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tivities pursuant to the National Science Foundation Act
of 1950, as amended (42 U.S.C. 1861–1875), including
services as authorized by 5 U.S.C. 3109, authorized travel,
and rental of conference rooms in the District of Columbia,
$765,352,000, to remain available until September 30,
2002: Provided, That to the extent that the amount of this
appropriation is less than the total amount authorized to
be appropriated for included program activities, all
amounts, including floors and ceilings, specified in the au-
thorizing Act for those program activities or their subactivi-
ties shall be reduced proportionally: Provided further, That
$10,000,000 shall be available for the Office of Innovation
Partnerships.
SALARIES AND EXPENSES
For salaries and expenses necessary in carrying out
the National Science Foundation Act of 1950, as amended
(42 U.S.C. 1861–1875); services authorized by 5 U.S.C.
3109; hire of passenger motor vehicles; not to exceed $9,000
for official reception and representation expenses; uniforms
or allowances therefor, as authorized by 5 U.S.C. 5901–
5902; rental of conference rooms in the District of Colum-
bia; reimbursement of the General Services Administration
for security guard services; $170,890,000: Provided, That
contracts may be entered into under ‘‘Salaries and ex-
penses’’ in fiscal year 2001 for maintenance and operation
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of facilities, and for other services, to be provided during
the next fiscal year.
OFFICE OF INSPECTOR GENERAL
For necessary expenses of the Office of Inspector Gen-
eral as authorized by the Inspector General Act of 1978,
as amended, $6,280,000, to remain available until Sep-
tember 30, 2002.
NEIGHBORHOOD REINVESTMENT CORPORATION
PAYMENT TO THE NEIGHBORHOOD REINVESTMENT
CORPORATION
For payment to the Neighborhood Reinvestment Cor-
poration for use in neighborhood reinvestment activities, as
authorized by the Neighborhood Reinvestment Corporation
Act (42 U.S.C. 8101–8107), $80,000,000.
SELECTIVE SERVICE SYSTEM
SALARIES AND EXPENSES
For necessary expenses of the Selective Service System,
including expenses of attendance at meetings and of train-
ing for uniformed personnel assigned to the Selective Serv-
ice System, as authorized by 5 U.S.C. 4101–4118 for civil-
ian employees; and not to exceed $1,000 for official recep-
tion and representation expenses; $24,480,000: Provided,
That during the current fiscal year, the President may ex-
empt this appropriation from the provisions of 31 U.S.C.
1341, whenever he deems such action to be necessary in the
interest of national defense: Provided further, That none of
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the funds appropriated by this Act may be expended for
or in connection with the induction of any person into the
Armed Forces of the United States.
TITLE IV—GENERAL PROVISIONS
SEC. 401. Where appropriations in titles I, II, and
III of this Act are expendable for travel expenses and no
specific limitation has been placed thereon, the expenditures
for such travel expenses may not exceed the amounts set
forth therefore in the budget estimates submitted for the ap-
propriations: Provided, That this provision does not apply
to accounts that do not contain an object classification for
travel: Provided further, That this section shall not apply
to travel performed by uncompensated officials of local
boards and appeal boards of the Selective Service System;
to travel performed directly in connection with care and
treatment of medical beneficiaries of the Department of Vet-
erans Affairs; to travel performed in connection with major
disasters or emergencies declared or determined by the
President under the provisions of the Robert T. Stafford
Disaster Relief and Emergency Assistance Act; to travel
performed by the Offices of Inspector General in connection
with audits and investigations; or to payments to inter-
agency motor pools where separately set forth in the budget
schedules: Provided further, That if appropriations in titles
I, II, and III exceed the amounts set forth in budget esti-
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mates initially submitted for such appropriations, the ex-
penditures for travel may correspondingly exceed the
amounts therefore set forth in the estimates in the same pro-
portion.
SEC. 402. Appropriations and funds available for the
administrative expenses of the Department of Housing and
Urban Development and the Selective Service System shall
be available in the current fiscal year for purchase of uni-
forms, or allowances therefor, as authorized by 5 U.S.C.
5901–5902; hire of passenger motor vehicles; and services
as authorized by 5 U.S.C. 3109.
SEC. 403. Funds of the Department of Housing and
Urban Development subject to the Government Corporation
Control Act or section 402 of the Housing Act of 1950 shall
be available, without regard to the limitations on adminis-
trative expenses, for legal services on a contract or fee basis,
and for utilizing and making payment for services and fa-
cilities of Federal National Mortgage Association, Govern-
ment National Mortgage Association, Federal Home Loan
Mortgage Corporation, Federal Financing Bank, Federal
Reserve banks or any member thereof, Federal Home Loan
banks, and any insured bank within the meaning of the
Federal Deposit Insurance Corporation Act, as amended
(12 U.S.C. 1811–1831).
