402
prior to the effective date of this Act, but were not exe-
cuted for lack of available funds, with such reimbursement
available only for documented costs directly applicable to
the preparation of the plan of action as determined by the
Secretary, and shall be made available on terms and condi-
tions to be established by the Secretary: Provided further,
That, notwithstanding any other provision of law, effective
October 1, 1996, the Secretary shall suspend further proc-
essing of preservation applications which do not have ap-
proved plans of action.
Of the total amount provided under this head,
$780,190,000 shall be for capital advances, including
amendments to capital advance contracts, for housing for
the elderly, as authorized by section 202 of the Housing
Act of 1959, as amended, and for project rental assist-
ance, and amendments to contracts for project rental as-
sistance, for supportive housing for the elderly under sec-
tion
202(c)(2)
of
the
Housing
Act
of
1959;
and
$233,168,000 shall be for capital advances, including
amendments to capital advance contracts, for supportive
housing for persons with disabilities, as authorized by sec-
tion 811 of the Cranston-Gonzalez National Affordable
Housing Act; and for project rental assistance, and
amendments to contracts for project rental assistance, for
supportive housing for persons with disabilities as author-
403
ized by section 811 of the Cranston-Gonzalez National Af-
fordable Housing Act: Provided, That the Secretary may
designate up to 25 percent of the amounts earmarked
under this paragraph for section 811 of the Cranston-Gon-
zalez National Affordable Housing Act for tenant-based
assistance, as authorized under that section, which assist-
ance is five-years in duration: Provided further, That the
Secretary may waive any provision of section 202 of the
Housing Act of 1959 and section 811 of the National Af-
fordable Housing Act (including the provisions governing
the terms and conditions of project rental assistance) that
the Secretary determines is not necessary to achieve the
objectives of these programs, or that otherwise impedes
the ability to develop, operate or administer projects as-
sisted under these programs, and may make provision for
alternative conditions or terms where appropriate.
PUBLIC HOUSING DEMOLITION, SITE REVITALIZATION,
AND REPLACEMENT HOUSING GRANTS
For grants to public housing agencies for the pur-
poses of enabling the demolition of obsolete public housing
projects or portions thereof, the revitalization (where ap-
propriate) of sites (including remaining public housing
units) on which such projects are located, replacement
housing which will avoid or lessen concentrations of very
low-income families, and tenant-based assistance in ac-
cordance with section 8 of the United States Housing Act
404
of 1937 for the purpose of providing replacement housing
and assisting tenants to be displaced by the demolition,
$280,000,000, to remain available until expended: Pro-
vided, That the Secretary of Housing and Urban Develop-
ment shall award such funds to public housing agencies
by a competition which includes among other relevant cri-
teria the local and national impact of the proposed demoli-
tion and revitalization activities and the extent to which
the public housing agency could undertake such activities
without the additional assistance to be provided here-
under: Provided further, That eligible expenditures here-
under shall be those expenditures eligible under section 8
and section 14 of the United States Housing Act of 1937
(42 U.S.C. 1437f and l): Provided further, That the Sec-
retary may impose such conditions and requirements as
the Secretary deems appropriate to effectuate the pur-
poses of this paragraph: Provided further, That the Sec-
retary may require an agency selected to receive funding
to make arrangements satisfactory to the Secretary for
use of an entity other than the agency to carry out this
program where the Secretary determines that such action
will help to effectuate the purpose of this paragraph: Pro-
vided further, That in the event an agency selected to re-
ceive funding does not proceed expeditiously as determined
by the Secretary, the Secretary shall withdraw any fund-
405
ing made available pursuant to this paragraph that has
not been obligated by the agency and distribute such funds
to one or more other eligible agencies, or to other entities
capable of proceeding expeditiously in the same locality
with the original program: Provided further, That of the
foregoing $280,000,000, the Secretary may use up to .67
per centum for technical assistance, to be provided directly
or indirectly by grants, contracts or cooperative agree-
ments, including training and cost of necessary travel for
participants in such training, by or to officials and employ-
ees of the Department and of public housing agencies and
to residents: Provided further, That any replacement hous-
ing provided with assistance under this head shall be sub-
ject to section 18(f) of the United States Housing Act of
1937, as amended by section 201(b)(2) of this Act.
