249
HR 3838 EH
members of the family of the homebuyer residing
with the homebuyer, for the 12-month period preced-
ing the date of the application of the homebuyer for
assistance under this subtitle, does not exceed 115
percent of the median income for a family of 4 per-
sons (adjusted by family size) in the applicable met-
ropolitan statistical area (or such other area that the
Secretary determines for areas outside of metropoli-
tan statistical areas). The Secretary shall provide for
certification of such income for purposes of initial
eligibility for assistance payments under this sub-
title.
‘‘(b) MORTGAGE.—Assistance may be provided only
for mortgages meeting the following requirements:
‘‘(1) PRINCIPAL
RESIDENCE.—The property
subject to the mortgage is a single-family residence
or unit in a cooperative (including any manufactured
home park owned by residents or owned by nonprofit
organizations for future ownership by residents) or
condominium, or a single family residence located on
leased land owned by a community land trust, and
is the principal residence of the homebuyer.
‘‘(2) 
MAXIMUM
MORTGAGE
AMOUNT.—The
principal obligation of the first mortgage and any
second mortgage assistance provided under this sub-
250
HR 3838 EH
title does not exceed the principal amount that could
be insured under section 203(b) of the National
Housing Act with respect to a property having the
same number of dwelling units.
‘‘(c) 
MINIMUM
DOWNPAYMENT.—For 
first-time
homebuyers to receive downpayment assistance under sec-
tion 303(a)(1), the homebuyer shall have paid not less
than 1 percent of the cost of acquisition of the property
(excluding any mortgage insurance premiums paid at the
time the mortgage is insured), as such cost is estimated
by the Secretary.
‘‘SEC. 305. COUNSELING REQUIREMENTS.
‘‘Each grantee under this subtitle shall ensure that
each homebuyer receiving assistance under this subtitle
from the grantee (or any subgrantee of such grantee) shall
be provided prepurchase and postpurchase homeownership
counseling from individuals certified by the Secretary
under section 106(e) of the Housing and Urban Develop-
ment Act of 1968.
‘‘SEC. 306. ALLOCATION OF GRANT AMOUNTS.
‘‘(a) IN GENERAL.—The Secretary may make a grant
under this subtitle only to a State (including a State hous-
ing finance agency), local housing finance agency, or non-
profit housing intermediary that submits to the Secretary
an application under this section that is approved by the
251
HR 3838 EH
Secretary. Applications shall be made in such form and
in accordance with such procedures as the Secretary shall
establish.
‘‘(b) MINIMUM
REQUIREMENTS.—An application
under this section shall contain a plan that describes how
the applicant will achieve the objectives of this subtitle.
The application shall include—
‘‘(1) a description of the geographic area, in-
cluding the revitalization area included, to be cov-
ered by the program to provide assistance under this
subtitle;
‘‘(2) the characteristics of the households to be
served by the program;
‘‘(3) a description and evidence of the commit-
ment of other public and private resources to be
made available in the revitalization area and other
areas in which homebuyers receive assistance under
this subtitle;
‘‘(4) a description of any secondary market and
private mortgage insurance involvement and commit-
ment in connection with assistance under this sub-
title;
‘‘(5) a description of how prepurchase and
postpurchase counseling will be provided to home-
buyers assisted under this subtitle;
252
HR 3838 EH
‘‘(6) a description of any restrictions on resale
and profits;
‘‘(7) a description of existing affordable housing
programs and resources available to undertake reha-
bilitation of properties when needed;
‘‘(8) a description of the process for award and
disbursement of assistance to homebuyers; and
‘‘(9) a description of the history of the appli-
cant in undertaking similar projects.
‘‘(c) SELECTION.—The Secretary shall allocate
amounts available in any fiscal year for assistance under
this subtitle to States (including State housing finance
agencies), local housing finance agencies, or nonprofit
housing intermediaries for homebuyers through a national
competition in accordance with criteria established by the
Secretary. The criteria shall include the extent to which
the applicant has experience in providing homeownership
opportunities for low- and moderate-income households.
‘‘(d) TARGETING
FOR REVITALIZATION AREAS.—
Each grantee under this subtitle shall use not more than
50 percent of any amounts received under this subtitle for
assistance under section 303(a) for homebuyers purchas-
ing residences in revitalization areas using mortgages in-
sured under section 203(b) of the National Housing Act.
253
HR 3838 EH
‘‘SEC. 307. REPORT.
‘‘Not later than 18 months after the date of the issu-
ance of final regulations pursuant to section 310, the Sec-
retary shall submit to the Congress a report stating the
amount of loans made in revitalization areas and in other
areas, the amount of loans insured under the National
Housing Act made in connection with assistance under
this section and the amount of privately insured loans
made in connection with such assistance, and an analysis
of the effectiveness of such assistance in assisting first-
time homebuyers.
‘‘SEC. 308. DEFINITIONS.
‘‘For purposes of this subtitle:
‘‘(1) 
ASSISTANCE.—The 
term 
‘assistance’
means—
‘‘(A) any downpayment assistance provided
under section 303(1);
‘‘(B) any second mortgage loan provided
under section 303(2);
‘‘(C) any loan provided from a revolving
fund established under section 303(3); and
‘‘(D) any payment for buydown of an in-
terest rate provided under section 303(4).
‘‘(2) COMMUNITY
LAND
TRUST.—The term
‘community land trust’ has the meaning given the
254
HR 3838 EH
term in section 233 of the Cranston-Gonzalez Na-
tional Affordable Housing Act.