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SEC. 404. No part of any appropriation contained in
this Act shall remain available for obligation beyond the
current fiscal year unless expressly so provided herein.
SEC. 405. No funds appropriated by this Act may be
expended—
(1) pursuant to a certification of an officer or
employee of the United States unless—
(A) such certification is accompanied by, or
is part of, a voucher or abstract which describes
the payee or payees and the items or services for
which such expenditure is being made; or
(B) the expenditure of funds pursuant to
such certification, and without such a voucher or
abstract, is specifically authorized by law; and
(2) unless such expenditure is subject to audit by
the General Accounting Office or is specifically ex-
empt by law from such audit.
SEC. 406. None of the funds provided in this Act to
any department or agency may be expended for the trans-
portation of any officer or employee of such department or
agency between their domicile and their place of employ-
ment, with the exception of any officer or employee author-
ized such transportation under 31 U.S.C. 1344 or 5 U.S.C.
7905.
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SEC. 407. None of the funds provided in this Act may
be used for payment, through grants or contracts, to recipi-
ents that do not share in the cost of conducting research
resulting from proposals not specifically solicited by the
Government: Provided, That the extent of cost sharing by
the recipient shall reflect the mutuality of interest of the
grantee or contractor and the Government in the research.
SEC. 408. None of the funds in this Act may be used,
directly or through grants, to pay or to provide reimburse-
ment for payment of the salary of a consultant (whether
retained by the Federal Government or a grantee) at more
than the daily equivalent of the rate paid for level IV of
the Executive Schedule, unless specifically authorized by
law.
SEC. 409. None of the funds provided in this Act shall
be used to pay the expenses of, or otherwise compensate,
non-Federal parties intervening in regulatory or adjudica-
tory proceedings. Nothing herein affects the authority of the
Consumer Product Safety Commission pursuant to section
7 of the Consumer Product Safety Act (15 U.S.C. 2056 et
seq.).
SEC. 410. Except as otherwise provided under existing
law, or under an existing Executive order issued pursuant
to an existing law, the obligation or expenditure of any ap-
propriation under this Act for contracts for any consulting
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service shall be limited to contracts which are: (1) a matter
of public record and available for public inspection; and
(2) thereafter included in a publicly available list of all con-
tracts entered into within 24 months prior to the date on
which the list is made available to the public and of all
contracts on which performance has not been completed by
such date. The list required by the preceding sentence shall
be updated quarterly and shall include a narrative descrip-
tion of the work to be performed under each such contract.
SEC. 411. Except as otherwise provided by law, no
part of any appropriation contained in this Act shall be
obligated or expended by any executive agency, as referred
to in the Office of Federal Procurement Policy Act (41
U.S.C. 401 et seq.), for a contract for services unless such
executive agency: (1) has awarded and entered into such
contract in full compliance with such Act and the regula-
tions promulgated thereunder; and (2) requires any report
prepared pursuant to such contract, including plans, eval-
uations, studies, analyses and manuals, and any report
prepared by the agency which is substantially derived from
or substantially includes any report prepared pursuant to
such contract, to contain information concerning: (A) the
contract pursuant to which the report was prepared; and
(B) the contractor who prepared the report pursuant to such
contract.
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SEC. 412. Except as otherwise provided in section 406,
none of the funds provided in this Act to any department
or agency shall be obligated or expended to provide a per-
sonal cook, chauffeur, or other personal servants to any offi-
cer or employee of such department or agency.
SEC. 413. None of the funds provided in this Act to
any department or agency shall be obligated or expended
to procure passenger automobiles as defined in 15 U.S.C.
2001 with an EPA estimated miles per gallon average of
less than 22 miles per gallon.
SEC. 414. None of the funds appropriated in title I
of this Act shall be used to enter into any new lease of real
property if the estimated annual rental is more than
$300,000 unless the Secretary submits, in writing, a report
to the Committees on Appropriations of the Congress and
a period of 30 days has expired following the date on which
the report is received by the Committees on Appropriations.
SEC. 415. (a) It is the sense of the Congress that, to
the greatest extent practicable, all equipment and products
purchased with funds made available in this Act should be
American-made.
(b) In providing financial assistance to, or entering
into any contract with, any entity using funds made avail-
able in this Act, the head of each Federal agency, to the
greatest extent practicable, shall provide to such entity a
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notice describing the statement made in subsection (a) by
the Congress.
