I 

111TH CONGRESS 

1ST SESSION H. R. 3766 

To use amounts made available under the Troubled Assets Relief Program 

of the Secretary of the Treasury for relief for homeowners and affordable 

rental housing. 

IN THE HOUSE OF REPRESENTATIVES 

OCTOBER 8, 2009 

Mr. FRANK of Massachusetts (for himself, Ms. WATERS, Mr. KANJORSKI, Ms. 

VELA ́ZQUEZ, Mr. CARDOZA, Mr. FATTAH, and Mr. CUMMINGS) introduced the following bill; which was referred to the Committee on Financial Services 

A BILL 

To use amounts made available under the Troubled Assets 

Relief Program of the Secretary of the Treasury for 

relief for homeowners and affordable rental housing. 

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 ‘‘Main Street TARP 

5 Act of 2009’’. 

6 SEC. 2. HOUSING TRUST FUND. 

7 (a) USE OF TARP FUNDS.—Using the authority 

8 available under sections 101(a) and 115(a) of division A 


wwoods2 on DSK1DXX6B1PROD with BILLS
2 

•HR 3766 IH

1 of the Emergency Economic Stabilization Act of 2008 (12 

2 U.S.C. 5211(a), 5225(a)), the Secretary of the Treasury 

3 shall transfer to the Secretary of Housing and Urban De4 velopment $1,000,000,000, and the Secretary of Housing 

5 and Urban Development shall credit such amount to the 

6 Housing Trust Fund established under section 1338 of 

7 the Federal Housing Enterprises Financial Safety and 

8 Soundness Act of 1992 (12 U.S.C. 4568) for use in ac9 cordance with such section. 

10 (b) TENANT RENT CONTRIBUTION.—Subparagraph 

11 (A) of section 1338(c)(7) of the Federal Housing Enter12 prises Financial Safety and Soundness Act of 1992 (12 

13 U.S.C. 4568(c)(7)(A)) is amended by inserting before the 

14 semicolon the following: ‘‘; and except that all rental hous15 ing dwelling units shall be subject to legally binding com16 mitments that ensure that the contribution toward rent 

17 by a family residing in a dwelling unit shall not exceed 

18 30 percent of the adjusted income of such family’’. 

19 SEC. 3. EMERGENCY MORTGAGE RELIEF. 

20 (a) USE OF TARP FUNDS.—Using the authority 

21 available under sections 101(a) and 115(a) of division A 

22 of the Emergency Economic Stabilization Act of 2008 (12 

23 U.S.C. 5211(a), 5225(a)), the Secretary of the Treasury 

24 shall transfer to the Secretary of Housing and Urban De25 velopment $2,000,000,000, and the Secretary of Housing 


wwoods2 on DSK1DXX6B1PROD with BILLS
3 

•HR 3766 IH

1 and Urban Development shall credit such amount to the 

2 Emergency Homeowners’ Relief Fund, which such Sec3 retary shall establish pursuant to section 107 of the Emer4 gency Housing Act of 1975 (12 U.S.C. 2706), as such 

5 Act is amended by this section, for use for emergency 

6 mortgage assistance in accordance with title I of such Act. 

7 (b) REAUTHORIZATION OF EMERGENCY MORTGAGE

8 RELIEF PROGRAM.—Title I of the Emergency Housing 

9 Act of 1975 is amended— 

10 (1) in section 103 (12 U.S.C. 2702)— 

11 (A) in paragraph (2)— 

12 (i) by striking ‘‘have indicated’’ and 

13 all that follows through ‘‘regulation of the 

14 holder’’ and insert ‘‘have certified’’; 

15 (ii) by striking ‘‘(such as the volume 

16 of delinquent loans in its portfolio)’’; and 

17 (iii) by striking ‘‘, except that such 

18 statement’’ and all that follows through 

19 ‘‘purposes of this title’’; and 

20 (B) in paragraph (4), by inserting ‘‘or 

21 medical conditions’’ after ‘‘adverse economic 

22 conditions’’; 

23 (2) in section 104 (12 U.S.C. 2703)— 

24 (A) in subsection (b), by striking ‘‘the less25 er of $250 per month or’’; and 


wwoods2 on DSK1DXX6B1PROD with BILLS
4 

•HR 3766 IH

1 (B) in subsection (d), by inserting before 

2 the period at the end the following: ‘‘, except 

3 that such interest rate may exceed such max4 imum rate but only as necessary to comply with 

5 rules under a program operated by a State that 

6 otherwise complies with program rules under 

7 this title’’; 

8 (3) in section 105 (12 U.S.C. 2704)— 

9 (A) by striking subsection (b); 

10 (B) in subsection (e)— 

11 (i) by inserting ‘‘and emergency mort12 gage relief payments made under section 

13 106’’ after ‘‘insured under this section’’; 

14 and 

15 (ii) by striking ‘‘$1,500,000,000 at 

16 any one time’’ and inserting 

17 ‘‘$2,000,000,000’’; 

18 (C) by redesignating subsections (c), (d), 

19 and (e) as subsections (b), (c), and (d), respec20 tively; and 

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

22 subsection: 

23 ‘‘(e) The Secretary shall establish underwriting 

24 guidelines or procedures to allocate amounts made avail25 able for loans and advances insured under this section and 


wwoods2 on DSK1DXX6B1PROD with BILLS
5 

•HR 3766 IH

1 for emergency relief payments made under section 106 

2 based on the likelihood that a mortgagor will be able to 

3 resume mortgage payments, pursuant to the requirement 

4 under section 103(5).’’; 

5 (4) in section 107— 

6 (A) by striking ‘‘(a)’’; and 

7 (B) by striking subsection (b); 

8 (5) in section 108 (12 U.S.C. 2707), by adding 

9 at the end the following new subsection: 

10 ‘‘(d) The Secretary may allow funds to be adminis11 tered by a State through an existing program that com12 plies with program rules under this title.’’; 

13 (6) in section 109 (12 U.S.C. 2708)— 

14 (A) in the section heading, by striking 

15 ‘‘AUTHORIZATION AND’’; 

16 (B) by striking subsection (a); 

17 (C) by striking ‘‘(b)’’; and 

18 (D) by striking ‘‘1977’’ and inserting 

19 ‘‘2011’’; 

20 (7) by striking sections 110, 111, and 113 (12 

21 U.S.C. 2709, 2710, 2712); and 

22 (8) by redesignating section 112 (12 U.S.C. 

23 2711) as section 110. 


wwoods2 on DSK1DXX6B1PROD with BILLS
6 

•HR 3766 IH

1 SEC. 4. REDUCING TARP AUTHORIZATION LIMIT TO OFF2 SET COSTS. 

3 Paragraph (3) of section 115(a) of the Emergency 

4 Economic Stabilization Act of 2008 (12 U.S.C. 5225) is 

5 amended by striking ‘‘$1,259,000,000’’ and inserting 

6 ‘‘2,259,000,000’’. 

Æ 


wwoods2 on DSK1DXX6B1PROD with BILLS