H. R. 2099
One Hundred Fourth Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Wednesday,
the fourth day of January, one thousand nine hundred and ninety-five
An Act
Making appropriations for the Departments of Veterans Affairs and Housing and
Urban Development, and for sundry independent agencies, boards, commissions,
corporations, and offices for the fiscal year ending September 30, 1996, and
for other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled, That the
following sums are appropriated, out of any money in the Treasury
not otherwise appropriated, for the Departments of Veterans Affairs
and Housing and Urban Development, and for sundry independent
agencies, boards, commissions, corporations, and offices for the fiscal
year ending September 30, 1996, and for other purposes, namely:
TITLE I
DEPARTMENT OF VETERANS AFFAIRS
VETERANS BENEFITS ADMINISTRATION
COMPENSATION AND PENSIONS
(INCLUDING TRANSFER OF FUNDS)
For the payment of compensation benefits to or on behalf of
veterans as authorized by law (38 U.S.C. 107, chapters 11, 13,
51, 53, 55, and 61); pension benefits to or on behalf of veterans
as authorized by law (38 U.S.C. chapters 15, 51, 53, 55, and 61;
92 Stat. 2508); and burial benefits, emergency and other officers’
retirement pay, adjusted-service credits and certificates, payment
of premiums due on commercial life insurance policies guaranteed
under the provisions of Article IV of the Soldiers’ and Sailors’
Civil Relief Act of 1940, as amended, and for other benefits as
authorized by law (38 U.S.C. 107, 1312, 1977, and 2106, chapters
23, 51, 53, 55, and 61; 50 U.S.C. App. 540–548; 43 Stat. 122,
123; 45 Stat. 735; 76 Stat. 1198); $17,649,972,000, to remain avail-
able until expended: Provided, That not to exceed $25,180,000 of
the amount appropriated shall be reimbursed to ‘‘General operating
expenses’’ and ‘‘Medical care’’ for necessary expenses in implement-
ing those provisions authorized in the Omnibus Budget Reconcili-
ation Act of 1990, and in the Veterans’ Benefits Act of 1992 (38
U.S.C. chapters 51, 53, and 55), the funding source for which
is specifically provided as the ‘‘Compensation and pensions’’ appro-
priation: Provided further, That such sums as may be earned on
an actual qualifying patient basis, shall be reimbursed to ‘‘Medical
facilities revolving fund’’ to augment the funding of individual medi-
cal facilities for nursing home care provided to pensioners as author-
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ized by the Veterans’ Benefits Act of 1992 (38 U.S.C. chapter
55): Provided further, That $12,000,000 previously transferred from
‘‘Compensation and pensions’’ to ‘‘Medical facilities revolving fund’’
shall be transferred to this heading.
READJUSTMENT BENEFITS
For the payment of readjustment and rehabilitation benefits
to or on behalf of veterans as authorized by law (38 U.S.C. chapters
21, 30, 31, 34, 35, 36, 39, 51, 53, 55, and 61), $1,345,300,000,
to remain available until expended: Provided, That funds shall
be available to pay any court order, court award or any compromise
settlement arising from litigation involving the vocational training
program authorized by section 18 of Public Law 98–77, as amended.
VETERANS INSURANCE AND INDEMNITIES
For military and naval insurance, national service life insur-
ance, servicemen’s indemnities, service-disabled veterans insurance,
and veterans mortgage life insurance as authorized by law (38
U.S.C. chapter 19; 70 Stat. 887; 72 Stat. 487), $24,890,000, to
remain available until expended.
GUARANTY AND INDEMNITY PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For the cost of direct and guaranteed loans, such sums as
may be necessary to carry out the purpose of the program, as
authorized by 38 U.S.C. chapter 37, as amended: Provided, That
such costs, including the cost of modifying such loans, shall be
as defined in section 502 of the Congressional Budget Act of 1974,
as amended.
In addition, for administrative expenses to carry out the direct
and guaranteed loan programs, $65,226,000, which may be trans-
ferred to and merged with the appropriation for ‘‘General operating
expenses’’.
LOAN GUARANTY PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For the cost of direct and guaranteed loans, such sums as
may be necessary to carry out the purpose of the program, as
authorized by 38 U.S.C. chapter 37, as amended: Provided, That
such costs, including the cost of modifying such loans, shall be
as defined in section 502 of the Congressional Budget Act of 1974,
as amended.
In addition, for administrative expenses to carry out the direct
and guaranteed loan programs, $52,138,000, which may be trans-
ferred to and merged with the appropriation for ‘‘General operating
expenses’’.
DIRECT LOAN PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For the cost of direct loans, such sums as may be necessary
to carry out the purpose of the program, as authorized by 38
U.S.C. chapter 37, as amended: Provided, That such costs, including
the cost of modifying such loans, shall be as defined in section
H. R. 2099—3
502 of the Congressional Budget Act of 1974, as amended: Provided
further, That during 1996, within the resources available, not to
exceed $300,000 in gross obligations for direct loans are authorized
for specially adapted housing loans (38 U.S.C. chapter 37).
In addition, for administrative expenses to carry out the direct
loan program, $459,000, which may be transferred to and merged
with the appropriation for ‘‘General operating expenses’’.
EDUCATION LOAN FUND PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For the cost of direct loans, $1,000, as authorized by 38 U.S.C.
3698, as amended: Provided, That such costs, including the cost
of modifying such loans, shall be as defined in section 502 of
the Congressional Budget Act of 1974, as amended: Provided fur-
ther, That these funds are available to subsidize gross obligations
for the principal amount of direct loans not to exceed $4,000.
In addition, for administrative expenses necessary to carry
out the direct loan program, $195,000, which may be transferred
to and merged with the appropriation for ‘‘General operating
expenses’’.
VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For the cost of direct loans, $54,000, as authorized by 38
U.S.C. chapter 31, as amended: Provided, That such costs, including
the cost of modifying such loans, shall be as defined in section
502 of the Congressional Budget Act of 1974, as amended: Provided
further, That these funds are available to subsidize gross obligations
for the principal amount of direct loans not to exceed $1,964,000.
In addition, for administrative expenses necessary to carry
out the direct loan program, $377,000, which may be transferred
to and merged with the appropriation for ‘‘General operating
expenses’’.
NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)
For administrative expenses to carry out the direct loan pro-
gram authorized by 38 U.S.C. chapter 37, subchapter V, as
amended, $205,000, which may be transferred to and merged with
the appropriation for ‘‘General operating expenses’’.
VETERANS HEALTH ADMINISTRATION
MEDICAL CARE
For necessary expenses for the maintenance and operation of
hospitals, nursing homes, and domiciliary facilities; for furnishing,
as authorized by law, inpatient and outpatient care and treatment
to beneficiaries of the Department of Veterans Affairs, including
care and treatment in facilities not under the jurisdiction of the
Department of Veterans Affairs, and furnishing recreational facili-
ties, supplies, and equipment; funeral, burial, and other expenses
incidental thereto for beneficiaries receiving care in Department
of Veterans Affairs facilities; administrative expenses in support
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of planning, design, project management, real property acquisition
and disposition, construction and renovation of any facility under
the jurisdiction or for the use of the Department of Veterans Affairs;
oversight, engineering and architectural activities not charged to
project cost; repairing, altering, improving or providing facilities
in the several hospitals and homes under the jurisdiction of the
Department of Veterans Affairs, not otherwise provided for, either
by contract or by the hire of temporary employees and purchase
of materials; uniforms or allowances therefor, as authorized by
law (5 U.S.C. 5901–5902); aid to State homes as authorized by
law (38 U.S.C. 1741); and not to exceed $8,000,000 to fund cost
comparison studies as referred to in 38 U.S.C. 8110(a)(5);
$16,564,000,000, plus reimbursements: Provided, That of the funds
made available under this heading, $789,000,000 is for the equip-
ment and land and structures object classifications only, which
amount shall not become available for obligation until August 1,
1996, and shall remain available for obligation until September
30, 1997.
MEDICAL AND PROSTHETIC RESEARCH
For necessary expenses in carrying out programs of medical
and prosthetic research and development as authorized by law
(38 U.S.C. chapter 73), to remain available until September 30,
1997, $257,000,000, plus reimbursements.
MEDICAL ADMINISTRATION AND MISCELLANEOUS OPERATING
EXPENSES
For necessary expenses in the administration of the medical,
hospital, nursing home, domiciliary, construction, supply, and
research activities, as authorized by law; administrative expenses
in support of planning, design, project management, architectural,
engineering, real property acquisition and disposition, construction
and renovation of any facility under the jurisdiction or for the
use of the Department of Veterans Affairs, including site acquisi-
tion; engineering and architectural activities not charged to project
cost; and research and development in building construction tech-
nology; $63,602,000, plus reimbursements.
TRANSITIONAL HOUSING LOAN PROGRAM
(INCLUDING TRANSFER OF FUNDS)
For the cost of direct loans, $7,000, as authorized by Public
Law 102–54, section 8, which shall be transferred from the ‘‘General
post fund’’: Provided, That such costs, including the cost of modify-
ing such loans, shall be as defined in section 502 of the Congres-
sional Budget Act of 1974, as amended: Provided further, That
these funds are available to subsidize gross obligations for the
principal amount of direct loans not to exceed $70,000. In addition,
for administrative expenses to carry out the direct loan program,
$54,000, which shall be transferred from the ‘‘General post fund’’,
as authorized by Public Law 102–54, section 8.
