H. R. 2099

One Hundred Fourth Congress

of the

United States of America

AT THE FIRST SESSION

Begun and held at the City of Washington on Wednesday,

the fourth day of January, one thousand nine hundred and ninety-five

An Act

Making appropriations for the Departments of Veterans Affairs and Housing and

Urban Development, and for sundry independent agencies, boards, commissions,

corporations, and offices for the fiscal year ending September 30, 1996, and

for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the

following sums are appropriated, out of any money in the Treasury

not otherwise appropriated, for the Departments of Veterans Affairs

and Housing and Urban Development, and for sundry independent

agencies, boards, commissions, corporations, and offices for the fiscal

year ending September 30, 1996, and for other purposes, namely:

TITLE I

DEPARTMENT OF VETERANS AFFAIRS

VETERANS BENEFITS ADMINISTRATION

COMPENSATION AND PENSIONS

(INCLUDING TRANSFER OF FUNDS)

For the payment of compensation benefits to or on behalf of veterans as authorized by law (38 U.S.C. 107, chapters 11, 13,

51, 53, 55, and 61); pension benefits to or on behalf of veterans

as authorized by law (38 U.S.C. chapters 15, 51, 53, 55, and 61;

92 Stat. 2508); and burial benefits, emergency and other officers’

retirement pay, adjusted-service credits and certificates, payment

of premiums due on commercial life insurance policies guaranteed

under the provisions of Article IV of the Soldiers’ and Sailors’

Civil Relief Act of 1940, as amended, and for other benefits as

authorized by law (38 U.S.C. 107, 1312, 1977, and 2106, chapters

23, 51, 53, 55, and 61; 50 U.S.C. App. 540–548; 43 Stat. 122,

123; 45 Stat. 735; 76 Stat. 1198); $17,649,972,000, to remain available until expended: Provided, That not to exceed $25,180,000 of

the amount appropriated shall be reimbursed to ‘‘General operating

expenses’’ and ‘‘Medical care’’ for necessary expenses in implementing those provisions authorized in the Omnibus Budget Reconciliation Act of 1990, and in the Veterans’ Benefits Act of 1992 (38

U.S.C. chapters 51, 53, and 55), the funding source for which

is specifically provided as the ‘‘Compensation and pensions’’ appropriation: Provided further, That such sums as may be earned on

an actual qualifying patient basis, shall be reimbursed to ‘‘Medical

facilities revolving fund’’ to augment the funding of individual medical facilities for nursing home care provided to pensioners as author-
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ized by the Veterans’ Benefits Act of 1992 (38 U.S.C. chapter

55): Provided further, That $12,000,000 previously transferred from

‘‘Compensation and pensions’’ to ‘‘Medical facilities revolving fund’’

shall be transferred to this heading.

READJUSTMENT BENEFITS

For the payment of readjustment and rehabilitation benefits

to or on behalf of veterans as authorized by law (38 U.S.C. chapters

21, 30, 31, 34, 35, 36, 39, 51, 53, 55, and 61), $1,345,300,000,

to remain available until expended: Provided, That funds shall

be available to pay any court order, court award or any compromise

settlement arising from litigation involving the vocational training

program authorized by section 18 of Public Law 98–77, as amended.

VETERANS INSURANCE AND INDEMNITIES

For military and naval insurance, national service life insurance, servicemen’s indemnities, service-disabled veterans insurance,

and veterans mortgage life insurance as authorized by law (38

U.S.C. chapter 19; 70 Stat. 887; 72 Stat. 487), $24,890,000, to

remain available until expended.

GUARANTY AND INDEMNITY PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct and guaranteed loans, such sums as

may be necessary to carry out the purpose of the program, as

authorized by 38 U.S.C. chapter 37, as amended: Provided, That

such costs, including the cost of modifying such loans, shall be

as defined in section 502 of the Congressional Budget Act of 1974,

as amended.

In addition, for administrative expenses to carry out the direct

and guaranteed loan programs, $65,226,000, which may be transferred to and merged with the appropriation for ‘‘General operating

expenses’’.

LOAN GUARANTY PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct and guaranteed loans, such sums as

may be necessary to carry out the purpose of the program, as

authorized by 38 U.S.C. chapter 37, as amended: Provided, That

such costs, including the cost of modifying such loans, shall be

as defined in section 502 of the Congressional Budget Act of 1974,

as amended.

In addition, for administrative expenses to carry out the direct

and guaranteed loan programs, $52,138,000, which may be transferred to and merged with the appropriation for ‘‘General operating

expenses’’.

DIRECT LOAN PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct loans, such sums as may be necessary

to carry out the purpose of the program, as authorized by 38

U.S.C. chapter 37, as amended: Provided, That such costs, including

the cost of modifying such loans, shall be as defined in section
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502 of the Congressional Budget Act of 1974, as amended: Provided

further, That during 1996, within the resources available, not to exceed $300,000 in gross obligations for direct loans are authorized

for specially adapted housing loans (38 U.S.C. chapter 37). In addition, for administrative expenses to carry out the direct loan program, $459,000, which may be transferred to and merged

with the appropriation for ‘‘General operating expenses’’.

EDUCATION LOAN FUND PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct loans, $1,000, as authorized by 38 U.S.C. 3698, as amended: Provided, That such costs, including the cost of modifying such loans, shall be as defined in section 502 of

the Congressional Budget Act of 1974, as amended: Provided further, That these funds are available to subsidize gross obligations for the principal amount of direct loans not to exceed $4,000.

In addition, for administrative expenses necessary to carry out the direct loan program, $195,000, which may be transferred

to and merged with the appropriation for ‘‘General operating

expenses’’.

VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct loans, $54,000, as authorized by 38

U.S.C. chapter 31, as amended: Provided, That such costs, including

the cost of modifying such loans, shall be as defined in section

502 of the Congressional Budget Act of 1974, as amended: Provided

further, That these funds are available to subsidize gross obligations

for the principal amount of direct loans not to exceed $1,964,000.

In addition, for administrative expenses necessary to carry

out the direct loan program, $377,000, which may be transferred

to and merged with the appropriation for ‘‘General operating

expenses’’.

NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For administrative expenses to carry out the direct loan program authorized by 38 U.S.C. chapter 37, subchapter V, as

amended, $205,000, which may be transferred to and merged with

the appropriation for ‘‘General operating expenses’’.

VETERANS HEALTH ADMINISTRATION

MEDICAL CARE

For necessary expenses for the maintenance and operation of

hospitals, nursing homes, and domiciliary facilities; for furnishing,

as authorized by law, inpatient and outpatient care and treatment

to beneficiaries of the Department of Veterans Affairs, including

care and treatment in facilities not under the jurisdiction of the

Department of Veterans Affairs, and furnishing recreational facilities, supplies, and equipment; funeral, burial, and other expenses

incidental thereto for beneficiaries receiving care in Department

of Veterans Affairs facilities; administrative expenses in support
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of planning, design, project management, real property acquisition

and disposition, construction and renovation of any facility under

the jurisdiction or for the use of the Department of Veterans Affairs;

oversight, engineering and architectural activities not charged to

project cost; repairing, altering, improving or providing facilities

in the several hospitals and homes under the jurisdiction of the

Department of Veterans Affairs, not otherwise provided for, either

by contract or by the hire of temporary employees and purchase

of materials; uniforms or allowances therefor, as authorized by

law (5 U.S.C. 5901–5902); aid to State homes as authorized by

law (38 U.S.C. 1741); and not to exceed $8,000,000 to fund cost

comparison studies as referred to in 38 U.S.C. 8110(a)(5);

$16,564,000,000, plus reimbursements: Provided, That of the funds

made available under this heading, $789,000,000 is for the equipment and land and structures object classifications only, which

amount shall not become available for obligation until August 1,

1996, and shall remain available for obligation until September

30, 1997.

MEDICAL AND PROSTHETIC RESEARCH

For necessary expenses in carrying out programs of medical

and prosthetic research and development as authorized by law

(38 U.S.C. chapter 73), to remain available until September 30,

1997, $257,000,000, plus reimbursements.

MEDICAL ADMINISTRATION AND MISCELLANEOUS OPERATING

EXPENSES

For necessary expenses in the administration of the medical,

hospital, nursing home, domiciliary, construction, supply, and

research activities, as authorized by law; administrative expenses

in support of planning, design, project management, architectural,

engineering, real property acquisition and disposition, construction

and renovation of any facility under the jurisdiction or for the

use of the Department of Veterans Affairs, including site acquisition; engineering and architectural activities not charged to project

cost; and research and development in building construction technology; $63,602,000, plus reimbursements.

TRANSITIONAL HOUSING LOAN PROGRAM

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct loans, $7,000, as authorized by Public

Law 102–54, section 8, which shall be transferred from the ‘‘General

post fund’’: Provided, That such costs, including the cost of modifying such loans, shall be as defined in section 502 of the Congressional Budget Act of 1974, as amended: Provided further, That

these funds are available to subsidize gross obligations for the

principal amount of direct loans not to exceed $70,000. In addition,

for administrative expenses to carry out the direct loan program,

$54,000, which shall be transferred from the ‘‘General post fund’’,

as authorized by Public Law 102–54, section 8.
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DEPARTMENTAL ADMINISTRATION

GENERAL OPERATING EXPENSES

For necessary operating expenses of the Department of Veterans Affairs, not otherwise provided for, including uniforms or allowances therefor, as authorized by law; not to exceed $25,000 for

official reception and representation expenses; hire of passenger

motor vehicles; and reimbursement of the General Services

Administration for security guard services, and the Department

of Defense for the cost of overseas employee mail; $848,143,000:

Provided, That of the amount appropriated and any other funds

made available from any other source for activities funded under

this heading, except reimbursements, not to exceed $214,109,000

shall be available for General Administration; including not to

exceed (1) $2,450,000 for personnel compensation and benefits and

$50,000 for travel in the Office of the Secretary, (2) $4,392,000

for personnel compensation and benefits and $75,000 for travel

in the Office of the Assistant Secretary for Policy and Planning,

(3) $1,980,000 for personnel compensation and benefits and $33,000

for travel in the Office of the Assistant Secretary for Congressional

Affairs, and (4) $3,500,000 for personnel compensation and benefits

and $100,000 for travel in the Office of Assistant Secretary for

Public and Intergovernmental Affairs: Provided further, That during

fiscal year 1996, notwithstanding any other provision of law, the

number of individuals employed by the Department of Veterans

Affairs (1) in other than ‘‘career appointee’’ positions in the Senior

Executive Service shall not exceed 6, and (2) in schedule C positions

shall not exceed 11: Provided further, That not to exceed $6,000,000

of the amount appropriated shall be available for administrative

expenses to carry out the direct and guaranteed loan programs

under the Loan Guaranty Program Account: Provided further, That

funds under this heading shall be available to administer the Service Members Occupational Conversion and Training Act: Provided

further, That the $25,500,000 earmarked in Public Law 103–327

for the acquisition of automated data processing equipment and

services to support the modernization program of the Veterans

Benefits Administration is available for any expense authorized

to be funded under this heading: Provided further, That none of

the funds under this heading (including funds referred to in the

preceding proviso) may be obligated or expended for the acquisition

of automated data processing equipment and services for Department of Veterans Affairs regional offices to support Stage III of

the automated data equipment modernization program of the Veterans Benefits Administration.

NATIONAL CEMETERY SYSTEM

For necessary expenses for the maintenance and operation of

the National Cemetery System not otherwise provided for, including

uniforms or allowances therefor, as authorized by law; cemeterial

expenses as authorized by law; purchase of three passenger motor

vehicles, for use in cemeterial operations; and hire of passenger

motor vehicles, $72,604,000.
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OFFICE OF INSPECTOR GENERAL

For necessary expenses of the Office of Inspector General in carrying out the provisions of the Inspector General Act of 1978,

as amended, $30,900,000.

CONSTRUCTION, MAJOR PROJECTS

(INCLUDING TRANSFER OF FUNDS)

For constructing, altering, extending and improving any of the

facilities under the jurisdiction or for the use of the Department

of Veterans Affairs, or for any of the purposes set forth in sections

316, 2404, 2406, 8102, 8103, 8106, 8108, 8109, 8110, and 8122

of title 38, United States Code, including planning, architectural

and engineering services, maintenance or guarantee period services

costs associated with equipment guarantees provided under the

project, services of claims analysts, offsite utility and storm drainage

system construction costs, and site acquisition, where the estimated

cost of a project is $3,000,000 or more or where funds for a project

were made available in a previous major project appropriation,

$136,155,000, to remain available until expended: Provided, That

except for advance planning of projects funded through the advance

planning fund and the design of projects funded through the design

fund, none of these funds shall be used for any project which

has not been considered and approved by the Congress in the

budgetary process: Provided further, That funds provided in this

appropriation for fiscal year 1996, for each approved project shall

be obligated (1) by the awarding of a construction documents contract by September 30, 1996, and (2) by the awarding of a construction contract by September 30, 1997: Provided further, That the

Secretary shall promptly report in writing to the Comptroller General and to the Committees on Appropriations any approved major

construction project in which obligations are not incurred within

the time limitations established above; and the Comptroller General

shall review the report in accordance with the procedures established by section 1015 of the Impoundment Control Act of 1974

(title X of Public Law 93–344): Provided further, That no funds

from any other account except the ‘‘Parking revolving fund’’, may

be obligated for constructing, altering, extending, or improving a

project which was approved in the budget process and funded

in this account until one year after substantial completion and

beneficial occupancy by the Department of Veterans Affairs of the

project or any part thereof with respect to that part only: Provided

further, That of the funds made available under this heading in

Public Law 103–327, $7,000,000 shall be transferred to the ‘‘Parking

revolving fund’’.

CONSTRUCTION, MINOR PROJECTS

For constructing, altering, extending, and improving any of

the facilities under the jurisdiction or for the use of the Department

of Veterans Affairs, including planning, architectural and engineering services, maintenance or guarantee period services costs associated with equipment guarantees provided under the project, services

of claims analysts, offsite utility and storm drainage system

construction costs, and site acquisition, or for any of the purposes

set forth in sections 316, 2404, 2406, 8102, 8103, 8106, 8108, 8109,

8110, and 8122 of title 38, United States Code, where the estimated
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cost of a project is less than $3,000,000, $190,000,000, to remain

available until expended, along with unobligated balances of previous ‘‘Construction, minor projects’’ appropriations which are

hereby made available for any project where the estimated cost

is less than $3,000,000: Provided, That funds in this account shall

be available for (1) repairs to any of the nonmedical facilities

under the jurisdiction or for the use of the Department of Veterans

Affairs which are necessary because of loss or damage caused by

any natural disaster or catastrophe, and (2) temporary measures

necessary to prevent or to minimize further loss by such causes.

PARKING REVOLVING FUND

For the parking revolving fund as authorized by law (38 U.S.C.

8109), income from fees collected, to remain available until

expended. Resources of this fund shall be available for all expenses

authorized by 38 U.S.C. 8109 except operations and maintenance

costs which will be funded from ‘‘Medical care’’.

GRANTS FOR CONSTRUCTION OF STATE EXTENDED CARE FACILITIES

For grants to assist the several States to acquire or construct

State nursing home and domiciliary facilities and to remodel, modify

or alter existing hospital, nursing home and domiciliary facilities

in State homes, for furnishing care to veterans as authorized by

law (38 U.S.C. 8131–8137), $47,397,000, to remain available until

expended.

GRANTS FOR THE CONSTRUCTION OF STATE VETERANS CEMETERIES

For grants to aid States in establishing, expanding, or improving State veteran cemeteries as authorized by law (38 U.S.C. 2408),

$1,000,000, to remain available until September 30, 1998.

ADMINISTRATIVE PROVISIONS

(INCLUDING TRANSFER OF FUNDS)

SEC. 101. Any appropriation for 1996 for ‘‘Compensation and

pensions’’, ‘‘Readjustment benefits’’, and ‘‘Veterans insurance and

indemnities’’ may be transferred to any other of the mentioned

appropriations.

SEC. 102. Appropriations available to the Department of Veterans Affairs for 1996 for salaries and expenses shall be available

for services as authorized by 5 U.S.C. 3109.

SEC. 103. No part of the appropriations in this Act for the

Department of Veterans Affairs (except the appropriations for

‘‘Construction, major projects’’, ‘‘Construction, minor projects’’, and

the ‘‘Parking revolving fund’’) shall be available for the purchase

of any site for or toward the construction of any new hospital

or home.

SEC. 104. No part of the foregoing appropriations shall be

available for hospitalization or examination of any persons except

beneficiaries entitled under the laws bestowing such benefits to

veterans, unless reimbursement of cost is made to the appropriation

at such rates as may be fixed by the Secretary of Veterans Affairs.

SEC. 105. Appropriations available to the Department of Veterans Affairs for fiscal year 1996 for ‘‘Compensation and pensions’’,

‘‘Readjustment benefits’’, and ‘‘Veterans insurance and indemnities’’
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shall be available for payment of prior year accrued obligations

required to be recorded by law against the corresponding prior

year accounts within the last quarter of fiscal year 1995.

SEC. 106. Appropriations accounts available to the Department

of Veterans Affairs for fiscal year 1996 shall be available to pay

prior year obligations of corresponding prior year appropriations

accounts resulting from title X of the Competitive Equality Banking

Act, Public Law 100–86, except that if such obligations are from

trust fund accounts they shall be payable from ‘‘Compensation

and pensions’’.

SEC. 107. Chapter 19 of title 38, United States Code, is amended

as follows:

(1) Section 1920 is amended—

(A) in subsection (a), by inserting ‘‘, and for the

reimbursement of administrative costs under subsection

(c)’’ before the period at the end of the second sentence;

and

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

‘‘(c)(1) For each fiscal year for which this subsection is in

effect, the Secretary shall, from the National Service Life Insurance

Fund, reimburse the ‘General operating expenses’ account of the

Department for the amount of administrative costs determined

under paragraph (2) for that fiscal year. Such reimbursement shall

be made from any surplus earnings for that fiscal year that are

available for dividends on such insurance after claims have been

paid and actuarially determined reserves have been set aside. However, if the amount of such administrative costs exceeds the amount

of such surplus earnings, such reimbursement shall be made only

to the extent of such surplus earnings. ‘‘(2) The Secretary shall determine the administrative costs

to the Department for a fiscal year for which this subsection is

in effect which, in the judgment of the Secretary, are properly

allocable to the provision of National Service Life Insurance (and

to the provision of any total disability income insurance added

to the provision of such insurance).

