155 
tion 8 of the United States Housing Act of 1937 (42 
U.S.C. 1437f), but do not apply to such units assisted 
under section 8(o)(13) (42 U.S.C. 1437f(o)(13)) or to 
public housing units assisted with capital or operating 
funds under section 9 of the United States Housing Act 
of 1937 (42 U.S.C. 1437g). 
(c)(1) Within 15 days of the issuance of the REAC 
inspection, the Secretary must provide the owner with a 
Notice of Default with a specified timetable, determined 
by the Secretary, for correcting all deficiencies. The Sec-
retary must also provide a copy of the Notice of Default 
to the tenants, the local government, any mortgagees, and 
any contract administrator. If the owner’s appeal results 
in a UPCS score of 60 or above, the Secretary may with-
draw the Notice of Default. 
(2) At the end of the time period for correcting all 
deficiencies specified in the Notice of Default, if the owner 
fails to fully correct such deficiencies, the Secretary may— 
(A) require immediate replacement of project 
management with a management agent approved by 
the Secretary; 
(B) impose civil money penalties, which shall be 
used solely for the purpose of supporting safe and 
sanitary conditions at applicable properties, as des-
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ignated by the Secretary, with priority given to the 
tenants of the property affected by the penalty; 
(C) abate the section 8 contract, including par-
tial abatement, as determined by the Secretary, until 
all deficiencies have been corrected; 
(D) pursue transfer of the project to an owner, 
approved by the Secretary under established proce-
dures, which will be obligated to promptly make all 
required repairs and to accept renewal of the assist-
ance contract as long as such renewal is offered; 
(E) transfer the existing section 8 contract to 
another project or projects and owner or owners; 
(F) pursue exclusionary sanctions, including 
suspensions or debarments from Federal programs; 
(G) seek judicial appointment of a receiver to 
manage the property and cure all project deficiencies 
or seek a judicial order of specific performance re-
quiring the owner to cure all project deficiencies; 
(H) work with the owner, lender, or other re-
lated party to stabilize the property in an attempt 
to preserve the property through compliance, trans-
fer of ownership, or an infusion of capital provided 
by a third-party that requires time to effectuate; or 
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157 
(I) take any other regulatory or contractual 
remedies available as deemed necessary and appro-
priate by the Secretary. 
(d) The Secretary shall also take appropriate steps 
to ensure that project-based contracts remain in effect, 
subject to the exercise of contractual abatement remedies 
to assist relocation of tenants for major threats to health 
and safety after written notice to the affected tenants. To 
the extent the Secretary determines, in consultation with 
the tenants and the local government, that the property 
is not feasible for continued rental assistance payments 
under such section 8 or other programs, based on consid-
eration of— 
(1) the costs of rehabilitating and operating the 
property and all available Federal, State, and local 
resources, including rent adjustments under section 
524 of the Multifamily Assisted Housing Reform 
and Affordability Act of 1997 (‘‘MAHRAA’’); and 
(2) environmental conditions that cannot be 
remedied in a cost-effective fashion, the Secretary 
may contract for project-based rental assistance pay-
ments with an owner or owners of other existing 
housing properties, or provide other rental assist-
ance. 
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(e) The Secretary shall report quarterly on all prop-
erties covered by this section that are assessed through 
the Real Estate Assessment Center and have UPCS phys-
ical inspection scores of less than 60 or have received an 
unsatisfactory management and occupancy review within 
the past 36 months. The report shall include— 
(1) the enforcement actions being taken to ad-
dress such conditions, including imposition of civil 
money penalties and termination of subsidies, and 
identify properties that have such conditions mul-
tiple times; 
(2) actions that the Department of Housing 
and Urban Development is taking to protect tenants 
of such identified properties; and 
(3) any administrative or legislative rec-
ommendations to further improve the living condi-
tions at properties covered under a housing assist-
ance payment contract. 
This report shall be due to the Senate and House Commit-
tees on Appropriations no later than 30 days after the 
enactment of this Act, and on the first business day of 
each Federal fiscal year quarter thereafter while this sec-
tion remains in effect. 
SEC. 223. None of the funds made available by this 
Act, or any other Act, for purposes authorized under sec-
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159 
tion 8 (only with respect to the tenant-based rental assist-
ance program) and section 9 of the United States Housing 
Act of 1937 (42 U.S.C. 1437 et seq.), may be used by 
any public housing agency for any amount of salary, in-
cluding bonuses, for the chief executive officer of which, 
or any other official or employee of which, that exceeds 
the annual rate of basic pay payable for a position at level 
IV of the Executive Schedule at any time during any pub-
lic housing agency fiscal year 2019. 
SEC. 224. Notwithstanding section 24(o) of the 
United States Housing Act of 1937 (42 U.S.C. 1437v(o)), 
the Secretary of Housing and Urban Development may, 
until September 30, 2019, obligate any available unobli-
gated balances made available under the heading ‘‘Choice 
Neighborhoods Initiative’’ in this Act or any prior Act. 
SEC. 225. None of the funds in this Act provided to 
the Department of Housing and Urban Development may 
be used to make a grant award unless the Secretary noti-
fies the House and Senate Committees on Appropriations 
not less than 3 full business days before any project, 
State, locality, housing authority, tribe, nonprofit organi-
zation, or other entity selected to receive a grant award 
is announced by the Department or its offices. 
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SEC. 226. None of the funds made available by this 
Act may be used to require or enforce the Physical Needs 
Assessment (PNA). 
SEC. 227. None of the funds made available in this 
Act shall be used by the Federal Housing Administration, 
the Government National Mortgage Administration, or the 
Department of Housing and Urban Development to in-
sure, securitize, or establish a Federal guarantee of any 
mortgage or mortgage backed security that refinances or 
otherwise replaces a mortgage that has been subject to 
eminent domain condemnation or seizure, by a State, mu-
nicipality, or any other political subdivision of a State. 
