H. R. 2684—59
‘‘(A) IN GENERAL.—A public housing agency may make
assistance payments on behalf of a family that uses an
assisted living facility as a principal place of residence
and that uses such supportive services made available in
the facility as the agency may require. Such payments
may be made only for covering costs of rental of the
dwelling unit in the assisted living facility and not for
covering any portion of the cost of residing in such facility
that is attributable to service relating to assisted living.
‘‘(B) RENT CALCULATION.—
‘‘(i) CHARGES INCLUDED.—For assistance pursuant
to this paragraph, the rent of the dwelling unit that
is an assisted living facility with respect to which
assistance payments are made shall include mainte-
nance and management charges related to the dwelling
unit and tenant-paid utilities. Such rent shall not
include any charges attributable to services relating
to assisted living.
‘‘(ii) PAYMENT
STANDARD.—In determining the
monthly assistance that may be paid under this para-
graph on behalf of any family residing in an assisted
living facility, the public housing agency shall utilize
the payment standard established under paragraph
(1), for the market area in which the assisted living
facility is located, for the applicable size dwelling unit.
‘‘(iii) 
MONTHLY
ASSISTANCE
PAYMENT.—The
monthly assistance payment for a family assisted
under this paragraph shall be determined in accord-
ance with paragraph (2) (using the rent and payment
standard for the dwelling unit as determined in accord-
ance with this subsection).
‘‘(C) DEFINITION.—For the purposes of this paragraph,
the term ‘assisted living facility’ has the meaning given
that term in section 232(b) of the National Housing Act
(12 U.S.C. 1715w(b)), except that such a facility may be
contained within a portion of a larger multifamily housing
project.’’.
(b) PROJECT-BASED ASSISTANCE.—Section 202b of the Housing
Act of 1959, as added by section 522 of this Act, is amended—
(1) by redesignating subsections (f ) and (g) as subsections
(g) and (h), respectively; and
(2) by inserting after subsection (e) the following new sub-
section:
‘‘(f ) SECTION 8 PROJECT-BASED ASSISTANCE.—
‘‘(1) ELIGIBILITY.—Notwithstanding any other provision of
law, a multifamily project which includes one or more dwelling
units that have been converted to assisted living facilities using
grants made under this section shall be eligible for project-
based assistance under section 8 of the United States Housing
Act of 1937, in the same manner in which the project would
be eligible for such assistance but for the assisted living facili-
ties in the project.
‘‘(2) CALCULATION OF RENT.—For assistance pursuant to
this subsection, the maximum monthly rent of a dwelling unit
that is an assisted living facility with respect to which assist-
ance payments are made shall not include charges attributable
to services relating to assisted living.’’.
H. R. 2684—60
SEC. 524. SIZE LIMITATION FOR PROJECTS FOR PERSONS WITH
DISABILITIES.
(a) LIMITATION.—Section 811 of the Cranston-Gonzalez National
Affordable Housing Act (42 U.S.C. 8013) is amended—
(1) in subsection (k)(4), by inserting ‘‘, subject to the limita-
tion under subsection (h)(6)’’ after ‘‘prescribe’’; and
(2) in subsection (l), by adding at the end the following
new paragraph:
‘‘(4) SIZE LIMITATION.—Of any amounts made available for
any fiscal year and used for capital advances or project rental
assistance under paragraphs (1) and (2) of subsection (d), not
more than 25 percent may be used for supportive housing
which contains more than 24 separate dwelling units.’’.