FLEXIBLE SUBSIDY FUND
(INCLUDING TRANSFER OF FUNDS)
From the fund established by section 236(g) of the
National Housing Act, as amended, all uncommitted bal-
ances of excess rental charges as of September 30, 1995,
and any collections during fiscal year 1996 shall be trans-
ferred, as authorized under such section, to the fund au-
thorized under section 201(j) of the Housing and Commu-
nity Development Amendments of 1978, as amended.
406
RENTAL HOUSING ASSISTANCE
(RESCISSION)
The limitation otherwise applicable to the maximum
payments that may be required in any fiscal year by all
contracts entered into under section 236 of the National
Housing Act (12 U.S.C. 1715z–1) is reduced in fiscal year
1996 by not more than $2,000,000 in uncommitted bal-
ances of authorizations provided for this purpose in appro-
priations Acts: Provided, That up to $163,000,000 of re-
captured section 236 budget authority resulting from the
prepayment of mortgages subsidized under section 236 of
the National Housing Act (12 U.S.C. 1715z–1) shall be
rescinded in fiscal year 1996.
PAYMENTS FOR OPERATION OF LOW-INCOME HOUSING
PROJECTS
For payments to public housing agencies and Indian
housing authorities for operating subsidies for low-income
housing projects as authorized by section 9 of the United
States Housing Act of 1937, as amended (42 U.S.C.
1437g), $2,800,000,000.
DRUG ELIMINATION GRANTS FOR LOW-INCOME HOUSING
For grants to public and Indian housing agencies for
use in eliminating crime in public housing projects author-
ized by 42 U.S.C. 11901–11908, for grants for federally
assisted low-income housing authorized by 42 U.S.C.
11909, and for drug information clearinghouse services
407
authorized by 42 U.S.C. 11921–11925, $290,000,000, to
remain available until expended, of which $10,000,000
shall be for grants, technical assistance, contracts and
other assistance training, program assessment, and execu-
tion for or on behalf of public housing agencies and resi-
dent organizations (including the cost of necessary travel
for participants in such training) and of which $2,500,000
shall be used in connection with efforts to combat violent
crime in public and assisted housing under the Operation
Safe Home program administered by the Inspector Gen-
eral of the Department of Housing and Urban Develop-
ment: Provided, That the term ‘‘drug-related crime’’, as
defined in 42 U.S.C. 11905(2), shall also include other
types of crime as determined by the Secretary.
HOME INVESTMENT PARTNERSHIPS PROGRAM
For the HOME investment partnerships program, as
authorized under title II of the Cranston-Gonzalez Na-
tional Affordable Housing Act (Public Law 101–625), as
amended, $1,400,000,000, to remain available until ex-
pended.
INDIAN HOUSING LOAN GUARANTEE FUND PROGRAM
ACCOUNT
For the cost of guaranteed loans, $3,000,000, as au-
thorized by section 184 of the Housing and Community
Development Act of 1992 (106 Stat. 3739): Provided,
That such costs, including the costs of modifying such
408
loans, shall be as defined in section 502 of the Congres-
sional Budget Act of 1974, as amended: Provided further,
That these funds are available to subsidize total loan prin-
cipal, any part of which is to be guaranteed, not to exceed
$36,900,000.
HOMELESS ASSISTANCE
HOMELESS ASSISTANCE GRANTS
For the emergency shelter grants program (as au-
thorized under subtitle B of title IV of the Stewart B.
McKinney Homeless Assistance Act (Public Law 100–77),
as amended); the supportive housing program (as author-
ized under subtitle C of title IV of such Act); the section
8 moderate rehabilitation single room occupancy program
(as authorized under the United States Housing Act of
1937, as amended) to assist homeless individuals pursuant
to section 441 of the Stewart B. McKinney Homeless As-
sistance Act; and the shelter plus care program (as au-
thorized under subtitle F of title IV of such Act),
$823,000,000, to remain available until expended.
