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(ii) by inserting ‘‘or any assistance
payments 
received 
under 
section
521(a)(5),’’ before ‘‘with respect’’; and
(E) in subsection (c)(5)(D), by inserting
before the period at the end the following: ‘‘or,
in the case of housing assisted under section
521(a)(5), does not exceed the rents established
for the project under such section’’;
(2) in the second sentence of section 509(f)(5)
(as redesignated by the preceding provisions of this
title), by striking ‘‘an amount of section 521 rental
assistance’’ and inserting ‘‘, from amounts available
for assistance under paragraphs (2) and (5) of sec-
tion 521(a), an amount’’;
(3) in section 513(c)(2)—
(A) in the matter preceding subparagraph
(A), by inserting ‘‘or contracts for operating as-
sistance 
under 
section 
521(a)(5)’’ 
after
‘‘521(a)(2)(A)’’;
(B) in subparagraph (A), by inserting ‘‘or
operating assistance contracts’’ after ‘‘con-
tracts’’;
(C) in subparagraph (B), by striking
‘‘rental’’ each place it appears; and
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(D) in subparagraph (C), by inserting ‘‘or
operating assistance contracts’’ after ‘‘con-
tracts’’;
(4) in section 521(a)(2)(B)—
(A) by inserting ‘‘or paragraph (5)’’ after
‘‘this paragraph’’; and
(B) by striking ‘‘which shall’’ and all that
follows through the period at the end and in-
serting the following: ‘‘. The budget (and the
income, in the case of a project assisted under
this paragraph) shall be used to determine the
amount of the assistance for each project.’’;
(5) in section 521(c), by striking ‘‘subsection
(a)(2)’’ and inserting ‘‘subsections (a)(2) and
(a)(5)’’;
(6) in section 521(e), by inserting after ‘‘recipi-
ent’’ the following: ‘‘or any tenant in a project as-
sisted under subsection (a)(5)’’; and
(7) in section 530, by striking ‘‘rental assist-
ance payments with respect to such project under
section 521(a)(2)(A)’’ and inserting ‘‘assistance pay-
ments with respect to such project under section
521(a)(2)(A) or 521(a)(5)’’.
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SEC. 511. DEFINITION OF RURAL AREA.
The last sentence of section 520 of the Housing Act
of 1949 (42 U.S.C. 1490) is amended by striking ‘‘city
of’’ and inserting ‘‘cities of South Tucson, Arizona, and’’.
SEC. 512. ELIGIBILITY OF MANUFACTURED HOME PARKS
FOR BUILDING SITE LOANS FOR COOPERA-
TIVES.
The first sentence of section 524(a)(1) of the Hous-
ing Act of 1949 (42 U.S.C. 1490d(a)(1)) is amended by
inserting before the period at the end the following: ‘‘, and
for the acquisition and development of manufactured home
parks owned by nonprofit organizations for future owner-
ship by low- and moderate-income residents of the park’’.
SEC. 513. RURAL HOUSING ASSISTANCE TARGETING RE-
PORT.
Section 532(a) of the Housing Act of 1949 (42
U.S.C. 1490l) is amended by adding at the end the follow-
ing new flush material:
‘‘The Secretary shall submit a report to the Congress for
each fiscal year describing the geographical distribution
of housing for which eligible loan applications for assist-
ance under this title are submitted in such year and for
which amounts are obligated in such year. The report shall
describe the areas in which the housing to be assisted
under the applications is located, the number of eligible
applications received for housing in such areas, the num-
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ber of eligible applications for housing in such areas that
were approved and funded and the amounts of such fund-
ing, the extent of the rural character of such areas, and
any actions taken by the Secretary to comply with the re-
quirement under paragraph (3). The report for a fiscal
year shall be submitted not later than 180 days after the
conclusion of such fiscal year.’’.
SEC. 514. PRIORITY FOR RURAL HOUSING VOUCHER AS-
SISTANCE.
Section 542 of the Housing Act of 1949 (42 U.S.C.
1490r) is amended by adding at the end the following new
subsection:
‘‘(c) PRIORITY.—
‘‘(1) REQUIREMENT.—In providing assistance
under this section, the Secretary shall give pref-
erence to providing assistance for rental housing
that—
‘‘(A) is financed or assisted with a loan,
guarantee, insurance, or other assistance pro-
vided under this title; and
‘‘(B)(i) has a significant number of units,
as determined by the Secretary, that have been
vacant for extended periods; or
‘‘(ii) is occupied by a significant number of
families, as determined by the Secretary, who
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pay as rent for a unit in the housing an amount
exceeding 30 percent of the family’s monthly
adjusted income.
‘‘(2) PROJECT-BASED ASSISTANCE.—To provide
assistance according to the preference under para-
graph (1), the Secretary may enter into contracts
with owners of housing described in paragraph (1)
to provide voucher assistance payments that are at-
tached to such housing on behalf of very low-income
families who reside in such housing.’’.
SEC. 515. NATIVE AMERICAN RURAL HOUSING CAPACITY
DEMONSTRATION PROGRAM.
Title V of the Housing Act of 1949 is amended by
inserting after section 537 (42 U.S.C. 1490p–1) the fol-
lowing new section:
‘‘SEC. 538. RURAL HOUSING CAPACITY DEMONSTRATION
PROGRAM FOR NATIVE AMERICANS AND
ALASKAN NATIVES.
‘‘(a) AUTHORITY.—The Secretary shall carry out a
program under this section to demonstrate the effective-
ness of assisting Native Americans and Alaskan Natives
in underserved areas to apply for, obtain, and use housing
assistance under this title.
‘‘(b) GRANTS.—Under the demonstration under this
section, the Secretary shall make grants to technical as-
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sistance providers selected under subsection (f) to carry
out activities under subsection (c) with respect to tribes
selected under subsection (e) (and members of the tribes)
in the selected areas. Of the amounts provided to a tech-
nical assistance provider under a grant under this section,
40 percent shall be disbursed to the technical assistance
provider in fiscal year 1995, 30 percent shall be so dis-
bursed in fiscal year 1996, and 30 percent shall be so dis-
bursed in fiscal year 1997.
‘‘(c) USE OF ASSISTANCE.—
‘‘(1) ELIGIBLE ACTIVITIES.—Any amounts pro-
vided to a technical assistance provider under a
grant under this section shall be used by the tech-
nical assistance provider only—
‘‘(A) to train individuals for employment
as local project coordinators under paragraph
(2), which shall include training regarding the
availability, application for, and use of housing
assistance under this title with respect to tribes
and members of tribes;
‘‘(B) to provide ongoing technical assist-
ance and training to local project coordinators;
‘‘(C) to provide assistance to the tribes se-
lected under subsection (e) in the selected
areas, or to Native American or Alaskan Native
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‘‘(C) otherwise facilitates the use of such
assistance by the tribes and their members; and
‘‘(D) assists the tribes and their members
in obtaining loans from the revolving fund es-
tablished under paragraph (1)(D).
‘‘(d) TRIBAL CONTRIBUTIONS TO DEMONSTRATION
PROGRAM.—Each tribe selected under subsection (e) for
participation in the demonstration program under this
section shall enter into an agreement with the technical
assistance provider to provide in-kind or financial assist-
ance, in addition to amounts provided under this section,
for activities under the demonstration program, in an
amount determined by the tribe and the technical assist-
ance provider. The assistance provided pursuant to such
agreement may include assistance in the form of office
space, equipment, transportation, salary enhancement,
and fringe benefits, and other forms of assistance.
‘‘(e) SELECTION OF TRIBES AND AREAS.—
‘‘(1) ELIGIBILITY.—The Secretary shall provide
for the technical assistance providers receiving
grants under this section to select for participation
in the demonstration under this section not more
than a total of 15 tribes—
‘‘(A) that are located in counties or com-
munities—
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‘‘(i) that are eligible for designation
as targeted underserved areas under sec-
tion 509(f); or
‘‘(ii) that include tribal allotted or In-
dian trust land; and
‘‘(B) that—
‘‘(i) have agreed to participate in the
demonstration under this section by des-
ignating individuals for training as local
project coordinators under subsection (c);
or
‘‘(ii) are located in a county or com-
munity within which is located a Native
American or Alaskan Native housing orga-
nization that has so agreed to participate
in the demonstration under this section.
‘‘(2) CRITERIA
FOR
SELECTION.—Each tech-
nical assistance provider selecting tribes pursuant to
paragraph (1) shall make such selections according
to criteria that include—
‘‘(A) the extent of substandard housing on
the reservation of the tribe;
‘‘(B) the extent of the waiting list for
housing assistance under Federal housing pro-
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grams in the community or community under
paragraph (1)(A);
‘‘(C) the extent of interest in and willing-
ness to participate in the demonstration pro-
gram under this section for a 3-year period;
and
‘‘(D) the extent of willingness to provide
in-kind or financial assistance in addition to
amounts provided under this section for activi-
ties under the demonstration program.
‘‘(3) TREATMENT AS TARGETED UNDERSERVED
AREAS.—Notwithstanding the designation of coun-
ties and communities as targeted underserved areas
under section 509(f)(1) and the provisions of section
520, any selected area under this section shall be
considered a targeted underserved area for fiscal
years 1995, 1996, and 1997, for purposes of eligi-
bility for assistance with amounts reserved under
section 509(f)(4)(A).
‘‘(f) SELECTION OF TECHNICAL ASSISTANCE PRO-
VIDERS.—
‘‘(1) ELIGIBILITY.—The Secretary may make a
grant under this section only to a nonprofit organi-
zation having experience in or capable of providing
training and technical assistance regarding the use
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of housing assistance under this title and in admin-
istering revolving loan funds for costs relating to
housing assistance programs under this title.
‘‘(2) APPLICATION.—The Secretary shall pro-
vide for nonprofit organizations meeting the require-
ments under paragraph (1) to submit applications
for a grant under this section during a period of not
more than 45 days that begins upon publication of
the notice of funding availability under subsection
(i).
‘‘(3) SELECTION.—Not more than 30 days
after expiration of such period, the Secretary shall
select, to receive grants under this section, 1 or
more nonprofit organizations submitting applications
that are—
‘‘(A) capable of carrying out the duties of
technical assistance providers under this sec-
tion;
‘‘(B) knowledgeable and experienced re-
garding housing needs and issues of Native
Americans and Alaskan Natives and housing
assistance programs under this title; and
‘‘(C) agree to comply with the provisions of
this section.
‘‘(g) REPORTS.—
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‘‘(1) LOCAL
PROJECT
COORDINATORS.—Each
local project coordinator trained or assisted by a
technical assistance provider with amounts from a
grant under this section shall submit a report to the
technical assistance provider for each of fiscal years
1995 through 1997, regarding the activities of the
coordinator. The report shall be submitted not later
than 30 days after the conclusion of the fiscal year
for which the report is made.
‘‘(2) TECHNICAL
ASSISTANCE
PROVIDERS.—
Each technical assistance provider receiving a grant
under this section shall submit a report to the Sec-
retary for each of fiscal years 1995 through 1997,
summarizing the information submitted under para-
graph (1) for the fiscal year and describing the ac-
tivities of the technical assistance provider under the
demonstration under this section during the fiscal
year. The report shall be submitted not later than
60 days after the conclusion of the fiscal year for
which the report is made.
‘‘(3) SECRETARY.—The Secretary shall submit
a report to the Congress for each of fiscal years
1995 through 1997 describing the demonstration
under this section and the findings of the Secretary
as a result of the demonstration. The report shall be
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submitted not later than 90 days after the conclu-
sion of the fiscal year for which the report is made.
‘‘(h) DEFINITIONS.—For purposes of this section:
‘‘(1) ALASKAN
NATIVE
VILLAGE.—The term
‘Alaskan Native Village’ has the same meaning given
the term ‘Native village’ in section 3 of the Alaska
Native Claims Settlement Act.
‘‘(2) NATIVE AMERICAN OR ALASKAN NATIVE
HOUSING ORGANIZATION.—The term ‘Native Amer-
ican or Alaskan Native housing organization’ means
a nonprofit organization that primarily serves a tribe
or tribes, and includes Indian housing authorities
and other housing entities of a tribe.
‘‘(3) NONPROFIT
ORGANIZATION.—The term
‘nonprofit organization’ means any private, nonprofit
organization that—
‘‘(A) is organized or chartered under State,
tribal, or local laws;
‘‘(B) has no part of its net earning inuring
to the benefit of any member, founder, contrib-
utor, or individual;
‘‘(C) complies with standards of financial
accountability acceptable to the Secretary; and
‘‘(D) through its articles of incorporation
or through resolution of the governing body of
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a tribe, has among its purposes significant ac-
tivities related to the provision of decent hous-
ing that is affordable to low- and moderate-in-
come families.
‘‘(4) SELECTED
AREA.—The term ‘selected
area’ means, with respect to any tribe selected under
subsection (e), the county or community meeting the
requirements of subsection (e)(1) in which the tribe
selected is located.
‘‘(5) TECHNICAL ASSISTANCE PROVIDER.—The
term ‘technical assistance provider’ means a non-
profit organization (including a tribe and an Indian
housing authority) that is selected under subsection
(f) to receive a grant under this section.
‘‘(6) TRIBE.—The term ‘tribe’ means any In-
dian tribe, band, group, or nation, including Alaska
Indians, Aleuts, and Eskimos, and any Alaskan Na-
tive Village, of the United States, that is considered
an eligible recipient under the Indian Self-Deter-
mination and Education Assistance Act or was con-
sidered an eligible recipient under chapter 67 of title
31, United States Code, prior to the repeal of such
chapter.
‘‘(i) NOTICE OF FUNDING AVAILABILITY.—
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‘‘(1) PUBLICATION.—The Secretary shall cause
to be published in the Federal Register notice of the
availability of any amounts made available for
grants under this section. Such notice shall be pub-
lished not later than the expiration of the 90-day pe-
riod beginning on the date that amounts are appro-
priated to carry out this section.
‘‘(2) CONTENTS.—The notice referred to in
paragraph (1) shall—
‘‘(A) describe the requirements for eligi-
bility to receive a grant, the purposes of the
grant, and the permissible uses of grant
amounts;
‘‘(B) contain an address to which requests
for additional information regarding the dem-
onstration under this section may be made; and
‘‘(C) state the deadline established by the
Secretary pursuant to subsection (f)(2) for the
submission of applications for a grant.’’.
SEC. 516. RURAL COMMUNITY DEVELOPMENT INITIATIVE.
Title V of the Housing Act of 1949 (42 U.S.C. 1471
et seq.) is amended by inserting after section 538 (as
added by the preceding provisions of this title) the follow-
ing new section:
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‘‘SEC. 539. RURAL COMMUNITY DEVELOPMENT INITIATIVE.
‘‘(a) IN GENERAL.—The Secretary is authorized to
provide assistance to develop the capacity and ability of
community development corporations, community housing
development organizations, and other nonprofit organiza-
tions to undertake community development and affordable
housing projects and programs in rural areas.
‘‘(b) FORM OF ASSISTANCE.—Assistance under this
section may be used for—
‘‘(1) training, education, support, and advice to
enhance the technical and administrative capabilities
of community development corporations, local com-
munity action agencies receiving assistance under
the Community Services Block Grant Act, commu-
nity housing development organizations, and non-
profit organizations in rural areas;
‘‘(2) loans, grants, or predevelopment assistance
to community development corporations, community
housing development organizations, and nonprofit
organizations to carry out community development
and affordable housing activities that benefit low-in-
come families in rural areas; and
‘‘(3) such other activities for rural areas as may
be determined by the Secretary.
‘‘(c) MATCHING
REQUIREMENT.—Assistance pro-
vided under this section shall be matched from private
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sources in an amount equal to 3 times the amount made
available under this section.
‘‘(d) IMPLEMENTATION.—The Secretary shall by no-
tice establish such requirements as may be necessary to
carry out the provisions of this section. The notice shall
take effect upon issuance.’’.
SEC. 517. LOAN GUARANTEES FOR MULTIFAMILY RENTAL
HOUSING IN RURAL AREAS.
Title V of the Housing Act of 1949 (42 U.S.C. 1471
et seq.) is amended by inserting after section 539 (as
added by the preceding provision of this title) the following
new section:
‘‘SEC. 540. LOAN GUARANTEES FOR MULTIFAMILY RENTAL
HOUSING IN RURAL AREAS.
‘‘(a) AUTHORITY.—The Secretary may make commit-
ments to guarantee eligible loans for the development costs
of eligible housing and related facilities, and may guaran-
tee such eligible loans, in accordance with this section.
‘‘(b) EXTENT OF GUARANTEE.—A guarantee made
under this section shall guarantee repayment of an
amount not exceeding the total of the amount of the un-
paid principal and interest of the loan for which the guar-
antee is made. The liability of the United States under
any guarantee under this section shall decrease or increase
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pro rata with any decrease or increase of the amount of
the unpaid portion of the obligation.
‘‘(c) ELIGIBLE BORROWERS.—A loan guaranteed
under this section may be made to a nonprofit organiza-
tion, an agency or body of any State government or politi-
cal subdivision thereof, or a private entity.
‘‘(d) ELIGIBLE HOUSING.—A loan may be guaran-
teed under this section only if the loan is used for the
development costs of housing and related facilities (as
such terms are defined in section 515(e)) that—
‘‘(1) consists of 5 or more adequate dwellings;
‘‘(2) is available for occupancy only by low or
moderate income families or persons, whose incomes
at the time of initial occupancy do not exceed 115
percent of the median income of the area, as deter-
mined by the Secretary;
‘‘(3) will remain available as provided in para-
graph (2), according to such binding commitments
as the Secretary may require, for the period of the
original term of the loan guaranteed, unless the
housing is acquired by foreclosure (or instrument in
lieu of foreclosure) or the Secretary waives the appli-
cability of such requirement for the loan only after
determining, based on objective information, that—
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‘‘(A) there is no longer a need for low- and
moderate-income housing in the market area in
which the housing is located;
‘‘(B) housing opportunities for low-income
households and minorities will not be reduced
as a result of the waiver; and
‘‘(C) additional Federal assistance will not
be necessary as a result of the waiver; and
‘‘(4) is located in a rural area.
‘‘(e) ELIGIBLE LENDERS.—
‘‘(1) REQUIREMENT.—A loan may be guaran-
teed under this subsection only if the loan is made
by a lender that the Secretary determines—
‘‘(A) meets the qualifications, and has been
approved by the Secretary of Housing and
Urban Development, to make loans for multi-
family housing that are to be insured under the
National Housing Act;
‘‘(B) meets the qualifications, and has
been approved by the Federal National Mort-
gage Association and the Federal Home Loan
Mortgage Corporation, to make loans for multi-
family housing that are to be sold to such cor-
porations; or
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‘‘(C) meets any qualifications that the Sec-
retary may, by regulation, establish for partici-
pation of lenders in the loan guarantee program
under this section.
‘‘(2) ELIGIBILITY LIST AND ANNUAL AUDIT.—
The Secretary shall establish a list of eligible lenders
and shall annually conduct an audit of each lender
included in the list for purposes of determining
whether such lender continues to be an eligible
lender.
‘‘(f) LOAN TERMS.—Each loan guaranteed pursuant
to this subsection shall—
‘‘(1) provide for complete amortization by peri-
odic payments to be made for a term not to exceed
40 years;
‘‘(2) involve a rate of interest agreed upon by
the borrower and the lender that does not exceed the
maximum allowable rate established by the Secretary
for purposes of this section and is fixed over the
term of the loan;
‘‘(3) involve a principal obligation (including
initial service charges, appraisal, inspection, and
other fees as the Secretary may approve) not to
exceed—
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‘‘(A) in the case of a borrower that is a
nonprofit organization or an agency or body of
any State or local government, 97 percent of
the development costs of the housing and relat-
ed facilities or the value of the housing and fa-
cilities, whichever is less;
‘‘(B) in the case of a borrower that is a
for-profit entity not referred to in subparagraph
(A), 90 percent of the development costs of the
housing and related facilities or the value of the
housing and facilities, whichever is less; and
‘‘(C) in the case of any borrower, for such
part of the property as may be attributable to
dwelling use, the applicable maximum per unit
dollar amount limitations under section 207(c)
of the National Housing Act;
‘‘(4) be secured by a first mortgage on the
housing and related facilities for which the loan is
made, or otherwise, as the Secretary may determine
necessary to ensure repayment of the obligation; and
‘‘(5) for at least 20 percent of the loans made
under this section, the Secretary shall provide the
borrower with assistance in the form of credits pur-
suant to section 521(a)(1)(B) to the extent nec-
essary to reduce the rate of interest under para-
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graph (2) to the applicable Federal rate, as such
term is used in section 42(i)(2)(D) of the Internal
Revenue Code of 1986.
‘‘(g) GUARANTEE FEE.—At the time of issuance of
a loan guaranteed under this section, the Secretary may
collect from the lender a fee equal to not more than 1
percent of the principal obligation of the loan.
‘‘(h) AUTHORITY FOR LENDERS TO ISSUE CERTIFI-
CATES OF GUARANTEE.—The Secretary may authorize
certain eligible lenders to determine whether a loan meets
the requirements for guarantee under this section and,
subject to the availability of authority to enter into guar-
antees under this section, execute a firm commitment for
a guarantee binding upon the Secretary and issue a certifi-
cate of guarantee evidencing a guarantee, without review
and approval by the Secretary of the specific loan. The
Secretary may establish standards for approving eligible
lenders for a delegation of authority under this subsection.
‘‘(i) PAYMENT UNDER GUARANTEE.—
‘‘(1) NOTICE OF DEFAULT.—In the event of de-
fault by the borrower on a loan guaranteed under
this section, the holder of the guarantee certificate
for the loan shall provide written notice of the de-
fault to the Secretary.
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‘‘(2) FORECLOSURE.—After receiving notice
under paragraph (1) and providing written notice of
action under this paragraph to the Secretary, the
holder of the guarantee certificate for the loan may
initiate foreclosure proceedings for the loan in a
court of competent jurisdiction, in accordance with
regulations issued by the Secretary, to obtain posses-
sion of the security property. After the court issues
a final order authorizing foreclosure on the property,
the holder of the certificate shall be entitled to pay-
ment by the Secretary under the guarantee (in the
amount provided under subsection (b)) upon (A)
conveyance to the Secretary of title to the security
property, (B) submission to the Secretary of a claim
for payment under the guarantee, and (C) assign-
ment to the Secretary of all the claims of the holder
of the guarantee against the borrower or others aris-
ing out of the loan transaction or foreclosure pro-
ceedings, except claims released with the consent of
the Secretary.