(b) STUDY.—Not later than the expiration of the 3-month period
beginning on the date of the enactment of this Act, the Secretary
of Housing and Urban Development shall conduct a study and
submit a report to the Congress regarding—
(1) the extent to which the authority of the Secretary
under section 811(k)(4) of the Cranston-Gonzalez National
Affordable Housing Act (42 U.S.C. 8013(k)(4)), as in effect
immediately before the enactment of this Act, has been used
in each year since 1990 to provide for assistance under such
section for supportive housing for persons with disabilities
having more than 24 separate dwelling units;
(2) the per-unit costs of, and the benefits and problems
associated with, providing such housing in projects having eight
or less dwelling units, 8 to 24 units, and more than 24 units;
and
(3) the per-unit costs of, and the benefits and problems
associated with providing housing under section 202 of the
Housing Act of 1959 (12 U.S.C. 1701q) in projects having 30
to 50 dwelling units, in projects having more than 50 but
not more than 80 dwelling units, in projects having more than
80 but not more than 120 dwelling units, and in projects
having more than 120 dwelling units, but the study shall also
examine the social considerations afforded by smaller and mod-
erate-size developments and shall not be limited to economic
factors.
SEC. 525. COMMISSION ON AFFORDABLE HOUSING AND HEALTH CARE
FACILITY NEEDS IN THE 21ST CENTURY.
(a) ESTABLISHMENT.—There is hereby established a commission
to be known as the Commission on Affordable Housing and Health
Care Facility Needs in the 21st Century (in this section referred
to as the ‘‘Commission’’.
(b) STUDY.—The duty of the Commission shall be to conduct
a study that—
(1) compiles and interprets information regarding the
expected increase in the population of persons 62 years of
age or older, particularly information regarding distribution
of income levels, homeownership and home equity rates, and
degree or extent of health and independence of living;
(2) provides an estimate of the future needs of seniors
for affordable housing and assisted living and health care facili-
ties;
(3) provides a comparison of estimate of such future needs
with an estimate of the housing and facilities expected to be
H. R. 2684—61
provided under existing public programs, and identifies possible
actions or initiatives that may assist in providing affordable
housing and assisted living and health care facilities to meet
such expected needs;
(4) identifies and analyzes methods of encouraging
increased private sector participation, investment, and capital
formation in affordable housing and assisted living and health
care facilities for seniors through partnerships between public
and private entities and other creative strategies;
(5) analyzes the costs and benefits of comprehensive aging-
in-place strategies, taking into consideration physical and
mental well-being and the importance of coordination between
shelter and supportive services;
(6) identifies and analyzes methods of promoting a more
comprehensive approach to dealing with housing and supportive
service issues involved in aging and the multiple governmental
agencies involved in such issues, including the Department
of Housing and Urban Development and the Department of
Health and Human Services; and
(7) examines how to establish intergenerational learning
and care centers and living arrangements, in particular to
facilitate appropriate environments for families consisting only
of children and a grandparent or grandparents who are the
head of the household.
(c) MEMBERSHIP.—
(1) NUMBER AND APPOINTMENT.—The Commission shall be
composed of 14 members, appointed not later than January
1, 2000, as follows:
(A) Two co-chairpersons, of whom—
(i) one co-chairperson shall be appointed by a com-
mittee consisting of the chairman of the Subcommittee
on Housing and Community Opportunities of the House
of Representatives and the chairman of the Sub-
committee on Housing and Transportation of the
Senate, and the chairmen of the Subcommittees on
the Departments of Veterans Affairs and Housing and
Urban Development, and Independent Agencies of the
Committees on Appropriations of the House of Rep-
resentatives and the Senate; and
(ii) one co-chairperson shall be appointed by a
committee consisting of the ranking minority member
of the Subcommittee on Housing and Community
Opportunities of the House of Representatives and the
ranking minority member of the Subcommittee on
Housing and Transportation of the Senate, and the
ranking minority members of the Subcommittees on
the Departments of Veterans Affairs and Housing and
Urban Development, and Independent Agencies of the
Committees on Appropriations of the House of Rep-
resentatives and the Senate.
(B) Six members appointed by the Chairman and
Ranking Minority Member of the Committee on Banking
and Financial Services of the House of Representatives
and the Chairman and Ranking Minority Member of the
Committee on Appropriations of the House of Representa-
tives.