‘‘(3) This subsection shall be in effect only with respect to

fiscal year 1996.’’. (2) Section 1923 is amended—

(A) in subsection (a), by inserting ‘‘, and for the

reimbursement of administrative costs under subsection

(d)’’ before the period at the end of the last sentence;

and

(B) by adding at the end the following new subsection: ‘‘(d)(1) For each fiscal year for which this subsection is in

effect, the Secretary shall, from the Veterans’ Special Life Insurance

Fund, reimburse the ‘General operating expenses’ account of the

Department for the amount of administrative costs determined

under paragraph (2) for that fiscal year. Such reimbursement shall

be made from any surplus earnings for that fiscal year that are

available for dividends on such insurance after claims have been

paid and actuarially determined reserves have been set aside. However, if the amount of such administrative costs exceeds the amount

of such surplus earnings, such reimbursement shall be made only

to the extent of such surplus earnings.

‘‘(2) The Secretary shall determine the administrative costs

to the Department for a fiscal year for which this subsection is

in effect which, in the judgment of the Secretary, are properly
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allocable to the provision of Veterans’ Special Life Insurance (and

to the provision of any total disability income insurance added

to the provision of such insurance).

‘‘(3) This subsection shall be in effect only with respect to

fiscal year 1996.’’.

(3) Section 1955 is amended—

(A) in subsection (a), by inserting ‘‘, and for the

reimbursement of administrative costs under subsection

(c)’’ before the period at the end of the first sentence;

and

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

‘‘(c)(1) For each fiscal year for which this subsection is in

effect, the Secretary shall, from the United States Government

Life Insurance Fund, reimburse the ‘General operating expenses’

account of the Department for the amount of administrative costs

determined under paragraph (2) for that fiscal year. Such

reimbursement shall be made from any surplus earnings for that

fiscal year that are available for dividends on such insurance after

claims have been paid and actuarially determined reserves have

been set aside. However, if the amount of such administrative

costs exceeds the amount of such surplus earnings, such reimbursement shall be made only to the extent of such surplus earnings.

‘‘(2) The Secretary shall determine the administrative costs

to the Department for a fiscal year for which this subsection is

in effect which, in the judgment of the Secretary, are properly

allocable to the provision of United States Government Life Insurance (and to the provision of any total disability income insurance

added to the provision of such insurance).

‘‘(3) This subsection shall be in effect only with respect to

fiscal year 1996.’’.

(4) Section 1982 is amended by striking out ‘‘The United

States’’ and inserting in lieu thereof ‘‘Except as provided in

sections 1920(c), 1923(d), and 1955(c) of this title, the United

States’’.

SEC. 108. Notwithstanding any other provision of law, the

Secretary of Veterans Affairs is authorized to transfer, without

compensation or reimbursement, the jurisdiction and control of

a parcel of land consisting of approximately 6.3 acres, located on

the south edge of the Department of Veterans Affairs Medical

and Regional Office Center, Wichita, Kansas, including buildings

Nos. 8 and 30 and other improvements thereon, to the Secretary

of Transportation for the purpose of expanding and modernizing

United States Highway 54: Provided, That if necessary, the exact

acreage and legal description of the real property transferred shall

be determined by a survey satisfactory to the Secretary of Veterans

Affairs and the Secretary of Transportation shall bear the cost

of such survey: Provided further, That the Secretary of Transportation shall be responsible for all costs associated with the transferred land and improvements thereon, and compliance with all

existing statutes and regulations: Provided further, That the Secretary of Veterans Affairs and the Secretary of Transportation

may require such additional terms and conditions as each Secretary

considers appropriate to effectuate this transfer of land.

SEC. 109. During fiscal year 1996, not to exceed $4,500,000

may be transferred from ‘‘Medical care’’ to ‘‘Medical administration

and miscellaneous operating expenses’’. No transfer may occur until
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20 days after the Secretary of Veterans Affairs provides written

notice to the House and Senate Committees on Appropriations.

TITLE II

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

HOUSING PROGRAMS

ANNUAL CONTRIBUTIONS FOR ASSISTED HOUSING

For assistance under the United States Housing Act of 1937, as amended (‘‘the Act’’ herein) (42 U.S.C. 1437), not otherwise

provided for, $10,155,795,000, to remain available until expended:

Provided, That of the total amount provided under this head,

$160,000,000 shall be for the development or acquisition cost of

public housing for Indian families, including amounts for housing

under the mutual help homeownership opportunity program under

section 202 of the Act (42 U.S.C. 1437bb): Provided further, That

of the total amount provided under this head, $2,500,000,000 shall

be for modernization of existing public housing projects pursuant

to section 14 of the Act (42 U.S.C. 1437l), including up to

$20,000,000 for the inspection of public housing units, contract

expertise, and training and technical assistance, directly or

indirectly, under grants, contracts, or cooperative agreements, to

assist in the oversight and management of public and Indian housing (whether or not the housing is being modernized with assistance

under this proviso) or tenant-based assistance, including, but not

limited to, an annual resident survey, data collection and analysis,

training and technical assistance by or to officials and employees

of the Department and of public housing agencies and to residents

in connection with the public and Indian housing program: Provided

further, That of the total amount provided under this head,

$400,000,000 shall be for rental subsidy contracts under the section

8 existing housing certificate program and the housing voucher

program under section 8 of the Act, except that such amounts

shall be used only for units necessary to provide housing assistance

for residents to be relocated from existing federally subsidized or

assisted housing, for replacement housing for units demolished

or disposed of (including units to be disposed of pursuant to a

homeownership program under section 5(h) or title III of the United

States Housing Act of 1937) from the public housing inventory,

for funds related to litigation settlements, for the conversion of

section 23 projects to assistance under section 8, for public housing

agencies to implement allocation plans approved by the Secretary

for designated housing, for funds to carry out the family unification

program, and for the relocation of witnesses in connection with

efforts to combat crime in public and assisted housing pursuant

to a request from a law enforcement or prosecution agency: Provided

further, That of the total amount provided under this head,

$4,350,862,000 shall be for assistance under the United States

Housing Act of 1937 (42 U.S.C. 1437) for use in connection with

expiring or terminating section 8 subsidy contracts, such amounts

shall be merged with all remaining obligated and unobligated balances heretofore appropriated under the heading ‘‘Renewal of expiring section 8 subsidy contracts’’: Provided further, That notwithstanding any other provision of law, assistance reserved under

the two preceding provisos may be used in connection with any
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provision of Federal law enacted in this Act or after the enactment

of this Act that authorizes the use of rental assistance amounts

in connection with such terminated or expired contracts: Provided

further, That the Secretary may determine not to apply section

8(o)(6)(B) of the Act to housing vouchers during fiscal year 1996:

Provided further, That of the total amount provided under this

head, $610,575,000 shall be for amendments to section 8 contracts

other than contracts for projects developed under section 202 of

the Housing Act of 1959, as amended; and $261,000,000 shall

be for section 8 assistance and rehabilitation grants for property

disposition: Provided further, That during fiscal year 1996, the

Secretary of Housing and Urban Development may manage and

dispose of multifamily properties owned by the Secretary, including

the provision for grants from the General Insurance Fund (12

U.S.C. 1735c) for the necessary costs of rehabilitation and other

related development costs and multifamily mortgages held by the

Secretary without regard to any other provision of law: Provided

further, That 50 per centum of the amounts of budget authority,

or in lieu thereof 50 per centum of the cash amounts associated

with such budget authority, that are recaptured from projects

described in section 1012(a) of the Stewart B. McKinney Homeless

Assistance Amendments Act of 1988 (Public Law 100–628, 102

Stat. 3224, 3268) shall be rescinded, or in the case of cash, shall

be remitted to the Treasury, and such amounts of budget authority

or cash recaptured and not rescinded or remitted to the Treasury

shall be used by State housing finance agencies or local governments

or local housing agencies with projects approved by the Secretary

of Housing and Urban Development for which settlement occurred

after January 1, 1992, in accordance with such section: Provided

further, That of the total amount provided under this head,

$171,000,000 shall be for housing opportunities for persons with

AIDS under title VIII, subtitle D of the Cranston-Gonzalez National

Affordable Housing Act; and $65,000,000 shall be for the leadbased paint hazard reduction program as authorized under sections

1011 and 1053 of the Residential Lead-Based Hazard Reduction

Act of 1992: Provided further, That the Secretary may make up

to $5,000,000 of any amount recaptured in this account available

for the development of performance and financial systems.

Of the total amount provided under this head, $624,000,000,

plus amounts recaptured from interest reduction payment contracts

for section 236 projects whose owners prepay their mortgages during

fiscal year 1996 (which amounts shall be transferred and merged

with this account), shall be for use in conjunction with properties

that are eligible for assistance under the Low Income Housing

Preservation and Resident Homeownership Act of 1990 (LIHPRHA)

or the Emergency Low-Income Housing Preservation Act of 1987

(ELIHPA): Provided, That prior to July 1, 1996, funding to carry

out plans of action shall be limited to sales of projects to nonprofit organizations, tenant-sponsored organizations, and other

priority purchasers: Provided further, That of the amount made

available by this paragraph, up to $10,000,000 shall be available

for preservation technical assistance grants pursuant to section

253 of the Housing and Community Development Act of 1987,

as amended: Provided further, That with respect to amounts made

available by this paragraph, after July 1, 1996, if the Secretary

determines that the demand for funding may exceed amounts available for such funding, the Secretary (1) may determine priorities
H. R. 2099—12

for distributing available funds, including giving priority funding

to tenants displaced due to mortgage prepayment and to projects

that have not yet been funded but which have approved plans

of action; and (2) may impose a temporary moratorium on applications by potential recipients of such funding: Provided further,

That an owner of eligible low-income housing may prepay the

mortgage or request voluntary terminaton of a mortgage insurance

contract, so long as said owner agrees not to raise rents for sixty

days after such prepayment: Provided further, That an owner of

eligible low-income housing who has not timely filed a second notice

under section 216(d) prior to the effective date of this Act may

file such notice by March 1, 1996: Provided further, That such

developments have been determined to have preservation equity

at least equal to the lesser of $5,000 per unit or $500,000 per

project or the equivalent of eight times the most recently published

fair market rent for the area in which the project is located as

the appropriate unit size for all of the units in the eligible project:

Provided further, That the Secretary may modify the regulatory

agreement to permit owners and priority purchasers to retain rental

income in excess of the basic rental charge in projects assisted

under section 236 of the National Housing Act, for the purpose

of preserving the low and moderate income character of the housing:

Provided further, That the Secretary may give priority to funding

and processing the following projects provided that the funding

is obligated not later than August 1, 1996: (1) projects with approved

plans of action to retain the housing that file a modified plan

of action no later than July 1, 1996 to transfer the housing; (2)

projects with approved plans of action that are subject to a repayment or settlement agreement that was executed between the owner

and the Secretary prior to September 1, 1995; (3) projects for

which submissions were delayed as a result of their location in

areas that were designated as a Federal disaster area in a Presidential Disaster Declaration; and (4) projects whose processing was,

in fact or in practical effect, suspended, deferred, or interrupted

for a period of twelve months or more because of differing

interpretations, by the Secretary and an owner or by the Secretary

and a State or local rent regulatory agency, concerning the timing

of filing eligibility or the effect of a presumptively applicable State

or local rent control law or regulation on the determination of

preservation value under section 213 of LIHPRHA, as amended,

if the owner of such project filed notice of intent to extend the

low-income affordability restrictions of the housing, or transfer to

a qualified purchaser who would extend such restrictions, on or

before November 1, 1993: Provided further, That eligible low-income

housing shall include properties meeting the requirements of this

paragraph with mortgages that are held by a State agency as

a result of a sale by the Secretary without insurance, which immediately before the sale would have been eligible low-income housing

under LIHPRHA: Provided further, That notwithstanding any other

provision of law, subject to the availability of appropriated funds,

each unassisted low-income family residing in the housing on the

date of prepayment or voluntary termination, and whose rent, as

a result of a rent increase occurring no later than one year after

the date of the prepayment, exceeds 30 percent of adjusted income,

shall be offered tenant-based assistance in accordance with section

8 or any successor program, under which the family shall pay

no less for rent than it paid on such date: Provided further, That
H. R. 2099—13

any family receiving tenant-based assistance under the preceding

proviso may elect (1) to remain in the unit of the housing and

if the rent exceeds the fair market rent or payment standard,

as applicable, the rent shall be deemed to be the applicable standard, so long as the administering public housing agency finds that

the rent is reasonable in comparison with rents charged for comparable unassisted housing units in the market or (2) to move

from the housing and the rent will be subject to the fair market

rent of the payment standard, as applicable, under existing program

rules and procedures: Provided further, That up to $10,000,000

of the amount made available by this paragraph may be used

at the discretion of the Secretary to reimburse owners of eligible

properties for which plans of action were submitted prior to the

effective date of this Act, but were not executed for lack of available

funds, with such reimbursement available only for documented

costs directly applicable to the preparation of the plan of action

as determined by the Secretary, and shall be made available on

terms and conditions to be established by the Secretary: Provided

further, That, notwithstanding any other provision of law, effective October 1, 1996, the Secretary shall suspend further processing

of preservation applications which do not have approved plans

of action.

Of the total amount provided under this head, $780,190,000

shall be for capital advances, including amendments to capital

advance contracts, for housing for the elderly, as authorized by

section 202 of the Housing Act of 1959, as amended, and for project

rental assistance, and amendments to contracts for project rental

assistance, for supportive housing for the elderly under section

202(c)(2) of the Housing Act of 1959; and $233,168,000 shall be

for capital advances, including amendments to capital advance contracts, for supportive housing for persons with disabilities, as

authorized by section 811 of the Cranston-Gonzalez National Affordable Housing Act; and for project rental assistance, and amendments to contracts for project rental assistance, for supportive housing for persons with disabilities as authorized by section 811 of

the Cranston-Gonzalez National Affordable Housing Act: Provided,

That the Secretary may designate up to 25 percent of the amounts

earmarked under this paragraph for section 811 of the CranstonGonzalez National Affordable Housing Act for tenant-based assistance, as authorized under that section, which assistance is fiveyears in duration: Provided further, That the Secretary may waive any provision of section 202 of the Housing Act of 1959 and section

811 of the National Affordable Housing Act (including the provisions

governing the terms and conditions of project rental assistance)

that the Secretary determines is not necessary to achieve the objectives of these programs, or that otherwise impedes the ability

to develop, operate or administer projects assisted under these

programs, and may make provision for alternative conditions or

terms where appropriate.

PUBLIC HOUSING DEMOLITION, SITE REVITALIZATION, AND

REPLACEMENT HOUSING GRANTS

For grants to public housing agencies for the purposes of enabling the demolition of obsolete public housing projects or portions thereof, the revitalization (where appropriate) of sites (including remaining public housing units) on which such projects are

located, replacement housing which will avoid or lessen concentra-
H. R. 2099—14

tions of very low-income families, and tenant-based assistance in

accordance with section 8 of the United States Housing Act of

1937 for the purpose of providing replacement housing and assisting

tenants to be displaced by the demolition, $280,000,000, to remain

available until expended: Provided, That the Secretary of Housing and Urban Development shall award such funds to public housing

agencies by a competition which includes among other relevant

criteria the local and national impact of the proposed demolition

and revitalization activities and the extent to which the public

housing agency could undertake such activities without the additional assistance to be provided hereunder: Provided further, That

eligible expenditures hereunder shall be those expenditures eligible

under section 8 and section 14 of the United States Housing Act

of 1937 (42 U.S.C. 1437f and l): Provided further, That the Secretary may impose such conditions and requirements as the Secretary

deems appropriate to effectuate the purposes of this paragraph:

Provided further, That the Secretary may require an agency selected to receive funding to make arrangements satisfactory to the Secretary for use of an entity other than the agency to carry out

this program where the Secretary determines that such action

will help to effectuate the purpose of this paragraph: Provided

further, That in the event an agency selected to receive funding does not proceed expeditiously as determined by the Secretary,

the Secretary shall withdraw any funding made available pursuant

to this paragraph that has not been obligated by the agency and

distribute such funds to one or more other eligible agencies, or

to other entities capable of proceeding expeditiously in the same

locality with the original program: Provided further, That of the

foregoing $280,000,000, the Secretary may use up to .67 per centum

for technical assistance, to be provided directly or indirectly by

grants, contracts or cooperative agreements, including training and

cost of necessary travel for participants in such training, by or

to officials and employees of the Department and of public housing

agencies and to residents: Provided further, That any replacement housing provided with assistance under this head shall be subject

to section 18(f) of the United States Housing Act of 1937, as

amended by section 201(b)(2) of this Act.

FLEXIBLE SUBSIDY FUND

(INCLUDING TRANSFER OF FUNDS)

From the fund established by section 236(g) of the National Housing Act, as amended, all uncommitted balances of excess rental

charges as of September 30, 1995, and any collections during fiscal

year 1996 shall be transferred, as authorized under such section,

to the fund authorized under section 201(j) of the Housing and

Community Development Amendments of 1978, as amended.

RENTAL HOUSING ASSISTANCE

(RESCISSION)

The limitation otherwise applicable to the maximum payments that may be required in any fiscal year by all contracts entered

into under section 236 of the National Housing Act (12 U.S.C.

1715z–1) is reduced in fiscal year 1996 by not more than $2,000,000

in uncommitted balances of authorizations provided for this purpose

in appropriations Acts: Provided, That up to $163,000,000 of recap-
H. R. 2099—15

tured section 236 budget authority resulting from the prepayment

of mortgages subsidized under section 236 of the National Housing

Act (12 U.S.C. 1715z–1) shall be rescinded in fiscal year 1996.

PAYMENTS FOR OPERATION OF LOW-INCOME HOUSING PROJECTS

For payments to public housing agencies and Indian housing authorities for operating subsidies for low-income housing projects

as authorized by section 9 of the United States Housing Act of

1937, as amended (42 U.S.C. 1437g), $2,800,000,000.

DRUG ELIMINATION GRANTS FOR LOW-INCOME HOUSING

For grants to public and Indian housing agencies for use in eliminating crime in public housing projects authorized by 42 U.S.C.

