[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3219 Enrolled Bill (ENR)]

        H.R.3219

                       One Hundred Fourth Congress

                                 of the

                        United States of America


                          AT THE SECOND SESSION

         Begun and held at the City of Washington on Wednesday,
   the third day of January, one thousand nine hundred and ninety-six


                                 An Act


 
    To provide Federal assistance for Indian tribes in a manner that 
 recognizes the right of tribal self-governance, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Native American 
Housing Assistance and Self-Determination Act of 1996''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:
Sec. 1. Short title.
Sec. 2. Congressional findings.
Sec. 3. Administration through Office of Native American Programs.
Sec. 4. Definitions.

              TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS

Sec. 101. Block grants.
Sec. 102. Indian housing plans.
Sec. 103. Review of plans.
Sec. 104. Treatment of program income and labor standards.
Sec. 105. Environmental review.
Sec. 106. Regulations.
Sec. 107. Effective date.
Sec. 108. Authorization of appropriations.

                 TITLE II--AFFORDABLE HOUSING ACTIVITIES

Sec. 201. National objectives and eligible families.
Sec. 202. Eligible affordable housing activities.
Sec. 203. Program requirements.
Sec. 204. Types of investments.
Sec. 205. Low-income requirement and income targeting.
Sec. 206. Certification of compliance with subsidy layering 
          requirements.
Sec. 207. Lease requirements and tenant selection.
Sec. 208. Availability of records.
Sec. 209. Repayment.
Sec. 210. Continued use of amounts for affordable housing.

                 TITLE III--ALLOCATION OF GRANT AMOUNTS

Sec. 301. Annual allocation.
Sec. 302. Allocation formula.

                TITLE IV--COMPLIANCE, AUDITS, AND REPORTS

Sec. 401. Remedies for noncompliance.
Sec. 402. Replacement of recipient.
Sec. 403. Monitoring of compliance.
Sec. 404. Performance reports.
Sec. 405. Review and audit by Secretary.
Sec. 406. GAO audits.
Sec. 407. Reports to Congress.

TITLE V--TERMINATION OF ASSISTANCE FOR INDIAN TRIBES UNDER INCORPORATED 
                                PROGRAMS

Sec. 501. Repeal of provisions relating to Indian housing assistance 
          under United States Housing Act of 1937.
Sec. 502. Termination of Indian housing assistance under United States 
          Housing Act of 1937.
Sec. 503. Termination of new commitments for rental assistance.
Sec. 504. Termination of youthbuild program assistance.
Sec. 505. Termination of HOME program assistance.
Sec. 506. Termination of housing assistance for the homeless.
Sec. 507. Savings provision.
Sec. 508. Effective date.

TITLE VI--FEDERAL GUARANTEES FOR FINANCING FOR TRIBAL HOUSING ACTIVITIES

Sec. 601. Authority and requirements.
Sec. 602. Security and repayment.
Sec. 603. Payment of interest.
Sec. 604. Training and information.
Sec. 605. Limitations on amount of guarantees.
Sec. 606. Effective date.

        TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

Sec. 701. Loan guarantees for Indian housing.
Sec. 702. 50-year leasehold interest in trust or restricted lands for 
          housing purposes.
Sec. 703. Training and technical assistance.
Sec. 704. Public and Assisted Housing Drug Elimination Act of 1990.
Sec. 705. Effective date.

SEC. 2. CONGRESSIONAL FINDINGS.