H. R. 2684—62
(C) Six members appointed by the Chairman and
Ranking Minority Member of the Committee on Banking,
Housing, and Urban Affairs of the Senate and the Chair-
man and Ranking Minority Member of the Committee on
Appropriations of the Senate.
(2) QUALIFICATIONS.—Appointees should have proven
expertise in directing, assembling, or applying capital resources
from a variety of sources to the successful development of
affordable housing, assisted living facilities, or health care
facilities.
(3) VACANCIES.—Any vacancy on the Commission shall not
affect its powers and shall be filled in the manner in which
the original appointment was made.
(4) CHAIRPERSONS.—The members appointed pursuant to
paragraph (1)(A) shall serve as co-chairpersons of the Commis-
sion.
(5) PROHIBITION OF PAY.—Members of the Commission shall
serve without pay.
(6) TRAVEL EXPENSES.—Each member of the Commission
shall receive travel expenses, including per diem in lieu of
subsistence, in accordance with sections 5702 and 5703 of title
5, United States Code.
(7) QUORUM.—A majority of the members of the Commis-
sion shall constitute a quorum but a lesser number may hold
hearings.
(8) MEETINGS.—The Commission shall meet at the call
of the Chairpersons.
(d) DIRECTOR AND STAFF.—
(1) DIRECTOR.—The Commission shall have a Director who
shall be appointed by the Chairperson. The Director shall be
paid at a rate not to exceed the rate of basic pay payable
for level V of the Executive Schedule.
(2) STAFF.—The Commission may appoint personnel as
appropriate. The staff of the Commission shall be appointed
subject to the provisions of title 5, United States Code, gov-
erning appointments in the competitive service, and shall be
paid in accordance with the provisions of chapter 51 and sub-
chapter III of chapter 53 of that title relating to classification
and General Schedule pay rates.
(3) EXPERTS AND CONSULTANTS.—The Commission may pro-
cure temporary and intermittent services under section 3109(b)
of title 5, United States Code, but at rates for individuals
not to exceed the daily equivalent of the maximum annual
rate of basic pay payable for the General Schedule.
(4) STAFF
OF
FEDERAL
AGENCIES.—Upon request of the
Commission, the head of any Federal department or agency
may detail, on a reimbursable basis, any of the personnel
of that department or agency to the Commission to assist
it in carrying out its duties under this Act.
(e) POWERS.—
(1) HEARINGS AND SESSIONS.—The Commission may, for
the purpose of carrying out this section, hold hearings, sit
and act at times and places, take testimony, and receive evi-
dence as the Commission considers appropriate.
(2) POWERS OF MEMBERS AND AGENTS.—Any member or
agent of the Commission may, if authorized by the Commission,
H. R. 2684—63
take any action which the Commission is authorized to take
by this section.
(3) OBTAINING
OFFICIAL
DATA.—The Commission may
secure directly from any department or agency of the United
States information necessary to enable it to carry out this
Act. Upon request of the Chairpersons of the Commission,
the head of that department or agency shall furnish that
information to the Commission.
(4) GIFTS, BEQUESTS, AND DEVISES.—The Commission may
accept, use, and dispose of gifts, bequests, or devises of services
or property, both real and personal, for the purpose of aiding
or facilitating the work of the Commission. Gifts, bequests,
or devises of money and proceeds from sales of other property
received as gifts, bequests, or devises shall be deposited in
the Treasury and shall be available for disbursement upon
order of the Commission.
(5) MAILS.—The Commission may use the United States
mails in the same manner and under the same conditions
as other departments and agencies of the United States.
(6) ADMINISTRATIVE SUPPORT SERVICES.—Upon the request
of the Commission, the Administrator of General Services shall
provide to the Commission, on a reimbursable basis, the
administrative support services necessary for the Commission
to carry out its responsibilities under this section.
(7) CONTRACT AUTHORITY.—The Commission may contract
with and compensate Government and private agencies or per-
sons for services, without regard to section 3709 of the Revised
Statutes (41 U.S.C. 5).
