H. R. 4194—175
or local law provides for a shorter period of time, such
shorter period shall apply’’;
(2) in paragraph (7) (as so redesignated by the preceding
provisions of this Act), by striking ‘‘and’’ at the end;
(4) by inserting after paragraph (7) (as so redesignated
by the preceding provisions of this Act), the following new
paragraph:
‘‘(7) provide that any occupancy in violation of section
576(b) of the Quality Housing and Work Responsibility Act
of 1998 (relating to ineligibility of illegal drug users and alcohol
abusers) or the furnishing of any false or misleading informa-
tion pursuant to section 577 of such Act (relating to termination
of tenancy and assistance for illegal drug users and alcohol
abusers) shall be cause for termination of tenancy;’’.
(c) AVAILABILITY OF CRIMINAL RECORDS FOR TENANT SCREENING
AND EVICTION.—Section 6(q) of the United States Housing Act
of 1937 (42 U.S.C. 1437d(q)(1)) is amended—
(1) in paragraph (1)—
(A) in subparagraph (A)—
(i) by striking ‘‘subparagraph (B)’’ and inserting
‘‘subparagraph (C)’’; and
(ii) by striking ‘‘public housing’’ and inserting ‘‘cov-
ered housing assistance’’;
(B) by redesignating subparagraph (B) as subpara-
graph (C); and
(C) by inserting after subparagraph (A) the following
new subparagraph:
‘‘(B) REQUESTS BY OWNERS OF PROJECT-BASED SECTION
8 HOUSING.—A public housing agency may make a request
under 
subparagraph 
(A) 
for 
information 
regarding
applicants for, or tenants of, housing that is provided
project-based assistance under section 8 only if the housing
is located within the jurisdiction of the agency and the
owner of such housing has requested that the agency obtain
such information on behalf of the owner. Upon such a
request by the owner, the agency shall make a request
under subparagraph (A) for the information. The agency
may not make such information available to the owner
but shall perform determinations for the owner regarding
screening, lease enforcement, and eviction based on criteria
supplied by the owner.’’;
(2) in paragraph (3)—
(A) by striking ‘‘FEE’’ and inserting ‘‘FEES’’; and
(B) by adding at the end the following new sentence:
‘‘In the case of a public housing agency obtaining informa-
tion pursuant to paragraph (1)(B) for another owner of
housing, the agency may pass such fee on to the owner
initiating the request and may charge additional reasonable
fees for making the request on behalf of the owner and
taking other actions for owners under this subsection.’’;
(3) by striking paragraph (5) and inserting the following
new paragraph:
‘‘(8) DEFINITIONS.—For purposes of this subsection, the fol-
lowing definitions shall apply:
‘‘(A) ADULT.—The term ‘adult’ means a person who
is 18 years of age or older, or who has been convicted
H. R. 4194—176
of a crime as an adult under any Federal, State, or tribal
law.
‘‘(B) COVERED HOUSING ASSISTANCE.—The term ‘cov-
ered housing assistance’ means—
‘‘(i) a dwelling unit in public housing;
‘‘(ii) a dwelling unit in housing that is provided
project-based assistance under section 8, including new
construction and substantial rehabilitation projects;
and
‘‘(iii) tenant-based assistance under section 8.
‘‘(C) OWNER.—The term ‘owner’ means, with respect
to covered housing assistance described in subparagraph
(B)(ii), the entity or private person (including a cooperative
or public housing agency) that has the legal right to lease
or sublease dwelling units in the housing assisted.’’; and
(4) by inserting after paragraph (4) the following new para-
graphs:
‘‘(5) CONFIDENTIALITY.—A public housing agency receiving
information under this subsection may use such information
only for the purposes provided in this subsection and such
information may not be disclosed to any person who is not
an officer, employee, or authorized representative of the agency
and who has a job-related need to have access to the information
in connection with admission of applicants, eviction of tenants,
or termination of assistance. For judicial eviction proceedings,
disclosures may be made to the extent necessary. The Secretary
shall, by regulation, establish procedures necessary to ensure
that information provided under this subsection to a public
housing agency is used, and confidentiality of such information
is maintained, as required under this subsection. The Secretary
shall establish standards for confidentiality of information
obtained under this subsection by public housing agencies on
behalf of owners.
‘‘(6) PENALTY.—Any person who knowingly and willfully
requests or obtains any information concerning an applicant
for, or tenant of, covered housing assistance pursuant to the
authority under this subsection under false pretenses, or any
person who knowingly and willfully discloses any such informa-
tion in any manner to any individual not entitled under any
law to receive it, shall be guilty of a misdemeanor and fined
not more than $5,000. The term ‘person’ as used in this para-
graph include an officer, employee, or authorized representative
of any public housing agency.
‘‘(7) CIVIL ACTION.—Any applicant for, or tenant of, covered
housing assistance affected by (A) a negligent or knowing disclo-
sure of information referred to in this subsection about such
person by an officer, employee, or authorized representative
of any public housing agency, which disclosure is not authorized
by this subsection, or (B) any other negligent or knowing action
that is inconsistent with this subsection, may bring a civil
action for damages and such other relief as may be appropriate
against any public housing agency responsible for such
unauthorized action. The district court of the United States
in the district in which the affected applicant or tenant resides,
in which such unauthorized action occurred, or in which the
officer, employee, or representative alleged to be responsible
for any such unauthorized action resides, shall have jurisdiction
H. R. 4194—177
in such matters. Appropriate relief that may be ordered by
such district courts shall include reasonable attorney’s fees
and other litigation costs.’’.
(d) AUTHORITY TO REQUIRE ACCESS TO CRIMINAL RECORDS.—
Section 6 of the United States Housing Act of 1937 (42 U.S.C.
1437d), as amended by the preceding provisions of this Act, is
further amended by adding at the end the following new subsection:
‘‘(t) AUTHORITY TO REQUIRE ACCESS TO CRIMINAL RECORDS.—
A public housing agency may require, as a condition of providing
admission to the public housing program or assisted housing pro-
gram under the jurisdiction of the public housing agency, that
each adult member of the household provide a signed, written
authorization for the public housing agency to obtain records
described in subsection (q)(1) regarding such member of the house-
hold from the National Crime Information Center, police depart-
ments, and other law enforcement agencies.’’.
(e) OBTAINING INFORMATION FROM DRUG ABUSE TREATMENT
FACILITIES.—Section 6 of the United States Housing Act of 1937
(42 U.S.C. 1437d), as amended by the preceding provisions of this
Act, is further amended by adding at the end the following new
subsection:
‘‘(u) OBTAINING INFORMATION FROM DRUG ABUSE TREATMENT
FACILITIES.—
‘‘(1) AUTHORITY.—Notwithstanding any other provision of
law other than the Public Health Service Act (42 U.S.C. 201
et seq.), a public housing agency may require each person
who applies for admission to public housing to sign one or
more forms of written consent authorizing the agency to receive
information from a drug abuse treatment facility that is solely
related to whether the applicant is currently engaging in the
illegal use of a controlled substance.
‘‘(2) CONFIDENTIALITY OF APPLICANT’S RECORDS.—
‘‘(A) LIMITATION
ON
INFORMATION
REQUESTED.—In a
form of written consent, a public housing agency may
request only whether the drug abuse treatment facility
has reasonable cause to believe that the applicant is cur-
rently engaging in the illegal use of a controlled substance.
‘‘(B) RECORDS
MANAGEMENT.—Each public housing
agency that receives information under this subsection from
a drug abuse treatment facility shall establish and imple-
ment a system of records management that ensures that
any information received by the public housing agency
under this subsection—
‘‘(i) is maintained confidentially in accordance with
section 543 of the Public Health Service Act (12 U.S.C.
290dd–2);
‘‘(ii) is not misused or improperly disseminated;
and
‘‘(iii) is destroyed, as applicable—
‘‘(I) not later than 5 business days after the
date on which the public housing agency gives
final approval for an application for admission;
or
‘‘(II) if the public housing agency denies the
application for admission, in a timely manner after
the date on which the statute of limitations for
the commencement of a civil action from the
H. R. 4194—178
applicant based upon that denial of admission has
expired.
‘‘(C) EXPIRATION
OF
WRITTEN
CONSENT.—In addition
to the requirements of subparagraph (B), an applicant’s
signed written consent shall expire automatically after the
public housing agency has made a final decision to either
approve or deny the applicant’s application for admittance
to public housing.
‘‘(3) PROHIBITION
OF
DISCRIMINATORY
TREATMENT
OF
APPLICANTS.—
‘‘(A) FORMS
SIGNED.—A public housing agency may
only require an applicant for admission to public housing
to sign one or more forms of written consent under this
subsection if the public housing agency requires all such
applicants to sign the same form or forms of written con-
sent.
‘‘(B) CIRCUMSTANCES
OF
INQUIRY.—A public housing
agency may only make an inquiry to a drug abuse treat-
ment facility under this subsection if—
‘‘(i) the public housing agency makes the same
inquiry with respect to all applicants; or
‘‘(ii) the public housing agency only makes the
same inquiry with respect to each and every applicant
with respect to whom—
‘‘(I) 
the 
public 
housing 
agency 
receives
information from the criminal record of the
applicant that indicates evidence of a prior arrest
or conviction; or
‘‘(II) the public housing agency receives
information from the records of prior tenancy of
the 
applicant 
that 
demonstrates 
that 
the
applicant—
‘‘(aa) engaged in the destruction of prop-
erty;
‘‘(bb) engaged in violent activity against
another person; or
‘‘(cc) interfered with the right of peaceful
enjoyment of the premises of another tenant.
‘‘(4) FEE PERMITTED.—A drug abuse treatment facility may
charge a public housing agency a reasonable fee for information
provided under this subsection.
‘‘(5) DISCLOSURE PERMITTED BY TREATMENT FACILITIES.—
A drug abuse treatment facility shall not be liable for damages
based on any information required to be disclosed pursuant
to this subsection if such disclosure is consistent with section
543 of the Public Health Service Act (42 U.S.C. 290dd–2).
‘‘(6) OPTION TO NOT REQUEST INFORMATION.—A public hous-
ing agency shall not be liable for damages based on its decision
not to require each person who applies for admission to public
housing to sign one or more forms of written consent authoriz-
ing the public housing agency to receive information from a
drug abuse treatment facility under this subsection.
‘‘(7) DEFINITIONS.—For purposes of this subsection, the fol-
lowing definitions shall apply:
‘‘(A) DRUG
ABUSE
TREATMENT
FACILITY.—The term
‘drug abuse treatment facility’ means an entity that—
‘‘(i) is—
H. R. 4194—179
‘‘(I) an identified unit within a general medical
care facility; or
‘‘(II) an entity other than a general medical
care facility; and
‘‘(ii) holds itself out as providing, and provides,
diagnosis, treatment, or referral for treatment with
respect to the illegal use of a controlled substance.
‘‘(B) CONTROLLED
SUBSTANCE.—The term ‘controlled
substance’ has the meaning given the term in section 102
of the Controlled Substances Act (21 U.S.C. 802).
‘‘(C) CURRENTLY
ENGAGING
IN
THE
ILLEGAL
USE
OF
A CONTROLLED SUBSTANCE.—The term ‘currently engaging
in the illegal use of a controlled substance’ means the
illegal use of a controlled substance that occurred recently
enough to justify a reasonable belief that an applicant’s
illegal use of a controlled substance is current or that
continuing illegal use of a controlled substance by the
applicant is a real and ongoing problem.
‘‘(8) EFFECTIVE
DATE.—This subsection shall take effect
upon enactment and without the necessity of guidance from,
or any regulation issued by, the Secretary.’’.
SEC. 576. SCREENING OF APPLICANTS FOR FEDERALLY ASSISTED
HOUSING.
