A bill to provide affordable housing opportunities for families that are headed by grandparents and other relatives of children, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Living Equitably: Grandparents 
Aiding Children and Youth Act of 2002'' commonly known as the ``LEGACY 
Act of 2002''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Child.--The term ``child'' means an individual who--
                    (A) is not attending school and is not more than 18 
                years of age; or
                    (B) is attending school and is not more than 19 
                years of age.
            (2) Covered family.--The term ``covered family'' means a 
        family that--
                    (A) includes a child; and
                    (B) has a head of household who is--
                            (i) a grandparent of the child who is 
                        raising the child; or
                            (ii) a relative of the child who is raising 
                        the child.
            (3) Elderly person.--The term ``elderly person'' has the 
        same meaning as in section 202(k) of the Housing Act of 1959 
        (12 U.S.C. 1701q(k)).
            (4) Grandparent.--
                    (A) In general.--The term ``grandparent'' means, 
                with respect to a child, an individual who is a 
                grandparent or stepgrandparent of the child by blood or 
                marriage, regardless of the age of such individual.
                    (B) Case of adoption.--In the case of a child who 
                was adopted, the term includes an individual who, by 
                blood or marriage, is a grandparent or stepgrandparent 
                of the child as adopted.
            (5) Intergenerational dwelling unit.--The term 
        ``intergenerational dwelling unit'' means a qualified dwelling 
        unit that is reserved for occupancy only by an 
        intergenerational family.
            (6) Intergenerational family.--The term ``intergenerational 
        family'' means a covered family that has a head of household 
        who is an elderly person.
            (7) Private nonprofit organization.--The term ``private 
        nonprofit organization'' has the same meaning given that term 
        in section 202(k) of the Housing Act of 1959 (12 U.S.C. 
        1701q(k)).
            (8) Qualified dwelling unit.--The term ``qualified dwelling 
        unit'' means a dwelling unit that--
                    (A) has not fewer than 2 separate bedrooms;
                    (B) is equipped with design features appropriate to 
                meet the special physical needs of elderly persons, as 
                needed; and
                    (C) is equipped with design features appropriate to 
                meet the special physical needs of young children, as 
                needed.
            (9) Raising a child.--The term ``raising a child'' means, 
        with respect to an individual, that the individual--
                    (A) resides with the child; and
                    (B) is the primary caregiver for the child--
                            (i) because the biological or adoptive 
                        parents of the child do not reside with the 
                        child or are unable or unwilling to serve as 
                        the primary caregiver for the child; and
                            (ii) regardless of whether the individual 
                        has a legal relationship to the child (such as 
                        guardianship or legal custody) or is caring for 
                        the child informally and has no such legal 
                        relationship with the child.
            (10) Relative.--
                    (A) In general.--The term ``relative'' means, with 
                respect to a child, an individual who--
                            (i) is not a parent of the child by blood 
                        or marriage; and
                            (ii) is a relative of the child by blood or 
                        marriage, regardless of the age of the 
                        individual.
                    (B) Case of adoption.--In the case of a child who 
                was adopted, the term includes an individual who, by 
                blood or marriage, is a relative of the family who 
                adopted the child.
            (11) Secretary.--The term ``Secretary'' means the Secretary 
        of Housing and Urban Development.

SEC. 3. DEMONSTRATION PROGRAM FOR ELDERLY HOUSING FOR INTERGENERATIONAL 
              FAMILIES.