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DEPARTMENTAL ADMINISTRATION
GENERAL OPERATING EXPENSES
For necessary operating expenses of the Department of Veter-
ans Affairs, not otherwise provided for, including uniforms or allow-
ances therefor, as authorized by law; not to exceed $25,000 for
official reception and representation expenses; hire of passenger
motor vehicles; and reimbursement of the General Services
Administration for security guard services, and the Department
of Defense for the cost of overseas employee mail; $848,143,000:
Provided, That of the amount appropriated and any other funds
made available from any other source for activities funded under
this heading, except reimbursements, not to exceed $214,109,000
shall be available for General Administration; including not to
exceed (1) $2,450,000 for personnel compensation and benefits and
$50,000 for travel in the Office of the Secretary, (2) $4,392,000
for personnel compensation and benefits and $75,000 for travel
in the Office of the Assistant Secretary for Policy and Planning,
(3) $1,980,000 for personnel compensation and benefits and $33,000
for travel in the Office of the Assistant Secretary for Congressional
Affairs, and (4) $3,500,000 for personnel compensation and benefits
and $100,000 for travel in the Office of Assistant Secretary for
Public and Intergovernmental Affairs: Provided further, That during
fiscal year 1996, notwithstanding any other provision of law, the
number of individuals employed by the Department of Veterans
Affairs (1) in other than ‘‘career appointee’’ positions in the Senior
Executive Service shall not exceed 6, and (2) in schedule C positions
shall not exceed 11: Provided further, That not to exceed $6,000,000
of the amount appropriated shall be available for administrative
expenses to carry out the direct and guaranteed loan programs
under the Loan Guaranty Program Account: Provided further, That
funds under this heading shall be available to administer the Serv-
ice Members Occupational Conversion and Training Act: Provided
further, That the $25,500,000 earmarked in Public Law 103–327
for the acquisition of automated data processing equipment and
services to support the modernization program of the Veterans
Benefits Administration is available for any expense authorized
to be funded under this heading: Provided further, That none of
the funds under this heading (including funds referred to in the
preceding proviso) may be obligated or expended for the acquisition
of automated data processing equipment and services for Depart-
ment of Veterans Affairs regional offices to support Stage III of
the automated data equipment modernization program of the Veter-
ans Benefits Administration.
NATIONAL CEMETERY SYSTEM
For necessary expenses for the maintenance and operation of
the National Cemetery System not otherwise provided for, including
uniforms or allowances therefor, as authorized by law; cemeterial
expenses as authorized by law; purchase of three passenger motor
vehicles, for use in cemeterial operations; and hire of passenger
motor vehicles, $72,604,000.
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OFFICE OF INSPECTOR GENERAL
For necessary expenses of the Office of Inspector General in
carrying out the provisions of the Inspector General Act of 1978,
as amended, $30,900,000.
CONSTRUCTION, MAJOR PROJECTS
(INCLUDING TRANSFER OF FUNDS)
For constructing, altering, extending and improving any of the
facilities under the jurisdiction or for the use of the Department
of Veterans Affairs, or for any of the purposes set forth in sections
316, 2404, 2406, 8102, 8103, 8106, 8108, 8109, 8110, and 8122
of title 38, United States Code, including planning, architectural
and engineering services, maintenance or guarantee period services
costs associated with equipment guarantees provided under the
project, services of claims analysts, offsite utility and storm drainage
system construction costs, and site acquisition, where the estimated
cost of a project is $3,000,000 or more or where funds for a project
were made available in a previous major project appropriation,
$136,155,000, to remain available until expended: Provided, That
except for advance planning of projects funded through the advance
planning fund and the design of projects funded through the design
fund, none of these funds shall be used for any project which
has not been considered and approved by the Congress in the
budgetary process: Provided further, That funds provided in this
appropriation for fiscal year 1996, for each approved project shall
be obligated (1) by the awarding of a construction documents con-
tract by September 30, 1996, and (2) by the awarding of a construc-
tion contract by September 30, 1997: Provided further, That the
Secretary shall promptly report in writing to the Comptroller Gen-
eral and to the Committees on Appropriations any approved major
construction project in which obligations are not incurred within
the time limitations established above; and the Comptroller General
shall review the report in accordance with the procedures estab-
lished by section 1015 of the Impoundment Control Act of 1974
(title X of Public Law 93–344): Provided further, That no funds
from any other account except the ‘‘Parking revolving fund’’, may
be obligated for constructing, altering, extending, or improving a
project which was approved in the budget process and funded
in this account until one year after substantial completion and
beneficial occupancy by the Department of Veterans Affairs of the
project or any part thereof with respect to that part only: Provided
further, That of the funds made available under this heading in
Public Law 103–327, $7,000,000 shall be transferred to the ‘‘Parking
revolving fund’’.
CONSTRUCTION, MINOR PROJECTS
For constructing, altering, extending, and improving any of
the facilities under the jurisdiction or for the use of the Department
of Veterans Affairs, including planning, architectural and engineer-
ing services, maintenance or guarantee period services costs associ-
ated with equipment guarantees provided under the project, services
of claims analysts, offsite utility and storm drainage system
construction costs, and site acquisition, or for any of the purposes
set forth in sections 316, 2404, 2406, 8102, 8103, 8106, 8108, 8109,
8110, and 8122 of title 38, United States Code, where the estimated
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cost of a project is less than $3,000,000, $190,000,000, to remain
available until expended, along with unobligated balances of pre-
vious ‘‘Construction, minor projects’’ appropriations which are
hereby made available for any project where the estimated cost
is less than $3,000,000: Provided, That funds in this account shall
be available for (1) repairs to any of the nonmedical facilities
under the jurisdiction or for the use of the Department of Veterans
Affairs which are necessary because of loss or damage caused by
any natural disaster or catastrophe, and (2) temporary measures
necessary to prevent or to minimize further loss by such causes.
PARKING REVOLVING FUND
For the parking revolving fund as authorized by law (38 U.S.C.
8109), income from fees collected, to remain available until
expended. Resources of this fund shall be available for all expenses
authorized by 38 U.S.C. 8109 except operations and maintenance
costs which will be funded from ‘‘Medical care’’.
GRANTS FOR CONSTRUCTION OF STATE EXTENDED CARE FACILITIES
For grants to assist the several States to acquire or construct
State nursing home and domiciliary facilities and to remodel, modify
or alter existing hospital, nursing home and domiciliary facilities
in State homes, for furnishing care to veterans as authorized by
law (38 U.S.C. 8131–8137), $47,397,000, to remain available until
expended.
GRANTS FOR THE CONSTRUCTION OF STATE VETERANS CEMETERIES
For grants to aid States in establishing, expanding, or improv-
ing State veteran cemeteries as authorized by law (38 U.S.C. 2408),
$1,000,000, to remain available until September 30, 1998.
ADMINISTRATIVE PROVISIONS
(INCLUDING TRANSFER OF FUNDS)
SEC. 101. Any appropriation for 1996 for ‘‘Compensation and
pensions’’, ‘‘Readjustment benefits’’, and ‘‘Veterans insurance and
indemnities’’ may be transferred to any other of the mentioned
appropriations.
SEC. 102. Appropriations available to the Department of Veter-
ans Affairs for 1996 for salaries and expenses shall be available
for services as authorized by 5 U.S.C. 3109.
SEC. 103. No part of the appropriations in this Act for the
Department of Veterans Affairs (except the appropriations for
‘‘Construction, major projects’’, ‘‘Construction, minor projects’’, and
the ‘‘Parking revolving fund’’) shall be available for the purchase
of any site for or toward the construction of any new hospital
or home.
SEC. 104. No part of the foregoing appropriations shall be
available for hospitalization or examination of any persons except
beneficiaries entitled under the laws bestowing such benefits to
veterans, unless reimbursement of cost is made to the appropriation
at such rates as may be fixed by the Secretary of Veterans Affairs.
SEC. 105. Appropriations available to the Department of Veter-
ans Affairs for fiscal year 1996 for ‘‘Compensation and pensions’’,
‘‘Readjustment benefits’’, and ‘‘Veterans insurance and indemnities’’
H. R. 2099—8
shall be available for payment of prior year accrued obligations
required to be recorded by law against the corresponding prior
year accounts within the last quarter of fiscal year 1995.
SEC. 106. Appropriations accounts available to the Department
of Veterans Affairs for fiscal year 1996 shall be available to pay
prior year obligations of corresponding prior year appropriations
accounts resulting from title X of the Competitive Equality Banking
Act, Public Law 100–86, except that if such obligations are from
trust fund accounts they shall be payable from ‘‘Compensation
and pensions’’.
SEC. 107. Chapter 19 of title 38, United States Code, is amended
as follows:
(1) Section 1920 is amended—
(A) in subsection (a), by inserting ‘‘, and for the
reimbursement of administrative costs under subsection
(c)’’ before the period at the end of the second sentence;
and
(B) by adding at the end the following new subsection:
‘‘(c)(1) For each fiscal year for which this subsection is in
effect, the Secretary shall, from the National Service Life Insurance
Fund, reimburse the ‘General operating expenses’ account of the
Department for the amount of administrative costs determined
under paragraph (2) for that fiscal year. Such reimbursement shall
be made from any surplus earnings for that fiscal year that are
available for dividends on such insurance after claims have been
paid and actuarially determined reserves have been set aside. How-
ever, if the amount of such administrative costs exceeds the amount
of such surplus earnings, such reimbursement shall be made only
to the extent of such surplus earnings.
‘‘(2) The Secretary shall determine the administrative costs
to the Department for a fiscal year for which this subsection is
in effect which, in the judgment of the Secretary, are properly
allocable to the provision of National Service Life Insurance (and
to the provision of any total disability income insurance added
to the provision of such insurance).
‘‘(3) This subsection shall be in effect only with respect to
fiscal year 1996.’’.