(a) INELIGIBILITY BECAUSE OF EVICTION FOR DRUG CRIMES.—
Any tenant evicted from federally assisted housing by reason of
drug-related criminal activity (as such term is defined in section
3(b) of the United States Housing Act of 1937 (42 U.S.C. 1437a(b))
shall not be eligible for federally assisted housing during the 3-
year period beginning on the date of such eviction, unless the
evicted tenant successfully completes a rehabilitation program
approved by the public housing agency (which shall include a waiver
of this subsection if the circumstances leading to eviction no longer
exist).
(b) INELIGIBILITY
OF ILLEGAL DRUG USERS
AND ALCOHOL
ABUSERS.—
(1) IN GENERAL.—Notwithstanding any other provision of
law, a public housing agency or an owner of federally assisted
housing, as determined by the Secretary, shall establish stand-
ards that prohibit admission to the program or admission to
federally assisted housing for any household with a member—
(A) who the public housing agency or owner determines
is illegally using a controlled substance; or
(B) with respect to whom the public housing agency
or owner determines that it has reasonable cause to believe
that such household member’s illegal use (or pattern of
illegal use) of a controlled substance, or abuse (or pattern
of abuse) of alcohol, may interfere with the health, safety,
or right to peaceful enjoyment of the premises by other
residents.
(2) CONSIDERATION
OF
REHABILITATION.—In determining
whether, pursuant to paragraph (1)(B), to deny admission to
the program or federally assisted housing to any household
based on a pattern of illegal use of a controlled substance
or a pattern of abuse of alcohol by a household member, a
public housing agency or an owner may consider whether such
household member—
H. R. 4194—180
(A) has successfully completed a supervised drug or
alcohol rehabilitation program (as applicable) and is no
longer engaging in the illegal use of a controlled substance
or abuse of alcohol (as applicable);
(B) has otherwise been rehabilitated successfully and
is no longer engaging in the illegal use of a controlled
substance or abuse of alcohol (as applicable); or
(C) is participating in a supervised drug or alcohol
rehabilitation program (as applicable) and is no longer
engaging in the illegal use of a controlled substance or
abuse of alcohol (as applicable).
(c) AUTHORITY TO DENY ADMISSION TO CRIMINAL OFFENDERS..—
Except as provided in subsections (a) and (b) of this section and
in addition to any other authority to screen applicants, in selecting
among applicants for admission to the program or to federally
assisted housing, if the public housing agency or owner of such
housing (as applicable) determines that an applicant or any member
of the applicant’s household is or was, during a reasonable time
preceding the date when the applicant household would otherwise
be selected for admission, engaged in any drug-related or violent
criminal activity or other criminal activity which would adversely
affect the health, safety, or right to peaceful enjoyment of the
premises by other residents, the owner, or public housing agency
employees, the public housing agency or owner may—
(1) deny such applicant admission to the program or to
federally assisted housing; and
(2) after the expiration of the reasonable period beginning
upon such activity, require the applicant, as a condition of
admission to the program or to federally assisted housing,
to submit to the public housing agency or owner evidence
sufficient (as the Secretary shall by regulation provide) to
ensure that the individual or individuals in the applicant’s
household who engaged in criminal activity for which denial
was made under paragraph (1) have not engaged in any crimi-
nal activity during such reasonable period.
(d) CONFORMING AMENDMENTS.—The United States Housing
Act of 1937 is amended—
(1) in section 6—
(A) by striking subsection (r); and
(B) by redesignating subsections (s), (t), and (u) (as
added by the preceding provisions of this Act) as sub-
sections (r), (s), and (t), respectively; and
(2) in section 16 (42 U.S.C. 1437n), by striking subsection
(e).
SEC. 577. TERMINATION OF TENANCY AND ASSISTANCE FOR ILLEGAL
DRUG USERS AND ALCOHOL ABUSERS IN FEDERALLY
ASSISTED HOUSING.
(a) IN GENERAL.—Notwithstanding any other provision of law,
a public housing agency or an owner of federally assisted housing
(as applicable), shall establish standards or lease provisions for
continued assistance or occupancy in federally assisted housing
that allow the agency or owner (as applicable) to terminate the
tenancy or assistance for any household with a member—
(1) who the public housing agency or owner determines
is illegally using a controlled substance; or
H. R. 4194—181
(2) whose illegal use (or pattern of illegal use) of a con-
trolled substance, or whose abuse (or pattern of abuse) of alco-
hol, is determined by the public housing agency or owner to
interfere with the health, safety, or right to peaceful enjoyment
of the premises by other residents.
(b) 
CONSIDERATION
OF
REHABILITATION.—In 
determining
whether, pursuant to subsection (a)(2), to terminate tenancy or
assistance to any household based on a pattern of illegal use of
a controlled substance or a pattern of abuse of alcohol by a house-
hold member, a public housing agency or an owner may consider
whether such household member—
(1) has successfully completed a supervised drug or alcohol
rehabilitation program (as applicable) and is no longer engaging
in the illegal use of a controlled substance or abuse of alcohol
(as applicable);
(2) has otherwise been rehabilitated successfully and is
no longer engaging in the illegal use of a controlled substance
or abuse of alcohol (as applicable); or
(3) is participating in a supervised drug or alcohol
rehabilitation program (as applicable) and is no longer engaging
in the illegal use of a controlled substance or abuse of alcohol
(as applicable).
SEC. 578. INELIGIBILITY OF DANGEROUS SEX OFFENDERS FOR ADMIS-
SION TO PUBLIC HOUSING.
(a) IN GENERAL.—Notwithstanding any other provision of law,
an owner of federally assisted housing shall prohibit admission
to such housing for any household that includes any individual
who is subject to a lifetime registration requirement under a State
sex offender registration program.
(b) OBTAINING INFORMATION.—As provided in regulations issued
by the Secretary to carry out this section—
(1) a public housing agency shall carry out criminal history
background checks on applicants for federally assisted housing
and make further inquiry with State and local agencies as
necessary to determine whether an applicant for federally
assisted housing is subject to a lifetime registration require-
ment under a State sex offender registration program; and
(2) State and local agencies responsible for the collection
or maintenance of criminal history record information or
information on persons required to register as sex offenders
shall comply with requests of public housing agencies for
information pursuant to this section.
(c) REQUESTS BY OWNERS FOR PHA’S TO OBTAIN INFORMA-
TION.—A public housing agency may take any action under sub-
section (b) regarding applicants for, or tenants of, federally assisted
housing other than federally assisted housing described in subpara-
graph (A) or (B) of section 579(a)(2), but only if the housing is
located within the jurisdiction of the agency and the owner of
such housing has requested that the agency take such action on
behalf of the owner. Upon such a request by the owner, the agency
shall take the action requested under subsection (b). The agency
may not make any information obtained pursuant to the action
under subsection (b) available to the owner but shall perform deter-
minations for the owner regarding screening, lease enforcement,
and eviction based on criteria supplied by the owner.
H. R. 4194—182
(d) OPPORTUNITY TO DISPUTE.—Before an adverse action is
taken with respect to an applicant for federally assisted housing
on the basis that an individual is subject to a lifetime registration
requirement under a State sex offender registration program, the
public housing agency obtaining the record shall provide the tenant
or applicant with a copy of the registration information and an
opportunity to dispute the accuracy and relevance of that informa-
tion.
(e) FEE.—A public housing agency may be charged a reasonable
fee for taking actions under subsection (b). In the case of a public
housing agency taking actions on behalf of another owner of feder-
ally assisted housing pursuant to subsection (c), the agency may
pass such fee on to the owner making the request and may charge
an additional reasonable fee for making the request on behalf
of the owner.
(f ) RECORDS MANAGEMENT.—Each public housing agency shall
establish and implement a system of records management that
ensures that any criminal record or information regarding a lifetime
registration requirement under a State sex offender registration
program that is obtained under this section by the public housing
agency is—
(1) maintained confidentially;
(2) not misused or improperly disseminated; and
(3) destroyed, once the purpose for which the record was
requested has been accomplished.
SEC. 579. DEFINITIONS.
(a) DEFINITIONS.—For purposes of this subtitle, the following
definitions shall apply:
(1) DRUG-RELATED CRIMINAL ACTIVITY.—The term ‘‘drug-
related criminal activity’’ has the meaning given the term in
section 3(b) of the United States Housing Act of 1937 (42
U.S.C. 1437a(b)).
(2) FEDERALLY
ASSISTED
HOUSING.—The term ‘‘federally
assisted housing’’ means a dwelling unit—
(A) in public housing (as such term is defined in section
3(b) of the United States Housing Act of 1937 (42 U.S.C.
1437a));
(B) assisted with tenant-based assistance under section
8 of the United States Housing Act of 1937;
(C) in housing that is provided project-based assistance
under section 8 of the United States Housing Act of 1937,
including new construction and substantial rehabilitation
projects;
(D) in housing that is assisted under section 202 of
the Housing Act of 1959 (as amended by section 801 of
the Cranston-Gonzalez National Affordable Housing Act);
(E) in housing that is assisted under section 202 of
the Housing Act of 1959, as such section existed before
the enactment of the Cranston-Gonzalez National Afford-
able Housing Act;
(F) in housing that is assisted under section 811 of
the Cranston-Gonzalez National Affordable Housing Act;
(G) in housing financed by a loan or mortgage insured
under section 221(d)(3) of the National Housing Act that
bears interest at a rate determined under the proviso of
section 221(d)(5) of such Act;
H. R. 4194—183
(H) in housing insured, assisted, or held by the Sec-
retary or a State or State agency under section 236 of
the National Housing Act; or
(I) in housing assisted under section 514 or 515 of
the Housing Act of 1949.
(3) OWNER.—The term ‘‘owner’’ means, with respect to fed-
erally assisted housing, the entity or private person (including
a cooperative or public housing agency) that has the legal
right to lease or sublease dwelling units in such housing.
Subtitle G—Repeals and Related
Provisions
SEC. 581. ANNUAL REPORT.
(a) IN GENERAL.—Not later than 1 year after the date of the
enactment of this Act, and annually thereafter, the Secretary shall
submit a report to the Congress on—
(1) the impact of the amendments made by this Act on—
(A) the demographics of public housing residents and
families receiving tenant-based assistance under the United
States Housing Act of 1937; and
(B) the economic viability of public housing agencies;
and
(2) the effectiveness of the rent policies established by
this Act and the amendments made by this Act on the employ-
ment status and earned income of public housing residents.
(b) EFFECTIVE DATE.—This section shall take effect on the
date of the enactment of this Act.
SEC. 582. REPEALS RELATING TO PUBLIC HOUSING AND SECTION 8
PROGRAMS.
(a) IN GENERAL.—The following provisions of law are hereby
repealed:
(1) PUBLIC HOUSING RENT WAIVERS FOR POLICE.—Section
519 of the Cranston-Gonzalez National Affordable Housing Act
(42 U.S.C. 1437a–1).
(2) TREATMENT OF CERTIFICATE AND VOUCHER HOLDERS.—
Subsection (c) of section 183 of the Housing and Community
Development Act of 1987 (42 U.S.C. 1437f note).
(3) REPORT REGARDING FAIR HOUSING OBJECTIVES.—Section
153 of the Housing and Community Development Act of 1992
(42 U.S.C. 1437f note).
(4) MISCELLANEOUS PROVISIONS.—Subsections (b)(1) and (c)
of section 326 of the Housing and Community Development
Amendments of 1981 (Public Law 97–35, 95 Stat. 406; 42
U.S.C. 1437f note).
(5) PAYMENT FOR DEVELOPMENT MANAGERS.—Section 329A
of the Housing and Community Development Amendments of
1981 (42 U.S.C. 1437j–1).
(6) PUBLIC
HOUSING
CHILDHOOD
DEVELOPMENT.—Section
222 of the Housing and Urban-Rural Recovery Act of 1983
(12 U.S.C. 1701z–6 note).
(7) INDIAN
HOUSING
CHILDHOOD
DEVELOPMENT.—Section
518 of the Cranston-Gonzalez National Affordable Housing Act
(12 U.S.C. 1701z–6 note).
H. R. 4194—184
(8) PUBLIC
HOUSING
COMPREHENSIVE
TRANSITION
DEM-
ONSTRATION.—Section 126 of the Housing and Community
Development Act of 1987 (42 U.S.C. 1437f note).