(f ) REPORT.—The Commission shall submit to the Committees
on Banking and Financial Services and Appropriations of the House
of Representatives and the Committees on Banking, Housing, and
Urban Affairs and Appropriations of the Senate, a final report
not later than December 31, 2001. The report shall contain a
detailed statement of the findings and conclusions of the Commis-
sion with respect to the study conducted under subsection (b),
together with its recommendations for legislation, administrative
actions, and any other actions the Commission considers appro-
priate.
(g) TERMINATION.—The Commission shall terminate on June
30, 2002. Section 14(a)(2)(B) of the Federal Advisory Committee
Act (5 U.S.C. App.; relating to the termination of advisory commit-
tees) shall not apply to the Commission.
Subtitle C—Renewal of Expiring Rental
Assistance Contracts and Protection of
Residents
SEC. 531. RENEWAL OF EXPIRING CONTRACTS AND ENHANCED
VOUCHERS FOR PROJECT RESIDENTS.
(a) IN GENERAL.—Section 524 of the Multifamily Assisted
Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f
note) is amended to read as follows:
H. R. 2684—64
‘‘SEC. 524. RENEWAL OF EXPIRING PROJECT-BASED SECTION 8 CON-
TRACTS.
‘‘(a) IN GENERAL.—
‘‘(1) RENEWAL.—Subject to paragraph (2), upon termination
or expiration of a contract for project-based assistance under
section 8 for a multifamily housing project (and notwithstanding
section 8(v) of the United States Housing Act of 1937 for loan
management assistance), the Secretary shall, at the request
of the owner of the project and to the extent sufficient amounts
are made available in appropriation Acts, use amounts available
for the renewal of assistance under section 8 of such Act to
provide such assistance for the project. The assistance shall
be provided under a contract having such terms and conditions
as the Secretary considers appropriate, subject to the require-
ments of this section. This section shall not require contract
renewal for a project that is eligible under this subtitle for
a mortgage restructuring and rental assistance sufficiency plan,
if there is no approved plan for the project and the Secretary
determines that such an approved plan is necessary.
‘‘(2) PROHIBITION ON RENEWAL.—Notwithstanding part 24
of title 24 of the Code of Federal Regulations, the Secretary
may elect not to renew assistance for a project otherwise
required to be renewed under paragraph (1) or provide com-
parable benefits under paragraph (1) or (2) of subsection (e)
for a project described in either such paragraph, if the Secretary
determines that a violation under paragraphs (1) through (4)
of section 516(a) has occurred with respect to the project. For
purposes of such a determination, the provisions of section
516 shall apply to a project under this section in the same
manner and to the same extent that the provisions of such
section apply to eligible multifamily housing projects, except
that the Secretary shall make the determination under section
516(a)(4).
‘‘(3) 
CONTRACT
TERM
FOR
MARK-UP-TO-MARKET
CON-
TRACTS.—In the case of an expiring or terminating contract
that has rent levels less than comparable market rents for
the market area, if the rent levels under the renewal contract
under this section are equal to comparable market rents for
the market area, the contract shall have a term of not less
than 5 years, subject to the availability of sufficient amounts
in appropriation Acts.
‘‘(4) RENEWAL RENTS.—Except as provided in subsection
(b), the contract for assistance shall provide assistance at the
following rent levels:
‘‘(A) MARKET RENTS.—At the request of the owner of
the project, at rent levels equal to the lesser of comparable
market rents for the market area or 150 percent of the
fair market rents, in the case only of a project that—
‘‘(i) has rent levels under the expiring or termi-
nating contract that do not exceed such comparable
market rents;
‘‘(ii) does not have a low- and moderate-income
use restriction that can not be eliminated by unilateral
action by the owner;
‘‘(iii) is decent, safe, and sanitary housing, as deter-
mined by the Secretary;
‘‘(iv) is not—
H. R. 2684—65
‘‘(I) owned by a nonprofit entity;
‘‘(II) subject to a contract for moderate
rehabilitation assistance under section 8(e)(2) of
the United States Housing Act of 1937, as in effect
before October 1, 1991; or
‘‘(III) a project for which the public housing
agency provided voucher assistance to one or more
of the tenants after the owner has provided notice
of termination of the contract covering the tenant’s
unit; and
‘‘(v) has units assisted under the contract for which
the comparable market rent exceeds 110 percent of
the fair market rent.