(2) Section 1923 is amended—
(A) in subsection (a), by inserting ‘‘, and for the
reimbursement of administrative costs under subsection
(d)’’ before the period at the end of the last sentence;
and
(B) by adding at the end the following new subsection:
‘‘(d)(1) For each fiscal year for which this subsection is in
effect, the Secretary shall, from the Veterans’ Special Life Insurance
Fund, reimburse the ‘General operating expenses’ account of the
Department for the amount of administrative costs determined
under paragraph (2) for that fiscal year. Such reimbursement shall
be made from any surplus earnings for that fiscal year that are
available for dividends on such insurance after claims have been
paid and actuarially determined reserves have been set aside. How-
ever, if the amount of such administrative costs exceeds the amount
of such surplus earnings, such reimbursement shall be made only
to the extent of such surplus earnings.
‘‘(2) The Secretary shall determine the administrative costs
to the Department for a fiscal year for which this subsection is
in effect which, in the judgment of the Secretary, are properly
H. R. 2099—9
allocable to the provision of Veterans’ Special Life Insurance (and
to the provision of any total disability income insurance added
to the provision of such insurance).
‘‘(3) This subsection shall be in effect only with respect to
fiscal year 1996.’’.
(3) Section 1955 is amended—
(A) in subsection (a), by inserting ‘‘, and for the
reimbursement of administrative costs under subsection
(c)’’ before the period at the end of the first sentence;
and
(B) by adding at the end the following new subsection:
‘‘(c)(1) For each fiscal year for which this subsection is in
effect, the Secretary shall, from the United States Government
Life Insurance Fund, reimburse the ‘General operating expenses’
account of the Department for the amount of administrative costs
determined under paragraph (2) for that fiscal year. Such
reimbursement shall be made from any surplus earnings for that
fiscal year that are available for dividends on such insurance after
claims have been paid and actuarially determined reserves have
been set aside. However, if the amount of such administrative
costs exceeds the amount of such surplus earnings, such reimburse-
ment shall be made only to the extent of such surplus earnings.
‘‘(2) The Secretary shall determine the administrative costs
to the Department for a fiscal year for which this subsection is
in effect which, in the judgment of the Secretary, are properly
allocable to the provision of United States Government Life Insur-
ance (and to the provision of any total disability income insurance
added to the provision of such insurance).
‘‘(3) This subsection shall be in effect only with respect to
fiscal year 1996.’’.
(4) Section 1982 is amended by striking out ‘‘The United
States’’ and inserting in lieu thereof ‘‘Except as provided in
sections 1920(c), 1923(d), and 1955(c) of this title, the United
States’’.
SEC. 108. Notwithstanding any other provision of law, the
Secretary of Veterans Affairs is authorized to transfer, without
compensation or reimbursement, the jurisdiction and control of
a parcel of land consisting of approximately 6.3 acres, located on
the south edge of the Department of Veterans Affairs Medical
and Regional Office Center, Wichita, Kansas, including buildings
Nos. 8 and 30 and other improvements thereon, to the Secretary
of Transportation for the purpose of expanding and modernizing
United States Highway 54: Provided, That if necessary, the exact
acreage and legal description of the real property transferred shall
be determined by a survey satisfactory to the Secretary of Veterans
Affairs and the Secretary of Transportation shall bear the cost
of such survey: Provided further, That the Secretary of Transpor-
tation shall be responsible for all costs associated with the trans-
ferred land and improvements thereon, and compliance with all
existing statutes and regulations: Provided further, That the Sec-
retary of Veterans Affairs and the Secretary of Transportation
may require such additional terms and conditions as each Secretary
considers appropriate to effectuate this transfer of land.
SEC. 109. During fiscal year 1996, not to exceed $4,500,000
may be transferred from ‘‘Medical care’’ to ‘‘Medical administration
and miscellaneous operating expenses’’. No transfer may occur until
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20 days after the Secretary of Veterans Affairs provides written
notice to the House and Senate Committees on Appropriations.
TITLE II
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
HOUSING PROGRAMS
ANNUAL CONTRIBUTIONS FOR ASSISTED HOUSING
For assistance under the United States Housing Act of 1937,
as amended (‘‘the Act’’ herein) (42 U.S.C. 1437), not otherwise
provided for, $10,155,795,000, to remain available until expended:
Provided, That of the total amount provided under this head,
$160,000,000 shall be for the development or acquisition cost of
public housing for Indian families, including amounts for housing
under the mutual help homeownership opportunity program under
section 202 of the Act (42 U.S.C. 1437bb): Provided further, That
of the total amount provided under this head, $2,500,000,000 shall
be for modernization of existing public housing projects pursuant
to section 14 of the Act (42 U.S.C. 1437l), including up to
$20,000,000 for the inspection of public housing units, contract
expertise, and training and technical assistance, directly or
indirectly, under grants, contracts, or cooperative agreements, to
assist in the oversight and management of public and Indian hous-
ing (whether or not the housing is being modernized with assistance
under this proviso) or tenant-based assistance, including, but not
limited to, an annual resident survey, data collection and analysis,
training and technical assistance by or to officials and employees
of the Department and of public housing agencies and to residents
in connection with the public and Indian housing program: Provided
further, That of the total amount provided under this head,
$400,000,000 shall be for rental subsidy contracts under the section
8 existing housing certificate program and the housing voucher
program under section 8 of the Act, except that such amounts
shall be used only for units necessary to provide housing assistance
for residents to be relocated from existing federally subsidized or
assisted housing, for replacement housing for units demolished
or disposed of (including units to be disposed of pursuant to a
homeownership program under section 5(h) or title III of the United
States Housing Act of 1937) from the public housing inventory,
for funds related to litigation settlements, for the conversion of
section 23 projects to assistance under section 8, for public housing
agencies to implement allocation plans approved by the Secretary
for designated housing, for funds to carry out the family unification
program, and for the relocation of witnesses in connection with
efforts to combat crime in public and assisted housing pursuant
to a request from a law enforcement or prosecution agency: Provided
further, That of the total amount provided under this head,
$4,350,862,000 shall be for assistance under the United States
Housing Act of 1937 (42 U.S.C. 1437) for use in connection with
expiring or terminating section 8 subsidy contracts, such amounts
shall be merged with all remaining obligated and unobligated bal-
ances heretofore appropriated under the heading ‘‘Renewal of expir-
ing section 8 subsidy contracts’’: Provided further, That notwith-
standing any other provision of law, assistance reserved under
the two preceding provisos may be used in connection with any
H. R. 2099—11
provision of Federal law enacted in this Act or after the enactment
of this Act that authorizes the use of rental assistance amounts
in connection with such terminated or expired contracts: Provided
further, That the Secretary may determine not to apply section
8(o)(6)(B) of the Act to housing vouchers during fiscal year 1996:
Provided further, That of the total amount provided under this
head, $610,575,000 shall be for amendments to section 8 contracts
other than contracts for projects developed under section 202 of
the Housing Act of 1959, as amended; and $261,000,000 shall
be for section 8 assistance and rehabilitation grants for property
disposition: Provided further, That during fiscal year 1996, the
Secretary of Housing and Urban Development may manage and
dispose of multifamily properties owned by the Secretary, including
the provision for grants from the General Insurance Fund (12
U.S.C. 1735c) for the necessary costs of rehabilitation and other
related development costs and multifamily mortgages held by the
Secretary without regard to any other provision of law: Provided
further, That 50 per centum of the amounts of budget authority,
or in lieu thereof 50 per centum of the cash amounts associated
with such budget authority, that are recaptured from projects
described in section 1012(a) of the Stewart B. McKinney Homeless
Assistance Amendments Act of 1988 (Public Law 100–628, 102
Stat. 3224, 3268) shall be rescinded, or in the case of cash, shall
be remitted to the Treasury, and such amounts of budget authority
or cash recaptured and not rescinded or remitted to the Treasury
shall be used by State housing finance agencies or local governments
or local housing agencies with projects approved by the Secretary
of Housing and Urban Development for which settlement occurred
after January 1, 1992, in accordance with such section: Provided
further, That of the total amount provided under this head,
$171,000,000 shall be for housing opportunities for persons with
AIDS under title VIII, subtitle D of the Cranston-Gonzalez National
Affordable Housing Act; and $65,000,000 shall be for the lead-
based paint hazard reduction program as authorized under sections
1011 and 1053 of the Residential Lead-Based Hazard Reduction
Act of 1992: Provided further, That the Secretary may make up
to $5,000,000 of any amount recaptured in this account available
for the development of performance and financial systems.
