary may reduce or waive the owner de6 posit specified under paragraph (3) for indi7 vidual applicants if the Secretary finds that 

8 such waiver or reduction is necessary to achieve 

9 the purposes of this section and the applicant 

10 demonstrates to the satisfaction of the Sec11 retary that it has the capacity to manage and 

12 maintain the housing in accordance with this 

13 section. The Secretary may reduce or waive the 

14 requirement of the owner deposit under para15 graph (3) in the case of a nonprofit applicant 

16 that is not affiliated with a national sponsor, as 

17 determined by the Secretary. 

18 (4) NOTICE OF APPEAL.—The Secretary shall 

19 notify an owner not less than 30 days prior to can20 celing any reservation of assistance provided under 

21 this section. During the 30-day period following the 

22 receipt of such notice, an owner may appeal the pro23 posed cancellation. Such appeal, including review by 

24 the Secretary, shall be completed not later than 45 

25 days after the appeal is filed. 


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1 (5) LABOR.— 

2 (A) IN GENERAL.—The Secretary shall 

3 take such action as may be necessary to ensure 

4 that all laborers and mechanics employed by 

5 contractors and subcontractors in the construc6 tion of housing with 12 or more units assisted 

7 under this section shall be paid wages at rates 

8 not less than the rates prevailing in the locality 

9 involved for the corresponding classes of labor10 ers and mechanics employed on construction of 

11 a similar character, as determined by the Sec12 retary of Labor in accordance with subchapter 

13 IV of chapter 31 of title 40, United States 

14 Code. 

15 (B) EXEMPTION.—Subparagraph (A) shall 

16 not apply to any individual who— 

17 (i) performs services for which the in18 dividual volunteered; 

19 (ii) does not receive compensation for 

20 such services or is paid expenses, reason21 able benefits, or a nominal fee for such 

22 services; and 

23 (iii) is not otherwise employed at any 

24 time in the construction work. 

25 (6) ACCESS TO RESIDUAL RECEIPTS.— 


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1 (A) IN GENERAL.—The Secretary shall au2 thorize the owner of a housing project assisted 

3 under this section to use any residual receipts 

4 held for the project in excess of $500 per unit 

5 (or in excess of such other amount prescribed 

6 by the Secretary based on the needs of the 

7 project) for activities to retrofit and renovate 

8 the project described under section 802(d)(3) of 

9 the Cranston-Gonzalez National Affordable 

10 Housing Act (42 U.S.C. 8011(d)(3)) or to pro11 vide supportive services to residents of the 

12 project. 

13 (B) REPORT.—Any owner that uses resid14 ual receipts under this paragraph shall submit 

15 to the Secretary a report, not less than annu16 ally, describing the uses of the residual receipts. 

17 (C) DETERMINATION OF AMOUNT.—In de18 termining the amount of project rental assist19 ance to be provided to a project under sub20 section (c)(3) of this section, the Secretary may 

21 take into consideration the residual receipts 

22 held for the project only if, and to the extent 

23 that, excess residual receipts are not used under 

24 this paragraph. 


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1 (7) OCCUPANCY STANDARDS AND OBLIGA2 TIONS.—Each owner shall operate housing, assisted 

3 under this section, in compliance with subtitle C of 

4 title VI of the Housing and Community Develop5 ment Act of 1992 (42 U.S.C. 13601 et seq.) and 

6 any regulations issued under such subtitle. 

7 (8) USE OF PROJECT RESERVES.—Amounts for 

8 project reserves for a project assisted under this sec9 tion may be used for costs, subject to reasonable 

10 limitations as the Secretary determines appropriate, 

11 for reducing the number of dwelling units in the 

12 project. Such use shall be subject to the approval of 

13 the Secretary to ensure that the use is designed to 

14 retrofit units that are currently obsolete or unmar15 ketable. 

16 (m) DEFINITIONS.— 

17 (1) CONSUMER COOPERATIVE.—The term ‘‘con18 sumer cooperative’’ has the same meaning given 

19 such term for purposes of the supportive housing for 

20 the elderly program under section 202 of the Hous21 ing Act of 1959 (12 U.S.C. 1701q). 

