II 

118TH CONGRESS 

2D SESSION S. 5071 

To amend the Housing Act of 1949 to permit certain grants to be used 

for accessory dwelling units, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

SEPTEMBER 17, 2024 

Mr. KING (for himself and Mr. MORAN) introduced the following bill; which 

was read twice and referred to the Committee on Banking, Housing, and 

Urban Affairs 

A BILL 

To amend the Housing Act of 1949 to permit certain grants 

to be used for accessory dwelling units, and for other 

purposes. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘The Farmhouse-to5 Workforce Housing Act of 2024’’. 

6 SEC. 2. HOUSING PRESERVATION GRANTS. 

7 Section 533 of the Housing Act of 1949 (42 U.S.C. 

8 1490m) is amended— 

9 (1) in subsection (b)— 


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1 (A) by redesignating paragraphs (1) 

2 though (7) as subparagraphs (A) through (G), 

3 respectively, and adjusting the margins accord4 ingly; 

5 (B) in the matter preceding subparagraph 

6 (A), as so redesignated, by inserting ‘‘(1)’’ be7 fore ‘‘Preservation’’; 

8 (C) in paragraph (1), as so designated— 

9 (i) in subparagraph (D), as so redes10 ignated, by striking ‘‘, except’’ and all that 

11 follows through ‘‘that structure’’; 

12 (ii) in subparagraph (F), as so redes13 ignated, by striking ‘‘and’’ at the end; 

14 (iii) in subparagraph (G), as so redes15 ignated, by striking the period at the end 

16 and inserting ‘‘; or’’; and 

17 (iv) by adding at the end the fol18 lowing: 

19 ‘‘(H) be used to provide loans or grants for ac20 cessory dwelling units.’’; and 

21 (D) by adding at the end the following: 

22 ‘‘(2) Assistance under this section for single family 

23 housing— 

24 ‘‘(A) may only be provided with respect to hous25 ing that is not less than 25 years old, as of the date 


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1 on which the occupancy permit for the housing is 

2 issued; and 

3 ‘‘(B) to an individual may not exceed $200,000. 

4 ‘‘(3) A grantee may not use less than 75 percent of 

5 the assistance provided under this section for single family 

6 housing for the purposes of grants. 

7 ‘‘(4) Assistance under this section for an accessory 

8 dwelling unit— 

9 ‘‘(A) may not cover more than 50 percent of 

10 the total cost of the accessory dwelling unit; and 

11 ‘‘(B) may not exceed $100,000 (as adjusted for 

12 inflation as described in paragraph (5)). 

13 ‘‘(5)(A) In this paragraph, the term ‘price index’ 

14 means the Consumer Price Index (all items—United 

15 States city average) published monthly by the Bureau of 

16 Labor Statistics. 

17 ‘‘(B) In the case of any calendar year beginning after 

18 December 31, 2025, the $100,000 dollar amount de19 scribed in paragraph (4)(B) shall be increased by an 

20 amount equal to— 

21 ‘‘(i) such dollar amount, multiplied by 

22 ‘‘(ii) the percentage change in the price index 

23 amount determined by the Secretary of Labor to 

24 represent the percent change in the price index pub25 lished for September of the preceding year over the 


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1 price index published for the September of the year 

2 prior to the preceding year, adjusted to the nearest 

3 one-tenth of 1 percent.’’; 

4 (2) in subsection (c)(1)— 

5 (A) in the matter preceding subparagraph 

6 (A), by inserting ‘‘not more than $16,000,000 

7 (as adjusted for inflation) of the’’ after ‘‘allo8 cate’’; and 

9 (B) in the flush text following subpara10 graph (C), by adding at the end the following: 

11 ‘‘Any amounts appropriated for this section in 

12 a fiscal year over $16,000,000 shall be trans13 ferred to States that have committed to grant14 ees all funds allocated to the State under this 

15 subsection.’’; 

16 (3) in subsection (e), by adding at the end the 

17 following: 

18 ‘‘(4)(A) Except as provided in subparagraph (B), the 

19 owner of a single-family dwelling unit that uses assistance 

20 under this section for 1 or more accessory dwelling units 

21 shall— 

22 ‘‘(i) reside in the single-family dwelling unit or 

23 1 of the accessory dwelling units; 

24 ‘‘(ii) maintain ownership of the single-family 

25 dwelling unit and each accessory dwelling unit; 


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1 ‘‘(iii) ensure that no accessory dwelling unit is 

2 subject to a lease or sublease of less than 6 months 

3 in duration; and 

4 ‘‘(iv) earn not more than 150 percent of the 

5 area median income. 