(9) PUBLIC HOUSING ONE-STOP PERINATAL SERVICES DEM-
ONSTRATION.—Section 521 of the Cranston-Gonzalez National
Affordable Housing Act (42 U.S.C. 1437t note).
(10) PUBLIC HOUSING MINCS DEMONSTRATION.—Section 522
of the Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 1437f note).
(11) PUBLIC
HOUSING
ENERGY
EFFICIENCY
DEMONSTRA-
TION.—Section 523 of the Cranston-Gonzalez National Afford-
able Housing Act (42 U.S.C. 1437g note).
(12) OMAHA
HOMEOWNERSHIP
DEMONSTRATION.—Section
132 of the Housing and Community Development Act of 1992
(Public Law 102–550; 106 Stat. 3712).
(13) PUBLIC AND ASSISTED HOUSING YOUTH SPORTS PRO-
GRAMS.—Section 520 of the Cranston-Gonzalez National Afford-
able Housing Act (42 U.S.C. 11903a).
(14) MULTIFAMILY FINANCING.—The penultimate sentence
of section 302(b)(2) of the National Housing Act (12 U.S.C.
1717(b)(2)) and the penultimate sentence of section 305(a)(2)
of the Emergency Home Finance Act of 1970 (12 U.S.C.
1454(a)(2)).
(15) SPECIAL PROJECTS FOR ELDERLY OR HANDICAPPED FAMI-
LIES.—Section 209 of the Housing and Community Development
Act of 1974 (42 U.S.C. 1438).
(b) SAVINGS PROVISION.—Except to the extent otherwise pro-
vided in this Act, the repeals made by subsection (a) shall not
affect any legally binding obligations entered into before the effec-
tive date under section 503(a) of this Act.
SEC. 583. PUBLIC HOUSING FLEXIBILITY IN CHAS.
Section 105(b) of the Cranston-Gonzalez National Affordable
Housing Act (42 U.S.C. 12705(b)) is amended—
(1) by transferring and inserting the flush material that
precedes the first paragraph that is designated as (17) (relating
to abbreviated housing strategies and consisting of 2 sentences)
to the end of the subsection (following the last numbered para-
graph);
(2) by redesignating the second paragraph that is des-
ignated as paragraph (17) (as added by section 681(2) of the
Housing and Community Development Act of 1992 (Public Law
102–550; 106 Stat. 3830)) as paragraph (20);
(3) by redesignating paragraph (17) (as added by section
220(b)(3) of the Housing and Community Development Act of
1992 (Public Law 102–550; 106 Stat. 3761)) as paragraph (19);
(4) in the second paragraph designated as paragraph (16)
(as so designated by section 220(c)(1) of the Housing and
Community Development Act of 1992 (Public Law 102–550;
106 Stat. 3762))—
(A) by striking ‘‘and’’ at the end; and
(B) by striking ‘‘(16)’’ and inserting ‘‘(18)’’;
(5) in paragraph (16) (as added by section 1014(3) of the
Housing and Community Development Act of 1992 (Public Law
102–550; 106 Stat. 3908))—
(A) by striking the period at the end and inserting
a semicolon; and
H. R. 4194—185
(B) by striking ‘‘(16)’’ and inserting ‘‘(17)’’;
(6) by redesignating paragraphs (11) through (15) as para-
graphs (12) through (16), respectively; and
(7) by inserting after paragraph (10) the following new
paragraph:
‘‘(11) describe the manner in which the plan of the jurisdic-
tion will help address the needs of public housing;’’.
SEC. 584. USE OF AMERICAN PRODUCTS.
(a) PURCHASE
OF AMERICAN-MADE EQUIPMENT
AND PROD-
UCTS.—It is the sense of the Congress that, to the greatest extent
practicable, all equipment and products purchased with funds made
available in this Act should be American made.
(b) NOTICE REQUIREMENT.—In providing financial assistance
to, or entering into any contract with, any entity using funds
made available in this Act, the head of each Federal agency, to
the greatest extent practicable, shall provide to such entity a notice
describing the statement made in subsection (a) by the Congress.
(c) EFFECTIVE DATE.—This section shall take effect on the date
of the enactment of this Act.
SEC. 585. GAO STUDY ON HOUSING ASSISTANCE PROGRAM COSTS.
(a) STUDY.—The Comptroller General of the United States shall
conduct a study that provides an objective and independent account-
ing and analysis of the full cost to the Federal Government, public
housing agencies, State and local governments, and other entities,
per assisted household, of the Federal assisted housing programs,
taking into account the qualitative differences among Federal
assisted housing programs in accordance with applicable standards
of the Department of Housing and Urban Development.
(b) CONTENTS.—The study under this section shall—
(1) analyze the full cost to the Federal Government, public
housing agencies, State and local governments, and other par-
ties, per assisted household, of the Federal assisted housing
programs, in accordance with generally accepted accounting
principles, and shall conduct the analysis on a nationwide
and regional basis and in a manner such that accurate per
unit cost comparisons may be made between Federal assisted
housing programs, including grants, direct subsidies, tax
concessions, Federal mortgage insurance liability, periodic ren-
ovation and rehabilitation, and modernization costs, demolition
costs, and other ancillary costs such as security; and
(2) measure and evaluate qualitative differences among
Federal assisted housing programs in accordance with
applicable standards of the Department of Housing and Urban
Development.
(c) PROHIBITION
OF RECOMMENDATIONS.—In conducting the
study under this section and reporting under subsection (e), the
Comptroller General may not make any recommendations regarding
Federal housing policy.
(d) FEDERAL ASSISTED HOUSING PROGRAMS.—For purposes of
this section, the term ‘‘Federal assisted housing programs’’ means—
(1) the public housing program under the United States
Housing Act of 1937, except that the study under this section
shall differentiate between and compare the development and
construction of new public housing and the assistance of exist-
ing public housing structures;
H. R. 4194—186
(2) the certificate program for rental assistance under sec-
tion 8(b)(1) of the United States Housing Act of 1937;
(3) the voucher program for rental assistance under section
8(o) of the United States Housing Act of 1937;
(4) the programs for project-based assistance under section
8 of the United States Housing Act of 1937;
(5) the rental assistance payments program under section
521(a)(2)(A) of the Housing Act of 1949;
(6) the program for housing for the elderly under section
202 of the Housing Act of 1959;
(7) the program for housing for persons with disabilities
under section 811 of the Cranston-Gonzalez National Affordable
Housing Act;
(8) the program for financing housing by a loan or mortgage
insured under section 221(d)(3) of the National Housing Act
that bears interest at a rate determined under the proviso
of section 221(d)(5) of such Act;
(9) the program under section 236 of the National Housing
Act;
(10) the program for construction or substantial rehabilita-
tion under section 8(b)(2) of the United States Housing Act
of 1937, as in effect before October 1, 1983; and
(11) any other program for housing assistance administered
by the Secretary of Housing and Urban Development or the
Secretary of Agriculture, under which occupancy in the housing
assisted or housing assistance provided is based on income,
as the Comptroller General may determine.
(e) REPORT.—Not later than 12 months after the date of the
enactment of this Act, the Comptroller General shall submit to
the Congress a final report which shall contain the results of
the study under this section, including the analysis and estimates
required under subsection (b).
(f ) EFFECTIVE DATE.—This section shall take effect on the
date of the enactment of this Act.
SEC. 586. AMENDMENTS TO PUBLIC AND ASSISTED HOUSING DRUG
ELIMINATION ACT OF 1990.
(a) SHORT TITLE.—This section may be cited as the ‘‘Public
and Assisted Housing Drug Elimination Program Amendments of
1998’’.
(b) FINDINGS.—Section 5122 of the Anti-Drug Abuse Act of
1988 (42 U.S.C. 11901) is amended—
(1) in paragraph (2), by inserting ‘‘or violent’’ after ‘‘drug-
related’’;
(2) in paragraph (4)—
(A) by inserting ‘‘and violent’’ after ‘‘drug-related’’; and
(B) by striking ‘‘and’’ at the end;
(3) in paragraph (5), by striking the period at the end
and inserting a semicolon; and
(4) by adding at the end the following new paragraphs:
‘‘(6) the Federal Government should provide support for
effective safety and security measures to combat drug-related
and violent crime, primarily in and around public housing
projects with severe crime problems;
‘‘(7) closer cooperation should be encouraged between public
and assisted housing managers, local law enforcement agencies,
H. R. 4194—187
and residents in developing and implementing anti-crime pro-
grams; and
‘‘(8) anti-crime strategies should be improved through the
expansion of community-oriented policing initiatives.’’.
(c) AUTHORITY TO MAKE GRANTS.—Section 5123 of the Anti-
Drug Abuse Act of 1988 (42 U.S.C. 11902) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ before ‘‘The’’;
(2) by striking ‘‘tribally designated housing entities’’ and
inserting ‘‘recipients of assistance under the Native American
Housing Assistance and Self-Determination Act of 1996’’;
(3) by inserting ‘‘and violent’’ after ‘‘drug-related’’; and
(4) by adding at the end the following new subsection:
‘‘(b) CONSORTIA.—Subject to terms and conditions established
by the Secretary, public housing agencies may form consortia for
purposes of applying for grants under this chapter.’’.
(d) ELIGIBLE ACTIVITIES.—Section 5124 of the Anti-Drug Abuse
Act of 1988 (42 U.S.C. 11903) is amended—
(1) in subsection (a)—
(A) in paragraph (4)(A), by striking ‘‘drug-related crime
on or about’’ and inserting ‘‘drug-related or violent crime
in and around’’;
(B) in paragraph (6), by striking ‘‘and’’ at the end;
(C) in paragraph (7)—
(i) by striking ‘‘tribally designated housing entity’’
and inserting ‘‘recipient of assistance under the Native
American Housing Assistance and Self-Determination
Act of 1996’’; and
(ii) by striking the period at the end and inserting
‘‘; and’’; and
(8) by adding at the end the following new paragraph:
‘‘(8) sports programs and sports activities that serve pri-
marily youths from public or other federally assisted low-income
housing projects and are operated in conjunction with, or in
furtherance of, an organized program or plan designed to reduce
or eliminate drugs and drug-related problems in and around
such projects.’’; and
(2) in subsection (b)—
(A) in the matter preceding paragraph (1), by striking
‘‘drug-related crime in’’ and inserting ‘‘drug-related crime
in and around’’; and
(B) in paragraph (2), by striking ‘‘drug-related activity
at’’ and inserting ‘‘drug-related or violent activity in or
around’’.
(e) APPLICATIONS.—Section 5125 of the Anti-Drug Abuse Act
of 1988 (42 U.S.C. 11904) is amended—
(1) in subsection (a)—
(A) by striking ‘‘tribally designated housing entity’’ and
inserting ‘‘recipient of assistance under the Native Amer-
ican Housing Assistance and Self-Determination Act of
1996’’;
(B) by striking ‘‘crime on the premises’’ and inserting
‘‘or violent crime in and around’’; and
(C) by inserting before the period at the end the follow-
ing: ‘‘, which plan shall be coordinated with and may be
included in the public housing agency plan submitted to
the Secretary pursuant to section 5A of the United States
Housing Act of 1937’’;
H. R. 4194—188
(2) in subsection (b)—
(A) in the matter that precedes paragraph (1), by strik-
ing ‘‘Except as’’ and all that follows through ‘‘on—’’ and
inserting the following: ‘‘The Secretary shall approve
applications under subsection (b) that are not subject to
a preference under subsection (b)(2)(A) on the basis of
thresholds or criteria such as—’’; and
(B) in paragraph (1), by striking ‘‘crime problem in’’
and inserting ‘‘or violent crime problem in and around’’;
(3) in subsection (c)—
(A) in the matter preceding paragraph (1), by striking
‘‘subsection (b)’’ and inserting ‘‘subsection (c)’’; and
(B) in paragraph (2), by inserting ‘‘or violent’’ after
‘‘drug-related’’ each place it appears;
(4) in subsection (d), by striking ‘‘subsection (b)’’ and insert-
ing ‘‘subsection (c)’’;
(5) by redesignating subsections (b) through (d) as sub-
sections (c) through (e), respectively; and
(6) by inserting after subsection (a) the following new sub-
section:
‘‘(b) One-Year Renewable Grants.—
‘‘(1) IN GENERAL.—An eligible applicant that is a public
housing agency may apply for a 1-year grant under this chapter
that, subject to the availability of appropriated amounts, shall
be renewed annually for a period of not more than 4 additional
years, except that such renewal shall be contingent upon the
Secretary finding, upon an annual or more frequent review,
that the grantee agency is performing under the terms of the
grant and applicable laws in a satisfactory manner and meets
such other requirements as the Secretary may prescribe. The
Secretary may adjust the amount of any grant received or
renewed under this paragraph to take into account increases
or decreases in amounts appropriated for these purposes or
such other factors as the Secretary determines to be appro-
priate.