‘‘(3) DISPLACED HOMEMAKER.—The term ‘dis-
placed homemaker’ means an individual who—
‘‘(A) is an adult;
‘‘(B) has not worked full-time, full-year in
the labor force for a number of years, but has
during such years, worked primarily without re-
muneration to care for the home and family;
and
‘‘(C) is unemployed or underemployed and
is experiencing difficulty in obtaining or up-
grading employment.
‘‘(4) REVITALIZATION AREA.—The term ‘revi-
talization area’ means—
‘‘(A) an empowerment zone or enterprise
community approved under Subchapter U of
Chapter 1 of the Internal Revenue Code of
1986, or an equivalent State-approved enter-
prise zone; and
‘‘(B) a neighborhood that, in the deter-
mination of the Secretary, is targeted by a unit
of general local government for revitalization
using coordinated affordable housing programs
and enhanced supportive services.
255
HR 3838 EH
‘‘(5) NONPROFIT
HOUSING
INTERMEDIARY.—
The term ‘nonprofit housing intermediary’ means a
nonprofit organization that the Secretary determines
has among its principal purposes activities described
in clauses (1) and (2) of section 802(a) of the Hous-
ing and Community Development Act of 1974.
‘‘(6) SINGLE PARENT.—The term ‘single par-
ent’ means an individual who—
‘‘(A) is unmarried or legally separated
from a spouse; and
‘‘(B)(i) has 1 or more minor children for
whom the individual has custody or joint cus-
tody; or
‘‘(ii) is pregnant.
‘‘(7) SECRETARY.—The term ‘Secretary’ means
the Secretary of Housing and Urban Development.
‘‘(8) STATE.—The term ‘State’ means the
States of the United States, the District of Colum-
bia, the Commonwealth of Puerto Rico, the Com-
monwealth of the Northern Mariana Islands, Guam,
the Virgin Islands, American Samoa, and any other
territory or possession of the United States.
‘‘(9) STATE HOUSING FINANCE AGENCY.—The
term ‘State housing finance agency’ has the meaning
256
HR 3838 EH
given the term in section 802(b) of the Housing and
Community Development Act of 1974.
‘‘(10) LOCAL HOUSING FINANCE AGENCY.—The
term ‘local housing finance agency’ means a housing
finance agency of any city, county, town, township,
parish, village, or other general purpose subdivision
of a State, or of any combination of such political
subdivisions recognized by the Secretary, or any
other agency or instrumentality of such an entity
that carries out activities described in section 303.
‘‘SEC. 309. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated for assist-
ance under this subtitle $115,000,000 for fiscal year 1995
and $215,000,000 for fiscal year 1996. Any amount ap-
propriated under this section shall remain available until
expended.
‘‘SEC. 310. REGULATIONS.
‘‘Not later than 10 days after the date of the enact-
ment of the Housing and Community Development Act
of 1994, the Secretary shall issue an interim rule to imple-
ment this subtitle. The Secretary shall issue final regula-
tions necessary to implement this subtitle not later than
90 days after issuance of such interim rule.’’.
257
HR 3838 EH
SEC. 173. SECTION 235 MORTGAGE REFINANCING.
Section 235(r) of the National Housing Act (12
U.S.C. 1715z(r)) is amended—
(1) in paragraph (2)(C), by inserting after ‘‘re-
financed’’ the following: ‘‘, plus the costs incurred in
connection with the refinancing as described in para-
graph (4)(B) to the extent that the amount for those
costs is not otherwise included in the interest rate
as permitted by subparagraph (E) or paid by the
Secretary as authorized by paragraph (4)(B)’’;
(2) in paragraph (4)—
(A) in the matter preceding subparagraph
(A), by inserting after ‘‘otherwise)’’ the follow-
ing: ‘‘and the mortgagee (with respect to the
amount described in subparagraph (A))’’; and
(B) in subparagraph (A), by inserting after
‘‘mortgagor’’ the following: ‘‘and the mortga-
gee’’; and
(3) by amending paragraph (5) to read as fol-
lows:
‘‘(5) The Secretary shall use amounts of budget au-
thority recaptured from assistance payments contracts re-
lating to mortgages that are being refinanced for assist-
ance payments contracts with respect to mortgages in-
sured under this subsection. The Secretary may also make
such recaptured amounts available for incentives under
258
HR 3838 EH
paragraph (4)(A) and the costs incurred in connection
with the refinancing under paragraph (4)(B). For pur-
poses of subsection (c)(3)(A), the amount of recaptured
budget authority that the Secretary commits for assist-
ance payments contracts relating to mortgages insured
under this subsection and for amounts paid under para-
graph (4) shall not be construed as unused.’’.
SEC. 174. HOUSING COUNSELING FOR HOMEOWNERSHIP
AND RENTAL HOUSING CHOICE.
(a) EXTENSIONS OF PROGRAMS.—
(1) EMERGENCY
HOMEOWNERSHIP
COUNSEL-
ING.—Section 106(c)(9) of the Housing and Urban
Development Act of 1968 (12 U.S.C. 1701x(c)(9)) is
amended by striking ‘‘September 30, 1994’’ and in-
serting ‘‘September 30, 1996’’.
(2) PREPURCHASE AND FORECLOSURE-PREVEN-
TION
COUNSELING
DEMONSTRATION.—Section
106(d)(13) of the Housing and Urban Development
Act of 1968 (12 U.S.C. 1701x(d)(13)) is amended
by striking ‘‘fiscal year 1994’’ and inserting ‘‘fiscal
year 1996’’.
