418
nue Code of 1986 in connection with the housing
provided with the loans;
‘‘(B) analyze the financial viability of the
housing provided with loans guaranteed under
this section and the need for project-based rental
assistance for such housing;
‘‘(C) include any recommendations of the
Secretary for expanding or improving the pro-
gram under this section for guaranteeing loans;
and
‘‘(D) include any other information regard-
ing the program for guaranteeing loans under
this section that the Secretary considers appro-
priate.
‘‘(s) DEFINITIONS.—For purposes of this subsection,
the following definitions shall apply:
‘‘(1) The term ‘development cost’ has the mean-
ing given the term in section 515(e).
‘‘(2) The term ‘eligible lender’ means a lender de-
termined by the Secretary to meet the requirements of
subparagraph (A), (B), (C), or (D) of subsection
(e)(1).
‘‘(3) The terms ‘housing’ and ‘related facilities’
have the meanings given such terms in section 515(e).
419
‘‘(t) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated for fiscal years 1995 and
1996 such sums as may be necessary for costs (as such term
is defined in section 502 of the Congressional Budget Act
of 1974) of loan guarantees made under this section.
‘‘(u) TERMINATION DATE.—A loan may not be guar-
anteed under this section after September 30, 1996.’’.
SEC. 518. RURAL HOUSING LOAN DELEGATED PROCESSING
DEMONSTRATION.
(a) AUTHORITY.—Not later than the expiration of the
180-day period beginning on the date of enactment of this
Act, the Secretary of Agriculture shall implement a system
for making, processing, and servicing loans under section
502 of the Housing Act of 1949 that delegates such functions
to nonprofit organizations approved by the Secretary of Ag-
riculture. Under the system, the Secretary shall retain the
authority to approve loan amounts and interest credit
agreements and to execute binding loan commitments and
credit agreements.
(b) USE IN TARGETED UNDERSERVED AREAS.—The
Secretary of Agriculture shall carry out the delegated proc-
essing system under subsection (a) only with respect to
loans for housing located in, and amounts reserved for use
in, areas for which a designation under section 509(f) is
in effect.
420
(c) REPORT.—The Secretary of Agriculture shall sub-
mit an interim report to the Congress not later than 12
months after the date of the initial implementation of the
delegated processing system under this section describing
the activities taken under the system and evaluating the ef-
fectiveness of the system.
(d) TERMINATION OF AUTHORITY.—The Secretary of
Agriculture may not carry out the delegated processing sys-
tem under this section after September 30, 1996.
TITLE VI—COMMUNITY
DEVELOPMENT
Subtitle A—Community
Development Block Grant Program
SEC. 601. AUTHORIZATION OF APPROPRIATIONS AND GUAR-
ANTEE AUTHORITY.
(a) COMMUNITY DEVELOPMENT BLOCK GRANTS.—The
second sentence of section 103 of the Housing and Commu-
nity Development Act of 1974 (42 U.S.C. 5303) is amended
to read as follows: ‘‘For purposes of assistance under section
106, there are authorized to be appropriated $4,400,000,000
for fiscal year 1995 and $4,500,000,000 for fiscal year
1996.’’.
(b) LIMITATION ON LOAN GUARANTEES.—The fifth
sentence of section 108(a) of the Housing and Community
Development Act of 1974 (42 U.S.C. 5308(a)) is amended
421
to read as follows: ‘‘Notwithstanding any other provision
of law and subject only to the absence of qualified appli-
cants or proposed activities and to the authority provided
in this section, to the extent approved or provided in appro-
priation Acts, the Secretary shall enter into commitments
to guarantee notes and obligations under this section with
an aggregate principal amount of $2,054,000,000 for fiscal
year 1995 and $2,054,000,000 for fiscal year 1996.’’.
(c) SPECIAL PURPOSE GRANTS.—Section 107 of the
Housing and Community Development Act of 1974 (42
U.S.C. 5307) is amended—
(1) by striking ‘‘SEC. 107’’ and all that follows
through the end of paragraph (1) of subsection (a)
and inserting the following:
‘‘SEC. 107. (a) AUTHORIZATION
OF
APPROPRIA-
TIONS.—
‘‘(1) IN GENERAL.—There are authorized to be
appropriated for each of fiscal years 1995 and 1996,
$60,000,000, for grants under subsection (b). Of such
amounts—
‘‘(A) $7,000,000 shall be available in each
such year for grants under subsection (b)(1);
‘‘(B) such sums as may be necessary shall
be available in each such year for grants under
subsection (b)(2);
422
‘‘(C) $7,000,000 shall be available in each
such year for grants under subsection (b)(3);
‘‘(D) $28,000,000 shall be available in each
such year for grants under subsection (b)(4);
‘‘(E) $6,000,000 shall be available in each
such year for grants under subsection (b)(5);
‘‘(F) $2,000,000 shall be available in each
such year for grants under subsection (b)(6);
‘‘(G) $8,000,000 shall be available in each
such year for grants under subsection (b)(7);
‘‘(H) such sums as may be necessary shall
be available in each such year for grants under
subsection (b)(8);
‘‘(I) $3,000,000 shall be available in each
such year for grants under subsection (c); and
‘‘(J) such sums as may be necessary shall be
available in fiscal year 1995 for a grant to the
City of Bridgeport, Connecticut, subject to bind-
ing commitments made by the City of Bridgeport
and the State of Connecticut that the amount
made available pursuant to this subparagraph
will be supplemented with an additional amount
equal to such amount under this subparagraph,
which shall be provided by the city and the State
in equal amounts.’’; and
423
(2) in subsection (b)—
(A) in paragraph (6), by striking ‘‘and’’ at
the end;
(B) in paragraph (7), by striking the period
at the end and inserting a semicolon; and
(C) by adding at the end the following new
paragraph:
‘‘(8) to 10 metropolitan cities and urban coun-
ties that receive grants under section 106, have high
rates of fire incidents, a substantial number of low-
income residents, and a high rate of death and serious
injury caused by fire among youth, elderly, and mi-
norities, for obtaining a nitrogen enhanced, bio-
degradable, noncorrosive fire suppression liquid and
for training firefighters to use such liquid; and in
any year in which grants are made under this para-
graph, the Secretary shall include in the report re-
quired under section 113 a description of the effective-
ness of grants made under this paragraph in prevent-
ing loss of life and property; and’’.
SEC. 602. MANAGEMENT INFORMATION SYSTEMS.
Section 103 of the Housing and Community Develop-
ment Act of 1974 (42 U.S.C 5303) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ after
‘‘103.’’; and
424
(2) by adding at the end the following new sub-
section:
‘‘(b) RESERVATION FOR MANAGEMENT INFORMATION
SYSTEMS.—Of the amount approved in an appropriation
Act for each of fiscal years 1995 and 1996 under this sec-
tion, the Secretary may reserve not more than 0.5 percent
for improving management information systems used by the
Secretary and recipients under this title.’’.
SEC. 603. ELIGIBLE ACTIVITIES.
(a) RECONSTRUCTION ACTIVITIES AND REMOVAL OF
TOXIC MATERIALS.—Section 105(a) of the Housing and
Community Development Act of 1974 (42 U.S.C. 5305(a))
is amended—
(1) in paragraph (4), by striking ‘‘, demolition,
removal,’’ and inserting ‘‘(including the removal of
toxic materials and other contaminants from prop-
erties), demolition, removal, reconstruction,’’;
(2) in paragraph (8), by striking ‘‘fiscal year
1994’’ and inserting ‘‘fiscal years 1994, 1995, and
1996’’;
(3) in paragraph (13), by striking ‘‘and’’ at the
end;
(4) by striking paragraph (19);
(5) in paragraph (24), by striking ‘‘and’’ at the
end;
425
(6) in paragraph (25), by striking the period at
the end and inserting ‘‘; and’’;
(7) by redesignating paragraphs (20) through
(25) as paragraphs (19) through (24), respectively;
and
(8) by redesignating paragraph (21) (as added
by section 1012(f)(3) of the Housing and Community
Development Act of 1992 (Public Law 102–550; 106
Stat. 3905) as paragraph (25).
(b) HOMEOWNERSHIP ACTIVITIES.—Section 907(b)(2)
of the Cranston-Gonzalez National Affordable Housing Act
(42 U.S.C. 5305 note) is hereby repealed.
SEC. 604. REALLOCATIONS.
Section 106(c) of the Housing and Community Devel-
opment Act of 1974 (42 U.S.C. 5304(c)) is amended by
striking paragraph (4).
SEC. 605. LIMITATION ON EXTENT OF USE OF LOAN GUAR-
ANTEES FOR HOUSING PURPOSES.
Section 108 of the Housing and Community Develop-
ment Act of 1974 (42 U.S.C. 5308) is amended by inserting
after subsection (h) the following new subsection:
‘‘(i) LIMITATION ON USE.—Of any amounts obtained
from notes or other obligations issued by an eligible public
entity or public agency designated by an eligible public en-
tity and guaranteed under this section pursuant to an ap-
426
plication for a guarantee submitted after the date of the
enactment of the Housing and Community Development
Act of 1992, the aggregate amount used for the purposes
described in clauses (2) and (4) of subsection (a), and for
other housing activities under the purposes described in
clauses (1) and (3) of subsection (a), may not exceed 10
percent of such amounts obtained by the eligible public en-
tity or agency.’’.
SEC. 606. ECONOMIC DEVELOPMENT GRANTS.
(a) ELIGIBLE ACTIVITIES.—Section 108(q)(2) of the
Housing and Community Development Act of 1974 (42
U.S.C. 5308(q)(2)) is amended by inserting before the pe-
riod at the end the following: ‘‘and for the construction, re-
habilitation, or financing of retail and service facilities,
mixed-use projects, projects that link economic development
and housing, community centers, farmers’ markets, and
community-based business expansions’’.
(b) ELIGIBLE PUBLIC ENTITIES.—Section 108(q)(1) of
the Housing and Community Development Act of 1974 is
amended by inserting after ‘‘eligible public entities’’ the fol-
lowing: ‘‘, and to eligible public entities in conjunction with
community- or neighborhood-based organizations,’’.
(c) AUTHORIZATION
OF APPROPRIATIONS.—Section
108(q) of the Housing and Community Development Act
427
of 1974 is amended by adding at the end the following new
paragraph:
‘‘(5) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated for grants
under this subsection $100,000,000 for fiscal year
1995 and $100,000,000 for fiscal year 1996.’’.
SEC. 607. USE OF UDAG RECAPTURES.
Section 119(o) of the Housing and Community Devel-
opment Act of 1974 (42 U.S.C. 5318(o)) is amended by
striking ‘‘October 1, 1993’’ and inserting in lieu thereof
‘‘April 11, 1994’’.
SEC. 608. EXTENSION OF CERTAIN CDBG ASSISTANCE.
(a) EXTENSION.—Section 916(f) of the Cranston-Gon-
zalez National Affordable Housing Act (42 U.S.C. 5306
note) is amended by striking ‘‘1991’’ and all that follows
through ‘‘1994’’ and inserting ‘‘beginning before the com-
mencement of fiscal year 1998’’.
(b) ELIGIBILITY.—Section 916(e)(4) of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 5306
note) is amended by inserting ‘‘other than Riverside Coun-
ty, California,’’ after ‘‘area’’.
428
Subtitle B—Other Community
Development Programs
SEC. 631. NEIGHBORHOOD REINVESTMENT CORPORATION.
The first sentence of section 608(a)(1) of the Neighbor-
hood Reinvestment Corporation Act (42 U.S.C. 8107(a)) is
amended to read as follows: ‘‘There are authorized to be ap-
propriated to the corporation to carry out this title
$35,000,000 for fiscal year 1995 and $35,000,000 for fiscal
year 1996.’’.
SEC. 632. JOHN HEINZ NEIGHBORHOOD DEVELOPMENT
PROGRAM.
Section 123(g) of the Housing and Urban-Rural Re-
covery Act of 1983 (42 U.S.C. 5318 note) is amended to
read as follows:
‘‘(g) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out this section
$10,000,000 for fiscal year 1995 and $10,000,000 for fiscal
year 1996.’’.
SEC. 633. CAPACITY BUILDING FOR COMMUNITY DEVELOP-
MENT AND AFFORDABLE HOUSING.
(a) AUTHORIZATION OF APPROPRIATIONS.—Section 4
of the HUD Demonstration Act of 1993 (42 U.S.C. 9816
note) is amended by striking subsection (e) and inserting
the following new subsection:
429
‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated to carry out this section
$60,000,000 for fiscal year 1995 and $60,000,000 for fiscal
year 1996.’’.
(b) DELIVERY OF ASSISTANCE.—Section 4 of the HUD
Demonstration Act of 1993 (42 U.S.C. 9816 note) is amend-
ed—
(1) in subsection (a)—
(A) by inserting ‘‘and directly to commu-
nity-based organizations and capacity-building
organizations’’ after ‘‘Initiative’’;
(B) by inserting ‘‘neighborhood’’ after ‘‘un-
dertake’’; and
(C) by striking ‘‘and affordable housing’’
and inserting ‘‘, affordable housing, revitaliza-
tion, economic development, youth and family
support, and community service’’;
(2) in subsection (b)—
(A) in paragraph (1), by striking ‘‘and
community housing development organizations’’
and inserting ‘‘, community housing develop-
ment organizations, and community-based orga-
nizations’’ before the semicolon at the end;
(B) in paragraph (2)—
430
(i) by striking ‘‘and community hous-
ing development organizations’’ and insert-
ing ‘‘, community housing development or-
ganizations, and community-based organi-
zations’’;
(ii) by inserting ‘‘neighborhood’’ after
‘‘carry out’’; and
(iii) by striking ‘‘low-income’’ and in-
serting ‘‘low- and moderate-income’’; and
(C) in paragraph (3), by inserting ‘‘or the
community-based organization’’ after ‘‘Initia-
tive’’;
(3) in subsection (c), by inserting ‘‘to the Na-
tional Community Development Initiative’’ after
‘‘provided’’;
(4) by redesignating subsection (d) as subsection
(e); and
(5) by inserting after subsection (c) the following
new subsection:
‘‘(d) SELECTION CRITERIA.—The Secretary shall select
community-based organizations and capacity-building or-
ganizations to receive assistance under this section based
upon selection criteria established by the Secretary, which
shall include the extent to which the activities proposed to
431
be conducted by the organization with assistance under this
section will—
‘‘(1) develop new community-based organizations
in unorganized or underserved areas;
‘‘(2) assist eligible private nonprofit community-
based organizations located in low- or moderate-in-
come neighborhoods or areas having a concentration
of low- and moderate-income persons;
‘‘(3) be targeted to areas in economic distress;
‘‘(4) be conducted by an organization that pro-
vides for neighborhood resident participation in the
activities of the organization (including participation
of low- and moderate-income residents) and the extent
to which the households and businesses in the area
served are members of the organization;
‘‘(5) benefit low- and moderate-income persons
residing in the area served by the applicant;
‘‘(6) encourage linking and coordinating hous-
ing, economic, and human development;
‘‘(7) be coordinated with local law enforcement
agencies, local public housing agencies, and local pub-
lic housing resident management corporations and
resident councils, with respect to anti crime initia-
tives; and
432
‘‘(8) leverage contributions to support a wide va-
riety of community development initiatives from the
private sector, foundations, colleges and universities,
civic groups, social, cultural, religious, and other in-
stitutions, and the national service program, in a
manner that achieves the greatest long-term private
sector support.’’.
