tract for grants, sale, or lease pursuant to this Act relating
to public housing, shall not apply to any individual who—
(1) performs services for which the individual
volunteered;
(2)(A) does not receive compensation for such
services; or
(B) is paid expenses, reasonable benefits, or a
nominal fee for such services; and
(3) is not otherwise employed at any time in the
construction work.
SEC. 113. NONDISCRIMINATION.
(a) IN GENERAL.—No person in the United States
shall on the grounds of race, color, national origin, religion,
or sex be excluded from participation in, be denied the bene-
fits of, or be subjected to discrimination under any program
or activity funded in whole or in part with amounts made
available under this Act. Any prohibition against discrimi-
nation on the basis of age under the Age Discrimination
Act of 1975 or with respect to an otherwise qualified handi-
capped individual as provided in section 504 of the Reha-
bilitation Act of 1973 shall also apply to any such program
or activity.
(b) CIVIL RIGHTS COMPLIANCE.—Each public housing
agency that receives grant amounts under this Act shall use
such amounts and carry out its local housing management
plan approved under section 107 in conformity with title
VI of the Civil Rights Act of 1964, the Fair Housing Act,
section 504 of the Rehabilitation Act of 1973, the Age Dis-
crimination Act of 1975, and the Americans With Disabil-
ities Act of 1990, and shall affirmatively further fair hous-
ing.
SEC. 114. PROHIBITION ON USE OF FUNDS.
None of the funds made available to the Department
of Housing and Urban Development to carry out this Act,
which are obligated to State or local governments, public
housing agencies, housing finance agencies, or other public
or quasi-public housing agencies, shall be used to indemnify
contractors or subcontractors of the government or agency
against costs associated with judgments of infringement of
intellectual property rights.
SEC. 115. INAPPLICABILITY TO INDIAN HOUSING.
Except as specifically provided by law, the provisions
of this title, and titles II, III, IV, and V shall not apply
to public housing developed or operated pursuant to a con-
tract between the Secretary and an Indian housing author-
ity under the United States Housing Act of 1937 or to hous-
ing assisted under the Native American Housing Assistance
and Self-Determination Act of 1996.
SEC. 116. REGULATIONS.
(a) IN GENERAL.—The Secretary may issue any regu-
lations necessary to carry out this Act. This subsection shall
take effect on the date of the enactment of this Act.
(b) RULE OF CONSTRUCTION.—Any failure by the Sec-
retary to issue any regulations authorized under subsection
(a) shall not affect the effectiveness of any provision of this
Act or any amendment made by this Act.
TITLE II—PUBLIC HOUSING
Subtitle A—Block Grants
SEC. 201. BLOCK GRANT CONTRACTS.
(a) IN GENERAL.—The Secretary shall enter into con-
tracts with public housing agencies under which—
(1) the Secretary agrees to make a block grant
under this title, in the amount provided under section
202(c), for assistance for low-income housing to the
public housing agency for each fiscal year covered by
the contract; and
(2) the agency agrees—
(A) to provide safe, clean, and healthy hous-
ing that is affordable to low-income families and
services for families in such housing;
(B) to operate, or provide for the operation,
of such housing in a financially sound manner;
(C) to use the block grant amounts in ac-
cordance with this title and the local housing
management plan for the agency that complies
with the requirements of section 106;
(D) to involve residents of housing assisted
with block grant amounts in functions and deci-
sions relating to management and the quality of
life in such housing;
(E) that the management of the public hous-
ing of the agency shall be subject to actions au-
thorized under subtitle D of title V;
(F) that the Secretary may take actions
under section 205 with respect to improper use
of grant amounts provided under the contract;
and
(G) to otherwise comply with the require-
ments under this title.
(b) SMALL PUBLIC HOUSING AGENCY CAPITAL GRANT
OPTION.—For any fiscal year, upon the request of the Gov-
ernor of the State, the Secretary shall make available di-
rectly to the State, from the amounts otherwise included in
the block grants for all public housing agencies in such
State which own or operate less than 100 dwelling units,
1⁄2 of that portion of such amounts that is derived from
the capital improvement allocations for such agencies pur-
suant to section 203(c)(1) or 203(d)(2), as applicable. The
Governor of the State will have the responsibility to distrib-
ute all of such funds, in amounts determined by the Gov-
ernor, only to meet the exceptional capital improvement re-
quirements for the various public housing agencies in the
State which operate less than 100 dwelling units: Provided,
however, that for States where Federal funds provided to
the State are subject to appropriation action by the State
legislature, the capital funds made available to the Gov-
ernor under this subsection shall be subject to such appro-
priation by the State legislature.
(c) MODIFICATION.—Contracts and agreements be-
tween the Secretary and a public housing agency may not
be amended in a manner which would—
(1) impair the rights of—
(A) leaseholders for units assisted pursuant
to a contract or agreement; or
(B) the holders of any outstanding obliga-
tions of the public housing agency involved for
which annual contributions have been pledged; or
(2) provide for payment of block grant amounts
under this title in an amount exceeding the allocation
for the agency determined under section 204.
Any rule of law contrary to this subsection shall be deemed
inapplicable.
SEC. 202. GRANT AUTHORITY, AMOUNT, AND ELIGIBILITY.
(a) AUTHORITY.—The Secretary shall make block
grants under this title to eligible public housing agencies
in accordance with block grant contracts under section 201.
(b) PERFORMANCE FUNDS.—
(1) IN GENERAL.—The Secretary shall establish
2 funds for the provision of grants to eligible public
housing agencies under this title, as follows:
(A) CAPITAL FUND.—A capital fund to pro-
vide capital and management improvements to
public housing developments.
(B) OPERATING FUND.—An operating fund
for public housing operations.
(2) FLEXIBILITY OF FUNDING.—
(A) IN GENERAL.—A public housing agency
may use up to 20 percent of the amounts from
a grant under this title that are allocated and
provided from the capital fund for activities that
are eligible under section 203(a)(2) to be funded
with amounts from the operating fund.
(B) FULL FLEXIBILITY FOR SMALL PHA’S.—
In the case of a public housing agency that owns
or operates less than 250 public housing dwelling
units and is (in the determination of the Sec-
retary) operating and maintaining its public
housing in a safe, clean, and healthy condition,