    The Congress finds that--
        (1) the Federal Government has a responsibility to promote the 
    general welfare of the Nation--
            (A) by using Federal resources to aid families and 
        individuals seeking affordable homes in safe and healthy 
        environments and, in particular, assisting responsible, 
        deserving citizens who cannot provide fully for themselves 
        because of temporary circumstances or factors beyond their 
        control;
            (B) by working to ensure a thriving national economy and a 
        strong private housing market; and
            (C) by developing effective partnerships among the Federal 
        Government, State, tribal, and local governments, and private 
        entities that allow government to accept responsibility for 
        fostering the development of a healthy marketplace and allow 
        families to prosper without government involvement in their 
        day-to-day activities;
        (2) there exists a unique relationship between the Government 
    of the United States and the governments of Indian tribes and a 
    unique Federal responsibility to Indian people;
        (3) the Constitution of the United States invests the Congress 
    with plenary power over the field of Indian affairs, and through 
    treaties, statutes, and historical relations with Indian tribes, 
    the United States has undertaken a unique trust responsibility to 
    protect and support Indian tribes and Indian people;
        (4) the Congress, through treaties, statutes, and the general 
    course of dealing with Indian tribes, has assumed a trust 
    responsibility for the protection and preservation of Indian tribes 
    and for working with tribes and their members to improve their 
    housing conditions and socioeconomic status so that they are able 
    to take greater responsibility for their own economic condition;
        (5) providing affordable homes in safe and healthy environments 
    is an essential element in the special role of the United States in 
    helping tribes and their members to improve their housing 
    conditions and socioeconomic status;
        (6) the need for affordable homes in safe and healthy 
    environments on Indian reservations, in Indian communities, and in 
    Native Alaskan villages is acute and the Federal Government should 
    work not only to provide housing assistance, but also, to the 
    extent practicable, to assist in the development of private housing 
    finance mechanisms on Indian lands to achieve the goals of economic 
    self-sufficiency and self-determination for tribes and their 
    members; and
        (7) Federal assistance to meet these responsibilities should be 
    provided in a manner that recognizes the right of Indian self-
    determination and tribal self-governance by making such assistance 
    available directly to the Indian tribes or tribally designated 
    entities under authorities similar to those accorded Indian tribes 
    in Public Law 93-638 (25 U.S.C. 450 et seq.).

SEC. 3. ADMINISTRATION THROUGH OFFICE OF NATIVE AMERICAN PROGRAMS.

    The Secretary of Housing and Urban Development shall carry out this 
Act through the Office of Native American Programs of the Department of 
Housing and Urban Development.

SEC. 4. DEFINITIONS.

    For purposes of this Act, the following definitions shall apply:
        (1) Adjusted income.--The term ``adjusted income'' means the 
    annual income that remains after excluding the following amounts:
            (A) Youths, students, and persons with dis- abilities.--
        $480 for each member of the family residing in the household 
        (other than the head of the household or the spouse of the head 
        of the household)--
                (i) who is under 18 years of age; or
                (ii) who is--

                    (I) 18 years of age or older; and
                    (II) a person with disabilities or a full-time 
                student.