‘‘(2) ELIGIBILITY AND PREFERENCE.—The Secretary may not
provide assistance under this chapter to an applicant that
is a public housing agency unless—
‘‘(A) the agency will use the grants to continue or
expand activities eligible for assistance under this chapter,
as in effect immediately before the effective date under
section 503(a) of the Quality Housing and Work Respon-
sibility Act of 1998, in which case the Secretary shall
provide preference to such applicant; except that preference
under this subparagraph shall not preclude selection by
the Secretary of other meritorious applications that address
urgent or serious crime problems nor be construed to
require continuation of activities determined by the Sec-
retary to be unworthy of continuation; or
‘‘(B) the agency is in the class established under para-
graph (3).
‘‘(3) PHA’S HAVING URGENT OR SERIOUS CRIME PROBLEMS.—
The Secretary shall, by regulations issued after notice and
opportunity for public comment, set forth criteria for establish-
ing a class of public housing agencies that have urgent or
serious crime problems. The Secretary may reserve a portion
of the amount appropriated to carry out this chapter in each
H. R. 4194—189
fiscal year only for grants for public housing agencies in such
class, except that any amounts from such portion reserved
that are not obligated to agencies in the class shall be made
available only for agencies that are subject to a preference
under paragraph (2)(A).
‘‘(4) INAPPLICABILITY TO FEDERALLY ASSISTED LOW-INCOME
HOUSING.—The provisions of this subsection shall not apply
to federally assisted low-income housing.’’.
(f ) DEFINITIONS.—Section 5126 of the Anti-Drug Abuse Act
of 1988 (42 U.S.C. 11905) is amended by striking paragraph (5)
and inserting the following new paragraph:
‘‘(5) RECIPIENT.—The term ‘recipient’, when used in ref-
erence to the Native American Housing Assistance and Self-
Determination Act of 1996, has the meaning given such term
in section 4 of such Act.’’.
(g) REPORTS, MONITORING, AND FUNDING.—Chapter 2 of subtitle
C of title V of the Anti-Drug Abuse Act of 1988 is amended by
striking sections 5127, 5128, 5129, and 5130 and inserting the
following new sections:
‘‘SEC. 5127. REPORTS.
‘‘(a) GRANTEE REPORTS.—The Secretary shall require grantees
under this chapter to provide periodic reports that include the
obligation and expenditure of grant funds, the progress made by
the grantee in implementing the plan described in section 5125(a),
and any change in the incidence of drug-related crime in projects
assisted under this chapter.
‘‘(b) HUD REPORTS.—The Secretary shall submit a report to
the Congress not later than 18 months after the date of the enact-
ment of the Quality Housing and Work Responsibility Act of 1998
describing the system used to distribute funding to grantees under
this section, which shall include descriptions of—
‘‘(1) the methodology used to distribute amounts made
available under this chapter among public housing agencies,
including provisions used to provide for renewals of ongoing
programs funded under this chapter; and
‘‘(2) actions taken by the Secretary to ensure that amounts
made available under this chapter are not used to fund baseline
local government services, as described in section 5128(b).
‘‘(c) NOTICE OF FUNDING AWARDS.—The Secretary shall cause
to be published in the Federal Register notice of all grant awards
made pursuant to this chapter, which shall identify the grantees
and the amount of the grants. Such notice shall be published
not less frequently than annually.
‘‘SEC. 5128. MONITORING.
‘‘(a) IN GENERAL.—The Secretary shall audit and monitor the
programs funded under this chapter to ensure that assistance pro-
vided under this chapter is administered in accordance with the
provisions of this chapter.
‘‘(b) PROHIBITION OF FUNDING BASELINE SERVICES.—
‘‘(1) IN GENERAL.—Amounts provided under this chapter
may not be used to reimburse or support any local law enforce-
ment agency or unit of general local government for the provi-
sion of services that are included in the baseline of services
required to be provided by any such entity pursuant to a
local cooperation agreement under section 5(e)(2) of the United
States Housing Act of 1937 or any provision of an annual
H. R. 4194—190
contributions contract for payments in lieu of taxation pursuant
to section 6(d) of such Act.
‘‘(2) DESCRIPTION.—Each public housing agency that
receives grant amounts under this chapter shall describe, in
the report under section 5127(a), such baseline of services for
the unit of general local government in which the jurisdiction
of the agency is located.
‘‘(c) ENFORCEMENT.—The Secretary shall provide for the effec-
tive enforcement of this section, which may include the use of
on-site monitoring, independent public audit requirements, certifi-
cation by local law enforcement or local government officials regard-
ing the performance of baseline services referred to in subsection
(b), and entering into agreements with the Attorney General to
achieve compliance, and verification of compliance, with the provi-
sions of this chapter.
‘‘SEC. 5129. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) IN GENERAL.—There are authorized to be appropriated
to carry out this chapter $310,000,000 for fiscal year 1999, and
such sums as may be necessary for fiscal years 2000, 2001, 2002,
and 2003.
‘‘(b) SET-ASIDE FOR FEDERALLY ASSISTED LOW-INCOME HOUS-
ING.—Of any amounts made available in any fiscal year to carry
out this chapter not more than 6.25 percent shall be available
for grants for federally assisted low-income housing.
‘‘(c) SET-ASIDE FOR TECHNICAL ASSISTANCE AND PROGRAM OVER-
SIGHT.—Of any amounts appropriated in any fiscal year to carry
out this chapter, amounts shall be available to the extent provided
in appropriations Acts to provide training, technical assistance,
contract expertise, program oversight, program assessment, execu-
tion, and other assistance for or on behalf of public housing agencies,
recipients of assistance under the Native American Housing Assist-
ance and Self-Determination Act of 1996, resident organizations,
and officials and employees of the Department (including training
and the cost of necessary travel for participants in such training,
by or to officials and employees of the Department and of public
housing agencies, and to residents and to other eligible grantees).
Assistance and other activities carried out using amounts made
available under this subsection may be provided directly or
indirectly by grants, contracts, or cooperative agreements.’’.
SEC. 587. REVIEW OF DRUG ELIMINATION PROGRAM CONTRACTS.
(a) REQUIREMENT.—The Secretary of Housing and Urban
Development shall investigate all security contracts awarded by
grantees under the Public and Assisted Housing Drug Elimination
Act of 1990 (42 U.S.C. 11901 et seq.) that are public housing
agencies that own or operate more than 4,500 public housing dwell-
ing units—
(1) to determine whether the contractors under such con-
tracts have complied with all laws and regulations regarding
prohibition of discrimination in hiring practices;
(2) to determine whether such contracts were awarded
in accordance with the applicable laws and regulations regard-
ing the award of such contracts;
(3) to determine how many such contracts were awarded
under emergency contracting procedures; and
(4) to evaluate the effectiveness of the contracts.
H. R. 4194—191
(b) REPORT.—Not later than 180 days after the date of the
enactment of this Act, the Secretary shall complete the investigation
required under subsection (a) and submit a report to the Congress
regarding the findings under the investigation. With respect to
each such contract, the report shall (1) state whether the contract
was made and is operating, or was not made or is not operating,
in full compliance with applicable laws and regulations, and (2)
for each contract that the Secretary determines is in such compli-
ance issue a certification of such compliance by the Secretary of
Housing and Urban Development.
(c) ACTIONS.—For each contract that is described in the report
under subsection (b) as not made or not operating in full compliance
with applicable laws and regulations, the Secretary of Housing
and Urban Development shall promptly take any actions available
under law or regulation that are necessary—
(1) to bring such contract into compliance; or
(2) to terminate the contract.
(d) EFFECTIVE DATE.—This section shall take effect on the
date of the enactment of this Act.
SEC. 588. PROHIBITION ON USE OF ASSISTANCE FOR EMPLOYMENT
RELOCATION ACTIVITIES.
Section 105 of the Housing and Community Development Act
of 1974 (42 U.S.C. 5305) is amended by adding at the end the
following new subsection:
‘‘(h) PROHIBITION
ON USE
OF ASSISTANCE
FOR EMPLOYMENT
RELOCATION ACTIVITIES.—Notwithstanding any other provision of
law, no amount from a grant under section 106 made in fiscal
year 1999 or any succeeding fiscal year may be used to assist
directly in the relocation of any industrial or commercial plant,
facility, or operation, from 1 area to another area, if the relocation
is likely to result in a significant loss of employment in the labor
market area from which the relocation occurs.’’.
SEC. 589. TREATMENT OF OCCUPANCY STANDARDS.
(a) ESTABLISHMENT OF POLICY.—Not later than 60 days after
the date of the enactment of this Act, the Secretary of Housing
and Urban Development shall publish a notice in the Federal Reg-
ister for effect that takes effect upon publication and provides
that the specific and unmodified standards provided in the March
20, 1991, Memorandum from the General Counsel of the Depart-
ment of Housing and Urban Development to all Regional Counsel
shall be the policy of the Department of Housing and Urban
Development with respect to complaints of discrimination under
the Fair Housing Act (42 U.S.C. 3601 et seq.) on the basis of
familial status which involve an occupancy standard established
by a housing provider.
(b) PROHIBITION
OF NATIONAL STANDARD.—The Secretary of
Housing and Urban Development shall not directly or indirectly
establish a national occupancy standard.
SEC. 590. INCOME ELIGIBILITY FOR HOME AND CDBG PROGRAMS.
(a) IN GENERAL.—The Secretary of Housing and Urban Develop-
ment shall, for not less than 10 jurisdictions that are metropolitan
cities or urban counties for purposes of title I of the Housing
and Community Development Act of 1974, grant exceptions not
later than 90 days after the date of the enactment of this Act
for such jurisdictions that provide that—
H. R. 4194—192
(1) for purposes of the HOME investment partnerships
program under title II of the Cranston-Gonzalez National
Affordable Housing Act, the limitation based on percentage
of median income that is applicable under section 104(10),
214(1)(A), or 215(a)(1)(A) for any area of the jurisdiction shall
be the numerical percentage that is specified in such section;
and
(2) for purposes of the community development block grant
program under title I of the Housing and Community Develop-
ment Act of 1974, the limitation based on percentage of median
income that is applicable pursuant to section 102(a)(20) for
any area within the State or unit of general local government
shall be the numerical percentage that is specified in subpara-
graph (A) of such section.
(b) EFFECTIVE DATE.—This section shall take effect on the
date of the enactment of this Act.
SEC 591. REPORT ON SINGLE FAMILY AND MULTIFAMILY HOMES.
