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[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3219 Introduced in House (IH)]

104th CONGRESS
  2d Session
                                H. R. 3219

   To provide Federal assistance for Indian tribes in a manner that 
recognizes the right of tribal self-governance, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             March 29, 1996

Mr. Lazio of New York (for himself, Mr. Bereuter, Mr. Hayworth, and Mr. 
   Johnson of South Dakota) introduced the following bill; which was 
      referred to the Committee on Banking and Financial Services

_______________________________________________________________________

                                 A BILL

 
   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 and table of contents.
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. Local housing management 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 occupancy by Indian families.
Sec. 202. Eligible affordable housing activities.
Sec. 203. Required affordable housing activities.
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. Repayment.
                 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. Termination of Indian public housing assistance under United 
                            States Housing Act of 1937.
Sec. 502. Termination of new commitments for rental assistance.
Sec. 503. Termination of youthbuild program assistance.
Sec. 504. Termination of HOME program assistance.
Sec. 505. Termination of housing assistance for the homeless.
Sec. 506. Savings provision.
Sec. 507. Effective date.
      TITLE VI--LOAN GUARANTEES FOR AFFORDABLE HOUSING ACTIVITIES

Sec. 601. Authority and requirements.
Sec. 602. Security and repayment.
Sec. 603. Interest.
Sec. 604. Treasury borrowing.
Sec. 605. Training and information.
Sec. 606. Limitations on amount of guarantees.
Sec. 607. Effective date.
        TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

Sec. 701. Loan guarantees for Indian housing.
Sec. 702. 40-year leasehold interest in trust or restricted lands for 
                            housing purposes.
Sec. 703. National American Indian Housing Council.
Sec. 704. Effective date.

SEC. 2. CONGRESSIONAL FINDINGS.

    The Congress hereby 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 that are safe, 
                clean, and healthy 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 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) clause 3 of section 8 of article I of the Constitution 
        of the United States provides that ``The Congress shall have 
        Power . . . To regulate Commerce . . . with the Indian tribes'' 
        and pursuant to this and other constitutional authority, the 
        Congress has plenary power over Indian affairs;
            (4) the Congress, through treaties, statutes, and the 
        general course of dealing with Indian tribes, has assumed the 
        responsibility for the protection and preservation of Indian 
        tribes and for working with tribes and their members to improve 
        their socio-economic status so that they are able to take 
        greater responsibility for their own economic condition;
            (5) providing affordable and healthy homes is an essential 
        element in the Federal Government's role in helping tribes and 
        their members to achieve a socio-economic status comparable to 
        their non-Indian neighbors;
            (6) the need for affordable and healthy homes 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 
        tribal self-governance by making such assistance available 
        directly to the tribes or tribally designated entities.