‘‘(3) ASSIGNMENT
BY
SECRETARY.—After re-
ceiving notice under paragraph (1), the Secretary
may accept assignment of the loan if the Secretary
determines that the assignment is in the best inter-
ests of the United States. Assignment of a loan
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under this paragraph shall include conveyance to the
Secretary of title to the security property, assign-
ment to the Secretary of all rights and interests
arising under the loan, and assignment to the Sec-
retary of all claims against the borrower or others
arising out of the loan transaction. Upon assignment
of a loan under this paragraph, the holder of a guar-
antee certificate for the loan shall be entitled to pay-
ment by the Secretary under the guarantee (in the
amount provided under subsection (b)).
‘‘(4) REQUIREMENTS.—Before any payment
under a guarantee is made under paragraph (2) or
(3), the holder of the guarantee certificate shall ex-
haust all reasonable possibilities of collection on the
loan guaranteed. Upon payment, in whole or in part,
to the holder, the note or judgment evidencing the
debt shall be assigned to the United States and the
holder shall have no further claim against the bor-
rower or the United States. The Secretary shall then
take such action to collect as the Secretary deter-
mines appropriate.
‘‘(j) VIOLATION OF GUARANTEE REQUIREMENTS BY
LENDERS ISSUING GUARANTEES.—
‘‘(1) INDEMNIFICATION.—If the Secretary de-
termines that a loan guaranteed by an eligible lender
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pursuant to delegation of authority under subsection
(h) was not originated in accordance with the re-
quirements under this section and the Secretary
pays a claim under the guarantee for the loan, the
Secretary may require the eligible lender authorized
under subsection (h) to issue the guarantee certifi-
cate for the loan—
‘‘(A) to indemnify the Secretary for the
loss, if the payment under the guarantee was
made within a reasonable period specified by
the Secretary; or
‘‘(B) to indemnify the Secretary for the
loss regardless of when payment under the
guarantee was made, if the Secretary deter-
mines that fraud or misrepresentation was in-
volved in connection with the origination of the
loan.
‘‘(2) TERMINATION OF AUTHORITY TO ISSUE
GUARANTEES.—The Secretary may cancel a delega-
tion of authority under subsection (h) to an eligible
lender if the Secretary determines that the lender
has violated the requirements and procedures for
guaranteed loans under this section or for other
good cause. Any such cancellation shall be made by
giving notice to the eligible lender and shall take ef-
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fect upon receipt of the notice by the mortgagee or
at a later date, as the Secretary may provide. A de-
cision by the Secretary to cancel a delegation shall
be final and conclusive and shall not be subject to
judicial review.
‘‘(k) REFINANCING.—Any loan guaranteed under this
section may be refinanced and extended in accordance
with terms and conditions that the Secretary shall pre-
scribe, but in no event for an additional amount or term
that exceeds the limitations under subsection (f).
‘‘(l) NONASSUMPTION.—The borrower under a loan
that is guaranteed under this section and under which any
portion of the principal obligation or interest remains out-
standing may not be relieved of liability with respect to
the loan, notwithstanding the transfer of property for
which the loan was made.
‘‘(m) GEOGRAPHICAL TARGETING.—
‘‘(1) STUDY.—The Secretary shall provide for
an independent entity to conduct a study to deter-
mine the extent to which borrowers in the United
States will utilize loan guarantees under this section,
the rural areas in the United States in which bor-
rowers can best utilize and most need loans guaran-
teed under this section, and the rural areas in the
United States in which housing of the type eligible
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for a loan guarantee under this section is most need-
ed by low- and moderate-income families. The Sec-
retary shall require the independent entity conduct-
ing the study to submit a report to the Secretary
and to the Congress describing the results of the
study not later than the expiration of the 90-day pe-
riod beginning on the date of the enactment of the
Housing and Community Development Act of 1994.
‘‘(2) TARGETING.—In providing loan guaran-
tees under this section, the Secretary shall establish
standards to target and give priority to rural areas
in which borrowers can best utilize and most need
loans guaranteed under this section, as determined
by the Secretary based on the results of the study
under paragraph (1) and any other information the
Secretary considers appropriate.
‘‘(n) 
INAPPLICABILITY
OF
CREDIT-ELSEWHERE
TEST.—Section 501(c) shall not apply to guarantees, or
loans guaranteed, under this section.
‘‘(o) TENANT PROTECTIONS.—The Secretary shall
establish standards for the treatment of tenants of hous-
ing developed using amounts from a loan guaranteed
under this section, which shall incorporate, to the extent
applicable, existing standards applicable to tenants of
housing developed with loans made under section 515.
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Such standards shall include standards for fair housing
and equal opportunity, lease and grievance procedures,
and tenant appeals of adverse actions.
‘‘(p) HOUSING STANDARDS.—The standards estab-
lished under section 515(m) for housing and related facili-
ties assisted under section 515 shall apply to housing and
related facilities the development costs of which are fi-
nanced in whole or in part with a loan guaranteed under
this section.
‘‘(q) LIMITATION ON COMMITMENTS TO GUARANTEE
LOANS.—
‘‘(1) REQUIREMENT OF APPROPRIATIONS.—The
authority of the Secretary to enter into commit-
ments to guarantee loans under this section, and to
guarantee loans, shall be effective for any fiscal year
only to the extent or in such amounts as are or have
been provided in appropriations Acts for such fiscal
year.
‘‘(2) LIMITATION
ON
PROJECTS
AND
OUT-
STANDING
AGGREGATE
PRINCIPAL
AMOUNT.—Sub-
ject to the limitation in paragraph (1), the Secretary
may enter into commitments to guarantee loans
under this section for not more than 25 housing
projects in each of fiscal years 1995 and 1996, hav-
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ing an aggregate outstanding principal amount not
exceeding $50,000,000 in each of such fiscal years.
‘‘(r) REPORT.—
‘‘(1) IN GENERAL.—The Secretary shall submit
a report to the Congress, not later than the expira-
tion of the 2-year period beginning on the date of
the enactment of the Housing and Community De-
velopment Act of 1994, describing the program
under this section for guaranteeing loans.
‘‘(2) CONTENTS.—The report shall—
‘‘(A) describe the types of borrowers pro-
viding housing with loans guaranteed under this
section, the areas served by the housing pro-
vided and the geographical distribution of the
housing, the levels of income of the residents of
the housing, the number of dwelling units pro-
vided, the extent to which borrowers under such
loans have obtained other financial assistance
for development costs of housing provided with
the loans, and the extent to which borrowers
under such loans have used low-income housing
tax credits provided under section 42 of the In-
ternal Revenue Code of 1986 in connection with
the housing provided with the loans;
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‘‘(B) analyze the financial viability of the
housing provided with loans guaranteed under
this section and the need for project-based rent-
al assistance for such housing;
‘‘(C) include any recommendations of the
Secretary for expanding or improving the pro-
gram under this section for guaranteeing loans;
and
‘‘(D) include any other information regard-
ing the program for guaranteeing loans under
this section that the Secretary considers appro-
priate.
‘‘(s) DEFINITIONS.—For purposes of this subsection,
the following definitions shall apply:
‘‘(1) The term ‘development cost’ has the mean-
ing given the term in section 515(e).
‘‘(2) The term ‘eligible lender’ means a lender
determined by the Secretary to meet the require-
ments of subparagraph (A), (B), (C), or (D) of sub-
section (e)(1).
‘‘(3) The terms ‘housing’ and ‘related facilities’
have the meanings given such terms in section
515(e).
‘‘(t) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated for fiscal years 1995
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and 1996 such sums as may be necessary for costs (as
such term is defined in section 502 of the Congressional
Budget Act of 1974) of loan guarantees made under this
section.
‘‘(u) TERMINATION DATE.—A loan may not be guar-
anteed under this section after September 30, 1996.’’.
SEC. 518. RURAL HOUSING LOAN DELEGATED PROCESSING
DEMONSTRATION.
(a) AUTHORITY.—Not later than the expiration of
the 180-day period beginning on the date of enactment
of this Act, the Secretary of Agriculture shall implement
a system for making, processing, and servicing loans
under section 502 of the Housing Act of 1949 that dele-
gates such functions to nonprofit organizations approved
by the Secretary of Agriculture. Under the system, the
Secretary shall retain the authority to approve loan
amounts and interest credit agreements and to execute
binding loan commitments and credit agreements.
(b) USE IN TARGETED UNDERSERVED AREAS.—The
Secretary of Agriculture shall carry out the delegated
processing system under subsection (a) only with respect
to loans for housing located in, and amounts reserved for
use in, areas for which a designation under section 509(f)
is in effect.
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(c) REPORT.—The Secretary of Agriculture shall sub-
mit an interim report to the Congress not later than 12
months after the date of the initial implementation of the
delegated processing system under this section describing
the activities taken under the system and evaluating the
effectiveness of the system.
(d) TERMINATION OF AUTHORITY.—The Secretary of
Agriculture may not carry out the delegated processing
system under this section after September 30, 1996.
TITLE VI—COMMUNITY
DEVELOPMENT
Subtitle A—Community
Development Block Grant Program
SEC. 601. AUTHORIZATION OF APPROPRIATIONS AND
GUARANTEE AUTHORITY.
(a) COMMUNITY DEVELOPMENT BLOCK GRANTS.—
The second sentence of section 103 of the Housing and
Community Development Act of 1974 (42 U.S.C. 5303)
is amended to read as follows: ‘‘For purposes of assistance
under section 106, there are authorized to be appropriated
$4,400,000,000 for fiscal year 1995 and $4,500,000,000
for fiscal year 1996.’’.
(b) LIMITATION ON LOAN GUARANTEES.—The fifth
sentence of section 108(a) of the Housing and Community
Development Act of 1974 (42 U.S.C. 5308(a)) is amended
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to read as follows: ‘‘Notwithstanding any other provision
of law and subject only to the absence of qualified appli-
cants or proposed activities and to the authority provided
in this section, to the extent approved or provided in ap-
propriation Acts, the Secretary shall enter into commit-
ments to guarantee notes and obligations under this sec-
tion 
with 
an 
aggregate 
principal 
amount 
of
$2,054,000,000 for fiscal year 1995 and $2,054,000,000
for fiscal year 1996.’’.
(c) SPECIAL PURPOSE GRANTS.—Section 107 of the
Housing and Community Development Act of 1974 (42
U.S.C. 5307) is amended—
(1) by striking ‘‘SEC. 107’’ and all that follows
through the end of paragraph (1) of subsection (a)
and inserting the following:
‘‘SEC. 107. (a) AUTHORIZATION
OF APPROPRIA-
TIONS.—
‘‘(1) IN GENERAL.—There are authorized to be
appropriated for each of fiscal years 1995 and 1996,
$60,000,000, for grants under subsection (b). Of
such amounts—
‘‘(A) $7,000,000 shall be available in each
such year for grants under subsection (b)(1);
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‘‘(B) such sums as may be necessary shall
be available in each such year for grants under
subsection (b)(2);
‘‘(C) $7,000,000 shall be available in each
such year for grants under subsection (b)(3);
‘‘(D) $28,000,000 shall be available in
each such year for grants under subsection
(b)(4);
‘‘(E) $6,000,000 shall be available in each
such year for grants under subsection (b)(5);
‘‘(F) $2,000,000 shall be available in each
such year for grants under subsection (b)(6);
‘‘(G) $8,000,000 shall be available in each
such year for grants under subsection (b)(7);
‘‘(H) such sums as may be necessary shall
be available in each such year for grants under
subsection (b)(8);
‘‘(I) $3,000,000 shall be available in each
such year for grants under subsection (c); and
‘‘(J) such sums as may be necessary shall
be available in fiscal year 1995 for a grant to
the City of Bridgeport, Connecticut, subject to
binding commitments made by the City of
Bridgeport and the State of Connecticut that
the amount made available pursuant to this
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subparagraph will be supplemented with an ad-
ditional amount equal to such amount under
this subparagraph, which shall be provided by
the city and the State in equal amounts.’’; and
(2) in subsection (b)—
(A) in paragraph (6), by striking ‘‘and’’ at
the end;
(B) in paragraph (7), by striking the pe-
riod at the end and inserting a semicolon; and
(C) by adding at the end the following new
paragraph:
‘‘(8) to 10 metropolitan cities and urban coun-
ties that receive grants under section 106, have high
rates of fire incidents, a substantial number of low-
income residents, and a high rate of death and seri-
ous injury caused by fire among youth, elderly, and
minorities, for obtaining a nitrogen enhanced, bio-
degradable, noncorrosive fire suppression liquid and
for training firefighters to use such liquid; and in
any year in which grants are made under this para-
graph, the Secretary shall include in the report re-
quired under section 113 a description of the effec-
tiveness of grants made under this paragraph in pre-
venting loss of life and property; and’’.
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SEC. 602. DEFINITION OF METROPOLITAN CITY.
Section 102(a)(4) of the Housing and Community
Development Act of 1974 (42 U.S.C. 5302(a)(4)) is
amended—
(1) in the second sentence, by striking ‘‘2
years’’ and inserting ‘‘1 year after September 30,
1989,’’; and
(2) by striking the fifth sentence and inserting
the following new sentence: ‘‘Notwithstanding that
the population of a unit of general local government
was included, after September 30, 1989, with the
population of an urban county for purposes of quali-
fying for assistance under section 106, the unit of
general local government may apply for assistance
under section 106 as a metropolitan city if the unit
meets the requirements of the second sentence of
this paragraph.’’.
SEC. 603. MANAGEMENT INFORMATION SYSTEMS.
Section 103 of the Housing and Community Develop-
ment Act of 1974 (42 U.S.C 5303) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ after
‘‘103.’’; and
(2) by adding at the end the following new sub-
section:
‘‘(b) RESERVATION
FOR MANAGEMENT INFORMA-
TION SYSTEMS.—Of the amount approved in an appro-
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priation Act for each of fiscal years 1995 and 1996 under
this section, the Secretary may reserve not more than 0.5
percent for improving management information systems
used by the Secretary and recipients under this title.’’.
SEC. 604. ELIGIBLE ACTIVITIES.
(a) RECONSTRUCTION ACTIVITIES AND REMOVAL OF
TOXIC MATERIALS.—Section 105(a) of the Housing and
Community Development Act of 1974 (42 U.S.C.
5305(a)) is amended—
(1) in paragraph (4), by striking ‘‘, demolition,
removal,’’ and inserting ‘‘(including the removal of
toxic materials and other contaminants from prop-
erties), demolition, removal, reconstruction,’’;
(2) in paragraph (8)—
(A) by striking ‘‘and’’ after ‘‘under this
paragraph,’’;
(B) by striking ‘‘fiscal year 1994’’ and in-
serting ‘‘fiscal years 1994, 1995, and 1996’’;
and
(C) by inserting before the semicolon at
the end the following: ‘‘, and except that of any
amount of assistance under this title (including
program income) to the Cities of Vallejo and
Benecia and to Napa County, in California,
such cities and county may use not more than
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20 percent in fiscal year 1995 and 25 percent
in fiscal year 1996 for activities under this
paragraph’’;
(3) in paragraph (13), by striking ‘‘and’’ at the
end;
(4) by striking paragraph (19);
(5) in paragraph (24), by striking ‘‘and’’ at the
end;
(6) in paragraph (25), by striking the period at
the end and inserting ‘‘; and’’;
(7) by redesignating paragraphs (20) through
(25) as paragraphs (19) through (24), respectively;
and
(8) by redesignating paragraph (21) (as added
by section 1012(f)(3) of the Housing and Commu-
nity Development Act of 1992 (Public Law 102–
550; 106 Stat. 3905) as paragraph (25).
(b) 
HOMEOWNERSHIP
ACTIVITIES.—Section
907(b)(2) of the Cranston-Gonzalez National Affordable
Housing Act (42 U.S.C. 5305 note) is hereby repealed.
SEC. 605. REALLOCATIONS.
Section 106(c) of the Housing and Community Devel-
opment Act of 1974 (42 U.S.C. 5304(c)) is amended by
striking paragraph (4).
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SEC. 606. PROHIBITION OF USE OF CDBG ASSISTANCE FOR
EMPLOYMENT RELOCATION ACTIVITIES.
Section 105 of the Housing and Community Develop-
ment Act of 1974 (42 U.S.C. 5305) is amended by adding
at the end the following new subsection:
‘‘(h) PROHIBITION OF USE OF ASSISTANCE FOR EM-
PLOYMENT RELOCATION ACTIVITIES.—Notwithstanding
any other provision of law, no amounts from a grant under
section 106 made in fiscal year 1994 or any succeeding
fiscal year may be used for any activity (including any in-
frastructure improvement) that is intended, or likely, to
facilitate the relocation or expansion of any industrial or
commercial plant, facility, or operation, from one area to
another area, if the relocation or expansion will result in
a loss of employment in the area from which the relocation
or expansion occurs.’’.
SEC. 607. LIMITATION ON EXTENT OF USE OF LOAN GUAR-
ANTEES FOR HOUSING PURPOSES.
Section 108 of the Housing and Community Develop-
ment Act of 1974 (42 U.S.C. 5308) is amended by insert-
ing after subsection (h) the following new subsection:
‘‘(i) LIMITATION ON USE.—Of any amounts obtained
from notes or other obligations issued by an eligible public
entity or public agency designated by an eligible public en-
tity and guaranteed under this section pursuant to an ap-
plication for a guarantee submitted after the date of the
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enactment of the Housing and Community Development
Act of 1992, the aggregate amount used for the purposes
described in clauses (2) and (4) of subsection (a), and for
other housing activities under the purposes described in
clauses (1) and (3) of subsection (a), may not exceed 10
percent of such amounts obtained by the eligible public
entity or agency.’’.
SEC. 608. ECONOMIC DEVELOPMENT GRANTS.
(a) ELIGIBLE ACTIVITIES.—Section 108(q)(2) of the
Housing and Community Development Act of 1974 (42
U.S.C. 5308(q)(2)) is amended by inserting before the pe-
riod at the end the following: ‘‘and for the construction,
rehabilitation, or financing of retail and service facilities,
mixed-use projects, projects that link economic develop-
ment and housing, community centers, farmers’ markets,
and community-based business expansions’’.
(b) ELIGIBLE PUBLIC ENTITIES.—Section 108(q)(1)
of the Housing and Community Development Act of 1974
is amended by inserting after ‘‘eligible public entities’’ the
following: ‘‘, and to eligible public entities in conjunction
with community- or neighborhood-based organizations,’’.
(c) AUTHORIZATION OF APPROPRIATIONS.—Section
108(q) of the Housing and Community Development Act
of 1974 is amended by adding at the end the following
new paragraph:
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‘‘(5) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated for grants
under this subsection $100,000,000 for fiscal year
1995 and $100,000,000 for fiscal year 1996. Using
any amounts appropriated for grants under this sub-
section for fiscal years 1995 and 1996, the Secretary
shall make a grant in the amount of $3,650,000 in
each such fiscal year to the Earth Conservancy in
Luzerne County, Pennsylvania, which shall be used
for carrying out a demonstration of using innovative
environmental technologies to reclaim land used for
community and economic development purposes that
has been damaged by anthracite coal mining activi-
ties.’’.
SEC. 609. USE OF UDAG RECAPTURES.
Section 119(o) of the Housing and Community De-
velopment Act of 1974 (42 U.S.C. 5318(o)) is amended
by striking ‘‘October 1, 1993’’ and inserting in lieu thereof
‘‘April 11, 1994’’.
SEC. 610. EXTENSION OF CERTAIN CDBG ASSISTANCE.
(a) EXTENSION.—Section 916(f) of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C.
5306 note) is amended by striking ‘‘1991’’ and all that
follows through ‘‘1994’’ and inserting ‘‘beginning before
the commencement of fiscal year 1998’’.
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(b) ELIGIBILITY.—Section 916(e)(4) of the Cran-
ston-Gonzalez National Affordable Housing Act (42
U.S.C. 5306 note) is amended by inserting ‘‘other than
Riverside County, California,’’ after ‘‘area’’.
Subtitle B—Other Community
Development Programs
SEC. 631. NEIGHBORHOOD REINVESTMENT CORPORATION.
The first sentence of section 608(a)(1) of the Neigh-
borhood Reinvestment Corporation Act (42 U.S.C.
8107(a)) is amended to read as follows: ‘‘There are au-
thorized to be appropriated to the corporation to carry out
this title $35,000,000 for fiscal year 1995 and
$35,000,000 for fiscal year 1996.’’.
SEC. 632. JOHN HEINZ NEIGHBORHOOD DEVELOPMENT
PROGRAM.
Section 123(g) of the Housing and Urban-Rural Re-
covery Act of 1983 (42 U.S.C. 5318 note) is amended to
read as follows:
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out this section
$10,000,000 for fiscal year 1995 and $10,000,000 for fis-
cal year 1996.’’.
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SEC. 633. CAPACITY BUILDING FOR COMMUNITY DEVELOP-
MENT AND AFFORDABLE HOUSING.
(a) AUTHORIZATION OF APPROPRIATIONS.—Section
4 of the HUD Demonstration Act of 1993 (42 U.S.C.
9816 note) is amended by striking subsection (e) and in-
serting the following new subsection:
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out this section
$60,000,000 for fiscal year 1995 and $60,000,000 for fis-
cal year 1996.’’.
(b) DELIVERY OF ASSISTANCE.—Section 4 of the
HUD Demonstration Act of 1993 (42 U.S.C. 9816 note)
is amended—
(1) in subsection (a)—
(A) by inserting ‘‘and directly to commu-
nity-based organizations and capacity-building
organizations’’ after ‘‘Initiative’’;
(B) by inserting ‘‘neighborhood’’ after ‘‘un-
dertake’’; and
(C) by striking ‘‘and affordable housing’’
and inserting ‘‘, affordable housing, revitaliza-
tion, economic development, youth and family
support, and community service’’;
(2) in subsection (b)—
(A) in paragraph (1), by striking ‘‘and
community housing development organizations’’
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and inserting ‘‘, community housing develop-
ment organizations, and community-based orga-
nizations (including local community action
agencies receiving assistance under the Commu-
nity Services Block Grant Act)’’ before the
semicolon at the end;
(B) in paragraph (2)—
(i) by striking ‘‘and community hous-
ing development organizations’’ and insert-
ing ‘‘, community housing development or-
ganizations, and community-based organi-
zations (including local community action
agencies receiving assistance under the
Community Services Block Grant Act)’’;
(ii) by inserting ‘‘neighborhood’’ after
‘‘carry out’’; and
(iii) by striking ‘‘low-income’’ and in-
serting ‘‘low- and moderate-income’’; and
(C) in paragraph (3), by inserting ‘‘or the
community-based organization’’ after ‘‘Initia-
tive’’;
(3) in subsection (c), by inserting ‘‘to the Na-
tional Community Development Initiative’’ after
‘‘provided’’;
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(4) by redesignating subsection (d) as sub-
section (e); and
(5) by inserting after subsection (c) the follow-
ing new subsection:
‘‘(d) SELECTION CRITERIA.—The Secretary shall se-
lect community-based organizations and capacity-building
organizations to receive assistance under this section
based upon selection criteria established by the Secretary,
which shall include the extent to which the activities pro-
posed to be conducted by the organization with assistance
under this section will—
‘‘(1) develop new community-based organiza-
tions in unorganized or underserved areas;
‘‘(2) assist eligible private nonprofit community-
based organizations located in low- or moderate-in-
come neighborhoods or areas having a concentration
of low- and moderate-income persons;
‘‘(3) be targeted to areas in economic distress;
‘‘(4) be conducted by an organization that pro-
vides for neighborhood resident participation in the
activities of the organization (including participation
of low- and moderate-income residents) and the ex-
tent to which the households and businesses in the
area served are members of the organization;
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‘‘(5) benefit low- and moderate-income persons
residing in the area served by the applicant;
‘‘(6) encourage linking and coordinating hous-
ing, economic, and human development;
‘‘(7) be coordinated with local law enforcement
agencies, local public housing agencies, and local
public housing resident management corporations
and resident councils, with respect to anti crime ini-
tiatives; and
‘‘(8) leverage contributions to support a wide
variety of community development initiatives from
the private sector, foundations, colleges and univer-
sities, civic groups, social, cultural, religious, and
other institutions, and the national service program,
in a manner that achieves the greatest long-term
private sector support.’’.
