IIA
103D CONGRESS
1ST SESSION
H. R. 2517
IN THE SENATE OF THE UNITED STATES
JUNE 29 (legislative day, JUNE 22), 1993
Received; read twice and referred to the Committee on Banking, Housing, and
Urban Affairs
AN ACT
To establish certain programs and demonstrations to assist
States and communities in efforts to relieve homeless-
ness, assist local community development organizations,
and provide affordable rental housing for low-income
families, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Homeless and Commu-
nity Development Amendments Act of 1993’’.
SEC. 2. INNOVATIVE HOMELESS INITIATIVES DEMONSTRA-
TION PROGRAM.
(a) IN GENERAL.—Subtitle E of title IV of the Stew-
art B. McKinney Homeless Assistance Act is amended by
adding after section 443 (42 U.S.C. 11402) the following
new section:
‘‘SEC. 444. INNOVATIVE HOMELESS INITIATIVES DEM-
ONSTRATION PROGRAM.
‘‘(a) ESTABLISHMENT
OF DEMONSTRATION.—The
Secretary shall carry out a demonstration under this sec-
tion under which the Secretary may provide financial and
technical assistance—
‘‘(1) to metropolitan cities, urban counties,
units of general local government, Indian tribes, and
private nonprofit organizations to demonstrate the
desirability and feasibility of carrying out projects
and activities that implement a work plan that pro-
vides for a continuum of care for homeless persons
under subsection (c); and
‘‘(2) to States, units of general local govern-
ment, Indian tribes, and private nonprofit organiza-
tions to demonstrate the feasibility and desirability
of carrying out innovative programs to assist home-
less individuals under subsection (d).
‘‘(b) GENERAL PROVISIONS.—
‘‘(1) DEFINITIONS.—For purposes of this sec-
tion:
‘‘(A) The terms ‘State’, ‘metropolitan city’,
‘urban county’, ‘unit of general local govern-
ment’, ‘Secretary’, and ‘Indian tribe’ have the
meanings given such terms in section 102(a) of
the Housing and Community Development Act
of 1974.
‘‘(B) The term ‘private nonprofit organiza-
tion’ has the meaning given such term in sec-
tion 422 of the Stewart B. McKinney Homeless
Assistance Act.
‘‘(C) The term ‘homeless individual’ has
the meaning given such term in section 103 of
the Stewart B. McKinney Homeless Assistance
Act.
‘‘(2) FUNDING.—To such extent or in such
amounts as have been provided in appropriation
Acts for fiscal year 1994, $150,000,000 shall be
available to the Secretary to carry out the dem-
onstration under this section in such fiscal year, of
which—
‘‘(A) $50,000,000 shall be from any
amounts made available to carry out the shelter
plus care program under subtitle F of this title
in such fiscal year;
‘‘(B) $40,000,000 shall be from any
amounts made available to carry out the sup-
portive housing program under subtitle C of
this title in such fiscal year;
‘‘(C) $25,000,000 shall be from any
amounts made available to carry out the
HOME Investment Partnerships Act in such
fiscal year;
‘‘(D) $25,000,000 shall be from any
amounts made available to carry out the com-
munity development block grants program
under title I of the Housing and Community
Development Act of 1974 in such fiscal year;
and
‘‘(E) $10,000,000 shall be from any
amounts made available under section 402 of
the Cranston-Gonzalez National Affordable
Housing Act to carry out the HOPE home-own-
ership programs in such fiscal year.
Of any amounts made available to carry out the
demonstration under this section, 50 percent shall
be available for assistance under subsection (c) and
50 percent shall be available for assistance under
subsection (d).
‘‘(c) HOMELESS CRISIS FUNDING.—
‘‘(1) DESIGNATION.—The Secretary shall des-
ignate such metropolitan cities, urban counties, units
of general local government (including units in rural
areas), and Indian tribes as areas eligible for assist-
ance under this subsection, as the Secretary may de-
termine. The Secretary shall establish criteria for
making such designations, which shall at a minimum
include—
‘‘(A) the extent of unmet need of homeless
individuals in the jurisdiction, including those
who are wholly without adequate shelter of any
kind;
‘‘(B) the gap between the jurisdiction’s ex-
isting system of assisting homeless persons and
the continuum of care model described in para-
graph (2);
‘‘(C) the degree of cooperation between the
jurisdiction and nonprofit homeless service pro-
viders;
‘‘(D) the degree to which private nonprofit
and for-profit entities express willingness to
make financial and other commitments to the
jurisdiction’s homeless assistance efforts; and
‘‘(E) national geographic diversity in the
designation of jurisdictions.