            (B) Elderly and disabled families.--$400 for an elderly or 
        disabled family.
            (C) Medical and attendant expenses.--The amount by which 3 
        percent of the annual income of the family is exceeded by the 
        aggregate of--
                (i) medical expenses, in the case of an elderly or 
            disabled family; and
                (ii) reasonable attendant care and auxiliary apparatus 
            expenses for each family member who is a person with 
            disabilities, to the extent necessary to enable any member 
            of the family (including a member who is a person with 
            disabilities) to be employed.
            (D) Child care expenses.--Child care expenses, to the 
        extent necessary to enable another member of the family to be 
        employed or to further his or her education.
            (E) Earned income of minors.--The amount of any earned 
        income of any member of the family who is less than 18 years of 
        age.
            (F) Travel expenses.--Excessive travel expenses, not to 
        exceed $25 per family per week, for employment- or education-
        related travel.
            (G) Other amounts.--Such other amounts as may be provided 
        in the Indian housing plan for an Indian tribe.
        (2) Affordable housing.--The term ``affordable housing'' means 
    housing that complies with the requirements for affordable housing 
    under title II. The term includes permanent housing for homeless 
    persons who are persons with disabilities, transitional housing, 
    and single room occupancy housing.
        (3) Drug-related criminal activity.--The term ``drug-related 
    criminal activity'' means the illegal manufacture, sale, 
    distribution, use, or possession with intent to manufacture, sell, 
    distribute, or use, of a controlled substance (as such term is 
    defined in section 102 of the Controlled Substances Act).
        (4) Elderly families and near-elderly families.--The terms 
    ``elderly family'' and ``near-elderly family'' mean a family whose 
    head (or his or her spouse), or whose sole member, is an elderly 
    person or a near-elderly person, respectively. Such terms include 2 
    or more elderly persons or near-elderly persons living together, 
    and 1 or more such persons living with 1 or more persons determined 
    under the Indian housing plan for the agency to be essential to 
    their care or well-being.
        (5) Elderly person.--The term ``elderly person'' means a person 
    who is at least 62 years of age.
        (6) Family.--The term ``family'' includes a family with or 
    without children, an elderly family, a near-elderly family, a 
    disabled family, and a single person.
        (7) Grant beneficiary.--The term ``grant beneficiary'' means 
    the Indian tribe or tribes on behalf of which a grant is made under 
    this Act to a recipient.
        (8) Income.--The term ``income'' means income from all sources 
    of each member of the household, as determined in accordance with 
    criteria prescribed by the Secretary, except that the following 
    amounts may not be considered as income under this paragraph:
            (A) Any amounts not actually received by the family.
            (B) Any amounts that would be eligible for exclusion under 
        section 1613(a)(7) of the Social Security Act.
        (9) Indian.--The term ``Indian'' means any person who is a 
    member of an Indian tribe.
        (10) Indian area.--The term ``Indian area'' means the area 
    within which a tribally designated housing entity is authorized by 
    one or more Indian tribes to provide assistance under this Act for 
    affordable housing.
        (11) Indian housing plan.--The term ``Indian housing plan'' 
    means a plan under section 102.
        (12) Indian tribe.--
            (A) In general.--The term ``Indian tribe'' means a tribe 
        that is a federally recognized tribe or a State recognized 
        tribe.
            (B) Federally recognized tribe.--The term ``federally 
        recognized tribe'' means any Indian tribe, band, nation, or 
        other organized group or community of Indians, including any 
        Alaska Native village or regional or village corporation as 
        defined in or established pursuant to the Alaska Native Claims 
        Settlement Act, that is recognized as eligible for the special 
        programs and services provided by the United States to Indians 
        because of their status as Indians pursuant to the Indian Self-
        Determination and Education Assistance Act of 1975.
            (C) State recognized tribe.--
                (i) In general.--The term ``State recognized tribe'' 
            means any tribe, band, nation, pueblo, village, or 
            community--

                    (I) that has been recognized as an Indian tribe by 
                any State; and
                    (II) for which an Indian Housing Authority has, 
                before the effective date under section 107, entered 
                into a contract with the Secretary pursuant to the 
                United States Housing Act of 1937 for housing for 
                Indian families and has received funding pursuant to 
                such contract within the 5-year period ending upon such 
                effective date.

                (ii) Conditions.--Notwithstanding clause (i)--

                    (I) the allocation formula under section 302 shall 
                be determined for a State recognized tribe under tribal 
                membership eligibility criteria in existence on the 
                date of the enactment of this Act; and
                    (II) nothing in this paragraph shall be construed 
                to confer upon a State recognized tribe any rights, 
                privileges, responsibilities, or obligations otherwise 
                accorded groups recognized as Indian tribes by the 
                United States for other purposes.