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) 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.
            (2) Families and persons.--
                    (A) Single persons.--The term ``families'' includes 
                families consisting of a single person in the case of 
                (i) an elderly person, (ii) a disabled person, (iii) a 
                displaced person, (iv) the remaining member of a tenant 
                family, and (v) any other single persons.
                    (B) Families.--The term ``families'' includes 
                families with children and, in the cases of elderly 
                families, near-elderly families, and disabled families, 
                means families whose heads (or their spouses), or whose 
                sole members, are elderly, near-elderly, or persons 
                with disabilities, respectively. The term includes, in 
                the cases of elderly families, near-elderly families, 
                and disabled families, 2 or more elderly persons, near-
                elderly persons, or persons with disabilities living 
                together, and 1 or more such persons living with 1 or 
                more persons determined under the regulations of the 
                Secretary to be essential to their care or well-being.
                    (C) Absence of children.--The temporary absence of 
                a child from the home due to placement in foster care 
                shall not be considered in determining family 
                composition and family size for purposes of this Act.
                    (D) Elderly person.--The term ``elderly person'' 
                means a person who is at least 62 years of age.
                    (E) Person with disabilities.--The term ``person 
                with disabilities'' means a person who--
                            (i) has a disability as defined in section 
                        223 of the Social Security Act,
                            (ii) is determined, pursuant to regulations 
                        issued by the Secretary, to have a physical, 
                        mental, or emotional impairment which (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
                            (iii) 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.
                    (F) Displaced person.--The term ``displaced 
                person'' means a person displaced by governmental 
                action, or a person whose dwelling has been extensively 
                damaged or destroyed as a result of a disaster declared 
                or otherwise formally recognized pursuant to Federal 
                disaster relief laws.
                    (G) Near-elderly person.--The term ``near-elderly 
                person'' means a person who is at least 50 years of age 
                but below the age of 62.
            (3) 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.
            (4) Indian.--The term ``Indian'' means any person who is a 
        member of an Indian tribe.
            (5) Indian area.--The term ``Indian area'' means the area 
        within which a tribally designated housing entity is authorized 
to provide assistance under this Act for affordable housing.
            (6) Indian tribe.--The term ``Indian tribe'' means--
                    (A) any Indian or Alaska Native tribe, band, 
                nation, pueblo, village, or community that the 
                Secretary of the Interior acknowledges to exist as an 
                Indian tribe pursuant to the Federally Recognized 
                Indian Tribe List Act of 1994; and
                    (B) any tribe, band, nation, pueblo, village, or 
                community that--
                            (i) has been recognized as an Indian tribe 
                        by any State; and
                            (ii) for which an Indian housing authority 
                        is eligible, on the date of the enactment of 
                        this Act, to enter into a contract with the 
                        Secretary pursuant to the United States Housing 
                        Act of 1937.
            (7) Local housing management plan.--The term ``local 
        housing management plan'' means a plan under section 102.
            (8) 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, 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 authority's findings that such variations are necessary 
        because of unusually high or low family incomes.
            (9) Median income.--The term ``median income'' means, with 
        respect to an area, the greater of--
                    (A) the median income for such area; or
                    (B) the median income for the United States.
            (10) Recipient.--The term ``recipient'' means the entity 
        for an Indian tribe that is authorized to receive grant amounts 
        under this Act on behalf of the tribe, which may only be the 
        tribe or the tribally designated housing entity for the tribe.
            (11) Tribally designated housing entity.--The terms 
        ``tribally designated housing entity'' and ``housing entity'' 
        mean--
                    (A) an entity other than the tribal government 
                that--
                            (i) is authorized to receive grant amounts 
                        and provide assistance under this Act for 
                        affordable housing for Indians; and
                            (ii) is established--
                                    (I) by exercise of the power of 
                                self-government of an Indian tribe 
                                independent of State law; or
                                    (II) by operation of State law 
                                providing specifically for housing 
                                authorities or housing entities for 
                                Indians, including regional housing 
                                authorities in the State of Alaska; and
                    (B) any Indian housing authority that--
                            (i) was established for purposes of the 
                        United States Housing Act of 1937 before the 
                        date of the enactment of this Act and meets the 
                        requirements under the United States Housing 
                        Act of 1937; and
                            (ii) is not an Indian tribe for purposes of 
                        this Act.
        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. 
        Nothing in this Act may be construed to affect the existence, 
        or the ability to operate, of any Indian housing authority 
        established before the date of the enactment of this Act by a 
        State-recognized tribe, band, nation, pueblo, village, or 
        community of Indian or Alaska Natives that is not an Indian 
        tribe for purposes of this Act.
            (12) Secretary.--The term ``Secretary'' means the Secretary 
        of Housing and Urban Development, except as otherwise specified 
        in this Act.

              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) Condition of Grant.--The Secretary may make a grant under this 
Act on behalf of an Indian tribe for a fiscal year only if--
            (1) the Indian tribe has submitted to the Secretary a local 
        housing management plan for such fiscal year under section 102; 
        and
            (2) the plan has been determined under section 103 to 
        comply with the requirements of section 102.
    (c) Amount.--Except as otherwise provided under title II, 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.
    (d) Use for Affordable Housing Activities.--Except as provided in 
subsection (f), amounts provided under a grant under this section may 
be used only for affordable housing activities under title II.
    (e) Effectuation of LHMP.--Except as provided in subsection (f), 
amounts provided under a grant under this section may be used only for 
affordable housing activities that are consistent with the approved 
local housing management plan under section 103 for the grant 
beneficiary on whose behalf the grant is made.
    (f) Administrative Expenses.--
            (1) In general.--The Secretary shall, by regulation, 
        authorize each recipient to use a percentage of any grant 
        amounts received under this Act for any 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 a local housing management plan under 
        section 102.
            (2) Contents of regulations.--The regulations referred to 
        in paragraph (1) shall provide that--
                    (A) the Secretary shall, for each recipient, 
                establish a percentage referred to in paragraph (1) 
                based on the specific circumstances of the recipient 
                and the tribes served by the recipient; and
                    (B) the Secretary may review the percentage for a 
                recipient upon the written request of the recipient 
                specifying the need for such review or the initiative 
                of the Secretary and, pursuant to such review, may 
                revise the percentage established for the recipient.
            (3) Development of regulations under negotiated rulemaking 
        procedure.--Notwithstanding sections 563(a) and 565(a) of title 
        5, United States Code, the regulations required under this 
        subsection shall be issued according to a negotiated rulemaking 
        procedure under subchapter III of chapter 5 of title 5, United 
        States Code. The Secretary shall establish a negotiated 
        rulemaking committee for development of any such proposed 
        regulations, which shall include representatives of Indian 
        tribes.
    (g) 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 
local housing management plan for the tribe that is the grant 
beneficiary.

SEC. 102. LOCAL HOUSING MANAGEMENT PLANS.