COMMUNITY PLANNING AND DEVELOPMENT
COMMUNITY DEVELOPMENT GRANTS
(INCLUDING TRANSFER OF FUNDS)
For grants to States and units of general local gov-
ernment and for related expenses, not otherwise provided
for, necessary for carrying out a community development
grants program as authorized by title I of the Housing
409
and Community Development Act of 1974, as amended
(42 U.S.C. 5301), $4,600,000,000, to remain available
until September 30, 1998: Provided, That $50,000,000
shall be available for grants to Indian tribes pursuant to
section 106(a)(1) of the Housing and Community Devel-
opment Act of 1974, as amended (42 U.S.C. 5301),
$2,000,000 shall be available as a grant to the Housing
Assistance Council, $1,000,000 shall be available as a
grant to the National American Indian Housing Council,
and $27,000,000 shall be available for ‘‘special purpose
grants’’ pursuant to section 107 of such Act: Provided fur-
ther, That not to exceed 20 per centum of any grant made
with funds appropriated herein (other than a grant made
available under the preceding proviso to the Housing As-
sistance Council or the National American Indian Housing
Council, or a grant using funds under section 107(b)(3)
of the Housing and Community Development Act of 1974)
shall be expended for ‘‘Planning and Management Devel-
opment’’ and ‘‘Administration’’ as defined in regulations
promulgated by the Department of Housing and Urban
Development: Provided further, That section 105(a)(25) of
such Act, as added by section 907(b)(1) of the Cranston-
Gonzalez National Affordable Housing Act, shall continue
to be effective after September 30, 1995, notwithstanding
section 907(b)(2) of such Act: Provided further, That sec-
410
tion 916 of the Cranston-Gonzalez National Affordable
Housing Act shall apply with respect to fiscal year 1996,
notwithstanding section 916(f) of that Act.
Of the amount provided under this heading, the Sec-
retary of Housing and Urban Development may use up
to $53,000,000 for grants to public housing agencies (in-
cluding Indian housing authorities), nonprofit corpora-
tions, and other appropriate entities for a supportive serv-
ices program to assist residents of public and assisted
housing, former residents of such housing receiving ten-
ant-based assistance under section 8 of such Act (42
U.S.C. 1437f), and other low-income families and individ-
uals to become self-sufficient: Provided, That the program
shall provide supportive services, principally for the benefit
of public housing residents, to the elderly and the disabled,
and to families with children where the head of the house-
hold would benefit from the receipt of supportive services
and is working, seeking work, or is preparing for work
by participating in job training or educational programs:
Provided further, That the supportive services shall include
congregate services for the elderly and disabled, service co-
ordinators, and coordinated educational, training, and
other supportive services, including academic skills train-
ing, job search assistance, assistance related to retaining
employment, vocational and entrepreneurship development
411
and support programs, transportation, and child care:
Provided further, That the Secretary shall require appli-
cants to demonstrate firm commitments of funding or
services from other sources: Provided further, That the
Secretary shall select public and Indian housing agencies
to receive assistance under this head on a competitive
basis, taking into account the quality of the proposed pro-
gram (including any innovative approaches), the extent of
the proposed coordination of supportive services, the ex-
tent of commitments of funding or services from other
sources, the extent to which the proposed program in-
cludes reasonably achievable, quantifiable goals for meas-
uring performance under the program over a three-year
period, the extent of success an agency has had in carrying
out other comparable initiatives, and other appropriate
criteria established by the Secretary.
Of the amount made available under this heading,
notwithstanding any other provision of law, $12,000,000
shall be available for contracts, grants, and other assist-
ance, other than loans, not otherwise provided for, for pro-
viding counseling and advice to tenants and homeowners
both current and prospective, with respect to property
maintenance, financial management, and such other mat-
ters as may be appropriate to assist them in improving
their housing conditions and meeting the responsibilities
412
of tenancy or homeownership, including provisions for
training and for support of voluntary agencies and services
as authorized by section 106 of the Housing and Urban
Development Act of 1968, as amended, notwithstanding
section 106(c)(9) and section 106(d)(13) of such Act.
Of the amount made available under this heading,
notwithstanding any other provision of law, $15,000,000
shall be available for the tenant opportunity program.
Of the amount made available under this heading,
notwithstanding any other provision of law, $20,000,000
shall be available for youthbuild program activities author-
ized by subtitle D of title IV of the Cranston-Gonzalez
National Affordable Housing Act, as amended, and such
activities shall be an eligible activity with respect to any
funds made available under this heading.
For the cost of guaranteed loans, $31,750,000, as au-
thorized by section 108 of the Housing and Community
Development Act of 1974: Provided, That such costs, in-
cluding the cost of modifying such loans, shall be as de-
fined in section 502 of the Congressional Budget Act of
1974, as amended: Provided further, That these funds are
available to subsidize total loan principal, any part of
which is to be guaranteed, not to exceed $1,500,000,000:
Provided further, That the Secretary of Housing and
Urban Development may make guarantees not to exceed
413
the immediately foregoing amount notwithstanding the ag-
gregate limitation on guarantees set forth in section
108(k) of the Housing and Community Development Act
of 1974. In addition, for administrative expenses to carry
out the guaranteed loan program, $675,000 which shall
be transferred to and merged with the appropriation for
departmental salaries and expenses.