11901–11908, for grants for federally assisted low-income housing

authorized by 42 U.S.C. 11909, and for drug information clearinghouse services authorized by 42 U.S.C. 11921–11925, $290,000,000,

to remain available until expended, of which $10,000,000 shall

be for grants, technical assistance, contracts and other assistance

training, program assessment, and execution for or on behalf of

public housing agencies and resident organizations (including the

cost of necessary travel for participants in such training) and of

which $2,500,000 shall be used in connection with efforts to combat

violent crime in public and assisted housing under the Operation

Safe Home program administered by the Inspector General of the

Department of Housing and Urban Development: Provided, That

the term ‘‘drug-related crime’’, as defined in 42 U.S.C. 11905(2),

shall also include other types of crime as determined by the Secretary.

HOME INVESTMENT PARTNERSHIPS PROGRAM

For the HOME investment partnerships program, as authorized under title II of the Cranston-Gonzalez National Affordable Housing

Act (Public Law 101–625), as amended, $1,400,000,000, to remain

available until expended.

INDIAN HOUSING LOAN GUARANTEE FUND PROGRAM ACCOUNT

For the cost of guaranteed loans, $3,000,000, as authorized

by section 184 of the Housing and Community Development Act

of 1992 (106 Stat. 3739): Provided, That such costs, including the

costs of modifying such loans, shall be as defined in section 502

of the Congressional Budget Act of 1974, as amended: Provided

further, That these funds are available to subsidize total loan principal, any part of which is to be guaranteed, not to exceed

$36,900,000.

HOMELESS ASSISTANCE

HOMELESS ASSISTANCE GRANTS

For the emergency shelter grants program (as authorized under

subtitle B of title IV of the Stewart B. McKinney Homeless Assistance Act (Public Law 100–77), as amended); the supportive housing

program (as authorized under subtitle C of title IV of such Act);

the section 8 moderate rehabilitation single room occupancy program (as authorized under the United States Housing Act of 1937,

as amended) to assist homeless individuals pursuant to section

441 of the Stewart B. McKinney Homeless Assistance Act; and
H. R. 2099—16

the shelter plus care program (as authorized under subtitle F of

title IV of such Act), $823,000,000, to remain available until

expended.

COMMUNITY PLANNING AND DEVELOPMENT

COMMUNITY DEVELOPMENT GRANTS

(INCLUDING TRANSFER OF FUNDS)

For grants to States and units of general local government and for related expenses, not otherwise provided for, necessary

for carrying out a community development grants program as

authorized by title I of the Housing and Community Development

Act of 1974, as amended (42 U.S.C. 5301), $4,600,000,000, to remain

available until September 30, 1998: Provided, That $50,000,000

shall be available for grants to Indian tribes pursuant to section

106(a)(1) of the Housing and Community Development Act of 1974,

as amended (42 U.S.C. 5301), $2,000,000 shall be available as

a grant to the Housing Assistance Council, $1,000,000 shall be

available as a grant to the National American Indian Housing

Council, and $27,000,000 shall be available for ‘‘special purpose

grants’’ pursuant to section 107 of such Act: Provided further,

That not to exceed 20 per centum of any grant made with funds

appropriated herein (other than a grant made available under the

preceding proviso to the Housing Assistance Council or the National

American Indian Housing Council, or a grant using funds under

section 107(b)(3) of the Housing and Community Development Act

of 1974) shall be expended for ‘‘Planning and Management Development’’ and ‘‘Administration’’ as defined in regulations promulgated

by the Department of Housing and Urban Development: Provided

further, That section 105(a)(25) of such Act, as added by section 907(b)(1) of the Cranston-Gonzalez National Affordable Housing

Act, shall continue to be effective after September 30, 1995, notwithstanding section 907(b)(2) of such Act: Provided further, That section

916 of the Cranston-Gonzalez National Affordable Housing Act shall

apply with respect to fiscal year 1996, notwithstanding section

916(f) of that Act.

Of the amount provided under this heading, the Secretary of Housing and Urban Development may use up to $53,000,000

for grants to public housing agencies (including Indian housing

authorities), nonprofit corporations, and other appropriate entities

for a supportive services program to assist residents of public and

assisted housing, former residents of such housing receiving tenantbased assistance under section 8 of such Act (42 U.S.C. 1437f),

and other low-income families and individuals to become self-sufficient: Provided, That the program shall provide supportive services, principally for the benefit of public housing residents, to the elderly

and the disabled, and to families with children where the head

of the household would benefit from the receipt of supportive services and is working, seeking work, or is preparing for work by

participating in job training or educational programs: Provided

further, That the supportive services shall include congregate services for the elderly and disabled, service coordinators, and coordinated educational, training, and other supportive services, including

academic skills training, job search assistance, assistance related

to retaining employment, vocational and entrepreneurship development and support programs, transportation, and child care: Provided further, That the Secretary shall require applicants to
H. R. 2099—17

demonstrate firm commitments of funding or services from other

sources: Provided further, That the Secretary shall select public

and Indian housing agencies to receive assistance under this head

on a competitive basis, taking into account the quality of the proposed program (including any innovative approaches), the extent

of the proposed coordination of supportive services, the extent of

commitments of funding or services from other sources, the extent

to which the proposed program includes reasonably achievable,

quantifiable goals for measuring performance under the program

over a three-year period, the extent of success an agency has had

in carrying out other comparable initiatives, and other appropriate

criteria established by the Secretary.

Of the amount made available under this heading, notwithstanding any other provision of law, $12,000,000 shall be available

for contracts, grants, and other assistance, other than loans, not

otherwise provided for, for providing counseling and advice to tenants and homeowners both current and prospective, with respect

to property maintenance, financial management, and such other

matters as may be appropriate to assist them in improving their

housing conditions and meeting the responsibilities of tenancy or

homeownership, including provisions for training and for support

of voluntary agencies and services as authorized by section 106

of the Housing and Urban Development Act of 1968, as amended,

notwithstanding section 106(c)(9) and section 106(d)(13) of such

Act.

Of the amount made available under this heading, notwithstanding any other provision of law, $15,000,000 shall be available

for the tenant opportunity program.

Of the amount made available under this heading, notwithstanding any other provision of law, $20,000,000 shall be available

for youthbuild program activities authorized by subtitle D of title

IV of the Cranston-Gonzalez National Affordable Housing Act, as

amended, and such activities shall be an eligible activity with

respect to any funds made available under this heading.

For the cost of guaranteed loans, $31,750,000, as authorized

by section 108 of the Housing and Community Development Act

of 1974: Provided, That such costs, including the cost of modifying

such loans, shall be as defined in section 502 of the Congressional

Budget Act of 1974, as amended: Provided further, That these

funds are available to subsidize total loan principal, any part of

which is to be guaranteed, not to exceed $1,500,000,000: Provided

further, That the Secretary of Housing and Urban Development

may make guarantees not to exceed the immediately foregoing

amount notwithstanding the aggregate limitation on guarantees

set forth in section 108(k) of the Housing and Community Development Act of 1974. In addition, for administrative expenses to carry

out the guaranteed loan program, $675,000 which shall be transferred to and merged with the appropriation for departmental salaries and expenses.

The amount made available for fiscal year 1995 for a special

purpose grant for the renovation of the central terminal in Buffalo,

New York, shall be made available for the central terminal and

for other public facilities in Buffalo, New York.
H. R. 2099—18

POLICY DEVELOPMENT AND RESEARCH

RESEARCH AND TECHNOLOGY

For contracts, grants, and necessary expenses of programs of

research and studies relating to housing and urban problems, not

otherwise provided for, as authorized by title V of the Housing

and Urban Development Act of 1970, as amended (12 U.S.C. 1701z–

1 et seq.), including carrying out the functions of the Secretary

under section 1(a)(1)(i) of Reorganization Plan No. 2 of 1968,

$34,000,000, to remain available until September 30, 1997.

FAIR HOUSING AND EQUAL OPPORTUNITY

FAIR HOUSING ACTIVITIES

For contracts, grants, and other assistance, not otherwise provided for, as authorized by title VIII of the Civil Rights Act of

1968, as amended by the Fair Housing Amendments Act of 1988,

and for contracts with qualified fair housing enforcement organizations, as authorized by section 561 of the Housing and Community

Development Act of 1987, as amended by the Housing and Community Development Act of 1992, $30,000,000, to remain available

until September 30, 1997.

MANAGEMENT AND ADMINISTRATION

SALARIES AND EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

For necessary administrative and nonadministrative expenses

of the Department of Housing and Urban Development, not otherwise provided for, including not to exceed $7,000 for official reception and representation expenses, $962,558,000, of which

$532,782,000 shall be provided from the various funds of the Federal

Housing Administration, and $9,101,000 shall be provided from

funds of the Government National Mortgage Association, and

$675,000 shall be provided from the Community Development

Grants Program account.

OFFICE OF INSPECTOR GENERAL

(INCLUDING TRANSFER OF FUNDS)

For necessary expenses of the Office of Inspector General in

carrying out the provisions of the Inspector General Act of 1978,

as amended, $47,850,000, of which $11,283,000 shall be transferred

from the various funds of the Federal Housing Administration.

OFFICE OF FEDERAL HOUSING ENTERPRISE OVERSIGHT

SALARIES AND EXPENSES

(INCLUDING TRANSFER OF FUNDS)

For carrying out the Federal Housing Enterprise Financial

Safety and Soundness Act of 1992, $14,895,000, to remain available

until expended, from the Federal Housing Enterprise Oversight

Fund: Provided, That such amounts shall be collected by the Direc-
H. R. 2099—19

tor as authorized by section 1316 (a) and (b) of such Act, and

deposited in the Fund under section 1316(f) of such Act.

FEDERAL HOUSING ADMINISTRATION

FHA—MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)

During fiscal year 1996, commitments to guarantee loans to

carry out the purposes of section 203(b) of the National Housing

Act, as amended, shall not exceed a loan principal of

$110,000,000,000: Provided, That during fiscal year 1996, the Secretary shall sell assigned mortgage notes having an unpaid principal

balance of up to $4,000,000,000, which notes were originally insured

under section 203(b) of the National Housing Act: Provided further,

That the Secretary may use any negative subsidy amounts from

the sale of such assigned mortgage notes during fiscal year 1996

for the disposition of properties or notes under this heading.

During fiscal year 1996, obligations to make direct loans to

carry out the purposes of section 204(g) of the National Housing

Act, as amended, shall not exceed $200,000,000: Provided, That

the foregoing amount shall be for loans to nonprofit and governmental entities in connection with sales of single family real properties owned by the Secretary and formerly insured under section

203 of such Act.

For administrative expenses necessary to carry out the guaranteed and direct loan program, $341,595,000, to be derived from

the FHA-mutual mortgage insurance guaranteed loans receipt

account, of which not to exceed $334,483,000 shall be transferred

to the appropriation for departmental salaries and expenses; and

of which not to exceed $7,112,000 shall be transferred to the appropriation for the Office of Inspector General.

FHA—GENERAL AND SPECIAL RISK PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)

For the cost of guaranteed loans, as authorized by sections 238 and 519 of the National Housing Act (12 U.S.C. 1715z–3 and

1735c), including the cost of modifying such loans, $85,000,000,

to remain available until expended: Provided, That such costs shall

be as defined in section 502 of the Congressional Budget Act of

1974, as amended: Provided further, That these funds are available

to subsidize total loan principal any part of which is to be guaranteed of not to exceed $17,400,000,000: Provided further, That during

fiscal year 1996, the Secretary shall sell assigned notes having

an unpaid principal balance of up to $4,000,000,000, which notes

were originally obligations of the funds established under sections

238 and 519 of the National Housing Act: Provided further, That

the Secretary may use any negative subsidy amounts from the

sale of such assigned mortgage notes during fiscal year 1996, in

addition to amounts otherwise provided, for the disposition of properties or notes under this heading (including the credit subsidy

for the guarantee of loans or the reduction of positive credit subsidy

amounts that would otherwise be required for the sale of such

properties or notes), and for any other purpose under this heading:

Provided further, That any amounts made available in any prior
H. R. 2099—20

appropriation Act for the cost (as such term is defined in section

502 of the Congressional Budget Act of 1974) of guaranteed loans

that are obligations of the funds established under section 238

or 519 of the National Housing Act that have not been obligated

or that are deobligated shall be available to the Secretary of Housing

and Urban Development in connection with the making of such

guarantees and shall remain available until expended, notwithstanding the expiration of any period of availability otherwise

applicable to such amounts.

Gross obligations for the principal amount of direct loans, as

authorized by sections 204(g), 207(l), 238(a), and 519(a) of the

National Housing Act, shall not exceed $120,000,000; of which

not to exceed $100,000,000 shall be for bridge financing in connection with the sale of multifamily real properties owned by the

Secretary and formerly insured under such Act; and of which not

to exceed $20,000,000 shall be for loans to nonprofit and governmental entities in connection with the sale of single-family real

properties owned by the Secretary and formerly insured under

such Act.

In addition, for administrative expenses necessary to carry

out the guaranteed and direct loan programs, $202,470,000, of

which $198,299,000 shall be transferred to the appropriation for

departmental salaries and expenses; and of which $4,171,000 shall

be transferred to the appropriation for the Office of Inspector General.

GOVERNMENT NATIONAL MORTGAGE ASSOCIATION

GUARANTEES OF MORTGAGE-BACKED SECURITIES LOAN GUARANTEE

PROGRAM ACCOUNT

(INCLUDES TRANSFER OF FUNDS)

During fiscal year 1996, new commitments to issue guarantees

to carry out the purposes of section 306 of the National Housing

Act, as amended (12 U.S.C. 1721(g)), shall not exceed

$110,000,000,000.

For administrative expenses necessary to carry out the guaranteed mortgage-backed securities program, $9,101,000, to be derived

from the GNMA—guarantees of mortgage-backed securities guaranteed loan receipt account, of which not to exceed $9,101,000 shall

be transferred to the appropriation for departmental salaries and

expenses.

ADMINISTRATIVE PROVISIONS

(INCLUDING TRANSFER OF FUNDS)

EXTEND ADMINISTRATIVE PROVISIONS FROM THE RESCISSION ACT

SEC. 201. (a) PUBLIC AND INDIAN HOUSING MODERNIZATION.—

(1) EXPANSION OF USE OF MODERNIZATION FUNDING.—Subsection 14(q) of the United States Housing Act of 1937 is

amended to read as follows:

‘‘(q)(1) In addition to the purposes enumerated in subsections

(a) and (b), a public housing agency may use modernization assistance provided under section 14, and development assistance provided under section 5(a) that was not allocated, as determined

by the Secretary, for priority replacement housing, for any eligible

activity authorized by this section, by section 5, or by applicable
H. R. 2099—21

Appropriations Acts for a public housing agency, including the

demolition, rehabilitation, revitalization, and replacement of existing units and projects and, for up to 10 percent of its allocation

of such funds in any fiscal year, for any operating subsidy purpose

authorized in section 9. Except for assistance used for operating

subsidy purposes under the preceding sentence, assistance provided

to a public housing agency under this section shall principally

be used for the physical improvement or replacement of public

housing and for associated management improvements, except as

otherwise approved by the Secretary. Public housing units assisted

under this paragraph shall be eligible for operating subsidies, unless

the Secretary determines that such units or projects have not

received sufficient assistance under this Act or do not meet other

requirements of this Act.

‘‘(2) A public housing agency may provide assistance to developments that include units for other than very low-income families

(‘mixed income developments’), in the form of a grant, loan, operating assistance, or other form of investment which may be made

to—

‘‘(A) a partnership, a limited liability company, or other

legal entity in which the public housing agency or its affiliate

is a general partner, managing member, or otherwise participates in the activities of such entity; or

‘‘(B) any entity which grants to the public housing agency

the option to purchase the development within 20 years after

initial occupancy in accordance with section 42(i)(7) of the

Internal Revenue Code of 1986, as amended. Units shall be

made available in such developments for periods of not less

than 20 years, by master contract or by individual lease, for

occupancy by low-income families referred from time to time

by the public housing agency. The number of such units shall

be:

‘‘(i) in the same proportion to the total number of

units in such development that the total financial commitment provided by the public housing agency bears to the

value of the total financial commitment in the development,

or

‘‘(ii) not be less than the number of units that could

have been developed under the conventional public housing

program with the assistance involved, or ‘‘(iii) as may otherwise be approved by the Secretary. ‘‘(3) A mixed income development may elect to have all units

subject only to the applicable local real estate taxes, notwithstanding that the low-income units assisted by public housing funds

would otherwise be subject to section 6(d) of the Housing Act

of 1937.

‘‘(4) If an entity that owns or operates a mixed-income project

under this subsection enters into a contract with a public housing

agency, the terms of which obligate the entity to operate and

maintain a specified number of units in the project as public housing

units in accordance with the requirements of this Act for the period

required by law, such contractual terms may provide that, if, as

a result of a reduction in appropriations under section 9, or any

other change in applicable law, the public housing agency is unable

to fulfill its contractual obligations with respect to those public

housing units, that entity may deviate, under procedures and

requirements developed through regulations by the Secretary, from
H. R. 2099—22

otherwise applicable restrictions under this Act regarding rents,

income eligibility, and other areas of public housing management

with respect to a portion or all of those public housing units,

to the extent necessary to preserve the viability of those units

while maintaining the low-income character of the units, to the

maximum extent practicable.’’. (2) APPLICABILITY.—Section 14(q) of the United States Housing Act of 1937, as amended by subsection (a) of this

section, shall be effective only with respect to assistance provided from funds made available for fiscal year 1996 or any

preceding fiscal year. (3) APPLICABILITY TO IHAS.—In accordance with section

201(b)(2) of the United States Housing Act of 1937, the amendment made by this subsection shall apply to public housing

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

(b) ONE-FOR-ONE REPLACEMENT OF PUBLIC AND INDIAN HOUS- ING.— (1) EXTENDED AUTHORITY.—Section 1002(d) of Public Law

104–19 is amended to read as follows:

‘‘(d) Subsections (a), (b), and (c) shall be effective for applications

for the demolition, disposition, or conversion to homeownership

of public housing approved by the Secretary, and other consolidation

and relocation activities of public housing agencies undertaken,

on, before, or after September 30, 1995 and before September 30,

1996.’’.