    (a) In General.--
            (1) Submission.--The Secretary shall provide for an Indian 
        tribe to submit to the Secretary, for each fiscal year, a local 
        housing management plan under this section for the tribe (or 
        for the tribally designated housing entity for a tribe to 
        submit the plan under subsection (e) for the tribe) and for the 
        review of such plans.
            (2) Locally driven national objectives.--A local housing 
        management plan shall describe--
                    (A) the mission of the tribe with respect to 
                affordable housing or, in the case of a recipient that 
                is a tribally designated housing entity, the mission of 
                the housing entity;
                    (B) the goals, objectives, and policies of the 
                recipient to meet the housing needs of low-income 
                families in the jurisdiction of the housing entity, 
                which shall be designed to achieve the national 
                objectives under section 201(a); and
                    (C) how the locally established mission and 
                policies of the recipient are designed to achieve, and 
                are consistent with, the national objectives under 
                section 201(a).
    (b) Contents.--A local housing management plan under this section 
for an Indian tribe shall contain the following information relating to 
the upcoming fiscal year for which the assistance under this Act is to 
be made available:
            (1) Financial resources.--An operating budget for the 
        recipient for the tribe that includes--
                    (A) 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 how amounts made available 
                will leverage such additional resources and 
                identification of any tribal or publicly owned land or 
                property that may be utilized to carry out the purposes 
                of this Act; and
                    (B) the uses to which such resources will be 
                committed, including eligible and required affordable 
                housing activities under title II to be assisted and 
                administrative expenses.
            (2) Affordable housing.--For the jurisdiction within which 
        the recipient is authorized to use assistance under this Act--
                    (A) a description of the estimated housing needs 
                and the need for assistance for very low-income and 
                moderate-income families, specifying such needs for 
                different types of tenure and for different categories 
                of residents, such as low-income and moderate-income 
                families, elderly persons, persons with disabilities, 
                single persons, large families, families who are 
                participating in an organized program to achieve 
                economic independence and self-sufficiency, persons 
                with acquired immunodeficiency syndrome, and other 
                categories of persons that the Secretary determines to 
                be appropriate;
                    (B) a description of the nature and extent of 
                homelessness, including an estimate of the special 
                needs of various categories of persons who are homeless 
                or threatened with homelessness, and a description of 
                the recipient's strategy for (i) helping low-income 
                families avoid becoming homeless, (ii) addressing the 
                emergency shelter and transitional housing needs of 
                homeless persons (including a brief inventory of 
                available facilities and services that meet such needs, 
                and (iii) helping homeless persons make the transition 
                to permanent housing and independent living;
                    (C) a description of the significant 
                characteristics of the housing market, indicating how 
                such characteristics will influence the use of amounts 
                made available under this Act for rental assistance, 
                production of new units, rehabilitation of old units, 
                or acquisition of existing units;
                    (D) an explanation of whether the cost of housing 
                or the incentives to develop, maintain, or improve 
                affordable housing are affected by public policies 
                (including policies of the recipient, tax policies 
                affecting land and other property, land use controls, 
                zoning ordinances, building codes, fees and charges, 
                growth limits, and policies that affect the return on 
                residential investment) and a description of the 
                strategy to remove or ameliorate negative effects, if 
                any, of such policies;
                    (E) an explanation of the institutional structure, 
                including private industry, nonprofit organizations, 
                and public institutions, through which the recipient 
                will carry out housing activities under the local 
                housing management plan, assessing the strengths and 
                gaps in the delivery system and describing what the 
                recipient will do to overcome any such gaps;
                    (F) a description of how the plan will address the 
                housing needs identified pursuant to subparagraphs (A) 
                and (B), describing the reasons for allocation 
                priorities, and identify any obstacles to addressing 
                underserved needs;
                    (G) a description of the means of cooperation and 
                coordination between the recipient and any State or 
                units of general local government in the development, 
                submission, and implementation of their housing plans;
                    (H) a description of the standards and procedures 
                under which the recipient will monitor activities 
                assisted under this Act and ensure long-term compliance 
                with the provisions of this Act;
                    (I) a certification that the recipient comply with 
                title II of the Civil Rights Act of 1968 in carrying 
                out this Act, to the extent that such title is 
                applicable;
                    (J) a statement of the number of families for whom 
                the recipient will provide affordable housing using 
                grant amounts provided under this Act; and
                    (K) taking into consideration only factors over 
                which the recipient has control, a description of the 
                goals, programs, and policies for reducing the number 
                of households with incomes below the poverty line (as 
                defined by the Office of Management and Budget and 
                revised annually) and, in consultation with other 
                appropriate public and private agencies, a statement of 
                how the goals, programs, and policies for producing and 
                preserving affordable housing will be coordinated with 
                other programs and services for which the recipient is 
                responsible and the extent to which they will reduce 
                (or assist in reducing) the number of households with 