(a) IN GENERAL.—Not later than 12 months after the date
of the enactment of this Act, the Inspector General of the Depart-
ment of Housing and Urban Development shall submit to the Con-
gress a report, which shall include information relating to—
(1) with respect to 1- to 4-family dwellings owned by the
Department of Housing and Urban Development, on a monthly
average basis—
(A) the total number of units in those dwellings;
(B) the number and percentage of units in those dwell-
ings that are unoccupied, and their average period of
vacancy, and the number and percentage of units in those
dwellings that have been unoccupied for more than 1 year,
as of that date; and
(C) the number and percentage of units in those
projects that are determined by the Inspector General to
be substandard, based on any—
(i) lack of hot or cold piped water;
(ii) lack of working toilets;
(iii) regular and prolonged breakdowns in heating;
(iv) dangerous electrical problems;
(v) unsafe hallways or stairways;
(vi) leaking roofs, windows, or pipes;
(vii) open holes in walls and ceilings; and
(viii) indications of rodent infestation; and
(2) with respect to multifamily housing projects (as that
term is defined in section 203 of the Housing and Community
Development Amendments of 1978) owned by the Department
of Housing and Urban Development on a monthly average
basis—
(A) the total number of units in those projects;
(B) the number and percentage of units in those
projects that are unoccupied, and their average period of
vacancy, and the number and percentage of units in those
projects that have been unoccupied for more than 1 year,
as of that date; and
(C) the number and percentage of units in those
projects that are determined by the Inspector General to
be substandard, based on any—
(i) lack of hot or cold piped water;
H. R. 4194—193
(ii) lack of working toilets;
(iii) regular and prolonged breakdowns in heating;
(iv) dangerous electrical problems;
(v) unsafe hallways or stairways;
(vi) leaking roofs, windows, or pipes;
(vii) open holes in walls and ceilings; and
(viii) indications of rodent infestation; and
(3) the Department’s plans and operations to address
vacancies and substandard physical conditions described in
paragraphs (1) and (2).
(b) EFFECTIVE DATE.—This section shall take effect on the
date of the enactment of this Act.
SEC. 592. USE OF ASSISTED HOUSING BY ALIENS.
(a) IN GENERAL.—Section 214 of the Housing and Community
Development Act of 1980 (42 U.S.C. 1436a) is amended—
(1) in subsection (b)(2), by striking ‘‘Secretary of Housing
and Urban Development’’ and inserting ‘‘applicable Secretary’’;
(2) in subsection (c)(1)(B), by moving clauses (ii) and (iii)
2 ems to the left;
(3) in subsection (d)—
(A) in paragraph (1)(A)—
(i) by striking ‘‘Secretary of Housing and Urban
Development’’ and inserting ‘‘applicable Secretary’’; and
(ii) by striking ‘‘the Secretary’’ and inserting ‘‘the
applicable Secretary’’;
(B) in paragraph (2), in the matter following subpara-
graph (B)—
(i) by inserting ‘‘applicable’’ before ‘‘Secretary’’; and
(ii) by moving such matter (as so amended by
clause (i)) 2 ems to the right;
(C) in paragraph (4)(B)(ii), by inserting ‘‘applicable’’
before ‘‘Secretary’’;
(D) in paragraph (5), by striking ‘‘the Secretary’’ and
inserting ‘‘the applicable Secretary’’; and
(E) in paragraph (6), by inserting ‘‘applicable’’ before
‘‘Secretary’’;
(4) in subsection (h) (as added by section 576 of the Illegal
Immigration Reform and Immigrant Responsibility Act of 1996
(division C of Public Law 104–208))—
(A) in paragraph (1)—
(i) by striking ‘‘Except in the case of an election
under paragraph (2)(A), no’’ and inserting ‘‘No’’;
(ii) by striking ‘‘this section’’ and inserting ‘‘sub-
section (d)’’; and
(iii) by inserting ‘‘applicable’’ before ‘‘Secretary’’;
and
(B) in paragraph (2)—
(i) by striking subparagraph (A) and inserting the
following new subparagraph:
‘‘(A) may, notwithstanding paragraph (1) of this sub-
section, elect not to affirmatively establish and verify eligi-
bility before providing financial assistance’’; and
(ii) in subparagraph (B), by striking ‘‘in complying
with this section’’ and inserting ‘‘in carrying out sub-
section (d)’’; and
H. R. 4194—194
(5) by redesignating subsection (h) (as amended by para-
graph (4)) as subsection (i).
(b) EFFECTIVE DATE.—The amendments made by this section
are made on, and shall apply beginning upon, the date of the
enactment of this Act.
SEC. 593. PROTECTION OF SENIOR HOMEOWNERS UNDER REVERSE
MORTGAGE PROGRAM.
(a) MORTGAGE INSURANCE AUTHORITY.—Section 255(g) of the
National Housing Act (12 U.S.C. 1715z–20(g)) is amended by strik-
ing the first 2 sentences and inserting the following new sentence:
‘‘The aggregate number of mortgages insured under this section
may not exceed 150,000.’’.
(b) OTHER APPROACHES
TO CONSUMER EDUCATION.—Section
255(f ) of the National Housing Act (12 U.S.C. 1715z–20(f )) is
amended by adding after paragraph (5) the following:
‘‘The Secretary shall consult with consumer groups, industry rep-
resentatives, representatives of counseling organizations, and other
interested parties to identify alternative approaches to providing
consumer information required by this subsection that may be
feasible and desirable for home equity conversion mortgages insured
under this section and other types of reverse mortgages. The Sec-
retary may, in lieu of providing the consumer education required
by this subsection, adopt alternative approaches to consumer edu-
cation that may be developed as a result of such consultations,
but only if the alternative approaches provide all of the information
specified in this subsection.’’.
(c) FUNDING FOR COUNSELING AND CONSUMER EDUCATION AND
OUTREACH.—Section 255 of the National Housing Act (12 U.S.C.
1715z–20) is amended by adding at the end the following new
subsection:
‘‘(l) FUNDING FOR COUNSELING AND CONSUMER EDUCATION AND
OUTREACH.—Of any amounts made available for any of fiscal years
2000 through 2003 for housing counseling under section 106 of
the Housing and Urban Development Act of 1968, up to a total
of $1,000,000 shall be available to the Secretary in each such
fiscal year, in such amounts as the Secretary determines appro-
priate, for the following purposes in connection with home equity
conversion mortgages insured under this section:
‘‘(1) COUNSELING.—For housing counseling authorized by
section 106 of the Housing and Urban Development Act of
1968.
‘‘(2) CONSUMER EDUCATION.—For transfer to the depart-
mental salaries and expenses account for consumer education
and outreach activities.’’.
(d) CONFORMING AMENDMENTS.—Section 255 of the National
Housing Act (12 U.S.C. 1715z–20) is amended—
(1) in the section heading, by striking ‘‘DEMONSTRATION
PROGRAM OF’’;
(2) in subsections (a) and (i)(1), by striking ‘‘demonstration’’
each place it appears;
(3) in subsection (a)—
(A) in paragraph (1), by inserting ‘‘and’’ after the semi-
colon at the end;
(B) in paragraph (2), by striking ‘‘; and’’ at the end
and inserting a period; and
(C) by striking paragraph (3);
H. R. 4194—195
(4) by striking subsection (k) (relating to reports to Con-
gress); and
(5) by redesignating subsection (l) (as added by subsection
(c) of this section) as subsection (k).
(e) DISCLOSURE REQUIREMENTS AND PROHIBITION OF FUNDING
OF UNNECESSARY OR EXCESSIVE COSTS.—
(1) IN GENERAL.—Section 255(d) of the National Housing
Act (12 U.S.C. 1715z–20(d)) is amended—
(A) in paragraph (2)—
(i) in subparagraph (B), by striking ‘‘and’’ at the
end;
(ii) by redesignating subparagraph (C) as subpara-
graph (D); and
(iii) by inserting after subparagraph (B) the follow-
ing:
‘‘(C) has received full disclosure, as prescribed by the
Secretary, of all costs charged to the mortgagor, including
costs of estate planning, financial advice, and other services
that are related to the mortgage but are not required
to obtain the mortgage, which disclosure shall clearly state
which charges are required to obtain the mortgage and
which are not required to obtain the mortgage; and’’
(B) in paragraph (9)(F), by striking ‘‘and’’;
(C) in paragraph (10), by striking the period at the
end and inserting ‘‘; and’’; and
(D) by adding at the end the following:
‘‘(11) have been made with such restrictions as the Sec-
retary determines to be appropriate to ensure that the mortga-
gor does not fund any unnecessary or excessive costs for obtain-
ing the mortgage, including any costs of estate planning, finan-
cial advice, or other related services.’’.
(2) IMPLEMENTATION.—
(A) NOTICE.—The Secretary of Housing and Urban
Development shall, by interim notice, implement the
amendments made by paragraph (1) in an expeditious man-
ner, as determined by the Secretary. Such notice shall
not be effective after the date of the effectiveness of the
final regulations issued under subparagraph (B) of this
paragraph.
(B) REGULATIONS.—The Secretary shall, not later than
the expiration of the 90-day period beginning on the date
of the enactment of this Act, issue final regulations to
implement the amendments made by paragraph (1). Such
regulations shall be issued only after notice and opportunity
for public comment pursuant to the provisions of section
553 of title 5, United States Code (notwithstanding sub-
sections (a)(2) and (b)(3)(B) of such section).
(f ) EFFECTIVE DATE.—This section shall take effect on, and
the amendments made by this section are made on, and shall
apply beginning upon, the date of the enactment of this Act.
SEC. 594. HOUSING COUNSELING.
(a) EXTENSION OF EMERGENCY HOMEOWNERSHIP COUNSELING.—
Section 106(c)(9) of the Housing and Urban Development Act of
1968 (12 U.S.C. 1701x(c)(9)) is amended by striking ‘‘September
30, 1994’’ and inserting ‘‘September 30, 2000’’.
H. R. 4194—196
(b) NOTIFICATION
OF
DELINQUENCY
ON
VETERANS
HOME
LOANS.—
Subparagraph (C) of section 106(c)(5) of the Housing and Urban
Development Act of 1968 is amended to read as follows:
‘‘(C) NOTIFICATION.—Notification under subparagraph
(A) shall not be required with respect to any loan for
which the eligible homeowner pays the amount overdue
before the expiration of the 45-day period under subpara-
graph (B)(ii).’’.
(c) EFFECTIVE DATE.—The amendments made by this section
are made on, and shall apply beginning upon, the date of the
enactment of this Act.
SEC. 595. NATIVE AMERICAN HOUSING ASSISTANCE.
(a) SUBSIDY LAYERING CERTIFICATION.—Section 206 of the
Native American Housing Assistance and Self-Determination Act
of 1996 (25 U.S.C. 4136) is amended—
(1) by striking ‘‘certification by the Secretary’’ and inserting
‘‘certification by a recipient to the Secretary’’; and
(2) by striking ‘‘any housing project’’ and inserting ‘‘the
housing project involved’’.
(b) INCLUSION OF HOMEBUYER SELECTION POLICIES AND CRI-
TERIA.—Section 207(b) of the Native American Housing Assistance
and Self-Determination Act of 1996 (25 U.S.C. 4137(b)) is amend-
ed—
(1) by striking ‘‘TENANT SELECTION.—’’ and inserting ‘‘TEN-
ANT AND HOMEBUYER SELECTION.—’’;
(2) in the matter preceding paragraph (1), by inserting
‘‘and homebuyer’’ after ‘‘tenant’’; and
(3) in paragraph (3)(A), by inserting ‘‘and homebuyers’’
after ‘‘tenants’’.
(c) REPAYMENT OF GRANT AMOUNTS FOR VIOLATION OF AFFORD-
ABLE HOUSING REQUIREMENT.—Section 209 of the Native American
Housing Assistance and Self-Determination Act of 1996 (25 U.S.C.
4139) is amended by striking ‘‘section 205(2)’’ and inserting ‘‘section
205(a)(2)’’.
(d) AMENDMENT TO UNITED STATES HOUSING ACT OF 1937.—
Section 7 of the United States Housing Act of 1937 (42 U.S.C.
1437e) is amended by striking subsection (h).
(e) MISCELLANEOUS.—
(1) DEFINITION
OF
INDIAN
AREAS.—Section 4(10) of the
Native American Housing Assistance and Self-Determination
Act of 1996 (25 U.S.C. 4103(10)) is amended to read as follows:
‘‘(10) INDIAN AREA.—The term ‘Indian area’ means the area
within which an Indian tribe or a tribally designated housing
entity, as authorized by 1 or more Indian tribes, provides
assistance under this Act for affordable housing.’’.