The amount made available for fiscal year 1995 for
a special purpose grant for the renovation of the central
terminal in Buffalo, New York, shall be made available
for the central terminal and for other public facilities in
Buffalo, New York.
POLICY DEVELOPMENT AND RESEARCH
RESEARCH AND TECHNOLOGY
For contracts, grants, and necessary expenses of pro-
grams of research and studies relating to housing and
urban problems, not otherwise provided for, as authorized
by title V of the Housing and Urban Development Act
of 1970, as amended (12 U.S.C. 1701z–1 et seq.), includ-
ing carrying out the functions of the Secretary under sec-
tion 1(a)(1)(i) of Reorganization Plan No. 2 of 1968,
$34,000,000, to remain available until September 30,
1997.
414
FAIR HOUSING AND EQUAL OPPORTUNITY
FAIR HOUSING ACTIVITIES
For contracts, grants, and other assistance, not oth-
erwise provided for, as authorized by title VIII of the Civil
Rights Act of 1968, as amended by the Fair Housing
Amendments Act of 1988, and for contracts with qualified
fair housing enforcement organizations, as authorized by
section 561 of the Housing and Community Development
Act of 1987, as amended by the Housing and Community
Development Act of 1992, $30,000,000, to remain avail-
able until September 30, 1997.
MANAGEMENT AND ADMINISTRATION
SALARIES AND EXPENSES
(INCLUDING TRANSFERS OF FUNDS)
For necessary administrative and nonadministrative
expenses of the Department of Housing and Urban Devel-
opment, not otherwise provided for, including not to ex-
ceed $7,000 for official reception and representation ex-
penses, $962,558,000, of which $532,782,000 shall be
provided from the various funds of the Federal Housing
Administration, and $9,101,000 shall be provided from
funds of the Government National Mortgage Association,
and $675,000 shall be provided from the Community De-
velopment Grants Program account.
415
OFFICE OF INSPECTOR GENERAL
(INCLUDING TRANSFER OF FUNDS)
For necessary expenses of the Office of Inspector
General in carrying out the provisions of the Inspector
General Act of 1978, as amended, $47,850,000, of which
$11,283,000 shall be transferred from the various funds
of the Federal Housing Administration.
OFFICE OF FEDERAL HOUSING ENTERPRISE OVERSIGHT
SALARIES AND EXPENSES
(INCLUDING TRANSFER OF FUNDS)
For carrying out the Federal Housing Enterprise Fi-
nancial Safety and Soundness Act of 1992, $14,895,000,
to remain available until expended, from the Federal
Housing Enterprise Oversight Fund: Provided, That such
amounts shall be collected by the Director as authorized
by section 1316 (a) and (b) of such Act, and deposited
in the Fund under section 1316(f) of such Act.
FEDERAL HOUSING ADMINISTRATION
FHA—MUTUAL MORTGAGE INSURANCE PROGRAM
ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)
During fiscal year 1996, commitments to guarantee
loans to carry out the purposes of section 203(b) of the
National Housing Act, as amended, shall not exceed a loan
principal of $110,000,000,000: Provided, That during fis-
cal year 1996, the Secretary shall sell assigned mortgage
416
notes having an unpaid principal balance of up to
$4,000,000,000, which notes were originally insured under
section 203(b) of the National Housing Act: Provided fur-
ther, That the Secretary may use any negative subsidy
amounts from the sale of such assigned mortgage notes
during fiscal year 1996 for the disposition of properties
or notes under this heading.
During fiscal year 1996, obligations to make direct
loans to carry out the purposes of section 204(g) of the
National Housing Act, as amended, shall not exceed
$200,000,000: Provided, That the foregoing amount shall
be for loans to nonprofit and governmental entities in con-
nection with sales of single family real properties owned
by the Secretary and formerly insured under section 203
of such Act.
For administrative expenses necessary to carry out
the guaranteed and direct loan program, $341,595,000,
to be derived from the FHA-mutual mortgage insurance
guaranteed loans receipt account, of which not to exceed
$334,483,000 shall be transferred to the appropriation for
departmental salaries and expenses; and of which not to
exceed $7,112,000 shall be transferred to the appropria-
tion for the Office of Inspector General.
