H. R. 4194—20
FLEXIBLE SUBSIDY FUND
(TRANSFER OF FUNDS)
From the Rental Housing Assistance Fund, all uncommitted
balances of excess rental charges as of September 30, 1998, and
any collections made during fiscal year 1999, shall be transferred
to the Flexible Subsidy Fund, as authorized by section 236(g) of
the National Housing Act, as amended.
FEDERAL HOUSING ADMINISTRATION
FHA—MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)
During fiscal year 1999, 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.
During fiscal year 1999, obligations to make direct loans to
carry out the purposes of section 204(g) of the National Housing
Act, as amended, shall not exceed $100,000,000: 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 the
Mutual Mortgage Insurance Fund.
For administrative expenses necessary to carry out the guaran-
teed and direct loan program, $328,888,000, to be derived from
the FHA-mutual mortgage insurance guaranteed loans receipt
account, of which not to exceed $324,866,000 shall be transferred
to the appropriation for departmental salaries and expenses; and
of which not to exceed $4,022,000 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 loan guarantee modifications (as that
term is defined in section 502 of the Congressional Budget Act
of 1974, as amended), $81,000,000, to remain available until
expended: Provided, That these funds are available to subsidize
total loan principal, any part of which is to be guaranteed, of
up to $18,100,000,000: Provided further, That any amounts made
available in any prior appropriations 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 avail-
able to the Secretary of Housing and Urban Development in connec-
tion with the making of such guarantees and shall remain available
until expended, notwithstanding 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, and 519(a) of the National
Housing Act, shall not exceed $50,000,000; of which not to exceed
H. R. 4194—21
$30,000,000 shall be for bridge financing in connection 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 governmental enti-
ties 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, $211,455,000, of
which $193,134,000, shall be transferred to the appropriation for
departmental salaries and expenses; and of which $18,321,000 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
(INCLUDING TRANSFER OF FUNDS)
During fiscal year 1999, 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
$150,000,000,000.
For administrative expenses necessary to carry out the guaran-
teed mortgage-backed securities program, $9,383,000, to be derived
from the GNMA-guarantees of mortgage-backed securities guaran-
teed loan receipt account, of which not to exceed $9,383,000 shall
be transferred to the appropriation for departmental salaries and
expenses.
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,
$47,500,000, to remain available until September 30, 2000.
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 section 561 of the Housing and Community Development Act
of 1987, as amended, $40,000,000, to remain available until Septem-
ber 30, 2000, of which $23,500,000 shall be to carry out activities
pursuant to such section 561: Provided, That no funds made avail-
able under this heading shall be used to lobby the executive or
legislative branches of the Federal Government in connection with
a specific contract, grant or loan.
H. R. 4194—22
OFFICE OF LEAD HAZARD CONTROL
LEAD HAZARD REDUCTION
For the Lead Hazard Reduction Program, as authorized by
sections 1011 and 1053 of the Residential Lead-Based Hazard
Reduction Act of 1992, $80,000,000 to remain available until
expended, of which $2,500,000 shall be for CLEARCorps and
$10,000,000 shall be for a Healthy Homes Initiative, which shall
be a program pursuant to sections 501 and 502 of the Housing
and Urban Development Act of 1970 that shall include research,
studies, testing, and demonstration efforts, including education and
outreach concerning lead-based paint poisoning and other housing-
related environmental diseases and hazards.
MANAGEMENT AND ADMINISTRATION
SALARIES AND EXPENSES
(INCLUDING TRANSFER OF FUNDS)
For necessary administrative and non-administrative 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, 
$985,826,000, 
of 
which
$518,000,000 shall be provided from the various funds of the Federal
Housing Administration, $9,383,000 shall be provided from funds
of the Government National Mortgage Association, $1,000,000 shall
be provided from the ‘‘Community Development Grants Program’’
account, $200,000 shall be provided by transfer from the ‘‘Title
VI Indian Federal Guarantees Program’’ account, and $400,000
shall be provided by transfer from the ‘‘Indian Housing Loan
Guarantee Fund Program’’ account: Provided, That the Department
is prohibited from employing more than 77 schedule C and 20
noncareer Senior Executive Service employees.
OFFICE OF INSPECTOR GENERAL
(INCLUDING TRANSFER OF FUNDS)
For necessary expenses of the Office of Inspector General in
carrying out the Inspector General Act of 1978, as amended,
$81,910,000, of which $22,343,000 shall be provided from the var-
ious funds of the Federal Housing Administration and $10,000,000
shall be provided from the amount earmarked for Operation Safe
Home in the ‘‘Drug Elimination Grants for Low-Income Housing’’
account: Provided, That the Inspector General shall have independ-
ent authority over all personnel issues within the Office of Inspector
General.
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, $16,000,000, to remain available
until expended, to be derived from the Federal Housing Enterprise
Oversight Fund: Provided, That not to exceed such amount shall
H. R. 4194—23
be available from the General Fund of the Treasury to the extent
necessary to incur obligations and make expenditures pending the
receipt of collections to the Fund: Provided further, That the General
Fund amount shall be reduced as collections are received during
the fiscal year so as to result in a final appropriation from the
General Fund estimated at not more than $0.
ADMINISTRATIVE PROVISIONS
PUBLIC AND ASSISTED HOUSING RENTS, PREFERENCES, AND
FLEXIBILITY
SEC. 201. Section 201(a)(2) of the Departments of Veterans
Affairs and Housing and Urban Development, and Independent
Agencies Appropriations Act, 1996 (42 U.S.C. 1437l note), is amend-
ed to read as follows:
‘‘(2) APPLICABILITY.—Section 14(q) of the United States
Housing Act of 1937 shall be effective only with respect to
assistance provided from funds made available for fiscal year
1999 or any preceding fiscal year, except that the authority
in the first sentence of section 14(q)(1) to use up to 10 percent
of the allocation of certain funds for any operating subsidy
purpose shall not apply to amounts made available for fiscal
years 1998 and 1999.’’.
GSE DEFAULT LOSS PROTECTION
SEC. 202. (a) Section 305(a)(2) of the Federal Home Loan Mort-
gage Corporation Act is amended in the first sentence by—
(1) striking ‘‘or’’ at the end of clause (B);
(2) striking the period at the end of the first sentence
and inserting: ‘‘; or (D) the mortgage is subject to default
loss protection that the Corporation determines is financially
equal or superior, on an individual or pooled basis, to the
protection provided by clause (C) of this sentence: Provided,
That if the Director of the Office of Federal Housing Enterprise
Oversight subsequently finds that such default loss protection
determined by the Corporation does not provide such equal
or superior protection, the Corporation shall provide such addi-
tional default loss protection for such mortgage, as approved
by the Director of the Office of Federal Housing Enterprise
Oversight, necessary to provide such equal or superior protec-
tion.’’.
(b) Section 1313(b) of the Federal Housing Enterprises Finan-
cial Housing Safety and Soundness Act of 1992 is amended by
redesignating paragraphs (9), (10), and (11) as paragraphs (10),
(11), and (12), respectively, and inserting the following new para-
graph (9):
‘‘(9) default loss protection levels under section 305(a)(2)(D)
of the Federal Home Loan Mortgage Corporation Act;’’.
FINANCING ADJUSTMENT FACTORS
SEC. 203. Fifty percent of the amounts of budget authority,
or in lieu thereof 50 percent 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