22 (2) VERY LOW-INCOME VETERAN FAMILY.—The 

23 term ‘‘very low-income veteran family’’ means a vet24 eran family whose income does not exceed 50 per25 cent of the median income for the area, as deterVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00024 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 mined by the Secretary with adjustments for smaller 

2 and larger families, except that the Secretary may 

3 establish income ceiling higher or lower than 50 per4 cent of the median for the area on the basis of the 

5 Secretary’s findings that such variations are nec6 essary because of prevailing levels of construction 

7 costs or fair market rents (as determined under sec8 tion 8 of the United States Housing Act of 1937 (42 

9 U.S.C. 1437f)), or unusually high or low family in10 comes. 

11 (3) OWNER.—The term ‘‘owner’’ means a pri12 vate nonprofit organization or consumer cooperative 

13 that receives assistance under this section to develop 

14 and operate supportive housing for very low-income 

15 veteran families. 

16 (4) PRIVATE NONPROFIT ORGANIZATION.—The 

17 term ‘‘private nonprofit organization’’ means— 

18 (A) any incorporated private institution or 

19 foundation— 

20 (i) no part of the net earnings of 

21 which inures to the benefit of any member, 

22 founder, contributor, or individual; 

23 (ii) which has a governing board that 

24 is responsible for the operation of the 

25 housing assisted under this section; and 


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1 (iii) which is approved by the Sec2 retary as to financial responsibility; 

3 (B) a for-profit limited partnership the 

4 sole general partner of which is an organization 

5 meeting the requirements under clauses (i), (ii), 

6 and (iii) of subparagraph (A); 

7 (C) a corporation wholly owned and con8 trolled by an organization meeting the require9 ments under clauses (i), (ii), and (iii) of sub10 paragraph (A); and 

11 (D) a tribally designated housing entity, as 

12 such term is defined in section 4 of the Native 

13 American Housing Assistance and Self-Deter14 mination Act of 1996 (25 U.S.C. 4103). 

15 (5) SECRETARY.—The term ‘‘Secretary’’ means 

16 the Secretary of Housing and Urban Development, 

17 except where specifically provided otherwise. 

18 (6) STATE.—The term ‘‘State’’ includes the 

19 several States, the District of Columbia, the Com20 monwealth of Puerto Rico, and the possessions of 

21 the United States. 

22 (7) SUPPORTIVE HOUSING FOR VERY LOW-IN23 COME VETERAN FAMILIES.—The term ‘‘supportive 

24 housing for very low-income veteran families’’ means 

25 housing that is designed to accommodate the proviVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00026 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 sion of supportive services that are expected to be 

2 needed, either initially or over the useful life of the 

3 housing, by the veteran families that the housing is 

4 intended to serve. 

5 (8) VETERAN.—The term ‘‘veteran’’ has the 

6 meaning given the term in section 101 of title 38, 

7 United States Code. 

8 (9) VETERAN FAMILY.—The term ‘‘veteran 

9 family’’ includes a veteran who is a single person, a 

10 family (including families with children) whose head 

11 of household (or whose spouse) is a veteran, and one 

12 or more veterans living together with one or more 

13 persons. 

14 (n) ALLOCATION OF FUNDS.—Of any amounts made 

15 available for assistance under this section: 

16 (1) PLANNING GRANTS.—Not more than 2.5 

17 percent shall be available for planning grants in ac18 cordance with subsection (c)(1). 

19 (2) CAPITAL ADVANCES.—Such sums as may be 

20 necessary shall be available for capital advances in 

21 accordance with subsection (c)(2). 

22 (3) PROJECT RENTAL ASSISTANCE.—Such sums 

23 as may be necessary shall be available for project 

24 rental assistance in accordance with subsection 

25 (c)(3). 


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1 (4) TECHNICAL ASSISTANCE.—Not more than 1 

2 percent shall be available for technical assistance in 

3 accordance with subsection (l)(1). 

4 (o) AUTHORIZATION OF APPROPRIATIONS FOR HOUS5 ING ASSISTANCE.—There is authorized to be appropriated 

6 for assistance under this section $200,000,000 (not in7 cluding financial assistance under subsection (i)) for fiscal 

8 year 2007 and such sums as may be necessary for each 

9 fiscal year thereafter. 

10 SEC. 4. HOUSING CHOICE VOUCHERS FOR HOMELESS VET11 ERANS. 

12 Section 8(o)(19) of the United States Housing Act 

13 of 1937 (42 U.S.C. 1437f(o)) is amended to read as fol14 lows: 

15 ‘‘(19) RENTAL VOUCHERS FOR HOMELESS VET16 ERANS.— 

17 ‘‘(A) ADDITIONAL VOUCHERS.—In addition 

18 to any amount made available for rental assist19 ance under this subsection, the Secretary shall 

20 make available the amount specified in subpara21 graph (B), for use only for providing rental as22 sistance for homeless veterans in conjunction 

23 with the Secretary of Veterans Affairs. 