Of the total amount provided under this head, $624,000,000,
plus amounts recaptured from interest reduction payment contracts
for section 236 projects whose owners prepay their mortgages during
fiscal year 1996 (which amounts shall be transferred and merged
with this account), shall be for use in conjunction with properties
that are eligible for assistance under the Low Income Housing
Preservation and Resident Homeownership Act of 1990 (LIHPRHA)
or the Emergency Low-Income Housing Preservation Act of 1987
(ELIHPA): Provided, That prior to July 1, 1996, funding to carry
out plans of action shall be limited to sales of projects to non-
profit organizations, tenant-sponsored organizations, and other
priority purchasers: Provided further, That of the amount made
available by this paragraph, up to $10,000,000 shall be available
for preservation technical assistance grants pursuant to section
253 of the Housing and Community Development Act of 1987,
as amended: Provided further, That with respect to amounts made
available by this paragraph, after July 1, 1996, if the Secretary
determines that the demand for funding may exceed amounts avail-
able for such funding, the Secretary (1) may determine priorities
H. R. 2099—12
for distributing available funds, including giving priority funding
to tenants displaced due to mortgage prepayment and to projects
that have not yet been funded but which have approved plans
of action; and (2) may impose a temporary moratorium on applica-
tions by potential recipients of such funding: Provided further,
That an owner of eligible low-income housing may prepay the
mortgage or request voluntary terminaton of a mortgage insurance
contract, so long as said owner agrees not to raise rents for sixty
days after such prepayment: Provided further, That an owner of
eligible low-income housing who has not timely filed a second notice
under section 216(d) prior to the effective date of this Act may
file such notice by March 1, 1996: Provided further, That such
developments have been determined to have preservation equity
at least equal to the lesser of $5,000 per unit or $500,000 per
project or the equivalent of eight times the most recently published
fair market rent for the area in which the project is located as
the appropriate unit size for all of the units in the eligible project:
Provided further, That the Secretary may modify the regulatory
agreement to permit owners and priority purchasers to retain rental
income in excess of the basic rental charge in projects assisted
under section 236 of the National Housing Act, for the purpose
of preserving the low and moderate income character of the housing:
Provided further, That the Secretary may give priority to funding
and processing the following projects provided that the funding
is obligated not later than August 1, 1996: (1) projects with approved
plans of action to retain the housing that file a modified plan
of action no later than July 1, 1996 to transfer the housing; (2)
projects with approved plans of action that are subject to a repay-
ment or settlement agreement that was executed between the owner
and the Secretary prior to September 1, 1995; (3) projects for
which submissions were delayed as a result of their location in
areas that were designated as a Federal disaster area in a Presi-
dential Disaster Declaration; and (4) projects whose processing was,
in fact or in practical effect, suspended, deferred, or interrupted
for a period of twelve months or more because of differing
interpretations, by the Secretary and an owner or by the Secretary
and a State or local rent regulatory agency, concerning the timing
of filing eligibility or the effect of a presumptively applicable State
or local rent control law or regulation on the determination of
preservation value under section 213 of LIHPRHA, as amended,
if the owner of such project filed notice of intent to extend the
low-income affordability restrictions of the housing, or transfer to
a qualified purchaser who would extend such restrictions, on or
before November 1, 1993: Provided further, That eligible low-income
housing shall include properties meeting the requirements of this
paragraph with mortgages that are held by a State agency as
a result of a sale by the Secretary without insurance, which imme-
diately before the sale would have been eligible low-income housing
under LIHPRHA: Provided further, That notwithstanding any other
provision of law, subject to the availability of appropriated funds,
each unassisted low-income family residing in the housing on the
date of prepayment or voluntary termination, and whose rent, as
a result of a rent increase occurring no later than one year after
the date of the prepayment, exceeds 30 percent of adjusted income,
shall be offered tenant-based assistance in accordance with section
8 or any successor program, under which the family shall pay
no less for rent than it paid on such date: Provided further, That
H. R. 2099—13
any family receiving tenant-based assistance under the preceding
proviso may elect (1) to remain in the unit of the housing and
if the rent exceeds the fair market rent or payment standard,
as applicable, the rent shall be deemed to be the applicable stand-
ard, so long as the administering public housing agency finds that
the rent is reasonable in comparison with rents charged for com-
parable unassisted housing units in the market or (2) to move
from the housing and the rent will be subject to the fair market
rent of the payment standard, as applicable, under existing program
rules and procedures: Provided further, That up to $10,000,000
of the amount made available by this paragraph may be used
at the discretion of the Secretary to reimburse owners of eligible
properties for which plans of action were submitted prior to the
effective date of this Act, but were not executed for lack of available
funds, with such reimbursement available only for documented
costs directly applicable to the preparation of the plan of action
as determined by the Secretary, and shall be made available on
terms and conditions to be established by the Secretary: Provided
further, That, notwithstanding any other provision of law, effective
October 1, 1996, the Secretary shall suspend further processing
of preservation applications which do not have approved plans
of action.
Of the total amount provided under this head, $780,190,000
shall be for capital advances, including amendments to capital
advance contracts, for housing for the elderly, as authorized by
section 202 of the Housing Act of 1959, as amended, and for project
rental assistance, and amendments to contracts for project rental
assistance, for supportive housing for the elderly under section
202(c)(2) of the Housing Act of 1959; and $233,168,000 shall be
for capital advances, including amendments to capital advance con-
tracts, for supportive housing for persons with disabilities, as
authorized by section 811 of the Cranston-Gonzalez National Afford-
able Housing Act; and for project rental assistance, and amend-
ments to contracts for project rental assistance, for supportive hous-
ing for persons with disabilities as authorized by section 811 of
the Cranston-Gonzalez National Affordable Housing Act: Provided,
That the Secretary may designate up to 25 percent of the amounts
earmarked under this paragraph for section 811 of the Cranston-
Gonzalez National Affordable Housing Act for tenant-based assist-
ance, as authorized under that section, which assistance is five-
years in duration: Provided further, That the Secretary may waive
any provision of section 202 of the Housing Act of 1959 and section
811 of the National Affordable Housing Act (including the provisions
governing the terms and conditions of project rental assistance)
that the Secretary determines is not necessary to achieve the objec-
tives of these programs, or that otherwise impedes the ability
to develop, operate or administer projects assisted under these
programs, and may make provision for alternative conditions or
terms where appropriate.
PUBLIC HOUSING DEMOLITION, SITE REVITALIZATION, AND
REPLACEMENT HOUSING GRANTS
For grants to public housing agencies for the purposes of
enabling the demolition of obsolete public housing projects or por-
tions thereof, the revitalization (where appropriate) of sites (includ-
ing remaining public housing units) on which such projects are
located, replacement housing which will avoid or lessen concentra-
H. R. 2099—14
tions of very low-income families, and tenant-based assistance in
accordance with section 8 of the United States Housing Act of
1937 for the purpose of providing replacement housing and assisting
tenants to be displaced by the demolition, $280,000,000, to remain
available until expended: Provided, That the Secretary of Housing
and Urban Development shall award such funds to public housing
agencies by a competition which includes among other relevant
criteria the local and national impact of the proposed demolition
and revitalization activities and the extent to which the public
housing agency could undertake such activities without the addi-
tional assistance to be provided hereunder: Provided further, That
eligible expenditures hereunder shall be those expenditures eligible
under section 8 and section 14 of the United States Housing Act
of 1937 (42 U.S.C. 1437f and l): Provided further, That the Secretary
may impose such conditions and requirements as the Secretary
deems appropriate to effectuate the purposes of this paragraph:
Provided further, That the Secretary may require an agency selected
to receive funding to make arrangements satisfactory to the Sec-
retary for use of an entity other than the agency to carry out
this program where the Secretary determines that such action
will help to effectuate the purpose of this paragraph: Provided
further, That in the event an agency selected to receive funding
does not proceed expeditiously as determined by the Secretary,
the Secretary shall withdraw any funding made available pursuant
to this paragraph that has not been obligated by the agency and
distribute such funds to one or more other eligible agencies, or
to other entities capable of proceeding expeditiously in the same
locality with the original program: Provided further, That of the
foregoing $280,000,000, the Secretary may use up to .67 per centum
for technical assistance, to be provided directly or indirectly by
grants, contracts or cooperative agreements, including training and
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: Provided further, That any replacement
housing provided with assistance under this head shall be subject
to section 18(f) of the United States Housing Act of 1937, as
amended by section 201(b)(2) of this Act.
FLEXIBLE SUBSIDY FUND
(INCLUDING TRANSFER OF FUNDS)
From the fund established by section 236(g) of the National
Housing Act, as amended, all uncommitted balances of excess rental
charges as of September 30, 1995, and any collections during fiscal
year 1996 shall be transferred, as authorized under such section,
to the fund authorized under section 201(j) of the Housing and
Community Development Amendments of 1978, as amended.
RENTAL HOUSING ASSISTANCE
(RESCISSION)
The limitation otherwise applicable to the maximum payments
that may be required in any fiscal year by all contracts entered
into under section 236 of the National Housing Act (12 U.S.C.
1715z–1) is reduced in fiscal year 1996 by not more than $2,000,000
in uncommitted balances of authorizations provided for this purpose
in appropriations Acts: Provided, That up to $163,000,000 of recap-
H. R. 2099—15
tured section 236 budget authority resulting from the prepayment
of mortgages subsidized under section 236 of the National Housing
Act (12 U.S.C. 1715z–1) shall be rescinded in fiscal year 1996.
PAYMENTS FOR OPERATION OF LOW-INCOME HOUSING PROJECTS
For payments to public housing agencies and Indian housing
authorities for operating subsidies for low-income housing projects
as authorized by section 9 of the United States Housing Act of
1937, as amended (42 U.S.C. 1437g), $2,800,000,000.
DRUG ELIMINATION GRANTS FOR LOW-INCOME HOUSING
For grants to public and Indian housing agencies for use in
eliminating crime in public housing projects authorized by 42 U.S.C.
11901–11908, for grants for federally assisted low-income housing
authorized by 42 U.S.C. 11909, and for drug information clearing-
house services authorized by 42 U.S.C. 11921–11925, $290,000,000,
to remain available until expended, of which $10,000,000 shall
be for grants, technical assistance, contracts and other assistance
training, program assessment, and execution for or on behalf of
public housing agencies and resident organizations (including the
cost of necessary travel for participants in such training) and of
which $2,500,000 shall be used in connection with efforts to combat
violent crime in public and assisted housing under the Operation
Safe Home program administered by the Inspector General of the
Department of Housing and Urban Development: Provided, That
the term ‘‘drug-related crime’’, as defined in 42 U.S.C. 11905(2),
shall also include other types of crime as determined by the Sec-
retary.