417
FHA—GENERAL AND SPECIAL RISK PROGRAM ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)
For the cost of guaranteed loans, as authorized by
sections 238 and 519 of the National Housing Act (12
U.S.C. 1715z–3 and 1735c), including the cost of modify-
ing such loans, $85,000,000, to remain available until ex-
pended: Provided, That such costs shall be as defined in
section 502 of the Congressional Budget Act of 1974, as
amended: Provided further, That these funds are available
to subsidize total loan principal any part of which is to
be guaranteed of not to exceed $17,400,000,000: Provided
further, That during fiscal year 1996, the Secretary shall
sell assigned notes having an unpaid principal balance of
up to $4,000,000,000, which notes were originally obliga-
tions of the funds established under sections 238 and 519
of the National Housing Act: Provided further, That the
Secretary may use any negative subsidy amounts from the
sale of such assigned mortgage notes during fiscal year
1996, in addition to amounts otherwise provided, for the
disposition of properties or notes under this heading (in-
cluding the credit subsidy for the guarantee of loans or
the reduction of positive credit subsidy amounts that
would otherwise be required for the sale of such properties
or notes), and for any other purpose under this heading:
Provided further, That any amounts made available in any
418
prior appropriation Act for the cost (as such term is de-
fined in section 502 of the Congressional Budget Act of
1974) of guaranteed loans that are obligations of the
funds established under section 238 or 519 of the National
Housing Act that have not been obligated or that are
deobligated shall be available to the Secretary of Housing
and Urban Development in connection with the making
of such guarantees and shall remain available until ex-
pended, notwithstanding the expiration of any period of
availability otherwise applicable to such amounts.
Gross obligations for the principal amount of direct
loans, as authorized by sections 204(g), 207(l), 238(a),
and 519(a) of the National Housing Act, shall not exceed
$120,000,000; of which not to exceed $100,000,000 shall
be for bridge financing in connection with the sale of mul-
tifamily real properties owned by the Secretary and for-
merly insured under such Act; and of which not to exceed
$20,000,000 shall be for loans to nonprofit and govern-
mental entities in connection with the sale of single-family
real properties owned by the Secretary and formerly in-
sured under such Act.
In addition, for administrative expenses necessary to
carry out the guaranteed and direct loan programs,
$202,470,000, of which $198,299,000 shall be transferred
to the appropriation for departmental salaries and ex-
419
penses; and of which $4,171,000 shall be transferred to
the appropriation for the Office of Inspector General.
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
GUARANTEES OF MORTGAGE-BACKED SECURITIES LOAN
GUARANTEE PROGRAM ACCOUNT
(INCLUDES TRANSFER OF FUNDS)
During fiscal year 1996, new commitments to issue
guarantees to carry out the purposes of section 306 of the
National Housing Act, as amended (12 U.S.C. 1721(g)),
shall not exceed $110,000,000,000.
For administrative expenses necessary to carry out
the
guaranteed
mortgage-backed
securities
program,
$9,101,000, to be derived from the GNMA—guarantees
of mortgage-backed securities guaranteed loan receipt ac-
count, of which not to exceed $9,101,000 shall be trans-
ferred to the appropriation for departmental salaries and
expenses.
ADMINISTRATIVE PROVISIONS
(INCLUDING TRANSFER OF FUNDS)
EXTEND ADMINISTRATIVE PROVISIONS FROM THE
RESCISSION ACT
SEC. 201. (a) PUBLIC AND INDIAN HOUSING MOD-
ERNIZATION.—
(1) EXPANSION
OF
USE
OF
MODERNIZATION
FUNDING.—Subsection 14(q) of the United States
Housing Act of 1937 is amended to read as follows:
420
‘‘(q)(1) In addition to the purposes enumerated in
subsections (a) and (b), a public housing agency may use
modernization assistance provided under section 14, and
development assistance provided under section 5(a) that
was not allocated, as determined by the Secretary, for pri-
ority replacement housing, for any eligible activity author-
ized by this section, by section 5, or by applicable Appro-
priations Acts for a public housing agency, including the
demolition, rehabilitation, revitalization, and replacement
of existing units and projects and, for up to 10 percent
of its allocation of such funds in any fiscal year, for any
operating subsidy purpose authorized in section 9. Except
for assistance used for operating subsidy purposes under
the preceding sentence, assistance provided to a public
housing agency under this section shall principally be used
for the physical improvement or replacement of public
housing and for associated management improvements,
except as otherwise approved by the Secretary. Public
housing units assisted under this paragraph shall be eligi-
ble for operating subsidies, unless the Secretary deter-
mines that such units or projects have not received suffi-
cient assistance under this Act or do not meet other re-
quirements of this Act.