                incomes below the poverty line; and
            (3) Indian housing developed under united states housing 
        act of 1937.--A plan describing how the recipient for the tribe 
        will comply with the requirements under section 203 relating to 
        low-income housing owned or operated by the housing entity that 
        was developed pursuant to a contract between the Secretary and 
        an Indian housing authority pursuant to the United States 
        Housing Act of 1937, which shall include--
                    (A) an estimate of the market rent value of any 
                such housing owned or operated by the housing entity;
                    (B) a statement of the policies of the recipient 
                governing eligibility, admissions, and occupancy of 
                families with respect to dwelling units in such 
                housing;
                    (C) a statement of the policies of the recipient 
                governing rents charged for dwelling units in such 
                housing, including--
                            (i) the methods by which such rents are 
                        determined; and
                            (ii) an analysis of how such methods 
                        affect--
                                    (I) the ability of the recipient to 
                                provide affordable housing for low-
                                income families having a broad range of 
                                incomes;
                                    (II) the affordability of housing 
                                for families having incomes that do not 
                                exceed 30 percent of the median family 
                                income for the area; and
                                    (III) the availability of other 
                                financial resources to the recipient 
                                for use for such housing;
                    (D) a statement of the standards and policies of 
                the recipient governing maintenance and management of 
                such housing, and management of the recipient with 
                respect to administration of such housing, including--
                            (i) housing quality standards;
                            (ii) routine and preventative maintenance 
                        policies;
                            (iii) emergency and disaster plans;
                            (iv) rent collection and security policies;
                            (v) priorities and improvements for 
                        management of the housing; and
                            (vi) priorities and improvements for 
                        management of the recipient, including 
                        improvement of electronic information systems 
                        to facilitate managerial capacity and 
                        efficiency;
                    (E) a plan describing--
                            (i) the capital improvements necessary to 
                        ensure long-term physical and social viability 
                        of such housing; and
                            (ii) the priorities of the recipient for 
                        capital improvements of such housing based on 
                        analysis of available financial resources, 
                        consultation with residents, and health and 
                        safety considerations;
                    (F) a description of any such housing to be 
                demolished or disposed of, a timetable for such 
                demolition or disposition, and any information required 
                under law with respect to such demolition or 
                disposition;
                    (G) a description of any homeownership programs of 
                the recipient to be carried out with respect to such 
                housing and the requirements and assistance available 
                under such programs;
                    (H) a description of how 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; and
                    (I) a description of the requirements established 
                by the recipient that promote the safety of residents 
                of such housing, facilitate the housing entity 
                undertaking crime prevention measures (such as 
                community policing, where appropriate), allow resident 
                input and involvement, and allow for creative methods 
                to increase resident safety by coordinating crime 
                prevention efforts between the recipient and tribal or 
                local law enforcement officials.
            (4) Indian housing loan guarantees.--A description of the 
        manner in which and extent to which loan guarantees under 
        section 184 of the Housing and Community Development Act of 
        1992 and title VI of this Act will be used to help in meeting 
        the needs for affordable housing in the jurisdiction of the 
        recipient for the tribe.
            (5) Distribution of assistance.--A description of--
                    (A) the geographical distribution (within the 
                jurisdiction of the recipient for the tribe) of the use 
                of grant amounts and how such geographical distribution 
                is consistent with the geographical distribution of 
                housing need (within such jurisdiction); and
                    (B) the distribution of the use of such assistance 
                for various categories of housing and how use for such 
                various categories is consistent with the priorities of 
                housing need (within the jurisdiction of the 
                recipient).
    (c) 5-Year Plan.--Each local housing management plan under this 
section for an Indian tribe shall contain, with respect to the 5-year 
period beginning with the fiscal year for which the plan is submitted, 
the following information:
            (1) Locally driven national objectives.--The information 
        described in subsection (a)(2).
            (2) Capital improvement overview.--If the recipient will 
        provide capital improvements for housing described in 
        subsection (b)(3) during such period, an overview of such 
        improvements, the rationale for such improvements, and an 
        analysis of how such improvements will enable the recipient to 
        meet its goals, objectives, and mission.
    (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 has had an 
opportunity to review the plan and has authorized the submission of the 
plan by the housing entity.
    (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 shall 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. 
        Such requirements shall 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 shall 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) Negotiated Rulemaking.--The requirements relating to the 
contents of plans under this section shall be established by 
regulation. Notwithstanding sections 563(a) and 565(a) of title 5, 
United States Code, any proposed regulation relating to the required 
contents of plans under this section shall be issued pursuant to a 
negotiated rulemaking procedure under subchapter III of chapter 5 of 
such title. The Secretary shall establish a negotiated rulemaking 
committee for development of any such proposed regulations, which shall 
include representatives of Indian tribes.