(b) AUTHORIZATION OF APPROPRIATIONS.—Section
106 of the Housing and Urban Development Act of 1968
(12 U.S.C. 1701x) is amended—
(1) in subsection (a), by striking paragraph (3);
259
HR 3838 EH
(2) in subsection (c)—
(A) by striking paragraph (8); and
(B) by redesignating paragraph (9) (as
amended by subsection (a)) as paragraph (8);
(3) in subsection (d)—
(A) by striking paragraph (12); and
(B) by redesignating paragraph (13) (as
amended by subsection (a)) as paragraph (12);
(4) in subsection (f), by striking paragraph (7);
and
(5) by adding at the end the following new sub-
section:
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out this section
$62,000,000 for fiscal year 1995 and $65,000,000 for fis-
cal year 1996, of which amounts $30,000,000 shall be
available in each such fiscal year to carry out subsection
(c). Any amounts appropriated pursuant to this subsection
shall remain available until expended.’’.
(c) OUTREACH.—Section 106(a) of the Housing and
Urban Development Act of 1968 (12 U.S.C. 1701x(a)) is
amended—
(1) in paragraph (1)—
(A) by striking ‘‘The’’ and inserting ‘‘AC-
TIVITIES.—The’’;
260
HR 3838 EH
(B) in the matter preceding clause (i), by
inserting ‘‘or consortia of organizations’’ after
‘‘organizations’’;
(C) in clause (iii), by striking ‘‘and’’ at the
end;
(D) in clause (iv), by striking the period at
the end and inserting a semicolon; and
(E) by inserting at the end the following
new clauses:
‘‘(v) the provision of outreach activities de-
signed to improve the access of low- and moderate-
income households to homeownership and sources of
mortgage credit;
‘‘(vi) the provision of counseling to applicants
for and recipients of tenant-based assistance to en-
able such families to move to areas of mixed in-
comes; and
‘‘(vii) counseling and advice to tenants and
homeowners regarding understanding financial prac-
tices, matters, and transactions commonly engaged
in by, or involving, tenants and homeowners, includ-
ing activities and services provided by banks and
other financial institutions, extension of credit,
standard lending practices, checking accounts and
check cashing, and savings accounts, which shall be
261
HR 3838 EH
made available in such manners and languages ap-
propriate for low-income and disadvantaged families
residing in the area in which the entity providing the
counseling and advice is located.’’;
(2) in paragraph (2)—
(A) by striking ‘‘The’’ and inserting ‘‘ELI-
GIBLE HOMEOWNERS.—The’’; and
(B) in the second sentence, by inserting
‘‘or consortia of organizations’’ after ‘‘organiza-
tions’’; and
(3) by inserting after paragraph (2) the follow-
ing new paragraphs:
‘‘(3) HOMEOWNERSHIP
COUNSELING.—The Sec-
retary of Housing and Urban Development may contract
with national, State, or community-based entities (includ-
ing local community action agencies receiving assistance
under the Community Services Block Grant Act), and con-
sortia of such entities, and local public or private organiza-
tions (including public housing agencies), to carry out ac-
tivities under paragraph (1)(v). Contractors shall be se-
lected on a competitive basis, in accordance with selection
criteria determined by the Secretary. The contractors shall
carry out activities prescribed by the Secretary, including
activities such as—
262
HR 3838 EH
‘‘(A) assisting homebuyers by working with
mortgage lending entities to make mortgage credit
available to low- and moderate-income homebuyers;
‘‘(B) leveraging Federal funds with other
sources of funding to support activities under its
counseling program, including leveraging private,
community-based resources for the purpose of assist-
ing prospective mortgagors achieve homeownership;
‘‘(C) conducting outreach and marketing to
prospective homebuyers, particularly homebuyers in
targeted neighborhoods with a high proportion of
low- and moderate-income and minority renter
households;
‘‘(D) coordinating a prepurchase homeowner-
ship strategy that includes linking other counseling
providers and community-based organizations ap-
proved by the Secretary, assisting prospective home-
buyers to repair credit, educating potential home-
buyers on the requirements of homeownership, pro-
viding technical assistance, assisting in the packag-
ing of mortgage loan applications, and matching a
family’s resources with appropriate government and
private sector homeownership assistance programs;
and
263
HR 3838 EH
‘‘(E) creating post-purchase counseling pro-
grams that include default-prevention counseling to
assist homebuyers to retain their homes.
‘‘(4) RENTAL COUNSELING.—The Secretary of Hous-
ing and Urban Development may contract with national,
State, or community-based entities (including local com-
munity action agencies receiving assistance under the
Community Services Block Grant Act), and consortia of
such entities, and local public or private organizations (in-
cluding public housing agencies), to carry out activities
under paragraph (1)(vi). Contractors shall be selected on
a competitive basis, in accordance with selection criteria
determined by the Secretary. The contractors shall carry
out activities prescribed by the Secretary, including activi-
ties such as—
‘‘(A) advising families on strategies for obtain-
ing appropriate housing;
‘‘(B) providing transportation assistance and
other services to give families access to areas with-
out high concentrations of persons living in poverty;
‘‘(C) continuing advice and counseling to assist
families after moving to areas without high con-
centrations of persons living in poverty; and
‘‘(D) undertaking aggressive outreach to poten-
tial owners to expand the availability of housing in
264
HR 3838 EH
areas without high concentrations of persons living
in poverty.