‘‘(2) CROSS-REFERENCE.—Section 4(12)(C)(i)(II) of the Native
American Housing Assistance and Self-Determination Act of
1996 (25 U.S.C. 4103(12)(C)(i)(II)) is amended by striking ‘‘sec-
tion 107’’ and inserting ‘‘section 705’’.
(3) LOCAL
COOPERATION
AGREEMENTS.—Section 101(c) of
the Native American Housing Assistance and Self-Determina-
tion Act of 1996 (25 U.S.C. 4111(c)) is amended to read as
follows:
‘‘(c) LOCAL COOPERATION AGREEMENT.—Notwithstanding any
other provision of this Act, grant amounts provided under this
H. R. 4194—197
Act on behalf of an Indian tribe may not be used for rental or
lease-purchase homeownership units that are owned by the recipi-
ent for the tribe unless the governing body of the locality within
which the property subject to the development activities to be
assisted with the grant amounts is or will be situated has entered
into an agreement with the recipient for the tribe providing for
local cooperation required by the Secretary pursuant to this Act.’’.
(4) EXEMPTION
FROM
TAXATION.—Section 101(d) of the
Native American Housing Assistance and Self-Determination
Act of 1996 (25 U.S.C. 4111(d)) is amended—
‘‘(A) by striking the subsection designation and sub-
section heading and all that follows through the end of
paragraph (1) and inserting the following:
‘‘(d) EXEMPTION FROM TAXATION.—Notwithstanding any other
provision of this Act, grant amounts provided under this Act on
behalf of an Indian tribe may not be used for affordable housing
activities under this Act for rental or lease-purchase dwelling units
developed under the United States Housing Act of 1937 (42 U.S.C.
1437 et seq.) or with amounts provided under this Act that are
owned by the recipient for the tribe unless—
‘‘(1) such dwelling units (which, in the case of units in
a multi-unit project, shall be exclusive of any portions of the
project not developed under the United States Housing Act
of 1937 or with amounts provided under this Act) are exempt
from all real and personal property taxes levied or imposed
by any State, tribe, city, county, or other political subdivision;
and’’; and
(B) in paragraph (2), in the matter preceding subpara-
graph (A), by inserting ‘‘for the tribe’’ after ‘‘the recipient’’.
(5) SUBMISSION OF INDIAN HOUSING PLAN.—Section 102(a)
of the Native American Housing Assistance and Self-Deter-
mination Act of 1996 (25 U.S.C. 4112(a)) is amended—
(A) in paragraph (1), by inserting ‘‘(A)’’ after ‘‘(1)’’;
(B) in paragraph (1)(A), as so designated by subpara-
graph (A) of this paragraph, by adding ‘‘or’’ at the end;
(C) by striking ‘‘(2)’’ and inserting ‘‘(B)’’; and
(D) by striking ‘‘(3)’’ and inserting ‘‘(2)’’.
(6) CLARIFICATION.—Section 103(c)(3) of the Native Amer-
ican Housing Assistance and Self-Determination Act of 1996
(25 U.S.C. 4113(c)(3)) is amended by inserting ‘‘not’’ before
‘‘prohibited’’.
(7) APPLICABILITY OF PROVISIONS OF CIVIL RIGHTS.—Section
201(b)(5) of the Native American Housing Assistance and Self-
Determination Act of 1996 (25 U.S.C. 4131(b)(5)) is amended—
(A) by striking ‘‘Indian tribes’’ and inserting ‘‘federally
recognized tribes and the tribally designated housing enti-
ties of those tribes’’; and
(B) by striking ‘‘under this subsection’’ and inserting
‘‘under this Act’’.
(8) ELIGIBILITY.—Section 205(a)(1) of the Native American
Housing Assistance and Self-Determination Act of 1996 (25
U.S.C. 4135(a)(1)) is amended—
(A) in subparagraph (A), by striking ‘‘and’’ at the end;
and
(B) by striking subparagraph (B) and inserting the
following:
H. R. 4194—198
‘‘(B) in the case of a contract to purchase existing
housing, is made available for purchase only by a family
that is a low-income family at the time of purchase;
‘‘(C) in the case of a lease-purchase agreement for
existing housing or for housing to be constructed, is made
available for lease-purchase only by a family that is a
low-income family at the time the agreement is entered
into; and
‘‘(D) in the case of a contract to purchase housing
to be constructed, is made available for purchase only
by a family that is a low-income family at the time the
contract is entered into; and’’.
(9) TENANT SELECTION.—Section 207(b)(3)(B) of the Native
American Housing Assistance and Self-Determination Act of
1996 (25 U.S.C. 4137(b)(3)(B)) is amended by striking ‘‘of any
rejected applicant of the grounds for any rejection’’ and insert-
ing ‘‘to any rejected applicant of that rejection and the grounds
for that rejection’’.
(10) AVAILABILITY OF RECORDS.—Section 208 of the Native
American Housing Assistance and Self-Determination Act of
1996 (25 U.S.C. 4138) is amended—
(A) in subsection (a), by striking ‘‘paragraph (2)’’ and
inserting ‘‘subsection (b)’’; and
(B) in subsection (b), by striking ‘‘paragraph (1)’’ and
inserting ‘‘subsection (a)’’.
(11) IHP REQUIREMENT.—Section 184(b)(2) of the Housing
and Community Development Act of 1992 (12 U.S.C. 1715z–
13a(b)(2)) is amended by striking ‘‘that is under the jurisdiction
of an Indian tribe’’ and all that follows before the period at
the end.
(12) 
AUTHORIZATION
OF
APPROPRIATIONS.—Section
184(i)(5)(C) of the Housing and Community Development Act
of 1992 (12 U.S.C. 1715z–13a(i)(5)(C)) is amended by striking
‘‘note’’ and inserting ‘‘not’’.
(13) ENVIRONMENTAL REVIEW UNDER THE INDIAN HOUSING
LOAN GUARANTEE PROGRAM.—Section 184 of the Housing and
Community Development Act of 1992 (12 U.S.C. 1715z–13a)
is amended—
(A) by redesignating subsection (k) as subsection (l);
and
(B) by inserting after subsection ( j) the following:
‘‘(k) ENVIRONMENTAL REVIEW.—For purposes of environmental,
review, decisionmaking, and action under the National Environ-
mental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and any other
law that furthers the purposes of that Act, a loan guarantee under
this section shall—
‘‘(1) be treated as a grant under the Native American
Housing Assistance and Self-Determination Act of 1996 (25
U.S.C. 4101 et seq.); and
‘‘(2) be subject to the regulations promulgated by the Sec-
retary to carry out section 105 of the Native American Housing
Assistance and Self-Determination Act of 1996 (25 U.S.C.
4115).’’.
(14) PUBLIC AVAILABILITY OF INFORMATION.—
(A) IN
GENERAL.—Title IV of the Native American
Housing Assistance and Self-Determination Act of 1996
H. R. 4194—199
(25 U.S.C. 4161 et seq.) is amended by adding at the
end the following:
‘‘SEC. 408. PUBLIC AVAILABILITY OF INFORMATION.
‘‘Each recipient shall make any housing plan, policy, or annual
report prepared by the recipient available to the general public.’’.
(B) TABLE OF CONTENTS.—Section 1(b) of the Native
American Housing Assistance and Self-Determination Act
of 1996 (25 U.S.C. 4101 note) is amended in the table
of contents by inserting after the item relating to section
407 the following:
‘‘Sec. 408. Public availability of information.’’.
(15) INELIGIBILITY OF INDIAN TRIBES.—Section 460 of the
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C.
12899h–1) is amended by striking ‘‘fiscal year 1997’’ and insert-
ing ‘‘fiscal year 1998’’.
(16) TREATMENT OF PREVIOUS AMENDMENTS.—Section 402
of The Balanced Budget Downpayment Act, I (42 U.S.C. 1437a
note) is amended by striking subsection (e).
(f ) EFFECTIVE DATE.—The amendments made by this section
are made and shall apply beginning upon the date of the enactment
of this Act.
SEC. 596. CDBG PUBLIC SERVICES CAP.
(a) IN GENERAL.—Section 105(a)(8) of the Housing and Commu-
nity Development Act of 1974 (42 U.S.C. 5305(a)(8)) is amended
by striking ‘‘1998’’ and inserting ‘‘2000’’.
(b) EFFECTIVE DATE.—The amendment made by this section
is made on, and shall apply beginning upon, the date of the enact-
ment of this Act.
SEC. 597. MODERATE REHABILITATION PROGRAM.
(a) REPROGRAMMING.—Notwithstanding any other provision of
law, but only to the extent specifically provided in advance in
a subsequent appropriations Act, the Secretary of Housing and
Urban Development shall reprogram funds under contracts
NY36K113004 and NY36K113005 of the Department of Housing
and Urban Development and shall allocate such funds to the City
of New Rochelle, New York. Such allocation shall be consistent
with the requirements of the HOME Investment Partnerships Act.
This section shall take effect on the date of the enactment of
this Act.
(b) EXCEPTION PROJECTS.—Section 524(a)(2) of the Multifamily
Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C.
1437f note) is amended—
(1) by inserting ‘‘and subject to section 516 of this subtitle’’
after ‘‘Notwithstanding paragraph (1)’’; and
(2) by striking ‘‘the base rent adjusted by an operating
cost adjustment factor established by the Secretary’’ and insert-
ing ‘‘the lesser of existing rents, adjusted by an operating
cost adjustment factor established by the Secretary, fair market
rents (less any amounts allowed for tenant-purchased utilities),
or comparable market rents for the market area’’.
(c) EFFECTIVE DATE.—This section shall take effect on, and
the amendments made by this section are made on, and shall
apply beginning upon, the date of the enactment of this Act.
H. R. 4194—200
SEC. 598. NATIONAL CITIES IN SCHOOLS PROGRAM.
From amounts that are or have been recaptured in the Annual
Contributions for Assisted Housing account, before any rescissions
of such amounts, $5,000,000, shall be transferred to the National
Cities in Schools Community Development Program account, to
remain available until expended, that the Secretary of Housing
and Urban Development shall make available to carry out the
National Cities in Schools Community Development Program under
section 930 of the Housing and Community Development Act of
1992 (Public Law 102–550, 106 Stat. 3672, 3887). This section
shall take effect on the date of the enactment of this Act.
SEC. 
599. 
TENANT 
PARTICIPATION 
IN 
MULTIFAMILY 
HOUSING
PROJECTS.
(a) IN GENERAL.—The last sentence of subsection (a) of section
202 of the Housing and Community Development Amendments
of 1978 (12 U.S.C. 1715z–1b(a)) is amended by inserting before
the period at the end the following: ‘‘, or a project which receives
project-based assistance under section 8 of the United States Hous-
ing Act of 1937 (42 U.S.C. 1437f) or enhanced vouchers under
the Low-Income Housing Preservation and Resident Homeowner-
ship Act of 1990, the provisions of the Emergency Low Income
Housing Preservation Act of 1987, or the Multifamily Assisted
Housing Reform and Affordability Act of 1997’’.
(b) APPLICABILITY.—The amendment made by this section is
made on, and shall apply beginning upon, the date of the enactment
of this Act.
SEC. 599A. CLARIFICATION REGARDING RECREATIONAL VEHICLES.
(a) IN GENERAL.—Section 603(6) of the Manufactured Housing
Construction and Safety Standards Act of 1974 (42 U.S.C. 5402(6))
is amended by inserting before the semicolon at the end the follow-
ing: ‘‘; and except that such term shall not include any self-propelled
recreational vehicle’’.
(b) APPLICABILITY.—The amendment made by this section is
made on, and shall apply beginning upon, the date of the enactment
of this Act.
SEC. 599B. DETERMINATION OF LOW-INCOME ELIGIBILITY FOR
HOMEOWNERSHIP ASSISTANCE.