        (13) Low-income family.--The term ``low-income family'' means a 
    family whose income does not exceed 80 percent of the median income 
    for the area, as determined by the Secretary with adjustments for 
    smaller and larger families, except that the Secretary may, for 
    purposes of this paragraph, establish income ceilings higher or 
    lower than 80 percent of the median for the area on the basis of 
    the findings of the Secretary or the agency that such variations 
    are necessary because of prevailing levels of construction costs or 
    unusually high or low family incomes.
        (14) Median income.--The term ``median income'' means, with 
    respect to an area that is an Indian area, the greater of--
            (A) the median income for the Indian area, which the 
        Secretary shall determine; or
            (B) the median income for the United States.
        (15) Near-elderly person.--The term ``near-elderly person'' 
    means a person who is at least 55 years of age and less than 62 
    years of age.
        (16) Nonprofit.--The term ``nonprofit'' means, with respect to 
    an organization, association, corporation, or other entity, that no 
    part of the net earnings of the entity inures to the benefit of any 
    member, founder, contributor, or individual.
        (17) Person with disabilities.--The term ``person with 
    disabilities'' means a person who--
            (A) has a disability as defined in section 223 of the 
        Social Security Act;
            (B) is determined, pursuant to regulations issued by the 
        Secretary, to have a physical, mental, or emotional impairment 
        which--
                (i) is expected to be of long-continued and indefinite 
            duration;
                (ii) substantially impedes his or her ability to live 
            independently; and
                (iii) is of such a nature that such ability could be 
            improved by more suitable housing conditions; or
            (C) has a developmental disability as defined in section 
        102 of the Developmental Disabilities Assistance and Bill of 
        Rights Act.
    Such term shall not exclude persons who have the disease of 
    acquired immunodeficiency syndrome or any conditions arising from 
    the etiologic agent for acquired immunodeficiency syndrome. 
    Notwithstanding any other provision of law, no individual shall be 
    considered a person with disabilities, for purposes of eligibility 
    for housing assisted under this Act, solely on the basis of any 
    drug or alcohol dependence. The Secretary shall consult with other 
    appropriate Federal agencies to implement the preceding sentence.
        (18) Recipient.--The term ``recipient'' means an Indian tribe 
    or the entity for one or more Indian tribes that is authorized to 
    receive grant amounts under this Act on behalf of the tribe or 
    tribes.
        (19) Secretary.--Except as otherwise specifically provided in 
    this Act, the term ``Secretary'' means the Secretary of Housing and 
    Urban Development.
        (20) State.--The term ``State'' means the States of the United 
    States, the District of Columbia, the Commonwealth of Puerto Rico, 
    the Commonwealth of the Northern Mariana Islands, Guam, the Virgin 
    Islands, American Samoa, and any other territory or possession of 
    the United States and Indian tribes.
        (21) Tribally designated housing entity.--The terms ``tribally 
    designated housing entity'' and ``housing entity'' have the 
    following meaning:
            (A) Existing iha's.--With respect to any Indian tribe that 
        has not taken action under subparagraph (B), and for which an 
        Indian housing authority--
                (i) was established for purposes of the United States 
            Housing Act of 1937 before the date of the enactment of 
            this Act that meets the requirements under the United 
            States Housing Act of 1937,
                (ii) is acting upon such date of enactment as the 
            Indian housing authority for the tribe, and
                (iii) is not an Indian tribe for purposes of this Act,
        the terms mean such Indian housing authority.
            (B) Other entities.--With respect to any Indian tribe that, 
        pursuant to this Act, authorizes an entity other than the 
        tribal government to receive grant amounts and provide 
        assistance under this Act for affordable housing for Indians, 
        which entity is established--
                (i) by exercise of the power of self-government of one 
            or more Indian tribes independent of State law, or
                (ii) by operation of State law providing specifically 
            for housing authorities or housing entities for Indians, 
            including regional housing authorities in the State of 
            Alaska,
        the terms mean such entity.
            (C) Establishment.--A tribally designated housing entity 
        may be authorized or established by one or more Indian tribes 
        to act on behalf of each such tribe authorizing or establishing 
        the housing entity.

              TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS

SEC. 101. BLOCK GRANTS.