(c) GENO
BARONI
RECOGNITION
AWARDS
FOR
NEIGHBORHOOD SELF-HELP ORGANIZATIONS.—Section
4 of the HUD Demonstration Act of 1993 is amended by
inserting after subsection (e) (as so redesignated by sub-
section (b) of this section) the following new subsection:
‘‘(f) GENO BARONI RECOGNITION AWARDS
FOR
NEIGHBORHOOD SELF-HELP ORGANIZATIONS.—
‘‘(1) AUTHORITY.—The Secretary shall estab-
lish an award to be known as the Geno Baroni Rec-
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ognition Award for Neighborhood Self-Help Organi-
zations, and shall select community-based organiza-
tions and capacity-building organizations for such
award annually pursuant to the criteria under para-
graph (3).
‘‘(2) PURPOSE.—The purpose of the awards
under this subsection shall be—
‘‘(A) to focus attention on and provide
monetary compensation to successful self-help
organizations that have established and imple-
mented effective strategies to restore economic
vitality to neighborhoods in the United States;
and
‘‘(B) to facilitate training and other forms
of capacity-building assistance to improve and
expand the ability of community-based organi-
zations to carry out activities referred in sub-
paragraph (A).
‘‘(3) CRITERIA.—The Secretary shall prescribe
criteria for the selection of community-based organi-
zations and capacity-building organizations for the
award as the Secretary considers appropriate, which
shall include the extent to which the activities of an
organization meet the criteria under subsection (d)
and the extent to which an organization has—
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‘‘(A) promoted, implemented and sup-
ported self-help neighborhood activities that in-
tegrate poorer, inner-city neighborhoods into
the greater metropolitan region;
‘‘(B) furthered sustainable community de-
velopment by expanding fair housing opportuni-
ties, furthering economic revitalization, reduc-
ing economic isolation of income groups within
communities, expanding housing, education,
and employment opportunities for persons of
low or moderate income, and providing other
amenities in low-income neighborhoods;
‘‘(C) promoted and supported neighbor-
hood leadership and responsibility;
‘‘(D) leveraged private contributions to
support a wide variety of community develop-
ment initiatives on a long-term basis; and
‘‘(E) established and enhanced the mana-
gerial, financial, and administrative capacity of
the organization.
‘‘(4) MONETARY AWARD.—In connection with
each award made under this subsection to a commu-
nity-based organization or capacity-building organi-
zation, the Secretary shall, to the extent amounts
are available pursuant to paragraph (6), provide a
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monetary award to the organization in the amount
of $50,000.
‘‘(5) USE OF FUNDS FOR ADMINISTRATIVE PUR-
POSES.—The Secretary may use amounts made
available to carry out this subsection to defray the
costs of the Secretary in connection with making
awards under this section, including costs for—
‘‘(A) printing and disseminating informa-
tion;
‘‘(B) holding conferences;
‘‘(C) holding competition for awards, in-
cluding travel and per diem costs; and
‘‘(D) travel costs of award winners to at-
tend follow-up conferences endorsed by the Sec-
retary and to provide peer-to-peer assistance to
other appropriate individuals and entities.
‘‘(6) FUNDING.—
‘‘(A) IN GENERAL.—Of any amounts ap-
propriated for fiscal year 1995 to carry out this
section 4, 10 percent shall be used to carry out
this subsection. Of any amounts appropriated
for fiscal year 1996 to carry out this section,
such sums as may be necessary shall be used to
carry out this subsection. The provisions of sub-
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section (c) shall not apply to any amounts used
to carry out this subsection.
‘‘(B) SET-ASIDE
FOR
ADMINISTRATIVE
PURPOSES.—Of amounts available for any fiscal
year to carry out this subsection pursuant to
subparagraph (A), not more than 2 percent
may be used for the purposes in paragraph
(5).’’.
SEC. 634. COLONIAS ASSISTANCE PROGRAM.
(a) GRANT AUTHORITY.—The Secretary may make
grants in accordance with the provisions of this section
to units of general local government, States, nonprofit or-
ganizations, or entities or instrumentalities established
under the authority of any of such entities, for use in ad-
dressing the community development and housing needs
of colonias.
(b) ELIGIBLE ACTIVITIES.—Assistance under this
section may be used only to carry out the following activi-
ties:
(1) Any activity eligible under section 105 of
the Housing and Community Development Act of
1974 or section 212(a) of the HOME Investment
Partnerships Act.
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(2) Refinancing the existing debt of home-
owners to convert existing land transactions and in-
terests into mortgages.
(3) Constructing new housing, including self-
help, energy-efficient, and innovative housing design
initiatives.
(4) Developing new subdivisions for affordable
housing.
(5) Re-platting and redeveloping existing sub-
divisions.
(6) Planning for and constructing infrastruc-
ture necessary for the development of housing, eco-
nomic development, and community facilities and
amenities.
(7) Such other activities as the Secretary deems
appropriate to further the purposes of this section.
(c) MODEL PROGRAMS.—
(1) IN GENERAL.—Of amounts allocated under
subsection (j)(2), the Secretary shall make grants
under this subsection to the entities referred to in
subsection (a) for the purpose of establishing model
programs of assistance for addressing the commu-
nity development, housing, and other needs of the
residents of the colonias.
(d) SELECTION OF GRANTEES.—
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(1) GEOGRAPHIC
DISTRIBUTION.—The Sec-
retary shall designate—
(A) at least one project in each State to re-
ceive a grant under this subsection; and
(B) at least one project within a metropoli-
tan area in any State to receive a grant under
this subsection.
(2) SELECTION PROCESS.—The Secretary shall
select grantees under this subsection on a non-
competitive basis, through negotiation with the
grantee.
(3) 
SELECTION
CRITERIA.—In 
selecting
projects for grants under this subsection, the Sec-
retary shall consider—
(A) the extent of need in the colonia;
(B) the likely effectiveness of the proposed
approach in addressing identified needs;
(C) the extent to which funding for the
project is committed from sources other than
under this section;
(D) the need to consider a variety of solu-
tions to a variety of needs situations; and
(E) such other factors as the Secretary
deems appropriate to carry out the objectives of
this section.
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(e) COMPETITIVE GRANTS.—
(1) PURPOSE.—Grants under this subsection
shall be made, in accordance with paragraph (2), to
the entities referred to in subsection (a) for the pur-
pose of assisting the community development and
housing needs of the residents of one or more
colonias in an area or region.
(2) RESERVATION OF FUNDS.—Of amounts al-
located under subsection (j)(2), the Secretary shall
reserve a target amount for grants under this sub-
section for use in colonias in each State. The Sec-
retary shall determine the amount be reserved based
on such objective factors of need as the Secretary
deems appropriate, which may include rates of pov-
erty in, and the population of, colonias. The Sec-
retary shall reallocate any amounts set-aside under
this paragraph for which the Secretary determines
there will not be sufficient approvable applications in
a fiscal year.
(3) USE OF FUNDS.—Any amount not reserved
or reallocated under paragraph (2) may be used in
colonias in any State.
(4) APPLICATIONS.—Applications for grants
under this subsection shall be submitted at such
time and in accordance with such procedures, as the
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Secretary shall prescribe. Applications shall contain
the following information, which the Secretary shall
consider in selecting projects for grants under this
subsection:
(A) The extent of need in the colonia.
(B) An estimate of the likely effectiveness
of the proposed approach in addressing identi-
fied needs.
(C) A description of the extent to which
funding for the project is committed from
sources other than under this section.
(D) Any other information that the Sec-
retary deems appropriate to carry out the objec-
tives of this section.
(5) SELECTION OF GRANTEES.—The Secretary
shall select grantees for grants under this subsection
on the basis of a competition, following publication
of a notice of funding availability in the Federal
Register.
(f) RECORDS, REPORTS, AND AUDITS.—
(1) KEEPING
OF
RECORDS.—Each grantee
under this section shall keep such records as may be
reasonably necessary to disclose the amounts and
the disposition of grant amounts received under this
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section and to ensure compliance with the require-
ments of this section.
(2) GRANTEE REPORTS.—Each grantee under
this section shall submit to the Secretary a report,
or series of reports, in a form and at a time speci-
fied by the Secretary. Each report shall—
(A) describe the use of funds made avail-
able to the grantee under this section; and
(B) describe and analyze the effect of as-
sisted activities in addressing the community
development and housing needs of the residents
of colonias.
(g) ACCESS TO DOCUMENTS BY SECRETARY.—The
Secretary shall have access for the purpose of audit and
examination to any books, documents, papers, and records
of a grantee that are pertinent to assistance received in
connection with, and the requirements of, this section.
(h) ACCESS TO DOCUMENTS BY COMPTROLLER GEN-
ERAL.—The Comptroller General of the United States, or
any of the duly authorized representatives of the Comp-
troller General, shall have access for the purpose of audit
and examination to any books, documents, papers, and
records of a grantee that are pertinent to assistance re-
ceived under, and the requirements of, this section.
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(i) DEFINITIONS.—For purposes of this section, the
following definitions shall apply:
(1) The terms ‘‘colonia’’ and ‘‘United States-
Mexico Border Region’’ have the meanings given the
terms in section 916(e) of the Cranston-Gonzalez
National Affordable Housing Act.
(2) The term ‘‘metropolitan area’’ has the
meaning given the term in section 102(a) of the
Housing and Community Development Act of 1974.
(3) The term ‘‘nonprofit organization’’ means—
(A) an organization—
(i) that is described in section 501(c)
of the Internal Revenue Code of 1986; and
(ii) is exempt from taxation under
section 501(a) of such Code; or
(B) an organization—
(i) no part of the net earnings of
which inures to the benefit of any member,
founder, contributor, or individual;
(ii) that in the case of a private non-
profit organization, has a voluntary board;
(iii) that has an accounting system, or
has designated a fiscal agent in accordance
with requirements established by the Sec-
retary; and
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(iv) that practices nondiscrimination
in the provision of assistance.
(4) The term ‘‘Secretary’’ means the Secretary
of Housing and Urban Development.
(5) The term ‘‘State’’ means the States of Cali-
fornia, Arizona, New Mexico, and Texas.
(6) The term ‘‘unit of general local govern-
ment’’ means—
(A) a city, town, township, county, parish,
village, or other general purpose political sub-
division of a State; and
(B) any agency or instrumentality thereof
that is established pursuant to legislation and
designated by the chief executive to act on be-
half of the jurisdiction with regard to provisions
of this section.
The term includes a consortium of geographically
contiguous units of general local government, if the
Secretary determines that the consortium—
(i) has sufficient authority and administra-
tive capability to carry out the purposes of this
section on behalf of its member jurisdictions;
and
(ii) meets such other requirements as the
Secretary may prescribe.
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(j) FUNDING.—
(1) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated for grants
under this section $100,000,000 for each of fiscal
years 1995 and 1996. Any amount appropriated to
carry out this section shall remain available until ex-
pended.
(2) ALLOCATION OF FUNDS.—Of the amounts
appropriated under paragraph (1) for any fiscal
year—
(A) 80 percent shall be available for grants
to establish model programs under subsection
(c); and
(B) 20 percent shall be available for com-
petitive grants under subsection (e).
SEC. 635. GRANTS FOR EMPOWERMENT ZONES AND ENTER-
PRISE COMMUNITIES.
(a) GRANT AUTHORITY.—The Secretary of Housing
and Urban Development may make grants to units of gen-
eral local government in which empowerment zones and
enterprise communities have been designated pursuant to
section 1391 of the Internal Revenue Code of 1986.
(b) USE.—Grants under this section may be used
only to assist units of general local government in imple-
menting the strategic plan for community revitalization re-
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quired for each designated empowerment zone and enter-
prise community by expanding business opportunities and
job creation through economic development activities and
by stimulating the use of project-based rental assistance
certificates and other activities to construct or rehabilitate
rental housing, as follows:
(1) ECONOMIC
DEVELOPMENT
ACTIVITIES.—
Grants amounts under this section used for eco-
nomic development activities may be used only for
activities eligible to be carried out with amounts pro-
vided under title I of the Housing and Community
Development Act of 1974.
(2) ASSISTED HOUSING.—Grant amounts under
this section used for housing activities may be used
for—
(A) project-based assistance activities eligi-
ble under section 8 of the United States Hous-
ing Act of 1937 or similar State and local pro-
grams;
(B) activities eligible for assistance under
title II of the Cranston-Gonzalez National Af-
fordable Housing Act or a similar local afford-
able housing program; and
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(C) other housing activities that meet the
requirements of this subsection, as the Sec-
retary may approve.
(3) PROHIBITION OF USE OF ASSISTANCE FOR
EMPLOYMENT
RELOCATION
ACTIVITIES.—Notwith-
standing any other provision of this section, no
grant amounts under this section may be used for
any activity (including any infrastructure improve-
ment) that is intended, or likely, to facilitate the re-
location or expansion of any industrial or commer-
cial plant, facility, or operation, from one area to an-
other area, if the relocation or expansion will result
in a loss of employment in the area from which the
relocation or expansion occurs.
(c) TECHNICAL ASSISTANCE.—From amounts re-
served under subsection (i)(2), the Secretary shall carry
out, directly or through contracts, training and informa-
tion activities in connection with the program under this
section.
(d) 
APPLICATIONS.—A 
locality 
in 
which 
an
empowerment zone or enterprise community has been des-
ignated, which designation remains in effect, may submit
an application to the Secretary for a grant under this sec-
tion. The application shall contain such information and
certifications as the Secretary may require, including a
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certification that the grant will be used in accordance with
the approved strategic plan. Where a zone or community
is within the jurisdiction of more than one unit of general
local government, the application shall be submitted joint-
ly by the units of general local government and shall speci-
fy whether and, if so, how the grant is to be divided among
the units.
(e) FUNDING.—To the extent amounts are available
to carry out this section, for applications approved by the
Secretary the amount of a grant under this section for
a fiscal year shall be—
(1) $50,000,000 for each urban empowerment
zone;
(2) $20,000,000 for each rural empowerment
zone; and
(3) $1,400,000 for each enterprise community.
(f) TERMS AND CONDITIONS.—Grants made under
this section shall be subject to such terms and conditions
as the Secretary may establish.
(g) USE IN CONJUNCTION WITH LOAN GUARAN-
TEES.—Grants made under this section may be used in
conjunction with loans guaranteed under section 108 of
the Housing and Community Development Act of 1974
and the Home Investment Partnerships Act.
(h) RECORDS, REPORTS, AND AUDITS.—
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(1) KEEPING
OF
RECORDS.—Each grantee
under this section shall keep such records as may be
reasonably necessary to disclose the amounts and
the disposition of grant amounts received under this
subtitle and to ensure compliance with the require-
ments of this section.
(2) GRANTEE REPORTS.—Each grantee under
this section shall submit to the Secretary a report,
or series of reports, in a form and at a time speci-
fied by the Secretary. Each report shall—
(A) describe the use of amounts made
available under this section; and
(B) describe and analyze the effect of as-
sisted activities in addressing the objectives of
this section.
(3) ACCESS TO DOCUMENTS BY SECRETARY.—
The Secretary shall have access for the purpose of
audit and examination to any books, documents, pa-
pers, and records of the grantee that are pertinent
to assistance received in connection with, and the re-
quirements of, this section.
(4) ACCESS TO DOCUMENTS BY COMPTROLLER
GENERAL.—The Comptroller General of the United
States, or any of the duly authorized representatives
of the Comptroller General, shall have access for the
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purpose of audit and examination to any books, doc-
uments, papers, and records of the grantee that are
pertinent to assistance received under, and the re-
quirements of, this section.
(i) FUNDING.—
(1) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated for pur-
poses of this section $250,000,000 for fiscal year
1995 and $250,000,000 for fiscal year 1996. Any
amount appropriated to carry out this section shall
remain available until expended.
(2) RESERVATION OF AMOUNTS FOR TRAINING
AND
INFORMATION
ACTIVITIES.—Of the amounts
appropriated pursuant to paragraph (1) for any fis-
cal year, the Secretary shall reserve not more than
0.5 percent for use only to carry out the training
and information activities referred to in subsection
(c).
SEC. 636. USE OF GRANT AMOUNTS.
(a) BUFFALO, NEW YORK.—Notwithstanding any
other provision of law, the City of Buffalo, New York, may
retain amounts provided under an urban development ac-
tion grant under section 119 of the Housing and Commu-
nity Development Act of 1974 for Project No. B–87–AA–
36–0540 and use such funds for the Towne Gardens Plaza
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project, and may retain amounts provided under such a
grant for Project No. B–87–AA–36–0521 and use such
funds for the American Axle project, if such projects are
commenced not later than 6 months after the date of the
enactment of this Act.
(b) PITTSBURGH, PENNSYLVANIA.—Notwithstanding
any other provision of law, the city of Pittsburgh, Penn-
sylvania, may retain any amounts provided under an
urban development action grant for Project No. B–86–
AA–42–0275 and use such funds for the Central Pitts-
burgh Plaza project, if such project is commenced not
later than 6 months after the date of the enactment of
this Act.
(c) WILKES-BARRE, PENNSYLVANIA.—Notwithstand-
ing any other provision of law, the city of Wilkes-Barre,
Pennsylvania, may retain any amounts provided under an
urban development action grant for Project No. B–87–
AA–42–1211 and use such funds for the Northeastern
Pennsylvania Economic Development project, if such
project is commenced not later than 6 months after the
date of enactment of this Act.
(d) RICHMOND, VIRGINIA.—The Secretary of Hous-
ing and Urban Development shall cancel the indebtedness
of the city of Richmond, Virginia, relating to the categor-
ical program settlement grant provided to the city to settle
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four urban renewal programs (Project No. B–78–UR–51–
0019). The city of Richmond, Virginia, is hereby relieved
of all liability to the Federal Government for such grant
and any fees and charges payable in connection with such
grant.
(e) LOCKPORT TOWNSHIP, ILLINOIS.—The Secretary
of Housing and Urban Development shall cancel the in-
debtedness of Lockport Township, Illinois, relating to the
public facilities loan for Project No. ILL–11–PFL0112.
Lockport Township, Illinois, is hereby relieved of all liabil-
ity to the Federal Government for the outstanding prin-
cipal balance on such loan, the amount of accrued interest
on such loan, and any other fees and charges payable in
connection with such loan.
(f) BINGHAMTON, NEW YORK.—Notwithstanding any
other provision of law, the City of Binghamton, New York,
may retain amounts provided under an urban development
action grant under section 119 of the Housing and Com-
munity Development Act of 1974 for Project No. B–88–
AA–36–0535 and use such funds for the High Technology
Center project, if such project is commenced not later than
6 months after the date of the enactment of this Act.
(g) BUDGET COMPLIANCE.—Subsections (d) and (e)
of this section shall be effective only to the extent, or in
such amounts, as are provided in appropriation Acts.
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TITLE VII—REGULATORY AND
MISCELLANEOUS PROGRAMS
SEC. 701. FAIR HOUSING INITIATIVES PROGRAM.
Section 561(g) of the Housing and Community De-
velopment Act of 1987 (42 U.S.C. 3616 note) is amended
to read as follows:
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out the provi-
sions of this section $26,000,000 for fiscal year 1995 and
$27,000,000 for fiscal year 1996, of which—
‘‘(1) not less than $9,000,000 for fiscal year
1995 and $9,000,000 for fiscal year 1996 shall be
for private enforcement initiatives authorized under
subsection (b), divided equally between activities
specified under subsection (b)(1) and those specified
under subsection (b)(2);
‘‘(2) not less than $3,000,000 for fiscal year
1995 and $3,000,000 for fiscal year 1996 shall be
for qualified fair housing enforcement organizations
authorized under subsection (c)(1);
‘‘(3) not less than $7,000,000 for fiscal year
1995 and $7,000,000 for fiscal year 1996 shall be
for the creation of new fair housing enforcement or-
ganizations authorized under subsection (c)(2); and
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‘‘(4) not less than $7,000,000 for fiscal year
1995 and $7,000,000 for fiscal year 1996 shall be
for education and outreach programs authorized
under subsection (d), to be divided equally between
activities specified under subsection (d)(1) and those
specified under subsections (d)(2) and (d)(3).
Any amount appropriated under this section shall remain
available until expended.’’.
SEC. 702. HUD PROGRAM MONITORING AND EVALUATION.
The first sentence of section 7(r)(6) of the Depart-
ment of Housing and Urban Development Act (42 U.S.C.
3535(r)(6)) is amended to read as follows: ‘‘There are au-
thorized to be appropriated to carry out this subsection
such sums as may be necessary for fiscal years 1995 and
1996.’’.
SEC. 703. HUD SALARIES AND EXPENSES.
Section 7(s) of the Department of Housing and
Urban Development Act (42 U.S.C. 3535(s)) is amended
to read as follows:
‘‘(s) AUTHORIZATION OF APPROPRIATIONS FOR SAL-
ARIES AND EXPENSES.—Notwithstanding any other provi-
sion of law, there are authorized to be appropriated such
sums as may be necessary for each of fiscal years 1995
and 1996 for salaries and expenses to carry out the pur-
poses of this section. There is also authorized to be appro-
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priated for fiscal year 1996, $40,000,000, for the training,
travel to training, continuing education, professional de-
velopment, and improvement of skills of employees of the
Department.’’.
SEC. 704. USE OF TECHNICAL ASSISTANCE AMOUNTS BY OR
FOR HUD STAFF.