    (a) Demonstration Program.--The Secretary shall carry out a 
demonstration program (referred to in this section as the 
``demonstration program'') to provide assistance for intergenerational 
dwelling units for intergenerational families in connection with the 
supportive housing program under section 202 of the Housing Act of 1959 
(12 U.S.C. 1701q).
    (b) Intergenerational Dwelling Units.--The Secretary shall provide 
assistance under this section to private nonprofit organizations for 
use only for expanding the supply of intergenerational dwelling units, 
which units shall be provided--
            (1) by designating and retrofitting, for use as 
        intergenerational dwelling units, existing dwelling units that 
        are located within a project assisted under section 202 of the 
        Housing Act of 1959 (12 U.S.C. 1701q);
            (2) through development of buildings or projects comprised 
        solely of intergenerational dwelling units; or
            (3) through the development of an annex or addition to an 
        existing project assisted under section 202 of the Housing Act 
        of 1959 (12 U.S.C. 1701q), that contains intergenerational 
        dwelling units, including through the development of elder 
        cottage housing opportunity units that are small, freestanding, 
        barrier free, energy efficient, removable dwelling units 
        located adjacent to a larger project or dwelling.
    (c) Program Terms.--Assistance provided pursuant to this section 
shall be subject to the provisions of section 202 of the Housing Act of 
1959 (12 U.S.C. 1701q), except that--
            (1) notwithstanding subsection (d)(1) of that section 202 
        or any provision of that section restricting occupancy to 
        elderly persons, any intergenerational dwelling unit assisted 
        under the demonstration program may be occupied by an 
        intergenerational family;
            (2) subsections (e) and (f) of that section 202 shall not 
        apply;
            (3) in addition to the requirements under subsection (g) of 
        that section 202, the Secretary shall--
                    (A) ensure that occupants of intergenerational 
                dwelling units assisted under the demonstration program 
                are provided a range of services that are tailored to 
                meet the needs of elderly persons, children, and 
                intergenerational families; and
                    (B) coordinate with the heads of other Federal 
                agencies as may be appropriate to ensure the provision 
                of such services; and
            (4) the Secretary may waive or alter any other provision of 
        that section 202 necessary to provide for assistance under the 
        demonstration program.
    (d) Selection.--The Secretary shall--
            (1) establish application procedures for private nonprofit 
        organizations to apply for assistance under this section; and
            (2) to the extent that amounts are made available pursuant 
        to subsection (f), select not less than 2 and not more than 4 
        projects that are assisted under section 202 of the Housing Act 
        of 1959 (12 U.S.C. 1701q) for assistance under this section, 
        based on the ability of the applicant to develop and operate 
        intergenerational dwelling units and national geographical 
        diversity among those projects funded.
    (e) Report.--Not later than 36 months after the date of enactment 
of this Act, the Secretary shall submit a report to Congress that--
            (1) describes the demonstration program; and
            (2) analyzes the effectiveness of the demonstration 
        program.
    (f) Funding.--Of amounts made available for assistance under 
section 202 of the Housing Act of 1959 (12 U.S.C. 1701q) for fiscal 
years 2003 through 2006, the Secretary shall reserve such sums as may 
be necessary for each fiscal year for use only for providing assistance 
under this section.
    (g) Sunset.--The demonstration program carried out under this 
section shall terminate 5 years after the date of enactment of this 
Act.

SEC. 4. DEMONSTRATION PROGRAM FOR RENTAL ASSISTANCE FOR GRANDPARENT-
              HEADED OR RELATIVE-HEADED FAMILIES.