SEC. 634. COLONIAS ASSISTANCE PROGRAM.
(a) GRANT AUTHORITY.—The Secretary may make
grants in accordance with the provisions of this section to
units of general local government, States, non-profit organi-
zations, or entities or instrumentalities established under
the authority of any of such entities, for use in addressing
the community development and housing needs of colonias.
(b) ELIGIBLE ACTIVITIES.—Assistance under this sec-
tion may be used only to carry out the following activities:
(1) Any activity eligible under section 105 of the
Housing and Community Development Act of 1974 or
section 212(a) of the HOME Investment Partnerships
Act.
(2) Refinancing the existing debt of homeowners
to convert existing land transactions and interests
into mortgages.
433
(3) Constructing new housing, including self-
help, energy-efficient, and innovative housing design
initiatives.
(4) Developing new subdivisions for affordable
housing.
(5) Re-platting and redeveloping existing sub-
divisions.
(6) Planning for and constructing infrastructure
necessary for the development of housing, economic
development, and community facilities and amenities.
(7) Such other activities as the Secretary deems
appropriate to further the purposes of this section.
(c) MODEL PROGRAMS.—
(1) IN GENERAL.—Of amounts allocated under
subsection (j)(2), the Secretary shall make grants
under this subsection to the entities referred to in sub-
section (a) for the purpose of establishing model pro-
grams of assistance for addressing the community de-
velopment, housing, and other needs of the residents
of the colonias.
(d) SELECTION OF GRANTEES.—
(1) GEOGRAPHIC DISTRIBUTION.—The Secretary
shall designate—
(A) at least one project in each State to re-
ceive a grant under this subsection; and
436
(B) An estimate of the likely effectiveness of
the proposed approach in addressing identified
needs.
(C) A description of the extent to which
funding for the project is committed from sources
other than under this section.
(D) Any other information that the Sec-
retary deems appropriate to carry out the objec-
tives of this section.
(5) SELECTION
OF
GRANTEES.—The Secretary
shall select grantees for grants under this subsection
on the basis of a competition, following publication of
a notice of funding availability in the Federal Reg-
ister.
(f) RECORDS, REPORTS, AND AUDITS.—
(1) KEEPING OF RECORDS.—Each grantee under
this section shall keep such records as may be reason-
ably necessary to disclose the amounts and the dis-
position of grant amounts received under this section
and to ensure compliance with the requirements of
this section.
(2) GRANTEE
REPORTS.—Each grantee under
this section 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—
437
(A) describe the use of funds made available
to the grantee under this section; and
(B) describe and analyze the effect of as-
sisted activities in addressing the community de-
velopment and housing needs of the residents of
colonias.
(g) ACCESS TO DOCUMENTS BY SECRETARY.—The Sec-
retary shall have access for the purpose of audit and exam-
ination to any books, documents, papers, and records of a
grantee that are pertinent to assistance received in connec-
tion with, and the requirements of, this section.
(h) ACCESS TO DOCUMENTS BY COMPTROLLER GEN-
ERAL.—The Comptroller General of the United States, or
any of the duly authorized representatives of the Comptrol-
ler General, shall have access for the purpose of audit and
examination to any books, documents, papers, and records
of a grantee that are pertinent to assistance received under,
and the requirements of, this section.
(i) DEFINITIONS.—For purposes of this section, the fol-
lowing definitions shall apply:
(1) The terms ‘‘colonia’’ and ‘‘United States-
Mexico Border Region’’ have the meanings given the
terms in section 916(e) of the Cranston-Gonzalez Na-
tional Affordable Housing Act.
438
(2) The term ‘‘metropolitan area’’ has the mean-
ing given the term in section 102(a) of the Housing
and Community Development Act of 1974.
(3) The term ‘‘nonprofit organization’’ means—
(A) an organization—
(i) that is described in section 501(c)
of the Internal Revenue Code of 1986; and
(ii) is exempt from taxation under sec-
tion 501(a) of such Code; or
(B) an organization—
(i) no part of the net earnings of which
inures to the benefit of any member, found-
er, contributor, or individual;
(ii) that in the case of a private non-
profit organization, has a voluntary board;
(iii) that has an accounting system, or
has designated a fiscal agent in accordance
with requirements established by the Sec-
retary; and
(iv) that practices nondiscrimination
in the provision of assistance.
(4) The term ‘‘Secretary’’ means the Secretary of
Housing and Urban Development.
(5) The term ‘‘State’’ means the States of Cali-
fornia, Arizona, New Mexico, and Texas.
439
(6) The term ‘‘unit of general local government’’
means—
(A) a city, town, township, county, parish,
village, or other general purpose political sub-
division of a State; and
(B) any agency or instrumentality thereof
that is established pursuant to legislation and
designated by the chief executive to act on behalf
of the jurisdiction with regard to provisions of
this section.
The term includes a consortium of geographically con-
tiguous units of general local government, if the Sec-
retary determines that the consortium—
(i) has sufficient authority and administra-
tive capability to carry out the purposes of this
section on behalf of its member jurisdictions; and
(ii) meets such other requirements as the
Secretary may prescribe.
(j) FUNDING.—
(1) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated for grants
under this section $100,000,000 for each of fiscal
years 1995 and 1996. Any amount appropriated to
carry out this section shall remain available until ex-
pended.
440
(2) ALLOCATION OF FUNDS.—Of the amounts ap-
propriated under paragraph (1) for any fiscal year—
(A) 80 percent shall be available for grants
to establish model programs under subsection (c);
and
(B) 20 percent shall be available for com-
petitive grants under subsection (e).
SEC. 635. GRANTS FOR EMPOWERMENT ZONES AND ENTER-
PRISE COMMUNITIES.
(a) GRANT AUTHORITY.—The Secretary of Housing
and Urban Development may make grants to units of gen-
eral local government in which empowerment zones and en-
terprise communities have been designated pursuant to sec-
tion 1391 of the Internal Revenue Code of 1986.
(b) USE.—Grants under this section may be used only
to assist units of general local government in implementing
the strategic plan for community revitalization required for
each designated empowerment zone and enterprise commu-
nity by expanding business opportunities and job creation
through economic development activities and by stimulating
the use of project-based rental assistance certificates and
other activities to construct or rehabilitate rental housing,
as follows:
(1) ECONOMIC
DEVELOPMENT
ACTIVITIES.—
Grants amounts under this section used for economic
441
development activities may be used only for activities
eligible to be carried out with amounts provided
under title I of the Housing and Community Develop-
ment Act of 1974.
(2) ASSISTED HOUSING.—Grant amounts under
this section used for housing activities may be used
for—
(A) project-based assistance activities eligi-
ble under section 8 of the United States Housing
Act of 1937 or similar State and local programs;
(B) activities eligible for assistance under
title II of the Cranston-Gonzalez National Af-
fordable Housing Act or a similar local afford-
able housing program; and
(C) other housing activities that meet the
requirements of this subsection, as the Secretary
may approve.
(c) TECHNICAL ASSISTANCE.—From amounts reserved
under subsection (i)(2), the Secretary shall carry out, di-
rectly or through contracts, training and information ac-
tivities in connection with the program under this section.
(d) 
APPLICATIONS.—A 
locality 
in 
which 
an
empowerment zone or enterprise community has been des-
ignated, which designation remains in effect, may submit
an application to the Secretary for a grant under this sec-
442
tion. The application shall contain such information and
certifications as the Secretary may require, including a cer-
tification that the grant will be used in accordance with
the approved strategic plan. Where a zone or community
is within the jurisdiction of more than one unit of general
local government, the application shall be submitted jointly
by the units of general local government and shall specify
whether and, if so, how the grant is to be divided among
the units.
(e) FUNDING.—To the extent amounts are available to
carry out this section, for applications approved by the Sec-
retary the amount of a grant under this section for a fiscal
year shall be —
(1) $50,000,000 for each urban empowerment
zone;
(2) $20,000,000 for each rural empowerment
zone; and
(3) $1,400,000 for each enterprise community.
(f) TERMS AND CONDITIONS.—Grants made under this
section shall be subject to such terms and conditions as the
Secretary may establish.
(g) USE
IN CONJUNCTION WITH LOAN GUARAN-
TEES.—Grants made under this section may be used in con-
junction with loans guaranteed under section 108 of the
443
Housing and Community Development Act of 1974 and the
Home Investment Partnerships Act.
(h) RECORDS, REPORTS, AND AUDITS.—
(1) KEEPING OF RECORDS.—Each grantee under
this section shall keep such records as may be reason-
ably necessary to disclose the amounts and the dis-
position of grant amounts received under this subtitle
and to ensure compliance with the requirements of
this section.
(2) GRANTEE
REPORTS.—Each grantee under
this section 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) describe the use of amounts made avail-
able under this section; and
(B) describe and analyze the effect of as-
sisted activities in addressing the objectives of
this section.
(3) ACCESS TO DOCUMENTS BY SECRETARY.—
The Secretary shall have access for the purpose of
audit and examination to any books, documents, pa-
pers, and records of the grantee that are pertinent to
assistance received in connection with, and the re-
quirements of, this section.
444
(4) ACCESS TO DOCUMENTS BY COMPTROLLER
GENERAL.—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, docu-
ments, papers, and records of the grantee that are
pertinent to assistance received under, and the re-
quirements of, this section.
(i) FUNDING.—
(1) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated for purposes
of this section $250,000,000 for fiscal year 1995 and
$250,000,000 for fiscal year 1996. Any amount ap-
propriated to carry out this section shall remain
available until expended.
(2) RESERVATION OF AMOUNTS FOR TRAINING
AND INFORMATION ACTIVITIES.—Of the amounts ap-
propriated pursuant to paragraph (1) for any fiscal
year, the Secretary shall reserve not more than 0.5
percent for use only to carry out the training and in-
formation activities referred to in subsection (c).
SEC. 636. USE OF GRANT AMOUNTS.
(a) BUFFALO, NEW
YORK.—Notwithstanding any
other provision of law, the City of Buffalo, New York, may
retain amounts provided under an urban development ac-
445
tion grant under section 119 of the Housing and Commu-
nity Development Act of 1974 for Project No. B–87–AA–
36–0540 and use such funds for the Towne Gardens Plaza
project, and may retain amounts provided under such a
grant for Project No. B–87–AA–36–0521 and use such
funds for the American Axle project, if such projects are
commenced not later than 6 months after the date of the
enactment of this Act.
(b) PITTSBURGH, PENNSYLVANIA.—Notwithstanding
any other provision of law, the city of Pittsburgh, Penn-
sylvania, may retain any amounts provided under an
urban development action grant for Project No. B–86–AA–
42–0275 and use such funds for the Central Pittsburgh
Plaza project, if such project is commenced not later than
6 months after the date of the enactment of this Act.
(c) RICHMOND, VIRGINIA.—The Secretary of Housing
and Urban Development shall cancel the indebtedness of the
city of Richmond, Virginia, relating to the categorical pro-
gram settlement grant provided to the city to settle four
urban renewal programs (Project No. B–78–UR–51–0019).
The city of Richmond, Virginia, is hereby relieved of all
liability to the Federal Government for such grant and any
fees and charges payable in connection with such grant.
(d) LOCKPORT TOWNSHIP, ILLINOIS.—The Secretary
of Housing and Urban Development shall cancel the indebt-
446
edness of Lockport Township, Illinois, relating to the public
facilities loan for Project No. ILL–11–PFL0112. Lockport
Township, Illinois, is hereby relieved of all liability to the
Federal Government for the outstanding principal balance
on such loan, the amount of accrued interest on such loan,
and any other fees and charges payable in connection with
such loan.
(e) BUDGET COMPLIANCE.—Subsections (c) and (d) of
this section shall be effective only to the extent, or in such
amounts, as are provided in appropriation Acts.
TITLE VII—REGULATORY AND
MISCELLANEOUS PROGRAMS
SEC. 701. FAIR HOUSING INITIATIVES PROGRAM.
Section 561(g) of the Housing and Community Devel-
opment Act of 1987 (42 U.S.C. 3616 note) is amended to
read as follows:
‘‘(g) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out the provi-
sions of this section $26,000,000 for fiscal year 1995 and
$27,000,000 for fiscal year 1996, of which—
‘‘(1) not less than $9,000,000 for fiscal year 1995
and $9,000,000 for fiscal year 1996 shall be for pri-
vate enforcement initiatives authorized under sub-
section (b), divided equally between activities speci-
447
fied under subsection (b)(1) and those specified under
subsection (b)(2);
‘‘(2) not less than $3,000,000 for fiscal year 1995
and $3,000,000 for fiscal year 1996 shall be for quali-
fied fair housing enforcement organizations author-
ized under subsection (c)(1);
‘‘(3) not less than $7,000,000 for fiscal year 1995
and $7,000,000 for fiscal year 1996 shall be for the
creation of new fair housing enforcement organiza-
tions authorized under subsection (c)(2); and
‘‘(4) not less than $7,000,000 for fiscal year 1995
and $7,000,000 for fiscal year 1996 shall be for edu-
cation and outreach programs authorized under sub-
section (d), to be divided equally between activities
specified under subsection (d)(1) and those specified
under subsections (d)(2) and (d)(3).