SEC. 103. REVIEW OF PLANS.

    (a) Review and Notice.--
            (1) Review.--The Secretary shall conduct a limited review 
        of each local housing management 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.
            (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 45 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 45-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) Standards for Determination of Noncompliance.--The Secretary 
may determine that a plan does not comply with the requirements under 
section 102 only if--
            (1) the plan is not consistent with the national objectives 
        under section 201(a);
            (2) the plan is incomplete in significant matters required 
        under such section;
            (3) there is evidence available to the Secretary that 
        challenges, in a substantial manner, any information provided 
        in the plan; or
            (4) the Secretary determines that the plan violates the 
        purposes of this Act because it fails to provide affordable 
        housing that will be viable on a long-term basis at a 
        reasonable cost.
    (d) Treatment of Existing Plans.--Notwithstanding any other 
provision of this Act, a plan shall be considered to have been 
submitted for an Indian tribe if the appropriate Indian housing 
authority has submitted to the Secretary a comprehensive plan under 
section 14(e) of the United States Housing Act of 1937 (as in effect 
immediately before the enactment of this Act) or under the 
comprehensive improvement assistance program under such section 14, and 
the Secretary has approved such plan, before January 1, 1997. The 
Secretary shall provide specific procedures and requirements for such 
tribes to amend such plans by submitting only such additional 
information as is necessary to comply with the requirements of section 
102.
    (e) Actions to Change Plan.--An Indian tribe for which a plan under 
section 102 has been submitted may change actions or policies described 
in the plan before submission and review of the plan for the next 
fiscal year only if the tribe (or tribally designated housing entity 
authorized under section 102(d))--
            (1) in the case of costly or nonroutine changes, submits to 
        the Secretary an amendment to the plan under subsection (f) 
        which is reviewed in accordance with such subsection; or
            (2) in the case of inexpensive or routine changes, 
        describes such changes in such local housing management plan 
        for the next fiscal year.
    (f) Amendments to Plan.--
            (1) In general.--During the annual or 5-year period covered 
        by the plan for an Indian tribe, the tribe (or tribally 
        designated housing entity for the tribe authorized under 
        section 102(e)) may submit to the Secretary any amendments to 
        the plan.
            (2) Review.--The Secretary shall conduct a limited review 
        of each proposed amendment submitted under this subsection to 
        determine whether the plan, as amended by the amendment, 
        complies with the requirements of section 102 and notify the 
        tribe for which the amendment is submitted whether the plan, as 
        amended, complies with such requirements not later than 30 days 
        after receiving the amendment. If the Secretary determines that 
        a plan, as amended, does not comply with the requirements under 
        section 102, such notice shall indicate the reasons for the 
        noncompliance and any modifications necessary for the plan to 
        meet the requirements under section 102. If the Secretary does 
        not notify the Indian tribe as required under this paragraph, 
        the plan, as amended, shall be considered, for purposes of this 
        section, to comply with the requirements under section 102.
            (3) Standards for determination of noncompliance.--The 
        Secretary may determine that a plan, as amended by a proposed 
        amendment, does not comply with the requirements under section 
        102 only if--
                    (A) the plan, as amended, would be subject to a 
                determination of noncompliance in accordance with the 
                provisions of subsection (c); or
                    (B) the Secretary determines that--
                            (i) the proposed amendment is plainly 
                        inconsistent with the activities specified in 
                        the plan; or
                            (ii) there is evidence that challenges, in 
                        a substantial manner, any information contained 
                        in the amendment; or
                    (C) the Secretary determines that the plan, as 
                amended, violates the purposes of this Act because it 
                fails to provide affordable housing that will be viable 
                on a long-term basis at a reasonable cost.
            (4) Amendments to extend time of performance.--
        Notwithstanding any other provision of this subsection, the 
        Secretary may not determine that any amendment to the plan for 
        an Indian tribe that extends the time for performance of 
        activities assisted with amounts provided under this Act fails 
        to comply with the requirements under section 102 if the 
        Secretary has not provided the amount of assistance set forth 
        in the plan or has not provided the assistance in a timely 
        manner.

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

    (a) Program Income.--
            (1) Authority to retain.--Notwithstanding any other 
        provision of law, 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.
            (2) Prohibition of reduction of grant.--The Secretary may 
        not reduce the grant amount for any Indian tribe based solely 
        on (1) whether the recipient for the tribe retains program 
        income under paragraph (1), or (2) the amount of any such 
        program income retained.
            (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) Treatment of Labor Standards.--The use of amounts provided 
under this Act to finance (in whole or in part) a contract for 
construction or rehabilitation work shall not cause such contract to be 
subject to the requirements of the Act of March 3, 1931 (40 U.S.C. 
276a-276a-5; commonly known as the Davis-Bacon Act) or to any other 
provision of law requiring payment of wages in accordance with such 
Act.

SEC. 105. ENVIRONMENTAL REVIEW.