After selecting areas for designation under this
paragraph but before designating such areas, the
Secretary shall consult with the Committee on Bank-
ing, Finance and Urban Affairs of the House of
Representatives and the Committee on Banking,
Housing, and Urban Affairs of the Senate regarding
such designations.
‘‘(2) WORK PLAN.—To receive assistance under
this subsection within a designated jurisdiction, the
jurisdiction or a private nonprofit organization shall
submit to the Secretary a work plan that shall, at
a minimum—
‘‘(A) describe existing conditions for home-
less persons and families throughout the juris-
diction;
‘‘(B) set forth a realistic and feasible strat-
egy that contains specific projects and activities
resulting in a continuum of care for the juris-
diction’s homeless persons and targets, goals,
and strategies for implementation and comple-
tion of such projects and activities;
‘‘(C) be prepared with appropriate coopera-
tion from affected governments and government
agencies, private nonprofit organizations, and
contributing for-profit entities;
‘‘(D) specify those projects and activities
for which the jurisdiction requests funding from
the Secretary under this subsection and the
amounts thereby requested; and
‘‘(E) specify courses, amounts, and time-
tables for the financing of other projects and
activities.
‘‘(3) DESIGNATION.—The designation referred
to in paragraph (1) and assistance provided under
this subsection shall be made on a noncompetitive
basis.
‘‘(d) INNOVATIVE PROJECT FUNDING.—
‘‘(1) AUTHORITY.—The Secretary is authorized
to provide assistance under this subsection to States,
units of general local government (including units in
rural areas), Indian tribes, and private nonprofit or-
ganizations for assistance for innovative programs to
assist homeless individuals.
‘‘(2) APPLICATIONS.—Applications for assist-
ance under this subsection shall be in such form,
and shall include such information, as the Secretary
shall determine. Each application shall contain, at a
minimum—
‘‘(A) a description of the existing condi-
tions for homeless individuals in the jurisdic-
tion;
‘‘(B) an explanation of how the proposed
project will further the efforts of the jurisdic-
tion to meet the housing and supportive services
needs of homeless individuals through an inte-
grated and coordinated system;
‘‘(C) evidence that the application has been
prepared in coordination with appropriate gov-
ernmental entities, private nonprofit organiza-
tions, and for-profit entities; and
‘‘(D) a description of the projects and ac-
tivities for which the applicant is requesting
funding under this subsection and the amounts
requested.
‘‘(3) CRITERIA.—The Secretary shall establish
selection criteria for awarding assistance under this
subsection, which shall include, at a minimum—
‘‘(A) the extent of the commitment of the
applicant to alleviating poverty and homeless-
ness;
‘‘(B) the extent of the applicant’s continu-
ing capacity to effectively provide assistance to
homeless individuals;
‘‘(C) the extent to which the project or ac-
tivity is innovative and may be replicable or
serve as a model for implementation in other
jurisdictions; and
‘‘(D) diversity by geography and commu-
nity type.
‘‘(4) APPROACH.—Assistance under this sub-
section may be used to provide innovative ap-
proaches for, or alternative means of, meeting the
immediate long-term needs of homeless individuals
by assisting—
‘‘(A) the purchase, lease, renovation, oper-
ation, or conversion of facilities to assist the
homeless, which facilities shall be safe and sani-
tary and, when appropriate, meet all applicable
State and local housing and building codes and
licensing requirements;
‘‘(B) the provision of supportive services
for the homeless; and
‘‘(C) such other activities as the Secretary
may prescribe.
‘‘(5) REQUIREMENTS.—The Secretary shall es-
tablish requirements for assistance under this
subsection, which may include limitations on
administrative expenses, terms of renewal funding
for short-term lease projects, and requirements for
repayment of assistance under this subsection when
the project ceases to be used to assist the homeless
in accordance with the provision of this subsection.