SEC. 416. None of the funds appropriated in this Act
may be used to implement any cap on reimbursements to
grantees for indirect costs, except as published in Office of
Management and Budget Circular A–21.
SEC. 417. Such sums as may be necessary for fiscal
year 2001 pay raises for programs funded by this Act shall
be absorbed within the levels appropriated in this Act.
SEC. 418. None of the funds made available in this
Act may be used for any program, project, or activity, when
it is made known to the Federal entity or official to which
the funds are made available that the program, project, or
activity is not in compliance with any Federal law relating
to risk assessment, the protection of private property rights,
or unfunded mandates.
SEC. 419. Corporations and agencies of the Depart-
ment of Housing and Urban Development which are subject
to the Government Corporation Control Act, as amended,
are hereby authorized to make such expenditures, within the
limits of funds and borrowing authority available to each
such corporation or agency and in accord with law, and
to make such contracts and commitments without regard
to fiscal year limitations as provided by section 104 of the
Act as may be necessary in carrying out the programs set
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forth in the budget for 2001 for such corporation or agency
except as hereinafter provided: Provided, That collections
of these corporations and agencies may be used for new loan
or mortgage purchase commitments only to the extent ex-
pressly provided for in this Act (unless such loans are in
support of other forms of assistance provided for in this or
prior appropriations Acts), except that this proviso shall
not apply to the mortgage insurance or guaranty operations
of these corporations, or where loans or mortgage purchases
are necessary to protect the financial interest of the United
States Government.
SEC. 420. Notwithstanding section 320(g) of the Fed-
eral Water Pollution Control Act (33 U.S.C. 1330(g)), funds
made available pursuant to authorization under such sec-
tion for fiscal year 2001 may be used for implementing
comprehensive conservation and management plans.
SEC. 421. Notwithstanding any other provision of law,
the term ‘‘qualified student loan’’ with respect to national
service education awards shall mean any loan made di-
rectly to a student by the Alaska Commission on Postsec-
ondary Education, in addition to other meanings under
section 148(b)(7) of the National and Community Service
Act.
SEC. 422. None of the funds made available in this
Act may be used to carry out Executive Order No. 13083.
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SEC. 423. Unless otherwise provided for in this Act,
no part of any appropriation for the Department of Hous-
ing and Urban Development shall be available for any ac-
tivity in excess of amounts set forth in the budget estimates
submitted for the appropriations.
SEC. 424. Except in the case of entities that are funded
solely with Federal funds or any natural persons that are
funded under this Act, none of the funds in this Act shall
be used for the planning or execution of any program to
pay the expenses of, or otherwise compensate, non-Federal
parties to lobby or litigate in respect to adjudicatory pro-
ceedings funded in this Act. A chief executive officer of any
entity receiving funds under this Act shall certify that none
of these funds have been used to engage in the lobbying of
the Federal Government or in litigation against the United
States unless authorized under existing law.
SEC. 425. No part of any funds appropriated in this
Act shall be used by an agency of the executive branch, other
than for normal and recognized executive-legislative rela-
tionships, for publicity or propaganda purposes, and for
the preparation, distribution or use of any kit, pamphlet,
booklet, publication, radio, television or film presentation
designed to support or defeat legislation pending before the
Congress, except in presentation to the Congress itself.
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SEC. 426. NASA FULL COST ACCOUNTING. Title III
of the National Aeronautics and Space Act of 1958, Public
Law 85–568, is amended by adding the following new sec-
tion at the end:
‘‘SEC. 312. (a) Appropriations for the Administration
for fiscal year 2002 and thereafter shall be made in ac-
counts, ‘‘Human space flight’’, ‘‘International space sta-
tion’’, ‘‘Science, aeronautics and technology’’, and an ac-
count for amounts appropriated for the necessary expenses
of the Office of Inspector General. Appropriations shall re-
main available for two fiscal years. Each account shall in-
clude the planned full costs of the Administration’s related
activities.
‘‘(b) The Administrator shall notify the Committees on
Appropriations whenever any program or activity exceeds
fifteen percent of the annual or total budget of such program
or activity.’’.
DIVISION B
HOUSING NEEDS ACT OF 2000
SECTION 1. SHORT TITLE.—This Act may be cited as
the ‘‘Housing Needs Act of 2000’’.
SEC. 2. TABLE OF CONTENTS.—The table of Contents
for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of Contents.
Sec. 3. Findings and Purpose.