24 ‘‘(B) AMOUNT.—The amount specified in 

25 this subparagraph is, for each fiscal year, the 


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1 amount necessary to provide not fewer than 

2 20,000 vouchers for rental assistance under this 

3 subsection. 

4 ‘‘(C) FUNDING.—The budget authority 

5 made available under any other provisions of 

6 law for rental assistance under this subsection 

7 for fiscal year 2007 and each fiscal year there8 after is authorized to be increased in each such 

9 fiscal year by such sums as may be necessary 

10 to provide the number of vouchers specified in 

11 subparagraph (B) for such fiscal year.’’. 

12 SEC. 5. INCLUSION OF VETERANS IN HOUSING PLANNING. 

13 (a) PUBLIC HOUSING AGENCY PLANS.—Section 

14 5A(d)(1) of the United States Housing Act of 1937 (42 

15 U.S.C. 1437c-1(d)(1)) is amended by striking ‘‘and dis16 abled families’’ and inserting ‘‘, disabled families, and vet17 erans (as such term is defined in section 101 of title 38, 

18 United States Code)’’. 

19 (b) COMPREHENSIVE HOUSING AFFORDABILITY

20 STRATEGIES.— 

21 (1) IN GENERAL.—Section 105 of the Cran22 ston-Gonzalez National Affordable Housing Act (42 

23 U.S.C. 12705) is amended— 

24 (A) in subsection (b)(1), by inserting ‘‘vet25 erans (as such term is defined in section 101 of 


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1 title 38, United States Code),’’ after ‘‘acquired 

2 immunodeficiency syndrome,’’; 

3 (B) in subsection (b)(20), by striking ‘‘and 

4 service’’ and inserting ‘‘veterans service, and 

5 other service’’; and 

6 (C) in subsection (e)(1), by inserting ‘‘vet7 erans (as such term is defined in section 101 of 

8 title 38, United States Code),’’ after ‘‘homeless 

9 persons,’’. 

10 (2) CONSOLIDATED PLANS.—The Secretary of 

11 Housing and Urban Development shall revise the 

12 regulations relating to submission of consolidated 

13 plans (part 91 of title 24, Code of Federal Regula14 tions) in accordance with the amendments made by 

15 paragraph (1) of this subsection to require inclusion 

16 of appropriate information relating to veterans and 

17 veterans service agencies in all such plans. 

18 SEC. 6. EXCLUSION OF VETERANS BENEFITS FROM AS19 SISTED HOUSING RENT CONSIDERATIONS. 

20 (a) IN GENERAL.—Notwithstanding any other provi21 sion of law, for purposes of determining the amount of 

22 rent paid by a family for occupancy of a dwelling unit as23 sisted under a federally assisted housing program under 

24 subsection (b) or in housing assisted under a federally as25 sisted housing program, the income and the adjusted inVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00030 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 come of the family shall not be considered to include any 

2 amounts received by any member of the family from the 

3 Secretary of Veterans Affairs as— 

4 (1) compensation, as such term is defined in 

5 section 101(13) of title 38, United States Code; 

6 (2) dependency and indemnity compensation, as 

7 such term is defined in section 101(14) of such title; 

8 and 

9 (3) pension, as such term is defined in section 

10 101(15) of such title. 

11 (b) FEDERALLY ASSISTED HOUSING PROGRAM.— 

12 The federally assisted housing programs under this sub13 section are— 

14 (1) the public housing program under the 

15 United States Housing Act of 1937 (42 U.S.C. 1437 

16 et seq.); 

17 (2) the tenant-based rental assistance program 

18 under section 8 of the United States Housing Act of 

19 1937 (42 U.S.C. 1437f), including the program 

20 under subsection (o)(19) of such section for housing 

21 rental vouchers for low-income veteran families; 

22 (3) the project-based rental assistance program 

23 under section 8 of the United States Housing Act of 

24 1937 (42 U.S.C. 1437f); 


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1 (4) the program for housing opportunities for 

2 persons with AIDS under subtitle D of title VIII of 

3 the Cranston-Gonzalez National Affordable Housing 

4 Act (42 U.S.C. 12901 et seq.); 

5 (5) the supportive housing for the elderly pro6 gram under section 202 of the Housing Act of 1959 

7 (12 U.S.C. 1701q); 

8 (6) the supportive housing for persons with dis9 abilities program under section 811 of the Cranston10 Gonzalez National Affordable Housing Act (42 