‘‘(e) REPORTS.—The Secretary shall submit an an-
nual report to the Congress for each fiscal year in which
the Secretary provides assistance under the demonstration
under this section. The reports shall describe the activities
carried out with assistance under the demonstration and
set forth any findings and recommendations of the Sec-
retary as a result of the demonstration. Each such report
shall be submitted not later than the expiration of the 3-
month period beginning upon the conclusion of the fiscal
year for which the report is made.’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 101(b) of the Stewart B. McKinney Homeless
Assistance Act is amended by inserting after the item re-
lating to section 443 the following new item:
‘‘Sec. 444. Innovative Homeless Initiatives Demonstration Program.’’.
SEC. 3. MOVING TO OPPORTUNITY FOR FAIR HOUSING.
Section 152(e) of the Housing and Community Devel-
opment Act of 1992 (42 U.S.C. 1437f note) is amended—
(1) 
in 
the 
first 
sentence, 
by 
striking
‘‘$52,100,000’’ and inserting ‘‘$165,000,000’’; and
(2) by adding at the end the following new sen-
tence: ‘‘No amounts appropriated for fiscal year
1994 to carry out the demonstration under this sec-
tion may be obligated to any public housing agency
or expended before the Secretary submits to the
Congress a report describing how amounts made
available for the demonstration in fiscal year 1993
were allocated and expended and containing the in-
formation required in interim reports under sub-
section (d)(1), to the extent such information is
available to the Secretary.’’.
SEC. 4. ASSISTANCE FOR LOCAL COMMUNITY DEVELOP-
MENT ORGANIZATIONS.
(a) AUTHORITY.—The Secretary of Housing and
Urban Development may provide assistance under this
section to the National Community Development Initiative
for making grants under this section to community devel-
opment support organizations for such organizations to
assist local community development organizations in in-
creasing their technical and administrative capacities and
carrying out community development projects and activi-
ties and developing affordable housing, and to provide
technical and predevelopment assistance relating to such
community development and housing projects.
(b) ASSISTANCE TO LOCAL COMMUNITY DEVELOP-
MENT ORGANIZATIONS.—A community development sup-
port organization that receives a grant under this section
shall use any such amounts to carry out the following ac-
tivities and provide the following assistance:
(1) CAPACITY
BUILDING.—Providing training,
education, support, and advice to local community
development organizations to enhance the technical
and administrative capabilities of such organizations
to conduct activities under paragraphs (2) and (3)
and providing amounts for such organizations to ob-
tain such capacity building assistance, which may in-
clude assistance to the staff, management, directors,
and members of such organizations regarding legal,
financial, construction, engineering, property man-
agement, and other matters.
(2) COMMUNITY DEVELOPMENT AND HOUSING
ACTIVITIES.—Providing amounts (through loans and
grants) and other assistance for local community de-
velopment organizations to carry out community de-
velopment activities that benefit low-income families
and activities to develop and support affordable
housing, which may include providing financing for
rehabilitating, constructing, acquiring, and maintain-
ing affordable housing.
(3) PROJECT-RELATED PREDEVELOPMENT AS-
SISTANCE.—Providing 
technical 
assistance 
and
amounts to local community development organiza-
tions for predevelopment activities relating to spe-
cific projects under paragraph (2), which may in-
clude conducting project feasibility analyses, obtain-
ing project consultants, preparing preliminary fi-
nancing applications, obtaining legal, architectural,
and engineering assistance, site acquisition, and title
clearance.
(4) OTHER
ACTIVITIES.—Other activities, as
determined by the National Community Develop-
ment Initiative in consultation with the Secretary.
(c) PROHIBITION OF USE OF GRANT AMOUNTS FOR
SUPPORT ORGANIZATION ADMINISTRATIVE COSTS.—No
amounts from a grant under this section may be used for
administrative costs of a community development support
organization.
(d) REQUIREMENTS.—The National Community De-
velopment Initiative may make grants under this section
only to community development support organizations
that—
(1) submit to the Secretary an application that
contains—
(A) a request for a grant under this sec-
tion that specifies the amount of the assistance
requested;
(B) a description of the method by which
the community development support organiza-
tion will select local community development or-
ganizations to assist;
(C) specification of the intended bene-
ficiaries of assistance provided by the commu-
nity development support organization;
(D) measurable goals by which to deter-
mine the effectiveness of the use of the grant
amounts; and
(E) such other information as the Sec-
retary may require;
(2) are selected by the Secretary under sub-
section (f); and
(3) agree to comply with the provisions of this
section and provide assistance in the manner de-
scribed in the application of the organization ap-
proved by the Secretary.