(2) Section 18(f) of the United States Housing Act of 1937 is amended by adding at the end the following new sentence: ‘‘No one may rely on the preceding sentence as the basis for

reconsidering a final order of a court issued, or a settlement

approved by, a court.’’. (3) APPLICABILITY.—In accordance with section 201(b)(2)

of the United States Housing Act of 1937, the amendments

made by this subsection and by sections 1002 (a), (b), and

(c) of Public Law 104–19 shall apply to public housing developed

or operated pursuant to a contract between the Secretary of

Housing and Urban Development and an Indian housing

authority.

PUBLIC AND ASSISTED HOUSING RENTS, INCOME ADJUSTMENTS, AND

PREFERENCES

SEC. 202. (a) MINIMUM RENTS.—Notwithstanding sections 3(a) and 8(o)(2) of the United States Housing Act of 1937, as amended,

effective for fiscal year 1996 and no later than October 30, 1995— (1) public housing agencies shall require each family who is assisted under the certificate or moderate rehabilitation program under section 8 of such Act to pay a minimum monthly

rent of not less than $25, and may require a minimum monthly

rent of up to $50; (2) public housing agencies shall reduce the monthly assist- ance payment on behalf of each family who is assisted under

the voucher program under section 8 of such Act so that the

family pays a minimum monthly rent of not less than $25,

and may require a minimum monthly rent of up to $50;

(3) with respect to housing assisted under other programs

for rental assistance under section 8 of such Act, the Secretary
H. R. 2099—23

shall require each family who is assisted under such program

to pay a minimum monthly rent of not less than $25 for

the unit, and may require a minimum monthly rent of up

to $50; and

(4) public housing agencies shall require each family who

is assisted under the public housing program (including public

housing for Indian families) of such Act to pay a minimum

monthly rent of not less than $25, and may require a minimum

monthly rent of up to $50.

(b) ESTABLISHMENT OF CEILING RENTS.—

(1) Section 3(a)(2) of the United States Housing Act of

1937 is amended to read as follows:

‘‘(2) Notwithstanding paragraph (1), a public housing

agency may—

‘‘(A) adopt ceiling rents that reflect the reasonable

market value of the housing, but that are not less than

the monthly costs—

‘‘(i) to operate the housing of the agency; and

‘‘(ii) to make a deposit to a replacement reserve

(in the sole discretion of the public housing agency);

and

‘‘(B) allow families to pay ceiling rents referred to

in subparagraph (A), unless, with respect to any family,

the ceiling rent established under this paragraph would

exceed the amount payable as rent by that family under

paragraph (1).’’.

(2) REGULATIONS.—

(A) IN GENERAL.—The Secretary shall, by regulation,

after notice and an opportunity for public comment, establish such requirements as may be necessary to carry out

section 3(a)(2)(A) of the United States Housing Act of 1937,

as amended by paragraph (1). (B) TRANSITION RULE.—Prior to the issuance of final

regulations under paragraph (1), a public housing agency

may implement ceiling rents, which shall be not less than

the monthly costs to operate the housing of the agency

and—

(i) determined in accordance with section 3(a)(2)(A)

of the United States Housing Act of 1937, as that

section existed on the day before enactment of this

Act;

(ii) equal to the 95th percentile of the rent paid

for a unit of comparable size by tenants in the same

public housing project or a group of comparable projects

totaling 50 units or more; or

(iii) equal to the fair market rent for the area

in which the unit is located.

(c) DEFINITION OF ADJUSTED INCOME.—Section 3(b)(5) of the

United States Housing Act of 1937 is amended—

(1) at the end of subparagraph (F), by striking ‘‘and’’;

(2) at the end of subparagraph (G), by striking the period

and inserting ‘‘; and’’; and

(3) by inserting after subparagraph (G) the following:

‘‘(H) for public housing, any other adjustments to

earned income established by the public housing agency.

If a public housing agency adopts other adjustments to

income pursuant to subparagraph (H), the Secretary shall
H. R. 2099—24

not take into account any reduction of or increase in the

public housing agency’s per unit dwelling rental income

resulting from those adjustments when calculating the contributions under section 9 for the public housing agency

for the operation of the public housing.’’.

(d) REPEAL OF FEDERAL PREFERENCES.—

(1) PUBLIC HOUSING.—Section 6(c)(4)(A) of the United

States Housing Act of 1937 (42 U.S.C. 1437d(c)(4)(A)) is

amended to read as follows:

‘‘(A) the establishment, after public notice and an

opportunity for public comment, of a written system of

preferences for admission to public housing, if any, that

is not inconsistent with the comprehensive housing affordability strategy under title I of the Cranston-Gonzalez

National Affordable Housing Act;’’.

(2) SECTION 8 EXISTING AND MODERATE REHABILITATION.—

Section 8(d)(1)(A) of the United States Housing Act of 1937

(42 U.S.C. 1437f(d)(1)(A)) is amended to read as follows:

‘‘(A) the selection of tenants shall be the function of

the owner, subject to the provisions of the annual contributions contract between the Secretary and the agency, except

that for the certificate and moderate rehabilitation programs only, for the purpose of selecting families to be

assisted, the public housing agency may establish, after

public notice and an opportunity for public comment, a

written system of preferences for selection that is not

inconsistent with the comprehensive housing affordability

strategy under title I of the Cranston-Gonzalez National

Affordable Housing Act;’’.

(3) SECTION 8 VOUCHER PROGRAM.—Section 8(o)(3)(B) of

the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(3)(B))

is amended to read as follows:

‘‘(B) For the purpose of selecting families to be assisted

under this subsection, the public housing agency may establish, after public notice and an opportunity for public comment, a written system of preferences for selection that

is not inconsistent with the comprehensive housing affordability strategy under title I of the Cranston-Gonzalez

National Affordable Housing Act.’’.

(4) SECTION 8 NEW CONSTRUCTION AND SUBSTANTIAL

REHABILITATION.—

(A) REPEAL.—Section 545(c) of the Cranston-Gonzalez

National Affordable Housing Act (42 U.S.C. 1437f note)

is amended to read as follows:

‘‘(c) [Reserved.]’’.

(B) PROHIBITION.—Notwithstanding any other provision of law, no Federal tenant selection preferences under

the United States Housing Act of 1937 shall apply with

respect to—

(i) housing constructed or substantially rehabilitated pursuant to assistance provided under section

8(b)(2) of the United States Housing Act of 1937 (as

such section existed on the day before October 1, 1983);

or

(ii) projects financed under section 202 of the Housing Act of 1959 (as such section existed on the day
H. R. 2099—25

before the date of enactment of the Cranston-Gonzalez

National Affordable Housing Act).

(5) RENT SUPPLEMENTS.—Section 101(k) of the Housing

and Urban Development Act of 1965 (12 U.S.C. 1701s(k)) is

amended to read as follows:

‘‘(k) [Reserved.]’’.

(6) CONFORMING AMENDMENTS.—

(A) UNITED STATES HOUSING ACT OF 1937.—The United

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

amended—

(i) in section 6(o), by striking ‘‘preference rules

specified in’’ and inserting ‘‘written system of preferences for selection established pursuant to’’;

(ii) in the second sentence of section 7(a)(2), by

striking ‘‘according to the preferences for occupancy

under’’ and inserting ‘‘in accordance with the written

system of preferences for selection established pursuant to’’;

(iii) in section 8(d)(2)(A), by striking the last sentence;

(iv) in section 8(d)(2)(H), by striking ‘‘Notwithstanding subsection (d)(1)(A)(i), an’’ and inserting ‘‘An’’;

(v) in section 16(c), in the second sentence, by

striking ‘‘the system of preferences established by the

agency pursuant to section 6(c)(4)(A)(ii)’’ and inserting

‘‘the written system of preferences for selection established by the public housing agency pursuant to section

6(c)(4)(A)’’; and

(vi) in section 24(e)—

(I) by striking ‘‘(e) EXCEPTIONS’’ and all that

follows through ‘‘The Secretary may’’ and inserting

the following:

‘‘(e) EXCEPTION TO GENERAL PROGRAM REQUIREMENTS.—The

Secretary may’’; and

(II) by striking paragraph (2).

(B) CRANSTON-GONZALEZ NATIONAL AFFORDABLE HOUSING ACT.—Section 522(f)(6)(B) of the Cranston-Gonzalez

National Affordable Housing Act (42 U.S.C. 12704 et seq.)

is amended by striking ‘‘any preferences for such assistance

under section 8(d)(1)(A)(i)’’ and inserting ‘‘the written system of preferences for selection established pursuant to

section 8(d)(1)(A)’’.

(C) HOUSING AND COMMUNITY DEVELOPMENT ACT OF

1992.—Section 655 of the Housing and Community Development Act of 1992 (42 U.S.C. 13615) is amended by striking

‘‘the preferences’’ and all that follows up to the period

at the end and inserting ‘‘any preferences’’.

(D) REFERENCES IN OTHER LAW.—Any reference in any

Federal law other than any provision of any law amended

by paragraphs (1) through (5) of this subsection to the

preferences for assistance under section 6(c)(4)(A)(i),

8(d)(1)(A)(i), or 8(o)(3)(B) of the United States Housing

Act of 1937 (as such sections existed on the day before

the date of enactment of this Act) shall be considered

to refer to the written system of preferences for selection

established pursuant to section 6(c)(4)(A), 8(d)(1)(A), or
H. R. 2099—26

8(o)(3)(B), respectively, of the United States Housing Act

of 1937, as amended by this section. (e) APPLICABILITY.—In accordance with section 201(b)(2) of the

United States Housing Act of 1937, the amendments made by

subsections (a), (b), (c), (d), and (f) of this section shall also apply

to public housing developed or operated pursuant to a contract

between the Secretary of Housing and Urban Development and

an Indian housing authority. (f) This section shall be effective upon the enactment of this

Act and only for fiscal year 1996.

CONVERSION OF CERTAIN PUBLIC HOUSING TO VOUCHERS

SEC. 203. (a) IDENTIFICATION OF UNITS.—Each public housing agency shall identify any public housing developments— (1) that are on the same or contiguous sites;

(2) that total more than—

(A) 300 dwelling units; or

(B) in the case of high-rise family buildings or substan- tially vacant buildings; 300 dwelling units;

(3) that have a vacancy rate of at least 10 percent for dwelling units not in funded, on schedule modernization programs; (4) identified as distressed housing that the public housing agency cannot assure the long-term viability as public housing

through reasonable revitalization, density reduction, or achievement of a broader range of household income; and (5) for which the estimated cost of continued operation

and modernization of the developments as public housing

exceeds the cost of providing tenant-based assistance under

section 8 of the United States Housing Act of 1937 for all

families in occupancy, based on appropriate indicators of cost

(such as the percentage of total development cost required

for modernization).

(b) IMPLEMENTATION AND ENFORCEMENT.— (1) STANDARDS FOR IMPLEMENTATION.—The Secretary shall establish standards to permit implementation of this section

in fiscal year 1996. (2) CONSULTATION.—Each public housing agency shall con- sult with the applicable public housing tenants and the unit

of general local government in identifying any public housing

developments under subsection (a). (3) FAILURE OF PHAS TO COMPLY WITH SUBSECTION (a).—

Where the Secretary determines that— (A) a public housing agency has failed under subsection (a) to identify public housing developments for removal

from the inventory of the agency in a timely manner; (B) a public housing agency has failed to identify one or more public housing developments which the Secretary

determines should have been identified under subsection

(a); or

(C) one or more of the developments identified by the public housing agency pursuant to subsection (a) should

not, in the determination of the Secretary, have been identified under that subsection;

the Secretary may designate the developments to be removed

from the inventory of the public housing agency pursuant to

this section.
H. R. 2099—27

(c) REMOVAL OF UNITS FROM THE INVENTORIES OF PUBLIC HOUSING AGENCIES.—

(1) Each public housing agency shall develop and carry

out a plan in conjunction with the Secretary for the removal

of public housing units identified under subsection (a) or subsection (b)(3), over a period of up to five years, from the inventory of the public housing agency and the annual contributions

contract. The plan shall be approved by the relevant local

official as not inconsistent with the Comprehensive Housing

Affordability Strategy under title I of the Housing and Community Development Act of 1992, including a description of any

disposition and demolition plan for the public housing units.

(2) The Secretary may extend the deadline in paragraph

(1) for up to an additional five years where the Secretary

makes a determination that the deadline is impracticable.

(3) The Secretary shall take appropriate actions to ensure

removal of developments identified under subsection (a) or subsection (b)(3) from the inventory of a public housing agency,

if the public housing agency fails to adequately develop a plan

under paragraph (1), or fails to adequately implement such

plan in accordance with the terms of the plan.

(4) To the extent approved in appropriations Acts, the

Secretary may establish requirements and provide funding

under the Urban Revitalization Demonstration program for

demolition and disposition of public housing under this section.

(5) Notwithstanding any other provision of law, if a development is removed from the inventory of a public housing agency

and the annual contributions contract pursuant to paragraph

(1), the Secretary may authorize or direct the transfer of— (A) in the case of an agency receiving assistance under

the comprehensive improvement assistance program, any

amounts obligated by the Secretary for the modernization

of such development pursuant to section 14 of the United

States Housing Act of 1937; (B) in the case of an agency receiving public and Indian

housing modernization assistance by formula pursuant to

section 14 of the United States Housing Act of 1937, any

amounts provided to the agency which are attributable

pursuant to the formula for allocating such assistance to

the development removed from the inventory of that

agency; and (C) in the case of an agency receiving assistance for

the major reconstruction of obsolete projects, any amounts

obligated by the Secretary for the major reconstruction

of the development pursuant to section 5 of such Act,

to the tenant-based assistance program or appropriate site

revitalization of such agency.

(6) CESSATION OF UNNECESSARY SPENDING.—Notwithstanding any other provision of law, if, in the determination of

the Secretary, a development meets or is likely to meet the

criteria set forth in subsection (a), the Secretary may direct

the public housing agency to cease additional spending in

connection with the development, except to the extent that

additional spending is necessary to ensure decent, safe, and

sanitary housing until the Secretary determines or approves

an appropriate course of action with respect to such development under this section.
H. R. 2099—28

(d) CONVERSION TO TENANT-BASED ASSISTANCE.—

(1) The Secretary shall make authority available to a public

housing agency to provide tenant-based assistance pursuant

to section 8 to families residing in any development that is

removed from the inventory of the public housing agency and

the annual contributions contract pursuant to subsection (b).

(2) Each conversion plan under subsection (c) shall—

(A) require the agency to notify families residing in

the development, consistent with any guidelines issued by

the Secretary governing such notifications, that the development shall be removed from the inventory of the public

housing agency and the families shall receive tenant-based

or project-based assistance, and to provide any necessary

counseling for families; and

(B) ensure that all tenants affected by a determination

under this section that a development shall be removed

from the inventory of a public housing agency shall be

offered tenant-based or project-based assistance and shall

be relocated, as necessary, to other decent, safe, sanitary,

and affordable housing which is, to the maximum extent

practicable, housing of their choice.

(e) IN GENERAL.—

(1) The Secretary may require a public housing agency

to provide such information as the Secretary considers necessary for the administration of this section.

(2) As used in this section, the term ‘‘development’’ shall

refer to a project or projects, or to portions of a project or

projects, as appropriate.

(3) Section 18 of the United States Housing Act of 1937

shall not apply to the demolition of developments removed

from the inventory of the public housing agency under this

section.

STREAMLINING SECTION 8 TENANT-BASED ASSISTANCE

SEC. 204. (a) ‘‘TAKE-ONE, TAKE-ALL’’.—Section 8(t) of the United

States Housing Act of 1937 is hereby repealed.

(b) EXEMPTION FROM NOTICE REQUIREMENTS FOR THE CERTIFICATE AND VOUCHER PROGRAMS.—Section 8(c) of such Act is

amended—

(1) in paragraph (8), by inserting after ‘‘section’’ the following: ‘‘(other than a contract for assistance under the certificate

or voucher program)’’; and

(2) in the first sentence of paragraph (9), by striking ‘‘(but

not less than 90 days in the case of housing certificates or

vouchers under subsection (b) or (o))’’ and inserting ‘‘, other

than a contract under the certificate or voucher program’’.

(c) ENDLESS LEASE.—Section 8(d)(1)(B) of such Act is

amended—

(1) in clause (ii), by inserting ‘‘during the term of the

lease,’’ after ‘‘(ii)’’; and

(2) in clause (iii), by striking ‘‘provide that’’ and inserting

‘‘during the term of the lease,’’.

(d) APPLICABILITY.—The provisions of this section shall be effective for fiscal year 1996 only.
H. R. 2099—29

SECTION 8 FAIR MARKET RENTALS, ADMINISTRATIVE FEES, AND DELAY

IN REISSUANCE

SEC. 205. (a) FAIR MARKET RENTALS.—The Secretary shall establish fair market rentals for purposes of section 8(c)(1) of the

United States Housing Act of 1937, as amended, that shall be

effective for fiscal year 1996 and shall be based on the 40th percentile rent of rental distributions of standard quality rental housing

units. In establishing such fair market rentals, the Secretary shall

consider only the rents for dwelling units occupied by recent movers

and may not consider the rents for public housing dwelling units

or newly constructed rental dwelling units. (b) ADMINISTRATIVE FEES.—Notwithstanding sections 8(q) (1) and (4) of the United States Housing Act of 1937, for fiscal year

1996, the fee for each month for which a dwelling unit is covered

by an assistance contract under the certificate, voucher, or moderate

rehabilitation program under section 8 of such Act shall be equal

to the monthly fee payable for fiscal year 1995: Provided, That

this subsection shall be applicable to all amounts made available for such fees during fiscal year 1996, as if in effect on October

1, 1995.

(c) DELAY REISSUANCE OF VOUCHERS AND CERTIFICATES.—Notwithstanding any other provision of law, a public housing agency

administering certificate or voucher assistance provided under subsection (b) or (o) of section 8 of the United States Housing Act

of 1937, as amended, shall delay for 3 months, the use of any

amounts of such assistance (or the certificate or voucher representing assistance amounts) made available by the termination during

fiscal year 1996 of such assistance on behalf of any family for

any reason, but not later than October 1, 1996; with the exception

of any certificates assigned or committed to project-based assistance

as permitted otherwise by the Act, accomplished prior to the effective date of this Act.