HOME INVESTMENT PARTNERSHIPS PROGRAM
For the HOME investment partnerships program, as authorized
under title II of the Cranston-Gonzalez National Affordable Housing
Act (Public Law 101–625), as amended, $1,400,000,000, to remain
available until expended.
INDIAN HOUSING LOAN GUARANTEE FUND PROGRAM ACCOUNT
For the cost of guaranteed loans, $3,000,000, as authorized
by section 184 of the Housing and Community Development Act
of 1992 (106 Stat. 3739): Provided, That such costs, including the
costs of modifying such loans, shall be as defined in section 502
of the Congressional Budget Act of 1974, as amended: Provided
further, That these funds are available to subsidize total loan prin-
cipal, any part of which is to be guaranteed, not to exceed
$36,900,000.
HOMELESS ASSISTANCE
HOMELESS ASSISTANCE GRANTS
For the emergency shelter grants program (as authorized under
subtitle B of title IV of the Stewart B. McKinney Homeless Assist-
ance Act (Public Law 100–77), as amended); the supportive housing
program (as authorized under subtitle C of title IV of such Act);
the section 8 moderate rehabilitation single room occupancy pro-
gram (as authorized under the United States Housing Act of 1937,
as amended) to assist homeless individuals pursuant to section
441 of the Stewart B. McKinney Homeless Assistance Act; and
H. R. 2099—16
the shelter plus care program (as authorized under subtitle F of
title IV of such Act), $823,000,000, to remain available until
expended.
COMMUNITY PLANNING AND DEVELOPMENT
COMMUNITY DEVELOPMENT GRANTS
(INCLUDING TRANSFER OF FUNDS)
For grants to States and units of general local government
and for related expenses, not otherwise provided for, necessary
for carrying out a community development grants program as
authorized by title I of the Housing and Community Development
Act of 1974, as amended (42 U.S.C. 5301), $4,600,000,000, to remain
available until September 30, 1998: Provided, That $50,000,000
shall be available for grants to Indian tribes pursuant to section
106(a)(1) of the Housing and Community Development Act of 1974,
as amended (42 U.S.C. 5301), $2,000,000 shall be available as
a grant to the Housing Assistance Council, $1,000,000 shall be
available as a grant to the National American Indian Housing
Council, and $27,000,000 shall be available for ‘‘special purpose
grants’’ pursuant to section 107 of such Act: Provided further,
That not to exceed 20 per centum of any grant made with funds
appropriated herein (other than a grant made available under the
preceding proviso to the Housing Assistance Council or the National
American Indian Housing Council, or a grant using funds under
section 107(b)(3) of the Housing and Community Development Act
of 1974) shall be expended for ‘‘Planning and Management Develop-
ment’’ and ‘‘Administration’’ as defined in regulations promulgated
by the Department of Housing and Urban Development: Provided
further, That section 105(a)(25) of such Act, as added by section
907(b)(1) of the Cranston-Gonzalez National Affordable Housing
Act, shall continue to be effective after September 30, 1995, notwith-
standing section 907(b)(2) of such Act: Provided further, That section
916 of the Cranston-Gonzalez National Affordable Housing Act shall
apply with respect to fiscal year 1996, notwithstanding section
916(f) of that Act.
Of the amount provided under this heading, the Secretary
of Housing and Urban Development may use up to $53,000,000
for grants to public housing agencies (including Indian housing
authorities), nonprofit corporations, and other appropriate entities
for a supportive services program to assist residents of public and
assisted housing, former residents of such housing receiving tenant-
based assistance under section 8 of such Act (42 U.S.C. 1437f),
and other low-income families and individuals to become self-suffi-
cient: Provided, That the program shall provide supportive services,
principally for the benefit of public housing residents, to the elderly
and the disabled, and to families with children where the head
of the household would benefit from the receipt of supportive serv-
ices and is working, seeking work, or is preparing for work by
participating in job training or educational programs: Provided
further, That the supportive services shall include congregate serv-
ices for the elderly and disabled, service coordinators, and coordi-
nated educational, training, and other supportive services, including
academic skills training, job search assistance, assistance related
to retaining employment, vocational and entrepreneurship develop-
ment and support programs, transportation, and child care: Pro-
vided further, That the Secretary shall require applicants to
H. R. 2099—17
demonstrate firm commitments of funding or services from other
sources: Provided further, That the Secretary shall select public
and Indian housing agencies to receive assistance under this head
on a competitive basis, taking into account the quality of the pro-
posed program (including any innovative approaches), the extent
of the proposed coordination of supportive services, the extent of
commitments of funding or services from other sources, the extent
to which the proposed program includes reasonably achievable,
quantifiable goals for measuring performance under the program
over a three-year period, the extent of success an agency has had
in carrying out other comparable initiatives, and other appropriate
criteria established by the Secretary.
Of the amount made available under this heading, notwith-
standing any other provision of law, $12,000,000 shall be available
for contracts, grants, and other assistance, other than loans, not
otherwise provided for, for providing counseling and advice to ten-
ants and homeowners both current and prospective, with respect
to property maintenance, financial management, and such other
matters as may be appropriate to assist them in improving their
housing conditions and meeting the responsibilities of tenancy or
homeownership, including provisions for training and for support
of voluntary agencies and services as authorized by section 106
of the Housing and Urban Development Act of 1968, as amended,
notwithstanding section 106(c)(9) and section 106(d)(13) of such
Act.
Of the amount made available under this heading, notwith-
standing any other provision of law, $15,000,000 shall be available
for the tenant opportunity program.
Of the amount made available under this heading, notwith-
standing any other provision of law, $20,000,000 shall be available
for youthbuild program activities authorized by subtitle D of title
IV of the Cranston-Gonzalez National Affordable Housing Act, as
amended, and such activities shall be an eligible activity with
respect to any funds made available under this heading.
For the cost of guaranteed loans, $31,750,000, as authorized
by section 108 of the Housing and Community Development Act
of 1974: Provided, That such costs, including the cost of modifying
such loans, shall be as defined in section 502 of the Congressional
Budget Act of 1974, as amended: Provided further, That these
funds are available to subsidize total loan principal, any part of
which is to be guaranteed, not to exceed $1,500,000,000: Provided
further, That the Secretary of Housing and Urban Development
may make guarantees not to exceed the immediately foregoing
amount notwithstanding the aggregate limitation on guarantees
set forth in section 108(k) of the Housing and Community Develop-
ment Act of 1974. In addition, for administrative expenses to carry
out the guaranteed loan program, $675,000 which shall be trans-
ferred to and merged with the appropriation for departmental sala-
ries and expenses.
The amount made available for fiscal year 1995 for a special
purpose grant for the renovation of the central terminal in Buffalo,
New York, shall be made available for the central terminal and
for other public facilities in Buffalo, New York.
H. R. 2099—18
POLICY DEVELOPMENT AND RESEARCH
RESEARCH AND TECHNOLOGY
For contracts, grants, and necessary expenses of programs of
research and studies relating to housing and urban problems, not
otherwise provided for, as authorized by title V of the Housing
and Urban Development Act of 1970, as amended (12 U.S.C. 1701z–
1 et seq.), including carrying out the functions of the Secretary
under section 1(a)(1)(i) of Reorganization Plan No. 2 of 1968,
$34,000,000, to remain available until September 30, 1997.
FAIR HOUSING AND EQUAL OPPORTUNITY
FAIR HOUSING ACTIVITIES
For contracts, grants, and other assistance, not otherwise pro-
vided for, as authorized by title VIII of the Civil Rights Act of
1968, as amended by the Fair Housing Amendments Act of 1988,
and for contracts with qualified fair housing enforcement organiza-
tions, as authorized by section 561 of the Housing and Community
Development Act of 1987, as amended by the Housing and Commu-
nity Development Act of 1992, $30,000,000, to remain available
until September 30, 1997.
MANAGEMENT AND ADMINISTRATION
SALARIES AND EXPENSES
(INCLUDING TRANSFERS OF FUNDS)
For necessary administrative and nonadministrative expenses
of the Department of Housing and Urban Development, not other-
wise provided for, including not to exceed $7,000 for official recep-
tion 
and 
representation 
expenses, 
$962,558,000, 
of 
which
$532,782,000 shall be provided from the various funds of the Federal
Housing Administration, and $9,101,000 shall be provided from
funds of the Government National Mortgage Association, and
$675,000 shall be provided from the Community Development
Grants Program account.
OFFICE OF INSPECTOR GENERAL
(INCLUDING TRANSFER OF FUNDS)
For necessary expenses of the Office of Inspector General in
carrying out the provisions of the Inspector General Act of 1978,
as amended, $47,850,000, of which $11,283,000 shall be transferred
from the various funds of the Federal Housing Administration.
OFFICE OF FEDERAL HOUSING ENTERPRISE OVERSIGHT
SALARIES AND EXPENSES
(INCLUDING TRANSFER OF FUNDS)
For carrying out the Federal Housing Enterprise Financial
Safety and Soundness Act of 1992, $14,895,000, to remain available
until expended, from the Federal Housing Enterprise Oversight
Fund: Provided, That such amounts shall be collected by the Direc-
H. R. 2099—19
tor as authorized by section 1316 (a) and (b) of such Act, and
deposited in the Fund under section 1316(f) of such Act.
FEDERAL HOUSING ADMINISTRATION
FHA—MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)
During fiscal year 1996, commitments to guarantee loans to
carry out the purposes of section 203(b) of the National Housing
Act, 
as 
amended, 
shall 
not 
exceed 
a 
loan 
principal 
of
$110,000,000,000: Provided, That during fiscal year 1996, the Sec-
retary shall sell assigned mortgage notes having an unpaid principal
balance of up to $4,000,000,000, which notes were originally insured
under section 203(b) of the National Housing Act: Provided further,
That the Secretary may use any negative subsidy amounts from
the sale of such assigned mortgage notes during fiscal year 1996
for the disposition of properties or notes under this heading.
