trol of, any company in the United States, in-
cluding through merger, consolidation, or other 
type of business combination, that is engaged in 
activities permitted under this subsection or 
subsection (n) or (o), unless— 
‘‘(i) the holding company has provided 
notice to the Board, not later than 60 days 
prior to the proposed acquisition or prior 
to becoming a financial holding company, 
and during that time period, or such 
longer time period not exceeding an addi-
tional 60 days, as established by the 
Board; 
‘‘(ii) the Board has provided public 
notice and opportunity for comment for 
not less than 60 days; and 
‘‘(iii) the Board has not issued a no-
tice disapproving the proposed acquisition 
or retention. 
‘‘(B) FACTORS FOR CONSIDERATION.—In 
reviewing any prior notice filed under this para-
graph, the Board shall— 
‘‘(i) consider the overall rating of the 
financial holding company under the Com-
munity Reinvestment Act of 1977 (12 
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U.S.C. 2901 et seq.) and any improvement 
plans submitted pursuant to that Act; 
‘‘(ii) provide opportunity for public 
comment for a period of not less than 60 
days; 
‘‘(iii) consider changes in the commu-
nity reinvestment performance of the fi-
nancial holding company since the last rat-
ing under the Community Reinvestment 
Act of 1977 (12 U.S.C. 2901 et seq.) by 
the appropriate Federal financial super-
visory agency; and 
‘‘(iv) require— 
‘‘(I) a demonstration that grant-
ing the application for a deposit facil-
ity is in the public interest, which 
shall include submission to the appro-
priate Federal financial supervisory 
agency of a community benefits plan; 
‘‘(II) that the institution consult 
with community-based organizations 
and other community stakeholders in 
developing the community benefits 
plan; and 
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‘‘(III) a public hearing for any 
bank that has received a ‘need-to-im-
prove’ or ‘sufficient’ grade in any as-
sessment area during the last exam-
ination under the Community Rein-
vestment Act of 1977 (12 U.S.C. 
2901 et seq.).’’. 
(d) TECHNICAL AND CONFORMING AMENDMENT.— 
Section 10(c)(2)(H)(i) of the Home Owners’ Loan Act (12 
U.S.C. 1467a(c)(2)(H)(i)) is amended by striking ‘‘section 
804(c) of the Community Reinvestment Act of 1977 (12 
U.S.C. 2903(c))’’ and inserting ‘‘section 804(f) of the 
Community Reinvestment Act of 1977 (12 U.S.C. 
2903(f))’’. 
SEC. 204. AMENDMENTS RELATING TO CREDIT UNION 
SERVICE TO UNDERSERVED AREAS. 
(a) IN GENERAL.—The Federal Credit Union Act (12 
U.S.C. 1751 et seq.) is amended— 
(1) in section 101 (12 U.S.C. 1752)— 
(A) in paragraph (8), by striking ‘‘and’’ at 
the end; 
(B) in paragraph (9), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following: 
‘‘(10) the term ‘underserved area’— 
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‘‘(A) means a local community, neighbor-
hood, or rural district that— 
‘‘(i) is an investment area, as defined 
in section 103 of the Community Develop-
ment Banking and Financial Institutions 
Act of 1994 (12 U.S.C. 4702), that meets 
such additional requirements that the 
Board may impose; and 
‘‘(ii) is underserved, based on data of 
the Board and the Federal banking agen-
cies (as defined in section 3 of the Federal 
Deposit Insurance Act (12 U.S.C. 1813)), 
by other depository institutions (as defined 
in section 19(b)(1)(A) of the Federal Re-
serve Act (12 U.S.C. 461(b)(1)(A)); and 
‘‘(B) notwithstanding subparagraph (A), 
includes, with respect to any Federal credit 
union, any geographic area within which the 
credit union— 
‘‘(i) has received approval to provide 
service before the date of enactment of this 
paragraph from the Administration; and 
‘‘(ii) has established a service facility 
before that date of enactment.’’; 
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(2) in section 106 (12 U.S.C. 1756), by adding 
at the end the following: ‘‘The Board shall monitor 
adherence by a Federal credit union to a significant 
unmet needs plan submitted under section 109(h) by 
that Federal credit union that describes how the 
Federal credit union will serve the deposit and other 
financial needs of the community.’’; and 
(3) in section 109 (12 U.S.C. 1759)— 
(A) in subsection (c), by amending para-
graph (2) to read as follows: 
‘‘(2) EXCEPTION FOR UNDERSERVED AREAS.— 
‘‘(A) IN GENERAL.—Notwithstanding sub-
section (b), the Board may approve an applica-
tion by a Federal credit union to allow the 
membership of the credit union to include any 
person or organization whose principal resi-
dence or place of business is located within a 
local community, neighborhood, or rural district 
if— 
‘‘(i) the Board determines— 
‘‘(I) at any time after August 7, 
1998, that the local community, 
neighborhood, or rural district taken 
into account for purposes of this para-
graph is an underserved area; and 
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‘‘(II) at the time of the approval, 
that the credit union is well capital-
ized or adequately capitalized (as de-
fined in section 216(c)(1)); and 
‘‘(ii) before the end of the 24-month 
period beginning on the date of the ap-
proval, the credit union has established 
and maintains an ongoing method to pro-
vide services in the local community, neigh-
borhood, or rural district. 