PUBLIC HOUSING/SECTION 8 MOVING TO WORK DEMONSTRATION

SEC. 206. (a) PURPOSE.—The purpose of this demonstration

is to give public housing agencies and the Secretary of Housing

and Urban Development the flexibility to design and test various

approaches for providing and administering housing assistance that:

reduce cost and achieve greater cost effectiveness in Federal

expenditures; give incentives to families with children where the

head of household is working, seeking work, or is preparing for

work by participating in job training, educational programs, or

programs that assist people to obtain employment and become

economically self-sufficient; and increase housing choices for lowincome families.

(b) PROGRAM AUTHORITY.—The Secretary of Housing and Urban

Development shall conduct a demonstration program under this

section beginning in fiscal year 1996 under which up to 30 public

housing agencies (including Indian housing authorities) administering the public or Indian housing program and the section 8 housing

assistance payments program, administering a total number of public housing units not in excess of 25,000, may be selected by the

Secretary to participate. The Secretary shall provide training and

technical assistance during the demonstration and conduct detailed

evaluations of up to 15 such agencies in an effort to identify

replicable program models promoting the purpose of the demonstra-
H. R. 2099—30

tion. Under the demonstration, notwithstanding any provision of

the United States Housing Act of 1937 except as provided in subsection (e), an agency may combine operating assistance provided

under section 9 of the United States Housing Act of 1937, modernization assistance provided under section 14 of such Act, and

assistance provided under section 8 of such Act for the certificate

and voucher programs, to provide housing assistance for low-income

families, as defined in section 3(b)(2) of the United States Housing

Act of 1937, and services to facilitate the transition to work on

such terms and conditions as the agency may propose and the

Secretary may approve.

(c) APPLICATION.—An application to participate in the demonstration—

(1) shall request authority to combine assistance under

sections 8, 9, and 14 of the United States Housing Act of

1937;

(2) shall be submitted only after the public housing agency

provides for citizen participation through a public hearing and,

if appropriate, other means;

(3) shall include a plan developed by the agency that takes

into account comments from the public hearing and any other

public comments on the proposed program, and comments from

current and prospective residents who would be affected, and

that includes criteria for—

(A) families to be assisted, which shall require that

at least 75 percent of the families assisted by participating

demonstration public housing authorities shall be very lowincome families, as defined in section 3(b)(2) of the United

States Housing Act of 1937, and at least 50 percent of

the families selected shall have incomes that do not exceed

30 percent of the median family income for the area, as

determined by the Secretary with adjustments for smaller

and larger families, except that the Secretary may establish

income ceilings higher or lower than 30 percent of the

median for the area on the basis of the Secretary’s findings

that such variations are necessary because of unusually

high or low family income; (B) establishing a reasonable rent policy, which shall

be designed to encourage employment and self-sufficiency

by participating families, consistent with the purpose of

this demonstration, such as by excluding some or all of

a family’s earned income for purposes of determining rent; (C) continuing to assist substantially the same total

number of eligible low-income families as would have been

served had the amounts not been combined;

(D) maintaining a comparable mix of families (by family size) as would have been provided had the amounts

not been used under the demonstration; and

(E) assuring that housing assisted under the demonstration program meets housing quality standards established or approved by the Secretary; and

(4) may request assistance for training and technical assistance to assist with design of the demonstration and to participate in a detailed evaluation.

(d) SELECTION.—In selecting among applications, the Secretary

shall take into account the potential of each agency to plan and

carry out a program under the demonstration, the relative perform-
H. R. 2099—31

ance by an agency under the public housing management assessment program under section 6(j) of the United States Housing

Act of 1937, and other appropriate factors as determined by the

Secretary.

(e) APPLICABILITY OF 1937 ACT PROVISIONS.—

(1) Section 18 of the United States Housing Act of 1937

shall continue to apply to public housing notwithstanding any

use of the housing under this demonstration.

(2) Section 12 of such Act shall apply to housing assisted

under the demonstration, other than housing assisted solely

due to occupancy by families receiving tenant-based assistance.

(f) EFFECT ON SECTION 8, OPERATING SUBSIDIES, AND COMPREHENSIVE GRANT PROGRAM ALLOCATIONS.—The amount of assistance received under section 8, section 9, or pursuant to section

14 by a public housing agency participating in the demonstration

under this part shall not be diminished by its participation.

(g) RECORDS, REPORTS, AND AUDITS.—

(1) KEEPING OF RECORDS.—Each agency shall keep such

records as the Secretary may prescribe as reasonably necessary

to disclose the amounts and the disposition of amounts under

this demonstration, to ensure compliance with the requirements

of this section, and to measure performance.

(2) REPORTS.—Each agency shall submit to the Secretary

a report, or series of reports, in a form and at a time specified

by the Secretary. Each report shall—

(A) document the use of funds made available under

this section;

(B) provide such data as the Secretary may request

to assist the Secretary in assessing the demonstration;

and

(C) describe and analyze the effect of assisted activities

in addressing the objectives of this part.

(3) ACCESS TO DOCUMENTS BY THE SECRETARY.—The Secretary shall have access for the purpose of audit and examination to any books, documents, papers, and records that are

pertinent to assistance in connection with, and the requirements of, this section.

(4) ACCESS TO DOCUMENTS BY THE COMPTROLLER GEN- ERAL.—The Comptroller General of the United States, or any

of the duly authorized representatives of the Comptroller General, shall have access for the purpose of audit and examination

to any books, documents, papers, and records that are pertinent

to assistance in connection with, and the requirements of, this

section.

(h) EVALUATION AND REPORT.—

(1) CONSULTATION WITH PHA AND FAMILY REPRESENTATIVES.—In making assessments throughout the demonstration,

the Secretary shall consult with representatives of public housing agencies and residents.

(2) REPORT TO CONGRESS.—Not later than 180 days after

the end of the third year of the demonstration, the Secretary

shall submit to the Congress a report evaluating the programs

carried out under the demonstration. The report shall also

include findings and recommendations for any appropriate

legislative action.

(i) FUNDING FOR TECHNICAL ASSISTANCE AND EVALUATION.—

From amounts appropriated for assistance under section 14 of the
H. R. 2099—32

United States Housing Act of 1937 for fiscal years 1996, 1997,

and 1998, the Secretary may use up to a total of $5,000,000—

(1) to provide, directly or by contract, training and technical

assistance—

(A) to public housing agencies that express an interest

to apply for training and technical assistance pursuant

to subsection (c)(4), to assist them in designing programs

to be proposed for the demonstration; and

(B) to up to 10 agencies selected to receive training

and technical assistance pursuant to subsection (c)(4), to

assist them in implementing the approved program; and

(2) to conduct detailed evaluations of the activities of the

public housing agencies under paragraph (1)(B), directly or

by contract.

REPEAL OF PROVISIONS REGARDING INCOME DISREGARDS

SEC. 207. (a) MAXIMUM ANNUAL LIMITATION ON RENT

INCREASES RESULTING FROM EMPLOYMENT.—Section 957 of the

Cranston-Gonzalez National Affordable Housing Act is hereby

repealed, retroactive to November 28, 1990, and shall be of no

effect.

(b) ECONOMIC INDEPENDENCE.—Section 923 of the Housing and

Community Development Act of 1992 is hereby repealed, retroactive

to October 28, 1992, and shall be of no effect.

EXTENSION OF MULTIFAMILY HOUSING FINANCE PROGRAM

SEC. 208. (a) The first sentence of section 542(b)(5) of the

Housing and Community Development Act of 1992 (12 U.S.C. 1707

note) is amended by striking ‘‘on not more than 15,000 units over

fiscal years 1993 and 1994’’ and inserting ‘‘on not more than 7,500

units during fiscal year 1996’’.

(b) The first sentence of section 542(c)(4) of the Housing and

Community Development Act of 1992 (12 U.S.C. 1707 note) is

amended by striking ‘‘on not to exceed 30,000 units over fiscal

years 1993, 1994, and 1995’’ and inserting ‘‘on not more than

10,000 units during fiscal year 1996’’.

FORECLOSURE OF HUD-HELD MORTGAGES THROUGH THIRD PARTIES

SEC. 209. During fiscal year 1996, the Secretary of Housing

and Urban Development may delegate to one or more entities

the authority to carry out some or all of the functions and responsibilities of the Secretary in connection with the foreclosure of

mortgages held by the Secretary under the National Housing Act.

RESTRUCTURING OF THE HUD MULTIFAMILY MORTGAGE PORTFOLIO

THROUGH STATE HOUSING FINANCE AGENCIES.

SEC. 210. During fiscal year 1996, the Secretary of Housing

and Urban Development may sell or otherwise transfer multifamily

mortgages held by the Secretary under the National Housing Act

to a State housing finance agency in connection with a program

authorized under section 542 (b) or (c) of the Housing and Community Development Act of 1992 without regard to the unit limitations

in section 542(b)(5) or 542(c)(4) of such Act.
H. R. 2099—33

TRANSFER OF SECTION 8 AUTHORITY

SEC. 211. Section 8 of the United States Housing Act of 1937

is amended by adding the following new subsection at the end:

‘‘(bb) TRANSFER OF BUDGET AUTHORITY—If an assistance contract under this section, other than a contract for tenant-based

assistance, is terminated or is not renewed, or if the contract

expires, the Secretary shall, in order to provide continued assistance

to eligible families, including eligible families receiving the benefit

of the project-based assistance at the time of the termination,

transfer any budget authority remaining in the contract to another

contract. The transfer shall be under such terms as the Secretary

may prescribe.’’.

DOCUMENTATION OF MULTIFAMILY REFINANCINGS

SEC. 212. Notwithstanding the 16th paragraph under the item

relating to ‘‘administrative provisions’’ in title II of the Departments

of Veterans Affairs and Housing and Urban Development, and

Independent Agencies Appropriations Act, 1995 (Public Law 103–

327; 108 Stat. 2316), the amendments to section 223(a)(7) of the

National Housing Act made by the 15th paragraph of such Act

shall be effective during fiscal year 1996 and thereafter.

FHA MULTIFAMILY DEMONSTRATION AUTHORITY

SEC. 213. (a) On and after October 1, 1995, and before October

1, 1997, the Secretary of Housing and Urban Development shall

initiate a demonstration program with respect to multifamily

projects whose owners agree to participate and whose mortgages

are insured under the National Housing Act and that are assisted

under section 8 of the United States Housing Act of 1937 and

whose present section 8 rents are, in the aggregate, in excess

of the fair market rent of the locality in which the project is

located. These programs shall be designed to test the feasibility

and desirability of the goal of ensuring, to the maximum extent

practicable, that the debt service and operating expenses, including

adequate reserves, attributable to such multifamily projects can

be supported with or without mortgage insurance under the

National Housing Act and with or without above-market rents

and utilizing project-based assistance or, with the consent of the

property owner, tenant-based assistance, while taking into account

the need for assistance of low- and very low-income families in

such projects. In carrying out this demonstration, the Secretary

may use arrangements with third parties, under which the Secretary may provide for the assumption by the third parties (by

delegation, contract, or otherwise) of some or all of the functions,

obligations, and benefits of the Secretary.

(1) GOALS.—The Secretary of Housing and Urban Development shall carry out the demonstration programs under this

section in a manner that—

(A) will protect the financial interests of the Federal

Government;

(B) will result in significant discretionary cost savings

through debt restructuring and subsidy reduction; and

(C) will, in the least costly fashion, address the goals

of—
H. R. 2099—34

(i) maintaining existing housing stock in a decent,

safe, and sanitary condition;

(ii) minimizing the involuntary displacement of

tenants;

(iii) restructuring the mortgages of such projects

in a manner that is consistent with local housing market conditions;

(iv) supporting fair housing strategies;

(v) minimizing any adverse income tax impact on

property owners; and

(vi) minimizing any adverse impact on residential

neighborhoods.

In determining the manner in which a mortgage is to be restructured or the subsidy reduced, the Secretary may balance

competing goals relating to individual projects in a manner

that will further the purposes of this section.

(2) DEMONSTRATION APPROACHES.—In carrying out the

demonstration programs, subject to the appropriation in subsection (f), the Secretary may use one or more of the following

approaches:

(A) Joint venture arrangements with third parties,

under which the Secretary may provide for the assumption

by the third parties (by delegation, contract, or otherwise)

of some or all of the functions, obligations, and benefits

of the Secretary.

(B) Subsidization of the debt service of the project

to a level that can be paid by an owner receiving an

unsubsidized market rent.

(C) Renewal of existing project-based assistance contracts where the Secretary shall approve proposed initial

rent levels that do not exceed the greater of 120 percent

of fair market rents or comparable market rents for the

relevant metropolitan market area or at rent levels under

a budget-based approach. (D) Nonrenewal of expiring existing project-based

assistance contracts and providing tenant-based assistance

to previously assisted households. (b) For purposes of carrying out demonstration programs under subsection (a)—

(1) the Secretary may manage and dispose of multifamily

properties owned by the Secretary as of October 1, 1995 and

multifamily mortgages held by the Secretary as of October

1, 1995 for properties assisted under section 8 with rents above

110 percent of fair market rents without regard to any other

provision of law; and

(2) the Secretary may delegate to one or more entities

the authority to carry out some or all of the functions and

responsibilities of the Secretary in connection with the foreclosure of mortgages held by the Secretary under the National

Housing Act.

(c) For purposes of carrying out demonstration programs under

subsection (a), subject to such third party consents (if any) as

are necessary including but not limited to (i) consent by the Government National Mortgage Association where it owns a mortgage

insured by the Secretary; (ii) consent by an issuer under the mortgage-backed securities program of the Association, subject to the

responsibilities of the issuer to its security holders and the Associa-
H. R. 2099—35

tion under such program; and (iii) parties to any contractual agreement which the Secretary proposes to modify or discontinue, and

subject to the appropriation in subsection (c), the Secretary or

one or more third parties designated by the Secretary may take

the following actions:

(1) Notwithstanding any other provision of law, and subject

to the agreement of the project owner, the Secretary or third

party may remove, relinquish, extinguish, modify, or agree

to the removal of any mortgage, regulatory agreement, projectbased assistance contract, use agreement, or restriction that

had been imposed or required by the Secretary, including

restrictions on distributions of income which the Secretary or

third party determines would interfere with the ability of the

project to operate without above market rents. The Secretary

or third party may require an owner of a property assisted

under the section 8 new construction/substantial rehabilitation

program to apply any accumulated residual receipts toward

effecting the purposes of this section.

(2) Notwithstanding any other provision of law, the Secretary of Housing and Urban Development may enter into

contracts to purchase reinsurance, or enter into participations

or otherwise transfer economic interest in contracts of insurance

or in the premiums paid, or due to be paid, on such insurance

to third parties, on such terms and conditions as the Secretary

may determine.

(3) The Secretary may offer project-based assistance with

rents at or below fair market rents for the locality in which

the project is located and may negotiate such other terms

as are acceptable to the Secretary and the project owner.

(4) The Secretary may offer to pay all or a portion of

the project’s debt service, including payments monthly from

the appropriate Insurance Fund, for the full remaining term

of the insured mortgage.

(5) Notwithstanding any other provision of law, the Secretary may forgive and cancel any FHA-insured mortgage debt

that a demonstration program property cannot carry at market

rents while bearing full operating costs.

(6) For demonstration program properties that cannot carry

full operating costs (excluding debt service) at market rents,

the Secretary may approve project-based rents sufficient to

carry such full operating costs and may offer to pay the full

debt service in the manner provided in paragraph (4).

(d) COMMUNITY AND TENANT INPUT.—In carrying out this section, the Secretary shall develop procedures to provide appropriate

and timely notice to officials of the unit of general local government

affected, the community in which the project is situated, and the

tenants of the project.

(e) LIMITATION ON DEMONSTRATION AUTHORITY.—The Secretary

may carry out demonstration programs under this section with

respect to mortgages not to exceed 15,000 units. The demonstration

authorized under this section shall not be expanded until the reports

required under subsection (g) are submitted to the Congress.

(f) APPROPRIATION.—For the cost of modifying loans held or

guaranteed by the Federal Housing Administration, as authorized

by this subsection (a)(2) and subsection (c), $30,000,000, to remain

available until September 30, 1997: Provided, That such costs shall
H. R. 2099—36

be as defined in section 502 of the Congressional Budget Act of

1974, as amended.

(g) REPORT TO CONGRESS.—The Secretary shall submit to the

Congress every six months after the date of enactment of this

Act a report describing and assessing the programs carried out

under the demonstrations. The Secretary shall also submit a final

report to the Congress not later than six months after the end

of the demonstrations. The reports shall include findings and recommendations for any legislative action appropriate. The reports

shall also include a description of the status of each multifamily

housing project selected for the demonstrations under this section.

The final report may include—

(1) the size of the projects;

(2) the geographic locations of the projects, by State and

region;

(3) the physical and financial condition of the projects;

(4) the occupancy profile of the projects, including the

income, family size, race, and ethnic origin of current tenants,

and the rents paid by such tenants;

(5) a description of actions undertaken pursuant to this

section, including a description of the effectiveness of such

actions and any impediments to the transfer or sale of multifamily housing projects;

(6) a description of the extent to which the demonstrations

under this section have displaced tenants of multifamily housing projects;

(7) a description of any of the functions performed in

connection with this section that are transferred or contracted

out to public or private entities or to States;

(8) a description of the impact to which the demonstrations

under this section have affected the localities and communities

where the selected multifamily housing projects are located;

and

(9) a description of the extent to which the demonstrations

under this section have affected the owners of multifamily

housing projects.

SECTION 8 CONTRACT RENEWALS

SEC. 214. (a) For fiscal year 1996 and henceforth, the Secretary

of Housing and Urban Development may use amounts available

for the renewal of assistance under section 8 of the United States

Housing Act of 1937, upon termination or expiration of a contract

for assistance under section 8 of such Act of 1937 (other than

a contract for tenant-based assistance and notwithstanding section

8(v) of such Act for loan management assistance), to provide assistance under section 8 of such Act, subject to the Section 8 Existing

Fair Market Rents, for the eligible families assisted under the

contracts at expiration or termination, which assistance shall be

in accordance with terms and conditions prescribed by the Secretary.