(a) INCOME
TARGETING.—Section 214(2) of the Cranston-
Gonzalez National Affordable Housing Act is amended by striking
‘‘at the time of occupancy or at the time funds are invested, which-
ever is later’’.
(b) QUALIFICATION AS AFFORDABLE HOUSING.—Section 215(b)(2)
of such Act is amended to read as follows:
‘‘(2) is the principal residence of an owner whose family
qualifies as a low-income family—
‘‘(A) in the case of a contract to purchase existing
housing, at the time of purchase;
‘‘(B) in the case of a lease-purchase agreement for
existing housing or for housing to be constructed, at the
time the agreement is signed; or
‘‘(C) in the case of a contract to purchase housing
to be constructed, at the time the contract is signed;’’.
(c) APPLICABILITY.—The amendments made by this section are
made on, and shall apply beginning upon, the date of the enactment
of this Act.
H. R. 4194—201
SEC. 599C. AMENDMENTS TO RURAL HOUSING PROGRAMS.
(a) PERMANENT
EXTENSION
OF
UNDERSERVED
AREAS
PRO-
GRAM.—Section 509(f )(4)(A) of the Housing Act of 1949 (42 U.S.C.
1479(f )(4)(A)) is amended—
(1) in the first sentence, by striking ‘‘fiscal year 1998’’
and inserting ‘‘each fiscal year’’; and
(2) in the second sentence, by striking ‘‘such fiscal year’’
and inserting ‘‘each fiscal year’’.
(b) PERMANENT EXTENSION OF SECTION 515 PROGRAM.—
(1) AUTHORITY
TO
MAKE
LOANS.—Section 515(b) of the
Housing Act of 1949 (42 U.S.C. 1485(b)(4)) is amended—
(A) by striking paragraph (4); and
(B) by redesignating paragraphs (5), (6), and (7) as
paragraphs (4), (5), and (6), respectively.
(2) SET-ASIDE FOR NONPROFIT ENTITIES.—The first sentence
of section 515(w)(1) of the Housing Act of 1949 (42 U.S.C.
1485(w)(1)) is amended by striking ‘‘fiscal year 1998’’ and insert-
ing ‘‘each fiscal year’’.
(c) LOAN GUARANTEE PROGRAM
FOR MULTIFAMILY RENTAL
HOUSING
IN RURAL AREAS.—Section 538 of the Housing Act of
1949 (42 U.S.C. 1490p–2) is amended—
(1) in subsection (t), by striking ‘‘fiscal year 1998’’ and
inserting ‘‘each fiscal year’’; and
(2) by striking subsection (u) and inserting the following
new subsection:
‘‘(u) TAX-EXEMPT FINANCING.—The Secretary may not deny a
guarantee under this section on the basis that the interest on
the loan or on an obligation supporting the loan for which a guaran-
tee is sought is exempt from inclusion in gross income for purposes
of chapter I of the Internal Revenue Code of 1986.’’.
(d) FARM LABOR HOUSING ELIGIBILITY FOR LOW-INCOME HOUS-
ING TAX CREDIT FINANCING.—The first sentence of section 514(a)
of the Housing Act of 1949 (42 U.S.C. 1484(a)) is amended by
inserting ‘‘, or any nonprofit limited partnership in which the gen-
eral partner is a nonprofit entity,’’ after ‘‘private nonprofit organiza-
tion’’.
(e) OPTIONAL CONVERSION OF RENTAL ASSISTANCE PAYMENTS
TO OPERATING SUBSIDY FOR MIGRANT FARMWORKER PROJECTS.—
(1) IN
GENERAL.—Section 521(a) of the Housing Act of
1949 (42 U.S.C. 1490(a)) is amended by adding at the end
the following new paragraph:
‘‘(5) 
OPERATING
ASSISTANCE
FOR
MIGRANT
FARMWORKER
PROJECTS.—
‘‘(A) AUTHORITY.—In the case of housing (and related facili-
ties) for migrant farmworkers provided or assisted with a loan
under section 514 or a grant under section 516, the Secretary
may, at the request of the owner of the project, use amounts
provided for rental assistance payments under paragraph (2)
to provide assistance for the costs of operating the project.
Any project assisted under this paragraph may not receive
rental assistance under paragraph (2).
‘‘(B) AMOUNT.—In any fiscal year, the assistance provided
under this paragraph for any project shall not exceed an amount
equal to 90 percent of the operating costs for the project for
the year, as determined by the Secretary. The amount of assist-
ance to be provided for a project under this paragraph shall
be an amount that makes units in the project available to
H. R. 4194—202
migrant farmworkers in the area of the project at rates not
exceeding 30 percent of the monthly adjusted incomes of such
farmworkers, based on the prevailing incomes of such farm-
workers in the area.
‘‘(C) SUBMISSION OF INFORMATION.—The owner of a project
assisted under this paragraph shall be required to provide
to the Secretary, at least annually, a budget of operating
expenses and estimated rental income, which the Secretary
may use to determine the amount of assistance for the project.
‘‘(D) DEFINITIONS.—For purposes of this paragraph, the
following definitions shall apply:
‘‘(i) The term ‘migrant farmworker’ has the same mean-
ing given such term in section 516(k)(7).
‘‘(ii) The term ‘operating cost’ means expenses incurred
in operating a project, including expenses for—
‘‘(I) administration, maintenance, repair, and secu-
rity of the project;
‘‘(II) utilities, fuel, furnishings, and equipment for
the project; and
‘‘(III) maintaining adequate reserve funds for the
project.’’.
(2) CONFORMING
AMENDMENTS.—Title V of the Housing
Act of 1949 (42 U.S.C. 1471 et seq.) is amended—
(A) in section 502—
(i) in subsection (c)(1)(A)(i), by striking ‘‘or (a)(2)’’
and inserting ‘‘, (a)(2), or (5)’’;
(ii) in subsection (c)(4)(B)(ii), by inserting before
the period at the end the following: ‘‘, or additional
assistance or an increase in assistance provided under
section 521(a)(5)’’;
(iii) in subsection (c)(4)(B)(iii), by ‘‘or 521(a)(5)’’
after ‘‘section 521(a)(2)’’;
(iv) in subsection (c)(4)(B)(v), by inserting before
the period at the end the following: ‘‘, or current ten-
ants of projects not assisted under section 521(a)(5)’’;
(v) in subsection (c)(5)(C)(iii)—
(I) by striking the second comma; and
(II) by inserting ‘‘or any assistance payments
received under section 521(a)(5),’’ before ‘‘with
respect’’; and
(vi) in subsection (c)(5)(D), by inserting before the
period at the end the following: ‘‘or, in the case of
housing assisted under section 521(a)(5), does not
exceed the rents established for the project under such
section’’;
(B) in the second sentence of subparagraph (A) of sec-
tion 509(f )(4), by striking ‘‘an amount of section 521 rental
assistance’’ and inserting ‘‘from amounts available for
assistance under paragraphs (2) and (5) of section 521(a),
an amount’’;
(C) in section 513(c)(2)—
(i) in the matter preceding subparagraph (A), by
inserting ‘‘or contracts for operating assistance under
section 521(a)(5)’’ after ‘‘section 521(a)(2)(A)’’;
(ii) in subparagraph (A), by inserting ‘‘or operating
assistance contracts’’ after ‘‘contracts’’;
H. R. 4194—203
(iii) in subparagraph (B), by striking ‘‘rental’’ each
place it appears; and
(iv) in subparagraph (C), by inserting ‘‘or operating
assistance contracts’’ after ‘‘contracts’’;
(D) in section 521(a)(2)(B)—
(i) by inserting ‘‘or paragraph (5)’’ after ‘‘this para-
graph’’; and
(ii) by striking ‘‘which shall’’ and all that follows
through the period at the end and inserting the follow-
ing: ‘‘. The budget (and the income, in the case of
a project assisted under this paragraph) shall be used
to determine the amount of the assistance for each
project.’’;
(E) in section 521(c), by striking ‘‘subsection (a)(2)’’
and inserting ‘‘subsections (a)(2) and (a)(5)’’;
(F) in section 521(e), by inserting after ‘‘recipient’’ the
following: ‘‘or any tenant in a project assisted under sub-
section (a)(5)’’; and
(G) in section 530, by striking ‘‘rental assistance pay-
ments with respect to such project under section
521(a)(2)(A)’’ and inserting ‘‘assistance payments with
respect to such project under section 521(a)(2)(A) or
521(a)(5)’’.
(f ) RURAL HOUSING GUARANTEED LOANS.—Section 502(h)(6)(C)
of the Housing Act of 1949 (42 U.S.C. 1472(h)(6)(C)) is amended
by striking ‘‘, subject to the maximum dollar amount limitation
of section 203(b)(2) of the National Housing Act’’ each place it
appears.
(g) APPLICABILITY.—The amendments made by this section are
made on, and shall apply beginning upon, the date of the enactment
of this Act.
SEC. 599D. REAUTHORIZATION OF NATIONAL FLOOD INSURANCE PRO-
GRAM.
(a) PROGRAM EXPIRATION.—Section 1319 of the National Flood
Insurance Act of 1968 (42 U.S.C. 4026) is amended by striking
‘‘September 30, 1998’’ and inserting ‘‘September 30, 2001’’.
(b) 
EMERGENCY
IMPLEMENTATION
OF
PROGRAM.—Section
1336(a) of the National Flood Insurance Act of 1968 (42 U.S.C.
4056(a)) is amended by striking ‘‘September 30, 1998’’ and inserting
‘‘September 30, 2001’’.
(c) APPLICABILITY.—The amendments made by this section are
made on, and shall apply beginning upon, the date of the enactment
of this Act.
SEC. 599E. ASSISTANCE FOR SELF-HELP HOUSING PROVIDERS
(a) NATIONAL COMPETITIVE GRANTS.—Section 11 of the Housing
Opportunity Program Extension Act of 1996 (42 U.S.C. 12805 note)
is amended—
(1) in subsection (a), by striking ‘‘to—’’ and all that follows
and inserting the following: ‘‘to national and regional organiza-
tions and consortia that have experience in providing or facili-
tating self-help housing homeownership opportunities.’’;
(2) in subsection (b)—
(A) in paragraph (4), by striking ‘‘Habitat for Human-
ity, its affiliates, and other’’; and
H. R. 4194—204
(B) in paragraph (5), by striking ‘‘similar to the
homeownership program carried out by Habitat for Human-
ity International,’’;
(3) by striking subsection (c) and inserting the following
new subsection:
‘‘(c) NATIONAL
COMPETITION.—The Secretary shall select
organizations and consortia referred to in subsection (a) to receive
grants through a national competitive process, which the Secretary
shall establish.’’;
(4) in subsection (e), by striking paragraph (2) and inserting
the following new paragraph:
‘‘(2) ASSISTANCE TO AFFILIATES.—Any organization or con-
sortia that receives a grant under this section may use amounts
in the fund established for such organization or consortia pursu-
ant to paragraph (1) for the purposes under subsection (d)
by providing assistance from the fund to local affiliates of
such organization or consoria.’’;
(5) in subsection (f )—
(A) in the subsection heading, by striking ‘‘TO OTHER
ORGANIZATIONS’’; and
(B) in the matter preceding paragraph (1), by striking
‘‘subsection (a)(2)’’ and inserting ‘‘subsection (a)’’;
(6) by striking subsection (g);
(7) in subsection (h)—
(A) by striking the first sentence; and
(B) in the second sentence, by striking ‘‘subsection
(a)(2)’’ and inserting ‘‘subsection (a)’’;
(8) in subsection (i)(5), by inserting ‘‘(or, in the case of
grant amounts from amounts made available for fiscal year
1996 to carry out this section, within 36 months)’’ before the
comma;
(9) in subsection ( j), by inserting ‘‘(or, in the case of grant
amounts from amounts made available for fiscal year 1996
to carry out this section, within 36 months)’’ before the second
comma;
(10) in subsection (k)(1), by striking ‘‘under subsection (a)(1)
or (a)(2)’’;
(11) by redesignating subsection (p) as subsection (q);
(12) by inserting after subsection (o) the following new
subsection:
‘‘(p) AUTHORIZATION
OF APPROPRIATIONS.—To carry out this
section, there are authorized to be appropriated for fiscal years
1999 and 2000 such sums as may be necessary.’’; and
(13) in the section heading, by striking ‘‘HABITAT
FOR
HUMANITY AND OTHER’’.