    (a) Authority.--For each fiscal year, the Secretary shall (to the 
extent amounts are made available to carry out this Act) make grants 
under this section on behalf of Indian tribes to carry out affordable 
housing activities. Under such a grant on behalf of an Indian tribe, 
the Secretary shall provide the grant amounts for the tribe directly to 
the recipient for the tribe.
    (b) Plan Requirement.--
        (1) In general.--The Secretary may make a grant under this Act 
    on behalf of an Indian tribe for a fiscal year only if--
            (A) the Indian tribe has submitted to the Secretary an 
        Indian housing plan for such fiscal year under section 102; and
            (B) the plan has been determined under section 103 to 
        comply with the requirements of section 102.
        (2) Waiver.--The Secretary may waive the applicability of the 
    requirements under paragraph (1), in whole or in part, if the 
    Secretary finds that an Indian tribe has not complied or cannot 
    comply with such requirements due to circumstances beyond the 
    control of the tribe.
    (c) Local Cooperation Agreement.--The Secretary may not make any 
grant under this Act on behalf of an Indian tribe unless the governing 
body of the locality within which any affordable housing to be assisted 
with the grant amounts will be situated has entered into an agreement 
with the recipient for the tribe providing for local cooperation 
required by the Secretary pursuant to this Act.
    (d) Exemption From Taxation.--A grant recipient for an Indian tribe 
may receive a block grant under this Act only if--
        (1) the affordable housing assisted with grant amounts received 
    by the recipient (exclusive of any portions not assisted with 
    amounts provided under this Act) is exempt from all real and 
    personal property taxes levied or imposed by any State, tribe, 
    city, county, or other political subdivision; and
        (2) the recipient makes annual payments of user fees to 
    compensate such governments for the costs of providing governmental 
    services, including police and fire protection, roads, water and 
    sewerage systems, utilities systems and related facilities, or 
    payments in lieu of taxes to such taxing authority, in an amount 
    equal to the greater of $150 per dwelling unit or 10 percent of the 
    difference between the shelter rent and the utility cost, or such 
    lesser amount as--
            (A) is prescribed by State, tribal, or local law;
            (B) is agreed to by the local governing body in the 
        agreement under subsection (c); or
            (C) the recipient and the local governing body agree that 
        such user fees or payments in lieu of taxes shall not be made.
    (e) Effect of Failure To Exempt From Taxation.--Notwithstanding 
subsection (d), a grant recipient that does not comply with the 
requirements under such subsection may receive a block grant under this 
Act, but only if the tribe, State, city, county, or other political 
subdivision in which the affordable housing development is located 
contributes, in the form of cash or tax remission, the amount by which 
the taxes paid with respect to the development exceed the amounts 
prescribed in subsection (d)(2).
    (f) Amount.--Except as otherwise provided under this Act, the 
amount of a grant under this section to a recipient for a fiscal year 
shall be--
        (1) in the case of a recipient whose grant beneficiary is a 
    single Indian tribe, the amount of the allocation under section 301 
    for the Indian tribe; and
        (2) in the case of a recipient whose grant beneficiary is more 
    than 1 Indian tribe, the sum of the amounts of the allocations 
    under section 301 for each such Indian tribe.
    (g) Use for Affordable Housing Activities Under Plan.--Except as 
provided in subsection (h), amounts provided under a grant under this 
section may be used only for affordable housing activities under title 
II that are consistent with an Indian housing plan approved under 
section 103.
    (h) Administrative Expenses.--The Secretary shall, by regulation, 
authorize each recipient to use a percentage of any grant amounts 
received under this Act for any reasonable administrative and planning 
expenses of the recipient relating to carrying out this Act and 
activities assisted with such amounts, which may include costs for 
salaries of individuals engaged in administering and managing 
affordable housing activities assisted with grant amounts provided 
under this Act and expenses of preparing an Indian housing plan under 
section 102.
    (i) Public-Private Partnerships.--Each recipient shall make all 
reasonable efforts, consistent with the purposes of this Act, to 
maximize participation by the private sector, including nonprofit 
organizations and for-profit entities, in implementing the approved 
Indian housing plan.

SEC. 102. INDIAN HOUSING PLANS.