During fiscal year 1996, obligations to make direct loans to
carry out the purposes of section 204(g) of the National Housing
Act, as amended, shall not exceed $200,000,000: Provided, That
the foregoing amount shall be for loans to nonprofit and govern-
mental entities in connection with sales of single family real prop-
erties owned by the Secretary and formerly insured under section
203 of such Act.
For administrative expenses necessary to carry out the guaran-
teed and direct loan program, $341,595,000, to be derived from
the FHA-mutual mortgage insurance guaranteed loans receipt
account, of which not to exceed $334,483,000 shall be transferred
to the appropriation for departmental salaries and expenses; and
of which not to exceed $7,112,000 shall be transferred to the appro-
priation for the Office of Inspector General.
FHA—GENERAL AND SPECIAL RISK PROGRAM ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)
For the cost of guaranteed loans, as authorized by sections
238 and 519 of the National Housing Act (12 U.S.C. 1715z–3 and
1735c), including the cost of modifying such loans, $85,000,000,
to remain available until expended: Provided, That such costs shall
be as defined in section 502 of the Congressional Budget Act of
1974, as amended: Provided further, That these funds are available
to subsidize total loan principal any part of which is to be guaran-
teed of not to exceed $17,400,000,000: Provided further, That during
fiscal year 1996, the Secretary shall sell assigned notes having
an unpaid principal balance of up to $4,000,000,000, which notes
were originally obligations of the funds established under sections
238 and 519 of the National Housing Act: Provided further, That
the Secretary may use any negative subsidy amounts from the
sale of such assigned mortgage notes during fiscal year 1996, in
addition to amounts otherwise provided, for the disposition of prop-
erties or notes under this heading (including the credit subsidy
for the guarantee of loans or the reduction of positive credit subsidy
amounts that would otherwise be required for the sale of such
properties or notes), and for any other purpose under this heading:
Provided further, That any amounts made available in any prior
H. R. 2099—20
appropriation Act for the cost (as such term is defined in section
502 of the Congressional Budget Act of 1974) of guaranteed loans
that are obligations of the funds established under section 238
or 519 of the National Housing Act that have not been obligated
or that are deobligated shall be available to the Secretary of Housing
and Urban Development in connection with the making of such
guarantees and shall remain available until expended, notwith-
standing the expiration of any period of availability otherwise
applicable to such amounts.
Gross obligations for the principal amount of direct loans, as
authorized by sections 204(g), 207(l), 238(a), and 519(a) of the
National Housing Act, shall not exceed $120,000,000; of which
not to exceed $100,000,000 shall be for bridge financing in connec-
tion with the sale of multifamily real properties owned by the
Secretary and formerly insured under such Act; and of which not
to exceed $20,000,000 shall be for loans to nonprofit and govern-
mental entities in connection with the sale of single-family real
properties owned by the Secretary and formerly insured under
such Act.
In addition, for administrative expenses necessary to carry
out the guaranteed and direct loan programs, $202,470,000, of
which $198,299,000 shall be transferred to the appropriation for
departmental salaries and expenses; and of which $4,171,000 shall
be transferred to the appropriation for the Office of Inspector Gen-
eral.
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
GUARANTEES OF MORTGAGE-BACKED SECURITIES LOAN GUARANTEE
PROGRAM ACCOUNT
(INCLUDES TRANSFER OF FUNDS)
During fiscal year 1996, new commitments to issue guarantees
to carry out the purposes of section 306 of the National Housing
Act, 
as 
amended 
(12 
U.S.C. 
1721(g)), 
shall 
not 
exceed
$110,000,000,000.
For administrative expenses necessary to carry out the guaran-
teed mortgage-backed securities program, $9,101,000, to be derived
from the GNMA—guarantees of mortgage-backed securities guaran-
teed loan receipt account, of which not to exceed $9,101,000 shall
be transferred to the appropriation for departmental salaries and
expenses.
ADMINISTRATIVE PROVISIONS
(INCLUDING TRANSFER OF FUNDS)
EXTEND ADMINISTRATIVE PROVISIONS FROM THE RESCISSION ACT
SEC. 201. (a) PUBLIC AND INDIAN HOUSING MODERNIZATION.—
(1) EXPANSION OF USE OF MODERNIZATION FUNDING.—Sub-
section 14(q) of the United States Housing Act of 1937 is
amended to read as follows:
‘‘(q)(1) In addition to the purposes enumerated in subsections
(a) and (b), a public housing agency may use modernization assist-
ance provided under section 14, and development assistance pro-
vided under section 5(a) that was not allocated, as determined
by the Secretary, for priority replacement housing, for any eligible
activity authorized by this section, by section 5, or by applicable
H. R. 2099—21
Appropriations Acts for a public housing agency, including the
demolition, rehabilitation, revitalization, and replacement of exist-
ing units and projects and, for up to 10 percent of its allocation
of such funds in any fiscal year, for any operating subsidy purpose
authorized in section 9. Except for assistance used for operating
subsidy purposes under the preceding sentence, assistance provided
to a public housing agency under this section shall principally
be used for the physical improvement or replacement of public
housing and for associated management improvements, except as
otherwise approved by the Secretary. Public housing units assisted
under this paragraph shall be eligible for operating subsidies, unless
the Secretary determines that such units or projects have not
received sufficient assistance under this Act or do not meet other
requirements of this Act.
‘‘(2) A public housing agency may provide assistance to develop-
ments that include units for other than very low-income families
(‘mixed income developments’), in the form of a grant, loan, operat-
ing assistance, or other form of investment which may be made
to—
‘‘(A) a partnership, a limited liability company, or other
legal entity in which the public housing agency or its affiliate
is a general partner, managing member, or otherwise partici-
pates in the activities of such entity; or
‘‘(B) any entity which grants to the public housing agency
the option to purchase the development within 20 years after
initial occupancy in accordance with section 42(i)(7) of the
Internal Revenue Code of 1986, as amended. Units shall be
made available in such developments for periods of not less
than 20 years, by master contract or by individual lease, for
occupancy by low-income families referred from time to time
by the public housing agency. The number of such units shall
be:
‘‘(i) in the same proportion to the total number of
units in such development that the total financial commit-
ment provided by the public housing agency bears to the
value of the total financial commitment in the development,
or
‘‘(ii) not be less than the number of units that could
have been developed under the conventional public housing
program with the assistance involved, or
‘‘(iii) as may otherwise be approved by the Secretary.
‘‘(3) A mixed income development may elect to have all units
subject only to the applicable local real estate taxes, notwithstand-
ing that the low-income units assisted by public housing funds
would otherwise be subject to section 6(d) of the Housing Act
of 1937.
‘‘(4) If an entity that owns or operates a mixed-income project
under this subsection enters into a contract with a public housing
agency, the terms of which obligate the entity to operate and
maintain a specified number of units in the project as public housing
units in accordance with the requirements of this Act for the period
required by law, such contractual terms may provide that, if, as
a result of a reduction in appropriations under section 9, or any
other change in applicable law, the public housing agency is unable
to fulfill its contractual obligations with respect to those public
housing units, that entity may deviate, under procedures and
requirements developed through regulations by the Secretary, from
H. R. 2099—22
otherwise applicable restrictions under this Act regarding rents,
income eligibility, and other areas of public housing management
with respect to a portion or all of those public housing units,
to the extent necessary to preserve the viability of those units
while maintaining the low-income character of the units, to the
maximum extent practicable.’’.
(2) APPLICABILITY.—Section 14(q) of the United States
Housing Act of 1937, as amended by subsection (a) of this
section, shall be effective only with respect to assistance pro-
vided from funds made available for fiscal year 1996 or any
preceding fiscal year.
(3) APPLICABILITY TO IHAS.—In accordance with section
201(b)(2) of the United States Housing Act of 1937, the amend-
ment made by this subsection shall apply to public housing
developed or operated pursuant to a contract between the Sec-
retary of Housing and Urban Development and an Indian hous-
ing authority.
(b) ONE-FOR-ONE REPLACEMENT OF PUBLIC AND INDIAN HOUS-
ING.—
(1) EXTENDED AUTHORITY.—Section 1002(d) of Public Law
104–19 is amended to read as follows:
‘‘(d) Subsections (a), (b), and (c) shall be effective for applications
for the demolition, disposition, or conversion to homeownership
of public housing approved by the Secretary, and other consolidation
and relocation activities of public housing agencies undertaken,
on, before, or after September 30, 1995 and before September 30,
1996.’’.
(2) Section 18(f) of the United States Housing Act of 1937
is amended by adding at the end the following new sentence:
‘‘No one may rely on the preceding sentence as the basis for
reconsidering a final order of a court issued, or a settlement
approved by, a court.’’.
(3) APPLICABILITY.—In accordance with section 201(b)(2)
of the United States Housing Act of 1937, the amendments
made by this subsection and by sections 1002 (a), (b), and
(c) of Public Law 104–19 shall apply to public housing developed
or operated pursuant to a contract between the Secretary of
Housing and Urban Development and an Indian housing
authority.