Section 7 of the Department of Housing and Urban
Development Act (42 U.S.C. 3535) is amended by adding
at the end the following new subsection:
‘‘(t) USE OF TECHNICAL ASSISTANCE AMOUNTS.—
The Secretary may transfer to any of the accounts of the
Department for salaries and expenses from any other ac-
count from which amounts may be drawn for technical as-
sistance such amounts as the Secretary determines are
reasonable to reimburse such salaries and expenses ac-
count, but only if such reimbursement is made for expend-
itures for the costs of personal services, travel, and trans-
portation, and other object classifications that are in-
curred for the technical assistance, training, and related
activities provided by or to officials and employees of the
Department for a program that is funded from such other
account and in which the costs of technical assistance are
otherwise eligible for expenditure. Up to 10 percent of the
amount transferred may be used for technical assistance,
training, travel, and related expenses provided to officials
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and employees of the Department. The authority under
this subsection to transfer amounts shall be in addition
to any other authority of the Secretary to transfer funds
among accounts which exists on the date of the enactment
of the Housing and Community Development Act of 1992
or is provided after such date.’’.
SEC. 705. ANNUAL REPORT REGARDING REPEAL OF UN-
FUNDED PROGRAMS.
Section 8 of the Department of Housing and Urban
Development Act (42 U.S.C. 3536) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ after
‘‘SEC. 8.’’; and
(2) by adding at end the following new sub-
section:
‘‘(b) UNFUNDED PROGRAMS.—In each annual report
under this section, the Secretary shall—
‘‘(1) identify each program under the jurisdic-
tion of the Department for which amounts have been
authorized to be appropriated for each of the 3 most
recently completed fiscal years but for which, for all
3 of such years, amounts have not been appro-
priated; and
‘‘(2) include proposed legislation repealing the
provisions of Federal law authorizing the programs
identified pursuant to paragraph (1) and providing
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requirements for the treatment, after such repeal, of
any assistance provided under such provisions before
the repeal.’’.
SEC. 706. REQUIREMENTS FOR PARTICIPATION OF WOMEN
IN CONSTRUCTION ASSISTED UNDER HUD
PROGRAMS.
The Department of Housing and Urban Development
Act (42 U.S.C. 3531 et seq.) is amended by adding at
the end the following new section:
‘‘SEC. 15. REQUIREMENTS FOR PARTICIPATION OF WOMEN
IN CONSTRUCTION ASSISTED UNDER HUD
PROGRAMS.
‘‘(a) BIDS.—Except as provided in subsection (c),
each contractor submitting a bid or contract proposal for
a covered construction contract (and each applicant for
construction assistance that will carry out construction)
shall include in the bid or proposal (or application for con-
struction assistance) documentation sufficient to ensure
that the contractor will comply with the requirements of
this section or certifications that the contractor will make
a good faith effort to comply with such requirements. The
Secretary shall, by regulation, establish standards for such
documentation and certifications and shall provide for con-
tractors (and applicants) making certifications to periodi-
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cally provide to the Secretary evidence of such good faith
efforts.
‘‘(b) PARTICIPATION REQUIREMENTS.—Any contrac-
tor who enters into a covered construction contract (and
any recipient of construction assistance carrying out con-
struction), and any subcontractor thereof, shall employ
and maintain the employment of construction trades work-
ers in construction covered by the covered construction
contract (or assisted with the construction assistance)—
‘‘(1) for any contractor or subcontractor (or re-
cipient of construction assistance) whose total num-
ber of employees is not less than 6 and not more
than 19, not less than 1 woman; and
‘‘(2) for any contractor or subcontractor (or re-
cipient of construction assistance) whose total num-
ber of employees is 20 or more, a number of women
that is not less than 10 percent of the positions in
each of the construction trades performed by the
contractor or subcontractor (or recipient of construc-
tion assistance).
‘‘(c) EXEMPTION FOR SMALL CONTRACTORS.—Any
contractor (or recipient) whose total number of employees
is 5 or less shall not be subject to the requirements of
this section.
‘‘(d) DEFINITIONS.—For purposes of this section:
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‘‘(1) The term ‘construction assistance’ means
any assistance provided under any program adminis-
tered by the Secretary that is used for any construc-
tion, but does not include mortgage insurance under
the National Housing Act.
‘‘(2) The term ‘construction trades workers’
means workers in any construction trade, includ-
ing—
‘‘(A) brickmasons, stonemasons, and tile
setters;
‘‘(B) carpenters;
‘‘(C) electricians and power transmission
installers;
‘‘(D) painters, paperhangers, and plaster-
ers;
‘‘(E) plumbers, pipefitters, and steam-
fitters;
‘‘(F) carpet installers;
‘‘(G) drywall installers and drywall finish-
ers;
‘‘(H) concrete and terrazzo finishers;
‘‘(I) glaziers;
‘‘(J) insulation workers;
‘‘(K) paving, surfacing, and tamping
equipment operators;
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‘‘(L) roofers;
‘‘(M) sheetmetal duct installers;
‘‘(N) structural metal workers;
‘‘(O) power equipment operators (including
truck drivers, and backhoe, bulldozer, crane,
loader, and grader operators);
‘‘(P) sprinkler installers;
‘‘(Q) elevator installers;
‘‘(R) laborers; and
‘‘(S) landscapers.
‘‘(3) The term ‘contractor’ includes firms, part-
nerships, corporations, and any other persons, and
any combination thereof.
‘‘(4) The term ‘covered construction contract’
means an agreement to provide labor and related
materials, supplies, or services for any construction
that—
‘‘(A) involves any construction assistance;
and
‘‘(B) if such construction assistance is pro-
vided—
‘‘(i) under the community develop-
ment block grant program under title I of
the Housing and Community Development
Act of 1974 or the HOME Investment
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Partnerships Act, involves a total project
cost of not less than $100,000; or
‘‘(ii) under any other program admin-
istered by the Secretary, involves a total
project cost of not less than $200,000.
‘‘(5) The term ‘subcontractor’ means any firm,
partnership, corporation, or any other person, or any
combination thereof, who enters into a contract or
agreement with a contractor to perform a substan-
tial specified portion of a covered construction con-
tract.’’.
SEC. 707. NOTIFICATION OF HUD FUNDING AWARDS.
Section 102(a)(1) of the Department of Housing and
Urban Development Reform Act of 1989 (42 U.S.C.
3545(a)(1)) is amended by adding at the end the following
new sentence: ‘‘Each notice of the availability of assistance
shall include an estimate of the date by which the Depart-
ment will notify applicants for such assistance whose ap-
plications or requests for assistance are approved of such
approval.’’.
SEC. 708. EXCLUSION OF GNMA FROM HUD PERSONNEL
CEILINGS.
Section 502(a) of the Housing Act of 1948 (12
U.S.C. 1701c(a)) is amended by adding at the end the
following new sentence: ‘‘Notwithstanding any other provi-
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sion of law, employees of the Government National Mort-
gage Association Department in the Department of Hous-
ing and Urban Development shall not be considered em-
ployees of the Department for purposes of any limitation
on the number of employees of the Department.’’.
SEC. 709. HUD RESEARCH AND DEVELOPMENT.
The second sentence of section 501 of the Housing
and Urban Development Act of 1970 (12 U.S.C. 1701z–
1) is amended to read as follows: ‘‘There are authorized
to be appropriated to carry out this title $40,000,000 for
fiscal year 1995 and $42,000,000 for fiscal year 1996.’’.
SEC. 710. PREVENTING FRAUD AND ABUSE IN RURAL RENT-
AL HOUSING PROGRAM.
Section 904 of the Stewart B. McKinney Homeless
Assistance Amendments Act of 1988 (42 U.S.C. 3544) is
amended—
(1) in the heading for the section, by inserting
‘‘AND RURAL RENTAL HOUSING PROGRAM’’ be-
fore the period at the end;
(2) by striking paragraph (1) of subsection (a)
and inserting the following new paragraph:
‘‘(1) SECRETARY CONCERNED.—The term ‘Sec-
retary concerned’ means—
‘‘(A) the Secretary of Housing and Urban
Development, with respect to programs of the
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Department of Housing and Urban Develop-
ment; and
‘‘(B) the Secretary of Agriculture, with re-
spect to the program for rural rental housing
under section 515 of the Housing Act of
1949.’’;
(3) in subsection (b), in the matter preceding
paragraph (1), by inserting after ‘‘income,’’ the fol-
lowing: ‘‘and as a condition of initial or continuing
eligibility for participation in the program for rural
rental housing under section 515 of the Housing Act
of 1949,’’;
(4) in subsection (c)(2)(A)—
(A) by inserting before ‘‘from the im-
proper’’ the following: ‘‘or the program for
rural rental housing under section 515 of the
Housing Act of 1949’’; and
(B) by inserting before ‘‘and (in’’ the fol-
lowing: ‘‘and the Department of Agriculture’’;
(5) in the last sentence of subsection (c)(3)(A),
by inserting ‘‘an officer or employee of the Depart-
ment of Agriculture,’’ after ‘‘Development,’’;
(6) in subsection (e), by inserting after ‘‘Devel-
opment’’ the following: ‘‘or the program for rural
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rental housing under section 515 of the Housing Act
of 1949,’’;
(7) in subsection (a)(2), in the matter in sub-
section (b) that precedes paragraph (1), and in
paragraphs (1) and (2) of subsection (b), by striking
‘‘the Secretary’’ each place it appears and inserting
‘‘the Secretary concerned’’; and
(8) in subsection (b)(3)—
(A) by striking ‘‘the Secretary authorizing
the Secretary’’ and inserting ‘‘the Secretary
concerned 
authorizing 
the 
Secretary 
con-
cerned’’; and
(B) by striking ‘‘of the Secretary’’ and in-
serting ‘‘of the Secretary concerned’’.
SEC. 711. NATIONAL INSTITUTE OF BUILDING SCIENCES.
The second sentence of section 809(i) of the Housing
and Community Development Act of 1974 (12 U.S.C.
1701j–2(i)) is amended to read as follows: ‘‘In addition
to the amounts authorized to be appropriated under the
first sentence of this subsection, there are authorized to
be appropriated to the Institute to carry out the provisions
of this section $2,000,000 for fiscal year 1995 and
$2,000,000 for fiscal year 1996.’’.
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SEC. 712. RESIDENTIAL LEAD-BASED PAINT HAZARD RE-
DUCTION.
(a) TARGET HOUSING HAZARD REDUCTION.—
(1) AUTHORIZATION
OF
APPROPRIATIONS.—
Section 1011(p) of the Housing and Community De-
velopment Act of 1992 (42 U.S.C. 4852(p)) is
amended to read as follows:
‘‘(p) AUTHORIZATION OF APPROPRIATIONS.—For the
purposes of carrying out this Act, there are authorized to
be appropriated $100,000,000 for fiscal year 1995 and
$110,000,000 for fiscal year 1996.’’.
(2) TECHNICAL
ASSISTANCE
AND
CAPACITY
BUILDING.—Section 1011(g) of the Housing and
Community Development Act of 1992 (42 U.S.C.
4852(g)) is amended—
(A) in paragraph (1)—
(i) in the first sentence, by inserting
before the period at the end the following:
‘‘, by providing technical assistance, either
directly, or indirectly under contracts or
otherwise’’; and
(ii) by striking the second sentence;
and
(B) by striking paragraph (2) and insert-
ing the following new paragraph:
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‘‘(2) SET-ASIDE.—Of the total amount ap-
proved in appropriation Acts under subsection (p),
there shall be set aside to carry out this subsection
$3,000,000 for fiscal year 1995 and $3,000,000 for
fiscal year 1996.’’.
(3) ELIGIBLE HOUSING.—Section 1011 of the
Housing and Community Development Act of 1992
(42 U.S.C. 4852) is amended—
(A) by striking subsection (a) and insert-
ing the following new subsection:
‘‘(a) AUTHORITY AND ELIGIBLE HOUSING.—
‘‘(1) AUTHORITY.—The Secretary may provide
grants to eligible applicants to evaluate and reduce
lead-based paint hazards in housing that meets the
requirements under paragraphs (2) and (3) and is
not federally assisted housing, federally owned hous-
ing, or public housing, in accordance with the provi-
sions of this section.
‘‘(2) ELIGIBLE HOUSING.—Housing that meets
the requirements under this paragraph is the follow-
ing housing:
‘‘(A) RENTAL HOUSING.—In the case of
rental housing, housing in which at least 50
percent of the dwelling units are occupied by or
available to households with incomes not ex-
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ceeding 50 percent of the median income for
the area, as defined by the Secretary, and the
remainder of the dwelling units are occupied by
or available to households with incomes not ex-
ceeding 80 percent of the median income for
the area, as defined by the Secretary.
‘‘(B) OWNER-OCCUPIED HOUSING.—In the
case of owner-occupied housing, a dwelling that
is the principal residence of a household with an
income not exceeding 80 percent of the median
income for the area, as defined by the Sec-
retary.
‘‘(3) LIMITATIONS ON USE OF AMOUNTS.—
‘‘(A) RENTAL HOUSING.—In the case of
rental housing for which lead hazard reduction
activities are conducted using grant amounts
under this section—
‘‘(i) 
notwithstanding 
paragraph
(2)(A), for housing with 5 or more dwell-
ing units, not more than 20 percent of
such remaining dwelling units may be oc-
cupied by households with incomes exceed-
ing 80 percent of the median income for
the area, as defined by the Secretary; and
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‘‘(ii) all vacant dwelling units for
which such activities have been conducted
shall be made available only to households
with a child or children under 6 years of
age, and among such households priority
shall be given to households with incomes
not exceeding 50 percent of the median in-
come for the area, as defined by the Sec-
retary.
‘‘(B) OWNER-OCCUPIED HOUSING.—In the
case of owner-occupied housing for which lead
hazard reduction activities are conducted using
grant amounts under this section, 90 percent of
the dwelling units for which such activities are
conducted shall be dwelling units occupied by a
household with a child or children under 6
years of age or dwelling units in which a child
of such age regularly spends a substantial por-
tion of his or her time.
‘‘(4) EXCEPTION
TO
ELIGIBLE
HOUSING
RE-
QUIREMENTS.—Notwithstanding 
paragraph 
(2),
housing that qualifies as affordable housing under
section 215 of the Cranston-Gonzalez National Af-
fordable Housing Act (including housing that re-
ceives assistance under section 8 of the United
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States Housing Act of 1937) and for which activities
assisted under this section are to be conducted using
amounts made available to carry out this section for
fiscal year 1993 shall be considered housing that
meets the requirements of paragraph (2) and shall
not be subject to the requirements of paragraph (3),
but only if the recipient of such assistance elects, be-
fore commencing such activities with such assist-
ance, to be subject to the provisions of this para-
graph and the Secretary approves such election. Any
such recipient making such an election may not use
such assistance to carry out activities under this sec-
tion with respect to housing that meets the require-
ments of paragraphs (2) and (3).’’; and
(B) by striking ‘‘priority housing’’ each
place it appears and inserting ‘‘housing that
meets the requirements under subsection (a)’’.
(b) HUD RESEARCH.—
(1) CONDUCTING OF RESEARCH.—Section 1052
of the Housing and Community Development Act of
1992 (42 U.S.C. 4854a) is amended by inserting
after ‘‘other Federal agencies,’’ the following: ‘‘either
directly, or indirectly under contract or otherwise,’’.
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(2) FUNDING.—Section 1053 of the Housing
and Community Development Act of 1992 (42
U.S.C. 4854b) is amended to read as follows:
‘‘SEC. 1054. FUNDING.
‘‘Of the total amount approved in appropriation Acts
under section 1011(p), there shall be set aside to carry
out this part $5,000,000 for fiscal year 1995 and
$5,000,000 for fiscal year 1996.’’.
(3) OTHER ACTIVITIES.—Part 1 of subtitle D
of title X of the Housing and Community Develop-
ment Act of 1992 (42 U.S.C. 4854 et seq.) is
amended by inserting after section 1052 the follow-
ing new section:
‘‘SEC. 1053. OTHER RESEARCH AND ASSISTANCE ACTIVI-
TIES.
‘‘The Secretary may use amounts available to carry
out this part to undertake, either directly, or indirectly
under contract or otherwise, pursuant to title V of the
Housing and Urban Development Act of 1970, such stud-
ies, tests (including pilot tests of new or revised pro-
grams), evaluations, demonstrations, education of the pub-
lic, and preparation of training materials, as are consist-
ent with the purposes of this Act.’’.
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(c) DEFINITIONS.—Section 1004 of the Housing and
Community Development Act of 1992 (42 U.S.C. 4851b)
is amended—
(1) by striking paragraph (20); and
(2) by redesignating paragraphs (21) through
(27) as paragraphs (20) through (26), respectively.
SEC. 713. GAO STUDY OF LEAD-BASED PAINT DETECTION
TECHNOLOGIES AND TENANT NOTIFICATION
PROCEDURES.
(a) IN GENERAL.—The Comptroller General of the
United States shall conduct a study of the lead-based
paint detection and abatement programs of the Depart-
ment of Housing and Urban Development, which shall in-
clude—
(1) analysis of existing lead-based paint detec-
tion technologies including an analysis of the effec-
tiveness of x-ray fluorescence analyzers (in this sec-
tion referred to as ‘‘XRF’’);
(2) evaluation of the qualifications of XRF con-
tractors and whether national certification standards
should be imposed;
(3) analysis of whether the 1.0 mg/cm2 action
level for lead paint, as directed in section 302 of the
Lead-Based Paint Poisoning Prevention Act, is too
high to adequately protect tenant health, and in con-
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duction such analysis, the Comptroller General shall
consult with the Consumer Product Safety Commis-
sion, the Department of Health and Human Serv-
ices, and the Environmental Protection Agency; and
(4) evaluation of the effectiveness of tenant no-
tification procedures of the Department of Housing
and Urban Development pursuant to a finding of
lead-based paint in public housing.
(b) REPORT.—Not later than the expiration of the
6-month period beginning on the date of the enactment
of this Act, the Comptroller General shall submit to the
Congress a report describing the results of the study re-
quired by subsection (a).
SEC. 714. CIVIL MONEY PENALTIES FOR VIOLATIONS OF
HOME 
MORTGAGE 
DISCLOSURE 
ACT 
BY
NONSUPERVISED MORTGAGEES.
Section 305 of the Home Mortgage Disclosure Act
of 1975 (12 U.S.C. 2804) is amended—
(1) in subsection (b)—
(A) in paragraph (2), by inserting ‘‘and’’
at the end;
(B) in paragraph (3), by striking ‘‘; and’’
at the end and inserting a period; and
(C) by striking paragraph (4);
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(2) by redesignating subsection (c) as sub-
section (d); and
(3) by inserting after subsection (b) the follow-
ing new subsection:
‘‘(c) POWERS OF THE SECRETARY OF HOUSING AND
URBAN DEVELOPMENT.—
‘‘(1) IN GENERAL.—The Secretary of Housing
and Urban Development (in this subsection referred
to as the ‘Secretary’) shall enforce compliance with
the requirements imposed under this title with re-
gard to lending institutions not described in sub-
section (b).
‘‘(2) CIVIL
MONEY
PENALTIES.—Pursuant to
paragraph (1) of this subsection, the Secretary may
impose a civil money penalty for failure to comply
with the requirements of this title.
‘‘(3) AMOUNT OF PENALTY.—The amount of
the penalty, as determined by the Secretary, may
not exceed $5,000 for each violation, except that the
maximum penalty for all violations by any particular
lending institution during any 1-year period shall
not exceed $1,000,000.
‘‘(4) VIOLATIONS FOR WHICH A PENALTY MAY
BE IMPOSED.—A civil money penalty may be im-
posed for the late submission of a report, failure to
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submit a report, submission of an illegible report,
submission of an erroneous report, and failure to
submit a corrected report for a report that was illeg-
ible or erroneous.
‘‘(5) AGENCY PROCEDURES.—
‘‘(A) 
ESTABLISHMENT.—The 
Secretary
shall establish standards and procedures gov-
erning the imposition of civil money penalties
under this section. The standards and proce-
dures shall provide for the Secretary to make
the determination to impose the penalty or to
use an administrative entity (such as the Mort-
gagee Review Board, established pursuant to
section 202(c) of the National Housing Act) to
make the determination; shall provide for the
imposition of a penalty only after the lending
institution has been given an opportunity for a
hearing on the record; and may provide for re-
view by the Secretary of a determination or
order, or interlocutory ruling, arising from a
hearing.
‘‘(B) FINAL ORDERS.—If no hearing is re-
quested within 15 days of receipt of the notice
of opportunity for hearing, the imposition of the
penalty 
shall 
constitute 
a 
final 
and
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unappealable determination. If the Secretary re-
views the determination or order, the Secretary
may affirm, modify, or reverse that determina-
tion or order. If the Secretary does not review
the determination or order within 90 days of
the issuance of the determination or order, the
determination or order shall be final.
‘‘(C) FACTORS IN DETERMINING AMOUNT
OF PENALTY.—In determining the amount of a
penalty under this subsection, consideration
shall be given to such factors as the gravity of
the offense, any history of prior offenses, ability
to pay the penalty, deterrence of future viola-
tions, and such other factors as the Secretary
may determine to be appropriate.
‘‘(D) REVIEWABILITY OF IMPOSITION OF
PENALTY.—The Secretary’s determination or
order imposing a penalty under this subsection
shall not be subject to review, except as pro-
vided in this subsection.
‘‘(6) JUDICIAL
REVIEW
OF
AGENCY
DETER-
MINATION.—
‘‘(A) IN GENERAL.—After exhausting all
administrative remedies established by the Sec-
retary under this subsection, a lending institu-
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tion against whom the Secretary has imposed a
civil money penalty under this subsection may
obtain a review of the penalty as may be ad-
dressed in the notice of determination to impose
a penalty in the appropriate court of appeals of
the United States, by filing in such court, with-
in 20 days after the entry of such order or de-
termination, a written petition praying that the
Secretary’s determination or order be modified
or set aside in whole or in part.
‘‘(B) OBJECTIONS NOT RAISED IN HEAR-
ING.—The court shall not consider any objec-
tion that was not raised in the hearing con-
ducted pursuant to this subsection unless a
demonstration is made of extraordinary cir-
cumstances causing the failure to raise the ob-
jection. If any party demonstrates to the satis-
faction of the court that additional evidence not
presented at the hearing is material and that
there were reasonable grounds for the failure to
present such evidence at the hearing, the court
shall remand the matter to the Secretary for
consideration of the additional evidence.
‘‘(C) SCOPE OF REVIEW.—The decisions,
findings, and determinations of the Secretary
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shall be reviewed pursuant to section 706 of
title 5, United States Code.
‘‘(D) ORDER TO PAY PENALTY.—Notwith-
standing any other provision of law, in any such
review, the court shall have the power to order
payment of the penalty imposed by the Sec-
retary.
‘‘(7) ACTION TO COLLECT PENALTY.—If a lend-
ing institution fails to comply with the Secretary’s
determination or order imposing a civil money pen-
alty under this subsection, after the determination
or order is no longer subject to review as provided
by this subsection, the Secretary may bring an ac-
tion in an appropriate United States district court to
obtain a monetary judgment against the lending in-
stitution. In such an action, the validity and appro-
priateness of the Secretary’s determination or order
imposing the penalty shall not be subject to review.