Any amount appropriated under this section shall remain
available until expended.’’.
SEC. 702. HUD PROGRAM MONITORING AND EVALUATION.
The first sentence of section 7(r)(6) of the Department
of Housing and Urban Development Act (42 U.S.C.
3535(r)(6)) is amended to read as follows: ‘‘There are au-
thorized to be appropriated to carry out this subsection such
sums as may be necessary for fiscal years 1995 and 1996.’’.
448
SEC. 703. HUD SALARIES AND EXPENSES.
Section 7(s) of the Department of Housing and Urban
Development Act (42 U.S.C. 3535(s)) is amended to read
as follows:
‘‘(s) AUTHORIZATION OF APPROPRIATIONS FOR SALA-
RIES AND EXPENSES.—Notwithstanding any other provi-
sion of law, there are authorized to be appropriated such
sums as may be necessary for each of fiscal years 1995 and
1996 for salaries and expenses to carry out the purposes
of this section. There is also authorized to be appropriated
for fiscal year 1996, $40,000,000, for the training, travel
to training, continuing education, professional develop-
ment, and improvement of skills of employees of the Depart-
ment.’’.
SEC. 704. USE OF TECHNICAL ASSISTANCE AMOUNTS BY OR
FOR HUD STAFF.
Section 7 of the Department of Housing and Urban
Development Act (42 U.S.C. 3535) is amended by adding
at the end the following new subsection:
‘‘(t) USE OF TECHNICAL ASSISTANCE AMOUNTS.—The
Secretary may transfer to any of the accounts of the Depart-
ment for salaries and expenses from any other account from
which amounts may be drawn for technical assistance such
amounts as the Secretary determines are reasonable to re-
imburse such salaries and expenses account, but only if such
reimbursement is made for expenditures for the costs of per-
449
sonal services, travel, and transportation, and other object
classifications that are incurred for the technical assistance,
training, and related activities provided by or to officials
and employees of the Department for a program that is
funded from such other account and in which the costs of
technical assistance are otherwise eligible for expenditure.
Up to 10 percent of the amount transferred may be used
for technical assistance, training, travel, and related ex-
penses provided to officials and employees of the Depart-
ment. The authority under this subsection to transfer
amounts shall be in addition to any other authority of the
Secretary to transfer funds among accounts which exists on
the date of the enactment of the Housing and Community
Development Act of 1992 or is provided after such date.’’.
SEC. 705. ANNUAL REPORT REGARDING REPEAL OF UN-
FUNDED PROGRAMS.
Section 8 of the Department of Housing and Urban
Development Act (42 U.S.C. 3536) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ after
‘‘SEC. 8.’’; and
(2) by adding at end the following new sub-
section:
‘‘(b) UNFUNDED PROGRAMS.—In each annual report
under this section, the Secretary shall—
450
‘‘(1) identify each program under the jurisdic-
tion of the Department for which amounts have been
authorized to be appropriated for each of the 3 most
recently completed fiscal years but for which, for all
3 of such years, amounts have not been appropriated;
and
‘‘(2) include proposed legislation repealing the
provisions of Federal law authorizing the programs
identified pursuant to paragraph (1) and providing
requirements for the treatment, after such repeal, of
any assistance provided under such provisions before
the repeal.’’.
SEC. 706. REQUIREMENTS FOR PARTICIPATION OF WOMEN
IN CONSTRUCTION ASSISTED UNDER HUD
PROGRAMS.
The Department of Housing and Urban Development
Act (42 U.S.C. 3531 et seq.) is amended by adding at the
end the following new section:
‘‘SEC. 15. REQUIREMENTS FOR PARTICIPATION OF WOMEN
IN CONSTRUCTION ASSISTED UNDER HUD
PROGRAMS.
‘‘(a) BIDS.—Except as provided in subsection (c), each
contractor submitting a bid or contract proposal for a cov-
ered construction contract (and each applicant for construc-
tion assistance that will carry out construction) shall in-
451
clude in the bid or proposal (or application for construction
assistance) documentation sufficient to ensure that the con-
tractor will comply with the requirements of this section
or certifications that the contractor will make a good faith
effort to comply with such requirements. The Secretary
shall, by regulation, establish standards for such docu-
mentation and certifications and shall provide for contrac-
tors (and applicants) making certifications to periodically
provide to the Secretary evidence of such good faith efforts.
‘‘(b) PARTICIPATION REQUIREMENTS.—Any contrac-
tor who enters into a covered construction contract (and
any recipient of construction assistance carrying out con-
struction), and any subcontractor thereof, shall employ and
maintain the employment of construction trades workers in
construction covered by the covered construction contract
(or assisted with the construction assistance)—
‘‘(1) for any contractor or subcontractor (or re-
cipient of construction assistance) whose total number
of employees is not less than 6 and not more than 19,
not less than 1 woman; and
‘‘(2) for any contractor or subcontractor (or re-
cipient of construction assistance) whose total number
of employees is 20 or more, a number of women that
is not less than 10 percent of the positions in each of
452
the construction trades performed by the contractor or
subcontractor (or recipient of construction assistance).
‘‘(c) EXEMPTION
FOR SMALL CONTRACTORS.—Any
contractor (or recipient) whose total number of employees
is 5 or less shall not be subject to the requirements of this
section.
‘‘(d) DEFINITIONS.—For purposes of this section:
‘‘(1) The term ‘construction assistance’ means
any assistance provided under any program adminis-
tered by the Secretary that is used for any construc-
tion, but does not include mortgage insurance under
the National Housing Act.
‘‘(2) The term ‘construction trades workers’
means workers in any construction trade, includ-
ing—
‘‘(A) brickmasons, stonemasons, and tile set-
ters;
‘‘(B) carpenters;
‘‘(C) electricians and power transmission
installers;
‘‘(D) painters, paperhangers, and plasterers;
‘‘(E) plumbers, pipefitters, and steamfitters;
‘‘(F) carpet installers;
‘‘(G) drywall installers and drywall finish-
ers;
453
‘‘(H) concrete and terrazzo finishers;
‘‘(I) glaziers;
‘‘(J) insulation workers;
‘‘(K) paving, surfacing, and tamping equip-
ment operators;
‘‘(L) roofers;
‘‘(M) sheetmetal duct installers;
‘‘(N) structural metal workers;
‘‘(O) power equipment operators (including
truck drivers, and backhoe, bulldozer, crane,
loader, and grader operators);
‘‘(P) sprinkler installers;
‘‘(Q) elevator installers;
‘‘(R) laborers; and
‘‘(S) landscapers.
‘‘(3) The term ‘contractor’ includes firms, part-
nerships, corporations, and any other persons, and
any combination thereof.
‘‘(4) The term ‘covered construction contract’
means an agreement to provide labor and related ma-
terials, supplies, or services for any construction
that—
‘‘(A) involves any construction assistance;
and
454
‘‘(B) if such construction assistance is pro-
vided—
‘‘(i) under the community development
block grant program under title I of the
Housing and Community Development Act
of 1974 or the HOME Investment Partner-
ships Act, involves a total project cost of not
less than $100,000; or
‘‘(ii) under any other program admin-
istered by the Secretary, involves a total
project cost of not less than $200,000.
‘‘(5) The term ‘subcontractor’ means any firm,
partnership, corporation, or any other person, or any
combination thereof, who enters into a contract or
agreement with a contractor to perform a substantial
specified portion of a covered construction contract.’’.
SEC. 707. NOTIFICATION OF HUD FUNDING AWARDS.
Section 102(a)(1) of the Department of Housing and
Urban Development Reform Act of 1989 (42 U.S.C.
3545(a)(1)) is amended by adding at the end the following
new sentence: ‘‘Each notice of the availability of assistance
shall include an estimate of the date by which the Depart-
ment will notify applicants for such assistance whose appli-
cations or requests for assistance are approved of such ap-
proval.’’.
455
SEC. 708. EXCLUSION OF GNMA FROM HUD PERSONNEL
CEILINGS.
Section 502(a) of the Housing Act of 1948 (12 U.S.C.
1701c(a)) is amended by adding at the end the following
new sentence: ‘‘Notwithstanding any other provision of law,
employees of the Government National Mortgage Associa-
tion Department in the Department of Housing and Urban
Development shall not be considered employees of the De-
partment for purposes of any limitation on the number of
employees of the Department.’’.
SEC. 709. HUD RESEARCH AND DEVELOPMENT.
The second sentence of section 501 of the Housing and
Urban Development Act of 1970 (12 U.S.C. 1701z–1) is
amended to read as follows: ‘‘There are authorized to be ap-
propriated to carry out this title $40,000,000 for fiscal year
1995 and $42,000,000 for fiscal year 1996.’’.
SEC. 710. PREVENTING FRAUD AND ABUSE IN RURAL RENT-
AL HOUSING PROGRAM.
(a) IN GENERAL.—Section 904 of the Stewart B.
McKinney Homeless Assistance Amendments Act of 1988
(42 U.S.C. 3544) is amended—
(1) in the heading for the section, by inserting
‘‘AND RURAL RENTAL HOUSING PROGRAM’’ be-
fore the period at the end;
(2) by striking paragraph (1) of subsection (a)
and inserting the following new paragraph:
456
‘‘(1) SECRETARY CONCERNED.—The term ‘Sec-
retary concerned’ means—
‘‘(A) the Secretary of Housing and Urban
Development, with respect to programs of the De-
partment of Housing and Urban Development;
and
‘‘(B) the Secretary of Agriculture, with re-
spect to the program for rural rental housing
under section 515 of the Housing Act of 1949.’’;
(3) in subsection (b), in the matter preceding
paragraph (1), by inserting after ‘‘income,’’ the fol-
lowing: ‘‘and as a condition of initial or continuing
eligibility for participation in the program for rural
rental housing under section 515 of the Housing Act
of 1949,’’;
(4) in subsection (c)(2)(A)—
(A) by inserting before ‘‘from the improper’’
the following: ‘‘or the program for rural rental
housing under section 515 of the Housing Act of
1949’’; and
(B) by inserting before ‘‘and (in’’ the follow-
ing: ‘‘and the Department of Agriculture’’;
(5) in the last sentence of subsection (c)(3)(A), by
inserting ‘‘an officer or employee of the Department
of Agriculture,’’ after ‘‘Development,’’;
457
(6) in subsection (e), by inserting after ‘‘Develop-
ment’’ the following: ‘‘or the program for rural rental
housing under section 515 of the Housing Act of
1949,’’;
(7) in subsection (a)(2), in the matter in sub-
section (b) that precedes paragraph (1), and in para-
graphs (1) and (2) of subsection (b), by striking ‘‘the
Secretary’’ each place it appears and inserting ‘‘the
Secretary concerned’’; and
(8) in subsection (b)(3)—
(A) by striking ‘‘the Secretary authorizing
the Secretary’’ and inserting ‘‘the Secretary con-
cerned authorizing the Secretary concerned’’; and
(B) by striking ‘‘of the Secretary’’ and in-
serting ‘‘of the Secretary concerned’’.
(b) ACCESS TO RECORDS.—Section 303(i)(1) of the
Social Security Act (42 U.S.C. 503(i)(1)) is amended—
(1) in subparagraph (A), in the matter preceding
clause (i)—
(A) by inserting ‘‘or the Department of Ag-
riculture, as applicable,’’ before ‘‘and to rep-
resentatives’’;
(B) by inserting ‘‘of Housing and Urban
Development or in the program for rural rental
458
housing under section 515 of the Housing Act of
1949’’ after ‘‘by the Department’’; and
(C) by inserting ‘‘or the Secretary of Agri-
culture, as applicable’’ before the dash at the end;
and
(2) in subparagraph (B), by inserting ‘‘or under
the program for rural rental housing under section
515 of the Housing Act of 1949’’ before the period at
the end.
(c) RETURN INFORMATION.—Section 6103(l)(7)(D)(ix)
of the Internal Revenue Code of 1986 is amended—
(1) by inserting ‘‘and the program for rural
rental housing under section 515 of the Housing Act
of 1949’’ after ‘‘income,’’;
(2) by inserting ‘‘or the Secretary of Agriculture,
as applicable,’’ after ‘‘Secretary of Housing and
Urban Development’’; and
(3) by inserting ‘‘or the Department of Agri-
culture’’ before ‘‘with respect to’’.
SEC. 711. NATIONAL INSTITUTE OF BUILDING SCIENCES.
The second sentence of section 809(i) of the Housing
and Community Development Act of 1974 (12 U.S.C.
1701j–2(i)) is amended to read as follows: ‘‘In addition to
the amounts authorized to be appropriated under the first
sentence of this subsection, there are authorized to be appro-
459
priated to the Institute to carry out the provisions of this
section $2,000,000 for fiscal year 1995 and $2,000,000 for
fiscal year 1996.’’.
SEC. 712. RESIDENTIAL LEAD-BASED PAINT HAZARD RE-
DUCTION.
(a) TARGET HOUSING HAZARD REDUCTION.—
(1) AUTHORIZATION OF APPROPRIATIONS.—Sec-
tion 1011(p) of the Housing and Community Devel-
opment Act of 1992 (42 U.S.C. 4852(p)) is amended
to read as follows:
‘‘(p) AUTHORIZATION OF APPROPRIATIONS.—For the
purposes of carrying out this Act, there are authorized to
be appropriated $100,000,000 for fiscal year 1995 and
$110,000,000 for fiscal year 1996.’’.
(2) TECHNICAL
ASSISTANCE
AND
CAPACITY
BUILDING.—Section 1011(g) of the Housing and
Community Development Act of 1992 (42 U.S.C.