    (a) In General.--The Secretary shall carry out a demonstration 
program (referred to in this section as the ``demonstration program'') 
to provide rental assistance under section 8 of the United States 
Housing Act of 1937 (42 U.S.C. 1437f) for the rental of suitable 
dwelling units by covered families.
    (b) Eligible Units.--Under the demonstration program, the Secretary 
shall make rental assistance amounts reserved pursuant to subsection 
(f) available to public housing agencies selected to participate in the 
demonstration program for use only for assistance on behalf of covered 
families renting qualified dwelling units.
    (c) Services.--The Secretary shall--
            (1) require any public housing agency participating in the 
        demonstration program to ensure that families receiving rental 
        assistance pursuant to this section are provided with 
        supportive services that are tailored to the needs of children 
        and covered families; and
            (2) coordinate with the heads of other Federal agencies as 
        may be appropriate to ensure the provision of such services.
    (d) Selection.--The Secretary shall--
            (1) establish application procedures for public housing 
        agencies to apply to participate in the demonstration program; 
        and
            (2) to the extent that amounts are made available pursuant 
        to subsection (f), select not less than 2 and not more than 4 
        agencies for participation in the demonstration program, based 
        on the ability of the applicant to provide assistance and 
        services under the demonstration program and national 
        geographical diversity among agencies participating in the 
        demonstration program.
    (e) Report.--Not later than 36 months after the date of enactment 
of this Act, the Secretary shall submit a report to Congress that--
            (1) describes the demonstration program; and
            (2) analyzes the effectiveness of the demonstration 
        program.
    (f) Funding.--Of amounts made available for voucher assistance 
under section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 
1437f(o)) for fiscal year 2003 and fiscal years thereafter, the 
Secretary shall reserve such sums as may be necessary for each fiscal 
year for use only for providing rental assistance under this section.
    (g) Sunset.--The demonstration program carried out under this 
section shall terminate 5 years after the date of enactment of this 
Act.

SEC. 5. ELIGIBILITY OF GRANDPARENT-HEADED AND RELATIVE-HEADED FAMILIES 
              FOR FAMILY UNIFICATION ASSISTANCE.

    Section 8(x) of the United States Housing Act of 1937 (42 U.S.C. 
1437f(x)) is amended--
            (1) in paragraph (2)--
                    (A) by striking ``section 8'' and inserting ``this 
                section'';
                    (B) by striking ``of (A) any family (i) who'' and 
                inserting the following: ``of--
                    ``(A) any family--
                            ``(i) who'';
                    (C) by striking ``assistance, and (ii) who'' and 
                inserting the following: ``assistance; and
                            ``(ii) who'';
                    (D) by striking ``care and (B) for'' and inserting 
                the following: ``care;
                    ``(B) for''; and
                    (E) by striking ``older.'' and inserting the 
                following: ``older; or
                    ``(C) a covered family (as that term is defined in 
                section 2 of the LEGACY Act of 2002), who is otherwise 
                eligible for such assistance, for rental of a qualified 
                dwelling unit (as that term is defined in section 2 of 
                the LEGACY Act of 2002).''; and
            (2) in paragraph (3)--
                    (A) by striking ``The'' and inserting the 
                following:
                    ``(A) In general.--The'';
                    (B) by striking ``To'' and inserting the following:
                    ``(B) Required submission.--To'';
                    (C) by striking ``containing a report'' and 
                inserting the following: ``containing--
                            ``(i) a report''; and
                    (D) by striking ``subsection.'' and inserting the 
                following: ``subsection; or
                            ``(ii) a description of the need for 
                        assistance under this subsection for covered 
                        families (as that term is defined in section 2 
                        of the LEGACY Act of 2002).''.

SEC. 6. ELIGIBILITY OF HOME PROGRAM ECHO UNITS FOR USE FOR GRANDPARENT-
              HEADED AND RELATIVE-HEADED FAMILIES.

    Section 104(8) of the Cranston-Gonzalez National Affordable Housing 
Act (42 U.S.C. 12704(8)) is amended--
            (1) by striking ``includes manufactured'' and inserting the 
        following: ``includes--
                    ``(A) manufactured''; and
            (2) by inserting before the period at the end the 
        following: ``; and
                    ``(B) cottage housing opportunity units that are 
                installed adjacent to existing 1- to 4-family 
                dwellings, are occupied by children who are members of 
                covered families (as that term is defined in section 2 
                of the LEGACY Act of 2002), and facilitate the 
                habitation of covered families as a single family 
                unit''.

SEC. 7. ASSISTANCE UNDER FAIR HOUSING INITIATIVES PROGRAM FOR EDUCATION 
              AND OUTREACH REGARDING HOUSING OPPORTUNITIES FOR 
              GRANDPARENT-HEADED AND RELATIVE-HEADED FAMILIES.

