IIA

103D CONGRESS

2D SESSION H. R. 4724

IN THE SENATE OF THE UNITED STATES

AUGUST 2 (legislative day, JULY 20), 1994

Received; read twice and referred to the Committee on Veterans’ Affairs

AN ACT

To amend title 38, United States Code, relating to veterans

housing programs, and for other purposes.

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

3 SECTION 1. ELIGIBILITY.

4 (a) RESERVISTS DISCHARGED BECAUSE OF A SERV5 ICE-CONNECTED DISABILITY.—Section 3701(b)(5)(A) of

6 title 38, United States Code, is amended—

7 (1) by inserting ‘‘(i)’’ before ‘‘who has’’; and

8 (2) by striking out the period at the end thereof

9 and inserting in lieu thereof ‘‘, or (ii) who was dis10 charged or released from the Selected Reserve before

11 completing 6 years of service because of a service12 connected disability.’’.
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1 (b) SURVIVING SPOUSES OF RESERVISTS WHO DIED

2 WHILE IN ACTIVE MILITARY, NAVAL, OR AIR SERVICE.—

3 The second sentence of section 3701(b)(2) of such title

4 is amended—

5 (1) by inserting ‘‘or service in the Selected Re6 serve’’ after ‘‘duty’’ each place it appears; and

7 (2) by striking out ‘‘spouse shall’’ and inserting

8 in lieu thereof ‘‘deceased spouse shall’’.

9 SEC. 2. PUBLIC AND COMMUNITY WATER AND SEWERAGE

10 SYSTEMS.

11 Section 3704 of title 38, United States Code, is

12 amended—

13 (1) by striking out subsection (e); and

14 (2) by redesignating subsections (f) and (g) as

15 subsections (e) and (f), respectively.

16 SEC. 3. REFINANCING LOANS.

17 (a) AUTHORITY TO GUARANTEE HOME REFINANCE

18 LOANS FOR ENERGY EFFICIENCY IMPROVEMENTS.—

19 (1) LOANS.—(A) Section 3710(a) of title 38,

20 United States Code, is amended by adding after

21 paragraph (10) the following:

22 ‘‘(11) To refinance in accordance with sub23 section (e) of this section an existing loan guaran24 teed, insured, or made under this chapter, and to

25 improve the dwelling securing such loan through en-
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1 ergy efficiency improvements, as provided in sub2 section (d) of this section.’’.

3 (B) Section 3710(e)(1) of such title is amended

4 by inserting ‘‘or subsection (a)(11)’’ after ‘‘sub5 section (a)(8)’’.

6 (2) FEE.—Section 3729(a)(2)(E) of such title

7 is amended by inserting ‘‘3710(a)(11),’’ after

8 ‘‘3710(a)(9)(B)(i),’’.

9 (b) REFINANCING ADJUSTABLE RATE MORTGAGES

10 TO FIXED RATE MORTGAGES.—Section 3710(e)(1)(A) of

11 such title is amended—

12 (1) by inserting ‘‘(i)’’ after ‘‘(A);

13 (2) by inserting ‘‘or’’ at the end of clause (i),

14 as designated by paragraph (1) of this subsection;

15 and

16 (3) by adding after such clause (i), the follow17 ing:

18 ‘‘(ii) the loan bears interest at a fixed rate that

19 is agreed upon by the veteran and the mortgagee,

20 and the loan being refinanced is an adjustable rate

21 loan.’’.

22 SEC. 4. MANUFACTURED HOME LOAN INSPECTIONS.

23 (a) CERTIFICATION OF CONFORMITY WITH STAND24 ARDS.—Section 3712(h) of title 38, United States Code,

25 is amended by amending paragraph (2) to read as follows:
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1 ‘‘(2) Any manufactured housing unit properly dis2 playing a certification of conformity to all applicable Fed3 eral manufactured home construction and safety stand4 ards pursuant to section 616 of the National Manufac5 tured Housing Construction and Safety Standards Act of

6 1974 (42 U.S.C. 5415) shall be deemed to meet the stand7 ards required by paragraph (1) of this subsection.’’.