4852(g)) is amended—
(A) in paragraph (1)—
(i) in the first sentence, by inserting
before the period at the end the following: ‘‘,
by providing technical assistance, either di-
rectly, or indirectly under contracts or oth-
erwise’’; and
460
(ii) by striking the second sentence;
and
(B) by striking paragraph (2) and inserting
the following new paragraph:
‘‘(2) SET-ASIDE.—Of the total amount approved
in appropriation Acts under subsection (p), there
shall be set aside to carry out this subsection
$3,000,000 for fiscal year 1995 and $3,000,000 for
fiscal year 1996.’’.
(b) HUD RESEARCH.—
(1) CONDUCTING OF RESEARCH.—Section 1052
of the Housing and Community Development Act of
1992 (42 U.S.C. 4854a) is amended by inserting after
‘‘other Federal agencies,’’ the following: ‘‘either di-
rectly, or indirectly under contract or otherwise,’’.
(2) FUNDING.—Section 1053 of the Housing and
Community Development Act of 1992 (42 U.S.C.
4854b) is amended to read as follows:
‘‘SEC. 1054. FUNDING.
‘‘Of the total amount approved in appropriation Acts
under section 1011(p), there shall be set aside to carry out
this part $5,000,000 for fiscal year 1995 and $5,000,000
for fiscal year 1996.’’.
(3) OTHER ACTIVITIES.—Part 1 of subtitle D of
title X of the Housing and Community Development
461
Act of 1992 (42 U.S.C. 4854 et seq.) is amended by
inserting after section 1052 the following new section:
‘‘SEC. 1053. OTHER RESEARCH AND ASSISTANCE ACTIVI-
TIES.
‘‘The Secretary may use amounts available to carry
out this part to undertake, either directly, or indirectly
under contract or otherwise, pursuant to title V of the Hous-
ing and Urban Development Act of 1970, such studies, tests
(including pilot tests of new or revised programs), evalua-
tions, demonstrations, education of the public, and prepara-
tion of training materials, as are consistent with the pur-
poses of this Act.’’.
SEC. 713. GAO STUDY OF LEAD-BASED PAINT DETECTION
TECHNOLOGIES AND TENANT NOTIFICATION
PROCEDURES.
(a) IN GENERAL.—The Comptroller General of the
United States shall conduct a study of the lead-based paint
detection and abatement programs of the Department of
Housing and Urban Development, which shall include—
(1) analysis of existing lead-based paint detec-
tion technologies including an analysis of the effec-
tiveness of x-ray fluorescence analyzers (in this sec-
tion referred to as ‘‘XRF’’);
462
(2) evaluation of the qualifications of XRF con-
tractors and whether national certification standards
should be imposed;
(3) analysis of whether the 1.0 mg/cm2 action
level for lead paint, as directed in section 302 of the
Lead-Based Paint Poisoning Prevention Act, is too
high to adequately protect tenant health, and in con-
duction such analysis, the Comptroller General shall
consult with the Consumer Product Safety Commis-
sion, the Department of Health and Human Services,
and the Environmental Protection Agency; and
(4) evaluation of the effectiveness of tenant noti-
fication procedures of the Department of Housing and
Urban Development pursuant to a finding of lead-
based paint in public housing.
(b) REPORT.—Not later than the expiration of the 6-
month period beginning on the date of the enactment of this
Act, the Comptroller General shall submit to the Congress
a report describing the results of the study required by sub-
section (a).
SEC. 714. CIVIL MONEY PENALTIES FOR VIOLATIONS OF
HOME 
MORTGAGE 
DISCLOSURE 
ACT 
BY
NONSUPERVISED MORTGAGEES.
Section 305 of the Home Mortgage Disclosure Act of
1975 (12 U.S.C. 2804) is amended—
463
(1) in subsection (b)—
(A) in paragraph (2), by inserting ‘‘and’’ at
the end;
(B) in paragraph (3), by striking ‘‘; and’’
at the end and inserting a period; and
(C) by striking paragraph (4);
(2) by redesignating subsection (c) as subsection
(d); and
(3) by inserting after subsection (b) the following
new subsection:
‘‘(c) POWERS OF THE SECRETARY OF HOUSING AND
URBAN DEVELOPMENT.—
‘‘(1) IN GENERAL.—The Secretary of Housing
and Urban Development (in this subsection referred
to as the ‘Secretary’) shall enforce compliance with
the requirements imposed under this title with regard
to lending institutions not described in subsection (b).
‘‘(2) CIVIL
MONEY
PENALTIES.—Pursuant to
paragraph (1) of this subsection, the Secretary may
impose a civil money penalty for failure to comply
with the requirements of this title.
‘‘(3) AMOUNT OF PENALTY.—The amount of the
penalty, as determined by the Secretary, may not ex-
ceed $5,000 for each violation, except that the maxi-
mum penalty for all violations by any particular
464
lending institution during any 1-year period shall
not exceed $1,000,000.
‘‘(4) VIOLATIONS FOR WHICH A PENALTY MAY BE
IMPOSED.—A civil money penalty may be imposed
for the late submission of a report, failure to submit
a report, submission of an illegible report, submission
of an erroneous report, and failure to submit a cor-
rected report for a report that was illegible or erro-
neous.
‘‘(5) AGENCY PROCEDURES.—
‘‘(A) ESTABLISHMENT.—The Secretary shall
establish standards and procedures governing the
imposition of civil money penalties under this
section. The standards and procedures shall pro-
vide for the Secretary to make the determination
to impose the penalty or to use an administra-
tive entity (such as the Mortgagee Review Board,
established pursuant to section 202(c) of the Na-
tional Housing Act) to make the determination;
shall provide for the imposition of a penalty
only after the lending institution has been given
an opportunity for a hearing on the record; and
may provide for review by the Secretary of a de-
termination or order, or interlocutory ruling,
arising from a hearing.
465
‘‘(B) FINAL ORDERS.—If no hearing is re-
quested within 15 days of receipt of the notice of
opportunity for hearing, the imposition of the
penalty shall constitute a final and unappealable
determination. If the Secretary reviews the deter-
mination or order, the Secretary may affirm,
modify, or reverse that determination or order. If
the Secretary does not review the determination
or order within 90 days of the issuance of the de-
termination or order, the determination or order
shall be final.
‘‘(C) FACTORS IN DETERMINING AMOUNT OF
PENALTY.—In determining the amount of a pen-
alty under this subsection, consideration shall be
given to such factors as the gravity of the offense,
any history of prior offenses, ability to pay the
penalty, deterrence of future violations, and such
other factors as the Secretary may determine to
be appropriate.
‘‘(D) REVIEWABILITY
OF
IMPOSITION
OF
PENALTY.—The Secretary’s determination or
order imposing a penalty under this subsection
shall not be subject to review, except as provided
in this subsection.
466
‘‘(6) JUDICIAL REVIEW OF AGENCY DETERMINA-
TION.—
‘‘(A) IN GENERAL.—After exhausting all ad-
ministrative remedies established by the Sec-
retary under this subsection, a lending institu-
tion against whom the Secretary has imposed a
civil money penalty under this subsection may
obtain a review of the penalty as may be ad-
dressed in the notice of determination to impose
a penalty in the appropriate court of appeals of
the United States, by filing in such court, within
20 days after the entry of such order or deter-
mination, a written petition praying that the
Secretary’s determination or order be modified
or set aside in whole or in part.
‘‘(B) OBJECTIONS
NOT
RAISED
IN
HEAR-
ING.—The court shall not consider any objection
that was not raised in the hearing conducted
pursuant to this subsection unless a demonstra-
tion is made of extraordinary circumstances
causing the failure to raise the objection. If any
party demonstrates to the satisfaction of the
court that additional evidence not presented at
the hearing is material and that there were rea-
sonable grounds for the failure to present such
467
evidence at the hearing, the court shall remand
the matter to the Secretary for consideration of
the additional evidence.
‘‘(C) SCOPE
OF
REVIEW.—The decisions,
findings, and determinations of the Secretary
shall be reviewed pursuant to section 706 of title
5, United States Code.
‘‘(D) ORDER TO PAY PENALTY.—Notwith-
standing any other provision of law, in any such
review, the court shall have the power to order
payment of the penalty imposed by the Sec-
retary.
‘‘(7) ACTION TO COLLECT PENALTY.—If a lend-
ing institution fails to comply with the Secretary’s
determination or order imposing a civil money pen-
alty under this subsection, after the determination or
order is no longer subject to review as provided by
this subsection, the Secretary may bring an action in
an appropriate United States district court to obtain
a monetary judgment against the lending institution.
In such an action, the validity and appropriateness
of the Secretary’s determination or order imposing
the penalty shall not be subject to review. The mone-
tary judgment may, in the court’s discretion, include
468
the attorneys fees and other expenses incurred by the
United States in connection with the action.
‘‘(8) SETTLEMENT
BY
SECRETARY.—The Sec-
retary may compromise, modify, or remit any civil
money penalty which may be imposed under this sub-
section.
‘‘(9) REGULATIONS.—The Secretary shall issue
such regulations as the Secretary deems appropriate
to implement this subsection.
‘‘(10) DEPOSIT OF PENALTIES IN TREASURY.—
All civil money penalties collected under this sub-
section shall be deposited in the Miscellaneous Re-
ceipts Account of the Treasury.’’.
SEC. 715. REMOVAL OF REGULATORY BARRIERS TO AF-
FORDABLE HOUSING.
(a) PURPOSES.—Section 1202 of the Housing and
Community Development Act of 1992 (42 U.S.C. 12705a)
is amended—
(1) in paragraph (1), by striking ‘‘State and
local governments to further identify and remove’’
and inserting ‘‘the further identification and removal
of’’; and
(2) by striking paragraph (2) and inserting the
following new paragraph:
469
‘‘(2) to encourage the establishment of partner-
ships between local governments and builders and de-
velopers of affordable housing to facilitate develop-
ment of innovative land use and building practices to
overcome regulatory barriers.’’.
(b) GRANTS.—Section 1204 of the Housing and Com-
munity Development Act of 1992 (42 U.S.C. 12705c) is
amended—
(1) by striking subsection (a) and inserting the
following new subsection:
‘‘(a) IN GENERAL.—The amounts available for use
under this Act may be used for grants under subsections
(b) and (c), for evaluation of grantees, and for contracts
with intermediaries for the administration of such grants.’’;
(2) in subsection (b)—
(A) in the heading for the subsection, by
striking ‘‘GRANTS’’ and inserting ‘‘AND RE-
GIONAL STRATEGIES FOR BARRIER REMOVAL’’;
(B) in matter preceding paragraph (1), by
inserting after ‘‘States’’ the following: ‘‘, consor-
tia of units of general local government, associa-
tions of units of general local government, and
metropolitan or regional governments’’;
470
(C) in paragraph (3), by striking ‘‘a State
program to reduce State and local’’ and insert-
ing ‘‘State or regional programs to reduce’’;
(D) in paragraph (4), by inserting ‘‘or
local’’ after ‘‘State’’;
(E) in paragraph (5), by striking ‘‘State’’;
and
(F) by striking paragraph (6) and inserting
the following new paragraph:
‘‘(6) developing proposed legislation or adminis-
trative policies for enactment by the State or local
government addressing expanded housing opportunity
and barrier removal, including implementation of ac-
tive programs encouraging housing opportunities for
low- and moderate-income families through activities
such as comprehensive planning requirements, metro-
politan fair-share requirements for affordable housing,
inclusionary zoning legislation, establishment of new
land development standards, and review of zoning
standards and plans.’’;
(3) by striking subsection (c) and inserting the
following new subsection:
‘‘(c) BARRIER REMOVAL DEMONSTRATION.—The Sec-
retary may make grants to units of general local govern-
ment to encourage the establishment of partnerships between
471
local governments and builders and developers under which
the local government commits to modify existing land use
and building practices and the builder or developer agrees
to use innovative land planning and development ap-
proaches to build affordable housing in ways which would
overcome regulatory barriers. Assistance under this sub-
section may be used to assist the builder or developer obtain
additional architectural, engineering, and land planning
services to build affordable housing and to provide assist-
ance to the locality in providing specialized review and in
meeting technical responsibilities resulting from the re-
moval of the regulatory barriers. During and after comple-
tion of these demonstration projects, the Secretary may
evaluate the cost impact of the modified regulations and
the long-term impact of the project on regulatory reform.’’;
(4) by striking subsections (d) through (g) and
inserting the following new subsection:
‘‘(d) APPLICATION AND SELECTION.—
‘‘(1) APPLICATION.—The Secretary shall provide
for the form and manner of applications for grants
under this section, which in the case of grants under
subsection (c), shall include resolutions and other evi-
dence by the applicable regulating bodies evidencing
commitments—
472
‘‘(A) to waive or modify existing applicable
zoning, building code, site planning, and other
related development requirements;
‘‘(B) to approve the project based upon an
individual review of the technical data, site
plans, and architectural submissions of the
project, utilizing the most recent research and
practices of building engineering and land devel-
opment; and
‘‘(C) to accelerate development review and
processing.
‘‘(2) CRITERIA FOR APPROVAL.—The Secretary
shall establish criteria for approval of applications
under this subsection and for the competitive selection
of grantees under this section.’’;
(5) in subsection (h), by striking ‘‘State and unit
of general local government receiving’’ and inserting
‘‘recipient of’’; and
(6) by redesignating subsections (h) and (i) as
subsections (e) and (f), respectively.
(c) REPORTS.—Section 1207 of the Housing and Com-
munity Development Act of 1992 (42 U.S.C. 12705a note)
is amended by striking ‘‘this Act’’ and inserting ‘‘the Hous-
ing and Community Development Act of 1994’’.
473
(d) CDBG SPECIAL
PURPOSE
GRANTS.—Section
107(b) of the Housing and Community Development Act
of 1974 (42 U.S.C. 5307(b)) is amended by inserting at the
end the following new paragraph:
‘‘(9) to eligible grantees, and for other purposes,
under the Removal for Regulatory Barriers to Afford-
able Housing Act of 1992.’’.
