rectly by the owner of such housing, or to not re-
ceive any supportive services.’’. 
(f) DEVELOPMENT COST LIMITATIONS.—Subsection 
(h) of section 811 is amended— 
(1) in paragraph (1)— 
(A) by striking the paragraph heading and 
inserting ‘‘GROUP HOMES’’; 
(B) in the first sentence, by striking ‘‘var-
ious types and sizes’’ and inserting ‘‘group 
homes’’; 
(C) by striking subparagraph (E); and 
(D) by redesignating subparagraphs (F) 
and (G) as subparagraphs (E) and (F), respec-
tively; 
(2) in paragraph (3), by inserting ‘‘established 
pursuant to paragraph (1)’’ after ‘‘cost limitation’’; 
and 
(3) by adding at the end the following new para-
graph: 
‘‘(6) APPLICABILITY OF HOME PROGRAM COST 
LIMITATIONS.— 
‘‘(A) IN GENERAL.—The provisions of sec-
tion 212(e) of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12742(e)) 
and the cost limits established by the Secretary 
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mstockstill on PROD1PC66 with BILLS
pursuant to such section with respect to the 
amount of funds under subtitle A of title II of 
such Act that may be invested on a per unit 
basis, shall apply to supportive housing assisted 
with a capital advance under subsection (d)(1) 
and the amount of funds under such subsection 
that may be invested on a per unit basis. 
‘‘(B) WAIVERS.—The Secretary shall pro-
vide for waiver of the cost limits applicable pur-
suant to subparagraph (A)— 
‘‘(i) in the cases in which the cost lim-
its established pursuant to section 212(e) of 
the Cranston-Gonzalez National Affordable 
Housing Act may be waived; and 
‘‘(ii) to provide for— 
‘‘(I) the cost of special design fea-
tures to make the housing accessible to 
persons with disabilities; 
‘‘(II) the cost of special design fea-
tures necessary to make individual 
dwelling units meet the special needs of 
persons with disabilities; and 
‘‘(III) the cost of providing the 
housing in a location that is accessible 
to public transportation and commu-
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mstockstill on PROD1PC66 with BILLS
nity organizations that provide sup-
portive services to persons with disabil-
ities.’’. 
(g) REPEAL OF AUTHORITY TO WAIVE SIZE LIMITA-
TIONS.—Paragraph (1) of section 811(k) is amended— 
(1) in paragraph (1), by striking the second sen-
tence; and 
(2) in paragraph (4), by striking ‘‘(or such high-
er number of persons’’ and all that follows through 
‘‘subsection (h)(6))’’. 
(h) 
MINIMUM
ALLOCATION
FOR
MULTIFAMILY 
PROJECTS.—Subsection (l) of section 811, as amended by 
the preceding provisions of this Act, is further amended by 
inserting before paragraph (2) the following new para-
graph: 
‘‘(1) MINIMUM
ALLOCATION
FOR
MULTIFAMILY 
PROJECTS.—The Secretary shall establish a minimum 
percentage of the amount made available for each fis-
cal year for capital advances under subsection (d)(1) 
that shall be used for multifamily projects subject to 
subsection (e)(4).’’. 
SEC. 4. PROJECT RENTAL ASSISTANCE COMPETITIVE DEM-
ONSTRATION PROGRAM. 
Section 811, as amended by the preceding provisions 
of this Act, is further amended— 
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mstockstill on PROD1PC66 with BILLS
(1) by redesignating subsections (k) through (n) 
as subsections (l) through (o), respectively; and 
(2) by inserting after subsection (j) the following 
new subsection: 
‘‘(k) PROJECT RENTAL ASSISTANCE-ONLY COMPETI-
TIVE DEMONSTRATION PROGRAM.— 
‘‘(1) AUTHORITY.—The Secretary shall carry out 
a demonstration program under this subsection to ex-
pand the supply of supportive housing for non-elderly 
adults with disabilities, under which the Secretary 
shall make funds available for project rental assist-
ance pursuant to paragraph (2) for eligible projects 
under paragraph (3). The Secretary shall provide for 
State housing finance agencies and other appropriate 
entities to apply to the Secretary for such project 
rental assistance funds, which shall be made available 
by such agencies and entities for dwelling units in eli-
gible projects based upon criteria established by the 
Secretary for the demonstration program under this 
subsection. The Secretary may not require any State 
housing finance agency or other entity applying for 
project rental assistance funds under the demonstra-
tion program to identify in such application the eligi-
ble projects for which such funds will be used, and 
shall allow such agencies and applicants to subse-
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quently identify such eligible projects pursuant to the 
making of commitments described in paragraph 
(3)(B). 
‘‘(2) PROJECT RENTAL ASSISTANCE.— 
‘‘(A) CONTRACT TERMS.—Project rental as-
sistance under the demonstration program under 
this subsection shall be provided— 
‘‘(i) in accordance with subsection 
(d)(2); and 
‘‘(ii) under a contract having an ini-
tial term of not less than 180 months that 
provides funding for a term 60 months, 
which funding shall be renewed upon expi-
ration, subject to the availability of suffi-
cient amounts in appropriation Acts. 
‘‘(B) LIMITATION ON UNITS ASSISTED.—Of 
the total number of dwelling units in any multi-
family housing project containing any unit for 
which project rental assistance under the dem-
onstration program under this subsection is pro-
vided, the aggregate number that are provided 
such project rental assistance, that are used for 
supportive housing for persons with disabilities, 
or to which any occupancy preference for persons 
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with disabilities applies, may not exceed 25 per-
cent of such total. 
‘‘(C) 
PROHIBITION
OF
CAPITAL
AD-
VANCES.—The Secretary may not provide a cap-
ital advance under subsection (d)(1) for any 
project for which assistance is provided under 
the demonstration program. 
‘‘(D) ELIGIBLE POPULATION.—Project rent-
al assistance under the demonstration program 
under this subsection may be provided only for 
dwelling units for extremely low-income persons 
with disabilities and extremely low-income 
households that include at least one person with 
a disability. 
‘‘(3) ELIGIBLE
PROJECTS.—An eligible project 
under this paragraph is a new or existing multi-
family housing project for which— 
‘‘(A) the development costs are paid with re-
sources from other public or private sources; and 
‘‘(B) a commitment has been made— 
‘‘(i) by the applicable State agency re-
sponsible for allocation of low-income hous-
ing tax credits under section 42 of the In-
ternal Revenue Code of 1986, for an alloca-
tion of such credits; 
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