H. R. 2099—38
(b) The Secretary of Housing and Urban Development shall
cancel the indebtedness of the Groveton Texas Hospital Authority
relating to the public facilities loan for Project Number TEX–41–
PFL0162, issued under title II of the Housing Amendments of
1955. Such hospital authority is relieved of all liability to the
Government for the outstanding principal balance on such loan,
for the amount of accrued interest on such loan, and for any
fees and charges payable in connection with such loan.
(c) The Secretary of Housing and Urban Development shall
cancel the indebtedness of the Hepzibah Public Service District
of Hepzibah, West Virginia, relating to the public facilities loan
for Project Number WV–46–PFL0031, issued under title II of the
Housing Amendments of 1955. Such public service district is
relieved of all liability to the Government for the outstanding prin-
cipal balance on such loan, for the amount of accrued interest
on such loan, and for any fees and charges payable in connection
with such loan.
CLARIFICATIONS
SEC. 219. For purposes of Federal law, the Paul Mirabile Center
in San Diego, California, including areas within such Center that
are devoted to the delivery of supportive services, has been deter-
mined to satisfy the ‘‘continuum of care’’ requirements of the Depart-
ment of Housing and Urban Development, and shall be treated
as—
(a) consisting solely of residential units that (i) contain
sleeping accommodations and kitchen and bathroom facilities,
(ii) are located in a building that is used exclusively to facilitate
the transition of homeless individuals (within the meaning
of section 103 of the Stewart B. McKinney Homeless Assistance
Act (42 U.S.C. 11302), as in effect on December 19, 1989)
to independent living within 24 months, (iii) are suitable for
occupancy, with each cubicle constituting a separate bedroom
and residential unit, (iv) are used on other than a transient
basis, and (v) shall be originally placed in service on November
1, 1995; and
(b) property that is entirely residential rental property,
namely, a project for residential rental property.
EMPLOYMENT LIMITATIONS
SEC. 220. (a) By the end of fiscal year 1996 the Department
of Housing and Urban Development shall employ no more than
seven Assistant Secretaries, notwithstanding section 4(a) of the
Department of Housing and Urban Development Act.
(b) By the end of fiscal year 1996 the Department of Housing
and Urban Development shall employ no more than 77 schedule
C and 20 non-career senior executive service employees.
USE OF FUNDS
SEC. 221. (a) Of the $93,400,000 earmarked in Public Law
101–144 (103 Stat. 850), as amended by Public Law 101–302 (104
Stat. 237), for special projects and purposes, any amounts remaining
of the $500,000 made available to Bethlehem House in Highland,
California, for site planning and loan acquisition shall instead be
made available to the County of San Bernardino in California
H. R. 2099—39
to assist with the expansion of the Los Padrinos Gang Intervention
Program and the Unity Home Domestic Violence Shelter.
(b) The amount made available for fiscal year 1995 for the
removal of asbestos from an abandoned public school building in
Toledo, Ohio shall be made available for the renovation and
rehabilitation of an industrial building at the University of Toledo
in Toledo, Ohio.
LEAD-BASED PAINT ABATEMENT
SEC. 222. (a) Section 1011 of Title X—Residential Lead-Based
Paint Hazard Reduction Act of 1992 is amended as follows: Strike
‘‘priority housing’’ wherever it appears in said section and insert
‘‘housing’’.
(b) Section 1011(a) shall be amended as follows: At the end
of the subsection after the period, insert: ‘‘Grants shall only be
made under this section to provide assistance for housing which
meets the following criteria—
‘‘(1) for grants made to assist rental housing, at least
50 percent of the units must be occupied by or made available
to families with incomes at or below 50 percent of the area
median income level and the remaining units shall be occupied
or made available to families with incomes at or below 80
percent of the area median income level, and in all cases
the landlord shall give priority in renting units assisted under
this section, for not less than 3 years following the completion
of lead abatement activities, to families with a child under
the age of six years, except that buildings with five or more
units may have 20 percent of the units occupied by families
with incomes above 80 percent of area median income level;
‘‘(2) for grants made to assist housing owned by owner-
occupants, all units assisted with grants under this section
shall be the principal residence of families with income at
or below 80 percent of the area median income level, and
not less than 90 percent of the units assisted with grants
under this section shall be occupied by a child under the age
of six years or shall be units where a child under the age
of six years spends a significant amount of time visiting; and
‘‘(3) notwithstanding paragraphs (1) and (2), Round II
grantees who receive assistance under this section may use
such assistance for priority housing.’’.
EXTENSION PERIOD FOR SHARING UTILITY COST SAVINGS WITH PHAS
SEC. 223. Section 9(a)(3)(B)(i) of the United States Housing
Act of 1937 is amended by striking ‘‘for a period not to exceed
6 years’’.
MORTGAGE NOTE SALES
SEC. 223A. The first sentence of section 221(g)(4)(C)(viii) of
the National Housing Act is amended by striking ‘‘September 30,
1995’’ and inserting in lieu thereof ‘‘September 30, 1996’’.
REPEAL OF FROST-LELAND
SEC. 223B. Section 415 of the Department of Housing and
Urban Development—Independent Agencies Appropriations Act,
1988 (Public Law 100–202; 101 Stat. 1329–213) is repealed.
