fiscal control and fund accounting procedures 
as may be necessary to assure the proper dis-
bursal of, and accounting for, Federal funds 
awarded to the continuum of care board under 
subtitle C in order to ensure that all financial 
transactions carried out under subtitle C are 
conducted, and records maintained, in accord-
ance with generally accepted accounting prin-
ciples; and 
‘‘(C) for a selected sample of continuum of 
care boards receiving funds under subtitle C— 
‘‘(i) ensure that each selected con-
tinuum of care board has satisfactorily car-
ried out the recordkeeping and reporting 
requirements of subsections (a) and (b), 
section 429(b)(3), and, if applicable, sec-
tion 429(b)(6); and 
‘‘(ii) audit the financial records of 
each selected continuum of care board re-
ceiving funds under subtitle C to carry out 
section 423(a)(9)(A), using Federal audi-
tors or their designate. 
‘‘(2) PROJECT
SPONSORS.—At time intervals 
determined by the Secretary, the Secretary shall se-
lect a sample of project sponsors and shall conduct 
VerDate Aug 31 2005 
02:12 Apr 01, 2006
Jkt 049196
PO 00000
Frm 00023
Fmt 6652
Sfmt 6201
E:\BILLS\H5041.IH
H5041
rfake on PROD1PC77 with BILLS
a performance evaluation of each project of each se-
lected project sponsor funded under subtitle C, using 
the outcome-based evaluation measures developed by 
the appropriate continuum of care board in accord-
ance with section 402(g)(2) and including the meas-
urements described in section 423(a)(9). 
‘‘(d) ACTION BY SECRETARY.—Based on the infor-
mation available to the Secretary, including information 
obtained pursuant to subsections (b) and (c), the Sec-
retary may adjust, reduce, or withdraw amounts made 
available (or that would otherwise be made available) to 
continuum of care boards, or take other action as appro-
priate, except that amounts already properly expended on 
eligible activities under this title may not be recaptured 
by the Secretary.’’; and 
(5) by inserting after section 406 (as redesig-
nated in paragraph (2)) the following: 
‘‘SEC. 407. AUTHORIZATION OF APPROPRIATIONS. 
‘‘(a) IN GENERAL.—There are authorized to be ap-
propriated to carry out this title $1,536,000,000 for fiscal 
year 2007 and such sums as may be necessary for each 
of fiscal years 2008, 2009, 2010, and 2011. 
‘‘(b) SAMARITAN CHRONIC HOMELESSNESS INITIA-
TIVE.—Of the amounts specified in subsection (a), no 
more than $200,000,000 for fiscal year 2007 and such 
VerDate Aug 31 2005 
02:12 Apr 01, 2006
Jkt 049196
PO 00000
Frm 00024
Fmt 6652
Sfmt 6201
E:\BILLS\H5041.IH
H5041
rfake on PROD1PC77 with BILLS
sums as may be necessary for fiscal years 2008, 2009, 
2010, and 2011 shall be used for the Samaritan Chronic 
Homelessness Initiative authorized under section 425.’’. 
SEC. 4. EMERGENCY SHELTER GRANTS PROGRAM. 
Subtitle B of title IV of the McKinney Vento Home-
less Assistance Act (42 U.S.C. 11371 et seq.) is amend-
ed— 
(1) by striking section 412 (42 U.S.C. 11372) 
and inserting the following: 
‘‘SEC. 412. GRANT ASSISTANCE. 
‘‘The Secretary shall, to the extent amounts are ap-
proved in appropriations Acts under section 407, make 
grants to States and local governments (and to private 
nonprofit organizations providing assistance to persons ex-
periencing homelessness, in the case of grants made with 
reallocated amounts) for the purpose of carrying out ac-
tivities described in section 414. 
‘‘SEC. 412A. AMOUNT AND ALLOCATION OF ASSISTANCE. 
‘‘(a) IN GENERAL.—Of the amount appropriated to 
carry out title IV for a fiscal year, the Secretary shall allo-
cate nationally not more than 15 percent of such amount 
for subtitle B. 
‘‘(b) ALLOCATION.—An entity that receives a grant 
under section 412, and serves an area that includes one 
or more geographic areas (or portions of such areas) 
VerDate Aug 31 2005 
02:12 Apr 01, 2006
Jkt 049196
PO 00000
Frm 00025
Fmt 6652
Sfmt 6201
E:\BILLS\H5041.IH
H5041
rfake on PROD1PC77 with BILLS
served by continuum of care boards that submit applica-
tions under subtitle C, shall allocate the funds made avail-
able through the grant to carry out activities described 
in section 414, in consultation with the continuum of care 
boards.’’; 
(2) in section 413(b) (42 U.S.C. 11373(b)), by 
striking ‘‘amounts appropriated’’ and all that follows 
through ‘‘for any’’ and inserting ‘‘amounts appro-
priated under section 407 and made available to 
carry out this subtitle for any’’; 
(3) by striking section 414 (42 U.S.C. 11374) 
and inserting the following: 
‘‘SEC. 414. ELIGIBLE ACTIVITIES. 
‘‘Assistance provided under section 412 may be used 
for the following activities: 
‘‘(1) The renovation, major rehabilitation, or 
conversion of buildings to be used as emergency 
shelters. 
‘‘(2) The provision of essential services, includ-
ing services concerned with employment, health, or 
education, family support services for homeless 
youth, alcohol or drug abuse prevention or treat-
ment, or mental health treatment, if such essential 
services have not been provided by the local govern-
ment during any part of the immediately preceding 
VerDate Aug 31 2005 
02:12 Apr 01, 2006
Jkt 049196
PO 00000
Frm 00026
Fmt 6652
Sfmt 6201
E:\BILLS\H5041.IH
H5041
rfake on PROD1PC77 with BILLS
12 month period, or the use of assistance under this 
subtitle would complement the provision of those es-
sential services. 
‘‘(3) Maintenance, operation insurance, provi-
sion of utilities, and provision of furnishings.’’; 
(4) by repealing section 417 (42 U.S.C. 11377); 
and 
(5) by redesignating section 418 (42 U.S.C. 
11378) as section 417. 
SEC. 5. HOMELESS ASSISTANCE PROGRAM. 
Subtitle C of title IV of the McKinney Vento Home-
less Assistance Act (42 U.S.C. 11381 et seq.) is amend-
ed— 
(1) by striking the subtitle heading and insert-
ing the following: 
‘‘Subtitle C—Homeless Housing 
Program’’. 
(2) by striking sections 421 through 423 (42 
U.S.C. 11381 et seq.) and inserting the following: 
‘‘SEC. 421. PURPOSES. 
‘‘The purposes of this subtitle are— 
‘‘(1) to promote the implementation of activities 
that can prevent vulnerable individuals and families 
from becoming homeless; 
VerDate Aug 31 2005 
02:12 Apr 01, 2006
Jkt 049196
PO 00000
Frm 00027
Fmt 6652
Sfmt 6201
E:\BILLS\H5041.IH
H5041
rfake on PROD1PC77 with BILLS