‘‘(2) A public housing agency may provide assistance
to developments that include units for other than very low-
421
income families (‘mixed income developments’), in the
form of a grant, loan, operating assistance, or other form
of investment which may be made to—
‘‘(A) a partnership, a limited liability company,
or other legal entity in which the public housing
agency or its affiliate is a general partner, managing
member, or otherwise participates in the activities of
such entity; or
‘‘(B) any entity which grants to the public
housing agency the option to purchase the develop-
ment within 20 years after initial occupancy in ac-
cordance with section 42(i)(7) of the Internal Reve-
nue Code of 1986, as amended. Units shall be made
available in such developments for periods of not less
than 20 years, by master contract or by individual
lease, for occupancy by low-income families referred
from time to time by the public housing agency. The
number of such units shall be:
‘‘(i) in the same proportion to the total
number of units in such development that the
total financial commitment provided by the pub-
lic housing agency bears to the value of the
total financial commitment in the development,
or
422
‘‘(ii) not be less than the number of units
that could have been developed under the con-
ventional public housing program with the as-
sistance involved, or
‘‘(iii) as may otherwise be approved by the
Secretary.
‘‘(3) A mixed income development may elect to have
all units subject only to the applicable local real estate
taxes, notwithstanding that the low-income units assisted
by public housing funds would otherwise be subject to sec-
tion 6(d) of the Housing Act of 1937.
‘‘(4) If an entity that owns or operates a mixed-in-
come project under this subsection enters into a contract
with a public housing agency, the terms of which obligate
the entity to operate and maintain a specified number of
units in the project as public housing units in accordance
with the requirements of this Act for the period required
by law, such contractual terms may provide that, if, as
a result of a reduction in appropriations under section 9,
or any other change in applicable law, the public housing
agency is unable to fulfill its contractual obligations with
respect to those public housing units, that entity may devi-
ate, under procedures and requirements developed through
regulations by the Secretary, from otherwise applicable re-
strictions under this Act regarding rents, income eligi-
423
bility, and other areas of public housing management with
respect to a portion or all of those public housing units,
to the extent necessary to preserve the viability of those
units while maintaining the low-income character of the
units, to the maximum extent practicable.’’.
(2)
APPLICABILITY.—Section
14(q)
of
the
United States Housing Act of 1937, as amended by
subsection (a) of this section, shall be effective only
with respect to assistance provided from funds made
available for fiscal year 1996 or any preceding fiscal
year.
(3) APPLICABILITY
TO
IHAS.—In accordance
with section 201(b)(2) of the United States Housing
Act of 1937, the amendment made by this sub-
section shall apply to public housing developed or
operated pursuant to a contract between the Sec-
retary of Housing and Urban Development and an
Indian housing authority.
(b) ONE-FOR-ONE REPLACEMENT OF PUBLIC AND
INDIAN HOUSING.—
(1) EXTENDED AUTHORITY.—Section 1002(d)
of Public Law 104–19 is amended to read as follows:
‘‘(d) Subsections (a), (b), and (c) shall be effective
for applications for the demolition, disposition, or conver-
sion to homeownership of public housing approved by the
424
Secretary, and other consolidation and relocation activities
of public housing agencies undertaken, on, before, or after
September 30, 1995 and before September 30, 1996.’’.
(2) Section 18(f) of the United States Housing
Act of 1937 is amended by adding at the end the
following new sentence:
‘‘No one may rely on the preceding sentence as the basis
for reconsidering a final order of a court issued, or a set-
tlement approved by, a court.’’.
(3) APPLICABILITY.—In accordance with sec-
tion 201(b)(2) of the United States Housing Act of
1937, the amendments made by this subsection and
by sections 1002 (a), (b), and (c) of Public Law
104–19 shall apply to public housing developed or
operated pursuant to a contract between the Sec-
retary of Housing and Urban Development and an
Indian housing authority.
CONVERSION OF CERTAIN PUBLIC HOUSING TO
VOUCHERS
SEC. 202. (a) IDENTIFICATION
OF UNITS.—Each
public housing agency shall identify any public housing de-
velopments—
(1) that are on the same or contiguous sites;
(2) that total more than—
(A) 300 dwelling units; or
425
(B) in the case of high-rise family build-
ings
or
substantially
vacant
buildings;
300
dwelling units;
(3) that have a vacancy rate of at least 10 per-
cent for dwelling units not in funded, on schedule
modernization programs;
(4) identified as distressed housing that the
public housing agency cannot assure the long-term
viability as public housing through reasonable revi-
talization, density reduction, or achievement of a
broader range of household income; and
(5) for which the estimated cost of continued
operation and modernization of the developments as
public housing exceeds the cost of providing tenant-
based assistance under section 8 of the United
States Housing Act of 1937 for all families in occu-
pancy, based on appropriate indicators of cost (such
as the percentage of total development cost required
for modernization).