‘‘(B) TERMINATION OF APPROVAL.— 
‘‘(i) IN GENERAL.—Any failure of a 
Federal credit union to meet the require-
ment of clause (ii) of subparagraph (A) by 
the end of the 24-month period referred to 
in that clause shall constitute a termi-
nation, as a matter of law, of any approval 
of an application under this paragraph by 
the Board with respect to the membership 
of the credit union. 
‘‘(ii) SIGNIFICANT
UNMET
NEEDS 
PLAN.—The Board may terminate the 
membership of a Federal credit union upon 
a finding that the credit union is not meet-
ing the terms of the significant unmet 
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needs plan of the credit union submitted 
under subsection (h)(1). 
‘‘(C) CREDIT UNION REPORTING REQUIRE-
MENT.—Any Federal credit union that has an 
application approved under this paragraph 
shall, as part of the ordinary course of the ex-
amination cycle and supervision process, submit 
a report to the Administration that includes— 
‘‘(i) the number of members of the 
credit union who are members by reason of 
the application; 
‘‘(ii) the number of offices or facilities 
maintained by the credit union in the local 
community, neighborhood, or rural district 
taken into account by the Board in approv-
ing the application; and 
‘‘(iii) evidence, as specified by the 
Board by regulation, demonstrating com-
pliance by the credit union with the signifi-
cant unmet needs plan submitted by the 
credit union under subsection (h)(1), as 
specified by the Administration. 
‘‘(D) 
PUBLICATION
BY
ADMINISTRA-
TION.—The Administration shall publish an an-
nual report containing— 
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‘‘(i) a list of all the applications ap-
proved under this paragraph before the 
date on which the report is published; 
‘‘(ii) the number and locations of the 
underserved areas taken into account in 
approving those applications; 
‘‘(iii) the total number of members of 
credit unions who are members by reason 
of the approval of those applications; and 
‘‘(iv) evidence demonstrating compli-
ance by credit unions with significant 
unmet needs plans submitted by the credit 
unions under subsection (h)(1), as speci-
fied by the Administration.’’; 
(B) in subsection (e)(2), by inserting ‘‘sub-
section (c)(2) and’’ after ‘‘provided in’’; and 
(C) by adding at the end the following: 
‘‘(h) ADDITIONAL REQUIREMENTS FOR COMMUNITY 
CREDIT UNIONS.— 
‘‘(1) IN GENERAL.—A Federal credit union de-
siring membership as a credit union described in 
subsection (b)(3) shall submit to the Board a busi-
ness plan, which shall include, among other issues, 
a marketing plan that identifies— 
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‘‘(A) the unique needs of the various demo-
graphic groups in the proposed community; and 
‘‘(B) how the credit union will market to 
each group, particularly underserved groups, to 
address those needs. 
‘‘(2) PUBLIC COMMENT AND HEARING.—With 
respect to a Federal credit union desiring member-
ship as a credit union described in subsection (b)(3) 
for an area with multiple political jurisdictions with 
a population of not less than 2,500,000, the Admin-
istration shall— 
‘‘(A) publish a notice in the Federal Reg-
ister seeking comment from interested parties 
about the proposed community; and 
‘‘(B) conduct a public hearing regarding 
the application of the Federal credit union.’’. 