Each entity receiving assistance pursuant to this para-
graph shall make counseling and assistance under this
paragraph available to low-income families who are re-
ferred to the entity pursuant to section 8(s)(2) of the
United States Housing Act of 1937, including counseling
and assistance regarding housing opportunities in the area
of jurisdiction of the public housing agency involved and
assistance in obtaining new rental residences in areas
within such jurisdiction not having high concentrations of
persons living in poverty.’’.
(d) NOTIFICATION.—Subparagraph (C) of section
106(c)(5) of the Housing and Urban Development Act of
1968 is amended to read as follows:
‘‘(C) NOTIFICATION.—Notification under
subparagraph (A) shall not be required with re-
spect to any loan for which the eligible home-
owner pays the amount overdue before the expi-
ration of the 45-day period under subparagraph
(B)(ii).’’.
Subtitle F—Other Programs
SEC. 181. COMMUNITY PARTNERSHIPS AGAINST CRIME.
(a) SHORT TITLE, PURPOSES, AND AUTHORITY TO
MAKE GRANTS.—Chapter 2 of subtitle C of title V of the
265
HR 3838 EH
Anti-Drug Abuse Act of 1988 (42 U.S.C. 11901 et seq.)
is amended by striking the chapter heading and all that
follows through section 5123 and inserting the following:
‘‘CHAPTER 2—COMMUNITY
PARTNERSHIPS AGAINST CRIME
‘‘SEC. 5121. SHORT TITLE.
‘‘This chapter may be cited as the ‘Community Part-
nerships Against Crime Act of 1994’.
‘‘SEC. 5122. PURPOSES.
‘‘The purposes of this chapter are to—
‘‘(1) improve the quality of life for the vast ma-
jority of law-abiding public housing residents by re-
ducing the levels of fear, violence, and crime in their
communities;
‘‘(2) substantially expand and enhance the Fed-
eral Government’s commitment to eliminating crime
in and around public housing and other federally as-
sisted low-income housing;
‘‘(3) broaden the scope of the Public and As-
sisted Housing Drug Elimination Act of 1990 to
apply to all types of crime, and not simply crime
that is drug-related;
‘‘(4) encourage the involvement of a broad
range of community-based groups and residents of
neighboring housing that is owned or assisted by the
266
HR 3838 EH
Secretary in the development and implementation of
anti-crime plans;
‘‘(5) reduce crime and disorder in and around
public housing through the expansion of community-
oriented policing activities and problem solving;
‘‘(6) provide training, information services, and
other technical assistance to program participants;
and
‘‘(7) establish a standardized assessment sys-
tem to evaluate need among public housing agencies
and to measure progress in reaching crime reduction
goals.
‘‘SEC. 5123. AUTHORITY TO MAKE GRANTS.
‘‘The Secretary of Housing and Urban Development
may make grants in accordance with the provisions of this
chapter for use in eliminating crime in and around public
housing and other federally assisted low-income housing
projects to (1) public housing agencies, and (2) private,
for-profit and nonprofit owners of federally assisted low-
income housing. In designing the program for grants
under this chapter, the Secretary shall consult with the
Attorney General.’’.
(b) ELIGIBLE ACTIVITIES.—
267
HR 3838 EH
(1) IN GENERAL.—Section 5124(a) of the Anti-
Drug Abuse Act of 1988 (42 U.S.C. 11903(a)) is
amended—
(A) in the matter preceding paragraph (1),
by inserting ‘‘and around’’ after ‘‘used in’’;
(B) in paragraph (3), by inserting before
the semicolon the following: ‘‘, including fenc-
ing, lighting, locking, and surveillance systems’’;
(C) in paragraph (4), by striking subpara-
graph (A) and inserting the following new sub-
paragraph:
‘‘(A) to investigate crime; and’’;
(D) in paragraph (6)—
(i) by striking ‘‘in and around public
or other federally assisted low-income
housing projects’’; and
(ii) by striking ‘‘and’’ after the semi-
colon; and
(E) by striking paragraph (7) and insert-
ing the following new paragraphs:
‘‘(7) providing funding to nonprofit public hous-
ing resident management corporations and resident
councils to develop security and crime prevention
programs involving site residents;
268
HR 3838 EH
‘‘(8) the employment or utilization of one or
more individuals, including law enforcement officers,
made available by contract or other cooperative ar-
rangement with State or local law enforcement agen-
cies, to engage in community- and problem-oriented
policing involving interaction with members of the
community in proactive crime control and prevention
activities;
‘‘(9) programs and activities for or involving
youth, including training, education, recreation and
sports, career planning, and entrepreneurship and
employment activities and after school and cultural
programs; and
‘‘(10) service programs for residents that ad-
dress the contributing factors of crime, including
programs for job training, education, drug and alco-
hol treatment, and other appropriate social serv-
ices.’’.
(2) OTHER
PHA-OWNED
HOUSING.—Section
5124(b) of the Anti-Drug Abuse Act of 1988 (42
U.S.C. 11903(b)) is amended—
(A) in the matter preceding paragraph
(1)—
(i) by striking ‘‘drug-related crime in’’
and inserting ‘‘crime in and around’’; and
269
HR 3838 EH
(ii) 
by 
striking 
‘‘paragraphs 
(1)
through (7)’’ and inserting ‘‘paragraphs
(1) through (10)’’; and
(B) in paragraph (2), by striking ‘‘drug-re-
lated’’ and inserting ‘‘criminal’’.