SEC. 716. NEW TOWNS DEMONSTRATION PROGRAM FOR
EMERGENCY RELIEF OF LOS ANGELES.
(a) INSURANCE AUTHORITY.—The first sentence of sec-
tion 1104(d) of the Housing and Community Development
Act of 1992 (42 U.S.C. 5318 note) is amended to read as
follows: ‘‘To the extent provided in appropriation Acts, the
Secretary shall use any authority provided pursuant to sec-
tion 531(b) of the National Housing Act to enter into com-
mitments to insure loans and mortgages under this section
in fiscal years 1995 and 1996 with an aggregate principal
amount not exceeding such sums as may be necessary to
carry out the demonstration under this title.’’.
(b) 
SECOND
MORTGAGE
ASSISTANCE.—Section
1105(e) of the Housing and Community Development Act
of 1992 (42 U.S.C. 5318 note) is amended to read as follows:
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated for fiscal years 1995 and
474
1996 such sums as may be necessary for providing assist-
ance under this section.’’.
(c) COMMUNITY DEVELOPMENT ASSISTANCE.—Section
1106(h) of the Housing and Community Development Act
of 1992 (42 U.S.C. 5318 note) is amended to read as follows:
‘‘(h) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated for fiscal years 1995 and
1996 such sums as may be necessary for assistance under
this section.’’.
SEC. 717. AUTHORIZATION OF APPROPRIATIONS FOR PUB-
LIC SERVICES FACILITY.
(a) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated for fiscal year 1995 such
sums as may be necessary for a grant by the Secretary of
Housing and Urban Development to the City of Springfield,
Massachusetts (in this section referred to as the ‘‘City’’),
for the redevelopment of a facility formerly used as a United
States Post Office for use as a consolidated facility for city
public services in accordance with the plans, budgets, and
timetables for such facility developed by the City.
(b) CITY CONTRIBUTION.—Notwithstanding any other
provision of this section, the Secretary may not make any
amount provided pursuant to this section available to the
City unless the City contributes for redevelopment of the
facility referred to in subsection (a) an amount constituting
475
not less than 25 percent of the total cost of the redevelop-
ment project.
(c) AVAILABILITY OF AMOUNTS.—Of any amounts ap-
propriated pursuant to this section, the Secretary shall pro-
vide $2,500,000 to the City in fiscal year 1995 and the re-
mainder shall remain available until the end of fiscal 1996
and shall be provided to the City in such year.
(d) REPORTS.—The Secretary may require the City to
submit such reports and other information as the Secretary
considers necessary to ensure that the amounts provided
under this section are used in accordance with this section
and that amounts are provided by the City in accordance
with subsection (b).
SEC. 718. NATIONAL AMERICAN INDIAN HOUSING COUNCIL.
There is authorized to be appropriated for assistance
for the National American Indian Housing Council
$1,000,000 for fiscal year 1995 and $1,000,000 for fiscal
year 1996, for providing training and technical assistance
to Indian Housing Authorities.
SEC. 719. HOUSING ASSISTANCE COUNCIL.
There is authorized to be appropriated for assistance
for the Housing Assistance Council $5,000,000 for fiscal
year 1995 and $5,000,000 for fiscal year 1996, for provid-
ing training, technical assistance, and financial assistance
to develop affordable housing in rural areas.
476
SEC. 720. DEMONSTRATION PROGRAM FOR OUTREACH TO
AVOID DISCONNECTION OF UTILITIES.
(a) ACTION OF SECRETARY.—The Secretary of Hous-
ing and Urban Development shall provide technical advice
and assistance to Maryland Energy Advocates to establish
and carry out a program under (b).
(b) OUTREACH PROGRAM.—The program under this
subsection shall be a program, carried out by Maryland En-
ergy Advocates, to—
(1) identify low-income families living in Balti-
more, Maryland, and the surrounding areas, includ-
ing low-income families residing in housing for which
assistance is provided by the Federal Government,
whose electricity or other utility services have been
disconnected because of failure to pay amounts owed;
(2) provide counseling and advice to such fami-
lies regarding utility payments, family budgeting,
sources and programs of assistance for utility pay-
ments, and such other matters as may be necessary to
avoid the disconnection of utility service in the future;
and
(3) determine the most effective manners of iden-
tifying low-income families in need of advice or as-
sistance to avoid disconnection of utility services and
the most effective actions to help low-income families
avoid such disconnection.
477
(c) REPORT.—After consultation with Maryland En-
ergy Advocates regarding the implementation and results
of the program under subsection (b), but not later than the
expiration of the 18-month period beginning on the date
of the enactment of this Act, the Secretary of Housing and
Urban Development shall submit a report to the Congress
that—
(1) describes the program and the activities car-
ried out under the program;
(2) describes the extent to which the utility serv-
ices of low-income families are disconnected; and
(3) identifies the most effective manners of iden-
tifying low-income families in need of advice or as-
sistance to avoid disconnection of utility services and
the most effective actions to help low-income families
avoid such disconnection, including any such actions
appropriate for the Federal Government.
SEC. 721. FEDERAL DEPOSIT INSURANCE CORPORATION AF-
FORDABLE HOUSING PROGRAM.
(a) REAUTHORIZATION.—Section 40(b) of the Federal
Deposit Insurance Act (12 U.S.C. 1831q(b)) is amended—
(1) in paragraph (1), by striking ‘‘during’’ and
all that follows through ‘‘paragraph (2)(A)’’ and in-
serting ‘‘until the end of fiscal year 1997’’;
478
(2) in paragraph (2)(A), in the matter preceding
clause (i), by striking ‘‘3-year’’; and
(3) in paragraph (2)(C), by striking ‘‘3-year’’.
(b) FACILITATION OF PROGRAM.—Section 40 of the
Federal Deposit Insurance Act is amended by adding at
the end the following new subsection:
‘‘(r) FACILITATION
OF PROGRAM.—Notwithstanding
any provision of this section or any other provision of law,
the Corporation shall be considered to be in compliance with
this section if (in the sole discretion of the Corporation)
the Corporation at any time modifies, amends, or waives
any provisions of this section to maximize the efficient use
of amounts appropriated to carry out this section. The Cor-
poration shall not be subject to suit for any failure to com-
ply with the requirements of this section.’’.
SEC. 722. STATE AGENCIES AS SURETIES.
Section 9304 of title 31, United States Code, is amend-
ed by adding at the end the following new subsection:
‘‘(c) STATE AGENCIES.—A State agency, including
any financing authority established by any State, which
meets the requirements of paragraphs (2) and (3) of sub-
section (a) may be treated as a surety corporation for pur-
poses of this chapter.’’.
479
TITLE 
VIII—HOUSING 
PRO-
GRAMS UNDER STEWART B.
MCKINNEY 
HOMELESS 
AS-
SISTANCE ACT
SEC. 801. SHORT TITLE.
This title may be cited as the ‘‘Stewart B. McKinney
Homeless Housing Assistance Amendments Act of 1994’’.
Subtitle A—Housing Assistance
CHAPTER 1—REORGANIZATION OF CER-
TAIN MCKINNEY ACT HOUSING PROVI-
SIONS
SEC. 811. FLEXIBLE GRANT PROGRAM.
Title IV of the Stewart B. McKinney Homeless Assist-
ance Act (42 U.S.C. 11361 et seq.) is amended—
(1) by striking subtitles A, B, C, D, and F;
(2) by striking the headings for subtitles E and
G;
(3) by redesignating sections 441 (as amended by
the preceding provisions of this Act), 491, and 592
(as added by section 1414 of the Housing and Com-
munity Development Act of 1992) as sections 451,
453, and 454, respectively;
(4) by striking sections 442 and 443; and
(5) by inserting after the heading for the title the
following:
480
‘‘Subtitle A—Flexible Grant
Program
‘‘CHAPTER 1—GENERAL PROVISIONS
‘‘SEC. 401. PURPOSES.
‘‘The purposes of this subtitle are to—
‘‘(1) expand and reorganize the Federal commit-
ment to alleviate homelessness by providing States,
Indian tribes, and localities with the resources to
more efficiently and effectively design a comprehen-
sive system to address the shelter, service, and perma-
nent housing needs of homeless individuals and fami-
lies in the United States;
‘‘(2) help very low-income families avoid becom-
ing homeless;
‘‘(3) meet the emergency shelter needs of homeless
persons and families;
‘‘(4) provide transitional or specialized perma-
nent housing to facilitate the movement of homeless
persons and families to independent living;
‘‘(5) provide supportive services to help homeless
persons and families lead independent and dignified
lives;
‘‘(6) encourage the cooperation and participation
of the States and units of general local government,
together with private nonprofit organizations, in
481
planning and implementing comprehensive homeless
assistance programs;
‘‘(7) reduce the costs to States, units of general
local government, and private nonprofit organizations
in applying for and using Federal housing assistance
for families and persons who are homeless; and
‘‘(8) begin meeting the needs of most of the Na-
tion’s homeless population through the existing Fed-
eral programs providing basic assistance for low-in-
come families and persons.
‘‘SEC. 402. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated—
‘‘(1) $635,000,000 for fiscal year 1995 for grants
in accordance with section 813 of the Housing and
Community Development Act of 1994; and
‘‘(2) $786,620,000 for fiscal year 1996 for grants
under this subtitle.
Any amounts appropriated pursuant to this section shall
remain available until expended.
‘‘SEC. 403. DEFINITIONS.
‘‘For purposes of this subtitle, the following definitions
shall apply:
‘‘(1) The term ‘allocation unit of general local
government’ means a metropolitan city and an urban
county.
482
‘‘(2) The term ‘applicant’ means an eligible
grantee that submits an application under section
408 for a grant under this subtitle.
‘‘(3) The term ‘disability’ means—
‘‘(A) a disability as defined in section 223
of the Social Security Act;
‘‘(B) to be determined to have, pursuant to
regulations issued by the Secretary, a physical,
mental, or emotional impairment which (i) is
expected to be a long-continued and indefinite
duration, (ii) substantially impedes an individ-
ual’s ability to live independently, and (iii) of
such a nature that such ability could be im-
proved by more suitable housing conditions;
‘‘(C) a developmental disability as defined
in section 102 of the Developmental Disabilities
Assistance and Bill of Rights Act; or
‘‘(D) 
the 
disease 
of 
acquired
immunodeficiency syndrome or any conditions
arising from the etiologic agency for acquired
immunodeficiency syndrome.
Subparagraph (D) shall not be construed to limit eli-
gibility under subparagraphs (A) through (C) or the
provisions referred to in subparagraphs (A) through
(C).
483
‘‘(4) The term ‘eligible grantee’ means—
‘‘(A) an allocation unit of general local gov-
ernment, Indian Tribe, or insular area that
elects to administer a grant under section
410(a)(1);
‘‘(B) a public agency or a private nonprofit
organization (or a consortium of such organiza-
tions) designated by the Secretary under section
410(a)(3) to administer grant amounts for an
allocation unit of general local government, In-
dian tribe, or insular area;
‘‘(C) an entity eligible to receive grant
amounts from the Secretary under section
410(a)(4);
‘‘(D) a State that elects under section
410(b)(1)(A) to administer a grant;
‘‘(E) a unit of general local government se-
lected under section 410(b)(5) to receive grant
amounts from the Secretary; and
‘‘(F) a private nonprofit organization se-
lected under section 410(b)(4) to receive grant
amounts from the Secretary.
‘‘(5) The term ‘families’ has the same meaning
given the term under section 3(b) of the United States
Housing Act of 1937.
484
‘‘(6) The term ‘grantee’ means—
‘‘(A) an allocation unit of general local gov-
ernment, Indian Tribe, or insular area that re-
ceives a grant under this subtitle and admin-
isters the grant under section 410(a)(1);
‘‘(B) an allocation unit of general local gov-
ernment, Indian tribe, or insular area that re-
ceives a grant under this subtitle and designates
a public agency or private nonprofit organiza-
tion (or a consortium of such organizations) to
administer grant amounts for the jurisdiction
under section 410(a)(2);
‘‘(C) a public agency or a private nonprofit
organization (or a consortium or such organiza-
tions) designated by the Secretary under section
410(a)(3) to administer grant amounts for an
allocation unit of general local government, In-
dian tribe, or insular area, and that receives
grant amounts under this subtitle;
‘‘(D) an entity that receives grant amounts
from the Secretary under section 410(a)(4);
‘‘(E) a State that receives grant amounts
under 
this 
subtitle 
and 
administers 
such
amounts under section 410(b)(1)(A);
485
‘‘(F) a unit of general local government that
receives grant amounts from the Secretary under
section 410(b)(5); and
‘‘(G) a private nonprofit organization that
receives grant amounts from the Secretary under
section 410(b)(4);
‘‘(7) The term ‘homeless family’ means a group
of one or more related individuals who are homeless
individuals.
‘‘(8) The term ‘Indian tribe’ means any Indian
tribe, band, group, and nation, including Alaska In-
dians, Aleuts, and Eskimos, and any Alaskan Native
Village, of the United States, which is considered an
eligible recipient under the Indian Self-Determination
and Education Assistance Act or was considered an
eligible recipient under chapter 67 of title 31, United
States Code, before the repeal of such chapter.
‘‘(9) The term ‘insular area’ means the Virgin
Islands, Guam, American Samoa, and the Common-
wealth of the Northern Mariana Islands.
‘‘(10) The term ‘low-demand services and refer-
rals’ means the provision of health care, mental
health, substance abuse, and other supportive services
and referrals for services in a noncoercive manner,
which may include medication management, edu-
486
cation, counseling, job training, and assistance in ob-
taining entitlement benefits and in obtaining other
supportive service including mental health treatment
and substance abuse treatment.
‘‘(11) The term ‘metropolitan city’ has the mean-
ing given the term in section 102(a) of the Housing
and Community Development Act of 1974.