11 U.S.C. 8013); 

12 (7) the supportive housing for the homeless pro13 gram under subtitle C of title IV of the McKinney14 Vento Homeless Assistance Act (42 U.S.C. 11381 et 

15 seq.); 

16 (8) the program for moderate rehabilitation of 

17 single room occupancy dwellings for occupancy by 

18 the homeless under section 441 of the McKinney19 Vento Homeless Assistance Act (42 U.S.C. 11401); 

20 (9) the shelter plus care for the homeless pro21 gram under subtitle F of title IV of the McKinney22 Vento Homeless Assistance Act (42 U.S.C. 11403 et 

23 seq.); 

24 (10) the supportive housing for very low-income 

25 veteran families program under section 3 of this Act; 


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1 (11) the rental assistance payments program 

2 under section 521(a)(2)(A) of the Housing Act of 

3 1949 (42 U.S.C. 1490a(a)(2)(A); 

4 (12) the rental assistance program under sec5 tion 236 of the National Housing Act (12 U.S.C. 

6 1715z–1); 

7 (13) the rural housing programs under section 

8 515 and 538 of the Housing Act of 1949 (42 U.S.C. 

9 1485, 1490p–2); 

10 (14) the HOME investment partnerships pro11 gram under title II of the Cranston-Gonzalez Na12 tional Affordable Housing Act (42 U.S.C. 12721 et 

13 seq.); 

14 (15) the block grant programs for affordable 

15 housing for Native Americans and Native Hawaiians 

16 under titles I through IV and VIII of the Native 

17 American Housing Assistance and Self-Determina18 tion Act of 1996 (25 U.S.C. 4111 et seq., 4221 et 

19 seq.); 

20 (16) the low-income housing tax credit program 

21 under section 42 of the Internal Revenue Code of 

22 1986; and 

23 (17) any other program for housing assistance 

24 administered by the Secretary of Housing and 

25 Urban Development or the Secretary of Agriculture 


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1 under which eligibility for occupancy in the housing 

2 assisted or for housing assistance is based upon in3 come. 

4 SEC. 7. TECHNICAL ASSISTANCE GRANTS FOR HOUSING AS5 SISTANCE FOR VETERANS. 

6 (a) IN GENERAL.—The Secretary of Housing and 

7 Urban Development shall, to the extent amounts are made 

8 available in appropriation Acts for grants under this sec9 tion, make grants to eligible entities under subsection (b) 

10 to provide to nonprofit organizations technical assistance 

11 appropriate to assist such organizations in— 

12 (1) sponsoring housing projects for veterans as13 sisted under programs administered by the Depart14 ment of Housing and Urban Development; 

15 (2) fulfilling the planning and application proc16 esses and requirements necessary under such pro17 grams administered by the Department; and 

18 (3) assisting veterans in obtaining housing or 

19 homeless assistance under programs administered by 

20 the Department. 

21 (b) ELIGIBLE ENTITIES.—An eligible entity under 

22 this subsection is a nonprofit entity or organization having 

23 such expertise as the Secretary shall require in providing 

24 technical assistance to providers of services for veterans. 


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1 (c) SELECTION OF GRANT RECIPIENTS.—The Sec2 retary of Housing and Urban Development shall establish 

3 criteria for selecting applicants for grants under this sec4 tion to receive such grants and shall select applicants 

5 based upon such criteria. 

6 (d) FUNDING.—Of any amounts made available in 

7 fiscal year 2007 or any fiscal year thereafter to the De8 partment of Housing and Urban Development for salaries 

9 and expenses, $1,000,000 shall be available, and shall re10 main available until expended, for grants under this sec11 tion. 

12 SEC. 8. ANNUAL REPORT ON HOUSING ASSISTANCE TO VET13 ERANS. 

14 (a) IN GENERAL.—Not later than December 31 each 

15 year, the Secretary of Housing and Urban Development 

16 shall submit a report on the activities relating to veterans 

17 of the Department of Housing and Urban Development 

18 during such year to the following: 

19 (1) The Committee on Banking, Housing, and 

20 Urban Affairs of the Senate. 

21 (2) The Committee on Veterans’ Affairs of the 

22 Senate. 

23 (3) The Committee on Appropriations of the 

24 Senate. 


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1 (4) The Committee on Financial Services of the 

2 House of Representatives. 

3 (5) The Committee on Veterans’ Affairs of the 

4 House of Representatives. 

5 (6) The Committee on Appropriations of the 

6 House of Representatives. 

7 (7) The Secretary of Veterans Affairs. 