(c) GRANT PROCEDURES.—Section 5125 of the Anti-
Drug Abuse Act of 1988 (42 U.S.C. 11904) is amended
to read as follows:
‘‘SEC. 5125. GRANT PROCEDURES.
‘‘(a) PHA’S WITH 250 OR MORE UNITS.—
‘‘(1) GRANTS.—In each fiscal year, the Sec-
retary shall make a grant under this chapter from
any amounts available under section 5131(b)(1) for
the fiscal year to each of the following public hous-
ing agencies:
‘‘(A) 
NEW
APPLICANTS.—Each 
public
housing agency that owns or operates 250 or
more public housing dwelling units and has—
‘‘(i) submitted an application to the
Secretary for a grant for such fiscal year,
which includes a 5-year crime deterrence
and reduction plan under paragraph (2);
and
‘‘(ii) had such application and plan
approved by the Secretary.
270
HR 3838 EH
‘‘(B) RENEWALS.—Each public housing
agency that owns or operates 250 or more pub-
lic housing dwelling units and for which—
‘‘(i) a grant was made under this
chapter for the preceding Federal fiscal
year;
‘‘(ii) the term of the 5-year crime de-
terrence and reduction plan applicable to
such grant includes the fiscal year for
which the grant under this subsection is to
be made; and
‘‘(iii) the Secretary has determined,
pursuant to a performance review under
paragraph (4), that during the preceding
fiscal year the agency has substantially ful-
filled the requirements under subpara-
graphs (A) and (B) of paragraph (4).
‘‘(2) 5-YEAR CRIME DETERRENCE AND REDUC-
TION
PLAN.—Each application for a grant under
this subsection shall contain a 5-year crime deter-
rence and reduction plan. The plan shall describe,
for the public housing agency submitting the plan—
‘‘(A) the nature of the crime problem in
public housing owned or operated by the public
housing agency;
271
HR 3838 EH
‘‘(B) the building or buildings of the public
housing agency affected by the crime problem;
‘‘(C) the impact of the crime problem on
residents of such building or buildings; and
‘‘(D) the actions to be taken during the
term of the plan to reduce and deter such
crime, which shall include actions involving resi-
dents, law enforcement, and service providers.
The term of a plan shall be the period consisting of
5 consecutive fiscal years, which begins with the first
fiscal year for which funding under this chapter is
provided to carry out the plan.
‘‘(3) AMOUNT.—In any fiscal year, the amount
of the grant for a public housing agency receiving a
grant pursuant to paragraph (1) shall be the
amount that bears the same ratio to the total
amount made available under section 5131(b)(1) as
the total number of public dwelling units owned or
operated by such agency bears to the total number
of dwelling units owned or operated by all public
housing agencies that own or operate 250 or more
public housing dwelling units that are approved for
such fiscal year.
‘‘(4) PERFORMANCE REVIEW.—For each fiscal
year, the Secretary shall conduct a performance re-
272
HR 3838 EH
view of the activities carried out by each public
housing agency receiving a grant pursuant to this
subsection to determine whether the agency—
‘‘(A) has carried out such activities in a
timely manner and in accordance with its 5-
year crime deterrence and reduction plan; and
‘‘(B) has a continuing capacity to carry
out such plan in a timely manner.
‘‘(5) SUBMISSION OF APPLICATIONS.—The Sec-
retary shall establish such deadlines and require-
ments for submission of applications under this sub-
section as the Secretary determines appropriate for
timely and orderly allocation and disbursement of
amounts made available for grants under this sub-
section.
‘‘(6) REVIEW AND DETERMINATION.—The Sec-
retary shall review each application submitted under
this subsection upon submission and shall approve
the application unless the application and the 5-year
crime deterrence and reduction plan are inconsistent
with the purposes of this chapter or any require-
ments established by the Secretary or the informa-
tion in the application or plan is not substantially
complete. Upon approving or determining not to ap-
prove an application and plan submitted under this
273
HR 3838 EH
subsection, the Secretary shall notify the public
housing agency submitting the application and plan
of such approval or disapproval.
‘‘(7) DISAPPROVAL OF APPLICATIONS.—If the
Secretary notifies an agency that the application and
plan of the agency is not approved, not later than
the expiration of the 15-day period beginning upon
such notice of disapproval, the Secretary shall also
notify the agency, in writing, of the reasons for the
disapproval, the actions that the agency could take
to comply with the criteria for approval, and the
deadlines for such actions.
‘‘(8) FAILURE TO APPROVE OR DISAPPROVE.—
If the Secretary fails to notify an agency of approval
or disapproval of an application and plan submitted
under this subsection before the expiration of the
60-day period beginning upon the submission of the
plan or fails to provide notice under paragraph (7)
within the 15-day period under such paragraph to
an agency whose application has been disapproved,
the application and plan shall be considered to have
been approved for purposes of this section.
‘‘(b) PHA’S WITH FEWER THAN 250 UNITS AND
OWNERS OF FEDERALLY ASSISTED LOW-INCOME HOUS-
ING.—
274
HR 3838 EH
‘‘(1) APPLICATIONS AND PLANS.—To be eligible
to receive a grant under this chapter, a public hous-
ing agency that owns or operates fewer than 250
public housing dwelling units or an owner of feder-
ally assisted low-income housing shall submit an ap-
plication to the Secretary at such time, in such man-
ner, and accompanied by such additional information
as the Secretary may require. The application shall
include a plan for addressing the problem of crime
in and around the housing for which the application
is submitted, describing in detail activities to be con-
ducted during the fiscal year for which the grant is
requested.