    (a) In General.--In order to ensure that the policies of the 
National Environmental Policy Act of 1969 and other provisions of law 
which 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 under regulations provide for the release of amounts 
for particular projects to recipients of assistance under this Act who 
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. The Secretary shall issue regulations to 
carry out this section only after consultation with the Council on 
Environmental Quality. The regulations shall provide--
            (1) for the monitoring of the environmental reviews 
        performed under this section;
            (2) in the discretion of the Secretary, to facilitate 
        training for the performance of such reviews; and
            (3) for the suspension or termination of the assumption of 
        responsibilities under this section.
The Secretary's duty under the preceding sentence 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, at least 
15 days prior to such approval and prior to any commitment of funds to 
such projects the recipient of grant amounts has submitted to the 
Secretary a request for such release accompanied by a certification 
which meets the requirements of subsection (c). The Secretary's 
approval of any such certification shall be deemed to satisfy the 
Secretary's responsibilities 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 which 
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 recipient of assistance under this Act qualified 
        under regulations of the Secretary,
            (3) specify that the recipient 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 recipient of assistance and such 
        officer to accept the jurisdiction of the Federal courts for 
        the purpose of enforcement of the certifying officer's 
        responsibilities as such an official.

SEC. 106. REGULATIONS.

    Except as otherwise specifically provided in this Act, the 
Secretary shall issue any requirements and regulations necessary to 
carry out this Act as follows:
            (1) Interim requirements.--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 carry out this Act in the manner 
        provided in section 107(b), which shall be effective only for 
        fiscal year 1997. The notice shall invite public comments 
        regarding such interim requirements and final regulations to 
        carry out this Act and shall include general notice of proposed 
        rulemaking (for purposes of section 553(b) of title 5, United 
        States Code) of the final regulations under paragraph (2).
            (2) Final regulations.--The Secretary shall issue any 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 under section 107(a). The 
        regulations shall be issued after notice and opportunity for 
        public comment in accordance with the procedure under section 
        553 of title 5, United States Code, applicable to substantive 
        rules (notwithstanding subsections (a)(2), (b)(B), and (d)(3) 
        of such section).

SEC. 107. EFFECTIVE DATE.

    (a) In General.--Except as provided in subsection (b) and as 
otherwise specifically provided in this Act, this Act shall take effect 
on October 1, 1997.
    (b) Interim Applicability.--For fiscal year 1997, this Act shall 
apply to any Indian tribe that requests the Secretary to apply this Act 
to such tribe, subject to the provisions of this subsection, but only 
if the Secretary determines that the tribe has the capacity to carry 
out the responsibilities under this Act during such fiscal year. For 
fiscal year 1997, this Act shall apply to any such tribe subject to the 
following limitations:
            (1) Use of assistance amounts as block grant.--Amounts 
        shall not be made available pursuant to this Act for grants 
        under this Act for such fiscal year, but any amounts made 
        available for the tribe under the United States Housing Act of 
        1937, title II or subtitle D of title IV 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 be considered grant 
        amounts under this Act and shall be used subject to the 
        provisions of this Act relating to such grant amounts.
            (2) Local housing management plan.--Notwithstanding section 
        103 of this Act, a local housing management plan shall be 
        considered to have been submitted for the tribe for fiscal year 
        1997 for purposes of this Act only if--
                    (A) the appropriate Indian housing authority has 
                submitted to the Secretary a comprehensive plan under 
                section 14(e) of the United States Housing Act of 1937 
                or under the comprehensive improvement assistance 
                program under such section 14;
                    (B) the Secretary has approved such plan before 
                January 1, 1996; and
                    (C) the tribe complies with specific procedures and 
                requirements for amending such plan as the Secretary 
                may establish to carry out this subsection.

SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated for grants under title I 
$650,000,000, for each of fiscal years 1998, 1999, 2000, and 2001.

                TITLE II--AFFORDABLE HOUSING ACTIVITIES

SEC. 201. NATIONAL OBJECTIVES AND OCCUPANCY BY INDIAN FAMILIES.

    (a) Primary Objective.--The national objectives of this Act are--
            (1) to assist and promote affordable housing activities to 
        develop, maintain, and operate safe, clean, and healthy 
        affordable housing 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 self-sufficiency 
        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) Occupancy by Indian Families.--The local housing management 
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. In any case in which the applicable local housing 
management plan for an Indian tribe provides for preference under this 
subsection, the 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.

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, energy 
        auditing, 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 approved by the Secretary as appropriate for such 
        purpose.

SEC. 203. REQUIRED AFFORDABLE HOUSING ACTIVITIES.

    (a) Maintenance of Operating Assistance for Indian Housing.--Any 
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.
    (b) Demolition and Disposition.--This Act may not be construed to 
prevent any recipient (or entity funded by a recipient) from 
demolishing or disposing of Indian housing referred to in such 
subsection. Any provision of Federal law applicable to the demolition 
or disposition of public housing assisted under the United States 
Housing Act of 1937 (or any successor Act providing financial 
assistance for the operation of public housing) shall apply to the 
demolition or disposition of Indian housing referred to in subsection 
(a).

SEC. 204. TYPES OF INVESTMENTS.

    (a) In General.--Subject to section 203 and the local housing 
management plan for an Indian tribe, the recipient for such 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 under 
        subsection (b), 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) Leveraging Private Investment.--A recipient may leverage 
private investments in affordable housing activities by pledging 
existing or future grant amounts to assure the repayment of notes and 
other obligations of the recipient issued for purposes of carrying out 
affordable housing activities.