(e) MATCHING REQUIREMENT.—
(1) IN GENERAL.—The Secretary may not pro-
vide any assistance to the National Community De-
velopment Initiative from amounts made available
for this section unless the Secretary determines that
an amount equal to 3 times the amount to be pro-
vided by the Secretary has been made available to
the National Community Development Initiative
from private foundations and corporations for use
with grant amounts for the purposes under sub-
section (b).
(2) UNUSED AMOUNTS.—Any amounts appro-
priated to carry out this section for a fiscal year
which may not be used because matching amounts
pursuant to paragraph (1) have not been made
available in the year, shall be available or committed
on October 1 of the next fiscal year for the purposes
under paragraph (1) or (2) of section 205 of the
Cranston-Gonzalez National Affordable Housing
Act, in the discretion of the Secretary.
(f) SELECTION.—
(1) IN GENERAL.—The Secretary shall select
community development support organizations for
grants under this section from among organizations
submitting applications under subsection (d)(1).
(2) CRITERIA.—The Secretary shall make selec-
tions under paragraph (1) based on the information
contained in the applications, the capacity and expe-
rience of such organizations to provide training, sup-
port, advice, and assistance to local community de-
velopment organizations, and such other criteria as
the Secretary shall establish.
(3) CONSULTATION.—In establishing the con-
tent of the criteria under paragraph (2), the relative
weight to be given to the various criteria, and the
process under this subsection for selection of the ap-
plications for grants under this section, the Sec-
retary shall consult with the National Community
Development Initiative and the members of such Ini-
tiative.
(g) REPORTS.—
(1) GAO.—Not later than 3 years after the
date of the enactment of this section, the Comptrol-
ler General of the United States shall submit a re-
port to the Congress describing the effectiveness of
the use, by community development support organi-
zations and local community development organiza-
tions, of amounts from grants under this section.
(2) SECRETARY.—Not later than 15 months
after the date that amounts made available pursuant
amounts made available by private foundations and
corporations pursuant to the requirement under sub-
section (e).
(3) LOCAL COMMUNITY DEVELOPMENT ORGANI-
ZATIONS.—The term ‘‘local community development
organization’’ means a nonprofit organization—
(A) that has among its principal purposes
the provision of affordable housing in a dis-
tressed area or conducting community develop-
ment activities that primarily benefit low-in-
come families in a distressed area; and
(B) whose governing board is comprised of
business, civic, and community leaders and resi-
dents of the distressed area in which the orga-
nization carries out its activities.
The term includes community development corpora-
tions and community housing development organiza-
tions (as such term is defined in section 104 of the
Cranston-Gonzalez National Affordable Housing
Act).
(4) COMMUNITY DEVELOPMENT SUPPORT OR-
GANIZATION.—The term ‘‘community development
support organization’’ means a nonprofit organiza-
tion funded by the National Community Develop-
ment Initiative that—
(A) has among its principal purposes pro-
viding assistance throughout the United States
to local community development organizations
to facilitate such local organizations’ activities
to develop or maintain affordable housing or re-
vitalize distressed communities;
(B) has demonstrated experience and abil-
ity in providing a range of assistance to local
community development organizations, which
may include financing, technical assistance,
construction activities, property management,
and training; and
(C) meets standards of fiscal responsibility
established by the Secretary.
(i) FUNDING.—
(1) IN GENERAL.—Amounts made available for
carrying out the HOME Investment Partnerships
Act for fiscal year 1994 shall be made available for
use under this section to such extent or in such
amounts as are provided in appropriation Acts, ex-
cept that the amount so made available for use
under this section may not exceed $25,000,000.
(2) COMMUNITY
HOUSING
PARTNERSHIP
AC-
TIVITIES.—Section 205(1) of the Cranston-Gonzalez
National Affordable Housing Act (42 U.S.C.
12724(1)) is amended by striking ‘‘$14,000,000’’
the 
second 
place 
it 
appears 
and 
inserting
‘‘$25,000,000’’.
Passed the House of Representatives June 29, (leg-
islative day, June 28), 1993.
Attest:
DONNALD K. ANDERSON,
Clerk.
HR 2517 RFS——2