The Secretary may adjust the percentages of fair market
rent (as specified in the matter preceding clause (i) and
in clause (v)), but only upon a determination and written
notification to the Congress within 10 days of making such
determination, that such adjustment is necessary to ensure
that this subparagraph covers projects with a high risk
of nonrenewal of expiring contracts for project-based assist-
ance.
‘‘(B) REDUCTION
TO
MARKET
RENTS.—In the case of
a project that has rent levels under the expiring or termi-
nating contract that exceed comparable market rents for
the market area, at rent levels equal to such comparable
market rents.
‘‘(C) RENTS
NOT
EXCEEDING
MARKET
RENTS.—In the
case of a project that is not subject to subparagraph (A)
or (B), at rent levels that—
‘‘(i) are not less than the existing rents under
the terminated or expiring contract, as adjusted by
an operating cost adjustment factor established by the
Secretary (which shall not result in a negative adjust-
ment), if such adjusted rents do not exceed comparable
market rents for the market area; and
‘‘(ii) do not exceed comparable market rents for
the market area.
In determining the rent level for a contract under this
subparagraph, the Secretary shall approve rents sufficient
to cover budget-based cost increases and shall give greater
consideration to providing rent at a level up to comparable
market rents for the market area based on the number
of the criteria under clauses (i) through (iii) of subpara-
graph (D) that the project meets.
‘‘(D) WAIVER
OF
150
PERCENT
LIMITATION.—Notwith-
standing subparagraph (A), at rent levels up to comparable
market rents for the market area, in the case of a project
that meets the requirements under clauses (i) through
(v) of subparagraph (A) and—
‘‘(i) has residents who are a particularly vulnerable
population, as demonstrated by a high percentage of
units being rented to elderly families, disabled families,
or large families;
‘‘(ii) is located in an area in which tenant-based
assistance would be difficult to use, as demonstrated
by a low vacancy rate for affordable housing, a high
H. R. 2684—66
turnback rate for vouchers, or a lack of comparable
rental housing; or
‘‘(iii) is a high priority for the local community,
as demonstrated by a contribution of State or local
funds to the property.
In determining the rent level for a contract under this
subparagraph, the Secretary shall approve rents sufficient
to cover budget-based cost increases and shall give greater
consideration to providing rent at a level up to comparable
market rents for the market area based on the number
of the criteria under clauses (i) through (iv) that the project
meets.
‘‘(5) COMPARABLE MARKET RENTS AND COMPARISON WITH
FAIR MARKET RENTS.—The Secretary shall prescribe the method
for determining comparable market rent by comparison with
rents charged for comparable properties (as such term is defined
in section 512), which may include appropriate adjustments
for utility allowances and adjustments to reflect the value of
any subsidy (other than section 8 assistance) provided by the
Department of Housing and Urban Development.
‘‘(b) EXCEPTION RENTS.—
‘‘(1) RENEWAL.—In the case of a multifamily housing project
described in paragraph (2), pursuant to the request of the
owner of the project, the contract for assistance for the project
pursuant to subsection (a) shall provide assistance at the lesser
of the following rent levels:
‘‘(A) ADJUSTED
EXISTING
RENTS.—The existing rents
under the expiring contract, as adjusted by an operating
cost adjustment factor established by the Secretary (which
shall not result in a negative adjustment).
‘‘(B) BUDGET-BASED RENTS.—Subject to a determination
by the Secretary that a rent level under this subparagraph
is appropriate for a project, a rent level that provides
income sufficient to support a budget-based rent (including
a budget-based rent adjustment if justified by reasonable
and expected operating expenses).