(b) REGULATIONS.—Not later than 1 year after the 
date of enactment of this Act, the National Credit Union 
Administration Board shall issue final regulations to im-
plement the amendments made by subsection (a). 
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TITLE III—REMOVING BARRIERS 
THAT ISOLATE COMMUNITIES 
SEC. 301. EXPANDING RIGHTS UNDER THE FAIR HOUSING 
ACT. 
(a) PURPOSES.—The purposes of the amendments 
made under this section are— 
(1) to expand, as well as clarify, confirm, and 
create greater consistency in, the protections against 
discrimination on the basis of all covered character-
istics; and 
(2) to provide guidance and notice to individ-
uals, organizations, corporations, and agencies re-
garding their obligations under Federal law. 
(b) AMENDMENTS TO THE FAIR HOUSING ACT.— 
The Fair Housing Act (42 U.S.C. 3601 et seq.) is amend-
ed— 
(1) in section 802 (42 U.S.C. 3602), by adding 
at the end the following: 
‘‘(p) ‘Gender identity’ means the gender-related iden-
tity, appearance, or mannerisms or other gender-related 
characteristics of an individual, with or without regard to 
the individual’s designated sex at birth. 
‘‘(q) ‘Marital status’ has the meaning given the term 
in section 202.2 of title 12, Code of Federal Regulations, 
or any successor regulation. 
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‘‘(r) ‘Sexual orientation’ means homosexuality, het-
erosexuality, or bisexuality. 
‘‘(s) ‘Source of income’ includes income for which 
there is a reasonable expectation that the income will con-
tinue from— 
‘‘(1) a profession, occupation or job; 
‘‘(2) any government or private assistance, 
grant, loan or rental assistance program, including 
low-income housing 
assistance 
certificates 
and 
vouchers issued under the United States Housing 
Act of 1937 (42 U.S.C. 1437 et seq.); 
‘‘(3) a gift, an inheritance, a pension, an annu-
ity, alimony, child support, or other consideration or 
benefit; or 
‘‘(4) the sale or pledge of property or an inter-
est in property. 
‘‘(t) ‘Veteran status’ means— 
‘‘(1) a member of the uniformed services, as de-
fined in section 101 of title 10, United States Code; 
or 
‘‘(2) a veteran, as defined in section 101 of title 
38, United States Code.’’; 
(2) in section 804 (42 U.S.C. 3604)— 
(A) by inserting ‘‘actual or perceived’’ be-
fore ‘‘race, color’’ each place that term appears; 
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(B) by inserting ‘‘sexual orientation, gen-
der identity, marital status, source of income, 
veteran status,’’ after ‘‘sex,’’ each place that 
term appears; and 
(C) in subsection (c)— 
(i) by inserting ‘‘(1)’’ before ‘‘To 
make’’; and 
(ii) by adding at the end the fol-
lowing: 
‘‘(2) Nothing in this title shall be construed to— 
‘‘(A) prohibit a lender from implementing a 
loan program for veterans or based upon veteran 
status; or 
‘‘(B) prohibit an entity from providing housing 
assistance under section 8(o)(19) of the United 
States 
Housing 
Act 
of 
1937 
(42 
U.S.C. 
1437f(o)(19)), the Homeless Providers Grant and 
Per Diem program of the Department of Veterans 
Affairs, or any other Federal housing assistance pro-
gram for veterans or based upon veterans status.’’; 
(3) in section 805 (42 U.S.C. 3605)— 
(A) by inserting ‘‘actual or perceived’’ be-
fore ‘‘race, color’’ each place that term appears; 
and 
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status (as defined in section 802),’’ after ‘‘sex,’’ each 
place that term appears. 
(d) RULE
OF
CONSTRUCTION.—Nothing in the 
amendments made by this section shall be construed to 
mean that a particular class of individuals was not pro-
tected against discrimination under existing Federal law. 
SEC. 302. IMPROVING OUTCOMES IN HOUSING ASSISTANCE 
PROGRAMS. 