8 (b) REPEAL OF INSPECTION REQUIREMENTS.—Sec9 tion 3712(j) of such title is amended—

10 (1) by striking out ‘‘refuses to permit the in11 spections provided for in subsection (h) of this sec12 tion; or in the case of manufactured homes which

13 are determined by the Secretary not to conform to

14 the aforesaid standards; or where the manufacturer

15 of manufactured homes’’; and

16 (2) by striking ‘‘warranty.’’ and inserting in

17 lieu thereof ‘‘warranty; in the case of manufactured

18 homes which are determined by the Secretary not to

19 conform to the standards provided for in subsection

20 (h) of this section; or in the case of a manufacturer

21 who has engaged in procedures or practices deter22 mined by the Secretary to be unfair or prejudicial to

23 veterans or the Government.’’.

24 (c) ELIMINATION OF REPORTING REQUIREMENT.—

25 Section 3712(l) of such title is amended—
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1 (1) by striking out ‘‘the results of inspections

2 required by subsection (h) of this section,’’; and

3 (2) by striking out ‘‘section, and’’ and inserting

4 in lieu thereof ‘‘section and’’.

5 SEC. 5. PROCEDURES ON DEFAULT.

6 (a) IN GENERAL.—Paragraph (7) of section 3732(c)

7 of title 38, United States Code, is amended—

8 (1) by striking out ‘‘that was the minimum

9 amount for which, under applicable State law, the

10 property was permitted to be sold at the liquidation

11 sale’’ in the matter preceding subparagraph (A);

12 (2) by striking out ‘‘the Secretary may accept

13 conveyance of the property to the United States for

14 a price not exceeding’’ and inserting in lieu thereof

15 ‘‘(i) the amount was the minimum amount for

16 which, under applicable State law, the property was

17 permitted to be sold at the liquidation sale, the hold18 er shall have the option to convey the property to

19 the United States in return for payment by the Sec20 retary of an amount equal to’’;

21 (3) by striking out ‘‘and’’ at the end of clause

22 (i), as so designated by paragraph (2), and inserting

23 in lieu thereof ‘‘or’’;

24 (4) by adding after such clause (i) the follow25 ing:
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1 ‘‘(ii) there was no minimum amount for which

2 the property had to be sold at the liquidation sale

3 under applicable State law, the holder shall have the

4 option to convey the property to the United States

5 in return for payment by the Secretary of an

6 amount equal to the lesser of such net value or total

7 indebtedness; and’’; and

8 (5) in subparagraph (B), by striking out ‘‘para9 graph (6)(B)’’ and inserting in lieu thereof ‘‘para10 graph (6)’’.

11 (b) CONFORMING AMENDMENT.—Paragraph (6) of

12 such section is amended—

13 (1) by striking out ‘‘either’’; and

14 (2) by striking out ‘‘sale or acquires’’ and all

15 that follows through ‘‘(B) the’’ and inserting in lieu

16 thereof ‘‘sale, the’’.

17 SEC. 6. MINIMUM ACTIVE-DUTY SERVICE REQUIREMENT.

18 Section 5303A(b)(3) of title 38, United States Code,

19 is amended—

20 (1) by striking out ‘‘or’’ at the end of subpara21 graph (E);

22 (2) by striking out the period at the end of sub23 paragraph (F) and inserting in lieu thereof ‘‘; or’’;

24 and
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1 (3) by inserting after subparagraph (F) the fol2 lowing:

3 ‘‘(G) to benefits under chapter 37 of this

4 title by reason of discharge or release from ac5 tive duty as a result of a reduction in force, as

6 determined by the Secretary of the military de7 partment concerned in accordance with regula8 tions prescribed by the Secretary of Defense or

9 by the Secretary of Transportation with respect

10 to the Coast Guard when it is not operating as

11 a service in the Navy.’’.

Passed the House of Representatives August 1,

1994.

Attest: DONNALD K. ANDERSON,

Clerk.