(b) Notwithstanding subsection (a) and except for projects

assisted under section 8(e)(2) of the United States Housing Act

of 1937 (as it existed immediately prior to October 1, 1991), at

the request of the owner, the Secretary shall renew for a period

of one year contracts for assistance under section 8 that expire

or terminate during fiscal year 1996 at the current rent levels.
H. R. 2099—37

(c) Section 8(v) of the United States Housing Act of 1937 is

amended to read as follows: ‘‘The Secretary may extend expiring

contracts entered into under this section for project-based loan

management assistance to the extent necessary to prevent displacement of low-income families receiving such assistance as of September 30, 1996.’’.

(d) Section 236(f) of the National Housing Act (12 U.S.C. 1715z–

1(f)) is amended:

(1) by striking the second sentence in paragraph (1) and

inserting in lieu thereof the following: ‘‘The rental charge for

each dwelling unit shall be at the basic rental charge or such

greater amount, not exceeding the lower of (i) the fair market

rental charge determined pursuant to this paragraph, or (ii)

the fair market rental established under section 8(c) of the

United States Housing Act of 1937 for the market area in

which the housing is located, as represents 30 per centum

of the tenant’s adjusted income.’’; and

(2) by striking paragraph (6).’’.

EXTENSION OF HOME EQUITY CONVERSION MORTGAGE PROGRAM

SEC. 215. Section 255(g) of the National Housing Act (12 U.S.C.

1715z–20(g)) is amended—

(1) in the first sentence, by striking ‘‘September 30, 1995’’

and inserting ‘‘September 30, 1996’’; and

(2) in the second sentence, by striking ‘‘25,000’’ and inserting ‘‘30,000’’.

ASSESSMENT COLLECTION DATES FOR OFFICE OF FEDERAL HOUSING

ENTERPRISE OVERSIGHT

SEC. 216. Section 1316(b) of the Housing and Community Devel- opment Act of 1992 (12 U.S.C. 4516(b)) is amended by striking

paragraph (2) and inserting the following new paragraph: ‘‘(2) TIMING OF PAYMENT.—The annual assessment shall be

payable semiannually for each fiscal year, on October 1 and April

1.’’.

MERGER LANGUAGE FOR ASSISTANCE FOR THE RENEWAL OF EXPIRING

SECTION 8 SUBSIDY CONTRACTS AND ANNUAL CONTRIBUTIONS FOR

ASSISTED HOUSING

SEC. 217. All remaining obligated and unobligated balances

in the Renewal of Expiring Section 8 Subsidy Contracts account

on September 30, 1995, shall immediately thereafter be transferred

to and merged with the obligated and unobligated balances, respectively, of the Annual Contributions for Assisted Housing account.

DEBT FORGIVENESS

SEC. 218. (a) The Secretary of Housing and Urban Development

shall cancel the indebtedness of the Hubbard Hospital Authority

of Hubbard, Texas, relating to the public facilities loan for Project

Number PFL–TEX–215, issued under title II of the Housing Amendments of 1955. Such hospital authority is relieved of all liability

to the Government for the outstanding principal balance on such

loan, for the amount of accrued interest on such loan, and for

any fees and charges payable in connection with such loan.
H. R. 2099—38

(b) The Secretary of Housing and Urban Development shall

cancel the indebtedness of the Groveton Texas Hospital Authority

relating to the public facilities loan for Project Number TEX–41–

PFL0162, issued under title II of the Housing Amendments of

1955. Such hospital authority is relieved of all liability to the

Government for the outstanding principal balance on such loan,

for the amount of accrued interest on such loan, and for any

fees and charges payable in connection with such loan.

(c) The Secretary of Housing and Urban Development shall

cancel the indebtedness of the Hepzibah Public Service District

of Hepzibah, West Virginia, relating to the public facilities loan

for Project Number WV–46–PFL0031, issued under title II of the

Housing Amendments of 1955. Such public service district is

relieved of all liability to the Government for the outstanding principal balance on such loan, for the amount of accrued interest

on such loan, and for any fees and charges payable in connection

with such loan.

CLARIFICATIONS

SEC. 219. For purposes of Federal law, the Paul Mirabile Center

in San Diego, California, including areas within such Center that

are devoted to the delivery of supportive services, has been determined to satisfy the ‘‘continuum of care’’ requirements of the Department of Housing and Urban Development, and shall be treated

as—

(a) consisting solely of residential units that (i) contain

sleeping accommodations and kitchen and bathroom facilities,

(ii) are located in a building that is used exclusively to facilitate

the transition of homeless individuals (within the meaning

of section 103 of the Stewart B. McKinney Homeless Assistance

Act (42 U.S.C. 11302), as in effect on December 19, 1989)

to independent living within 24 months, (iii) are suitable for

occupancy, with each cubicle constituting a separate bedroom

and residential unit, (iv) are used on other than a transient

basis, and (v) shall be originally placed in service on November

1, 1995; and

(b) property that is entirely residential rental property,

namely, a project for residential rental property.

EMPLOYMENT LIMITATIONS

SEC. 220. (a) By the end of fiscal year 1996 the Department

of Housing and Urban Development shall employ no more than

seven Assistant Secretaries, notwithstanding section 4(a) of the

Department of Housing and Urban Development Act.

(b) By the end of fiscal year 1996 the Department of Housing

and Urban Development shall employ no more than 77 schedule

C and 20 non-career senior executive service employees.

USE OF FUNDS

SEC. 221. (a) Of the $93,400,000 earmarked in Public Law

101–144 (103 Stat. 850), as amended by Public Law 101–302 (104

Stat. 237), for special projects and purposes, any amounts remaining

of the $500,000 made available to Bethlehem House in Highland,

California, for site planning and loan acquisition shall instead be

made available to the County of San Bernardino in California
H. R. 2099—39

to assist with the expansion of the Los Padrinos Gang Intervention

Program and the Unity Home Domestic Violence Shelter.

(b) The amount made available for fiscal year 1995 for the

removal of asbestos from an abandoned public school building in

Toledo, Ohio shall be made available for the renovation and

rehabilitation of an industrial building at the University of Toledo

in Toledo, Ohio.

LEAD-BASED PAINT ABATEMENT

SEC. 222. (a) Section 1011 of Title X—Residential Lead-Based

Paint Hazard Reduction Act of 1992 is amended as follows: Strike

‘‘priority housing’’ wherever it appears in said section and insert

‘‘housing’’.

(b) Section 1011(a) shall be amended as follows: At the end

of the subsection after the period, insert: ‘‘Grants shall only be

made under this section to provide assistance for housing which

meets the following criteria—

‘‘(1) for grants made to assist rental housing, at least

50 percent of the units must be occupied by or made available

to families with incomes at or below 50 percent of the area

median income level and the remaining units shall be occupied

or made available to families with incomes at or below 80

percent of the area median income level, and in all cases

the landlord shall give priority in renting units assisted under

this section, for not less than 3 years following the completion

of lead abatement activities, to families with a child under

the age of six years, except that buildings with five or more

units may have 20 percent of the units occupied by families

with incomes above 80 percent of area median income level;

‘‘(2) for grants made to assist housing owned by owneroccupants, all units assisted with grants under this section

shall be the principal residence of families with income at

or below 80 percent of the area median income level, and

not less than 90 percent of the units assisted with grants

under this section shall be occupied by a child under the age

of six years or shall be units where a child under the age

of six years spends a significant amount of time visiting; and

‘‘(3) notwithstanding paragraphs (1) and (2), Round II

grantees who receive assistance under this section may use

such assistance for priority housing.’’.

EXTENSION PERIOD FOR SHARING UTILITY COST SAVINGS WITH PHAS

SEC. 223. Section 9(a)(3)(B)(i) of the United States Housing

Act of 1937 is amended by striking ‘‘for a period not to exceed

6 years’’.

MORTGAGE NOTE SALES

SEC. 223A. The first sentence of section 221(g)(4)(C)(viii) of

the National Housing Act is amended by striking ‘‘September 30,

1995’’ and inserting in lieu thereof ‘‘September 30, 1996’’.

REPEAL OF FROST-LELAND

SEC. 223B. Section 415 of the Department of Housing and

Urban Development—Independent Agencies Appropriations Act,

1988 (Public Law 100–202; 101 Stat. 1329–213) is repealed.
H. R. 2099—40

FHA SINGLE-FAMILY ASSIGNMENT PROGRAM REFORM

SEC. 223C. (a) FORECLOSURE AVOIDANCE.—The last sentence

of section 204(a) of the National Housing Act (12 U.S.C. 1710(a))

is amended by inserting before the period the following: ‘‘:And

provided further, That the Secretary may pay insurance benefits to the mortgagee to recompense the mortgagee for its actions to

provide an alternative to the foreclosure of a mortgage that is

in default, which actions may include special foreclosure, loan modification, and deeds in lieu of foreclosure, all upon terms and conditions as the mortgagee shall determine in the mortgagee’s sole

discretion, within guidelines provided by the Secretary, but which

may not include assignment of a mortgage to the Secretary: And

provided further, That for purposes of the preceding proviso, no action authorized by the Secretary and no action taken, nor any

failure to act, by the Secretary or the mortgagee shall be subject

to judicial review.’’. (b) AUTHORITY TO ASSIST MORTGAGORS IN DEFAULT.—Section

230 of the National Housing Act (12 U.S.C. 1715u) is amended

to read as follows:

‘‘AUTHORITY TO ASSIST MORTGAGORS IN DEFAULT

‘‘SEC. 230. (a) PAYMENT OF PARTIAL CLAIM.—The Secretary may establish a program for payment of a partial claim to a mortgagee that agrees to apply the claim amount to payment of a mortgage

on a 1- to 4-family residence that is in default. Any such payment

under such program to the mortgagee shall be made in the sole

discretion of the Secretary and on terms and conditions acceptable

to the Secretary, except that— ‘‘(1) the amount of the payment shall be in an amount determined by the Secretary, not to exceed an amount equivalent to 12 of the monthly mortgage payments and any costs

related to the default that are approved by the Secretary;

and

‘‘(2) the mortgagor shall agree to repay the amount of the insurance claim to the Secretary upon terms and conditions

acceptable to the Secretary.

The Secretary may pay the mortgagee, from the appropriate insurance fund, in connection with any activities that the mortgagee

is required to undertake concerning repayment by the mortgagor

of the amount owed to the Secretary.

‘‘(b) ASSIGNMENT.—

‘‘(1) PROGRAM AUTHORITY.—The Secretary may establish

a program for assignment to the Secretary, upon request of

the mortgagee, of a mortgage on a 1- to 4-family residence

insured under this Act.

‘‘(2) PROGRAM REQUIREMENTS.—The Secretary may accept

assignment of a mortgage under a program under this subsection only if— ‘‘(A) the mortgage was in default;

‘‘(B) the mortgagee has modified the mortgage to cure

the default and provide for mortgage payments within the

reasonable ability of the mortgagor to pay, at interest rates

not exceeding current market interest rates; and

‘‘(C) the Secretary arranges for servicing of the

assigned mortgage by a mortgagee (which may include

the assigning mortgagee) through procedures that the Sec-
H. R. 2099—41

retary has determined to be in the best interests of the

appropriate insurance fund.

‘‘(3) PAYMENT OF INSURANCE BENEFITS.—Upon accepting assignment of a mortgage under a program established under

this subsection, the Secretary may pay insurance benefits to

the mortgagee from the appropriate insurance fund, in an

amount that the Secretary determines to be appropriate, not

to exceed the amount necessary to compensate the mortgagee

for the assignment and any losses and expenses resulting from

the mortgage modification.

‘‘(c) PROHIBITION OF JUDICIAL REVIEW.—No decision by the Secretary to exercise or forego exercising any authority under this

section shall be subject to judicial review.’’.

(c) SAVINGS PROVISION.—Any mortgage for which the mortgagor

has applied to the Secretary, before the date of enactment of the

Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1996, for

assignment pursuant to subsection (b) of this section as in effect

before such date of enactment shall continue to be governed by

the provisions of such section, as in effect immediately before such

date of enactment.

(d) APPLICABILITY OF OTHER LAWS.—No provision of this Act,

or any other law, shall be construed to require the Secretary of

Housing and Urban Development to provide an alternative to foreclosure for mortgagees with mortgages on 1- to 4-family residences

insured by the Secretary under the National Housing Act, or to

accept assignments of such mortgages.

(e) APPLICABILITY OF AMENDMENTS.—Except as provided in subsection (d), the amendments made by subsections (a) and (b) shall

apply with respect to mortgages originated before fiscal year 1996.

(f) REGULATIONS.—Not later than 60 days after the date of

enactment of this Act, the Secretary of Housing and Urban Development shall issue interim regulations to implement this section

and amendments made by this section.

(g) EFFECTIVENESS AND APPLICABILITY.—If this Act is enacted

after the date of enactment of the Balanced Budget Act of 1995—

(1) subsections (a), (b), (c), (d), and (e) of this section shall

not take effect; and

(2) section 2052(c) of the Balanced Budget Act of 1995

is amended by striking ‘‘that are originated on or after October

1, 1995’’ and inserting in lieu thereof ‘‘to mortgages originated

before, during, and after fiscal year 1996.’’.

SPENDING LIMITATIONS

SEC. 223D. (a) None of the funds in this Act may be used

by the Secretary to impose any sanction, or penalty because of

the enactment of any State or local law or regulation declaring

English as the official language.

(b) No part of any appropriation contained in this Act shall

be used for lobbying activities as prohibited by law.

TRANSFER OF FUNCTIONS TO THE DEPARTMENT OF JUSTICE

SEC. 223E. All functions, activities and responsibilities of the

Secretary of Housing and Urban Development relating to title VIII

of the Civil Rights Act of 1968, as amended by the Fair Housing

Amendments Act of 1988, and the Fair Housing Act, including
H. R. 2099—42

any rights guaranteed under the Fair Housing Act (including any

functions relating to the Fair Housing Initiatives program under

section 561 of the Housing and Community Development Act of

1987), are hereby transferred to the Attorney General of the United

States effective April 1, 1997: Provided, That none of the aforementioned authority or responsibility for enforcement of the Fair Housing Act shall be transferred to the Attorney General until adequate

personnel and resources allocated to such activity at the Department of Housing and Urban Development are transferred to the

Department of Justice.

SEC. 224. None of the funds provided in this Act may be

used during fiscal year 1996 to investigate or prosecute under

the Fair Housing Act (42 U.S.C. 3601, et seq.) any otherwise lawful

activity engaged in by one or more persons, including the filing

or maintaining of non-frivolous legal action, that is engaged in

solely for the purposes of achieving or preventing action by a

Government official, entity, or court of competent jurisdiction.

SEC. 225. None of the funds provided in this Act many be

used to take any enforcement action with respect to a complaint

of discrimination under the Fair Housing Act (42 U.S.C. 3601,

et seq.) on the basis of familial status and which involves an

occupancy standard established by the housing provider except

to the extent that it is found that there has been discrimination

in contravention of the standards provided in the March 20, 1991

Memorandum from the General Counsel of the Department of Housing and Urban Development to all Regional Counsel or until such

time that HUD issues a final rule in accordance with section 553

of title 5, United States Code.

CDBG ELIGIBLE ACTIVITIES

SEC. 226. Section 105(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5305(a)) is amended—

(1) in paragraph (4)—

(A) by inserting ‘‘reconstruction,’’ after ‘‘removal,’’; and

(B) by striking ‘‘acquisition for rehabilitation, and

rehabilitation’’ and inserting ‘‘acquisition for reconstruction

or rehabilitation, and reconstruction or rehabilitation’’;

(2) in paragraph (13), by striking ‘‘and’’ at the end;

(3) by striking paragraph (19);

(4) in paragraph (24), by striking ‘‘and’’ at the end;

(5) in paragraph (25), by striking the period at the end

and inserting ‘‘; and’’;

(6) by redesignating paragraphs (20) through (25) as paragraphs (19) through (24), respectively; and

(7) by redesignating paragraph (21) (as added by section

1012(f)(3) of the Housing and Community Development Act

of 1992) as paragraph (25).
H. R. 2099—43

TITLE III

INDEPENDENT AGENCIES

AMERICAN BATTLE MONUMENTS COMMISSION

SALARIES AND EXPENSES

For necessary expenses, not otherwise provided for, of the

American Battle Monuments Commission, including the acquisition

of land or interest in land in foreign countries; purchases and

repair of uniforms for caretakers of national cemeteries and monuments outside of the United States and its territories and possessions; rent of office and garage space in foreign countries; purchase

(one for replacement only) and hire of passenger motor vehicles;

and insurance of official motor vehicles in foreign countries, when

required by law of such countries; $20,265,000, to remain available

until expended: Provided, That where station allowance has been

authorized by the Department of the Army for officers of the Army

serving the Army at certain foreign stations, the same allowance

shall be authorized for officers of the Armed Forces assigned to

the Commission while serving at the same foreign stations, and

this appropriation is hereby made available for the payment of

such allowance: Provided further, That when traveling on business

of the Commission, officers of the Armed Forces serving as members

or as Secretary of the Commission may be reimbursed for expenses

as provided for civilian members of the Commission: Provided further, That the Commission shall reimburse other Government agencies, including the Armed Forces, for salary, pay, and allowances

of personnel assigned to it.

CONSUMER PRODUCT SAFETY COMMISSION

SALARIES AND EXPENSES

For necessary expenses of the Consumer Product Safety

Commission, including hire of passenger motor vehicles, services

as authorized by 5 U.S.C. 3109, but at rates for individuals not

to exceed the per diem rate equivalent to the rate for GS–18,

purchase of nominal awards to recognize non-Federal officials’ contributions to Commission activities, and not to exceed $500 for

official reception and representation expenses, $40,000,000.

CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

NATIONAL AND COMMUNITY SERVICE PROGRAMS OPERATING EXPENSES

For necessary expenses for the Corporation for National and

Community Service in carrying out the orderly termination of programs, activities, and initiatives under the National and Community

Service Act of 1990, as amended (Public Law 103–82), $15,000,000:

Provided, That such amount shall be utilized to resolve all responsibilities and obligations in connection with said Corporation and

the Corporation’s Office of Inspector General.
H. R. 2099—44

COURT OF VETERANS APPEALS

SALARIES AND EXPENSES

For necessary expenses for the operation of the United States

Court of Veterans Appeals as authorized by 38 U.S.C. sections

7251–7292, $9,000,000, of which not to exceed $678,000, to remain

available until September 30, 1997, shall be available for the purpose of providing financial assistance as described, and in accordance with the process and reporting procedures set forth, under

this head in Public Law 102–229.