‘‘(12) The term ‘operating costs’ means expenses
of operating any housing assisted under this subtitle
with respect to—
‘‘(A) the administration, maintenance, re-
pair, and security of such housing;
‘‘(B) utilities, fuels, furnishings, and equip-
ment for such housing; and
‘‘(C) the conducting of the assessments of
and the provision of supportive services to the
residents of such housing.
‘‘(13) The term ‘outpatient health services’ means
outpatient health care, outpatient mental health serv-
ices, outpatient substance abuse services, case manage-
ment services and child immunization.
‘‘(14) The term ‘private nonprofit organization’
means an organization—
487
‘‘(A) no part of the net earnings of which
inures to the benefit of any member, founder,
contributor, or individual;
‘‘(B) that has a voluntary board;
‘‘(C) that has an accounting system or has
designated a fiscal agent in accordance with re-
quirements established by the Secretary; and
‘‘(D) that practices nondiscrimination in
the provision of assistance.
‘‘(15) The term ‘project’ means a structure or a
portion of a structure that is acquired or rehabilitated
with assistance provided under this subtitle or with
respect to which the Secretary provides technical as-
sistance or annual payments for operation costs.
‘‘(16) The term ‘project sponsor’ means an entity
that—
‘‘(A) provides housing or assistance for
homeless individuals or families by carrying out
eligible activities under chapter 2 that are as-
sisted under this subtitle; and
‘‘(B) meets such minimum standards as the
Secretary considers appropriate.
‘‘(17) The term ‘recipient’ means a grantee
(other than a State distributing grant amounts to
State recipients) and a State recipient.
488
‘‘(18) The term ‘Secretary’ means the Secretary
of Housing and Urban Development.
‘‘(19) The term ‘State’ means a State of the
United States and the Commonwealth of Puerto Rico,
or any agency or instrumentality thereof that is es-
tablished pursuant to legislation and designated by
the chief executive to act on behalf of the jurisdiction
with regard to provisions of this subtitle.
‘‘(20) The term ‘State recipient’ means—
‘‘(A) a unit of general local government
within a State (other than an allocation unit of
general local government) that receives grant
amounts from the State under section 410(b)(3);
and
‘‘(B) a private nonprofit organization that
receives grant amounts from a State under sec-
tion 410(b)(4).
‘‘(21)(A) The term ‘supportive services’ means
assistance that—
‘‘(i) addresses the special needs of homeless
person, such as deinstitutionalized persons, fami-
lies with children, persons with mental disabil-
ities, other persons with disabilities, the elderly,
and veterans intended to be served by a project;
and
489
‘‘(ii) assists in accomplishing the purposes
of the different types of housing for the homeless
eligible for assistance under this subtitle.
‘‘(B) Such term includes—
‘‘(i) food services, child care, substance
abuse treatment, assistance in obtaining perma-
nent housing, outpatient health services, employ-
ment counseling, nutritional counseling, security
arrangements for the protection of residents of
facilities to assist the homeless, and such other
services essential for maintaining or moving to-
ward independent living as the Secretary deter-
mines to be appropriate; and
‘‘(ii) assistance to homeless persons in ob-
taining other Federal, State, and local assistance
available for such individuals, including public
assistance benefits, mental health benefits, em-
ployment counseling, and medical assistance.
‘‘(C) Such term does not include the provi-
sion of major medical equipment.
‘‘(D) All or part of the supportive services
may be provided directly by the project sponsor
or by arrangements with other public or private
service providers.
490
‘‘(22) The term ‘unit of general local government’
means—
‘‘(A) a city, town, township, county, parish,
village, or other general purpose political sub-
division of a State;
‘‘(B) the District of Columbia; and
‘‘(C) any agency or instrumentality thereof
that is established pursuant to legislation and
designated by the chief executive to act on behalf
of the jurisdiction with regard to provisions of
this subtitle.
The term includes a consortium of geographically con-
tiguous units of general local government if the Sec-
retary determines that the consortium—
‘‘(i) has sufficient authority and adminis-
trative capability to carry out the purposes of
this subtitle on behalf of its member jurisdic-
tions; and
‘‘(ii) will, according to a written certifi-
cation by the State (or State, if the consortium
includes jurisdictions in more than one State),
direct its activities to alleviation of problems of
homeless individuals or families within the State
or States.
491
‘‘(23) The term ‘urban county’ has the meaning
given the term in section 102(a) of the Housing and
Community Development Act of 1974.
‘‘(24) The term ‘very low-income families’ has
the same meaning given the term under section 104
of the Cranston-Gonzalez National Affordable Hous-
ing Act.
‘‘SEC. 404. PROVISION OF GRANTS.
‘‘(a) AUTHORITY AND USE.—The Secretary may make
grants to eligible grantees in accordance with the provisions
of this subtitle. Grants under this subtitle may be used
only—
‘‘(1) to carry out activities under chapter 2 for
assisting homeless individuals and families that are
conducted to provide comprehensive homeless assist-
ance required under section 405; and
‘‘(2) for administrative expenses, to the extent
provided in section 436.
‘‘(b) GENERAL RULE FOR AWARD OF GRANTS.—Ex-
cept as provided in subsection (c), the Secretary shall make
grants using amounts appropriated under section 402 in
the manner provided in this subtitle.
‘‘(c) INSUFFICIENT APPROPRIATIONS.—
‘‘(1) TRIGGER.—If the amounts appropriated
pursuant to section 402 for any fiscal year are less
492
than 50 percent of the amount authorized to be ap-
propriated under such section for the year, the Sec-
retary shall use such amounts to make grants under
the provisions of this title as in effect immediately be-
fore the enactment of the Housing and Community
Development Act of 1994.
‘‘(2) GRANT
REQUIREMENTS.—The Secretary
shall establish requirements for grants made under
this subsection, as the Secretary considers appro-
priate, that are additional or alternative to the re-
quirements under the provisions of this title as in ef-
fect immediately before the enactment of the Housing
and Community Development Act of 1994.
‘‘(3) GRANT CRITERIA.—The criteria for award-
ing grants under this subsection shall include—
‘‘(A) the extent to which there is a need for
assistance for homeless individuals and families
in the jurisdiction in which the grant will be
used;
‘‘(B) the extent to which the activities pro-
posed to be carried out with grant amounts will
further the provision of comprehensive homeless
assistance required under section 405(b)(1);
‘‘(C) the extent to which private nonprofit
organizations providing assistance to homeless
493
individuals and families in the jurisdiction have
been, and will be, included in planning for the
receipt of assistance under this subtitle, the de-
velopment of the application under section 408,
and the execution of the proposed activities; and
‘‘(D) such other criteria as the Secretary
considers appropriate to further the purposes of
this subsection and this subtitle.
‘‘(4) SET ASIDE FOR INDIAN TRIBES AND INSU-
LAR AREAS.—In making grants under this subsection,
the Secretary may to set aside such amounts as the
Secretary considers appropriate for grants for Indian
tribes and insular areas.
‘‘SEC. 405. COMPREHENSIVE HOMELESS ASSISTANCE.
‘‘(a) ESTABLISHMENT AND MAINTENANCE.—Each ap-
plicant shall, based on information provided in the current
comprehensive affordable housing strategy for the appro-
priate jurisdiction under section 105 of the Cranston-Gon-
zalez National Affordable Housing Act or such other plan
as the Secretary may prescribe, use assistance provided
under this subtitle in a manner that ensures that com-
prehensive homeless assistance is established and main-
tained within the jurisdiction of the applicant.
494
‘‘(b) REQUIREMENTS.—For purposes of this subtitle,
comprehensive homeless assistance required under this sec-
tion shall include—
‘‘(1) providing a system of outreach and assess-
ment for—
‘‘(A) determining whether an individual or
family is homeless, needs assistance to avoid
being homeless, or needs other assistance; and
‘‘(B) ensuring that individuals and families
so identified receive appropriate housing and
supportive services;
‘‘(2) providing assistance to the extent necessary
to avoid eviction (or foreclosure) and termination of
utility services of low- and very low-income families
to prevent such families from becoming homeless;
‘‘(3) making emergency shelters with appropriate
supportive services available to the extent necessary to
ensure that homeless individuals and families for
which such housing is appropriate receive adequate
shelter, including during any period in which an as-
sessment referred to in paragraph (1) is performed for
such an individual or family;
‘‘(4) making transitional housing with appro-
priate supportive services available to the extent nec-
essary to ensure that homeless individuals and fami-
495
lies for which such housing is appropriate are pre-
pared for increased responsibility and permanent
housing, or permanent supportive housing, after the
transition period;
‘‘(5) making permanent supportive housing,
available to the extent necessary to meet the long-term
housing needs of all homeless individuals and fami-
lies;
‘‘(6) providing assistance to meet specific needs
of various subpopulations of the homeless, especially
the unique needs of homeless veterans; and
‘‘(7) providing for coordination of assistance
provided under this subtitle and assistance provided
under other Federal, State, and local programs that
may be used to assist homeless individuals and fami-
lies, including—
‘‘(A) assistance under the programs for pub-
lic and Indian housing and section 8 rental as-
sistance under the United States Housing Act of
1937 (including the program for section 8 assist-
ance for moderate rehabilitation under section
451 of this Act and the shelter plus care program
for such assistance under section 452 of this Act),
the HOME Investment Partnerships Act, the
community development block grant program
496
under title I of the Housing and Community De-
velopment Act of 1974, the program for support-
ive housing for the elderly under section 202 of
the Housing Act of 1959, the program for sup-
portive housing for persons with disabilities
under section 811 of the Cranston-Gonzalez Na-
tional Affordable Housing Act, and the program
for housing opportunities for persons with AIDS
under subtitle D of title VIII of the Cranston-
Gonzalez National Affordable Housing Act;
‘‘(B) programs administered by the Director
of the Federal Emergency Management Agency;
‘‘(C) programs administered by the Sec-
retary of Labor, including programs for employ-
ment and training;
‘‘(D) programs administered by the Sec-
retary of Health and Human Services, including
programs for health care, mental health care, so-
cial services, income support services, runaway
youth, and unfit transient facilities;
‘‘(E) programs administered by the Sec-
retary of Veterans Affairs (including programs
for compensation benefits, health care, and men-
tal health care, and other services and programs)
497
that are specifically designed to assist homeless
veterans;
‘‘(F) programs administered by the Sec-
retary of Education, including programs for
adult education and education for homeless chil-
dren and youth;
‘‘(G) programs administered by the Cor-
poration for National and Community Service,
including programs for national service; and
‘‘(H) such other assistance as the Secretary
shall prescribe upon consultation with the Inter-
agency Council on the Homeless.
‘‘SEC. 406. MATCHING REQUIREMENTS.
‘‘(a) IN GENERAL.—Except as provided in subsection
(c), each recipient shall supplement the amount of grants
provided under this subtitle to the recipient with an equal
amount of funds from non-Federal sources, which shall in-
clude funds from project sponsors receiving assistance from
the recipient.
‘‘(b) SUPPLEMENTAL FUNDS.—Supplemental funds
may include (1) the value of any donated material or build-
ing, the value of any lease on a building, (2) any salary
paid to staff to carry out the program of a project sponsor,
(3) the value of the time and services contributed by volun-
teers to carry out the program of project sponsor at a rate
498
determined by the Secretary, and (4) the proceeds from
bond financing validly issued by a State or unit of general
local government, agency, or instrumentality thereof, and
repayable with revenues derived from a project assisted
under this subtitle, except that not more than 25 percent
of the contribution required may be derived from the pro-
ceeds of such bond financings. Any State or local govern-
ment funds used independently from the program under
this title, or designated for such use, to assist the homeless
by carrying out activities that would be eligible for assist-
ance under this subtitle shall be considered supplemental
funds under this section.
‘‘(c) STATES.—
‘‘(1) REQUIRED SUPPLEMENTATION.—Except as
provided in paragraph (3), in the case of a State ad-
ministering 
grant 
amounts 
under 
section
410(b)(1)(A), in each fiscal year, the State shall sup-
plement the amount of grants provided under this
subtitle with an amount of funds from sources other
than this subtitle equal to the difference between the
amount received under this subtitle and $100,000.
‘‘(2) BENEFIT OF MATCH.—Each grantee that is
a State shall obtain any supplemental amounts re-
quired under paragraph (1) from State recipients re-
ceiving amounts under the grant in a manner so that
499
the benefit of the $100,000 subtrahend under para-
graph (1) is appropriately divided among State re-
cipients for which providing such supplemental
amounts would—
‘‘(A) create a significant hardship for the
recipient; or
‘‘(B) interfere with the overall purpose of
the homeless assistance program of the recipient.
‘‘(3) EXCEPTION.—If, in any fiscal year, a State
receives $100,000 or less in grant amounts under this
subtitle, paragraph (1) shall not apply to the State
for the fiscal year.
‘‘(d) CERTIFICATION.—Each recipient shall certify, to
the satisfaction of the Secretary, its compliance with the
provisions of this section, which shall describe the sources
and amounts of supplemental funds provided pursuant to
this section.
‘‘SEC. 
407. 
RESPONSIBILITIES 
OF 
RECIPIENTS 
AND
PROJECT SPONSORS.
‘‘(a) USE OF ASSISTANCE THROUGH PRIVATE NON-
PROFIT ORGANIZATIONS.—Each recipient shall make avail-
able more than 50 percent of the grant amounts it receives
for any fiscal year to project sponsors that are private non-
profit organizations to carry out eligible activities under
chapter 2, except that the Secretary may waive the applica-
500
bility of this requirement if the recipient demonstrates to
the Secretary that the requirement interferes with the abil-
ity of the recipient to provide assistance under this subtitle
because of a paucity of qualified private nonprofit organi-
zations in the jurisdiction of the recipient.
‘‘(b) HOUSING QUALITY.—Each recipient shall ensure
that housing assisted with grant amounts provided under
this subtitle is decent, safe, and sanitary and, when appro-
priate, complies with all applicable State and local housing
codes, building codes, and licensing requirements in the ju-
risdiction in which the housing is located.
‘‘(c) PREVENTION
OF UNDUE BENEFIT.—The Sec-
retary may prescribe such terms and conditions as the Sec-
retary considers necessary to prevent project sponsors from
unduly benefiting from the sale or other disposition of
projects other than a sale or other disposition resulting in
the use of the project for the direct benefit of very low-in-
come families.