SEC. 228. None of the funds made available by this 
Act may be used to terminate the status of a unit of gen-
eral local government as a metropolitan city (as defined 
in section 102 of the Housing and Community Develop-
ment Act of 1974 (42 U.S.C. 5302)) with respect to 
grants under section 106 of such Act (42 U.S.C. 5306). 
SEC. 229. Amounts made available under this Act 
which are either appropriated, allocated, advanced on a 
reimbursable basis, or transferred to the Office of Policy 
Development and Research in the Department of Housing 
and Urban Development and functions thereof, for re-
search, evaluation, or statistical purposes, and which are 
unexpended at the time of completion of a contract, grant, 
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or cooperative agreement, may be deobligated and shall 
immediately become available and may be reobligated in 
that fiscal year or the subsequent fiscal year for the re-
search, evaluation, or statistical purposes for which the 
amounts are made available to that Office subject to re-
programming requirements in section 405 of this Act. 
SEC. 230. None of the funds provided in this Act or 
any other act may be used for awards, including perform-
ance, special act, or spot, for any employee of the Depart-
ment of Housing and Urban Development who has been 
subject to a final administrative discipline decision in the 
preceding two years, including suspension from work. 
SEC. 231. Funds made available in this title under 
the heading ‘‘Homeless Assistance Grants’’ may be used 
by the Secretary to participate in Performance Partner-
ship Pilots authorized under section 526 of division H of 
Public Law 113–76, section 524 of division G of Public 
Law 113–235, section 525 of division H of Public Law 
114–113, and such authorities as are enacted for Perform-
ance Partnership Pilots in an appropriations Act for fiscal 
years 2018 and 2019: Provided, That such participation 
shall be limited to no more than 10 continuums of care 
and housing activities to improve outcomes for discon-
nected youth. 
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162 
SEC. 232. With respect to grant amounts awarded 
under the heading ‘‘Homeless Assistance Grants’’ for fis-
cal years 2016, 2017, 2018, and 2019 for the continuum 
of care (CoC) program as authorized under subtitle C of 
title IV of the McKinney-Vento Homeless Assistance Act, 
costs paid by program income of grant recipients may 
count toward meeting the recipient’s matching require-
ments, provided the costs are eligible CoC costs that sup-
plement the recipient’s CoC program. 
SEC. 233. (a) From amounts made available under 
this title under the heading ‘‘Homeless Assistance 
Grants’’, the Secretary may award 1-year transition 
grants to recipients of funds for activities under subtitle 
C of the McKinney-Vento Homeless Assistance Act (42 
U.S.C. 11381 et seq.) to transition from one Continuum 
of Care program component to another. 
(b) No more than 50 percent of each transition grant 
may be used for costs of eligible activities of the program 
component originally funded. 
(c) Transition grants made under this section are eli-
gible for renewal in subsequent fiscal years for the eligible 
activities of the new program component. 
(d) In order to be eligible to receive a transition 
grant, the funding recipient must have the consent of the 
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Continuum of Care and meet standards determined by the 
Secretary. 
SEC. 234. None of the funds made available by this 
Act may be used by the Department of Housing and 
Urban Development to direct a grantee to undertake spe-
cific changes to existing zoning laws as part of carrying 
out the final rule entitled ‘‘Affirmatively Furthering Fair 
Housing’’ (80 Fed. Reg. 42272 (July 16, 2015)) or the 
notice entitled ‘‘Affirmatively Furthering Fair Housing 
Assessment Tool’’ (79 Fed. Reg. 57949 (September 26, 
2014)). 
SEC. 235. Section 218(g) of the Cranston-Gonzalez 
National Affordable Housing Act (42 U.S.C. 12748(g)) 
shall not apply with respect to the right of a jurisdiction 
to draw funds from its HOME Investment Trust Fund 
that otherwise expired or would expire in 2016, 2017, 
2018, 2019, 2020, or 2021 under that section. Section 
231(b) of such Act (42 U.S.C. 12771(b)) shall not apply 
to any uninvested funds that otherwise were deducted or 
would be deducted from the line of credit in the partici-
pating jurisdiction’s HOME Investment Trust Fund in 
2018, 2019, 2020, or 2021 under that section. 
SEC. 236. None of the funds made available under 
this Act may be used to interfere with State and local in-
spections of public housing dwelling units. 
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164 
SEC. 237. Amounts made available in title II of divi-
sion K of the Consolidated Appropriations Resolution, 
2003 (Public Law 108-7) under the heading ‘‘Indian 
Housing Loan Guarantee Fund Program Account’’ for 
necessary expenses of the Land Title Report Commission 
are rescinded. 
SEC. 238. (a) AUTHORITY.—The Secretary of Hous-
ing and Urban Development (in this section referred to 
as the ‘‘Secretary’’) may carry out a mobility demonstra-
tion program to enable public housing agencies to admin-
ister housing choice voucher assistance under section 8(o) 
of the United States Housing Act of 1937 (42 U.S.C. 
1437f(o)) in a manner designed to encourage families re-
ceiving such voucher assistance to move to lower-poverty 
areas and expand access to opportunity areas. 
(b) SELECTION OF PHAS.— 
(1) REQUIREMENTS.—The Secretary shall es-
tablish requirements for public housing agencies to 
participate in the demonstration program under this 
section, which shall provide that the following public 
housing agencies may participate: 
(A) Public housing agencies that to-
gether— 
(i) serve areas with high concentra-
tions of holders of rental assistance vouch-
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