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

    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 
low-income family at the time of purchase; and
            (2) 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 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.

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 recipient of the assistance to 
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.--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 not be less 
        than--
                    (A) the period provided under the applicable law of 
                the jurisdiction or 14 days, whichever is less, in the 
                case of nonpayment of rent;
                    (B) a reasonable period of time, but not to exceed 
                14 days, when the health or safety of other residents 
                or employees of the owner or manager is threatened; and
                    (C) the period of time provided under the 
                applicable law of the jurisdiction, in any other case;
            (4) require that the owner or manager may not terminate the 
        tenancy except for violation of the terms or conditions of the 
        lease, violation of applicable Federal, tribal, State, or local 
        law, or for other good cause; and
            (5) 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 resident's household, or any guest 
        or other person under the resident's control, 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
                    (C) is criminal activity (including drug-related 
                criminal activity).
    (b) Tenant Selection.--The owner or manager of affordable rental 
housing assisted under 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 
        applicant's ability 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 local housing management 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. 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(a)(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.

                 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) Requirements.--The Secretary shall, by regulation under 
subsection (b), establish a formula to provide for allocating amounts 
available for a fiscal year for block grants under this Act among 
Indian tribes. 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 within 
        Indian areas of the tribe.
            (3) Other objectively measurable conditions as the 
        Secretary may specify.
    (b) Development Under Negotiated Rulemaking Procedure.--
Notwithstanding sections 563(a) and 565(a) of title 5, United States 
Code, the regulations required under subsection (a) of this section 
shall be issued according to a negotiated rulemaking procedure under 
subchapter III of chapter 5 of title 5, United States Code, not later 
than the expiration of the 12-month period beginning on the date of the 
enactment of this Act. The Secretary shall establish a negotiated 
rulemaking committee for development of any such proposed regulations, 
which shall include representatives of Indian tribes.

               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 which 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 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), the Secretary may, if the 
        Secretary has reason to believe that a recipient has failed to 
        comply substantially with any provision of this Act, 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 which 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 may, within 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 Secretary's action. The petitioner 
        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 
        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.--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. The Secretary may modify the Secretary's findings 
        of fact, or make new findings, by reason of the new evidence so 
        taken and filed with the court, and the Secretary shall also 
        file 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 
        shall also file the Secretary's recommendation, if any, for the 
        modification or setting aside of the Secretary's original 
        action.
            (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 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 on-site 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.

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 local housing management 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 local housing management plan of the grant 
        beneficiary;
            (3) indicate the recipient's programmatic accomplishments; 
        and
            (4) describe how 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 
recipient's jurisdiction 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, at least 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 local 
        housing management 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, on-
site visits by employees of the Department of Housing and Urban 
Development.
    (b) Report by Secretary.--The Secretary shall submit a written 
report to the Congress regarding each review under subsection (a). 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 recipient's comments and the report, with 
any revisions, readily available to the public not later than 30 days 
after receipt of the recipient's comments.
    (c) Effect of Reviews.--The Secretary may make appropriate 
adjustments in the amount of the annual grants under this Act in 
accordance with the Secretary's findings pursuant to reviews and audits 
under this section. The Secretary may adjust, reduce, or withdraw grant 
amounts, or take other action as appropriate in accordance with the 
Secretary's reviews and audits 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; and
            (2) a summary of the use of such funds during the preceding 
        fiscal year.
    (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. TERMINATION OF INDIAN PUBLIC HOUSING ASSISTANCE UNDER UNITED 
              STATES HOUSING ACT OF 1937.

    (a) In General.--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.--Except 
as provided in section 203(b) of this Act, 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. 502. 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.

SEC. 503. TERMINATION OF YOUTHBUILD PROGRAM ASSISTANCE.

    (a) In General.--Subtitle D of title IV of the Cranston-Gonzalez 
National Affordable Housing Act (42 U.S.C. 12899 et seq.) is amended--
            (1) by redesignating section 460 as section 461; and
            (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) Effective Date and Applicability.--The amendments under 
subsection (a) shall be made on October 1, 1997, and 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. 504. 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) Effective Date and Applicability.--The amendments under 
subsection (a) shall be made on October 1, 1997, and 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. 505. 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) in by striking ``Indian tribe,''; and
                    (B) by striking paragraph (3);
            (8) in section 441--
                    (A) by striking subsection (g);
                    (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 inseerting ``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 governent''.
    (c) Effective Date and Applicability.--The amendments under 
subsections (a) and (b) shall be made on October 1, 1997, and 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. 506. SAVINGS PROVISION.

    Except as provided in sections 501 and 502, 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.

SEC. 507. EFFECTIVE DATE.

    Sections 501, 502, and 506 shall take effect on the date of the 
enactment of this Act.