(a) INDIAN HOUSING ASSISTANCE.—Section 502 of 
the Native American Housing Assistance and Self-Deter-
mination Act of 1996 (25 U.S.C. 4181) is amended by 
adding at the end the following: 
‘‘(c) APPLICABILITY.—Subsections (a) and (b) shall 
not apply with respect to tenant-based assistance provided 
under section 8(o) of the United States Housing Act of 
1937 (42 U.S.C. 1437f(o)).’’. 
(b) SUPPLEMENTAL ADMINISTRATIVE FEE.—Section 
8(q)(2)(B) of the United States Housing Act of 1937 (42 
U.S.C. 1437f(q)(2)(B)) is amended by inserting ‘‘, includ-
ing the cost of assisting families with children or families 
with a member with a disability that move to lower pov-
erty, higher opportunity neighborhoods (as determined by 
the Secretary based on objective, evidence-based criteria)’’ 
after ‘‘programs’’. 
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(c) REGIONAL PLANNING TO INCREASE ACCESS TO 
HIGHER OPPORTUNITY AREAS.—Section 8(o) of the 
United States Housing Act of 1937 (42 U.S.C. 1437f(o)) 
is amended by adding at the end the following: 
‘‘(21) INCREASE
ACCESS
TO
HIGHER
OPPOR-
TUNITY AREAS.— 
‘‘(A) LOCATION ANALYSIS.— 
‘‘(i) IN GENERAL.—A public housing 
agency that administers the program 
under this subsection in a metropolitan 
area shall— 
‘‘(I) analyze the locations where 
the participants of the program of the 
public housing agency live; and 
‘‘(II) based on the analysis de-
scribed in subclause (I), establish poli-
cies and practices to reduce disparities 
and barriers to access to locations 
throughout the metropolitan area that 
evidence indicates are more likely to 
improve outcomes for children or 
adults. 
‘‘(ii) CONSIDERATIONS.—The location 
analysis required under this subparagraph 
shall— 
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‘‘(I) consider separately the loca-
tions of families with children, house-
holds that include a person with dis-
abilities, and other groups protected 
under the Fair Housing Act (42 
U.S.C. 3601 et seq.); and 
‘‘(II) include an analysis of the 
locations in relation to dwelling units 
with rents that are potentially afford-
able to voucher holders and the likely 
impact of key neighborhood attributes 
on their well-being and long-term suc-
cess, based on Federal and available 
local data. 
‘‘(iii) MAPPING
TOOLS.—The Sec-
retary shall— 
‘‘(I) provide mapping tools and 
other information necessary for a pub-
lic housing agency to perform the lo-
cation analysis under this subpara-
graph using the demographic data on 
participating families submitted to the 
Secretary under part 908 of title 24, 
Code of Federal Regulations, or any 
successor regulation; 
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‘‘(II) publish a notice in the Fed-
eral Register, subject to public com-
ment, that specifies the data sources 
and definitions that will be incor-
porated in each mapping tool required 
under subclause (I); and 
‘‘(III) update the notice required 
under subclause (II) as needed based 
on changes in the availability of rel-
evant data or evidence of neighbor-
hood attributes likely to impact the 
well-being and long-term success of 
participants in the program under this 
subsection. 
‘‘(iv) 
FREQUENCY
AND
AVAIL-
ABILITY.—The location analysis required 
under this subparagraph shall— 
‘‘(I) be performed by each public 
housing agency described in clause (i) 
not less frequently than once every 5 
years; 
‘‘(II) be performed by all public 
housing agencies in a metropolitan 
area in the same year, as determined 
by the Secretary; and 
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‘‘(III) be made available to the 
public in a manner that protects the 
privacy of program participants. 
‘‘(B) REGIONAL
POLICIES
TO
INCREASE 
ACCESS TO HIGHER OPPORTUNITY NEIGHBOR-
HOODS.—Each public housing agency described 
in subparagraph (A)(i) shall— 
‘‘(i) consult with other such public 
housing agencies in the same metropolitan 
area, or smaller regional area approved by 
the Secretary, about the possible barriers 
and other reasons for the disparities iden-
tified in the location analysis required 
under subparagraph (A); 
‘‘(ii) identify policies or practices that 
those public housing agencies could adopt 
individually or in collaboration, or other 
strategies that recipients of grants or other 
funding from the Secretary could adopt, to 
reduce the barriers and disparities and in-
crease the share of families with children 
and other demographic groups using 
vouchers in higher-opportunity neighbor-
hoods in the metropolitan area or region; 
and 
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‘‘(iii) include in the administrative 
plan required under section 982.54 of title 
24, Code of Federal Regulations, or any 
successor regulation, the policies that the 
public housing agency has adopted under 
this paragraph. 