DEPARTMENT OF DEFENSE—CIVIL

CEMETERIAL EXPENSES, ARMY

SALARIES AND EXPENSES

For necessary expenses, as authorized by law, for maintenance,

operation, and improvement of Arlington National Cemetery and

Soldiers’ and Airmen’s Home National Cemetery, and not to exceed

$1,000 for official reception and representation expenses;

$11,946,000, to remain available until expended.

ENVIRONMENTAL PROTECTION AGENCY

SCIENCE AND TECHNOLOGY

For science and technology, including research and development

activities, which shall include research and development activities

under the Comprehensive Environmental Response, Compensation

and Liability Act of 1980 (CERCLA), as amended; necessary

expenses for personnel and related costs and travel expenses, including uniforms, or allowances therefore, as authorized by 5 U.S.C.

5901–5902; services as authorized by 5 U.S.C. 3109, but at rates

for individuals not to exceed the per diem rate equivalent to the

rate for GS–18; procurement of laboratory equipment and supplies;

other operating expenses in support of research and development;

construction, alteration, repair, rehabilitation and renovation of

facilities, not to exceed $75,000 per project; $525,000,000, which

shall remain available until September 30, 1997.

ENVIRONMENTAL PROGRAMS AND MANAGEMENT

For environmental programs and management, including necessary expenses, not otherwise provided for, for personnel and

related costs and travel expenses, including uniforms, or allowances

therefore, as authorized by 5 U.S.C. 5901–5902; services as authorized by 5 U.S.C. 3109, but at rates for individuals not to exceed

the per diem rate equivalent to the rate for GS–18; hire of passenger

motor vehicles; hire, maintenance, and operation of aircraft; purchase of reprints; library memberships in societies or associations

which issue publications to members only or at a price to members

lower than to subscribers who are not members; construction, alteration, repair, rehabilitation, and renovation of facilities, not to

exceed $75,000 per project; and not to exceed $6,000 for official

reception and representation expenses; $1,550,300,000, which shall

remain available until September 30, 1997: Provided, That, notwithstanding any other provision of law, for this fiscal year and
H. R. 2099—45

hereafter, an industrial discharger that is a pharmaceutical manufacturing facility and discharged to the Kalamazoo Water Reclamation Plant (an advanced wastewater treatment plant with activated

carbon) prior to the date of enactment of this Act may be exempted

from categorical pretreatment standards under section 307(b) of

the Federal Water Pollution Control Act, as amended, if the following conditions are met: (1) the owner or operator of the Kalamazoo Water Reclamation Plant applies to the State of Michigan for an exemption

for such industrial discharger, (2) the State or Administrator, as applicable, approves such

exemption request based upon a determination that the Kalamazoo Water Reclamation Plant will provide treatment and

pollution removal equivalent to or better than that which would

be required through a combination of pretreatment by such

industrial discharger and treatment by the Kalamazoo Water

Reclamation Plant in the absence of the exemption, and (3) compliance with paragraph (2) is addressed by the provisions and conditions of a permit issued to the Kalamazoo

Water Reclamation Plant under section 402 of such Act, and

there exists an operative financial contract between the City

of Kalamazoo and the industrial user and an approved local

pretreatment program, including a joint monitoring program

and local controls to prevent against interference and pass

through.

OFFICE OF INSPECTOR GENERAL

For necessary expenses of the Office of Inspector General in carrying out the provisions of the Inspector General Act of 1978,

as amended, and for construction, alteration, repair, rehabilitation,

and renovation of facilities, not to exceed $75,000 per project,

$28,500,000.

BUILDINGS AND FACILITIES

For construction, repair, improvement, extension, alteration,

and purchase of fixed equipment or facilities of, or use by, the

Environmental Protection Agency, $60,000,000, to remain available

until expended.

HAZARDOUS SUBSTANCE SUPERFUND

(INCLUDING TRANSFER OF FUNDS)

For necessary expenses to carry out the Comprehensive

Environmental Response, Compensation and Liability Act of 1980

(CERCLA), as amended, including sections 111 (c)(3), (c)(5), (c)(6),

and (e)(4) (42 U.S.C. 9611), and for construction, alteration, repair,

rehabilitation, and renovation of facilities, not to exceed $75,000

per project; not to exceed $1,163,400,000, to remain available until

expended, consisting of $913,400,000 as authorized by section 517(a)

of the Superfund Amendments and Reauthorization Act of 1986

(SARA), as amended by Public Law 101–508, and $250,000,000

as a payment from general revenues to the Hazardous Substance

Superfund as authorized by section 517(b) of SARA, as amended

by Public Law 101–508: Provided, That funds appropriated under

this heading may be allocated to other Federal agencies in accordance with section 111(a) of CERCLA: Provided further, That
H. R. 2099—46

$11,000,000 of the funds appropriated under this heading shall

be transferred to the Office of Inspector General appropriation

to remain available until September 30, 1996: Provided further,

That notwithstanding section 111(m) of CERCLA or any other provision of law, not to exceed $59,000,000 of the funds appropriated

under this heading shall be available to the Agency for Toxic

Substances and Disease Registry to carry out activities described

in sections 104(i), 111(c)(4), and 111(c)(14) of CERCLA and section

118(f) of the Superfund Amendments and Reauthorization Act of

1986: Provided further, That none of the funds appropriated under

this heading shall be available for the Agency for Toxic Substances

and Disease Registry to issue in excess of 40 toxicological profiles

pursuant to section 104(i) of CERCLA during fiscal year 1996:

Provided further, That none of the funds made available under

this heading may be used by the Environmental Protection Agency

to propose for listing or to list any additional facilities on the

National Priorities List established by section 105 of the Comprehensive Environmental Response, Compensation and Liability

Act (CERCLA), as amended (42 U.S.C. 9605), unless the Administrator receives a written request to propose for listing or to list

a facility from the Governor of the State in which the facility

is located, or unless legislation to reauthorize CERCLA is enacted.

LEAKING UNDERGROUND STORAGE TANK TRUST FUND

(INCLUDING TRANSFER OF FUNDS)

For necessary expenses to carry out leaking underground storage tank cleanup activities authorized by section 205 of the

Superfund Amendments and Reauthorization Act of 1986, and for

construction, alteration, repair, rehabilitation, and renovation of

facilities, not to exceed $75,000 per project, $45,827,000, to remain

available until expended: Provided, That no more than $7,000,000

shall be available for administrative expenses: Provided further,

That $500,000 shall be transferred to the Office of Inspector General

appropriation to remain available until September 30, 1996.

OIL SPILL RESPONSE

(INCLUDING TRANSFER OF FUNDS)

For expenses necessary to carry out the Environmental Protection Agency’s responsibilities under the Oil Pollution Act of 1990,

$15,000,000, to be derived from the Oil Spill Liability trust fund,

and to remain available until expended: Provided, That not more

than $8,000,000 of these funds shall be available for administrative

expenses.

STATE AND TRIBAL ASSISTANCE GRANTS

For environmental programs and infrastructure assistance,

including capitalization grants for State revolving funds and

performance partnership grants, $2,323,000,000, to remain available until expended, of which $1,400,000,000 shall be for making

capitalization grants for State revolving funds to support water

infrastructure financing; $100,000,000 for architectural, engineering, design, construction and related activities in connection with

the construction of high priority water and wastewater facilities

in the area of the United States-Mexico Border, after consultation
H. R. 2099—47

with the appropriate border commission; $50,000,000 for grants

to the State of Texas, which shall be matched by an equal amount

of State funds from State resources, for the purpose of improving

wastewater treatment for colonias; $15,000,000 for grants to the

State of Alaska, subject to an appropriate cost share as determined

by the Administrator, to address wastewater infrastructure needs

of rural and Alaska Native villages; and $100,000,000 for making

grants for the construction of wastewater treatment facilities and

the development of groundwater in accordance with the terms and

conditions specified for such grants in the Conference Report accompanying this Act (H.R. 2099): Provided, That beginning in fiscal year 1996 and each fiscal year thereafter, and notwithstanding

any other provision of law, the Administrator is authorized to

make grants annually from funds appropriated under this heading,

subject to such terms and conditions as the Administrator shall

establish, to any State or federally recognized Indian tribe for

multimedia or single media pollution prevention, control and abatement and related environmental activities at the request of the

Governor or other appropriate State official or the tribe: Provided

further, That from funds appropriated under this heading, the Administrator may make grants to federally recognized Indian

governments for the development of multimedia environmental programs: Provided further, That of the $1,400,000,000 for capitalization grants for State revolving funds to support water infrastructure

financing, $275,000,000 shall be for drinking water State revolving

funds, but if no drinking water State revolving fund legislation

is enacted by June 1, 1996, these funds shall immediately be

available for making capitalization grants under title VI of the

Federal Water Pollution Control Act, as amended: Provided further,

That of the funds made available in Public Law 103–327 and

in Public Law 103–124 for capitalization grants for State revolving

funds to support water infrastructure financing, $225,000,000 shall

be made available for capitalization grants for State revolving funds

under title VI of the Federal Water Pollution Control Act, as

amended, if no drinking water State revolving fund legislation

is enacted by June 1, 1996: Provided further, That of the funds

made available under this heading for capitalization grants for

State Revolving Funds under title VI of the Federal Water Pollution

Control Act, as amended, $50,000,000 shall be for wastewater treatment in impoverished communities pursuant to section 102(d) of

H.R. 961 as approved by the United States House of Representatives

on May 16, 1995: Provided further, That of the funds appropriated

in the Construction Grants and Water Infrastructure/State Revolving Funds accounts since the appropriation for the fiscal year ending

September 30, 1992, and hereafter, for making grants for

wastewater treatment works construction projects, portions may

be provided by the recipients to States for managing construction

grant activities, on condition that the States agree to reimburse

the recipients from State funding sources: Provided further, That

the funds made available in Public Law 103–327 for a grant to

the City of Mt. Arlington, New Jersey, in accordance with House

Report 103–715, shall be available for a grant to that city for

water and sewer improvements.

ADMINISTRATIVE PROVISIONS

SEC. 301. None of the funds provided in this Act may be

used within the Environmental Protection Agency for any final
H. R. 2099—48

action by the Administrator or her delegate for signing and publishing for promulgation of a rule concerning any new standard for

radon in drinking water.

SEC. 302. None of the funds provided in this Act may be used during fiscal year 1996 to sign, promulgate, implement or

enforce the requirement proposed as ‘‘Regulation of Fuels and Fuel

Additives: Individual Foreign Refinery Baseline Requirements for

Reformulated Gasoline’’ at volume 59 of the Federal Register at

pages 22800 through 22814.

SEC. 303. None of the funds appropriated to the Environmental

Protection Agency for fiscal year 1996 may be used to implement

section 404(c) of the Federal Water Pollution Control Act, as

amended. No pending action by the Environmental Protection

Agency to implement section 404(c) with respect to an individual

permit shall remain in effect after the date of enactment of this

Act.

SEC. 304. None of the funds appropriated under this Act may be used to implement the requirements of section 186(b)(2), section

187(b) or section 211(m) of the Clean Air Act (42 U.S.C. 7512(b)(2),

7512a(b), or 7545(m)) with respect to any moderate nonattainment

area in which the average daily winter temperature is below 0

degrees Fahrenheit. The preceding sentence shall not be interpreted

to preclude assistance from the Environmental Protection Agency

to the State of Alaska to make progress toward meeting the carbon

monoxide standard in such areas and to resolve remaining issues

regarding the use of oxygenated fuels in such areas.

EXECUTIVE OFFICE OF THE PRESIDENT

OFFICE OF SCIENCE AND TECHNOLOGY POLICY

For necessary expenses of the Office of Science and Technology Policy, in carrying out the purposes of the National Science and

Technology Policy, Organization, and Priorities Act of 1976 (42

U.S.C. 6601 and 6671), hire of passenger motor vehicles, services

as authorized by 5 U.S.C. 3109, not to exceed $2,500 for official

reception and representation expenses, and rental of conference

rooms in the District of Columbia, $4,981,000: Provided, That the

Office of Science and Technology Policy shall reimburse other agencies for not less than one-half of the personnel compensation costs

of individuals detailed to it.

COUNCIL ON ENVIRONMENTAL QUALITY AND OFFICE OF

ENVIRONMENTAL QUALITY

For necessary expenses to continue functions assigned to the Council on Environmental Quality and Office of Environmental

Quality pursuant to the National Environmental Policy Act of 1969,

the Environmental Improvement Act of 1970 and Reorganization

Plan No. 1 of 1977, $1,000,000.

FEDERAL EMERGENCY MANAGEMENT AGENCY

DISASTER RELIEF

For necessary expenses in carrying out the functions of the

Robert T. Stafford Disaster Relief and Emergency Assistance Act

(42 U.S.C. 5121 et seq.), $222,000,000, to remain available until

expended.
H. R. 2099—49

DISASTER ASSISTANCE DIRECT LOAN PROGRAM ACCOUNT

For the cost of direct loans, $2,155,000, as authorized by section 319 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.): Provided, That such costs, including the cost of modifying such loans, shall be as defined in section

502 of the Congressional Budget Act of 1974, as amended: Provided

further, That these funds are available to subsidize gross obligations for the principal amount of direct loans not to exceed $25,000,000.

In addition, for administrative expenses to carry out the direct loan program, $95,000.

SALARIES AND EXPENSES

For necessary expenses, not otherwise provided for, including hire and purchase of motor vehicles (31 U.S.C. 1343); uniforms,

or allowances therefor, as authorized by 5 U.S.C. 5901–5902; services as authorized by 5 U.S.C. 3109, but at rates for individuals

not to exceed the per diem rate equivalent to the rate for GS–

18; expenses of attendance of cooperating officials and individuals

at meetings concerned with the work of emergency preparedness;

transportation in connection with the continuity of Government

programs to the same extent and in the same manner as permitted

the Secretary of a Military Department under 10 U.S.C. 2632;

and not to exceed $2,500 for official reception and representation

expenses; $168,900,000.

OFFICE OF THE INSPECTOR GENERAL

For necessary expenses of the Office of the Inspector General in carrying out the provisions of the Inspector General Act of

1978, as amended, $4,673,000.

EMERGENCY MANAGEMENT PLANNING AND ASSISTANCE

For necessary expenses, not otherwise provided for, to carry out activities under the National Flood Insurance Act of 1968,

as amended, and the Flood Disaster Protection Act of 1973, as

amended (42 U.S.C. 4001 et seq.), the Robert T. Stafford Disaster

Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.),

the Earthquake Hazards Reduction Act of 1977, as amended (42

U.S.C. 7701 et seq.), the Federal Fire Prevention and Control Act

of 1974, as amended (15 U.S.C. 2201 et seq.), the Defense Production

Act of 1950, as amended (50 U.S.C. App. 2061 et seq.), sections

107 and 303 of the National Security Act of 1947, as amended

(50 U.S.C. 404–405), and Reorganization Plan No. 3 of 1978,

$203,044,000.

EMERGENCY FOOD AND SHELTER PROGRAM

There is hereby appropriated $100,000,000 to the Federal Emer- gency Management Agency to carry out an emergency food and

shelter program pursuant to title III of Public Law 100–77, as

amended: Provided, That total administrative costs shall not exceed

three and one-half per centum of the total appropriation.

NATIONAL FLOOD INSURANCE FUND

For activities under the National Flood Insurance Act of 1968,

the Flood Disaster Protection Act of 1973, and the National Flood
H. R. 2099—50

Insurance Reform Act of 1994, not to exceed $20,562,000 for salaries

and expenses associated with flood mitigation and flood insurance

operations, and not to exceed $70,464,000 for flood mitigation,

including up to $12,000,000 for expenses under section 1366 of

the National Flood Insurance Act of 1968, as amended, which

amount shall be available until September 30, 1997. In fiscal year

1996, no funds in excess of (1) $47,000,000 for operating expenses,

(2) $292,526,000 for agents’ commissions and taxes, and (3)

$3,500,000 for interest on Treasury borrowings shall be available

from the National Flood Insurance Fund without prior notice to

the Committees on Appropriations.

ADMINISTRATIVE PROVISION

The Director of the Federal Emergency Management Agency shall promulgate through rulemaking a methodology for assessment

and collection of fees to be assessed and collected beginning in

fiscal year 1996 applicable to persons subject to the Federal Emergency Management Agency’s radiological emergency preparedness

regulations. The aggregate charges assessed pursuant to this section

during fiscal year 1996 shall approximate, but not be less than,

100 per centum of the amounts anticipated by the Federal Emergency Management Agency to be obligated for its radiological emergency preparedness program for such fiscal year. The methodology

for assessment and collection of fees shall be fair and equitable,

and shall reflect the full amount of costs of providing radiological

emergency planning, preparedness, response and associated services. Such fees will be assessed in a manner that reflects the

use of agency resources for classes of regulated persons and the

administrative costs of collecting such fees. Fees received pursuant

to this section shall be deposited in the general fund of the Treasury

as offsetting receipts. Assessment and collection of such fees are

only authorized during fiscal year 1996.

GENERAL SERVICES ADMINISTRATION

CONSUMER INFORMATION CENTER

For necessary expenses of the Consumer Information Center, including services authorized by 5 U.S.C. 3109, $2,061,000, to be

deposited into the Consumer Information Center Fund: Provided,

That the appropriations, revenues and collections deposited into

the fund shall be available for necessary expenses of Consumer

Information Center activities in the aggregate amount of $7,500,000.

Administrative expenses of the Consumer Information Center in

fiscal year 1996 shall not exceed $2,602,000. Appropriations, revenues, and collections accruing to this fund during fiscal year 1996

in excess of $7,500,000 shall remain in the fund and shall not

be available for expenditure except as authorized in appropriations

Acts.

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

HUMAN SPACE FLIGHT

For necessary expenses, not otherwise provided for, in the

conduct and support of human space flight research and development activities, including research; development; operations; services; maintenance; construction of facilities including repair,
H. R. 2099—51

rehabilitation, and modification of real and personal property, and

acquisition or condemnation of real property, as authorized by law;

space flight, spacecraft control and communications activities

including operations, production, and services; and purchase, lease,

charter, maintenance, and operation of mission and administrative

aircraft; $5,456,600,000, to remain available until September 30,

1997.