      TITLE VI--LOAN GUARANTEES FOR AFFORDABLE HOUSING ACTIVITIES

SEC. 601. AUTHORITY AND REQUIREMENTS.

    (a) Authority.--To such extent or in such amounts as provided in 
appropriation Acts, the Secretary may, subject to the limitations of 
this title 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, 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 issuer's total outstanding notes or obligations 
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.
    (e) Prohibition of Purchase by FFB.--Notes or other obligations 
guaranteed under this title may not be purchased by the Federal 
Financing Bank.
    (f) Prohibition of Guarantee Fees.--No fee or charge may be imposed 
by the Secretary or any other Federal agency on or with respect to a 
guarantee made by the Secretary under this title.

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; and
            (3) 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 
        dispositions 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. INTEREST.

    (a) Tax Treatment.--The interest paid on any obligation issued by 
an Indian tribe or housing entity and guaranteed pursuant to this title 
shall be included in gross income for the purpose of chapter 1 of the 
Internal Revenue Code of 1954.
    (b) Grants.--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 appropriation 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. TREASURY BORROWING.

    The Secretary may issue obligations to the Secretary of the 
Treasury in an amount outstanding at any one time sufficient to enable 
the Secretary to carry out the obligations of the Secretary under 
guarantees authorized by this title. The obligations issued under this 
section shall have such maturities and bear such rate or rates of 
interest as shall be determined by the Secretary of the Treasury. The 
Secretary of the Treasury is authorized and directed to purchase any 
obligations of the Secretary issued under this section, and for such 
purposes may use as a public debt transaction the proceeds from the 
sale of any securities issued under chapter 31 of title 31, United 
States Code, and the purposes for which such securities may be issued 
under such chapter are extended to include the purchases of the 
Secretary's obligations hereunder.

SEC. 605. 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. 606. 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 appropriation Acts, the 
Secretary shall enter into commitments to guarantee notes and 
obligations under this title with an aggregate principal amount of 
$400,000,000 for each of fiscal years 1997, 1998, 1999, 2000, and 2001.
    (b) Authorization of Appropriations for Credit Subsidy.--There is 
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, $40,000,000 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 limitation on guarantees under this title.

SEC. 607. EFFECTIVE DATE.

    This title shall take effect upon the enactment of this Act.

        TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

SEC. 701. LOAN GUARANTEES FOR INDIAN HOUSING.

    (a) Limitation on Outstanding Aggregate Principal Amount.--Section 
184(i)(5)(C) of the Housing and Community Development Act of 1992 (12 
U.S.C. 1515z-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''.
    (b) Authorization of Appropriations for Guarantee Fund.--Section 
184(i)(7) of the Housing and Community Development Act of 1992 is 
amended by striking ``such sums'' and all that follows through ``1994'' 
and inserting ``$30,000,000 for each of fiscal years 1997, 1998, 1999, 
2000, and 2001''.
    (c) Availability of Amounts.--
            (1) Requirement of appropriations.--Section 184(i)(5) of 
        the Housing and Community Development Act of 1992 is amended by 
        striking subparagraph (A) and inserting the following new 
        subparagraph:
                    ``(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 is amended by adding at the 
        end the following new sentence: ``Any amounts appropriated 
        pursuant to this subparagraph shall remain available until 
        expended.''.
    (d) LHMP Requirement.--Section 184(b)(2) of the Housing and 
Community Development Act of 1992 is amended by inserting before the 
period at the end the following: ``that is under the jurisdiction of an 
Indian tribe for which a local housing management 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''.

SEC. 702. 40-YEAR LEASEHOLD INTEREST IN TRUST OR RESTRICTED LANDS FOR 
              HOUSING PURPOSES.

    (a) Authority to Lease.--Notwithstanding any other provision of 
law, any restricted Indian lands, whether tribally or individually 
owned, may be leased by the Indian owners, with the approval of the 
Secretary of the Interior, for residential purposes.
    (b) Term.--Each lease pursuant to subsection (a) shall be for a 
term not exceeding 40 years.
    (c) Renewal.--A lease pursuant to subsection (a) may, with the 
consent of both parties to the lease, include provisions authorizing 
renewal of the lease for one additional term not exceeding 40 years.
    (d) Other Conditions.--Each lease pursuant to subsection (a) and 
each renewal of such a lease shall be made under such terms and 
regulations as may be prescribed by the Secretary of the Interior.
    (e) Rule of Construction.--This section may not be construed to 
repeal, limit, or affect any authority to lease any 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 40 years.

SEC. 703. NATIONAL AMERICAN INDIAN HOUSING COUNCIL.

    There is authorized to be appropriated for assistance for the 
National American Indian Housing Council for providing training and 
technical assistance to Indian housing authorities $2,000,000, for each 
of fiscal years 1997, 1998, 1999, 2000, and 2001.

SEC. 704. EFFECTIVE DATE.

    This title and the amendments made by this title shall take effect 
upon the enactment of this Act.
                                 <all>
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