I 
110TH CONGRESS 
1ST SESSION H. R. 3002 
To establish a demonstration program to authorize the Secretary of Housing 
and Urban Development to guarantee obligations issued by Indian tribes 
to finance community and economic development activities. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 11, 2007 
Mr. PEARCE (for himself, Mr. BOREN, Mr. FRANK of Massachusetts, Mr. KIL-
DEE, and Mr. RENZI) introduced the following bill; which was referred 
to the Committee on Financial Services 
A BILL 
To establish a demonstration program to authorize the Sec-
retary of Housing and Urban Development to guarantee 
obligations issued by Indian tribes to finance community 
and economic development activities. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Native American Eco-
nomic Development and Infrastructure for Housing Act 
of 2007’’. 
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SEC. 2. DEMONSTRATION PROGRAM FOR GUARANTEED 
LOANS TO FINANCE TRIBAL COMMUNITY AND 
ECONOMIC DEVELOPMENT ACTIVITIES. 
(a) AUTHORITY.—To the extent or in such amounts 
as are provided in appropriation Acts, the Secretary of 
Housing and Urban Development (in this section referred 
to as the ‘‘Secretary’’) may, subject to the limitations of 
this section and upon such terms and conditions as the 
Secretary may prescribe, guarantee and make commit-
ments to guarantee, the notes and obligations issued by 
Indian tribes or tribally designated housing entities (as 
such term is defined in section 4 of the Native American 
Housing Assistance and Self-Determination Act of 1996 
(25 U.S.C. 4103)) with tribal approval, for the purposes 
of financing activities, carried out on Indian reservations 
and in other Indian areas, that under the first sentence 
of section 108(a) of the Housing and Community Develop-
ment Act of 1974 are eligible for financing with notes and 
other obligations guaranteed pursuant to such section 
108. 
(b) LOW-INCOME
BENEFIT
REQUIREMENT.—Not 
less than 70 percent of the aggregate funds received by 
an Indian tribe or tribally designated housing entity as 
a result of a guarantee under this section shall be used 
for the support of activities that benefit low-income Indian 
families (as such term is defined for purposes of the Na-
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tive American Housing Assistance and Self-Determination 
Act of 1996) on Indian reservations and other Indian 
areas. 
(c) FINANCIAL SOUNDNESS.—The Secretary shall es-
tablish underwriting criteria for guarantees under this sec-
tion, including fees for such guarantees, as may be nec-
essary to ensure that the program under this section for 
such guarantees is financially sound. Such fees shall be 
established in amounts that are sufficient, but do not ex-
ceed the minimum amounts necessary, to maintain a nega-
tive credit subsidy for such program, as determined based 
upon risk to the Federal Government under such under-
writing requirements. 
(d) TERMS OF OBLIGATIONS.—Notes or other obliga-
tions guaranteed pursuant to this section shall be in such 
form and denominations, have such maturities, and be 
subject to such conditions as may be prescribed by regula-
tions issued by the Secretary. The Secretary may not deny 
a guarantee under this section on the basis of the proposed 
repayment period for the note or other obligation, unless 
the period is more than 20 years or the Secretary deter-
mines that the period causes the guarantee to constitute 
an unacceptable financial risk. 
(e) LIMITATION
ON PERCENTAGE.—A guarantee 
made under this section shall guarantee repayment of 95 
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