‘‘(d) CONFIDENTIALITY.—Each recipient shall develop
and implement procedures to ensure the confidentiality of
records pertaining to any individual provided family vio-
lence prevention or treatment services under any project
and to ensure that the address or location or any family
violence shelter project assisted with grant amounts under
this subtitle will, except with written authorization of the
501
person or person responsible for the operation of such shel-
ter, not be made public.
‘‘(e) EMPLOYMENT OF HOMELESS INDIVIDUALS.—To
the maximum extent practicable, the Secretary shall ensure
that recipients involve, through employment, volunteer serv-
ices, or otherwise, homeless individuals and families in con-
structing, renovating, maintaining, and operating facilities
assisted with grant amounts under this subtitle, in provid-
ing services so assisted, and in providing services for occu-
pants of facilities so assisted.
‘‘(f) PARTICIPATION OF HOMELESS INDIVIDUALS.—
The Secretary shall, by regulation, provide that each recipi-
ent shall require each project sponsor receiving assistance
under this subtitle from the recipient to provide for the par-
ticipation of not less than one homeless individual or for-
merly homeless individual on the board of directors or other
equivalent policy making entity of the project sponsor, to
the extent that such entity considers and makes policies and
decision regarding any project, facility, services, or other
activities assisted with grant amounts under this subtitle.
A recipient may grant waivers to project sponsors unable
to meet the requirement under the preceding sentence if the
project sponsor agrees to otherwise consult with homeless or
formerly homeless individuals in considering and making
such policies and decisions.
502
‘‘SEC. 408. APPLICATION.
‘‘(a) REQUIREMENT.—Except as otherwise provided in
section 404(c), the Secretary may make a grant under this
subtitle only to an eligible grantee that submits an applica-
tion under this section that is approved by the Secretary.
‘‘(b) FORM AND PROCEDURE.—Applications shall be
submitted in such form and in accordance with such proce-
dures as the Secretary shall, by regulation, establish.
‘‘(c) CONTENT.—An application under this section
shall—
‘‘(1) include a detailed description, based on in-
formation provided in the current comprehensive
housing affordability strategy under section 105 of the
Cranston-Gonzalez National Affordable Housing Act
for the appropriate jurisdiction or such other plan as
the Secretary may prescribe, of—
‘‘(A) the existing population of homeless in-
dividuals and families for the jurisdiction of the
applicant; and
‘‘(B) the existing facilities and services de-
signed to assist such population;
‘‘(2) include a detailed description of the com-
prehensive homeless assistance under section 405 to be
established and maintained within the jurisdiction of
the applicant;
503
‘‘(3) provide an assessment of what is required
to establish and maintain the provision of comprehen-
sive homeless assistance required under section 405
for the jurisdiction of the applicant;
‘‘(4) set forth a multiyear strategy for establish-
ing and maintaining the provision of comprehensive
homeless assistance for the jurisdiction, as described
pursuant to paragraph (2), and include timetables,
goals, and budget estimates for accomplishing each
element of the strategy;
‘‘(5) set forth a 1-year action plan that identifies
all activities to be carried out with assistance under
this subtitle and demonstrates how such activities will
further the strategy set forth pursuant to paragraph
(4);
‘‘(6) except in the case of an application by a
State that elects under section 410(b)(1)(A) to admin-
ister grants under this subtitle, describe the means the
applicant will use to distribute grant amounts to
project sponsors and whether such amounts will be
awarded on a competitive or noncompetitive basis;
‘‘(7) contain certifications or other such forms of
proof of commitments of financial and other resources
from each public agency or private nonprofit organi-
zation that has a role in establishing and maintain-
504
ing the provision of comprehensive homeless assistance
for the jurisdiction of the applicant, required under
section 405;
‘‘(8) contain assurances satisfactory to the Sec-
retary that activities carried out under chapter 2
with grant amounts under this subtitle will comply
with the requirements of this subtitle;
‘‘(9) in the case of an application by a State
that elects to under section 410(b)(1)(A) administer
grants under this subtitle, describe the method of dis-
tribution of such amounts to State recipients;
‘‘(10) except with respect to an application by a
State that elects to under section 410(b)(1)(A) to ad-
minister grants under this subtitle, contain a certifi-
cation from the public official responsible for submit-
ting the comprehensive housing affordability strategy
under section 105 of the Cranston-Gonzalez National
Affordable Housing Act for the State or unit of gen-
eral local government within which a project is to be
located (or such other plan as the Secretary may re-
quire) that the proposed project is consistent with the
approved housing strategy of such State or unit of
general local government;
‘‘(11) contain a certification that the applicant
will comply with the requirements of the Fair Hous-
505
ing Act, title VI of the Civil Rights Act of 1964, sec-
tion 504 of the Rehabilitation Act of 1973, and the
Age Discrimination Act of 1975, and will affirma-
tively further fair housing; and
‘‘(12) contain a certification that the applicant
will comply with the requirements of this subtitle and
other applicable laws.
‘‘(d) RELATIONSHIP TO CHAS AND CONSOLIDATED
PLAN.—In establishing requirements for applications under
this section, the Secretary shall provide that if an applicant
includes in the application information also required under
the comprehensive housing affordability strategy for the ap-
propriate jurisdiction under section 105 of the Cranston-
Gonzalez National Affordable Housing Act or such other
plan as the Secretary may require, the requirements under
such subsection regarding such information shall be consid-
ered to be fulfilled by the submission of the application.
‘‘SEC. 409. ALLOCATION AND DISTRIBUTION OF FUNDS.
‘‘(a) INSULAR AREAS.—In each fiscal year, from any
amounts appropriated for such year to carry out this sub-
title, the Secretary shall allocate amounts to insular areas
in accordance with an allocation formula established by the
Secretary.
‘‘(b) STATES AND ALLOCATION UNITS OF GENERAL
LOCAL GOVERNMENT.—
506
‘‘(1) FORMULA ALLOCATION.—
‘‘(A) IN GENERAL.—For each fiscal year, of
the amounts that remain after amounts are re-
served for insular areas under subsection (a), the
Secretary shall allocate assistance according to
this paragraph.
‘‘(B) FORMULA.—The Secretary shall allo-
cate amounts under this paragraph using a for-
mula established by the Secretary that allocates
amounts for allocation units of general local gov-
ernment and States, and for Indian tribes, in a
manner that provides that the percentage of the
total amount referred to in subparagraph (A) for
any fiscal year that is allocated for any State or
allocation unit of general local government, or
for Indian tribes, is equal to the percentage of
the total amount available for section 106 of the
Housing and Community Development Act of
1974 for the prior fiscal year that was allocated
for such State or allocation unit of general local
government, or for Indian tribes.
‘‘(C) MINIMUM AMOUNT.—If, in any fiscal
year, allocation under the provisions of subpara-
graphs (A) and (B) would result in any alloca-
tion unit of general local government receiving a
507
grant of less than 0.05 percent of the amounts
appropriated to carry out this subtitle for the
fiscal year, such amount shall instead be reallo-
cated to the State for use under section 410(b).
‘‘(D) 70 PERCENT FOR UNITS OF GENERAL
LOCAL GOVERNMENT.—In each fiscal year, the
amount allocated under this paragraph for each
allocation unit of general local government shall
be the amount that results from increasing all of
the amounts determined pursuant to the preced-
ing subparagraphs for allocation units of general
local government on a pro rata basis so that the
sum of such amounts is equal to 70 percent of
the remainder of the amount appropriated for
the year to carry out this subtitle after amounts
are allocated for insular areas under subsection
(a).
‘‘(E) 30 PERCENT FOR STATES.—In each
fiscal year, the amount allocated under this
paragraph for each State shall be the amount
that results from decreasing all of the amounts
determined pursuant to the preceding subpara-
graphs for States on a pro rata basis so that the
sum of such amounts is equal to 30 percent of
the remainder of the amount appropriated for
508
the year to carry out this subtitle after amounts
are allocated for insular areas under subsection
(a).
‘‘(2) GRANT AMOUNT FOR STATES AND ALLOCA-
TION UNITS OF GENERAL LOCAL GOVERNMENT.—
‘‘(A) IN GENERAL.—The amount allocated
for a fiscal year under paragraph (1) for an al-
location unit of general local government or a
State shall be the maximum amount that the al-
location unit or State may receive under this
subtitle for the fiscal year.
‘‘(B) REDUCTION.—In any fiscal year, the
Secretary may provide a grant under this sub-
title for a State or for an allocation unit of gen-
eral local government in an amount less than the
amount allocated under paragraph (1), if the
Secretary determines based upon review of the
application of the jurisdiction under section 408
or as a result of the annual performance review
and audit under section 413, that the jurisdic-
tion has failed to comply fully with the require-
ments under section 408 or 411 or that such ac-
tion is otherwise appropriate.
‘‘(c) REALLOCATIONS.—Any amounts that a State or
an allocation unit of general local government is eligible
509
to receive for a fiscal year under subsection (b) that are
not received for use in the jurisdiction, as provided by sub-
sections (a) and (b) of section 410, or that become available
as a result of actions under section 413(b), shall be added
to amounts available for allocation under this section for
the succeeding fiscal year.
‘‘SEC. 410. ADMINISTRATION OF PROGRAM.
‘‘(a) GRANTS TO ALLOCATION UNITS OF GENERAL
LOCAL
GOVERNMENT, INDIAN
TRIBES, 
AND
INSULAR
AREAS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graphs (2), (3), and (4), an allocation unit of general
local government, Indian tribe, or insular area shall
administer grant amounts for any fiscal year received
under section 409 by such grantees.
‘‘(2) ADMINISTRATION BY DESIGNEES OF JURIS-
DICTION.—
‘‘(A) AUTHORITY TO ELECT.—An allocation
unit of general local government, Indian tribe, or
insular area may elect for any fiscal year to des-
ignate a public agency or a private nonprofit or-
ganization (or a consortium of such organiza-
tions) to administer grant amounts under sec-
tion 409 for the jurisdiction.
510
‘‘(B) ELECTION REQUIREMENTS.—The Sec-
retary shall prescribe the manner and time for
making an election under subparagraph (A), and
shall establish criteria for the approval of agen-
cies and organizations designated, which shall
require such agencies and organizations to dem-
onstrate experience of the entity in providing as-
sistance to homeless individuals and families in
the jurisdiction.
‘‘(C) DIRECT PROVISION OF ASSISTANCE.—
The Secretary may, at the request of the jurisdic-
tion, provide grant amounts directly to the agen-
cy or organization designated under this para-
graph.
‘‘(3) ADMINISTRATION BY DESIGNEES OF SEC-
RETARY.—If an allocation unit of general local gov-
ernment, Indian tribe, or insular area, or (if appro-
priate) a public agency or private nonprofit organi-
zation designated by the jurisdiction under paragraph
(2), does not receive a grant under section 409 for
any fiscal year because of failure to meet the applica-
tion requirements of section 408, the Secretary may
designate an agency or organization meeting the cri-
teria established under paragraph (2)(B) to receive
the grant.
511
‘‘(4) ADMINISTRATION
BY
SECRETARY.—If for
any fiscal year the Secretary determines that the
grant amounts allocated under section 409 for an al-
location unit of general local government, Indian
tribe, or insular area will not be used in the jurisdic-
tion as provided by the preceding provisions of this
subsection, the Secretary may administer such
amounts for the jurisdiction. The Secretary shall pre-
scribe such procedures and requirements as the Sec-
retary considers appropriate for administering grant
amounts under this paragraph.
‘‘(b) GRANTS TO STATES.—
‘‘(1) IN
GENERAL.—To receive an allocation
under section 409, each State shall elect—
‘‘(A) to administer grant amounts received
under section 409, as provided in paragraphs (2)
and (3); or
‘‘(B) to have the Secretary administer such
grant amounts for the State, as provided in
paragraph (5).
If a State elects to administer grant amounts under
subparagraph (A), the election shall be irrevocable.
‘‘(2) STATE PROGRAM.—A State administering
grant amounts as provided in paragraph (1)(A)—
512
‘‘(A) shall distribute the amounts remaining
after use in accordance with subparagraph (B)
to State recipients for use under this subtitle;
‘‘(B) may use up to 15 percent of the grant
amounts received under section 409 to carry out
its own homeless assistance program under this
subtitle, except that—
‘‘(i) such amounts may only be used
for eligible activities under chapter 2 for
which States are eligible recipients under
this subtitle; and
‘‘(ii) the Secretary may increase the
percentage limitation under this subpara-
graph in the case of any State homeless as-
sistance program that is limited to provid-
ing assistance in areas of the State that are
not allocation units of general local govern-
ment; and
‘‘(C) may retain not to exceed 5.0 percent
of the amount to be distributed under subpara-
graph (A) to State recipients to defray the cost
of carrying out its responsibilities under this
subtitle.
Unless a State demonstrates to the satisfaction of the
Secretary that the needs for assistance for activities
513
under this subtitle in areas of the State that are not
allocation units of general local government have been
fulfilled, grant amounts received by State may only
be used to carry out activities in areas of the State
that do not include allocation units of general local
government.
‘‘(3) DISTRIBUTION OF AMOUNTS TO STATE RE-
CIPIENTS.—
‘‘(A) 
CHOICE
OF
ADMINISTRATION.—A
State administering grant amounts as provided
in paragraph (1)(A) shall, for each fiscal year,
afford each such recipient the options of—
‘‘(i) administering the grant amounts
on its own behalf;
‘‘(ii) designating a public agency or a
private nonprofit organization (as provided
by subsection (a)(2)) to administer the
grant amounts for the jurisdiction; or
‘‘(iii) entering into an agreement with
the State, in consultation with private non-
profit organizations providing assistance to
homeless individuals and families in the ju-
risdiction, under which the State will ad-
minister the grant amounts for the jurisdic-
tion.
514
A recipient may choose to exercise such options
at such time and in accordance with such cri-
teria as the Secretary may prescribe.