The monetary judgment may, in the court’s discre-
tion, include the attorneys fees and other expenses
incurred by the United States in connection with the
action.
‘‘(8) SETTLEMENT BY SECRETARY.—The Sec-
retary may compromise, modify, or remit any civil
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money penalty which may be imposed under this
subsection.
‘‘(9) REGULATIONS.—The Secretary shall issue
such regulations as the Secretary deems appropriate
to implement this subsection.
‘‘(10) DEPOSIT OF PENALTIES IN TREASURY.—
All civil money penalties collected under this sub-
section shall be deposited in the Miscellaneous Re-
ceipts Account of the Treasury.’’.
SEC. 715. REMOVAL OF REGULATORY BARRIERS TO AF-
FORDABLE HOUSING.
(a) PURPOSES.—Section 1202 of the Housing and
Community Development Act of 1992 (42 U.S.C. 12705a)
is amended—
(1) in paragraph (1), by striking ‘‘State and
local governments to further identify and remove’’
and inserting ‘‘the further identification and removal
of’’; and
(2) by striking paragraph (2) and inserting the
following new paragraph:
‘‘(2) to encourage the establishment of partner-
ships between local governments and builders and
developers of affordable housing to facilitate develop-
ment of innovative land use and building practices to
overcome regulatory barriers.’’.
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(b) GRANTS.—Section 1204 of the Housing and
Community Development Act of 1992 (42 U.S.C. 12705c)
is amended—
(1) by striking subsection (a) and inserting the
following new subsection:
‘‘(a) IN GENERAL.—The amounts available for use
under this Act may be used for grants under subsections
(b) and (c), for evaluation of grantees, and for contracts
with intermediaries for the administration of such
grants.’’;
(2) in subsection (b)—
(A) in the heading for the subsection, by
striking ‘‘GRANTS’’ and inserting ‘‘AND RE-
GIONAL STRATEGIES FOR BARRIER REMOVAL’’;
(B) in matter preceding paragraph (1), by
inserting after ‘‘States’’ the following: ‘‘, con-
sortia of units of general local government, as-
sociations of units of general local government,
and metropolitan or regional governments’’;
(C) in paragraph (3), by striking ‘‘a State
program to reduce State and local’’ and insert-
ing ‘‘State or regional programs to reduce’’;
(D) in paragraph (4), by inserting ‘‘or
local’’ after ‘‘State’’;
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(E) in paragraph (5), by striking ‘‘State’’;
and
(F) by striking paragraph (6) and insert-
ing the following new paragraph:
‘‘(6) developing proposed legislation or adminis-
trative policies for enactment by the State or local
government addressing expanded housing oppor-
tunity and barrier removal, including implementation
of active programs encouraging housing opportuni-
ties for low- and moderate-income families through
activities such as comprehensive planning require-
ments, metropolitan fair-share requirements for af-
fordable housing, inclusionary zoning legislation, es-
tablishment of new land development standards, and
review of zoning standards and plans.’’;
(3) by striking subsection (c) and inserting the
following new subsection:
‘‘(c) BARRIER
REMOVAL
DEMONSTRATION.—The
Secretary may make grants to units of general local gov-
ernment to encourage the establishment of partnerships
between local governments and builders and developers
under which the local government commits to modify exist-
ing land use and building practices and the builder or de-
veloper agrees to use innovative land planning and devel-
opment approaches to build affordable housing in ways
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which would overcome regulatory barriers. Assistance
under this subsection may be used to assist the builder
or developer obtain additional architectural, engineering,
and land planning services to build affordable housing and
to provide assistance to the locality in providing special-
ized review and in meeting technical responsibilities result-
ing from the removal of the regulatory barriers. During
and after completion of these demonstration projects, the
Secretary may evaluate the cost impact of the modified
regulations and the long-term impact of the project on
regulatory reform.’’;
(4) by striking subsections (d) through (g) and
inserting the following new subsection:
‘‘(d) APPLICATION AND SELECTION.—
‘‘(1) APPLICATION.—The Secretary shall pro-
vide for the form and manner of applications for
grants under this section, which in the case of
grants under subsection (c), shall include resolutions
and other evidence by the applicable regulating bod-
ies evidencing commitments—
‘‘(A) to waive or modify existing applicable
zoning, building code, site planning, and other
related development requirements;
‘‘(B) to approve the project based upon an
individual review of the technical data, site
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plans, and architectural submissions of the
project, utilizing the most recent research and
practices of building engineering and land de-
velopment; and
‘‘(C) to accelerate development review and
processing.
‘‘(2) CRITERIA FOR APPROVAL.—The Secretary
shall establish criteria for approval of applications
under this subsection and for the competitive selec-
tion of grantees under this section.’’;
(5) in subsection (h), by striking ‘‘State and
unit of general local government receiving’’ and in-
serting ‘‘recipient of’’; and
(6) by redesignating subsections (h) and (i) as
subsections (e) and (f), respectively.
(c) REPORTS.—Section 1207 of the Housing and
Community Development Act of 1992 (42 U.S.C. 12705a
note) is amended by striking ‘‘this Act’’ and inserting ‘‘the
Housing and Community Development Act of 1994’’.
(d) CDBG SPECIAL PURPOSE GRANTS.—Section
107(b) of the Housing and Community Development Act
of 1974 (42 U.S.C. 5307(b)) is amended by inserting at
the end the following new paragraph:
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‘‘(9) to eligible grantees, and for other pur-
poses, under the Removal for Regulatory Barriers to
Affordable Housing Act of 1992.’’.
SEC. 716. NEW TOWNS DEMONSTRATION PROGRAM FOR
EMERGENCY RELIEF OF LOS ANGELES.
(a) INSURANCE AUTHORITY.—The first sentence of
section 1104(d) of the Housing and Community Develop-
ment Act of 1992 (42 U.S.C. 5318 note) is amended to
read as follows: ‘‘To the extent provided in appropriation
Acts, the Secretary shall use any authority provided pur-
suant to section 531(b) of the National Housing Act to
enter into commitments to insure loans and mortgages
under this section in fiscal years 1995 and 1996 with an
aggregate principal amount not exceeding such sums as
may be necessary to carry out the demonstration under
this title.’’.
(b) 
SECOND
MORTGAGE
ASSISTANCE.—Section
1105(e) of the Housing and Community Development Act
of 1992 (42 U.S.C. 5318 note) is amended to read as fol-
lows:
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated for fiscal years 1995
and 1996 such sums as may be necessary for providing
assistance under this section.’’.
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(c) COMMUNITY DEVELOPMENT ASSISTANCE.—Sec-
tion 1106(h) of the Housing and Community Development
Act of 1992 (42 U.S.C. 5318 note) is amended to read
as follows:
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated for fiscal years 1995
and 1996 such sums as may be necessary for assistance
under this section.’’.
SEC. 717. AUTHORIZATION OF APPROPRIATIONS FOR PUB-
LIC SERVICES FACILITY.
(a) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated for fiscal year 1995
such sums as may be necessary for a grant by the Sec-
retary of Housing and Urban Development to the City of
Springfield, Massachusetts (in this section referred to as
the ‘‘City’’), for the redevelopment of a facility formerly
used as a United States Post Office for use as a consoli-
dated facility for city public services in accordance with
the plans, budgets, and timetables for such facility devel-
oped by the City.
(b) CITY
CONTRIBUTION.—Notwithstanding any
other provision of this section, the Secretary may not
make any amount provided pursuant to this section avail-
able to the City unless the City contributes for redevelop-
ment of the facility referred to in subsection (a) an
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amount constituting not less than 25 percent of the total
cost of the redevelopment project.
(c) AVAILABILITY OF AMOUNTS.—Of any amounts
appropriated pursuant to this section, the Secretary shall
provide $2,500,000 to the City in fiscal year 1995 and
the remainder shall remain available until the end of fiscal
1996 and shall be provided to the City in such year.
(d) REPORTS.—The Secretary may require the City
to submit such reports and other information as the Sec-
retary considers necessary to ensure that the amounts pro-
vided under this section are used in accordance with this
section and that amounts are provided by the City in ac-
cordance with subsection (b).
SEC. 718. NATIONAL AMERICAN INDIAN HOUSING COUNCIL.
There is authorized to be appropriated for assistance
for the National American Indian Housing Council
$1,000,000 for fiscal year 1995 and $1,000,000 for fiscal
year 1996, for providing training and technical assistance
to Indian Housing Authorities.
SEC. 719. HOUSING ASSISTANCE COUNCIL.
There is authorized to be appropriated for assistance
for the Housing Assistance Council $5,000,000 for fiscal
year 1995 and $5,000,000 for fiscal year 1996, for provid-
ing training, technical assistance, and financial assistance
to develop affordable housing in rural areas.
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SEC. 720. DEMONSTRATION PROGRAM FOR OUTREACH TO
AVOID DISCONNECTION OF UTILITIES.
(a) ACTION OF SECRETARY.—The Secretary of Hous-
ing and Urban Development shall provide technical advice
and assistance to Maryland Energy Advocates to establish
and carry out a program under (b).
(b) OUTREACH PROGRAM.—The program under this
subsection shall be a program, carried out by Maryland
Energy Advocates, to—
(1) identify low-income families living in Balti-
more, Maryland, and the surrounding areas, includ-
ing low-income families residing in housing for which
assistance is provided by the Federal Government,
whose electricity or other utility services have been
disconnected because of failure to pay amounts
owed;
(2) provide counseling and advice to such fami-
lies regarding utility payments, family budgeting,
sources and programs of assistance for utility pay-
ments, and such other matters as may be necessary
to avoid the disconnection of utility service in the fu-
ture; and
(3) determine the most effective manners of
identifying low-income families in need of advice or
assistance to avoid disconnection of utility services
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and the most effective actions to help low-income
families avoid such disconnection.
(c) REPORT.—After consultation with Maryland En-
ergy Advocates regarding the implementation and results
of the program under subsection (b), but not later than
the expiration of the 18-month period beginning on the
date of the enactment of this Act, the Secretary of Hous-
ing and Urban Development shall submit a report to the
Congress that—
(1) describes the program and the activities
carried out under the program;
(2) describes the extent to which the utility
services of low-income families are disconnected; and
(3) identifies the most effective manners of
identifying low-income families in need of advice or
assistance to avoid disconnection of utility services
and the most effective actions to help low-income
families avoid such disconnection, including any such
actions appropriate for the Federal Government.
SEC. 721. FEDERAL DEPOSIT INSURANCE CORPORATION
AFFORDABLE HOUSING PROGRAM.
(a) REAUTHORIZATION.—Section 40(b) of the Fed-
eral Deposit Insurance Act (12 U.S.C. 1831q(b)) is
amended—
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(1) in paragraph (1), by striking ‘‘during’’ and
all that follows through ‘‘paragraph (2)(A)’’ and in-
serting ‘‘until the end of fiscal year 1997’’;
(2) in paragraph (2)(A), in the matter preced-
ing clause (i), by striking ‘‘3-year’’; and
(3) in paragraph (2)(C), by striking ‘‘3-year’’.
(b) FACILITATION OF PROGRAM.—Section 40 of the
Federal Deposit Insurance Act is amended by adding at
the end the following new subsection:
‘‘(r) FACILITATION OF PROGRAM.—Notwithstanding
any provision of this section or any other provision of law,
the Corporation shall be considered to be in compliance
with this section if (in the sole discretion of the Corpora-
tion) the Corporation at any time modifies, amends, or
waives any provisions of this section to maximize the effi-
cient use of amounts appropriated to carry out this sec-
tion. The Corporation shall not be subject to suit for any
failure to comply with the requirements of this section.’’.
SEC. 722. STATE AGENCIES AS SURETIES.
Section 9304 of title 31, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(c) STATE AGENCIES.—A State agency, including
any financing authority established by any State, which
meets the requirements of paragraphs (2) and (3) of sub-
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section (a) may be treated as a surety corporation for pur-
poses of this chapter. Notwithstanding any other provision
of law, user fees collected by the Financial Management
Services incident to sections 9304 through 9309 of this
title shall be credited to the appropriation of that agency
and may be retained without fiscal year limitation to carry
out the provisions of such sections.’’.
SEC. 723. INSURED COMMUNITY DEVELOPMENT FINANCIAL
INSTITUTION ACCESS TO FEDERAL HOME
LOAN BANK ADVANCES.
(a) IN GENERAL.—Section 10 of the Federal Home
Loan Bank Act (12 U.S.C. 1430) is amended by adding
at the end the following new subsection:
‘‘(k) COMMUNITY DEVELOPMENT FINANCIAL INSTI-
TUTION ACCESS TO ADVANCES.—Any insured community
development financial institution (as defined in section
3(e) of the Community Development Banking and Finan-
cial Institutions Act of 1993) which meets the require-
ments of subparagraphs (A) and (B) of section 4(a)(1)
may obtain advances from the appropriate Federal home
loan bank in accordance with this section in the same
manner and to the same extent as members of such bank
without regard to any stock purchase requirement imposed
on members under this Act.’’.
(b) INCREASE IN LENDING CAP.—
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(1) IN
GENERAL.—Paragraph (2) of the 1st
subsection (e) of section 10 of the Federal Home
Loan Bank Act (12 U.S.C. 1430(e)(2)) is amended
by striking ‘‘30 percent’’ and inserting ‘‘40 per-
cent’’.
(2) EFFECTIVE DATE.—The amendment made
by paragraph (1) shall apply after October 1, 1995.
SEC. 724. PURCHASE OF AMERICAN-MADE EQUIPMENT AND
PRODUCTS.
(a) IN GENERAL.—It is the sense of the Congress
that, to the greatest extent practicable, all equipment and
products purchased with amounts made available under
this Act should be American-made.
(b) NOTICE REQUIREMENT.—In providing financial
assistance to, or entering into any contract with, any en-
tity using amounts made available under this Act, the
head of each Federal agency shall, to the greatest extent
practicable, provide to such entity a notice describing the
statement of the sense of the Congress under subsection
(a).
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TITLE 
VIII—HOUSING 
PRO-
GRAMS UNDER STEWART B.
MCKINNEY 
HOMELESS 
AS-
SISTANCE ACT
SEC. 801. SHORT TITLE.
This title may be cited as the ‘‘Stewart B. McKinney
Homeless Housing Assistance Amendments Act of 1994’’.
Subtitle A—Housing Assistance
CHAPTER 1—REORGANIZATION OF CER-
TAIN MCKINNEY ACT HOUSING PROVI-
SIONS
SEC. 811. FLEXIBLE GRANT PROGRAM.
Title IV of the Stewart B. McKinney Homeless As-
sistance Act (42 U.S.C. 11361 et seq.) is amended—
(1) by striking subtitles A, B, C, D, and F;
(2) by striking the headings for subtitles E and
G;
(3) by redesignating sections 441 (as amended
by the preceding provisions of this Act), 491, and
592 (as added by section 1414 of the Housing and
Community Development Act of 1992) as sections
451, 453, and 454, respectively;
(4) by striking sections 442 and 443; and
(5) by inserting after the heading for the title
the following:
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‘‘Subtitle A—Flexible Grant
Program
‘‘CHAPTER 1—GENERAL PROVISIONS
‘‘SEC. 401. PURPOSES.
‘‘The purposes of this subtitle are to—
‘‘(1) expand and reorganize the Federal com-
mitment to alleviate homelessness by providing
States, Indian tribes, and localities with the re-
sources to more efficiently and effectively design a
comprehensive system to address the shelter, service,
and permanent housing needs of homeless individ-
uals and families in the United States;
‘‘(2) help very low-income families avoid becom-
ing homeless;
‘‘(3) meet the emergency shelter needs of home-
less persons and families;
‘‘(4) provide transitional or specialized perma-
nent housing to facilitate the movement of homeless
persons and families to independent living;
‘‘(5) provide supportive services to help home-
less persons and families lead independent and dig-
nified lives;
‘‘(6) encourage the cooperation and participa-
tion of the States and units of general local govern-
ment, together with private nonprofit organizations,
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in planning and implementing comprehensive home-
less assistance programs;
‘‘(7) reduce the costs to States, units of general
local government, and private nonprofit organiza-
tions in applying for and using Federal housing as-
sistance for families and persons who are homeless;
and
‘‘(8) begin meeting the needs of most of the
Nation’s homeless population through the existing
Federal programs providing basic assistance for low-
income families and persons.
‘‘SEC. 402. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated—
‘‘(1) $735,000,000 for fiscal year 1995 for
grants in accordance with section 812(b) of the
Housing and Community Development Act of 1994;
and
‘‘(2) $925,000,000 for fiscal year 1996 for
grants under this subtitle.
Any amounts appropriated pursuant to this section shall
remain available until expended.
‘‘SEC. 403. DEFINITIONS.
‘‘For purposes of this subtitle, the following defini-
tions shall apply:
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‘‘(1) The term ‘allocation unit of general local
government’ means a metropolitan city and an
urban county.
‘‘(2) The term ‘applicant’ means an eligible
grantee that submits an application under section
408 for a grant under this subtitle.
‘‘(3) The term ‘disability’ means—
‘‘(A) a disability as defined in section 223
of the Social Security Act;
‘‘(B) to be determined to have, pursuant to
regulations issued by the Secretary, a physical,
mental, or emotional impairment which (i) is
expected to be a long-continued and indefinite
duration, (ii) substantially impedes an individ-
ual’s ability to live independently, and (iii) of
such a nature that such ability could be im-
proved by more suitable housing conditions;
‘‘(C) a developmental disability as defined
in section 102 of the Developmental Disabilities
Assistance and Bill of Rights Act; or
‘‘(D) 
the 
disease 
of 
acquired
immunodeficiency syndrome or any conditions
arising from the etiologic agency for acquired
immunodeficiency syndrome.
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Subparagraph (D) shall not be construed to limit eli-
gibility under subparagraphs (A) through (C) or the
provisions referred to in subparagraphs (A) through
(C).
‘‘(4) The term ‘eligible grantee’ means—
‘‘(A) an allocation unit of general local
government, Indian Tribe, or insular area, or a
consortium of such entities, that elects to ad-
minister a grant under section 410(a)(1);
‘‘(B) a public agency or a private nonprofit
organization (or a consortium of such organiza-
tions) designated by the Secretary under section
410(a)(3) to administer grant amounts for an
allocation unit of general local government, In-
dian tribe, or insular area;
‘‘(C) an entity eligible to receive grant
amounts from the Secretary under section
410(a)(4);
‘‘(D) a State that elects under section
410(b)(1)(A) to administer a grant;
‘‘(E) a unit of general local government se-
lected under section 410(b)(5) to receive grant
amounts from the Secretary; and
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‘‘(F) a private nonprofit organization se-
lected under section 410(b)(4) to receive grant
amounts from the Secretary.
‘‘(5) The term ‘families’ has the same meaning
given the term under section 3(b) of the United
States Housing Act of 1937.
‘‘(6) The term ‘grantee’ means—
‘‘(A) an allocation unit of general local
government, Indian tribe, or insular area, or a
consortium of such entities, that receives a
grant under this subtitle and administers the
grant under section 410(a)(1);
‘‘(B) an allocation unit of general local
government, Indian tribe, or insular area that
receives a grant under this subtitle and des-
ignates a public agency or private nonprofit or-
ganization (or a consortium of such organiza-
tions) to administer grant amounts for the ju-
risdiction under section 410(a)(2);
‘‘(C) a public agency or a private nonprofit
organization (or a consortium or such organiza-
tions) designated by the Secretary under section
410(a)(3) to administer grant amounts for an
allocation unit of general local government, In-
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dian tribe, or insular area, and that receives
grant amounts under this subtitle;
‘‘(D) an entity that receives grant amounts
from the Secretary under section 410(a)(4);
‘‘(E) a State that receives grant amounts
under this subtitle and administers such
amounts under section 410(b)(1)(A);
‘‘(F) a unit of general local government
that receives grant amounts from the Secretary
under section 410(b)(5); and
‘‘(G) a private nonprofit organization that
receives grant amounts from the Secretary
under section 410(b)(4).
‘‘(7) The term ‘homeless family’ means a group
of one or more related individuals who are homeless
individuals.
‘‘(8) The term ‘Indian tribe’ means any Indian
tribe, band, group, and nation, including Alaska In-
dians, Aleuts, and Eskimos, and any Alaskan Native
Village, of the United States, which is considered an
eligible recipient under the Indian Self-Determina-
tion and Education Assistance Act or was considered
an eligible recipient under chapter 67 of title 31,
United States Code, before the repeal of such
chapter.
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‘‘(9) The term ‘insular area’ means the Virgin
Islands, Guam, American Samoa, and the Common-
wealth of the Northern Mariana Islands.
‘‘(10) The term ‘low-demand services and refer-
rals’ means the provision of health care, mental
health, substance abuse, and other supportive serv-
ices and referrals for services in a noncoercive man-
ner, which may include medication management,
education, counseling, job training, and assistance in
obtaining entitlement benefits and in obtaining other
supportive service including mental health treatment
and substance abuse treatment.
‘‘(11) The term ‘metropolitan city’ has the
meaning given the term in section 102(a) of the
Housing and Community Development Act of 1974.
‘‘(12) The term ‘operating costs’ means ex-
penses of operating any housing assisted under this
subtitle with respect to—
‘‘(A) the administration, maintenance, re-
pair, and security of such housing;
‘‘(B) utilities, fuels, furnishings, and equip-
ment for such housing; and
‘‘(C) the conducting of the assessments of
and the provision of supportive services to the
residents of such housing.
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‘‘(13) The term ‘outpatient health services’
means outpatient health care, outpatient mental
health services, outpatient substance abuse services,
case management services and child immunization.
‘‘(14) The term ‘private nonprofit organization’
means an organization—
‘‘(A) no part of the net earnings of which
inures to the benefit of any member, founder,
contributor, or individual;
‘‘(B) that has a voluntary board;
‘‘(C) that has an accounting system or has
designated a fiscal agent in accordance with re-
quirements established by the Secretary; and
‘‘(D) that practices nondiscrimination in
the provision of assistance.
‘‘(15) The term ‘project’ means a structure or
a portion of a structure that is acquired or rehabili-
tated with assistance provided under this subtitle or
with respect to which the Secretary provides tech-
nical assistance or annual payments for operation
costs.
‘‘(16) The term ‘project sponsor’ means an en-
tity that—
‘‘(A) provides housing or assistance for
homeless individuals or families by carrying out
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eligible activities under chapter 2 that are as-
sisted under this subtitle; and
‘‘(B) meets such minimum standards as
the Secretary considers appropriate.
‘‘(17) The term ‘recipient’ means a grantee
(other than a State distributing grant amounts to
State recipients) and a State recipient.
‘‘(18) The term ‘Secretary’ means the Secretary
of Housing and Urban Development.