Sec. 4. Definitions.
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TITLE I—PRODUCTION OF NEW HOUSING FOR LOW AND VERY
LOW-INCOME FAMILIES
Sec. 101. Authority.
Sec. 102. Allocation of Resources.
Sec. 103. Affordable Housing Expansion Plan.
Sec. 104. Eligible Use of Funds.
Sec. 105. Matching Requirements.
Sec. 106. Distribution of Assistance.
Sec. 107. Eligible Affordable Housing.
Sec. 108. Tenant Selection.
Sec. 109. Prohibition on Use of Funds for Service Coordinators or Supportive
Services.
Sec. 110. Penalties for Misuse of Funds.
Sec. 111. Subsidy Layering Requirements.
Sec. 112. Multifamily Risk-sharing Mortgage Insurance Program.
Sec. 113. Regulations.
Sec. 114. Sunset.
TITLE II—SECTION 8 VOUCHER SUCCESS DEMONSTRATION
Sec. 201. Authority.
Sec. 202. Eligibility.
Sec. 203. Limitation on Funding.
TITLE III—PRESERVATION OF LOW-INCOME HOUSING AND
MISCELLANEOUS PROVISIONS
Sec. 301. Section 8 Project-based Flexibility.
Sec. 302. Disposition of HUD-held and HUD-owned Multifamily Projects.
Sec. 303. Family Unification Program.
Sec. 304. Permanent Extension of FHA Multifamily Mortgage Credit Demonstra-
tions.
SEC. 3. FINDINGS AND PURPOSE.—
(a) FINDINGS.—The Congress finds that—
(1) the Nation has not made adequate
progress in maintaining and expanding the in-
ventory of affordable housing for low and very
low-income families, including persons with dis-
abilities and seniors;
(2) despite continued economic expansion,
worst case housing needs have reached an all-
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time high of 5.4 million families, increasing by
4 percent between 1995 and 1997;
(3) the number of rental units which are af-
fordable to extremely low-income families has de-
creased by 5 percent since 1991, a loss of over
37,000 units;
(4) the Administration and the Department
of Housing and Urban Development has pro-
posed increased funding for incremental rental
vouchers as the primary solution to making ad-
ditional housing available for low-income and
very low-income families;
(5) while section 8 vouchers represent hous-
ing choice as a matter of philosophy, in many
cases families using vouchers have difficult time
finding housing, especially in low vacancy mar-
ket areas;
(6) in many cases, where section 8 vouchers
are used, the result is de facto redlining where
low-income families are relegated to the poorest
and most distressed neighborhoods with limited
opportunities for transportation, employment
and quality schools;
(7) section 8 vouchers do not produce addi-
tional new units of affordable low-income hous-
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ing since banks will not finance new construc-
tion with one year termed portable assistance;
(8) the Department of Housing and Urban
Development has not provided the necessary
leadership to assist in the development of needed
affordable housing;
(9) a large number of States and local gov-
ernment have been successful in developing new
tools and opportunities for the development of
additional affordable housing for low-income
families, including the development of affordable
mixed income housing as part of State and local
redevelopment strategies for distressed commu-
nities; and
(10) State housing finance agencies have the
local experience and knowledge to maximize the
development of additional units of affordable
low-income housing and to preserve the existing
stock of low-income affordable housing.
(b) The purpose of this Act is to redirect the primary
responsibility for the preservation of existing affordable
low-income housing and the expansion of the inventory of
affordable rental housing for very low-income and low-in-
come families from the Federal Government to State and
local governments through State housing finance agencies.
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SEC. 4. DEFINITIONS.—For purposes of this Act, the
following definitions shall apply:
(1) The term ‘‘low-income families’’ shall have
the same meaning as provided under section 3(b)(2)
of the United States Housing Act of 1937.
(2) The term ‘‘project-based assistance’’ shall
have the meaning given such term in section 16(c)(6)
of the United States Housing Act of 1937, except that
such term includes assistance under any successor
programs to the programs referred to in such section.
(3) The term ‘‘public housing agency’’ shall have
the meaning given such term in section 3(b) of the
United States Housing Act of 1937.
(4) The term ‘‘Secretary’’ shall mean the Sec-
retary of Housing and Urban Development.
(5) The term ‘‘section 8 assistance’’ or ‘‘voucher’’
shall have the meaning given such term in section 8(f)
of the United States Housing Act of 1937.
(6) The term ‘‘State’’ shall mean the United
States of the United States, the District of Columbia,
the Commonwealth of Puerto Rico, the Commonwealth
of the Northern Mariana Islands, Guam, the Virgin
Islands, America Samoa, and any other territory of
possession of the United States.