‘‘(B) DIRECT PROVISION OF ASSISTANCE.—
A State may, at the request of the State recipi-
ent, provide grant amounts directly to the agen-
cy or organization designated under subpara-
graph (A)(ii).
‘‘(C) DISTRIBUTION
OF
AMOUNTS.—The
State shall distribute amounts to State recipients
(or to agencies or organizations designated under
subparagraph (A)(ii), as appropriate) on the
basis of an application containing such informa-
tion as the State may prescribe. Each applica-
tion shall evidence an intent to establish and
maintain the provision of comprehensive home-
less assistance in the jurisdiction of the recipient,
except that the State may waive this requirement
with respect to one or more proposed activities,
where the State determines that—
‘‘(i) the activities are necessary to meet
the needs of homeless individuals and fami-
lies within the jurisdiction; and
515
‘‘(ii) comprehensive homeless assistance
is not necessary, due to the nature and ex-
tent of homelessness in the jurisdiction.
‘‘(D) PREFERENCE FOR CERTAIN STATE RE-
CIPIENTS.—In selecting State recipients and
making awards under subparagraph (C), the
State shall give preference to applications that
demonstrate higher relative levels of homeless
need and fiscal distress.
‘‘(4) STATE
OR
HUD
ADMINISTRATION
OF
GRANTS FOR INDIVIDUAL STATE RECIPIENTS.—If in
any fiscal year a State distributes grant amounts to
a State recipient, but the recipient fails to receive the
amounts pursuant to paragraph (3)(A), the Secretary
or the State, as the Secretary may provide, may dis-
tribute the amounts to private nonprofit organiza-
tions in the jurisdiction. If the Secretary distributes
the amounts, the Secretary shall deduct the amounts
distributed from the grant provided to the State for
the fiscal year.
‘‘(5) HUD ADMINISTRATION
OF
STATE
PRO-
GRAM.—If a State elects pursuant to paragraph
(1)(B) to have the Secretary administer grant
amounts for the State received under section 409, the
Secretary may distribute grant amounts to State re-
516
cipients for the State, in accordance with require-
ments and procedures prescribed by the Secretary.
The Secretary shall establish criteria for selecting re-
cipients and making awards under this paragraph,
which shall include giving preference to applications
that demonstrate higher relative levels of homeless
need and fiscal distress.
‘‘SEC. 411. CITIZEN PARTICIPATION.
‘‘(a) IN GENERAL.—Each grantee who is not a State
recipient shall ensure that citizens, and appropriate private
nonprofit organizations and other interested groups and en-
tities, participate fully in developing and carrying out the
program for providing assistance under this subtitle in the
jurisdiction of the recipient. The Secretary shall prescribe
such requirements to carry out this section as the Secretary
deems appropriate, which shall include requirements appli-
cable to the homeless assistance planning boards referred
to in subsection (b) and the citizen participation provisions
of subsection (c), and the timing of, and sequence for, carry-
ing out the requirements of such subsections.
‘‘(b) HOMELESS ASSISTANCE PLANNING BOARDS.—
‘‘(1) ESTABLISHMENT.—As a condition of a
grantee who is not a State recipient receiving assist-
ance under this subtitle, the chief executive officer of
the appropriate unit government in the jurisdiction of
517
the grantee shall establish a homeless assistance plan-
ning board under this subsection.
‘‘(2) FUNCTIONS.—Each board under this sub-
section shall assist the recipient in—
‘‘(A) determining whether grant amounts of
the grantee should be administered by the grant-
ee, a public agency or private nonprofit organi-
zation, or the State or the Secretary, under sub-
sections (a) and (b) of section 410;
(B) developing the application under sec-
tion 408;
(C) overseeing the activities carried out
with assistance under this subtitle; and
(D) evaluating the performance of the
grantee (and recipients of the grantee) in carry-
ing out such activities.
‘‘(3) MEMBERSHIP.—Each board under this sub-
section shall consist of members appointed by the
chief executive officer referred to in paragraph (1)
(subject to recommendations in accordance with para-
graph (4)), and shall include—
‘‘(A) not less than one member representing
homeless individuals and families;
‘‘(B) not less than one member representing
homeless advocates;
518
‘‘(C) not less than one member representing
individuals and entities providing assistance to
homeless individuals and families, including
agencies of units of general local government
providing Federal assistance;
‘‘(D) not less than one member representing
the business community;
‘‘(E) not less than 1 member representing
labor;
‘‘(F) not less than one member who is a
community representative;
‘‘(G) not less than one member of the local
board established for the jurisdiction for purposes
of allocating amounts under the emergency food
and shelter program of the Federal Emergency
Management Agency;
‘‘(H) not less than one member representing
the grantee; and
‘‘(I) in the case of a grantee that is a
State—
‘‘(i) one member representing the State
agency or instrumentality dealing with
mental health; and
519
‘‘(ii) one member representing the
State agency or instrumentality dealing
with education.
‘‘(4) DISTRIBUTION OF MEMBERSHIP.—Not less
than 50 percent of the members of each board under
this subsection (including the members required under
subparagraphs (A), (B), (C), and (G) of paragraph
(3)) shall be individuals who were recommended for
membership by individuals and entities other than a
unit of general local government or any agency there-
of.
‘‘(5) BOARD REVIEW.—
‘‘(A) APPLICANTS.—No eligible grantee may
submit an application to the Secretary under
section 408, and no grantee may submit to the
Secretary a performance report under subsection
413(a), unless the board under this subsection for
the jurisdiction of the grantee has reviewed, and
been provided an opportunity to include any
comments of the board in, the application or re-
port.
‘‘(B) STATE RECIPIENTS.—No State recipi-
ent may submit an application under section
410(b)(3) or a performance report to a State,
unless the board under this subsection for the ju-
520
risdiction has reviewed, and been provided an
opportunity to include any comments of the
board in, the application or report.
‘‘(6) REVIEW
BY
SECRETARY.—A member or
members of the board under this subsection for a ju-
risdiction or other members of the community may
request the Secretary to review process for constitut-
ing or operating the board to determine whether the
process is fair. If the Secretary finds that the process
is unfair and submits a written justification to the
board within 15 days of the request for review, the
Secretary may disapprove the application under sec-
tion 408 for the jurisdiction or refuse to accept a per-
formance report under section 413(a).
‘‘(7) CONFLICTS OF INTEREST.—The Secretary
shall prescribe standards governing potential conflicts
of interest under which members of boards under this
subsection may participate in activities carried out
under this subtitle.
‘‘(c) INVOLVEMENT OF CITIZENS AND OTHERS.—
‘‘(1) IN GENERAL.—Each recipient shall—
‘‘(A) make available to its citizens, public
agencies, and other interested parties informa-
tion concerning the amount of assistance the ju-
risdiction expects to receive and the range of ac-
521
tivities that may be undertaken with the assist-
ance;
‘‘(B) publish the proposed application in a
manner that, in the determination of the Sec-
retary, affords affected citizens, public agencies,
and other interested parties a reasonable oppor-
tunity to examine its content and to submit com-
ments on it;
‘‘(C) hold one or more public hearings to ob-
tain the views of citizens, public agencies, and
other interested parties on the housing needs of
the jurisdiction; and
‘‘(D) provide citizens, public agencies, and
other interested parties with reasonable access to
records regarding any uses of any assistance the
recipient may have received under this subtitle
during the preceding 5 years.
‘‘(2) NOTICE AND COMMENT.—Before submitting
any performance report under section 413(a) or any
substantial amendment to an application under sec-
tion 408, a recipient shall provide citizens with rea-
sonable notice of, and opportunity to comment on, the
performance report or application.
‘‘(3) CONSIDERATION OF COMMENTS.—A recipi-
ent shall consider any comments or views of citizens
522
in preparing a final application, amendment to an
application, or performance report for submission. A
summary of such comments or views shall be attached
when an application, amendment to an application,
or performance report is submitted. The submitted
application, amendment, or report shall be made
available to the public.
‘‘(4) AUTHORITY OF SECRETARY.—The Secretary
shall establish procedures appropriate and practicable
for providing a fair hearing and timely resolution of
citizen complaints related to applications or perform-
ance reports under this subtitle.
‘‘(d) REQUIREMENTS
FOR CITIZEN PARTICIPATION
FOR STATE RECIPIENTS AND RECIPIENTS OF AMOUNTS
FROM THE SECRETARY.—
‘‘(1) STATE RECIPIENTS.—The State may pre-
scribe citizen participation requirements comparable
(to the extent appropriate) to the requirements under
the preceding provisions of this section for cases in
which a State distributes grant amounts to State re-
cipients, as provided in section 410(b)(2).
‘‘(2) RECIPIENTS FROM SECRETARY.—The Sec-
retary may prescribe citizen participation require-
ments comparable (to the extent appropriate) to the
523
requirements under the preceding provisions of this
section for cases in which the Secretary—
‘‘(A) administers the grant amounts of an
allocation unit of general local government, as
provided in section 410(a)(4); or
‘‘(B) distributes grant amounts to recipi-
ents, as provided in paragraph (3), (4), or (5)
of section 410(b).
‘‘(3) INAPPLICABLE LAWS.—The Federal Advi-
sory Committee Act and section 12 of the Department
of Housing and Urban Development Act shall not
apply with respect to the actions of the Secretary re-
ferred to in paragraph (2). The Secretary shall estab-
lish appropriate standards under this paragraph to
ensure the integrity of the process for awarding assist-
ance.
‘‘SEC. 412. APPLICABILITY OF OTHER PROVISIONS.
‘‘(a) FLOOD ELEVATION REQUIREMENTS.—Flood pro-
tection standards applicable to housing acquired, rehabili-
tated, or assisted under this subtitle shall be no more restric-
tive than the standards applicable to any other program
administrated by the Secretary.
‘‘(b) ENVIRONMENTAL PROTECTION.—The provisions
of, and regulations and procedures applicable under, section
104(g) of the Housing and Community Development Act
524
of 1974 shall apply to assistance and projects under this
subtitle.
‘‘(c) GAO AUDITS.—Insofar as they relate to funds
provided under this subtitle, the financial transactions of
grantees and project sponsors may be audited by the Gen-
eral Accounting Office under such rules and regulations as
may be prescribed by the Comptroller General of the United
States. The representatives of the General Accounting Office
shall have access to all books, accounts, records, reports, files
and other papers, things, or property belonging to, or in
use by such grantees, and project sponsors pertaining to the
financial transactions and necessary to facilitate the audit.
‘‘SEC. 413. REPORTS, REVIEWS, AND AUDITS.
‘‘(a) GRANTEE PERFORMANCE REPORT.—Each grant-
ee shall submit to the Secretary a performance and evalua-
tion report concerning the use of funds made available
under this subtitle. The report shall be submitted at such
time and contain such information as the Secretary shall
prescribe, and shall be made available to the relevant boards
referred to in section 411(b) and to citizens, public agencies,
and other interested parties in the jurisdiction of the grant-
ee in sufficient time to permit the board and the citizens,
public agencies, and other interested parties to comment on
the report before submission.
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‘‘(b) REVIEWS AND AUDITS.—The Secretary shall, at
least on an annual basis, make such reviews and audits
as may be necessary or appropriate to determine—
‘‘(1) in the case of a grantee (other than a grant-
ee referred to in paragraph (2)), whether the grant-
ee—
‘‘(A) has carried out its activities in a time-
ly manner;
‘‘(B) has made progress toward establishing
and maintaining the comprehensive homeless as-
sistance system in conformity with its applica-
tion under this subtitle;
‘‘(C) has carried out its activities and cer-
tifications in accordance with the requirements
of this subtitle and other applicable laws; and
‘‘(D) has a continuing capacity to carry out
its activities in a timely manner; and
‘‘(2) in the case of States distributing grant
amounts to State recipients, whether the State—
‘‘(A) has distributed amounts to State re-
cipients in a timely manner and in conformance
with the method of distribution described in its
application;
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‘‘(B) has carried out its activities and cer-
tifications in compliance with the requirements
of this subtitle and other applicable laws; and
‘‘(C) has made such reviews and audits of
the State recipients as may be necessary or ap-
propriate to determine whether they have satis-
fied the applicable performance criteria con-
tained in paragraph (1).
The Secretary may make appropriate adjustments in the
amount of grants in accordance with the Secretary’s find-
ings under this subsection. With respect to assistance made
available for State recipients, the Secretary may adjust, re-
duce, or withdraw such assistance, or take other action as
appropriate in accordance with the Secretary’s reviews and
audits under this subsection, except that amounts already
properly expended on eligible activities under this subtitle
shall not be recaptured or deducted from future assistance
to such recipients.
‘‘SEC. 414. NONDISCRIMINATION IN PROGRAMS AND ACTIVI-
TIES.
‘‘(a) IN GENERAL.—No person in the United States
shall on the ground of race, color, national origin, religion,
or sex be excluded from participation in, be denied the bene-
fits of, or be subjected to discrimination under any program
or activity funded in whole or in part with funds made
527
available under this subtitle. Any prohibition against dis-
crimination on the basis of age under the Age Discrimina-
tion Act of 1975 or with respect to an otherwise qualified
handicapped individual, as provided in section 504 of the
Rehabilitation Act of 1973, shall also apply to any such
program or activity.
‘‘(b) LIMITATIONS.—
‘‘(1) INDIAN TRIBES.—No grant may be made
under this subtitle to an Indian tribe unless the ap-
plicant provides satisfactory assurances that its pro-
gram will be conducted and administered in conform-
ity with title II of Public Law 90–284. The Secretary
may waive, in connection with grants to Indian
tribes, the provisions of subsection (a).
‘‘(2) HAWAIIAN HOME LANDS.—The provisions of
this subtitle relating to discrimination on the basis of
race shall not apply to the provision of assistance
under this subtitle to the Hawaiian Home Lands.
‘‘SEC. 415. CONSULTATION.
‘‘In carrying out the provisions of this subtitle, includ-
ing the issuance of regulations, the Secretary shall consult
with other Federal agencies administering programs affect-
ing homeless individuals and families through the Inter-
agency Council on the Homeless established under title II.