‘‘(19) The term ‘State’ means a State of the
United States and the Commonwealth of Puerto
Rico, or any agency or instrumentality thereof that
is established pursuant to legislation and designated
by the chief executive to act on behalf of the juris-
diction with regard to provisions of this subtitle.
‘‘(20) The term ‘State recipient’ means—
‘‘(A) a unit of general local government
within a State (other than an allocation unit of
general local government) that receives grant
amounts 
from 
the 
State 
under 
section
410(b)(3); and
‘‘(B) a private nonprofit organization that
receives grant amounts from a State under sec-
tion 410(b)(4).
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‘‘(21)(A) The term ‘supportive services’ means
assistance that—
‘‘(i) addresses the special needs of home-
less person, such as deinstitutionalized persons,
families with children, persons with mental dis-
abilities, other persons with disabilities, the el-
derly, and veterans intended to be served by a
project; and
‘‘(ii) assists in accomplishing the purposes
of the different types of housing for the home-
less eligible for assistance under this subtitle.
‘‘(B) Such term includes—
‘‘(i) food services, child care, substance
abuse treatment, assistance in obtaining perma-
nent housing, outpatient health services, em-
ployment counseling, nutritional counseling, se-
curity arrangements for the protection of resi-
dents of facilities to assist the homeless, and
such other services essential for maintaining or
moving toward independent living as the Sec-
retary determines to be appropriate; and
‘‘(ii) assistance to homeless persons in ob-
taining other Federal, State, and local assist-
ance available for such individuals, including
public assistance benefits, mental health bene-
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fits, employment counseling, and medical assist-
ance.
‘‘(C) Such term does not include the provi-
sion of major medical equipment.
‘‘(D) All or part of the supportive services
may be provided directly by the project sponsor
or by arrangements with other public or private
service providers.
‘‘(22) The term ‘unit of general local govern-
ment’ means—
‘‘(A) a city, town, township, county, parish,
village, or other general purpose political sub-
division of a State;
‘‘(B) the District of Columbia; and
‘‘(C) any agency or instrumentality thereof
that is established pursuant to legislation and
designated by the chief executive to act on be-
half of the jurisdiction with regard to provisions
of this subtitle.
The term includes a consortium of geographically
contiguous units of general local government if the
Secretary determines that the consortium—
‘‘(i) has sufficient authority and adminis-
trative capability to carry out the purposes of
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this subtitle on behalf of its member jurisdic-
tions; and
‘‘(ii) will, according to a written certifi-
cation by the State (or State, if the consortium
includes jurisdictions in more than one State),
direct its activities to alleviation of problems of
homeless individuals or families within the
State or States.
‘‘(23) The term ‘urban county’ has the meaning
given the term in section 102(a) of the Housing and
Community Development Act of 1974.
‘‘(24) The term ‘very low-income families’ has
the same meaning given the term under section 104
of the Cranston-Gonzalez National Affordable Hous-
ing Act.
‘‘SEC. 404. PROVISION OF GRANTS.
‘‘(a) AUTHORITY
AND USE.—The Secretary may
make grants to eligible grantees in accordance with the
provisions of this subtitle. Grants under this subtitle may
be used only—
‘‘(1) to carry out activities under chapter 2 for
assisting homeless individuals and families that are
conducted to provide comprehensive homeless assist-
ance required under section 405; and
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‘‘(2) for administrative expenses, to the extent
provided in section 436.
‘‘(b) GENERAL RULE FOR AWARD OF GRANTS.—Ex-
cept as provided in subsection (c), the Secretary shall
make grants using amounts appropriated under section
402 in the manner provided in this subtitle.
‘‘(c) INSUFFICIENT APPROPRIATIONS.—
‘‘(1) TRIGGER.—If the amounts appropriated
pursuant to section 402 for any fiscal year are less
than 50 percent of the amount authorized to be ap-
propriated under such section for the year, the Sec-
retary shall use such amounts to make grants under
the provisions of this title as in effect immediately
before the enactment of the Housing and Commu-
nity Development Act of 1994.
‘‘(2) GRANT
REQUIREMENTS.—The Secretary
shall establish requirements for grants made under
this subsection, as the Secretary considers appro-
priate, that are additional or alternative to the re-
quirements under the provisions of this title as in ef-
fect immediately before the enactment of the Hous-
ing and Community Development Act of 1994.
‘‘(3) GRANT CRITERIA.—The criteria for award-
ing grants under this subsection shall include—
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‘‘(A) the extent to which there is a need
for assistance for homeless individuals and fam-
ilies in the jurisdiction in which the grant will
be used;
‘‘(B) the extent to which the activities pro-
posed to be carried out with grant amounts will
further the provision of comprehensive homeless
assistance required under section 405(b)(1);
‘‘(C) the extent to which private nonprofit
organizations providing assistance to homeless
individuals and families in the jurisdiction have
been, and will be, included in planning for the
receipt of assistance under this subtitle, the de-
velopment of the application under section 408,
and the execution of the proposed activities;
and
‘‘(D) such other criteria as the Secretary
considers appropriate to further the purposes of
this subsection and this subtitle.
‘‘(4) SET ASIDE FOR INDIAN TRIBES AND INSU-
LAR
AREAS.—In making grants under this sub-
section, the Secretary may to set aside such amounts
as the Secretary considers appropriate for grants for
Indian tribes and insular areas.
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‘‘SEC. 405. COMPREHENSIVE HOMELESS ASSISTANCE.
‘‘(a) ESTABLISHMENT
AND MAINTENANCE.—Each
applicant shall, based on information provided in the cur-
rent comprehensive affordable housing strategy for the ap-
propriate jurisdiction under section 105 of the Cranston-
Gonzalez National Affordable Housing Act or such other
plan as the Secretary may prescribe, use assistance pro-
vided under this subtitle in a manner that ensures that
comprehensive homeless assistance is established and
maintained within the jurisdiction of the applicant.
‘‘(b) REQUIREMENTS.—For purposes of this subtitle,
comprehensive homeless assistance required under this
section shall include—
‘‘(1) providing a system of outreach and assess-
ment for—
‘‘(A) determining whether an individual or
family is homeless, needs assistance to avoid
being homeless, or needs other assistance; and
‘‘(B) ensuring that individuals and families
so identified receive appropriate housing and
supportive services;
‘‘(2) providing assistance to the extent nec-
essary to avoid eviction (or foreclosure) and termi-
nation of utility services of low- and very low-income
families to prevent such families from becoming
homeless;
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‘‘(3) making emergency shelters with appro-
priate supportive services available to the extent nec-
essary to ensure that homeless individuals and fami-
lies for which such housing is appropriate receive
adequate shelter, including during any period in
which an assessment referred to in paragraph (1) is
performed for such an individual or family;
‘‘(4) making transitional housing with appro-
priate supportive services available to the extent nec-
essary to ensure that homeless individuals and fami-
lies for which such housing is appropriate are pre-
pared for increased responsibility and permanent
housing, or permanent supportive housing, after the
transition period;
‘‘(5) making permanent supportive housing,
available to the extent necessary to meet the long-
term housing needs of all homeless individuals and
families;
‘‘(6) providing assistance to meet specific needs
of various subpopulations of the homeless, especially
the unique needs of homeless veterans; and
‘‘(7) providing for coordination of assistance
provided under this subtitle and assistance provided
under other Federal, State, and local programs that
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may be used to assist homeless individuals and fami-
lies, including—
‘‘(A) assistance under the programs for
public and Indian housing and section 8 rental
assistance under the United States Housing Act
of 1937 (including the program for section 8
assistance for moderate rehabilitation under
section 451 of this Act and the shelter plus care
program for such assistance under section 452
of this Act), the HOME Investment Partner-
ships Act, the community development block
grant program under title I of the Housing and
Community Development Act of 1974, the pro-
gram for supportive housing for the elderly
under section 202 of the Housing Act of 1959,
the program for supportive housing for persons
with disabilities under section 811 of the Cran-
ston-Gonzalez National Affordable Housing Act,
and the program for housing opportunities for
persons with AIDS under subtitle D of title
VIII of the Cranston-Gonzalez National Afford-
able Housing Act;
‘‘(B) programs administered by the Direc-
tor of the Federal Emergency Management
Agency;
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HR 3838 EH
‘‘(C) programs administered by the Sec-
retary of Labor, including programs for employ-
ment and training;
‘‘(D) programs administered by the Sec-
retary of Health and Human Services, including
programs for health care, mental health care,
social services, income support services, run-
away youth, and unfit transient facilities;
‘‘(E) programs administered by the Sec-
retary of Veterans Affairs (including programs
for compensation benefits, health care, and
mental health care, and other services and pro-
grams) that are specifically designed to assist
homeless veterans;
‘‘(F) programs administered by the Sec-
retary of Education, including programs for
adult education and education for homeless
children and youth;
‘‘(G) programs administered by the Cor-
poration for National and Community Service,
including programs for national service; and
‘‘(H) such other assistance as the Sec-
retary shall prescribe upon consultation with
the Interagency Council on the Homeless.
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‘‘SEC. 406. MATCHING REQUIREMENTS.
‘‘(a) IN GENERAL.—Except as provided in subsection
(c), each recipient shall supplement the amount of grants
provided under this subtitle to the recipient with an equal
amount of funds from non-Federal sources, which shall
include funds from project sponsors receiving assistance
from the recipient.
‘‘(b) SUPPLEMENTAL FUNDS.—Supplemental funds
may include (1) the value of any donated material or
building, the value of any lease on a building, (2) any sal-
ary paid to staff to carry out the program of a project
sponsor, (3) the value of the time and services contributed
by volunteers to carry out the program of project sponsor
at a rate determined by the Secretary, and (4) the pro-
ceeds from bond financing validly issued by a State or unit
of general local government, agency, or instrumentality
thereof, and repayable with revenues derived from a
project assisted under this subtitle, except that not more
than 25 percent of the contribution required may be de-
rived from the proceeds of such bond financings. Any
State or local government funds used independently from
the program under this title, or designated for such use,
to assist the homeless by carrying out activities that would
be eligible for assistance under this subtitle shall be con-
sidered supplemental funds under this section.
‘‘(c) STATES.—
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‘‘(1) REQUIRED
SUPPLEMENTATION.—Except
as provided in paragraph (3), in the case of a State
administering 
grant 
amounts 
under 
section
410(b)(1)(A), in each fiscal year, the State shall
supplement the amount of grants provided under
this subtitle with an amount of funds from sources
other than this subtitle equal to the difference be-
tween the amount received under this subtitle and
$100,000.
‘‘(2) BENEFIT OF MATCH.—Each grantee that
is a State shall obtain any supplemental amounts re-
quired under paragraph (1) from State recipients re-
ceiving amounts under the grant in a manner so
that the benefit of the $100,000 subtrahend under
paragraph (1) is appropriately divided among State
recipients for which providing such supplemental
amounts would—
‘‘(A) create a significant hardship for the
recipient; or
‘‘(B) interfere with the overall purpose of
the homeless assistance program of the recipi-
ent.
‘‘(3) EXCEPTION.—If, in any fiscal year, a
State receives $100,000 or less in grant amounts
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under this subtitle, paragraph (1) shall not apply to
the State for the fiscal year.
‘‘(d) PROHIBITION OF SUBSTITUTION OF FUNDS.—
Assistance provided under this subtitle may not be used
to replace other public funds previously used, or des-
ignated for use, to assist persons who are homeless.
‘‘(e) CERTIFICATION.—Each recipient shall certify, to
the satisfaction of the Secretary, its compliance with the
provisions of this section, which shall describe the sources
and amounts of supplemental funds provided pursuant to
this section.
‘‘SEC. 
407. 
RESPONSIBILITIES 
OF 
RECIPIENTS 
AND
PROJECT SPONSORS.
‘‘(a) USE OF ASSISTANCE THROUGH PRIVATE NON-
PROFIT
ORGANIZATIONS.—Each recipient shall make
available more than 50 percent of the grant amounts it
receives for any fiscal year to project sponsors that are
private nonprofit organizations to carry out eligible activi-
ties under chapter 2, except that the Secretary may waive
the applicability of this requirement if the recipient dem-
onstrates to the Secretary that the requirement interferes
with the ability of the recipient to provide assistance under
this subtitle because of a paucity of qualified private non-
profit organizations in the jurisdiction of the recipient.
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‘‘(b) HOUSING QUALITY.—Each recipient shall en-
sure that housing assisted with grant amounts provided
under this subtitle is decent, safe, and sanitary and, when
appropriate, complies with all applicable State and local
housing codes, building codes, and licensing requirements
in the jurisdiction in which the housing is located.
‘‘(c) PREVENTION OF UNDUE BENEFIT.—The Sec-
retary may prescribe such terms and conditions as the
Secretary considers necessary to prevent project sponsors
from unduly benefiting from the sale or other disposition
of projects other than a sale or other disposition resulting
in the use of the project for the direct benefit of very low-
income families.
‘‘(d) CONFIDENTIALITY.—Each recipient shall de-
velop and implement procedures to ensure the confiden-
tiality of records pertaining to any individual provided
family violence prevention or treatment services under any
project and to ensure that the address or location or any
family violence shelter project assisted with grant amounts
under this subtitle will, except with written authorization
of the person or person responsible for the operation of
such shelter, not be made public.
‘‘(e) EMPLOYMENT OF HOMELESS INDIVIDUALS.—
To the maximum extent practicable, the Secretary shall
ensure that recipients involve, through employment, volun-
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teer services, or otherwise, homeless individuals and fami-
lies in constructing, renovating, maintaining, and operat-
ing facilities assisted with grant amounts under this sub-
title, in providing services so assisted, and in providing
services for occupants of facilities so assisted.
‘‘(f) PARTICIPATION OF HOMELESS INDIVIDUALS.—
The Secretary shall, by regulation, provide that each recip-
ient shall require each project sponsor receiving assistance
under this subtitle from the recipient to provide for the
participation of not less than one homeless individual or
formerly homeless individual on the board of directors or
other equivalent policy making entity of the project spon-
sor, to the extent that such entity considers and makes
policies and decision regarding any project, facility, serv-
ices, or other activities assisted with grant amounts under
this subtitle. A recipient may grant waivers to project
sponsors unable to meet the requirement under the pre-
ceding sentence if the project sponsor agrees to otherwise
consult with homeless or formerly homeless individuals in
considering and making such policies and decisions.
‘‘SEC. 408. APPLICATION.
‘‘(a) REQUIREMENT.—Except as otherwise provided
in section 404(c), the Secretary may make a grant under
this subtitle only to an eligible grantee that submits an
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application under this section that is approved by the Sec-
retary.
‘‘(b) FORM AND PROCEDURE.—Applications shall be
submitted in such form and in accordance with such proce-
dures as the Secretary shall, by regulation, establish.
‘‘(c) CONTENT.—An application under this section
shall—
‘‘(1) include a detailed description, based on in-
formation provided in the current comprehensive
housing affordability strategy under section 105 of
the Cranston-Gonzalez National Affordable Housing
Act for the appropriate jurisdiction or such other
plan as the Secretary may prescribe, of—
‘‘(A) the existing population of homeless
individuals and families for the jurisdiction of
the applicant; and
‘‘(B) the existing facilities and services de-
signed to assist such population;
‘‘(2) include a detailed description of the com-
prehensive homeless assistance under section 405 to
be established and maintained within the jurisdiction
of the applicant;
‘‘(3) provide an assessment of what is required
to establish and maintain the provision of com-
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HR 3838 EH
prehensive homeless assistance required under sec-
tion 405 for the jurisdiction of the applicant;
‘‘(4) set forth a multiyear strategy for estab-
lishing and maintaining the provision of comprehen-
sive homeless assistance for the jurisdiction, as de-
scribed pursuant to paragraph (2), and include time-
tables, goals, and budget estimates for accomplishing
each element of the strategy;
‘‘(5) set forth a 1-year action plan that identi-
fies all activities to be carried out with assistance
under this subtitle and demonstrates how such ac-
tivities will further the strategy set forth pursuant to
paragraph (4);
‘‘(6) except in the case of an application by a
State that elects under section 410(b)(1)(A) to ad-
minister grants under this subtitle, describe the
means the applicant will use to distribute grant
amounts to project sponsors and whether such
amounts will be awarded on a competitive or non-
competitive basis;
‘‘(7) contain certifications or other such forms
of proof of commitments of financial and other re-
sources from each public agency or private nonprofit
organization that has a role in establishing and
maintaining the provision of comprehensive homeless
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HR 3838 EH
assistance for the jurisdiction of the applicant, re-
quired under section 405;
‘‘(8) contain assurances satisfactory to the Sec-
retary that activities carried out under chapter 2
with grant amounts under this subtitle will comply
with the requirements of this subtitle;
‘‘(9) in the case of an application by a State
that elects to under section 410(b)(1)(A) administer
grants under this subtitle, describe the method of
distribution of such amounts to State recipients;
‘‘(10) except with respect to an application by
a State that elects to under section 410(b)(1)(A) to
administer grants under this subtitle, contain a cer-
tification from the public official responsible for sub-
mitting the comprehensive housing affordability
strategy under section 105 of the Cranston-Gonzalez
National Affordable Housing Act for the State or
unit of general local government within which a
project is to be located (or such other plan as the
Secretary may require) that the proposed project is
consistent with the approved housing strategy of
such State or unit of general local government;
‘‘(11) contain a certification that the applicant
will comply with the requirements of the Fair Hous-
ing Act, title VI of the Civil Rights Act of 1964, sec-
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tion 504 of the Rehabilitation Act of 1973, and the
Age Discrimination Act of 1975, and will affirma-
tively further fair housing; and
‘‘(12) contain a certification that the applicant
will comply with the requirements of this subtitle
and other applicable laws.
‘‘(d) RELATIONSHIP TO CHAS AND CONSOLIDATED
PLAN.—In establishing requirements for applications
under this section, the Secretary shall provide that if an
applicant includes in the application information also re-
quired under the comprehensive housing affordability
strategy for the appropriate jurisdiction under section 105
of the Cranston-Gonzalez National Affordable Housing
Act or such other plan as the Secretary may require, the
requirements under such subsection regarding such infor-
mation shall be considered to be fulfilled by the submission
of the application.
‘‘SEC. 409. ALLOCATION AND DISTRIBUTION OF FUNDS.
‘‘(a) INSULAR AREAS.—In each fiscal year, from any
amounts appropriated for such year to carry out this sub-
title, the Secretary shall allocate amounts to insular areas
in accordance with an allocation formula established by
the Secretary.
‘‘(b) STATES AND ALLOCATION UNITS OF GENERAL
LOCAL GOVERNMENT.—
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‘‘(1) FORMULA ALLOCATION.—
‘‘(A) IN GENERAL.—For each fiscal year,
of the amounts that remain after amounts are
reserved for insular areas under subsection (a),
the Secretary shall allocate assistance according
to this paragraph.
‘‘(B) FORMULA.—The Secretary shall allo-
cate amounts under this paragraph using a for-
mula established by the Secretary that allocates
amounts for allocation units of general local
government and States, and for Indian tribes,
in a manner that provides that the percentage
of the total amount referred to in subparagraph
(A) for any fiscal year that is allocated for any
State or allocation unit of general local govern-
ment, or for Indian tribes, is equal to the per-
centage of the total amount available for section
106 of the Housing and Community Develop-
ment Act of 1974 for the prior fiscal year that
was allocated for such State or allocation unit
of general local government, or for Indian
tribes.
‘‘(C) MINIMUM AMOUNT.—If, in any fiscal
year, allocation under the provisions of subpara-
graphs (A) and (B) would result in any alloca-
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tion unit of general local government receiving
a grant of less than 0.05 percent of the
amounts appropriated to carry out this subtitle
for the fiscal year, such amount shall instead be
reallocated to the State for use under section
410(b).
‘‘(D) 70 PERCENT FOR UNITS OF GENERAL
LOCAL GOVERNMENT.—In each fiscal year, the
amount allocated under this paragraph for each
allocation unit of general local government shall
be the amount that results from increasing all
of the amounts determined pursuant to the pre-
ceding subparagraphs for allocation units of
general local government on a pro rata basis so
that the sum of such amounts is equal to 70
percent of the remainder of the amount appro-
priated for the year to carry out this subtitle
after amounts are allocated for insular areas
under subsection (a).
‘‘(E) 30 PERCENT FOR STATES.—In each
fiscal year, the amount allocated under this
paragraph for each State shall be the amount
that results from decreasing all of the amounts
determined pursuant to the preceding subpara-
graphs for States on a pro rata basis so that
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the sum of such amounts is equal to 30 percent
of the remainder of the amount appropriated
for the year to carry out this subtitle after
amounts are allocated for insular areas under
subsection (a).
‘‘(2) GRANT AMOUNT FOR STATES AND ALLO-
CATION UNITS OF GENERAL LOCAL GOVERNMENT.—
‘‘(A) IN GENERAL.—The amount allocated
for a fiscal year under paragraph (1) for an al-
location unit of general local government or a
State shall be the maximum amount that the
allocation unit or State may receive under this
subtitle for the fiscal year.
‘‘(B) REDUCTION.—In any fiscal year, the
Secretary may provide a grant under this sub-
title for a State or for an allocation unit of gen-
eral local government in an amount less than
the amount allocated under paragraph (1), if
the Secretary determines based upon review of
the application of the jurisdiction under section
408 or as a result of the annual performance
review and audit under section 413, that the ju-
risdiction has failed to comply fully with the re-
quirements under section 408 or 411 or that
such action is otherwise appropriate.
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‘‘(3) MINIMUM STATE ALLOCATION.—Notwith-
standing paragraph (2), if, in allocating amounts for
States under paragraph (1) for any fiscal year, the
amount allocated for the year for a State is less
than $2,000,000, the allocation for the State shall
instead be $2,000,000 and the increase shall be de-
ducted pro rata from the allocations of other States.
‘‘(c) REALLOCATIONS.—Any amounts that a State or
an allocation unit of general local government is eligible
to receive for a fiscal year under subsection (b) that are
not received for use in the jurisdiction, as provided by sub-
sections (a) and (b) of section 410, or that become avail-
able as a result of actions under section 413(b), shall be
added to amounts available for allocation under this sec-
tion for the succeeding fiscal year.
‘‘SEC. 410. ADMINISTRATION OF PROGRAM.
‘‘(a) GRANTS TO ALLOCATION UNITS OF GENERAL
LOCAL GOVERNMENT, INDIAN TRIBES, AND INSULAR
AREAS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graphs (2), (3), and (4), an allocation unit of gen-
eral local government, Indian tribe, or insular area
shall administer grant amounts for any fiscal year
received under section 409 by such grantees.
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‘‘(2) ADMINISTRATION BY DESIGNEES OF JU-
RISDICTION.—
‘‘(A) AUTHORITY TO ELECT.—An alloca-
tion unit of general local government, Indian
tribe, or insular area may elect for any fiscal
year to designate a public agency or a private
nonprofit organization (or a consortium of such
organizations) to administer grant amounts
under section 409 for the jurisdiction.