(b) IMPLEMENTATION AND ENFORCEMENT.—
(1) STANDARDS FOR IMPLEMENTATION.—The
Secretary shall establish standards to permit imple-
mentation of this section in fiscal year 1996.
(2)
CONSULTATION.—Each
public
housing
agency shall consult with the applicable public hous-
426
ing tenants and the unit of general local government
in
identifying
any
public
housing
developments
under subsection (a).
(3) FAILURE OF PHAS TO COMPLY WITH SUB-
SECTION
(a).—Where
the
Secretary
determines
that—
(A) a public housing agency has failed
under subsection (a) to identify public housing
developments for removal from the inventory of
the agency in a timely manner;
(B) a public housing agency has failed to
identify one or more public housing develop-
ments which the Secretary determines should
have been identified under subsection (a); or
(C) one or more of the developments iden-
tified by the public housing agency pursuant to
subsection (a) should not, in the determination
of the Secretary, have been identified under
that subsection;
the Secretary may designate the developments to be
removed from the inventory of the public housing
agency pursuant to this section.
(c) REMOVAL OF UNITS FROM THE INVENTORIES OF
PUBLIC HOUSING AGENCIES.—
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(C) in the case of an agency receiving as-
sistance for the major reconstruction of obsolete
projects, any amounts obligated by the Sec-
retary for the major reconstruction of the devel-
opment pursuant to section 5 of such Act,
to the tenant-based assistance program or appro-
priate site revitalization of such agency.
(6) CESSATION OF UNNECESSARY SPENDING.—
Notwithstanding any other provision of law, if, in
the determination of the Secretary, a development
meets or is likely to meet the criteria set forth in
subsection (a), the Secretary may direct the public
housing agency to cease additional spending in con-
nection with the development, except to the extent
that additional spending is necessary to ensure de-
cent, safe, and sanitary housing until the Secretary
determines or approves an appropriate course of ac-
tion with respect to such development under this
section.
(d) CONVERSION TO TENANT-BASED ASSISTANCE.—
(1) The Secretary shall make authority avail-
able to a public housing agency to provide tenant-
based assistance pursuant to section 8 to families re-
siding in any development that is removed from the
inventory of the public housing agency and the an-
431
considers necessary for the administration of this
section.
(2) As used in this section, the term ‘‘develop-
ment’’ shall refer to a project or projects, or to por-
tions of a project or projects, as appropriate.
(3) Section 18 of the United States Housing
Act of 1937 shall not apply to the demolition of de-
velopments removed from the inventory of the public
housing agency under this section.
STREAMLINING SECTION 8 TENANT-BASED ASSISTANCE
SEC. 203. (a) ‘‘TAKE-ONE, TAKE-ALL’’.—Section
8(t) of the United States Housing Act of 1937 is hereby
repealed.
(b) EXEMPTION FROM NOTICE REQUIREMENTS FOR
THE CERTIFICATE AND VOUCHER PROGRAMS.—Section
8(c) of such Act is amended—
(1) in paragraph (8), by inserting after ‘‘sec-
tion’’ the following: ‘‘(other than a contract for as-
sistance under the certificate or voucher program)’’;
and
(2) in the first sentence of paragraph (9), by
striking ‘‘(but not less than 90 days in the case of
housing certificates or vouchers under subsection (b)
or (o))’’ and inserting ‘‘, other than a contract under
the certificate or voucher program’’.
432
(c) ENDLESS LEASE.—Section 8(d)(1)(B) of such
Act is amended—
(1) in clause (ii), by inserting ‘‘during the term
of the lease,’’ after ‘‘(ii)’’; and
(2) in clause (iii), by striking ‘‘provide that’’
and inserting ‘‘during the term of the lease,’’.
(d) APPLICABILITY.—The provisions of this section
shall be effective for fiscal year 1996 only.