6 ‘‘(B) The requirements under clauses (i) and (ii) of 

7 subparagraph (A) shall cease to be effective on the earlier 

8 of— 

9 ‘‘(i) the date that is 5 years after the date on 

10 which the final accessory dwelling unit is available 

11 for occupancy; or 

12 ‘‘(ii) the death of the owner. 

13 ‘‘(C) If the owner of a single-family dwelling unit 

14 does not meet the requirements under clauses (i) and (ii) 

15 of subparagraph (A), the owner shall return to the Sec16 retary the full amount of assistance received under this 

17 section.’’; and 

18 (4) by adding at the end the following: 

19 ‘‘(j) A recipient of assistance under this section may 

20 use not more than 20 percent of the funds for direct and 

21 indirect administrative costs related to projects carried out 

22 under this section, which— 

23 ‘‘(1) may include— 

24 ‘‘(A) payment of reasonable salaries or 

25 contracts for professional, technical, and clerical 


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1 staff actively assisting in the delivery of the 

2 project; 

3 ‘‘(B) payment of necessary and reasonable 

4 office expenses such as office rental, supplies, 

5 utilities, telephone services, and equipment, 

6 with any item of nonexpendable personal prop7 erty having a unit value of $1,000 or more, ac8 quired with funds provided under this section 

9 specifically identified to the Secretary in writ10 ing; 

11 ‘‘(C) payment of necessary and reasonable 

12 administrative costs such as workers’ compensa13 tion, liability insurance, and the employer’s 

14 share of Social Security and health benefits, 

15 with payments to private retirement funds only 

16 permitted if the grantee already has such a 

17 fund established and ongoing; 

18 ‘‘(D) payment of reasonable fees for nec19 essary training of grantee personnel; 

20 ‘‘(E) payment of necessary and reasonable 

21 costs for an audit upon expiration of the grant 

22 agreement; 

23 ‘‘(F) other reasonable travel and miscella24 neous expenses necessary to accomplish the ob25 jectives of the specific grant which were anticiVerDate Sep 11 2014 03:09 Sep 21, 2024 Jkt 049200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S5071.IS S5071

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1 pated in the individual grant proposal and have 

2 been approved as eligible expenses at the time 

3 of grant approval; and 

4 ‘‘(G) costs related to landlord education; 

5 and 

6 ‘‘(2) may not include— 

7 ‘‘(A) preparing housing development plans 

8 and strategies except as necessary to accom9 plish the specific objectives of the project; 

10 ‘‘(B) substitution of any financial support 

11 previously provided or currently available from 

12 any other source; 

13 ‘‘(C) reimbursing personnel to perform 

14 construction related to housing preservation as15 sistance; 

16 ‘‘(D) buying property of any kind from 

17 persons receiving assistance from the grantee 

18 under the terms of the grant agreement; 

19 ‘‘(E) paying for or reimbursing the grantee 

20 for any expense or debts incurred before the 

21 Secretary executes the grant agreement; 

22 ‘‘(F) paying any debts, expenses, or costs 

23 which should be the responsibility of the indi24 vidual homeowner, owner, tenant or household 

25 member of a rental property, or owner (memVerDate Sep 11 2014 03:09 Sep 21, 2024 Jkt 049200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S5071.IS S5071

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1 ber) or non-member of a co-op receiving assist2 ance under this section outside the costs of re3 pair and rehabilitation as well as for replace4 ment housing (individual homeowners only); 

5 ‘‘(G) any type of political activities prohib6 ited by the Office of Management and Budget 

7 Circular A–122, or any successor guidance; 

8 ‘‘(H) other costs including contributions 

9 and donations, entertainment, fines and pen10 alties, interest and other financial costs unre11 lated to the assistance to be provided, legislative 

12 expenses, and any excess of cost from other 

13 grant agreements; or 

14 ‘‘(I) paying added salaries for employees 

15 paid by other sources. 

16 ‘‘(k) There are authorized to be appropriated to the 

17 Secretary $200,000,000 to carry out this section, to re18 main available until expended. 

19 ‘‘(l) In this section, the term ‘accessory dwelling unit’ 

20 means a self-contained dwelling unit— 

21 ‘‘(1) located within, attached to, or detached 

22 from a single-family dwelling unit; and 

23 ‘‘(2) that is located on the same parcel of land 

24 as the single-family dwelling unit.’’. 

Æ 


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