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(7) The term ‘‘State housing finance agency’’
shall mean any State or local housing finance agency
that has been designated by a State to administer this
program.
(8) The term ‘‘very low-income families’’ shall
have the same meaning as provided under section 3(b)
of the United States Housing Act of 1937.
TITLE I—PRODUCTION OF NEW HOUSING FOR
LOW AND VERY LOW-INCOME FAMILIES
SEC. 101. .—The Secretary of Housing and Urban De-
velopment shall make funds available to State housing fi-
nance agencies as provided under section 102 for the reha-
bilitation of existing low-income housing, for the develop-
ment of new affordable low-income housing units, and for
the preservation of existing low-income housing units that
are at risk of becoming unavailable for low-income families.
SEC. 102. ALLOCATION OF RESOURCES.—
(a) IN GENERAL.—The Secretary shall allocate
funds approved in appropriations Acts to State hous-
ing finance agencies to carry out this Title. Subject
to the requirements of subsection (b) and as otherwise
provided in this subsection, each State housing fi-
nance agency shall be eligible to receive an amount of
funds equal to the proportion of the per capita popu-
lation of the State in relation to the population of the
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United States which shall be determined on the basis
of the most recent decennial census for which data are
available. For each fiscal year, the Secretary shall re-
serve for grants to Indian tribes 1 percent of the
amount appropriated under the applicable appro-
priations Act. The Secretary shall provide for dis-
tribution of amounts under this subsection to Indian
tribes on the basis of a competition conducted pursu-
ant to specific criteria developed after notice and pub-
lic comment.
(b) MINIMUM STATE ALLOCATION.—If the alloca-
tion under subsection (a), when applied to the funds
approved under this section in appropriations Acts
for a fiscal year, would result in funding of less than
$10,000,000 to any State housing finance agency, the
allocation for such State housing finance agency shall
be $10,000,000 and the increase shall be deducted pro
rata from the allocation of all other State housing fi-
nance agencies.
(c) CRITERIA
FOR
REALLOCATION.—The Sec-
retary shall reallocate any funds previously allocated
to a State housing finance agency for any fiscal year
in which the State housing finance agency fails to
provide its match requirements or fails to submit an
affordable housing expansion plan that is approved
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by the Secretary. All such funds shall be reallocated
pursuant to the formula provided under subsection
(a).
SEC. 
103. 
AFFORDABLE
HOUSING
EXPANSION
PLAN.—
(a) SUBMISSION OF AFFORDABLE HOUSING EX-
PANSION PLAN.—The Secretary shall allocate funds
under section 102 to a State housing finance agency
only if the State housing finance agency has sub-
mitted an affordable housing expansion plan, with
annual updates, approved by the Secretary and de-
signed to meet the overall very low- and low-income
housing needs of both the rural and urban areas of the
State in which the State housing finance agency is lo-
cated. This plan shall be developed in conjunction
with the housing strategies developed for the applica-
ble States and localities under section 105 of Cran-
ston-Gonzalez National Affordable Housing Act.
(b) CITIZEN PARTICIPATION.—Before submitting
an affordable housing expansion plan to the Sec-
retary, a State housing finance agency shall—
(1) make available to citizens of the State,
public agencies and other interested parties in-
formation regarding the amount of assistance ex-
pected to be made available under this Title and
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the range of investment or other uses of such as-
sistance that the State housing finance agency
may undertake;
(2) publish the proposed plan in a manner
that, in the determination of the Secretary, af-
fords affected citizens, public agencies, and other
interested parties a reasonable opportunity to re-
view its contents and to submit comments on the
proposed plan;
(3) hold one or more public hearings to ob-
tain the views of citizens, public agencies, and
other interested parties on the housing needs of
the State; and
(4) provide citizens, public agencies, and
other interested parties with reasonable access to
records regarding the uses of any assistance that
the State housing finance agency may have re-
ceived under this Title during the preceding 5
years.