PUBLIC HOUSING/SECTION 8 MOVING TO WORK
DEMONSTRATION
SEC. 204. (a) PURPOSE.—The purpose of this dem-
onstration is to give public housing agencies and the Sec-
retary of Housing and Urban Development the flexibility
to design and test various approaches for providing and
administering housing assistance that: reduce cost and
achieve greater cost effectiveness in Federal expenditures;
give incentives to families with children where the head
of household is working, seeking work, or is preparing for
work by participating in job training, educational pro-
grams, or programs that assist people to obtain employ-
ment and become economically self-sufficient; and increase
housing choices for low-income families.
(b) PROGRAM AUTHORITY.—The Secretary of Hous-
ing and Urban Development shall conduct a demonstra-
tion program under this section beginning in fiscal year
1996 under which up to 30 public housing agencies (in-
433
cluding Indian housing authorities) administering the pub-
lic or Indian housing program and the section 8 housing
assistance payments program, administering a total num-
ber of public housing units not in excess of 25,000, may
be selected by the Secretary to participate. The Secretary
shall provide training and technical assistance during the
demonstration and conduct detailed evaluations of up to
15 such agencies in an effort to identify replicable pro-
gram models promoting the purpose of the demonstration.
Under the demonstration, notwithstanding any provision
of the United States Housing Act of 1937 except as pro-
vided in subsection (e), an agency may combine operating
assistance provided under section 9 of the United States
Housing Act of 1937, modernization assistance provided
under section 14 of such Act, and assistance provided
under section 8 of such Act for the certificate and voucher
programs, to provide housing assistance for low-income
families, as defined in section 3(b)(2) of the United States
Housing Act of 1937, and services to facilitate the transi-
tion to work on such terms and conditions as the agency
may propose and the Secretary may approve.
(c) APPLICATION.—An application to participate in
the demonstration—
434
(1) shall request authority to combine assist-
ance under sections 8, 9, and 14 of the United
States Housing Act of 1937;
(2) shall be submitted only after the public
housing agency provides for citizen participation
through a public hearing and, if appropriate, other
means;
(3) shall include a plan developed by the agency
that takes into account comments from the public
hearing and any other public comments on the pro-
posed program, and comments from current and
prospective residents who would be affected, and
that includes criteria for—
(A) families to be assisted, which shall re-
quire that at least 75 percent of the families as-
sisted by participating demonstration public
housing authorities shall be very low-income
families, as defined in section 3(b)(2) of the
United States Housing Act of 1937, and at
least 50 percent of the families selected shall
have incomes that do not exceed 30 percent of
the median family income for the area, as de-
termined by the Secretary with adjustments for
smaller and larger families, except that the Sec-
retary may establish income ceilings higher or
435
lower than 30 percent of the median for the
area on the basis of the Secretary’s findings
that such variations are necessary because of
unusually high or low family income;
(B) establishing a reasonable rent policy,
which shall be designed to encourage employ-
ment and self-sufficiency by participating fami-
lies, consistent with the purpose of this dem-
onstration, such as by excluding some or all of
a family’s earned income for purposes of deter-
mining rent;
(C) continuing to assist substantially the
same total number of eligible low-income fami-
lies as would have been served had the amounts
not been combined;
(D) maintaining a comparable mix of fami-
lies (by family size) as would have been pro-
vided had the amounts not been used under the
demonstration; and
(E) assuring that housing assisted under
the demonstration program meets housing qual-
ity standards established or approved by the
Secretary; and
(4) may request assistance for training and
technical assistance to assist with design of the dem-
436
onstration and to participate in a detailed evalua-
tion.
(d) SELECTION.—In selecting among applications,
the Secretary shall take into account the potential of each
agency to plan and carry out a program under the dem-
onstration, the relative performance by an agency under
the public housing management assessment program
under section 6(j) of the United States Housing Act of
1937, and other appropriate factors as determined by the
Secretary.
(e) APPLICABILITY OF 1937 ACT PROVISIONS.—
(1) Section 18 of the United States Housing
Act of 1937 shall continue to apply to public hous-
ing notwithstanding any use of the housing under
this demonstration.
(2) Section 12 of such Act shall apply to hous-
ing assisted under the demonstration, other than
housing assisted solely due to occupancy by families
receiving tenant-based assistance.
(f) EFFECT ON SECTION 8, OPERATING SUBSIDIES,
AND COMPREHENSIVE GRANT PROGRAM ALLOCATIONS.—
The amount of assistance received under section 8, section
9, or pursuant to section 14 by a public housing agency
participating in the demonstration under this part shall
not be diminished by its participation.