H. R. 2099—40
FHA SINGLE-FAMILY ASSIGNMENT PROGRAM REFORM
SEC. 223C. (a) FORECLOSURE AVOIDANCE.—The last sentence
of section 204(a) of the National Housing Act (12 U.S.C. 1710(a))
is amended by inserting before the period the following: ‘‘:And
provided further, That the Secretary may pay insurance benefits
to the mortgagee to recompense the mortgagee for its actions to
provide an alternative to the foreclosure of a mortgage that is
in default, which actions may include special foreclosure, loan modi-
fication, and deeds in lieu of foreclosure, all upon terms and condi-
tions as the mortgagee shall determine in the mortgagee’s sole
discretion, within guidelines provided by the Secretary, but which
may not include assignment of a mortgage to the Secretary: And
provided further, That for purposes of the preceding proviso, no
action authorized by the Secretary and no action taken, nor any
failure to act, by the Secretary or the mortgagee shall be subject
to judicial review.’’.
(b) AUTHORITY TO ASSIST MORTGAGORS IN DEFAULT.—Section
230 of the National Housing Act (12 U.S.C. 1715u) is amended
to read as follows:
‘‘AUTHORITY TO ASSIST MORTGAGORS IN DEFAULT
‘‘SEC. 230. (a) PAYMENT
OF PARTIAL CLAIM.—The Secretary
may establish a program for payment of a partial claim to a mortga-
gee that agrees to apply the claim amount to payment of a mortgage
on a 1- to 4-family residence that is in default. Any such payment
under such program to the mortgagee shall be made in the sole
discretion of the Secretary and on terms and conditions acceptable
to the Secretary, except that—
‘‘(1) the amount of the payment shall be in an amount
determined by the Secretary, not to exceed an amount equiva-
lent to 12 of the monthly mortgage payments and any costs
related to the default that are approved by the Secretary;
and
‘‘(2) the mortgagor shall agree to repay the amount of
the insurance claim to the Secretary upon terms and conditions
acceptable to the Secretary.
The Secretary may pay the mortgagee, from the appropriate insur-
ance fund, in connection with any activities that the mortgagee
is required to undertake concerning repayment by the mortgagor
of the amount owed to the Secretary.
‘‘(b) ASSIGNMENT.—
‘‘(1) PROGRAM AUTHORITY.—The Secretary may establish
a program for assignment to the Secretary, upon request of
the mortgagee, of a mortgage on a 1- to 4-family residence
insured under this Act.
‘‘(2) PROGRAM REQUIREMENTS.—The Secretary may accept
assignment of a mortgage under a program under this sub-
section only if—
‘‘(A) the mortgage was in default;
‘‘(B) the mortgagee has modified the mortgage to cure
the default and provide for mortgage payments within the
reasonable ability of the mortgagor to pay, at interest rates
not exceeding current market interest rates; and
‘‘(C) the Secretary arranges for servicing of the
assigned mortgage by a mortgagee (which may include
the assigning mortgagee) through procedures that the Sec-
H. R. 2099—41
retary has determined to be in the best interests of the
appropriate insurance fund.
‘‘(3) PAYMENT
OF
INSURANCE
BENEFITS.—Upon accepting
assignment of a mortgage under a program established under
this subsection, the Secretary may pay insurance benefits to
the mortgagee from the appropriate insurance fund, in an
amount that the Secretary determines to be appropriate, not
to exceed the amount necessary to compensate the mortgagee
for the assignment and any losses and expenses resulting from
the mortgage modification.
‘‘(c) PROHIBITION OF JUDICIAL REVIEW.—No decision by the Sec-
retary to exercise or forego exercising any authority under this
section shall be subject to judicial review.’’.
(c) SAVINGS PROVISION.—Any mortgage for which the mortgagor
has applied to the Secretary, before the date of enactment of the
Departments of Veterans Affairs and Housing and Urban Develop-
ment, and Independent Agencies Appropriations Act, 1996, for
assignment pursuant to subsection (b) of this section as in effect
before such date of enactment shall continue to be governed by
the provisions of such section, as in effect immediately before such
date of enactment.
(d) APPLICABILITY OF OTHER LAWS.—No provision of this Act,
or any other law, shall be construed to require the Secretary of
Housing and Urban Development to provide an alternative to fore-
closure for mortgagees with mortgages on 1- to 4-family residences
insured by the Secretary under the National Housing Act, or to
accept assignments of such mortgages.
(e) APPLICABILITY OF AMENDMENTS.—Except as provided in sub-
section (d), the amendments made by subsections (a) and (b) shall
apply with respect to mortgages originated before fiscal year 1996.
(f) REGULATIONS.—Not later than 60 days after the date of
enactment of this Act, the Secretary of Housing and Urban Develop-
ment shall issue interim regulations to implement this section
and amendments made by this section.
(g) EFFECTIVENESS AND APPLICABILITY.—If this Act is enacted
after the date of enactment of the Balanced Budget Act of 1995—
(1) subsections (a), (b), (c), (d), and (e) of this section shall
not take effect; and
(2) section 2052(c) of the Balanced Budget Act of 1995
is amended by striking ‘‘that are originated on or after October
1, 1995’’ and inserting in lieu thereof ‘‘to mortgages originated
before, during, and after fiscal year 1996.’’.
SPENDING LIMITATIONS
SEC. 223D. (a) None of the funds in this Act may be used
by the Secretary to impose any sanction, or penalty because of
the enactment of any State or local law or regulation declaring
English as the official language.
(b) No part of any appropriation contained in this Act shall
be used for lobbying activities as prohibited by law.
TRANSFER OF FUNCTIONS TO THE DEPARTMENT OF JUSTICE
SEC. 223E. All functions, activities and responsibilities of the
Secretary of Housing and Urban Development relating to title VIII
of the Civil Rights Act of 1968, as amended by the Fair Housing
Amendments Act of 1988, and the Fair Housing Act, including