‘‘(C) ASSESSMENT.—The Secretary shall 
include public housing agency performance in 
achieving the goal described in subparagraph 
(A)(i)(II) in the periodic assessment of agency 
performance in managing the program under 
this subsection required under part 985 of title 
24, Code of Federal Regulations, or any suc-
cessor regulation.’’. 
(d) REQUIRED REGULATORY CHANGES TO PUBLIC 
HOUSING AGENCY CONSORTIA.— 
(1) DEFINITIONS.—In this subsection: 
(A) MOVING
TO
WORK
DEMONSTRATION 
PROGRAM.—The term ‘‘Moving to Work dem-
onstration program’’ means the program estab-
lished under section 204 of the Departments of 
Veterans Affairs and Housing and Urban De-
velopment, and Independent Agencies Appro-
priations Act, 1996 (Public Law 104–134; 110 
Stat. 1321–281). 
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(B) PUBLIC HOUSING AGENCY.—The term 
‘‘public housing agency’’ has the meaning given 
the term in section 3(b)(6) of the United States 
Housing Act of 1937 (42 U.S.C. 1437a(b)(6)). 
(2) REQUIREMENT.—Not later than 1 year 
after the date of enactment of this Act, the Sec-
retary of Housing and Urban Development shall es-
tablish policies and procedures that— 
(A) enable public housing agencies that 
elect to operate in consortia under section 13(a) 
of the United States Housing Act of 1937 (42 
U.S.C. 1437k(a)), excluding public housing 
agencies participating in the Moving to Work 
demonstration program— 
(i) to consolidate their funding con-
tracts for assistance provided under section 
8(o) of such Act (42 U.S.C. 1437f(o)) into 
a single contract; 
(ii) to consolidate their funding con-
tracts for assistance provided under sub-
sections (d) and (e) of section 9 of such 
Act (42 U.S.C. 1437g); or 
(iii) to exercise the consolidation op-
tions under each of clauses (i) and (ii); and 
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(B) enable public housing agencies to form 
partial consortia under such section 13(a) (42 
U.S.C. 1437k(a)) that consolidate the adminis-
tration of certain aspects of their housing pro-
grams to increase access to higher-opportunity 
areas or for other purposes, subject to such re-
quirements as the Secretary may establish. 
(3) MOVING TO WORK AGENCIES.—Any flexi-
bility or waiver applicable to the Moving to Work 
demonstration program shall not apply to any activi-
ties or funds administered through a partial con-
sortia formed under paragraph (2)(B) by 1 or more 
public housing agencies participating in the Moving 
to Work demonstration program. 
TITLE IV—ESTATE TAX REFORM 
SEC. 401. AMENDMENT TO INTERNAL REVENUE CODE OF 
1986. 
Except as otherwise expressly provided, whenever in 
this title an amendment or repeal is expressed in terms 
of an amendment to, or repeal of, a section or other provi-
sion, the reference shall be considered to be made to a 
section or other provision of the Internal Revenue Code 
of 1986. 
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SEC. 402. RATE ADJUSTMENT. 
(a) INCREASE IN ESTATE TAX RATES.—The table 
contained in section 2001(c) is amended to read as follows: 
If the amount with respect to 
which the tentative tax to 
be computed is: 
The tentative tax is: 
Not over $13,000,000 ...................
55 percent of such amount. 
Over $13,000,000 but not over 
$93,000,000.
$7,150,000, plus 60 percent of the 
excess 
of 
such 
amount 
over 
$13,000,000. 
Over $93,000,000 ..........................
$55,150,000, plus 65 percent of the 
excess 
of 
such 
amount 
over 
$93,000,000. 