SEC. 104. ELIGIBLE USE OF FUNDS.—Funds made
available under this title shall be used for—
(1) the acquisition, new construction, reconstruc-
tion, or moderate or substantial rehabilitation of af-
fordable housing for mixed income rental housing
where the assistance provided under section 102 shall
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be used to assist units targeted to low and very low-
income families, including the elderly and persons
with disabilities;
(2) the moderate and substantial rehabilitation
of rental housing units that are currently assisted
under State or Federal low-income housing programs;
(3) the preservation of Federal and State low-in-
come housing units that are at risk of being no longer
affordable to low-income families;
(4) the purchase and creation of land trusts to
allow low- and moderate-income families an oppor-
tunity to rent homes in areas of low-vacancy;
(5) conversion of public housing to assisted liv-
ing facilities for the elderly;
(6) conversion of section 202 elderly housing to
assisted living facilities for the elderly;
(7) conversion of HUD-owned or HUD-held mul-
tifamily properties upon disposition to housing for
the elderly, housing for persons with disabilities and
to assisted living facilities for the elderly;
(8) creation of sinking funds to maintain re-
serves held by State housing finance agencies to pre-
serve the low-income character of the housing; and
(9) the creation of public/private partnerships in
which corporations and nonprofits are encouraged to
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develop partnerships for the creation of affordable
low-income housing.
SEC. 105. MATCHING REQUIREMENTS.—
(a) IN GENERAL.—Each State housing finance
agency shall make contributions for activities under
this title that total, throughout a fiscal year, not less
than 75 percent of the funds made available under
this title.
(b) ALLOWABLE AMOUNTS.—
(1) APPLICATION TO HOUSING.—A contribu-
tion shall be recognized for purposes of a match
under subsection (a) only if—
(A) is made with respect to housing
that qualifies as affordable housing under
section 107; or
(B) is made with respect to any por-
tion of a project for which not less than 50
percent of the units qualify as affordable
housing under section 107.
(2) FORM.—A contribution may be in the
form of—
(A) cash contributions from non-Fed-
eral sources, which may not include funds
from a grant under section 106(b) or section
106(d) of the Housing and Community De-
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velopment Act of 1974 or from the value of
low income tax credits allocated pursuant to
the Internal Revenue Code;
(B) the value of taxes, fees or other
charges that are normally and customarily
imposed but are waived, forgone, or deferred
in a manner that achieves affordability of
housing assisted under this title;
(C) the value of land or other real
property as appraised according to proce-
dures acceptable to the Secretary;
(D) the value of investment in on-site
and off-site infrastructure directly required
for affordable housing assisted under this
title;
(E) the reasonable value of any site-
preparation and construction materials and
any donated or voluntary labor in connec-
tion with the site-preparation for, construc-
tion or rehabilitation of affordable housing;
and
(F) such other contributions to afford-
able housing as the Secretary considers ap-
propriate.
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(3) ADMINISTRATIVE EXPENSES.—Contribu-
tions for administrative expenses may not be rec-
ognized for purposes of this section.
SEC. 106. DISTRIBUTION
OF
ASSISTANCE.—Each
State housing finance agency shall ensure that the develop-
ment of new housing under this section is designed to meet
both urban and rural needs, and prioritize funding, to the
extent practicable, in conjunction with the economic rede-
velopment of an area.
SEC. 107. ELIGIBLE AFFORDABLE HOUSING.—
(a) PRODUCTION OF AFFORDABLE HOUSING.—In
the case of new construction, housing shall qualify for
assistance under this title only if the housing—
(1) has not less than 30 percent of the units
assisted under this title occupied by very low-in-
come families who pay as a contribution towards
rent (not including any Federal or State rental
subsidy provided on behalf of the family) not
more than 20 percent of the adjusted income of
a family whose income equals 50 percent of the
median income for the area, as determined by
the Secretary, with adjustments for the number
of bedrooms in the unit, except that the Secretary
may establish income ceilings higher or lower
than 50 percent of the median income for the
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area on the basis of the Secretary’s findings that
variations are necessary because of the pre-
vailing levels of construction costs or fair market
rents, or unusually high or low family incomes;
(2) except as provided under paragraph (1),
requires all units assisted under this title to be
occupied by households that are low-income fam-
ilies and who pay no more than 30 percent of
100 percent of the median income for an area;
and
(3) will remain affordable under the re-
quirements provided in paragraphs (1) and (2),
according to legally binding commitments satis-
factory to the Secretary, for not less than 40
years, without regard to the term of the mortgage
or to the transfer of ownership, or for such pe-
riod that the Secretary determines is the longest
feasible period of time consistent with sound eco-
nomics and the purposes of this Act, including
foreclosure where the responsibility for maintain-
ing the low-income character of the property will
be the responsibility of the State housing finance
agency.
SEC. 108. TENANT SELECTION.—An owner of any
housing assisted under this Title shall establish tenant selec-
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tion procedures consistent with the affordable housing ex-
pansion plan of the State housing finance agency.