‘‘(2) GRANTS FOR PHA’S WITH FEWER THAN
250 UNITS.—In each fiscal year the Secretary may,
to the extent amounts are available under section
5131(b)(2), make grants under this chapter to pub-
lic housing agencies that own or operate fewer than
250 public housing dwelling units and have submit-
ted applications under paragraph (1) that the Sec-
retary has approved pursuant to the criteria under
paragraph (4).
‘‘(3) GRANTS FOR FEDERALLY ASSISTED LOW-
INCOME HOUSING.—In each fiscal year the Secretary
may, to the extent amounts are available under sec-
275
HR 3838 EH
tion 5131(b)(3), make grants under this chapter to
owners of federally assisted low-income housing that
have submitted applications under paragraph (1)
that the Secretary has approved pursuant to the cri-
teria under paragraphs (4) and (5).
‘‘(4) CRITERIA
FOR
APPROVAL
OF
APPLICA-
TIONS.—The Secretary shall determine whether to
approve each application under this subsection on
the basis of—
‘‘(A) the extent of the crime problem in
and around the housing for which the applica-
tion is made;
‘‘(B) the quality of the plan to address the
crime problem in the housing for which the ap-
plication is made;
‘‘(C) the capability of the applicant to
carry out the plan; and
‘‘(D) the extent to which the tenants of the
housing, the local government, local community-
based nonprofit organizations, local tenant or-
ganizations representing residents of neighbor-
ing projects that are owned or assisted by the
Secretary, and the local community support and
participate in the design and implementation of
276
HR 3838 EH
the activities proposed to be funded under the
application.
In each fiscal year, the Secretary may give pref-
erence to applications under this subsection for
housing made by applicants who received a grant for
such housing for the preceding fiscal year under this
subsection or under the provisions of this chapter as
in effect immediately before the date of the enact-
ment of the Housing and Community Development
Act of 1994.
‘‘(5) ADDITIONAL
CRITERIA
FOR
FEDERALLY
ASSISTED
LOW-INCOME
HOUSING.—In addition to
the selection criteria under paragraph (4), the Sec-
retary may establish other criteria for evaluating ap-
plications submitted by owners of federally assisted
low-income housing, except that such additional cri-
teria shall be designed only to reflect—
‘‘(A) relevant differences between the fi-
nancial resources and other characteristics of
public housing authorities and owners of feder-
ally assisted low-income housing; or
‘‘(B) relevant differences between the prob-
lem of crime in public housing administered by
such public housing agencies and the problem
277
HR 3838 EH
of crime in federally assisted low-income hous-
ing.’’.
(d) DEFINITIONS.—Section 5126 of the Anti-Drug
Abuse Act of 1988 (42 U.S.C. 11905) is amended—
(1) by striking paragraphs (1) and (2);
(2) in paragraph (4), by striking ‘‘section’’ be-
fore ‘‘221(d)(4)’’;
(3) by redesignating paragraphs (3) and (4) (as
so amended) as paragraphs (1) and (2), respectively;
and
(4) by adding at the end the following new
paragraph:
‘‘(3) PUBLIC
HOUSING
AGENCY.—The term
‘public housing agency’ has the meaning given the
term in section 3(b) of the United States Housing
Act of 1937.’’.
(e) IMPLEMENTATION.—Section 5127 of the Anti-
Drug Abuse Act of 1988 (42 U.S.C. 11906) is amended
by striking ‘‘Cranston-Gonzalez National Affordable
Housing Act’’ and inserting ‘‘Housing and Community
Development Act of 1994’’.
(f) REPORTS.—Section 5128 of the Anti-Drug Abuse
Act of 1988 (42 U.S.C. 11907) is amended—
(1) by striking ‘‘The Secretary’’ and inserting
the following:
278
HR 3838 EH
‘‘(a) REPORTS BY GRANTEES.—The Secretary’’;
(2) by striking ‘‘drug-related crime in’’ and in-
serting ‘‘crime in and around’’;
(3) by striking ‘‘described in section 5125(a)’’
and inserting ‘‘for the grantee submitted under sub-
section (a) or (b) of section 5125, as applicable’’;
and
(4) by adding at the end the following new sub-
section:
‘‘(b) REPORTS BY SECRETARY.—For each fiscal year
in which the Secretary makes grants under this chapter,
the Secretary shall submit a report to the Congress de-
scribing the progress achieved in crime deterrence and re-
duction in the public housing and federally assisted low-
income housing for which such grant assistance has been
provided. The report shall include any recommendations
of the Secretary for changes in the program of assistance
under this chapter.’’.
(g) TECHNICAL ASSISTANCE AND FUNDING.—Chap-
ter 2 of subtitle C of title V of the Anti-Drug Abuse Act
of 1988 is amended by striking section 5130 (42 U.S.C.
11909) and inserting the following new sections:
‘‘SEC. 5130. TECHNICAL ASSISTANCE.
‘‘(a) IN GENERAL.—To the extent amounts are made
available under section 5131(c), the Secretary may provide
279
HR 3838 EH
training, information services, and other technical assist-
ance to public housing agencies and other entities with re-
spect to their participation in the program under this
chapter, which shall include activities under subsection (b)
of this section. Such technical assistance may be provided
directly by the Secretary or indirectly pursuant to grants,
contracts, or cooperative agreements.