PUBLIC AND ASSISTED HOUSING RENTS, INCOME ADJUSTMENTS, AND
PREFERENCES
SEC. 202. (a) MINIMUM RENTS.—Notwithstanding sections 3(a)
and 8(o)(2) of the United States Housing Act of 1937, as amended,
effective for fiscal year 1996 and no later than October 30, 1995—
(1) public housing agencies shall require each family who
is assisted under the certificate or moderate rehabilitation pro-
gram under section 8 of such Act to pay a minimum monthly
rent of not less than $25, and may require a minimum monthly
rent of up to $50;
(2) public housing agencies shall reduce the monthly assist-
ance payment on behalf of each family who is assisted under
the voucher program under section 8 of such Act so that the
family pays a minimum monthly rent of not less than $25,
and may require a minimum monthly rent of up to $50;
(3) with respect to housing assisted under other programs
for rental assistance under section 8 of such Act, the Secretary
H. R. 2099—23
shall require each family who is assisted under such program
to pay a minimum monthly rent of not less than $25 for
the unit, and may require a minimum monthly rent of up
to $50; and
(4) public housing agencies shall require each family who
is assisted under the public housing program (including public
housing for Indian families) of such Act to pay a minimum
monthly rent of not less than $25, and may require a minimum
monthly rent of up to $50.
(b) ESTABLISHMENT OF CEILING RENTS.—
(1) Section 3(a)(2) of the United States Housing Act of
1937 is amended to read as follows:
‘‘(2) Notwithstanding paragraph (1), a public housing
agency may—
‘‘(A) adopt ceiling rents that reflect the reasonable
market value of the housing, but that are not less than
the monthly costs—
‘‘(i) to operate the housing of the agency; and
‘‘(ii) to make a deposit to a replacement reserve
(in the sole discretion of the public housing agency);
and
‘‘(B) allow families to pay ceiling rents referred to
in subparagraph (A), unless, with respect to any family,
the ceiling rent established under this paragraph would
exceed the amount payable as rent by that family under
paragraph (1).’’.
(2) REGULATIONS.—
(A) IN GENERAL.—The Secretary shall, by regulation,
after notice and an opportunity for public comment, estab-
lish such requirements as may be necessary to carry out
section 3(a)(2)(A) of the United States Housing Act of 1937,
as amended by paragraph (1).
(B) TRANSITION RULE.—Prior to the issuance of final
regulations under paragraph (1), a public housing agency
may implement ceiling rents, which shall be not less than
the monthly costs to operate the housing of the agency
and—
(i) determined in accordance with section 3(a)(2)(A)
of the United States Housing Act of 1937, as that
section existed on the day before enactment of this
Act;
(ii) equal to the 95th percentile of the rent paid
for a unit of comparable size by tenants in the same
public housing project or a group of comparable projects
totaling 50 units or more; or
(iii) equal to the fair market rent for the area
in which the unit is located.
(c) DEFINITION OF ADJUSTED INCOME.—Section 3(b)(5) of the
United States Housing Act of 1937 is amended—
(1) at the end of subparagraph (F), by striking ‘‘and’’;
(2) at the end of subparagraph (G), by striking the period
and inserting ‘‘; and’’; and
(3) by inserting after subparagraph (G) the following:
‘‘(H) for public housing, any other adjustments to
earned income established by the public housing agency.
If a public housing agency adopts other adjustments to
income pursuant to subparagraph (H), the Secretary shall
H. R. 2099—24
not take into account any reduction of or increase in the
public housing agency’s per unit dwelling rental income
resulting from those adjustments when calculating the con-
tributions under section 9 for the public housing agency
for the operation of the public housing.’’.
(d) REPEAL OF FEDERAL PREFERENCES.—
(1) PUBLIC
HOUSING.—Section 6(c)(4)(A) of the United
States Housing Act of 1937 (42 U.S.C. 1437d(c)(4)(A)) is
amended to read as follows:
‘‘(A) the establishment, after public notice and an
opportunity for public comment, of a written system of
preferences for admission to public housing, if any, that
is not inconsistent with the comprehensive housing afford-
ability strategy under title I of the Cranston-Gonzalez
National Affordable Housing Act;’’.
(2) SECTION 8 EXISTING AND MODERATE REHABILITATION.—
Section 8(d)(1)(A) of the United States Housing Act of 1937
(42 U.S.C. 1437f(d)(1)(A)) is amended to read as follows:
‘‘(A) the selection of tenants shall be the function of
the owner, subject to the provisions of the annual contribu-
tions contract between the Secretary and the agency, except
that for the certificate and moderate rehabilitation pro-
grams only, for the purpose of selecting families to be
assisted, the public housing agency may establish, after
public notice and an opportunity for public comment, a
written system of preferences for selection that is not
inconsistent with the comprehensive housing affordability
strategy under title I of the Cranston-Gonzalez National
Affordable Housing Act;’’.
(3) SECTION
VOUCHER
PROGRAM.—Section 8(o)(3)(B) of
the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(3)(B))
is amended to read as follows:
‘‘(B) For the purpose of selecting families to be assisted
under this subsection, the public housing agency may estab-
lish, after public notice and an opportunity for public com-
ment, a written system of preferences for selection that
is not inconsistent with the comprehensive housing afford-
ability strategy under title I of the Cranston-Gonzalez
National Affordable Housing Act.’’.
(4) SECTION
NEW
CONSTRUCTION
AND
SUBSTANTIAL
REHABILITATION.—
(A) REPEAL.—Section 545(c) of the Cranston-Gonzalez
National Affordable Housing Act (42 U.S.C. 1437f note)
is amended to read as follows:
‘‘(c) [Reserved.]’’.
(B) PROHIBITION.—Notwithstanding any other provi-
sion of law, no Federal tenant selection preferences under
the United States Housing Act of 1937 shall apply with
respect to—
(i) housing constructed or substantially rehabili-
tated pursuant to assistance provided under section
8(b)(2) of the United States Housing Act of 1937 (as
such section existed on the day before October 1, 1983);
or
(ii) projects financed under section 202 of the Hous-
ing Act of 1959 (as such section existed on the day
H. R. 2099—25
before the date of enactment of the Cranston-Gonzalez
National Affordable Housing Act).
(5) RENT
SUPPLEMENTS.—Section 101(k) of the Housing
and Urban Development Act of 1965 (12 U.S.C. 1701s(k)) is
amended to read as follows:
‘‘(k) [Reserved.]’’.
(6) CONFORMING AMENDMENTS.—
(A) UNITED STATES HOUSING ACT OF 1937.—The United
States Housing Act of 1937 (42 U.S.C. 1437 et seq.) is
amended—
(i) in section 6(o), by striking ‘‘preference rules
specified in’’ and inserting ‘‘written system of pref-
erences for selection established pursuant to’’;
(ii) in the second sentence of section 7(a)(2), by
striking ‘‘according to the preferences for occupancy
under’’ and inserting ‘‘in accordance with the written
system of preferences for selection established pursu-
ant to’’;
(iii) in section 8(d)(2)(A), by striking the last sen-
tence;
(iv) in section 8(d)(2)(H), by striking ‘‘Notwith-
standing subsection (d)(1)(A)(i), an’’ and inserting ‘‘An’’;
(v) in section 16(c), in the second sentence, by
striking ‘‘the system of preferences established by the
agency pursuant to section 6(c)(4)(A)(ii)’’ and inserting
‘‘the written system of preferences for selection estab-
lished by the public housing agency pursuant to section
6(c)(4)(A)’’; and
(vi) in section 24(e)—
(I) by striking ‘‘(e) EXCEPTIONS’’ and all that
follows through ‘‘The Secretary may’’ and inserting
the following:
‘‘(e) EXCEPTION
TO GENERAL PROGRAM REQUIREMENTS.—The
Secretary may’’; and
(II) by striking paragraph (2).
(B) CRANSTON-GONZALEZ NATIONAL AFFORDABLE HOUS-
ING
ACT.—Section 522(f)(6)(B) of the Cranston-Gonzalez
National Affordable Housing Act (42 U.S.C. 12704 et seq.)
is amended by striking ‘‘any preferences for such assistance
under section 8(d)(1)(A)(i)’’ and inserting ‘‘the written sys-
tem of preferences for selection established pursuant to
section 8(d)(1)(A)’’.
(C) HOUSING AND COMMUNITY DEVELOPMENT ACT OF
1992.—Section 655 of the Housing and Community Develop-
ment Act of 1992 (42 U.S.C. 13615) is amended by striking
‘‘the preferences’’ and all that follows up to the period
at the end and inserting ‘‘any preferences’’.
(D) REFERENCES IN OTHER LAW.—Any reference in any
Federal law other than any provision of any law amended
by paragraphs (1) through (5) of this subsection to the
preferences for assistance under section 6(c)(4)(A)(i),
8(d)(1)(A)(i), or 8(o)(3)(B) of the United States Housing
Act of 1937 (as such sections existed on the day before
the date of enactment of this Act) shall be considered
to refer to the written system of preferences for selection
established pursuant to section 6(c)(4)(A), 8(d)(1)(A), or
H. R. 2099—26
8(o)(3)(B), respectively, of the United States Housing Act
of 1937, as amended by this section.
(e) APPLICABILITY.—In accordance with section 201(b)(2) of the
United States Housing Act of 1937, the amendments made by
subsections (a), (b), (c), (d), and (f) of this section shall also apply
to public housing developed or operated pursuant to a contract
between the Secretary of Housing and Urban Development and
an Indian housing authority.
(f) This section shall be effective upon the enactment of this
Act and only for fiscal year 1996.