SEC. 109. PROHIBITION ON USE OF FUNDS FOR SERV-
ICE COORDINATORS OR SUPPORTIVE SERVICES.—No funds
under this Act may be used for service coordinators or sup-
portive services.
SEC. 110. PENALTIES FOR MISUSE OF FUNDS.—The
Secretary shall recapture any assistance awarded under
this Title to the extent the assistance has been used for im-
permissible purposes. To the extent the Secretary identifies
a pattern and practice regarding the misuse of funds
awarded under this Title, the Secretary shall deny assist-
ance to that State for up to 5 years, subject to notice and
an opportunity for judicial review.
SEC. 111. SUBSIDY LAYERING REQUIREMENTS.—The
requirements of section 102(d) of the Department of Hous-
ing and Urban Development Reform Act of 1989 may be
satisfied in connection with assistance, including a commit-
ment to insure a mortgage, provided under this Title by
a certification of a State housing finance agency to the Sec-
retary that the combination of assistance within the juris-
diction of the Secretary and other government assistance
provided in connection with a property assisted under this
Title shall not be any greater than is necessary to provide
affordable housing.
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SEC. 112. MULTIFAMILY RISK-SHARING MORTGAGE
INSURANCE PROGRAM.—The Secretary shall carry out a
mortgage insurance program through the Federal Housing
Administration in conjunction with State housing finance
agencies to insure multifamily mortgages for housing that
qualifies under this Title. This program shall be consistent
with the requirements established under section 542 of the
Housing and Community Development Act of 1992, except
that housing that meet the requirements of this Title shall
be eligible for mortgage insurance.
SEC. 113. REGULATIONS.—The Secretary shall issue
notice and comment rulemaking with final regulations
issued no later than 6 months after the date of enactment
of this Act.
SEC. 114. SUNSET.—Title I shall expire on October
1, 2001, except that all funds shall remain available until
expended.
TITLE II—SECTION 8 VOUCHER SUCCESS
DEMONSTRATION
SEC. 201. AUTHORITY.—The Secretary shall establish
a voucher success demonstration to permit public housing
agencies to increase the payment standard for section 8
vouchers for an area in excess of the payment standard es-
tablished under section 8(o)(B) of the United States Hous-
ing Act of 1937 to assist in helping low-income and very
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low-income families obtain housing in tight rental markets.
Except as otherwise provided herein, all assistance provided
under this Title shall be subject to the requirements of the
United States Housing Act of 1937.
SEC. 202. ELIGIBILITY.—
(a) VOUCHER SUCCESS PLAN.—Not less than an-
nually, each public housing agency that seeks to par-
ticipate in the voucher success demonstration under
section 201 shall submit to the Secretary a voucher
success plan that—
(1) demonstrates that the market area for
which the public housing agency is responsible is
an area, based on housing market indicators,
such as low vacancy rates or high absorption
rates, where there is not adequate available and
affordable housing or where families with vouch-
ers will not be able to locate suitable units or use
tenant-based assistance successfully;
(2) identifies a payment standard in excess
of the payment standard established under sec-
tion 8(o)(B) that will ensure that not less than
97 percent of families with vouchers will be able
to obtain suitable housing in that market area
within 120 days;
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(3) describes actions that the public housing
agency will take that will assist families with
vouchers, including seniors and persons with dis-
abilities, to identify and obtain suitable and
available affordable housing that is close to
transportation, employment opportunities, qual-
ity schools and appropriate services; and
(4) shall include such other information and
commitments as deemed appropriate by the Sec-
retary.
(b) INCREASED PAYMENT STANDARD.—The Sec-
retary shall approve a payment standard for a mar-
ket area under this demonstration to no more than
150 percent of the payment standard established
under section 8(o)(B) of the United States Housing
Act of 1937. This payment standard shall be pub-
lished annually in the Federal Register and adjusted
annually to reflect changes in each market area.
(c) PROCEDURES.—The Secretary shall establish
requirements and procedures for the submission and
review of voucher success plans, including require-
ments for timing and form of submission, and for the
contents and approval of such plans.
(d) REGULATIONS.—The Secretary shall issue
interim regulations no later than 3 months after the
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date of enactment of this Act with final notice and
public comment regulations issued no later than 12
months after the date of enactment of this Act.
(e) SAVINGS CLAUSE.—A family using a voucher
approved as part of a demonstration under this Title
shall be eligible for an approved payment standard in
excess of the payment standard established under sec-
tion 8(o)(d) of the United States Housing Act of 1937
to the extent the assisted family continues to reside in
the same housing in which the family was residing on
the date in which the housing was determined eligible
for the increased payment standard under this Title.