‘‘(B) 
ELECTION
REQUIREMENTS.—The
Secretary shall prescribe the manner and time
for making an election under subparagraph (A),
and shall establish criteria for the approval of
agencies and organizations designated, which
shall require such agencies and organizations to
demonstrate experience of the entity in provid-
ing assistance to homeless individuals and fami-
lies in the jurisdiction.
‘‘(C) 
DIRECT
PROVISION
OF
ASSIST-
ANCE.—The Secretary may, at the request of
the jurisdiction, provide grant amounts directly
to the agency or organization designated under
this paragraph.
‘‘(3) ADMINISTRATION BY DESIGNEES OF SEC-
RETARY.—If an allocation unit of general local gov-
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ernment, Indian tribe, or insular area, or (if appro-
priate) a public agency or private nonprofit organi-
zation designated by the jurisdiction under para-
graph (2), does not receive a grant under section
409 for any fiscal year because of failure to meet the
application requirements of section 408, the Sec-
retary may designate an agency or organization
meeting the criteria established under paragraph
(2)(B) to receive the grant.
‘‘(4) ADMINISTRATION BY SECRETARY.—If for
any fiscal year the Secretary determines that the
grant amounts allocated under section 409 for an al-
location unit of general local government, Indian
tribe, or insular area will not be used in the jurisdic-
tion as provided by the preceding provisions of this
subsection, the Secretary may administer such
amounts for the jurisdiction. The Secretary shall
prescribe such procedures and requirements as the
Secretary considers appropriate for administering
grant amounts under this paragraph.
‘‘(b) GRANTS TO STATES.—
‘‘(1) IN
GENERAL.—To receive an allocation
under section 409, each State shall elect—
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‘‘(A) to administer grant amounts received
under section 409, as provided in paragraphs
(2) and (3); or
‘‘(B) to have the Secretary administer such
grant amounts for the State, as provided in
paragraph (5).
If a State elects to administer grant amounts under
subparagraph (A), the election shall be irrevocable.
‘‘(2) STATE PROGRAM.—A State administering
grant amounts as provided in paragraph (1)(A)—
‘‘(A) shall distribute the amounts remain-
ing after use in accordance with subparagraph
(B) to State recipients for use under this sub-
title;
‘‘(B) may use up to 15 percent of the
grant amounts received under section 409 to
carry out its own homeless assistance program
under this subtitle, except that—
‘‘(i) such amounts may only be used
for eligible activities under chapter 2 for
which States are eligible recipients under
this subtitle; and
‘‘(ii) the Secretary may increase the
percentage limitation under this subpara-
graph in the case of any State homeless
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assistance program that is limited to pro-
viding assistance in areas of the State that
are not allocation units of general local
government; and
‘‘(C) may retain not to exceed 5.0 percent
of the amount to be distributed under subpara-
graph (A) to State recipients to defray the cost
of carrying out its responsibilities under this
subtitle.
Unless a State demonstrates to the satisfaction of
the Secretary that the needs for assistance for ac-
tivities under this subtitle in areas of the State that
are not allocation units of general local government
have been fulfilled, grant amounts received by State
may only be used to carry out activities in areas of
the State that do not include allocation units of gen-
eral local government.
‘‘(3) DISTRIBUTION OF AMOUNTS TO STATE RE-
CIPIENTS.—
‘‘(A) CHOICE
OF
ADMINISTRATION.—A
State administering grant amounts as provided
in paragraph (1)(A) shall, for each fiscal year,
afford each such recipient the options of—
‘‘(i) administering the grant amounts
on its own behalf;
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‘‘(ii) designating a public agency or a
private nonprofit organization (as provided
by subsection (a)(2)) to administer the
grant amounts for the jurisdiction; or
‘‘(iii) entering into an agreement with
the State, in consultation with private non-
profit organizations providing assistance to
homeless individuals and families in the ju-
risdiction, under which the State will ad-
minister the grant amounts for the juris-
diction.
A recipient may choose to exercise such options
at such time and in accordance with such cri-
teria as the Secretary may prescribe.
‘‘(B) 
DIRECT
PROVISION
OF
ASSIST-
ANCE.—A State may, at the request of the
State recipient, provide grant amounts directly
to the agency or organization designated under
subparagraph (A)(ii).
‘‘(C) DISTRIBUTION
OF
AMOUNTS.—The
State shall distribute amounts to State recipi-
ents (or to agencies or organizations designated
under subparagraph (A)(ii), as appropriate) on
the basis of an application containing such in-
formation as the State may prescribe. Each ap-
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plication shall evidence an intent to establish
and maintain the provision of comprehensive
homeless assistance in the jurisdiction of the re-
cipient, except that the State may waive this re-
quirement with respect to one or more proposed
activities, where the State determines that—
‘‘(i) the activities are necessary to
meet the needs of homeless individuals and
families within the jurisdiction; and
‘‘(ii) comprehensive homeless assist-
ance is not necessary, due to the nature
and extent of homelessness in the jurisdic-
tion.
‘‘(D) PREFERENCE
FOR
CERTAIN
STATE
RECIPIENTS.—In selecting State recipients and
making awards under subparagraph (C), the
State shall give preference to applications that
demonstrate higher relative levels of homeless
need and fiscal distress.
‘‘(4) STATE
OR
HUD
ADMINISTRATION
OF
GRANTS FOR INDIVIDUAL STATE RECIPIENTS.—If in
any fiscal year a State distributes grant amounts to
a State recipient, but the recipient fails to receive
the amounts pursuant to paragraph (3)(A), the Sec-
retary or the State, as the Secretary may provide,
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may distribute the amounts to private nonprofit or-
ganizations in the jurisdiction. If the Secretary dis-
tributes the amounts, the Secretary shall deduct the
amounts distributed from the grant provided to the
State for the fiscal year.
‘‘(5) HUD ADMINISTRATION
OF
STATE
PRO-
GRAM.—If a State elects pursuant to paragraph
(1)(B) to have the Secretary administer grant
amounts for the State received under section 409,
the Secretary may distribute grant amounts to State
recipients for the State, in accordance with require-
ments and procedures prescribed by the Secretary.
The Secretary shall establish criteria for selecting
recipients and making awards under this paragraph,
which shall include giving preference to applications
that demonstrate higher relative levels of homeless
need and fiscal distress.
‘‘SEC. 411. CITIZEN PARTICIPATION.
‘‘(a) IN GENERAL.—Each grantee who is not a State
recipient shall ensure that citizens, and appropriate pri-
vate nonprofit organizations and other interested groups
and entities, participate fully in developing and carrying
out the program for providing assistance under this sub-
title in the jurisdiction of the recipient. The Secretary
shall prescribe such requirements to carry out this section
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as the Secretary deems appropriate, which shall include
requirements applicable to the homeless assistance plan-
ning boards referred to in subsection (b) and the citizen
participation provisions of subsection (c), and the timing
of, and sequence for, carrying out the requirements of
such subsections.
‘‘(b) HOMELESS ASSISTANCE PLANNING BOARDS.—
‘‘(1) ESTABLISHMENT.—As a condition of a
grantee who is not a State recipient receiving assist-
ance under this subtitle, the chief executive officer of
the appropriate unit government in the jurisdiction
of the grantee shall establish and provide support
for the operation of a homeless assistance planning
board under this subsection.
‘‘(2) FUNCTIONS.—Each board under this sub-
section shall assist the recipient in—
‘‘(A) determining whether grant amounts
of the grantee should be administered by the
grantee, a public agency or private nonprofit or-
ganization, or the State or the Secretary, under
subsections (a) and (b) of section 410;
(B) developing the application under sec-
tion 408;
(C) overseeing the activities carried out
with assistance under this subtitle; and
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(D) evaluating the performance of the
grantee (and recipients of the grantee) in carry-
ing out such activities.
‘‘(3) MEMBERSHIP.—Each board under this
subsection shall consist of members appointed by the
chief executive officer referred to in paragraph (1)
(subject to recommendations in accordance with
paragraph (4)), and shall include—
‘‘(A) not less than one member represent-
ing homeless individuals and families;
‘‘(B) not less than one member represent-
ing homeless advocates;
‘‘(C) not less than one member represent-
ing individuals and entities providing assistance
to homeless individuals and families, including
agencies of units of general local government
providing Federal assistance;
‘‘(D) not less than one member represent-
ing the business community;
‘‘(E) not less than 1 member representing
labor;
‘‘(F) not less than one member who is a
community representative;
‘‘(G) not less than one member of the local
board established for the jurisdiction for pur-
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poses of allocating amounts under the emer-
gency food and shelter program of the Federal
Emergency Management Agency;
‘‘(H) not less than one member represent-
ing the grantee; and
‘‘(I) in the case of a grantee that is a
State—
‘‘(i) one member representing the
State agency or instrumentality dealing
with mental health; and
‘‘(ii) one member representing the
State agency or instrumentality dealing
with education.
‘‘(4) DISTRIBUTION OF MEMBERSHIP.—Not less
than 50 percent of the members of each board under
this subsection (including the members required
under subparagraphs (A), (B), (C), and (G) of para-
graph (3)) shall be members of the board that rep-
resent homeless individuals and families, homeless
advocates, or nongovernmental entities that provide
assistance to homeless individuals and families. They
shall be individuals who were recommended for
membership by individuals and entities other than a
unit of general local government or any agency
thereof.
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‘‘(5) BOARD REVIEW.—
‘‘(A) APPLICANTS.—No eligible grantee
may submit an application to the Secretary
under section 408, and no grantee may submit
to the Secretary a performance report under
subsection 413(a), unless the board under this
subsection for the jurisdiction of the grantee
has reviewed, and been provided an opportunity
to include any comments of the board in, the
application or report.
‘‘(B) STATE RECIPIENTS.—No State recip-
ient may submit an application under section
410(b)(3) or a performance report to a State,
unless the board under this subsection for the
jurisdiction has reviewed, and been provided an
opportunity to include any comments of the
board in, the application or report.
‘‘(6) REVIEW BY SECRETARY.—A member or
members of the board under this subsection for a ju-
risdiction or other members of the community may
request the Secretary to review process for constitut-
ing or operating the board to determine whether the
process is fair. If the Secretary finds that the proc-
ess is unfair and submits a written justification to
the board within 15 days of the request for review,
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the Secretary may disapprove the application under
section 408 for the jurisdiction or refuse to accept
a performance report under section 413(a).
‘‘(7) CONFLICTS OF INTEREST.—The Secretary
shall prescribe standards governing potential con-
flicts of interest under which members of boards
under this subsection may participate in activities
carried out under this subtitle.
‘‘(c) INVOLVEMENT OF CITIZENS AND OTHERS.—
‘‘(1) IN GENERAL.—Each recipient shall—
‘‘(A) make available to its citizens, public
agencies, and other interested parties informa-
tion concerning the amount of assistance the ju-
risdiction expects to receive and the range of
activities that may be undertaken with the as-
sistance;
‘‘(B) publish the proposed application in a
manner that, in the determination of the Sec-
retary, affords affected citizens, public agencies,
and other interested parties a reasonable oppor-
tunity to examine its content and to submit
comments on it;
‘‘(C) hold one or more public hearings to
obtain the views of citizens, public agencies, and
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other interested parties on the housing needs of
the jurisdiction; and
‘‘(D) provide citizens, public agencies, and
other interested parties with reasonable access
to records regarding any uses of any assistance
the recipient may have received under this sub-
title during the preceding 5 years.
‘‘(2) NOTICE AND COMMENT.—Before submit-
ting any performance report under section 413(a) or
any substantial amendment to an application under
section 408, a recipient shall provide citizens with
reasonable notice of, and opportunity to comment
on, the performance report or application.
‘‘(3) CONSIDERATION OF COMMENTS.—A recipi-
ent shall consider any comments or views of citizens
in preparing a final application, amendment to an
application, or performance report for submission. A
summary of such comments or views shall be at-
tached when an application, amendment to an appli-
cation, or performance report is submitted. The sub-
mitted application, amendment, or report shall be
made available to the public.
‘‘(4) AUTHORITY
OF
SECRETARY.—The Sec-
retary shall establish procedures appropriate and
practicable for providing a fair hearing and timely
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resolution of citizen complaints related to applica-
tions or performance reports under this subtitle.
‘‘(d) REQUIREMENTS FOR CITIZEN PARTICIPATION
FOR STATE RECIPIENTS AND RECIPIENTS OF AMOUNTS
FROM THE SECRETARY.—
‘‘(1) STATE RECIPIENTS.—The State may pre-
scribe citizen participation requirements comparable
(to the extent appropriate) to the requirements
under the preceding provisions of this section for
cases in which a State distributes grant amounts to
State recipients, as provided in section 410(b)(2).
‘‘(2) RECIPIENTS FROM SECRETARY.—The Sec-
retary may prescribe citizen participation require-
ments comparable (to the extent appropriate) to the
requirements under the preceding provisions of this
section for cases in which the Secretary—
‘‘(A) administers the grant amounts of an
allocation unit of general local government, as
provided in section 410(a)(4); or
‘‘(B) distributes grant amounts to recipi-
ents, as provided in paragraph (3), (4), or (5)
of section 410(b).
‘‘(3) INAPPLICABLE LAWS.—The Federal Advi-
sory Committee Act and section 12 of the Depart-
ment of Housing and Urban Development Act shall
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not apply with respect to the actions of the Sec-
retary referred to in paragraph (2). The Secretary
shall establish appropriate standards under this
paragraph to ensure the integrity of the process for
awarding assistance.
‘‘SEC. 412. APPLICABILITY OF OTHER PROVISIONS.
‘‘(a) FLOOD ELEVATION REQUIREMENTS.—Flood
protection standards applicable to housing acquired, reha-
bilitated, or assisted under this subtitle shall be no more
restrictive than the standards applicable to any other pro-
gram administrated by the Secretary.
‘‘(b) ENVIRONMENTAL
PROTECTION.—The provi-
sions of, and regulations and procedures applicable under,
section 104(g) of the Housing and Community Develop-
ment Act of 1974 shall apply to assistance and projects
under this subtitle.
‘‘(c) GAO AUDITS.—Insofar as they relate to funds
provided under this subtitle, the financial transactions of
grantees and project sponsors may be audited by the Gen-
eral Accounting Office under such rules and regulations
as may be prescribed by the Comptroller General of the
United States. The representatives of the General Ac-
counting Office shall have access to all books, accounts,
records, reports, files and other papers, things, or property
belonging to, or in use by such grantees, and project spon-
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sors pertaining to the financial transactions and necessary
to facilitate the audit.
‘‘SEC. 413. REPORTS, REVIEWS, AND AUDITS.
‘‘(a) 
GRANTEE
PERFORMANCE
REPORT.—Each
grantee shall submit to the Secretary a performance and
evaluation report concerning the use of funds made avail-
able under this subtitle. The report shall be submitted at
such time and contain such information as the Secretary
shall prescribe, and shall be made available to the relevant
boards referred to in section 411(b) and to citizens, public
agencies, and other interested parties in the jurisdiction
of the grantee in sufficient time to permit the board and
the citizens, public agencies, and other interested parties
to comment on the report before submission.
‘‘(b) REVIEWS AND AUDITS.—The Secretary shall, at
least on an annual basis, make such reviews and audits
as may be necessary or appropriate to determine—
‘‘(1) in the case of a grantee (other than a
grantee referred to in paragraph (2)), whether the
grantee—
‘‘(A) has carried out its activities in a
timely manner;
‘‘(B) has made progress toward establish-
ing and maintaining the comprehensive home-
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less assistance system in conformity with its ap-
plication under this subtitle;
‘‘(C) has carried out its activities and cer-
tifications in accordance with the requirements
of this subtitle and other applicable laws; and
‘‘(D) has a continuing capacity to carry
out its activities in a timely manner; and
‘‘(2) in the case of States distributing grant
amounts to State recipients, whether the State—
‘‘(A) has distributed amounts to State re-
cipients in a timely manner and in conformance
with the method of distribution described in its
application;
‘‘(B) has carried out its activities and cer-
tifications in compliance with the requirements
of this subtitle and other applicable laws; and
‘‘(C) has made such reviews and audits of
the State recipients as may be necessary or ap-
propriate to determine whether they have satis-
fied the applicable performance criteria con-
tained in paragraph (1).
The Secretary may make appropriate adjustments in the
amount of grants in accordance with the Secretary’s find-
ings under this subsection. With respect to assistance
made available for State recipients, the Secretary may ad-
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just, reduce, or withdraw such assistance, or take other
action as appropriate in accordance with the Secretary’s
reviews and audits under this subsection, except that
amounts already properly expended on eligible activities
under this subtitle shall not be recaptured or deducted
from future assistance to such recipients.
‘‘SEC. 414. NONDISCRIMINATION IN PROGRAMS AND AC-
TIVITIES.
‘‘(a) IN GENERAL.—No person in the United States
shall on the ground of race, color, national origin, religion,
or sex be excluded from participation in, be denied the
benefits of, or be subjected to discrimination under any
program or activity funded in whole or in part with funds
made available under this subtitle. Any prohibition against
discrimination on the basis of age under the Age Discrimi-
nation Act of 1975 or with respect to an otherwise quali-
fied handicapped individual, as provided in section 504 of
the Rehabilitation Act of 1973, shall also apply to any
such program or activity.
‘‘(b) LIMITATIONS.—
‘‘(1) INDIAN TRIBES.—No grant may be made
under this subtitle to an Indian tribe unless the ap-
plicant provides satisfactory assurances that its pro-
gram will be conducted and administered in con-
formity with title II of Public Law 90–284. The Sec-
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retary may waive, in connection with grants to In-
dian tribes, the provisions of subsection (a).
‘‘(2) HAWAIIAN HOME LANDS.—The provisions
of this subtitle relating to discrimination on the
basis of race shall not apply to the provision of as-
sistance under this subtitle to the Hawaiian Home
Lands.
‘‘SEC. 415. CONSULTATION.
‘‘In carrying out the provisions of this subtitle, in-
cluding the issuance of regulations, the Secretary shall
consult with other Federal agencies administering pro-
grams affecting homeless individuals and families through
the Interagency Council on the Homeless established
under title II.
‘‘SEC. 416. RECORDS, REPORTS, AND AUDITS.
‘‘(a) KEEPING OF RECORDS.—Any recipient (includ-
ing a State distributing grant amounts to State recipients
as provided in section 410(b)(2)) shall keep such records
as may be reasonably necessary—
‘‘(1) to disclose the amounts and the disposition
of the grant amounts; and
‘‘(2) to ensure compliance with the require-
ments of this subtitle.
‘‘(b) ACCESS TO DOCUMENTS BY SECRETARY.—The
Secretary shall have access for the purpose of audit and
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examination to any books, documents, papers, and records
of any recipient specified in subsection (a) that are perti-
nent to grant amounts received in connection with, and
the requirements of, this subtitle.
‘‘(c) ACCESS
TO DOCUMENTS
BY COMPTROLLER
GENERAL.—The Comptroller General of the United
States, or any of the duly authorized representatives of
the Comptroller General, shall have access for the purpose
of audit and examination to any books, documents, papers,
and records of any recipient specified in subsection (a)
that are pertinent to grant amounts received in connection
with, and the requirements of, this subtitle.
‘‘SEC. 417. REPORTS TO CONGRESS.
‘‘The Secretary shall submit a report to the Congress
annually, summarizing the activities carried out under this
subtitle and setting forth the findings, conclusions, and
recommendations of the Secretary as a result of the activi-
ties. The report shall be submitted not later than 4
months after the end of each fiscal year (except that, in
the case of fiscal year 1995, the report shall be submitted
not later than 6 months after the end of the fiscal year).
‘‘CHAPTER 2—ELIGIBLE ACTIVITIES
‘‘SEC. 431. HOMELESSNESS PREVENTION.
‘‘(a) ELIGIBLE ACTIVITIES.—A recipient may use
grant amounts under this subtitle for activities designed
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to help persons and families described in subsection (b)
avoid becoming homeless, which shall include assistance
for making mortgage payments, rental payments, and util-
ity payments and any activities other than those found by
the Secretary to be inconsistent with the purposes of this
Act.
‘‘(b) REQUIREMENTS FOR ASSISTANCE.—Assistance
may be provided under this section only to very low-income
persons and families who have received eviction (or mort-
gage delinquency or foreclosure) notices or notices of ter-
mination of utility services and who—
‘‘(1) are unable to make the required payments
due to a sudden reduction in income;
‘‘(2) need such assistance to avoid the eviction
or termination of services; and
‘‘(3) have a reasonable prospect of being able to
resume payments within a reasonable period of time.
‘‘SEC. 432. EMERGENCY SHELTER.
‘‘(a) ELIGIBLE ACTIVITIES.—A recipient may use
grant amounts under this subtitle for—
‘‘(1) the renovation, major rehabilitation, or
conversion of a building or buildings to be used as
emergency shelters;
‘‘(2) the provision of supportive services, if such
services do not supplant any services provided by the
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local government during any part of the 12-month
period ending on the date of the commencement of
the operation of the emergency shelter; and
‘‘(3) maintenance, operation, insurance, utili-
ties, and furnishings for emergency shelters.
‘‘(b) DEFINITION.—A project shall be considered
emergency shelter for purposes of this section if the
project is designed to provide overnight sleeping accom-
modations for homeless persons. An emergency shelter
may include appropriate eating and cooking accommoda-
tions.
‘‘(c) PROGRAM REQUIREMENTS.—A recipient may
use grant amounts under this subtitle for an emergency
shelter project only if the project sponsor has agreed that
it will—
‘‘(1) in the case of assistance involving major
rehabilitation or conversion of a building, maintain
the building as a shelter for homeless individuals
and families for not less than a 10-year period un-
less, within such 10-year period, the need for main-
taining the building as a full-time shelter ceases to
exist and the building is used for the remainder of
such period to carry out other eligible activities
under this subtitle;
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‘‘(2) in the case of assistance involving rehabili-
tation (other than major rehabilitation or conversion
of a building), maintain the building as a shelter for
homeless individuals and families for not less than
a 3-year period; or
‘‘(3) in the case of assistance involving only ac-
tivities described in paragraphs (2) and (3) of sub-
section (a), provide services or shelter to homeless
individuals and families at the original site or struc-
ture or other sites or structures serving the same
general population for the period during which such
assistance is provided;
‘‘(4) comply with the standards of habitability
prescribed under subsection (d) by the Secretary and
(if applicable) the State or unit of general local gov-
ernment; and
‘‘(5) assist homeless persons in obtaining—
‘‘(A) appropriate supportive service, includ-
ing permanent housing, medical and mental
health treatment, counseling, supervision, and
other services essential for achieving independ-
ent living; and
‘‘(B) other Federal, State, local, and pri-
vate assistance available for homeless persons.