SCIENCE, AERONAUTICS AND TECHNOLOGY

For necessary expenses, not otherwise provided for, for the conduct and support of science, aeronautics, and technology research

and development activities, including research; development; operations; services; maintenance; construction of facilities including

repair, rehabilitation and modification of real and personal property,

and acquisition or condemnation of real property, as authorized

by law; space flight, spacecraft control and communications activities including operations, production, and services; and purchase,

lease, charter, maintenance, and operation of mission and administrative aircraft; $5,845,900,000, to remain available until September

30, 1997.

MISSION SUPPORT

For necessary expenses, not otherwise provided for, in carrying out mission support for human space flight programs and science,

aeronautical, and technology programs, including research operations and support; space communications activities including operations, production, and services; maintenance; construction of facilities including repair, rehabilitation, and modification of facilities,

minor construction of new facilities and additions to existing facilities, facility planning and design, environmental compliance and

restoration, and acquisition or condemnation of real property, as

authorized by law; program management; personnel and related

costs, including uniforms or allowances therefor, as authorized by

law (5 U.S.C. 5901–5902); travel expenses; purchase, lease, charter,

maintenance, and operation of mission and administrative aircraft;

not to exceed $35,000 for official reception and representation

expenses; and purchase (not to exceed thirty-three for replacement

only) and hire of passenger motor vehicles; $2,502,200,000, to

remain available until September 30, 1997.

OFFICE OF INSPECTOR GENERAL

For necessary expenses of the Office of the Inspector General

in carrying out the provisions of the Inspector General Act of

1978, as amended, $16,000,000.

ADMINISTRATIVE PROVISIONS

(INCLUDING TRANSFER OF FUNDS)

Notwithstanding the limitation on the availability of funds

appropriated for ‘‘Human space flight’’, ‘‘Science, aeronautics and

technology’’, or ‘‘Mission support’’ by this appropriations Act, when

any activity has been initiated by the incurrence of obligations

for construction of facilities as authorized by law, the amount available for such activity shall remain available until expended. This

provision does not apply to the amounts appropriated in ‘‘Mission

support’’ pursuant to the authorization for repair, rehabilitation
H. R. 2099—52

and modification of facilities, minor construction of new facilities

and additions to existing facilities, and facility planning and design.

Notwithstanding the limitation on the availability of funds

appropriated for ‘‘Human space flight’’, ‘‘Science, aeronautics and

technology’’, or ‘‘Mission support’’ by this appropriations Act, the

amounts appropriated for construction of facilities shall remain

available until September 30, 1998.

Notwithstanding the limitation on the availability of funds

appropriated for ‘‘Mission support’’ and ‘‘Office of Inspector General’’, amounts made available by this Act for personnel and related

costs and travel expenses of the National Aeronautics and Space

Administration shall remain available until September 30, 1996

and may be used to enter into contracts for training, investigations,

cost associated with personnel relocation, and for other services,

to be provided during the next fiscal year.

The unexpired balances of prior appropriations to NASA for

activities for which funds are provided under this Act may be

transferred to the new account established for the appropriation

that provides funds for such activity under this Act. Balances so

transferred may be merged with funds in the newly established

account and thereafter may be accounted for as one fund to be

available for the same purposes and under the same terms and

conditions.

Notwithstanding any other provision of law or regulation, the

National Aeronautics and Space Administration shall convey, without reimbursement, to the State of Mississippi, all rights, title

and interest of the United States in the property known as the

Yellow Creek Facility and consisting of approximately 1,200 acres

near the city of Iuka, Mississippi, including all improvements

thereon and also including any personal property owned by NASA

that is currently located on-site and which the State of Mississippi

requires to facilitate the transfer: Provided, That appropriated funds

shall be used to effect this conveyance: Provided further, That

$10,000,000 in appropriated funds otherwise available to the

National Aeronautics and Space Administration shall be transferred

to the State of Mississippi to be used in the transition of the

facility: Provided further, That each Federal agency with prior

contact to the site shall remain responsible for any and all environmental remediation made necessary as a result of its activities

on the site: Provided further, That in consideration of this conveyance, the National Aeronautics and Space Administration may

require such other terms and conditions as the Administrator deems

appropriate to protect the interests of the United States: Provided

further, That the conveyance of the site and the transfer of the

funds to the State of Mississippi shall occur not later than thirty

days from the date of enactment of this Act.

Upon the determination by the Administrator that such action

is necessary, the Administrator may, with the approval of the

Office of Management and Budget, transfer not to exceed

$50,000,000 of funds made available in this Act to the National

Aeronautics and Space Administration between such appropriations

or any subdivision thereof, to be merged with and to be available

for the same purposes, and for the same time period, as the appropriation to which transferred: Provided, That such authority to

transfer may not be used unless for higher priority items, based

on unforeseen requirements, than those for which originally appropriated: Provided further, That the Administrator of the National
H. R. 2099—53

Aeronautics and Space Administration shall notify the Congress

promptly of all transfers made pursuant to this authority.

NATIONAL CREDIT UNION ADMINISTRATION

CENTRAL LIQUIDITY FACILITY

During fiscal year 1996, gross obligations of the Central Liquidity Facility for the principal amount of new direct loans to member

credit unions as authorized by the National Credit Union Central

Liquidity Facility Act (12 U.S.C. 1795) shall not exceed

$600,000,000: Provided, That administrative expenses of the

Central Liquidity Facility in fiscal year 1996 shall not exceed

$560,000.

NATIONAL SCIENCE FOUNDATION

RESEARCH AND RELATED ACTIVITIES

For necessary expenses in carrying out the purposes of the National Science Foundation Act of 1950, as amended (42 U.S.C.

1861–1875), and the Act to establish a National Medal of Science

(42 U.S.C. 1880–1881); services as authorized by 5 U.S.C. 3109;

maintenance and operation of aircraft and purchase of flight services for research support; acquisition of aircraft; $2,274,000,000,

of which not to exceed $235,000,000 shall remain available until

expended for Polar research and operations support, and for

reimbursement to other Federal agencies for operational and science

support and logistical and other related activities for the United

States Antarctic program; the balance to remain available until

September 30, 1997: Provided, That receipts for scientific support

services and materials furnished by the National Research Centers

and other National Science Foundation supported research facilities

may be credited to this appropriation: Provided further, That to

the extent that the amount appropriated is less than the total

amount authorized to be appropriated for included program activities, all amounts, including floors and ceilings, specified in the

authorizing Act for those program activities or their subactivities

shall be reduced proportionally.

MAJOR RESEARCH EQUIPMENT

For necessary expenses in carrying out major construction

projects, and related expenses, pursuant to the purposes of the

National Science Foundation Act of 1950, as amended (42 U.S.C.

1861–1875), $70,000,000, to remain available until expended.

ACADEMIC RESEARCH INFRASTRUCTURE

For necessary expenses in carrying out an academic research

infrastructure program pursuant to the purposes of the National

Science Foundation Act of 1950, as amended (42 U.S.C. 1861–

1875), including services as authorized by 5 U.S.C. 3109 and rental

of conference rooms in the District of Columbia, $100,000,000, to

remain available until September 30, 1997.

EDUCATION AND HUMAN RESOURCES

For necessary expenses in carrying out science and engineering

education and human resources programs and activities pursuant
H. R. 2099—54

to the purposes of the National Science Foundation Act of 1950,

as amended (42 U.S.C. 1861–1875), including services as authorized

by 5 U.S.C. 3109 and rental of conference rooms in the District

of Columbia, $599,000,000, to remain available until September

30, 1997: Provided, That to the extent that the amount of this

appropriation is less than the total amount authorized to be appropriated for included program activities, all amounts, including floors

and ceilings, specified in the authorizing Act for those program

activities or their subactivities shall be reduced proportionally.

SALARIES AND EXPENSES

For necessary salaries and expenses in carrying out the purposes of the National Science Foundation Act of 1950, as amended

(42 U.S.C. 1861–1875); services authorized by 5 U.S.C. 3109; hire

of passenger motor vehicles; not to exceed $9,000 for official reception and representation expenses; uniforms or allowances therefor,

as authorized by law (5 U.S.C. 5901–5902); rental of conference

rooms in the District of Columbia; reimbursement of the General

Services Administration for security guard services; $127,310,000:

Provided, That contracts may be entered into under salaries and

expenses in fiscal year 1996 for maintenance and operation of

facilities, and for other services, to be provided during the next

fiscal year.

OFFICE OF INSPECTOR GENERAL

For necessary expenses of the Office of Inspector General in

carrying out the provisions of the Inspector General Act of 1978,

as amended, $4,490,000, to remain available until September 30,

1997.

NATIONAL SCIENCE FOUNDATION HEADQUARTERS RELOCATION

For necessary support of the relocation of the National Science

Foundation, $5,200,000: Provided, That these funds shall be used

to reimburse the General Services Administration for services and

related acquisitions in support of relocating the National Science

Foundation.

NEIGHBORHOOD REINVESTMENT CORPORATION

PAYMENT TO THE NEIGHBORHOOD REINVESTMENT CORPORATION

For payment to the Neighborhood Reinvestment Corporation

for use in neighborhood reinvestment activities, as authorized by

the Neighborhood Reinvestment Corporation Act (42 U.S.C. 8101–

8107), $38,667,000.

SELECTIVE SERVICE SYSTEM

SALARIES AND EXPENSES

For necessary expenses of the Selective Service System, including expenses of attendance at meetings and of training for uniformed personnel assigned to the Selective Service System, as

authorized by law (5 U.S.C. 4101–4118) for civilian employees;

and not to exceed $1,000 for official reception and representation

expenses; $22,930,000: Provided, That during the current fiscal

year, the President may exempt this appropriation from the provi-
H. R. 2099—55

sions of 31 U.S.C. 1341, whenever he deems such action to be

necessary in the interest of national defense: Provided further,

That none of the funds appropriated by the Act may be expended

for or in connection with the induction of any person into the

Armed Forces of the United States.

TITLE IV

CORPORATIONS

Corporations and agencies of the Department of Housing and

Urban Development which are subject to the Government Corporation Control Act, as amended, are hereby authorized to make such

expenditures, within the limits of funds and borrowing authority

available to each such corporation or agency and in accord with

law, and to make such contracts and commitments without regard

to fiscal year limitations as provided by section 104 of the Act

as may be necessary in carrying out the programs set forth in

the budget for 1996 for such corporation or agency except as hereinafter provided: Provided, That collections of these corporations and

agencies may be used for new loan or mortgage purchase commitments only to the extent expressly provided for in this Act (unless

such loans are in support of other forms of assistance provided

for in this or prior appropriations Acts), except that this proviso

shall not apply to the mortgage insurance or guaranty operations

of these corporations, or where loans or mortgage purchases are

necessary to protect the financial interest of the United States

Government.

RESOLUTION TRUST CORPORATION

OFFICE OF INSPECTOR GENERAL

For necessary expenses of the Office of Inspector General in

carrying out the provisions of the Inspector General Act of 1978,

as amended, $11,400,000.

TITLE V

GENERAL PROVISIONS

SEC. 501. Where appropriations in titles I, II, and III of this

Act are expendable for travel expenses and no specific limitation

has been placed thereon, the expenditures for such travel expenses

may not exceed the amounts set forth therefor in the budget estimates submitted for the appropriations: Provided, That this section

shall not apply to travel performed by uncompensated officials

of local boards and appeal boards of the Selective Service System;

to travel performed directly in connection with care and treatment

of medical beneficiaries of the Department of Veterans Affairs;

to travel performed in connection with major disasters or emergencies declared or determined by the President under the provisions of the Robert T. Stafford Disaster Relief and Emergency

Assistance Act; to travel performed by the Offices of Inspector

General in connection with audits and investigations; or to payments to interagency motor pools where separately set forth in

the budget schedules: Provided further, That if appropriations in

titles I, II, and III exceed the amounts set forth in budget estimates

initially submitted for such appropriations, the expenditures for
H. R. 2099—56

travel may correspondingly exceed the amounts therefor set forth

in the estimates in the same proportion.

SEC. 502. Appropriations and funds available for the administrative expenses of the Department of Housing and Urban Development and the Selective Service System shall be available in the

current fiscal year for purchase of uniforms, or allowances therefor,

as authorized by law (5 U.S.C. 5901–5902); hire of passenger motor

vehicles; and services as authorized by 5 U.S.C. 3109.

SEC. 503. Funds of the Department of Housing and Urban

Development subject to the Government Corporation Control Act

or section 402 of the Housing Act of 1950 shall be available, without

regard to the limitations on administrative expenses, for legal services on a contract or fee basis, and for utilizing and making payment

for services and facilities of Federal National Mortgage Association,

Government National Mortgage Association, Federal Home Loan

Mortgage Corporation, Federal Financing Bank, Resolution Trust

Corporation, Federal Reserve banks or any member thereof, Federal

Home Loan banks, and any insured bank within the meaning

of the Federal Deposit Insurance Corporation Act, as amended

(12 U.S.C. 1811–1831).

SEC. 504. No part of any appropriation contained in this Act

shall remain available for obligation beyond the current fiscal year

unless expressly so provided herein.

SEC. 505. No funds appropriated by this Act may be expended—

(1) pursuant to a certification of an officer or employee

of the United States unless—

(A) such certification is accompanied by, or is part

of, a voucher or abstract which describes the payee or

payees and the items or services for which such expenditure

is being made, or (B) the expenditure of funds pursuant to such certification, and without such a voucher or abstract, is specifically authorized by law; and

(2) unless such expenditure is subject to audit by the General Accounting Office or is specifically exempt by law from

such audit.

SEC. 506. None of the funds provided in this Act to any department or agency may be expended for the transportation of any

officer or employee of such department or agency between his

domicile and his place of employment, with the exception of any

officer or employee authorized such transportation under title 31,

United States Code, section 1344.

SEC. 507. None of the funds provided in this Act may be

used for payment, through grants or contracts, to recipients that

do not share in the cost of conducting research resulting from

proposals not specifically solicited by the Government: Provided,

That the extent of cost sharing by the recipient shall reflect the

mutuality of interest of the grantee or contractor and the Government in the research.

SEC. 508. None of the funds provided in this Act may be

used, directly or through grants, to pay or to provide reimbursement

for payment of the salary of a consultant (whether retained by

the Federal Government or a grantee) at more than the daily

equivalent of the rate paid for Level IV of the Executive Schedule,

unless specifically authorized by law.

SEC. 509. None of the funds in this Act shall be used to

pay the expenses of, or otherwise compensate, non-Federal parties
H. R. 2099—57

intervening in regulatory or adjudicatory proceedings. Nothing herein affects the authority of the Consumer Product Safety Commission

pursuant to section 7 of the Consumer Product Safety Act (15

U.S.C. 2056 et seq.).

SEC. 510. Except as otherwise provided under existing law

or under an existing Executive order issued pursuant to an existing

law, the obligation or expenditure of any appropriation under this

Act for contracts for any consulting service shall be limited to

contracts which are (1) a matter of public record and available

for public inspection, and (2) thereafter included in a publicly available list of all contracts entered into within twenty-four months

prior to the date on which the list is made available to the public

and of all contracts on which performance has not been completed

by such date. The list required by the preceding sentence shall

be updated quarterly and shall include a narrative description

of the work to be performed under each such contract.

SEC. 511. Except as otherwise provided by law, no part of

any appropriation contained in this Act shall be obligated or

expended by any executive agency, as referred to in the Office

of Federal Procurement Policy Act (41 U.S.C. 401 et seq.) for a

contract for services unless such executive agency (1) has awarded

and entered into such contract in full compliance with such Act

and the regulations promulgated thereunder, and (2) requires any

report prepared pursuant to such contract, including plans, evaluations, studies, analyses and manuals, and any report prepared

by the agency which is substantially derived from or substantially

includes any report prepared pursuant to such contract, to contain

information concerning (A) the contract pursuant to which the

report was prepared, and (B) the contractor who prepared the

report pursuant to such contract.

SEC. 512. Except as otherwise provided in section 506, none

of the funds provided in this Act to any department or agency

shall be obligated or expended to provide a personal cook, chauffeur,

or other personal servants to any officer or employee of such department or agency.

SEC. 513. None of the funds provided in this Act to any department or agency shall be obligated or expended to procure passenger

automobiles as defined in 15 U.S.C. 2001 with an EPA estimated

miles per gallon average of less than 22 miles per gallon.

SEC. 514. Such sums as may be necessary for fiscal year 1996

pay raises for programs funded by this Act shall be absorbed within

the levels appropriated in this Act.

SEC. 515. None of the funds appropriated in title I of this

Act shall be used to enter into any new lease of real property

if the estimated annual rental is more than $300,000 unless the

Secretary submits, in writing, a report to the Committees on Appropriations of the Congress and a period of 30 days has expired

following the date on which the report is received by the Committees

on Appropriations.

SEC. 516. (a) PURCHASE OF AMERICAN-MADE EQUIPMENT AND

PRODUCTS.—It is the sense of the Congress that, to the greatest

extent practicable, all equipment and products purchased with

funds made available in this Act should be American-made.

(b) NOTICE REQUIREMENT.—In providing financial assistance

to, or entering into any contract with, any entity using funds

made available in this Act, the head of each Federal agency, to
H. R. 2099—58

the greatest extent practicable, shall provide to such entity a notice

describing the statement made in subsection (a) by the Congress.

SEC. 517. None of the funds appropriated in this Act may

be used to implement any cap on reimbursements to grantees

for indirect costs, except as published in Office of Management

and Budget Circular A–21.

SEC. 518. None of the funds made available in this Act may

be used for any program, project, or activity, when it is made

known to the Federal entity or official to which the funds are

made available that the program, project, or activity is not in

compliance with any Federal law relating to risk assessment, the

protection of private property rights, or unfunded mandates.

SEC. 519. In fiscal year 1996, the Director of the Federal Emergency Management Agency shall sell the disaster housing inventory

of mobile homes and trailers, and the proceeds thereof shall be

deposited in the Treasury.

SEC. 520. Such funds as may be necessary to carry out the

orderly termination of the Office of Consumer Affairs shall be

made available from funds appropriated to the Department of

Health and Human Services for fiscal year 1996.

This Act may be cited as the ‘‘Departments of Veterans Affairs

and Housing and Urban Development, and Independent Agencies

Appropriations Act, 1996’’.

Speaker of the House of Representatives.

Vice President of the United States and

President of the Senate.