SEC. 203. LIMITATION ON FUNDING.—Except to the ex-
tent additional incremental vouchers are provided in ap-
propriations Acts, for purposes of this section, each public
housing agency shall be limited to the section 8 funds allo-
cated to that public housing agency as of October 1, 2000,
including appropriate amounts for reserves, for purposes of
implementing the voucher success plan.
TITLE III—PRESERVATION OF LOW-INCOME
HOUSING AND MISCELLANEOUS PROVISIONS
SEC. 301. SECTION 8 PROJECT-BASED FLEXIBILITY.—
Section 8(o)(13) of the United States Housing Act of 1937
is amended by—
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(1) in paragraph (A)(ii), striking ‘‘15 percent’’
and inserting in lieu thereof ‘‘25 percent’’; and
(2) adding the following new paragraph (E) to
the end:
‘‘(E) The Secretary shall establish expedited
procedures to allow public housing agencies to
enter into housing assistance payment contracts
with respect to existing structures.’’.
SEC. 302. DISPOSITION OF HUD-HELD AND HUD-
OWNED MULTIFAMILY PROJECTS.—Notwithstanding any
other provision of law, the Secretary of Housing and Urban
Development shall maintain any rental assistance pay-
ments attached to any dwelling units under section 8 of
the United States Housing Act of 1937 for all multifamily
properties owned by the Secretary and multifamily prop-
erties held by the Secretary for purposes of management
and disposition of such properties. To the extent, the Sec-
retary determines that a multifamily property owned by
the Secretary or held by the Secretary is not feasible for
continued rental assistance payments under section 8, the
Secretary may, in consultation with the tenants of that
property, contract for project-based rental assistance pay-
ments with an owner or owners of other existing housing
properties.
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SEC. 303. FAMILY UNIFICATION PROGRAM.—Section
8(x)(2) of the United States Housing Act of 1937 is amend-
ed by—
(a) striking ‘‘any family (A) who is otherwise el-
igible for such assistance, and (B)’’ and inserting in
lieu thereof: ‘‘(A) any family (i) who is otherwise eli-
gible for such assistance, and (ii)’’; and
(b) inserting before the period at the end: ‘‘(B)
for a period not to exceed 18 months, youths who have
attained at least 18 years of age and not more than
21 years of age and who have left foster care at age
16 or older’’.
SEC. 304. PERMANENT EXTENSION OF FHA MULTI-
FAMILY MORTGAGE CREDIT DEMONSTRATIONS.—Section
542 of the Housing and Community Development Act of
1992 is amended—
(1) by revising subsection (b)(5) to read as fol-
lows:
‘‘(5) INSURANCE
AUTHORITY.—Using any au-
thority provided in appropriation Acts to insure
mortgages under the National Housing Act, the Sec-
retary may enter into commitments under this sub-
section for risk-sharing units.’’;
(2) by revising subsection (c)(4) to read as fol-
lows:
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‘‘(4) INSURANCE
AUTHORITY.—Using any au-
thority provided in appropriation Acts to insure
mortgages under the National Housing Act, the Sec-
retary may enter into commitments under this sub-
section for risk-sharing units.’’;
(3) in the heading, by striking ‘‘Demonstrations’’
and inserting ‘‘Programs’’;
(4) in the first sentence of subsection (a), by
striking ‘‘demonstrate the effectiveness of providing’’
and inserting ‘‘provide’’;
(5) in the second sentence of subsection (a), by
striking ‘‘demonstration’’;
(6) in subsection (b)(1), by striking ‘‘determine
the effectiveness of’’ and inserting ‘‘provide’’;
(7) in subsection (c)(1), by striking ‘‘test the ef-
fectiveness of’’ and inserting ‘‘provide’’;
(8) by striking subsection (d); and
(9) by striking ‘‘pilot’’ and ‘‘PILOT’’ each place
it appears.
This Act may be cited as the ‘‘Departments of Veterans
Affairs and Housing and Urban Development, and Inde-
pendent Agencies Appropriations Act, 2001’’.
Calendar No. 801
106TH CONGRESS
2D SESSION
H.R. 4635
[Report No. 106–410]
AN ACT
Making appropriations for the Departments of Vet-
erans Affairs and Housing and Urban Develop-
ment, and for sundry independent agencies,
boards, commissions, corporations, and offices
for the fiscal year ending September 30, 2001,
and for other purposes.
JUNE 22, 2000
Received; read twice and referred to the Committee on
Appropriations
SEPTEMBER 13, 2000
Reported with an amendment