‘‘(2) PROJECTS
COVERED.—A multifamily housing project
described in this paragraph is a multifamily housing project
that—
‘‘(A) is not an eligible multifamily housing project under
section 512(2); or
‘‘(B) is exempt from mortgage restructuring under this
subtitle pursuant to section 514(h).
‘‘(3) MODERATE REHABILITATION PROJECTS.—In the case of
a project with a contract under the moderate rehabilitation
program, other than a moderate rehabilitation contract under
section 441 of the Stewart B. McKinney Homeless Assistance
Act, pursuant to the request of the owner of the project, the
contract for assistance for the project pursuant to subsection
(a) shall provide assistance at the lesser of the following rent
levels:
‘‘(A) ADJUSTED
EXISTING
RENTS.—The existing rents
under the expiring contract, as adjusted by an operating
cost adjustment factor established by the Secretary (which
shall not result in a negative adjustment).
‘‘(B) FAIR MARKET RENTS.—Fair market rents (less any
amounts allowed for tenant-purchased utilities).
H. R. 2684—67
‘‘(C) MARKET RENTS.—Comparable market rents for the
market area.
‘‘(c) RENT ADJUSTMENTS AFTER RENEWAL OF CONTRACT.—
‘‘(1) REQUIRED.—After the initial renewal of a contract for
assistance under section 8 of the United States Housing Act
of 1937 pursuant to subsection (a), (b)(1), or (e)(2), the Secretary
shall annually adjust the rents using an operating cost adjust-
ment factor established by the Secretary (which shall not result
in a negative adjustment) or, upon the request of the owner
and subject to approval of the Secretary, on a budget basis.
In the case of projects with contracts renewed pursuant to
subsection (a) or pursuant to subsection (e)(2) at rent levels
equal to comparable market rents for the market area, at
the expiration of each 5-year period, the Secretary shall com-
pare existing rents with comparable market rents for the
market area and may make any adjustments in the rent nec-
essary to maintain the contract rents at a level not greater
than comparable market rents or to increase rents to com-
parable market rents.
‘‘(2) DISCRETIONARY.—In addition to review and adjustment
required under paragraph (1), in the case of projects with
contracts renewed pursuant to subsection (a) or pursuant to
subsection (e)(2) at rent levels equal to comparable market
rents for the market area, the Secretary may, at the discretion
of the Secretary but only once within each 5-year period referred
to in paragraph (1), conduct a comparison of rents for a project
and adjust the rents accordingly to maintain the contract rents
at a level not greater than comparable market rents or to
increase rents to comparable market rents.
‘‘(d) ENHANCED VOUCHERS UPON CONTRACT EXPIRATION.—
‘‘(1) IN GENERAL.—In the case of a contract for project-
based assistance under section 8 for a covered project that
is not renewed under subsection (a) or (b) of this section (or
any other authority), to the extent that amounts for assistance
under this subsection are provided in advance in appropriation
Acts, upon the date of the expiration of such contract the
Secretary shall make enhanced voucher assistance under sec-
tion 8(t) of the United States Housing Act of 1937 (42 U.S.C.
1437f(t)) available on behalf of each low-income family who,
upon the date of such expiration, is residing in an assisted
dwelling unit in the covered project.
‘‘(2) DEFINITIONS.—For purposes of this subsection, the
following definitions shall apply:
‘‘(A) ASSISTED
DWELLING
UNIT.—The term ‘assisted
dwelling unit’ means a dwelling unit that—
‘‘(i) is in a covered project; and
‘‘(ii) is covered by rental assistance provided under
the contract for project-based assistance for the covered
project.
‘‘(B) COVERED
PROJECT.—The term ‘covered project’
means any housing that—
‘‘(i) consists of more than four dwelling units;
‘‘(ii) is covered in whole or in part by a contract
for project-based assistance under—
‘‘(I) the new construction or substantial
rehabilitation program under section 8(b)(2) of the