    Section 561 of the Housing and Community Development Act of 1987 
(42 U.S.C. 3616a) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``and'' at the 
                end;
                    (B) in paragraph (2), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(3) education, outreach, counseling, and assistance 
        programs designed--
                    ``(A) to inform covered families (as that term is 
                defined in section 2 of the LEGACY Act of 2002) of 
                affordable housing opportunities and services; and
                    ``(B) to assist in obtaining those opportunities 
                and services.''; and
            (2) in subsection (d), by adding at the end the following:
            ``(4) Housing programs for grandparent-headed and relative-
        headed families.--The Secretary shall provide funding to State 
        and local governments and public and nonprofit organizations 
        and institutions to carry out the activities under subsection 
        (a)(3).''.

SEC. 8. TRAINING FOR HUD PERSONNEL REGARDING GRANDPARENT-HEADED AND 
              RELATIVE-HEADED FAMILIES ISSUES.

    Section 7 of the Department of Housing and Urban Development Act 
(42 U.S.C. 3535) is amended by adding at the end the following:
    ``(t) Training Regarding Issues Relating to Grandparent-Headed and 
Relative-Headed Families.--The Secretary shall ensure that all 
personnel employed in field offices of the Department who have 
responsibilities for administering the housing assistance program under 
section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) or 
the supportive housing program under section 202 of the Housing Act of 
1959 (12 U.S.C. 1701q), and an appropriate number of personnel in the 
headquarters office of the Department who have responsibilities for 
those programs, have received adequate training regarding the 
particular needs and problems of covered families (as that term is 
defined in section 2 of the LEGACY Act of 2002), including appropriate 
affordable housing opportunities and legal custody issues.''.

SEC. 9. STUDY OF HOUSING NEEDS OF GRANDPARENT-HEADED AND RELATIVE-
              HEADED FAMILIES.

    (a) In General.--The Secretary and the Director of the Bureau of 
the Census jointly shall--
            (1) conduct a study to determine an estimate of the number 
        of covered families in the United States and their affordable 
        housing needs; and
            (2) submit a report to Congress regarding the results of 
        the study conducted under paragraph (1).
    (b) Report and Recommendations.--The report required under 
subsection (a) shall--
            (1) be submitted to Congress not later than 12 months after 
        the date of enactment of this Act; and
            (2) include recommendations by the Secretary and the 
        Director of the Bureau of the Census regarding how the major 
        assisted housing programs of the Department of Housing and 
        Urban Development, including the rental assistance and public 
        housing programs under the United States Housing Act of 1937 
        (42 U.S.C. 1437 et seq.) and the supportive housing for the 
        elderly program under section 202 of the Housing Act of 1959 
        (12 U.S.C. 1701q) can be used and, if appropriate, amended or 
        altered, to meet the affordable housing needs of covered 
        families.

Summary: Living Equitably: Grandparents Aiding Children and Youth Act of 2002 (Legacy Act of 2002) - Directs the Secretary of Housing and Urban Development to carry out: (1) a five-year pilot program in connection with the supportive housing program to provide assistance to private nonprofit organizations for expanding the supply of intergenerational dwelling units for intergenerational families (families headed by an elderly person); and (2) a five-year demonstration program for section 8 rental assistance to families headed by a grandparent or relative who is raising a child.Makes grandparent-headed and relative-headed families eligible for: (1) family unification assistance under the United States Housing Act of 1937; (2) Home program ECHO units under the Cranston-Gonzalez National Affordable Housing Act; and (3) fair housing initiatives education, counseling, and outreach under the Housing and Community Development Act of 1987.Amends the Department of Housing and Urban Development Act to provide Department of Housing and Urban Development personnel with related training.Directs the Secretary and the Director of the Bureau of the Census to conduct a joint study of such families' housing needs.