‘‘(b) USE.—The Secretary may use amounts available
for use under this section—
‘‘(1) to establish and operate the clearinghouse
on drug abuse in public housing and the regional
training program on drug abuse in public housing
under sections 5143 and 5144 of this Act;
‘‘(2) to obtain assistance in establishing and
managing assessment and evaluation criteria and
specifications and to obtain the opinions of experts
in relevant fields; and
‘‘(3) upon the request of a public housing agen-
cy, to assist the agency in evaluating the extent of
the crime problem in any public housing adminis-
tered by the agency and preparing a 5-year crime
deterrence and reduction plan under section 5125(a)
or an application and plan under section 5125(b)(1),
which assistance may include providing personnel
280
HR 3838 EH
and funding to identify and secure local resources to
assist in deterring and reducing crime.
‘‘(c) PRIORITY.—In selecting entities to receive tech-
nical assistance under this section, the Secretary shall give
priority to public housing agencies that have submitted ap-
plications and plans under section 5125 that the Secretary
has determined do not meet the requirements for approval
for assistance under this chapter.
‘‘SEC. 5131. FUNDING.
‘‘(a) AUTHORIZATION OF APPROPRIATIONS.—There
is authorized to be appropriated to carry out this chapter
$300,000,000 for fiscal year 1995 and $325,000,000 for
fiscal year 1996. Any amount appropriated under this sub-
section shall remain available until expended.
‘‘(b) ALLOCATION.—Of any amounts available, or
that the Secretary is authorized to use, to carry out this
chapter in any fiscal year that remain after reserving
amounts for use under subsection (c)—
‘‘(1) 85 percent shall be available only for as-
sistance pursuant to section 5125(a) to public hous-
ing agencies that own or operate 250 or more public
housing dwelling units;
‘‘(2) 10 percent shall be available only for as-
sistance pursuant to section 5125(b)(2) to public
281
HR 3838 EH
housing agencies that own or operate fewer than 250
public housing dwelling units; and
‘‘(3) 5 percent shall be available only for assist-
ance to federally assisted low-income housing pursu-
ant to section 5125(b)(3).
Any other provision of law enacted before or after the date
of the enactment of the Housing and Community Develop-
ment Act of 1994 that limits the authority of the Sec-
retary to use amounts to carry out this chapter upon the
apportionment of such amounts in a manner not provided
for in this subsection shall not be effective.
‘‘(c) SET-ASIDE FOR TECHNICAL ASSISTANCE.—Of
any amount made available in fiscal years 1994 and 1995
to carry out this chapter, the Secretary shall use not more
than $10,000,000 in each such fiscal year to provide tech-
nical assistance under section 5130.’’.
(h) CONFORMING AMENDMENTS.—The table of con-
tents in section 5001 of the Anti-Drug Abuse Act of 1988
(Public Law 100–690; 102 Stat. 4295) is amended—
(1) by striking the item relating to the heading
for chapter 2 of subtitle C and inserting the follow-
ing:
‘‘CHAPTER 2—COMMUNITY PARTNERSHIPS AGAINST CRIME’’;
(2) by striking the item relating to section 5122
and inserting the following new item:
‘‘Sec. 5122. Purposes.’’;
282
HR 3838 EH
(3) by striking the item relating to section 5125
and inserting the following new item:
‘‘Sec. 5125. Grant procedures.’’;
and
(4) by striking the item relating to section 5130
and inserting the following new items:
‘‘Sec. 5130. Technical Assistance.
‘‘Sec. 5131. Funding.’’.
SEC. 182. LOW-INCOME HOUSING PRESERVATION.
(a) ASSISTANCE AND INCENTIVES.—Section 234 of
the Housing and Community Development Act of 1987
(12 U.S.C. 4124) is amended to read as follows:
‘‘SEC. 234. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) IN GENERAL.—There are authorized to be ap-
propriated for assistance and incentives authorized under
this subtitle $358,000,000 for fiscal year 1995 and
$450,000,000 for fiscal year 1996.
‘‘(b) GRANTS.—Subject to approval in appropriation
Acts, not more than $40,000,000 of the amounts made
available under subsection (a) for fiscal year 1995, and
not more than $40,000,000 of the amounts made available
under subsection (a) for fiscal year 1996, shall be available
for grants under section 221(d)(2).’’.
(b) TECHNICAL ASSISTANCE AND CAPACITY BUILD-
ING.—The first sentence of section 257 of the Housing
and Community Development Act of 1987 (12 U.S.C.
283
HR 3838 EH
4147) is amended to read as follows: ‘‘The Secretary shall
use not more than $20,000,000 of the amounts made
available under section 234(a) for fiscal year 1995, and
not more than $20,000,000 of the amounts made available
under section 234(a) for fiscal year 1996, to carry out
this subtitle.’’.
(c) REPEAL OF RENT LIMITATIONS.—The National
Housing Act is amended—
(1) in section 221 (12 U.S.C. 1715l), by strik-
ing subsection (l).
(2) in section 236(f) (12 U.S.C. 1715z–1(f)),
by striking paragraph (6).
(d) EQUITY LOANS.—Section 241(f)(2)(B)(ii) of the
National Housing Act (12 U.S.C. 1715z–6(f)(2)(B)(ii)) is
amended by inserting ‘‘(excluding the amount of rehabili-
tation costs required by the plan of action and related
charges)’’ after ‘‘loan amount’’.