CONVERSION OF CERTAIN PUBLIC HOUSING TO VOUCHERS
SEC. 203. (a) IDENTIFICATION OF UNITS.—Each public housing
agency shall identify any public housing developments—
(1) that are on the same or contiguous sites;
(2) that total more than—
(A) 300 dwelling units; or
(B) in the case of high-rise family buildings or substan-
tially vacant buildings; 300 dwelling units;
(3) that have a vacancy rate of at least 10 percent for
dwelling units not in funded, on schedule modernization pro-
grams;
(4) identified as distressed housing that the public housing
agency cannot assure the long-term viability as public housing
through reasonable revitalization, density reduction, or achieve-
ment of a broader range of household income; and
(5) for which the estimated cost of continued operation
and modernization of the developments as public housing
exceeds the cost of providing tenant-based assistance under
section 8 of the United States Housing Act of 1937 for all
families in occupancy, based on appropriate indicators of cost
(such as the percentage of total development cost required
for modernization).
(b) IMPLEMENTATION AND ENFORCEMENT.—
(1) STANDARDS FOR IMPLEMENTATION.—The Secretary shall
establish standards to permit implementation of this section
in fiscal year 1996.
(2) CONSULTATION.—Each public housing agency shall con-
sult with the applicable public housing tenants and the unit
of general local government in identifying any public housing
developments under subsection (a).
(3) FAILURE OF PHAS TO COMPLY WITH SUBSECTION (a).—
Where the Secretary determines that—
(A) a public housing agency has failed under subsection
(a) to identify public housing developments for removal
from the inventory of the agency in a timely manner;
(B) a public housing agency has failed to identify one
or more public housing developments which the Secretary
determines should have been identified under subsection
(a); or
(C) one or more of the developments identified by the
public housing agency pursuant to subsection (a) should
not, in the determination of the Secretary, have been identi-
fied under that subsection;
the Secretary may designate the developments to be removed
from the inventory of the public housing agency pursuant to
this section.
H. R. 2099—27
(c) REMOVAL OF UNITS FROM THE INVENTORIES OF PUBLIC HOUS-
ING AGENCIES.—
(1) Each public housing agency shall develop and carry
out a plan in conjunction with the Secretary for the removal
of public housing units identified under subsection (a) or sub-
section (b)(3), over a period of up to five years, from the inven-
tory of the public housing agency and the annual contributions
contract. The plan shall be approved by the relevant local
official as not inconsistent with the Comprehensive Housing
Affordability Strategy under title I of the Housing and Commu-
nity Development Act of 1992, including a description of any
disposition and demolition plan for the public housing units.
(2) The Secretary may extend the deadline in paragraph
(1) for up to an additional five years where the Secretary
makes a determination that the deadline is impracticable.
(3) The Secretary shall take appropriate actions to ensure
removal of developments identified under subsection (a) or sub-
section (b)(3) from the inventory of a public housing agency,
if the public housing agency fails to adequately develop a plan
under paragraph (1), or fails to adequately implement such
plan in accordance with the terms of the plan.
(4) To the extent approved in appropriations Acts, the
Secretary may establish requirements and provide funding
under the Urban Revitalization Demonstration program for
demolition and disposition of public housing under this section.
(5) Notwithstanding any other provision of law, if a develop-
ment is removed from the inventory of a public housing agency
and the annual contributions contract pursuant to paragraph
(1), the Secretary may authorize or direct the transfer of—
(A) in the case of an agency receiving assistance under
the comprehensive improvement assistance program, any
amounts obligated by the Secretary for the modernization
of such development pursuant to section 14 of the United
States Housing Act of 1937;
(B) in the case of an agency receiving public and Indian
housing modernization assistance by formula pursuant to
section 14 of the United States Housing Act of 1937, any
amounts provided to the agency which are attributable
pursuant to the formula for allocating such assistance to
the development removed from the inventory of that
agency; and
(C) in the case of an agency receiving assistance for
the major reconstruction of obsolete projects, any amounts
obligated by the Secretary for the major reconstruction
of the development pursuant to section 5 of such Act,
to the tenant-based assistance program or appropriate site
revitalization of such agency.
(6) CESSATION OF UNNECESSARY SPENDING.—Notwithstand-
ing any other provision of law, if, in the determination of
the Secretary, a development meets or is likely to meet the
criteria set forth in subsection (a), the Secretary may direct
the public housing agency to cease additional spending in
connection with the development, except to the extent that
additional spending is necessary to ensure decent, safe, and
sanitary housing until the Secretary determines or approves
an appropriate course of action with respect to such develop-
ment under this section.
H. R. 2099—28
(d) CONVERSION TO TENANT-BASED ASSISTANCE.—
(1) The Secretary shall make authority available to a public
housing agency to provide tenant-based assistance pursuant
to section 8 to families residing in any development that is
removed from the inventory of the public housing agency and
the annual contributions contract pursuant to subsection (b).
(2) Each conversion plan under subsection (c) shall—
(A) require the agency to notify families residing in
the development, consistent with any guidelines issued by
the Secretary governing such notifications, that the devel-
opment shall be removed from the inventory of the public
housing agency and the families shall receive tenant-based
or project-based assistance, and to provide any necessary
counseling for families; and
(B) ensure that all tenants affected by a determination
under this section that a development shall be removed
from the inventory of a public housing agency shall be
offered tenant-based or project-based assistance and shall
be relocated, as necessary, to other decent, safe, sanitary,
and affordable housing which is, to the maximum extent
practicable, housing of their choice.
(e) IN GENERAL.—
(1) The Secretary may require a public housing agency
to provide such information as the Secretary considers nec-
essary for the administration of this section.
(2) As used in this section, the term ‘‘development’’ shall
refer to a project or projects, or to portions of a project or
projects, as appropriate.
(3) Section 18 of the United States Housing Act of 1937
shall not apply to the demolition of developments removed
from the inventory of the public housing agency under this
section.
STREAMLINING SECTION 8 TENANT-BASED ASSISTANCE
SEC. 204. (a) ‘‘TAKE-ONE, TAKE-ALL’’.—Section 8(t) of the United
States Housing Act of 1937 is hereby repealed.
(b) EXEMPTION FROM NOTICE REQUIREMENTS
FOR
THE CER-
TIFICATE
AND VOUCHER PROGRAMS.—Section 8(c) of such Act is
amended—
(1) in paragraph (8), by inserting after ‘‘section’’ the follow-
ing: ‘‘(other than a contract for assistance under the certificate
or voucher program)’’; and
(2) in the first sentence of paragraph (9), by striking ‘‘(but
not less than 90 days in the case of housing certificates or
vouchers under subsection (b) or (o))’’ and inserting ‘‘, other
than a contract under the certificate or voucher program’’.
(c) ENDLESS
LEASE.—Section 8(d)(1)(B) of such Act is
amended—
(1) in clause (ii), by inserting ‘‘during the term of the
lease,’’ after ‘‘(ii)’’; and
(2) in clause (iii), by striking ‘‘provide that’’ and inserting
‘‘during the term of the lease,’’.
(d) APPLICABILITY.—The provisions of this section shall be effec-
tive for fiscal year 1996 only.
H. R. 2099—29
SECTION 8 FAIR MARKET RENTALS, ADMINISTRATIVE FEES, AND DELAY
IN REISSUANCE
SEC. 205. (a) FAIR MARKET RENTALS.—The Secretary shall
establish fair market rentals for purposes of section 8(c)(1) of the
United States Housing Act of 1937, as amended, that shall be
effective for fiscal year 1996 and shall be based on the 40th percent-
ile rent of rental distributions of standard quality rental housing
units. In establishing such fair market rentals, the Secretary shall
consider only the rents for dwelling units occupied by recent movers
and may not consider the rents for public housing dwelling units
or newly constructed rental dwelling units.
(b) ADMINISTRATIVE FEES.—Notwithstanding sections 8(q) (1)
and (4) of the United States Housing Act of 1937, for fiscal year
1996, the fee for each month for which a dwelling unit is covered
by an assistance contract under the certificate, voucher, or moderate
rehabilitation program under section 8 of such Act shall be equal
to the monthly fee payable for fiscal year 1995: Provided, That
this subsection shall be applicable to all amounts made avail-
able for such fees during fiscal year 1996, as if in effect on October
1, 1995.
(c) DELAY REISSUANCE OF VOUCHERS AND CERTIFICATES.—Not-
withstanding any other provision of law, a public housing agency
administering certificate or voucher assistance provided under sub-
section (b) or (o) of section 8 of the United States Housing Act
of 1937, as amended, shall delay for 3 months, the use of any
amounts of such assistance (or the certificate or voucher represent-
ing assistance amounts) made available by the termination during
fiscal year 1996 of such assistance on behalf of any family for
any reason, but not later than October 1, 1996; with the exception
of any certificates assigned or committed to project-based assistance
as permitted otherwise by the Act, accomplished prior to the effec-
tive date of this Act.
PUBLIC HOUSING/SECTION 8 MOVING TO WORK DEMONSTRATION
SEC. 206. (a) PURPOSE.—The purpose of this demonstration
is to give public housing agencies and the Secretary of Housing
and Urban Development the flexibility to design and test various
approaches for providing and administering housing assistance that:
reduce cost and achieve greater cost effectiveness in Federal
expenditures; give incentives to families with children where the
head of household is working, seeking work, or is preparing for
work by participating in job training, educational programs, or
programs that assist people to obtain employment and become
economically self-sufficient; and increase housing choices for low-
income families.
(b) PROGRAM AUTHORITY.—The Secretary of Housing and Urban
Development shall conduct a demonstration program under this
section beginning in fiscal year 1996 under which up to 30 public
housing agencies (including Indian housing authorities) administer-
ing the public or Indian housing program and the section 8 housing
assistance payments program, administering a total number of pub-
lic housing units not in excess of 25,000, may be selected by the
Secretary to participate. The Secretary shall provide training and
technical assistance during the demonstration and conduct detailed
evaluations of up to 15 such agencies in an effort to identify
replicable program models promoting the purpose of the demonstra-