(b) REDUCTION OF BASIC EXCLUSION AMOUNT.— 
Paragraph (3) of section 2010(c) is amended to read as 
follows: 
‘‘(3) BASIC
EXCLUSION
AMOUNT.—For pur-
poses of this subsection, the basic exclusion amount 
is $3,500,000.’’. 
(c) SURTAX ON BILLION DOLLAR ESTATES.—Section 
2001 is amended— 
(1) in subsection (b), by striking ‘‘The tax’’ and 
inserting ‘‘Subject to subsection (h), the tax’’, and 
(2) by adding at the end the following new sub-
section: 
‘‘(h) SURTAX ON BILLION DOLLAR ESTATES.— 
‘‘(1) IN GENERAL.—In the case of a taxable es-
tate for which the applicable amount is in excess of 
$1,000,000,000, the tax determined under sub-
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section (b) shall be increased by an amount equal to 
10 percent of such applicable amount. 
‘‘(2) APPLICABLE AMOUNT.—For purposes of 
this subsection, the applicable amount shall be equal 
to the sum of the amounts under subparagraphs (A) 
and (B) of paragraph (1) of subsection (b) for the 
taxable estate.’’. 
SEC. 403. REQUIRED MINIMUM 10-YEAR TERM, ETC., FOR 
GRANTOR RETAINED ANNUITY TRUSTS. 
(a) IN GENERAL.—Subsection (b) of section 2702 is 
amended— 
(1) by redesignating paragraphs (1), (2), and 
(3) as subparagraphs (A), (B), and (C), respectively, 
and by moving such subparagraphs (as so redesig-
nated) 2 ems to the right; 
(2) by striking ‘‘For purposes of’’ and inserting 
the following: 
‘‘(1) IN GENERAL.—For purposes of’’; 
(3) by striking ‘‘paragraph (1) or (2)’’ in para-
graph (1)(C) (as so redesignated) and inserting 
‘‘subparagraph (A) or (B)’’; and 
(4) by adding at the end the following new 
paragraph: 
‘‘(2) ADDITIONAL
REQUIREMENTS
WITH
RE-
SPECT
TO
GRANTOR
RETAINED
ANNUITIES.—For 
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purposes of subsection (a), in the case of an interest 
described in paragraph (1)(A) (determined without 
regard to this paragraph) which is retained by the 
transferor, such interest shall be treated as de-
scribed in such paragraph only if— 
‘‘(A) the right to receive the fixed amounts 
referred to in such paragraph is for a term of 
not less than 10 years, 
‘‘(B) such fixed amounts, when determined 
on an annual basis, do not decrease relative to 
any prior year during the first 10 years of the 
term referred to in subparagraph (A), and 
‘‘(C) the remainder interest has a value 
equal to or greater than 10 percent of the value 
of the assets transferred to the trust, deter-
mined as of the time of the transfer.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to transfers made after the date 
of the enactment of this Act. 
SEC. 404. CERTAIN TRANSFER TAX RULES APPLICABLE TO 
GRANTOR TRUSTS. 
(a) IN GENERAL.—Subtitle B is amended by adding 
at the end the following new chapter: 
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‘‘CHAPTER 16—SPECIAL RULES FOR 
GRANTOR TRUSTS 
‘‘Sec. 2901. Application of transfer taxes. 
‘‘SEC. 2901. APPLICATION OF TRANSFER TAXES. 
‘‘(a) IN GENERAL.—In the case of any portion of a 
trust to which this section applies— 
‘‘(1) the value of the gross estate of the de-
ceased deemed owner of such portion shall include 
all assets attributable to that portion at the time of 
the death of such owner, 
‘‘(2) any distribution from such portion to one 
or more beneficiaries during the life of the deemed 
owner of such portion shall be treated as a transfer 
by gift for purposes of chapter 12, and 
‘‘(3) if at any time during the life of the 
deemed owner of such portion, such owner ceases to 
be treated as the owner of such portion under sub-
part E of part 1 of subchapter J of chapter 1, all 
assets attributable to such portion at such time shall 
be treated for purposes of chapter 12 as a transfer 
by gift made by the deemed owner. 
‘‘(b) PORTION OF TRUST TO WHICH SECTION AP-
PLIES.—This section shall apply to— 
‘‘(1) the portion of a trust with respect to 
which the grantor is the deemed owner, and 
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