(e) TREATMENT AS ELIGIBLE HOUSING.—Notwith-
standing section 229(1)(B) of the Housing and Commu-
nity Development Act of 1987, the Northwest Towers
project, located at 1170 West Erie, in Chicago, Illinois,
shall be considered eligible low-income housing for pur-
poses of title II of such Act, except that—
(1) the Secretary of Housing and Urban Devel-
opment may approve a plan of action under such
284
HR 3838 EH
title for the project only if the plan of action (A)
provides for transfer of the ownership of the project
(i) in accordance with section 226 of such title to a
resident council of the project, or (ii) in accordance
with section 220 of such title to a community-based
nonprofit organization approved by the residents of
the project, and (B) otherwise complies with the re-
quirements of such title; and
(2) the Secretary of Housing and Urban Devel-
opment shall reduce the aggregate amount of any in-
centives otherwise to be provided under such title for
the project by the amount of any outstanding in-
debtedness on the loan for the project under section
201 of the Housing and Community Development
Amendments of 1978.
SEC. 183. FLEXIBLE SUBSIDY PROGRAM.
(a) AUTHORIZATION OF APPROPRIATIONS.—Section
201(j)(5) of the Housing and Community Development
Amendments of 1978 (12 U.S.C. 1715z–1a(j)(5)) is
amended to read as follows:
‘‘(5) There are authorized to be appropriated for as-
sistance under the flexible subsidy fund not to exceed
$50,000,000 for fiscal year 1995 and $55,000,000 for fis-
cal year 1996.’’.
285
HR 3838 EH
(b) ALLOCATION.—Section 201(n)(2)(B)(ii) of the
Housing and Community Development Amendments of
1978 (12 U.S.C. 1715z–1a(n)(2)(B)(ii)) is amended by in-
serting ‘‘and federally assisted’’ before ‘‘mortgages’’.
(c) USE
OF SECTION 236 RENTAL ASSISTANCE
FUND AMOUNTS.—Section 236(f)(3) of the National
Housing Act (12 U.S.C. 1715z–1(f)(3)) is amended by
striking ‘‘September 30, 1994’’ and inserting ‘‘September
30, 1996’’.
SEC. 184. YOUTHBUILD PROGRAM.
(a) AUTHORIZATION OF APPROPRIATIONS.—Section
402 of the Cranston-Gonzalez National Affordable Hous-
ing Act (42 U.S.C. 12870), as amended by the preceding
provisions of this title, is amended by inserting after sub-
section (a) the following new subsection:
‘‘(b) YOUTHBUILD PROGRAM.—There are authorized
to be appropriated for activities under subtitle D
$50,000,000 for fiscal year 1995 and $50,000,000 for fis-
cal year 1996. Any amounts appropriated pursuant to this
subsection shall remain available until expended.’’.
(b) ELIGIBLE ACTIVITIES.—Section 454(b) of the
Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 12899c(b)) is amended—
(1) in paragraph (2), by striking ‘‘Acquisition’’
and all that follows through ‘‘facilities’’ and insert-
286
HR 3838 EH
ing ‘‘Acquisition, rehabilitation, or acquisition and
rehabilitation of housing and related facilities, or
construction of new housing and related facilities
(including community facilities designed to serve the
needs of low- and very low-income families),’’;
(2) by striking paragraph (6); and
(3) by redesignating paragraphs (7) and (8) as
paragraphs (6) and (7), respectively.
(c) PRIORITY
FOR APPLICANTS SUPPLEMENTING
GRANT AMOUNTS.—Section 454(e) of the Cranston-Gon-
zalez National Affordable Housing Act (42 U.S.C.
12899c(e)) is amended to read as follows:
‘‘(e) PRIORITY FOR APPLICANTS WHO OBTAIN PRO-
GRAM FUNDS FROM OTHER SOURCES.—The Secretary
shall give priority in the award of grants under this section
to applicants to the extent that they have obtained
amounts or in-kind contributions, or commitments to pro-
vide such amounts or contributions, from Federal, State,
local, or private sources other than assistance under this
subtitle in an amount constituting not less than 10 percent
of the total budget of the applicant for the Youthbuild pro-
gram, that will be used for carrying out any aspect of the
Youthbuild program of the applicant.’’.
(d) RESIDENTIAL
RENTAL
HOUSING
REQUIRE-
MENTS.—Section 455(a) of the Cranston-Gonzalez Na-
287
HR 3838 EH
tional Affordable Housing Act (42 U.S.C. 12899d(a)) is
amended—
(1) in the matter preceding paragraph (1), by
inserting after ‘‘subtitle’’ the following: ‘‘for costs
such as construction, rehabilitation, and acquisi-
tion’’; and
(2) in paragraph (1), by striking subparagraph
(A) and inserting the following new subparagraph:
‘‘(A) at least 80 percent of the units shall
be occupied, or available for occupancy, by indi-
viduals and families with incomes that do not
exceed 50 percent of the area median income,
adjusted for family size; and’’.
(e) RESERVATION OF FUNDS.—Section 458(d) of the
Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 12899g(d)) is amended by inserting before the pe-
riod at the end the following: ‘‘and not more than 1 per-
cent of such available amounts to implement, pursuant to
subsection (a) of this section, a management information
system to gather and analyze information necessary to as-
sess the quality and effects of the program under this sub-
title and to monitor Youthbuild programs funded under
this subtitle’’.
(f) PROGRAM NAME.—The heading for subtitle D of
title IV of the Cranston-Gonzalez National Affordable