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‘‘(d) MINIMUM STANDARDS OF HABITABILITY.—The
Secretary shall prescribe such minimum standards of hab-
itability as the Secretary determines to be appropriate to
ensure that emergency shelters assisted under this section
are environments that provide appropriate privacy, safety,
and sanitary and other health-related conditions for home-
less persons and families. Grantees may establish stand-
ards of habitability in addition to those prescribed by the
Secretary.
‘‘SEC. 433. SUPPORTIVE HOUSING FOR THE HOMELESS.
‘‘(a) ELIGIBLE ACTIVITIES.—A recipient may use
grant amounts under this subtitle to provide assistance to
a project sponsor of supportive housing in the following
manners:
‘‘(1) ACQUISITION AND REHABILITATION.—As-
sistance may be provided in the form of an advance
in an amount not exceeding cost of acquisition, sub-
stantial rehabilitation, or acquisition and rehabilita-
tion of an existing structure for use as supportive
housing. The repayment of any outstanding debt
owed on a loan made to purchase an existing struc-
ture shall be considered to be a cost of acquisition
eligible for an advance under this paragraph if the
structure was not used as supportive housing before
the receipt of assistance.
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‘‘(2) MODERATE REHABILITATION.—Assistance
may be provided in the form of a grant for moderate
rehabilitation of an existing structure for use as sup-
portive housing. Assistance under this paragraph
shall not preclude assistance under paragraph (1).
‘‘(3) OPERATING
COSTS.—Assistance may be
provided in the form of annual payments for operat-
ing costs of supportive housing (including supportive
housing that is newly constructed with assistance
provided from sources other than this subtitle) in an
amount not exceeding 75 percent of the annual oper-
ating costs of such housing.
‘‘(4) TECHNICAL
ASSISTANCE.—Technical as-
sistance may be provided in—
‘‘(A) establishing supportive housing in an
existing structure;
‘‘(B) operating supportive housing in exist-
ing structures and in structures that are newly
constructed with assistance provided from
sources other than this subtitle; and
‘‘(C) providing supportive services to the
residents of supportive housing (including sup-
portive housing that is newly constructed with
assistance provided from sources other than
this subtitle).
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‘‘(5) EMPLOYMENT
ASSISTANCE
PROGRAM.—
Assistance may be provided in the form of a grant
for establishing and operating an employment assist-
ance program for the residents of supportive hous-
ing, which shall include—
‘‘(A) employment of residents in the oper-
ation and maintenance of the housing; and
‘‘(B) the payment of the transportation
costs of residents to places of employment.
‘‘(6) SUPPORTIVE SERVICES.—Assistance may
be provided in the form of a grant for costs of sup-
portive services provided to homeless individuals.
Any project sponsor, including program recipients
under title IV of this Act before the date of the en-
actment of the Housing and Community Develop-
ment Act of 1994, may reapply for such assistance
or for the renewal of such assistance to continue
services funded under prior grants or to provide
other services.
‘‘(7) CHILD CARE SERVICES.—Assistance may
be provided in the form of a grant to establish and
operate a child care services program for homeless
families, which shall—
‘‘(A) include—
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‘‘(i) establishing, licensing, and oper-
ating an onsite child care facility for the
residents of transitional housing;
‘‘(ii) making contributions for the
child care costs of residents of transitional
housing to existing community child care
programs and facilities; and
‘‘(iii) counseling designed to inform
the residents of transitional housing of
public and private child care services for
which they are eligible; and
‘‘(B) provide only child care services that
comply with any applicable State and local laws
and regulations.
A grant under this paragraph for any child care
services program may not exceed the amount equal
to 75 percent of the cost of operating the program
for a period not exceeding 5 years.
‘‘(b) SUPPORTIVE HOUSING.—Housing for homeless
individuals shall be considered to be supportive housing
for purposes of this section if—
‘‘(1) the housing is safe and sanitary and meets
any applicable State and local housing codes and li-
censing requirements in the jurisdiction in which the
housing is located;
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‘‘(2) the housing is—
‘‘(A) transitional housing;
‘‘(B) permanent housing for homeless per-
sons with disabilities; or
‘‘(C) a particularly innovative project for,
or alternative methods of, meeting the imme-
diate and long-term needs of homeless individ-
uals and families (or is part of such a project);
and
‘‘(3) supportive services are provided in connec-
tion with the housing to address the special needs of
homeless individuals intended to be served by the
housing.
‘‘(c) TRANSITIONAL HOUSING.—For purposes of this
section, the term ‘transitional housing’ means housing, the
purpose of which is to facilitate the movement of homeless
individuals and families to permanent housing within 24
months or such longer period as the Secretary determines
necessary.
‘‘(d) PERMANENT HOUSING FOR HOMELESS PER-
SONS WITH DISABILITIES.—For purposes of this section,
the term ‘permanent housing for homeless persons with
disabilities’ means community-based housing for homeless
persons with disabilities that—
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‘‘(1) is a home designed solely for housing
homeless persons with disabilities or dwelling units
in a multifamily housing project, condominium
project, or cooperative project;
‘‘(2) in the case of a home, is located on a site
that does not contain another home used for the
same purposes and that is not contiguous to another
site containing a home used for the same purposes;
and
‘‘(3) provides long-term housing and supportive
services for not more than—
‘‘(A) 8 such persons in a single structure
or contiguous structures;
‘‘(B) 16 such persons, but only if not more
than 20 percent of the units in a structure are
designated for such persons; or
‘‘(C) more than 16 persons if the applicant
demonstrates that local market conditions dic-
tate the development of a large project and
such development will achieve the neighborhood
integration objectives of the program within the
context of the affected community.
‘‘(e) PROGRAM REQUIREMENTS.—
‘‘(1) REQUIRED
AGREEMENTS.—A recipient
may use grant amounts under this subtitle for a
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supportive housing project under this section only if
the project sponsor for the project has agreed—
‘‘(A) to operate the proposed project as
supportive housing for not less than 10 years;
‘‘(B) to conduct an ongoing assessment of
the supportive services required by the residents
of the project;
‘‘(C) to provide such residential supervision
as the Secretary determines is necessary to fa-
cilitate the adequate provision of supportive
services to the residents of the project; and
‘‘(D) to comply with such other terms and
conditions as the Secretary or recipient may es-
tablish for purposes of carrying out this pro-
gram in an effective and efficient manner.
‘‘(2) OCCUPANT CHARGE.—Each homeless indi-
vidual or family residing in a project assisted under
this section that provides supportive housing may be
required to pay an occupancy charge in an amount
determined by the project sponsor, which may not
exceed the amount determined under section 3(a) of
the United States Housing Act of 1937. Occupancy
charges paid may be reserved, in whole or in part,
to assist residents in moving to permanent housing.
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‘‘(f) SINGLE ROOM OCCUPANCY DWELLINGS.—A
project assisted under this section may provide supportive
housing or supportive services in dwelling units that do
not contain bathrooms or kitchen facilities and are appro-
priate for use as supportive housing or in projects contain-
ing some or all such dwelling units.
‘‘SEC. 434. SAFE HAVENS FOR HOMELESS INDIVIDUALS.
‘‘(a) ELIGIBLE ACTIVITIES.—A recipient may use
grant amounts under this subtitle for—
‘‘(1) the construction of a structure for use in
providing a safe haven or the acquisition, rehabilita-
tion, or acquisition and rehabilitation of an existing
structure for use in providing a safe haven;
‘‘(2) the leasing of an existing structure for use
in providing a safe haven;
‘‘(3) operating costs of a safe haven;
‘‘(4) costs of administering a safe haven pro-
gram, in an amount not exceeding 10 percent of the
amounts made available for activities under para-
graphs (1) through (3);
‘‘(5) conducting outreach activities designed to
inform eligible persons about and attract them to a
safe haven program;
‘‘(6) the provision of low-demand services and
referrals for residents of a safe haven; and
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‘‘(7) conducting other activities that further the
purposes of this section, including the modification
of an existing facility to use a portion of a facility
to provide a safe haven.
‘‘(b) DEFINITION.—For purposes of this section, the
term ‘safe haven’ means housing for homeless persons
who, at the time, are unwilling or unable to participate
in mental health treatment programs or to receive other
supportive services. Such a facility may provide—
‘‘(1) 24-hour residence for eligible persons who
may reside for an unspecified duration;
‘‘(2) private or semiprivate accommodations;
‘‘(3) common use of kitchen facilities, dining
rooms, and bathrooms;
‘‘(4) supportive services to eligible persons who
are not residents on a drop-in basis; and
‘‘(5) overnight occupancy limited to no more
than 25 persons.
‘‘SEC. 435. SHELTER PLUS CARE.
‘‘(a) ELIGIBLE ACTIVITIES.—A recipient may use
grant amounts under this subtitle to provide shelter plus
care for homeless persons with disabilities (primarily per-
sons who have severe and persistent mental or emotional
impairments that seriously limit a person’s ability to live
independently, have chronic programs with alcohol, drugs,
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or both, or have acquired immunodeficiency syndrome and
related diseases) and the families of such persons.
‘‘(b) DEFINITION.—For purposes of this section, the
term ‘shelter plus care’ means rental housing assistance,
in connection with supportive services funded from sources
other than under this section. Such rental housing assist-
ance may be tenant-based, project-based, or sponsor-
based.
‘‘SEC. 436. ADMINISTRATIVE AND CAPACITY-BUILDING EX-
PENSES.
‘‘(a) AVAILABILITY OF GRANT AMOUNTS.—A recipi-
ent may use grant amounts under this subtitle for the fol-
lowing expenses:
‘‘(1) ADMINISTRATIVE EXPENSES.—During—
‘‘(A) the first year in which a recipient re-
ceives grant amounts under this subtitle, for
administrative expenses in connection with
planning the development of, and establishing,
its program under this subtitle;
‘‘(B) subsequent years, to defray the cost
of administering the program; and
‘‘(C) any year in which a recipient receives
grant amounts under this subtitle, to defray the
cost of establishing and operating the board re-
ferred to in section 411(b).
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Not more than 5 percent of any amounts provided
to a recipient under this subtitle for a fiscal year
may be used for activities under this paragraph.
‘‘(2) CAPACITY BUILDING FOR NONPROFIT OR-
GANIZATIONS.—For building the capacity of private
nonprofit organizations to participate in the com-
prehensive homeless assistance system of the recipi-
ent, except that not more than 2 percent of any
amounts provided to a recipient under this subtitle
for a fiscal year may be used for activities under this
paragraph.
‘‘(b) PROVISION OF ADMINISTRATIVE EXPENSES FOR
CERTAIN ENTITIES.—
‘‘(1) PROVISION OF AMOUNTS.—Any recipient
under paragraph (2) shall make available, to defray
the administrative expenses of the designee or the
State, not more than 5 percent from amounts eligi-
ble for this purpose under subsection (a)(1).
‘‘(2) RECIPIENTS
COVERED.—The recipients
under this paragraph shall be—
‘‘(A) any allocation unit of general local
government, Indian Tribe, or insular area, that
designates a public agency or a private non-
profit organization under section 410(a)(2);
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‘‘(B) any State recipient that designates a
public agency or a private nonprofit organiza-
tion under section 410(b)(3)(A)(ii); and
‘‘(C) any State recipient that enters into
an agreement under section 410(b)(3)(A)(iii)
with a State.
‘‘SEC. 437. INNOVATIVE HOMELESS INITIATIVES.
‘‘(a) ELIGIBLE ACTIVITIES.—A recipient may use
grant amounts under this subtitle for—
‘‘(1) establishing innovative programs to dem-
onstrate methods of undertaking comprehensive
strategies for assisting homeless individuals and
families (including homeless individuals who have
the disease of acquired immunodeficiency syndrome
or who are infected with HIV), through cooperative
efforts in partnership with other levels of govern-
ment and the private sector (including nonprofit or-
ganizations, foundations, and communities) and
through a variety of activities, including the coordi-
nation of efforts and the filling of gaps in available
services and resources; and
‘‘(2) to obtain technical assistance in establish-
ing a program for providing homeless assistance in
accordance with the provisions of this subtitle, ex-
cept that not more than 10 percent of the amount
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provided to a recipient under this subtitle for a fiscal
year may be used under this paragraph.
‘‘(b) REQUIREMENTS.—A recipient may use grant
amounts to establish an innovative program under sub-
section (a)(1) only if—
‘‘(1) the existing public and private systems for
homelessness prevention, outreach, assessment, shel-
ter, services, transitional services, transitional hous-
ing, and permanent housing available within the ju-
risdiction of the recipient would benefit from addi-
tional resources to achieve a comprehensive ap-
proach to meeting the needs of individuals and fami-
lies who are homeless, or who are very low-income
and at risk of homelessness;
‘‘(2) the recipient works cooperatively with the
Department of Housing and Urban Development,
nonprofit organizations, foundations, other private
entities, and the community, to the extent feasible,
to design and implement the program; and
‘‘(3) the recipient obtains a commitment from
the jurisdiction to make necessary changes in policy
and procedure to provide sufficient flexibility and re-
sources as necessary to implement and sustain the
program.
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‘‘SEC. 438. OTHER APPROVED ACTIVITIES.
‘‘The Secretary, in cooperation with grantees, recipi-
ents, and other appropriate parties, shall develop addi-
tional activities to carry out the purposes of this subtitle.
A recipient may use grants amounts under this subtitle
to carry out any such activities developed and approved
by the Secretary.
‘‘Subtitle 
B—Other 
Permanent
Housing 
Assistance 
Programs
for the Homeless’’.
SEC. 812. REGULATIONS AND TRANSITION PROVISIONS.
(a) IN GENERAL.—Not later than April 1, 1995, the
Secretary of Housing and Urban Development (in this sec-
tion referred to as the ‘‘Secretary’’) shall publish final reg-
ulations to implement the amendments made by this chap-
ter. The final rule shall be published after notice and op-
portunity for public comment in accordance with section
553 of title 5, United States Code.
(b) TRANSITION PROVISIONS.—
(1) EMERGENCY SHELTER GRANTS PROGRAM.—
Notwithstanding any other provision of law, during
fiscal year 1995, the Secretary shall allocate grants
from amounts available for such year under subtitle
A of title IV of the Stewart B. McKinney Homeless
Assistance Act (as amended by this Act) in accord-
ance with the provisions of subtitle B of title IV of
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the Stewart B. McKinney Homeless Assistance Act
(Emergency Shelter Grants), as such provisions ex-
isted immediately before the enactment of this Act.
(2) FAILURE TO PUBLISH REGULATIONS.—
(A) IN GENERAL.—If the Secretary fails to
publish final regulations as provided by sub-
section (a), the Secretary shall distribute the
amounts available for fiscal year 1995 under
subtitle A of title IV of the Stewart B. McKin-
ney Homeless Assistance Act (as amended by
this Act) (excluding amounts allocated under
paragraph (1)) in accordance with the following
provisions of title IV of the Stewart B. McKin-
ney Homeless Assistance Act, as such provi-
sions existed immediately before the enactment
of this Act—
(i) subtitle C (Supportive Housing);
(ii) subtitle D (Safe Havens); and
(iii) subtitle F (Shelter Plus Care).
(B) PROCEDURE.—For purposes of award-
ing assistance under this paragraph, the Sec-
retary may, as appropriate—
(i) provide for use of a single applica-
tion; and
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(ii) publish a single notice of funding
availability.
(3) MINIMUM AMOUNTS.—The Secretary shall
determine the amount to be allocated for each of the
programs referred to in this subsection, but the
amount so allocated for each such program shall not
be less than the amount appropriated for the pro-
gram for fiscal year 1994.
(c) TECHNICAL ASSISTANCE.—Of any amounts ap-
propriated to carry out section 2 of the HUD Demonstra-
tion Act of 1993 in fiscal year 1995, the Secretary may
use not more than 10 percent for providing technical as-
sistance to assist recipients under subtitle A of title IV
of the Stewart B. McKinney Homeless Assistance Act (as
amended by this chapter) to establish a program for pro-
viding homeless assistance in accordance with the provi-
sions of such subtitle.
SEC. 813. REPORT ON SINGLE ROOM OCCUPANCY ASSIST-
ANCE.
Not later than July 1, 1995, the Secretary shall sub-
mit a report to the Congress evaluating the effectiveness
of combining the programs for assistance for single room
occupancy dwellings under sections 451 and 452 of the
Stewart B. McKinney Homeless Assistance Act (as so re-
designated and amended by this Act) into the program
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for assistance under subtitle A of title IV of such Act and,
if effective, describing how to provide such assistance
under the program under such subtitle A.
CHAPTER 
2—OTHER 
HOUSING 
ASSIST-
ANCE PROGRAMS FOR THE HOMELESS
UNDER MCKINNEY ACT
SEC. 821. SECTION 8 ASSISTANCE FOR SINGLE ROOM OCCU-
PANCY DWELLINGS.
(a) AUTHORIZATION OF APPROPRIATIONS.—Section
451(a) of the Stewart B. McKinney Homeless Assistance
Act (42 U.S.C. 11401(a)), as so redesignated by section
811(3) of this Act, is amended to read as follows:
‘‘(a) INCREASE IN BUDGET AUTHORITY.—The budg-
et authority available under section 5(c) of the United
States Housing Act of 1937 for assistance under section
8(e)(2) of such Act (as in effect immediately before Octo-
ber 1, 1991) is authorized to be increased by
$200,000,000 on or after October 1, 1994, and by
$200,000,000 on or after October 1, 1995.’’.
(b) PROGRAM CHANGES.—Section 451 of the Stewart
B. McKinney Homeless Assistance Act (42 U.S.C.
11401(a)), as so redesignated by section 811(3) of this
Act, is amended—
(1) in the second sentence of subsection (c), in
the matter preceding paragraph (1), by striking
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‘‘containing’’ and inserting the following: ‘‘for the
provision of assistance under this section that is spe-
cifically provided for in the comprehensive homeless
assistance described in the application under section
408 of the relevant eligible grantee and that con-
tains’’; and
(2) in subsection (j)(1), by inserting ‘‘recipient
under subtitle A,’’ after ‘‘authority,’’.
SEC. 822. SECTION 8 ASSISTANCE FOR SHELTER PLUS CARE
SINGLE ROOM OCCUPANCY DWELLINGS.
Title IV of the Stewart B. McKinney Homeless As-
sistance Act (42 U.S.C. 11361 et seq.) is amended by in-
serting after section 451, as so redesignated by section
811(3) of this Act, the following new section:
‘‘SEC. 452. SECTION 8 ASSISTANCE FOR SHELTER PLUS
CARE SINGLE ROOM OCCUPANCY DWELL-
INGS.
‘‘(a) PURPOSE.—The purpose of the program under
this section is to provide assistance for the moderate reha-
bilitation of single room occupancy housing to be made
available for rental, in connection with supportive services
funded from sources other than this section, to homeless
persons with disabilities (primarily persons who are seri-
ously mentally ill, have chronic problems with alcohol,
drugs, or both, or have acquired immunodeficiency syn-
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drome and related diseases) and the families of such per-
sons.
‘‘(b) MODERATE REHABILITATION ASSISTANCE.—
The Secretary may use amounts made available to carry
out this section for moderate rehabilitation of single room
occupancy housing described in section 8(l) of the United
States Housing Act of 1937 for occupancy by eligible per-
sons in accordance with this section. Such amounts may
be used in connection with the moderate rehabilitation of
efficiency units if the building owner agrees to pay the
additional cost of rehabilitating and operating the effi-
ciency units.
‘‘(c) FUNDING LIMITATIONS.—
‘‘(1) TARGETED POPULATIONS.—To the maxi-
mum extent practicable, the Secretary shall reserve
not less than 50 percent of all amounts made avail-
able to carry out this section for homeless individ-
uals who are seriously mentally ill or have chronic
problems with alcohol, drugs, or both.
‘‘(2) GEOGRAPHICAL LIMITATION.—Of the as-
sistance made available under this section for any
fiscal year, not more than 10 percent may be used
for programs located within any one unit of general
local government.
‘‘(d) SUPPORTIVE SERVICES REQUIREMENTS.—
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‘‘(1) REQUIREMENT OF MATCHING AMOUNTS.—
Each recipient of assistance under this section shall
supplement the assistance provided under this sec-
tion with an equal amount of funds for supportive
services from sources other than this section. Each
recipient shall certify to the Secretary its compliance
with this paragraph, and shall include with the cer-
tification a description of the sources and amounts
of such supplemental funds.
‘‘(2) 
DETERMINATION
OF
MATCHING
AMOUNTS.—In calculating the amount of supple-
mental funds provided under this section, a recipient
may include the value of any lease on a building, any
salary paid to staff to carry out the program of the
recipient, and the value of the time and services con-
tributed by volunteers to carry out the program of
the recipient at a rate determined by the Secretary.
‘‘(3) RECAPTURE.—If the supportive services
and funding for the supportive services required by
this subsection are not provided by a recipient, the
Secretary may recapture any unexpended housing
assistance provided under this section to the recipi-
ent.
‘‘(e) CONTRACT REQUIREMENTS.—Each contract for
annual contributions entered into by the Secretary with
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a public housing agency to obligate budget authority made
available to carry out this section shall—
‘‘(1) commit the Secretary to make the author-
ity available to the public housing agency for an ag-
gregate period of 10 years, and require that any
amendments increasing the authority shall be avail-
able for the remainder of such 10-year period;
‘‘(2) provide the Secretary with the option to
renew the contract for an additional period of 10
years, subject to the availability of authority;
‘‘(3) provide that, notwithstanding any other
provision of law, first priority for occupancy of hous-
ing rehabilitated under this section shall be given to
homeless persons; and
‘‘(4) require installation in the housing assisted
of a sprinkler system that protects all major spaces,
hard-wired smoke detectors, and any other fire safe-
ty improvements as may be required by State or
local law.
For purposes of this subsection, the term ‘major spaces’
means hallways, large common areas, and other areas
specified in local fire, building, or safety codes.
‘‘(f) APPLICATIONS.—
‘‘(1) IN GENERAL.—An application for rental
housing assistance under this section shall be sub-
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mitted by an applicant in such form and in accord-
ance with such procedures as the Secretary shall es-
tablish.
‘‘(2) MINIMUM
CONTENTS.—The 
Secretary
shall require that an application identify the need
for the assistance in the community to be served and
shall contain at a minimum—
‘‘(A) a request for housing assistance
under this section specifying the number of
units requested and the amount of necessary
budget authority;
‘‘(B) a description of the size and charac-
teristics of the population of eligible persons;
‘‘(C) an identification of the need for the
program in the community to be served;
‘‘(D) the identity of the proposed service
provider or providers (which may be, or include,
the applicant) and a statement of the qualifica-
tions of the provider or providers;
‘‘(E) a description of the supportive serv-
ices that the applicant proposes to assure will
be available for eligible persons;
‘‘(F) a description of the resources that
are expected to be made available to provide the
supportive services required by subsection (d);