8 (b) CONTENTS.—Each report required under sub9 section (a) shall include the following information with re10 spect to the year for which the report is submitted: 

11 (1) The number of very low-income veteran 

12 families provided assistance under the program of 

13 supportive housing for very low-income veteran fami14 lies under section 3 of this Act, the socioeconomic 

15 characteristics of such families, the types of assist16 ance provided such families, and the number, types, 

17 and locations of owners of housing assisted under 

18 such section. 

19 (2) The number of homeless veterans provided 

20 assistance under the program of housing choice 

21 vouchers for homeless veterans under section 

22 8(o)(19) of the United States Housing Act of 1937 

23 (42 U.S.C. 1437f(o)(19)) (as amended by section 4 

24 of this Act), the socioeconomic characteristics of 

25 such homeless veterans, and the number, types, and 


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1 locations of entities contracted under such section to 

2 administer the vouchers. 

3 (3) A summary description of the special con4 siderations made for veterans under public housing 

5 agency plans submitted pursuant to section 5A of 

6 the United States Housing Act of 1937 (42 U.S.C. 

7 1437c–1) and under comprehensive housing afford8 ability strategies submitted pursuant to section 105 

9 of the Cranston-Gonzalez National Affordable Hous10 ing Act (42 U.S.C. 12705). 

11 (4) A description of the technical assistance 

12 provided to organizations pursuant to grants under 

13 section 7 of this Act. 

14 (5) A description of the activities of the Special 

15 Assistant for Veterans Affairs. 

16 (6) A description of the efforts of the Depart17 ment of Housing and Urban Development to coordi18 nate the delivery of housing and services to veterans 

19 with other Federal departments and agencies, in20 cluding the Department of Defense, Department of 

21 Justice, Department of Labor, Department of 

22 Health and Human Services, Department of Vet23 erans Affairs, Interagency Council on Homelessness, 

24 and the Social Security Administration. 


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1 (7) The cost to the Department of Housing and 

2 Urban Development of administering the programs 

3 and activities relating to veterans. 

4 (8) Any other information that the Secretary 

5 considers relevant in assessing the programs and ac6 tivities relating to veterans of the Department of 

7 Housing and Urban Development 

8 (c) ASSESSMENT OF HOUSING NEEDS OF VERY LOW9 INCOME VETERAN FAMILIES.— 

10 (1) IN GENERAL.—For the first report sub11 mitted pursuant to subsection (a) and every fifth re12 port thereafter, the Secretary of Housing and Urban 

13 Development shall— 

14 (A) conduct an assessment of the housing 

15 needs of very low-income veteran families (as 

16 such term is defined for purposes of section 3); 

17 and 

18 (B) shall include in each such report find19 ings regarding such assessment. 

20 (2) CONTENT.—Each assessment under this 

21 subsection shall include— 

22 (A) conducting a survey of, and direct 

23 interviews with, a representative sample of very 

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1 fined for purposes of section 3) to determine 

2 past and current— 

3 (i) socioeconomic characteristics of 

4 such veteran families; 

5 (ii) barriers to such veteran families 

6 obtaining safe, quality, and affordable 

7 housing; 

8 (iii) levels of homelessness among 

9 such veteran families; and 

10 (iv) levels and circumstances of, and 

11 barriers to, receipt by such veteran families 

12 of rental housing and homeownership as13 sistance; and 

14 (B) such other information that the Sec15 retary determines, in consultation with the Sec16 retary of Veterans Affairs and national non17 governmental organizations concerned with vet18 erans, homelessness, and very low-income hous19 ing, may be useful to the assessment. 

20 (3) CONDUCT.—If the Secretary contracts with 

21 an entity other than the Department of Housing and 

22 Urban Development to conduct the assessment 

23 under this subsection, such entity shall be a non24 governmental organization determined by the SecVerDate Aug 31 2005 00:28 Jun 10, 2006 Jkt 049200 PO 00000 Frm 00039 Fmt 6652 Sfmt 6201 E:\BILLS\S3475.IS S3475

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1 retary to have appropriate expertise in quantitative 

2 and qualitative social science research. 

3 (4) FUNDING.—Of any amounts made available 

4 pursuant to section 501 of the Housing and Urban 

5 Development Act of 1970 (42 U.S.C. 1701z–1) for 

6 programs of research, studies, testing, or demonstra7 tion relating to the mission or programs of the De8 partment of Housing and Urban Development for 

9 any fiscal year in which an assessment under this 

10 subsection is required pursuant to paragraph (1) of 

11 this subsection, $1,000,000 shall be available until 

12 expended for costs of the assessment under this sub13 section. 

Æ 


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