(b) SAVINGS PROVISIONS.—Notwithstanding the amendments
made by subsection (a), any grant under section 11 of the Housing
Opportunity Program Extension Act of 1996 (42 U.S.C. 12805 note)
from amounts appropriated in fiscal year 1998 or any prior fiscal
year shall be governed by the provisions of such section 11 as
in effect immediately before the enactment of this Act, except that
the amendments made by paragraphs (8) and (9) of subsection
(a) of this section shall apply to such grants.
(c) EFFECTIVE DATE.—This section shall take effect, and the
amendments made by this section are made on, and shall apply
beginning upon, the date of the enactment of this Act.
H. R. 4194—205
SEC. 599F. SPECIAL MORTGAGE INSURANCE ASSISTANCE.
(a) IN GENERAL.—Section 237 of the National Housing Act
(12 U.S.C. 1715z-2) is amended—
(1) in subsection (b), by inserting ‘‘not more than 26 percent
of the total principal obligation (including such initial service
charges, and such appraisal, inspection, and other fees as the
Secretary shall approve) of’’ before ‘‘any mortgage’’;
(2) in paragraph (c)(2) by striking ‘‘$18,000:’’ and all that
follows through the end of the paragraph and inserting
‘‘$70,000;’’;
(3) in paragraph (c)(3)—
(A) by inserting ‘‘, prior to and during the 12 months
immediately following the purchase of the property, from
a community development financial institution under sec-
tion 103(5) of the Community Development Banking and
Financial Institutions Act of 1994’’ after ‘‘budget, debt
management, and related counseling’’; and
(B) by striking ‘‘and’’ at the end;
(4) in paragraph (c)(4)—
(A) by striking ‘‘25’’ and inserting ‘‘36’’; and
(B) by striking the period and inserting ‘‘; and’’;
(5) in subsection (c), by adding at the end the following
new paragraphs:
‘‘(5) require the mortgagor to be subject, if necessary, to
a default mitigation effort undertaken by an intermediary
community development financial institution under section
103(5) of the Community Development Banking and Financial
Institutions Act of 1994, that is acting as a sponsor and pass-
through of insurance under section 203 and is approved by
the Secretary;
‘‘(6) involve a total principal obligation (including such
initial service charges, and such appraisal, inspection, and other
fees as the Secretary shall approve) that is not more than
90 percent of the value of the property for which the mortgage
is provided; and
‘‘(7) involve a total principal obligation (including such
initial service charges, and such appraisal, inspection, and other
fees as the Secretary shall approve) in which the mortgagor
has equity (as defined by the Secretary) of not less than 10
percent and such equity shall be subordinate to the interest
of the Secretary in the mortgaged property.’’;
(6) in subsection (d), by striking ‘‘and (2)’’ and inserting
‘‘(2) to families living in empowerment zones and enterprise
communities (as those terms are defined in section 1393(b)
of the Internal Revenue Code of 1986 (26 U.S.C. 1393(b)) who
are eligible for homeownership assistance, and (3)’’;
(7) in subsection (e), by striking ‘‘public or private organiza-
tions’’ and inserting ‘‘community development financial institu-
tions under section 103(5) of the Community Development
Banking and Financial Institutions Act of 1994’’;
(8) in subsection (f ), by striking ‘‘all mortgages’’ and insert-
ing ‘‘the portions of mortgages’’;
(9) by redesignating subsection (g) as subsection ( j); and
(10) by inserting after subsection (f ), the following new
subsections:
‘‘(g) Mortgages insured under this section shall be subject to
an insurance premium fee of not more than 1.25 percent of the
H. R. 4194—206
total mortgage principal obligation (including such initial service
charges, and such appraisal, inspection, and other fees as the Sec-
retary shall approve).
‘‘(h) Before insuring a mortgage under this section, the Sec-
retary shall enter into such contracts or other agreements as may
be necessary to ensure that the mortgagee or other holder of the
mortgage shall assume not less than 10 percent and not more
than 50 percent of any loss on the insured mortgage, subject to
any reasonable limit on the liability of the mortgagee or holder
of the mortgage that may be specified in the event of unusual
or catastrophic losses that may be incurred by any one mortgagee
or mortgage holder.
‘‘(i) No guarantees may be issued under section 306(g) for
the timely payment of interest or principal on securities backed,
in whole or in part, by mortgages insured under this section.’’.
(b) EFFECTIVE DATE.—The amendments under by this section
are made on, and shall apply beginning upon, the date of the
enactment of this Act.
SEC. 599G. REHABILITATION DEMONSTRATION GRANT PROGRAM.
(a) IN GENERAL.—The Secretary of Housing and Urban Develop-
ment shall, to the extent amounts are provided in appropriation
Acts to carry out this section, carry out a program to demonstrate
the effectiveness of making grants for rehabilitation of single family
housing located within 10 demonstration areas designated by the
Secretary. Of the areas designated by the Secretary under this
section—
(1) 6 shall be areas that have primarily urban characteris-
tics;
(2) 3 shall be areas that are outside of a metropolitan
statistical area; and
(3) 1 shall be an area that has primarily rural characteris-
tics.
In selecting areas, the Secretary shall provide for national
geographic and demographic diversity.
(b) GRANTEES.—Grants under the program under this section
may be made only to agencies of State and local governments
and non-profit organizations operating within the demonstration
areas.
(c) SELECTION CRITERIA.—In selecting among applications for
designation of demonstration areas and grants under this section,
the Secretary shall consider—
(1) the extent of single family residences located in the
proposed area that have rehabilitation needs;
(2) the ability and expertise of the applicant in carrying
out the purposes of the demonstration program, including the
availability of qualified housing counselors and contractors in
the proposed area willing and able to participate in rehabilita-
tion activities funded with grant amounts;
(3) the extent to which the designation of such area and
the grant award would promote affordable housing opportuni-
ties;
(4) the extent to which selection of the proposed area would
have a beneficial effect on the neighborhood or community
in the area and on surrounding areas;
(5) the extent to which the applicant has demonstrated
that grant amounts will be used to leverage additional public
H. R. 4194—207
or private funds to carry out the purposes of the demonstration
program;
(6) the extent to which lenders (including local lenders
and lenders outside the proposed area) are willing and able
to make loans for rehabilitation activities assisted with grant
funds; and
(7) the extent to which the application provides for the
involvement of local residents in the planning of rehabilitation
activities in the demonstration area.
(d) USE OF GRANT FUNDS.—Funds from grants made under
this section may be used by grantees—
(1) to subsidize interest on loans, over a period of not
more than 5 years from the origination date of the loan, made
after the date of the enactment of this Act for rehabilitation
of any owner-occupied 1- to 4-family residence, including the
payment of interest during any period in which a residence
is uninhabitable because of rehabilitation activities;
(2) to facilitate loans for rehabilitation of 1- to 4-family
properties previously subject to a mortgage insured under the
National Housing Act that has been foreclosed or for which
insurance benefits have been paid, including to establish revolv-
ing loan funds, loan loss reserves, and other financial struc-
tures; and
(3) to provide technical assistance in conjunction with the
rehabilitation of owner-occupied 1- to 4-family residences,
including counseling, selection contractors, monitoring of work,
approval of contractor payments, and final inspection of work.
(e) DEFINITION OF REHABILITATION.—For purposes of this sec-
tion, the term ‘‘rehabilitation’’ has the meaning given such term
in section 203(k)(2)(B) of the National Housing Act (12 U.S.C.
1709(k)(2)(B)).
(f ) AUTHORIZATION OF APPROPRIATIONS.—There is authorized
to be appropriated to the Secretary to carry out this section such
sums as may be necessary for each of fiscal years 1999 through
2003.
(g) EFFECTIVE DATE.—This section shall take effect on the
date of the enactment of this Act.
SEC. 599H. ASSISTANCE FOR CERTAIN LOCALITIES.
(a) USE OF HOME FUNDS FOR PUBLIC HOUSING MODERNIZA-
TION.—Notwithstanding section 212(d)(5) of the Cranston-Gonzalez
National Affordable Housing Act (42 U.S.C. 12742(d)(5)), amounts
made available to the City of Bismarck, North Dakota or the State
of North Dakota, under subtitle A of title II of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 12741 et
seq.) for fiscal year 1998, 1999, 2000, 2001, or 2002, may be used
to carry out activities authorized under section 14 of the United
States Housing Act of 1937 (42 U.S.C. 1437l) for the purpose of
modernizing the Crescent Manor public housing project located
at 107 East Bowen Avenue, in Bismarck, North Dakota, if—
(1) the Burleigh County Housing Authority (or any succes-
sor public housing agency that owns or operates the Crescent
Manor public housing project) has obligated all other Federal
assistance made available to that public housing agency for
that fiscal year; or
H. R. 4194—208
(2) the Secretary of Housing and Urban Development
authorizes the use of those amounts for the purpose of mod-
ernizing that public housing project, which authorization may
be made with respect to 1 or more of those fiscal years.
(b) CONSULTATION WITH AFFECTED AREAS IN SETTLEMENT OF
LITIGATION.—In negotiating any settlement of, or consent decree
for, significant litigation regarding public housing or section 8 ten-
ant-based assistance that involves the Secretary and any public
housing agency or any unit of general local government, the Sec-
retary shall seek the views of any units of general local government
and public housing agencies having jurisdictions that are adjacent
to the jurisdiction of the public housing agency involved, if the
resolution of such litigation would involve the acquisition or develop-
ment of public housing dwelling units or the use of vouchers under
section 8 of the United States Housing Act of 1937 in jurisdictions
that are adjacent to the jurisdiction of the public housing agency
involved in the litigation.
(c) TREATMENT OF PHA REPAYMENT AGREEMENT.—
(1) LIMITATION ON SECRETARY.—During the 2-year period
beginning on the date of the enactment of this Act, if the
Housing Authority of the City of Las Vegas, Nevada, is other-
wise in compliance with the Repayment Lien Agreement and
Repayment Plan approved by the Secretary on February 12,
1997, the Secretary of Housing and Urban Development shall
not take any action that has the effect of reducing the inventory
of senior citizen housing owned by such housing authority
that does not receive assistance from the Department of Hous-
ing and Urban Development.
(2) ALTERNATIVE REPAYMENT OPTIONS.—During the period
referred to in paragraph (1), the Secretary shall assist the
housing authority referred to in such paragraph to identify
alternative repayment options to the plan referred to in such
paragraph and to execute an amended repayment plan that
will not adversely affect the housing referred to in such para-
graph.
(3) RULE OF CONSTRUCTION.—This subsection may not be
construed to alter—
(A) any lien held by the Secretary pursuant to the
agreement referred to in paragraph (1); or
(B) the obligation of the housing authority referred
to in paragraph (1) to close all remaining items contained
in the Inspector General audits numbered 89 SF 1004
(issued January 20, 1989), 93 SF 1801 (issued October
30, 1993), and 96 SF 1002 (issued February 23, 1996).
(d) CEILING RENTS FOR CERTAIN SECTION 8 PROPERTIES.—Not-
withstanding any other provision of law, within 30 days after the
date of the enactment of this Act, the Secretary shall establish
ceiling rents for the Marshall Field Garden Apartments Homes
in Chicago, Illinois, at rent levels, in the determination of the
Secretary made in consultation with the owner, that facilitate
retaining or attracting working class families.
(e) APPLICATION FOR MOVING TO WORK DEMONSTRATION PRO-
GRAM.—Upon the submission of an application for participation
in the moving to work demonstration program under section 204
of the Departments of Veterans Affairs and Housing and Urban
Development, and Independent Agencies Appropriations Act, 1996