    (a) Plan Submission.--The Secretary shall provide--
        (1) for an Indian tribe to submit to the Secretary, for each 
    fiscal year, a housing plan under this section for the tribe;
        (2) for the tribally designated housing entity for the tribe to 
    submit the plan as provided in subsection (d) for the tribe; and
        (3) for the review of such plans.
    (b) 5-Year Plan.--Each housing plan under this section shall be in 
a form prescribed by the Secretary and shall contain, with respect to 
the 5-year period beginning with the fiscal year for which the plan is 
submitted, the following information:
        (1) Mission statement.--A general statement of the mission of 
    the Indian tribe to serve the needs of the low-income families in 
    the jurisdiction of the Indian tribe during the period.
        (2) Goals and objectives.--A statement of the goals and 
    objectives of the Indian tribe to enable the tribe to serve the 
    needs identified in paragraph (1) during the period.
        (3) Activities plan.--An overview of the activities planned 
    during the period including an analysis of the manner in which the 
    activities will enable the tribe to meet its mission, goals, and 
    objectives.
    (c) 1-Year Plan.--A housing plan under this section for an Indian 
tribe shall be in a form prescribed by the Secretary and contain the 
following information relating to the upcoming fiscal year for which 
the assistance under this Act is to be made available:
        (1) Goals and objectives.--A statement of the goals and 
    objectives to be accomplished during that period.
        (2) Statement of needs.--A statement of the housing needs of 
    the low-income Indian families residing in the jurisdiction of the 
    Indian tribe and the means by which such needs will be addressed 
    during the period, including--
            (A) a description of the estimated housing needs and the 
        need for assistance for the low-income Indian families in the 
        jurisdiction, including a description of the manner in which 
        the geographical distribution of assistance is consistent with 
        the geographical needs and needs for various categories of 
        housing assistance; and
            (B) a description of the estimated housing needs for all 
        Indian families in the jurisdiction.
        (3) Financial resources.--An operating budget for the 
    recipient, in a form prescribed by the Secretary, that includes--
            (A) an identification and a description of the financial 
        resources reasonably available to the recipient to carry out 
        the purposes of this Act, including an explanation of the 
        manner in which amounts made available will leverage additional 
        resources; and
            (B) the uses to which such resources will be committed, 
        including eligible and required affordable housing activities 
        under title II and administrative expenses.
        (4) Affordable housing resources.--A statement of the 
    affordable housing resources currently available and to be made 
    available during the period, including--
            (A) a description of the significant characteristics of the 
        housing market in the jurisdiction, including the availability 
        of housing from other public sources, private market housing, 
        and the manner in which such characteristics influence the 
        decision of the recipient to use grant amounts to be provided 
        under this Act for rental assistance, production of new units, 
        acquisition of existing units, or rehabilitation of units;
            (B) a description of the structure, coordination, and means 
        of cooperation between the recipient and any other governmental 
        entities in the development, submission, or implementation of 
        housing plans, including a description of the involvement of 
        private, public, and nonprofit organizations and institutions, 
        and the use of loan guarantees under section 184 of the Housing 
        and Community Development Act of 1992, and other housing 
        assistance provided by the Federal Government for Indian 
        tribes, including loans, grants, and mortgage insurance;
            (C) a description of the manner in which the plan will 
        address the needs identified pursuant to paragraph (2);
            (D) a description of the manner in which the recipient will 
        protect and maintain the viability of housing owned and 
        operated by the recipient that was developed under a contract 
        between the Secretary and an Indian housing authority pursuant 
        to the United States Housing Act of 1937;
            (E) a description of any existing and anticipated 
        homeownership programs and rental programs to be carried out 
        during the period, and the requirements and assistance 
        available under such programs;
            (F) a description of any existing and anticipated housing 
        rehabilitation programs necessary to ensure the long-term 
        viability of the housing to be carried out during the period, 
        and the requirements and assistance available under such 
        programs;
            (G) a description of all other existing or anticipated 
        housing assistance provided by the recipient during the period, 
        including transitional housing, homeless housing, college 
        housing, supportive services housing, and the requirements and 
        assistance available under such programs;
            (H) a description of any housing to be demolished or 
        disposed of, a timetable for such demolition or disposition, 
        and any other information required by the Secretary with 
        respect to such demolition or disposition;
            (I) a description of the manner in which the recipient will 
        coordinate with tribal and State welfare agencies to ensure 
        that residents of such housing will be provided with access to 
        resources to assist in obtaining employment and achieving self-
        sufficiency;
            (J) a description of the requirements established by the 
        recipient to promote the safety of residents of such housing, 
        facilitate the undertaking of crime prevention measures, allow 
        resident input and involvement, including the establishment of 
        resident organizations, and allow for the coordination of crime 
        prevention activities between the recipient and tribal and 
        local law enforcement officials; and
            (K) a description of the entity that will carry out the 
        activities under the plan, including the organizational 
        capacity and key personnel of the entity.
        (5) Certification of compliance.--Evidence of compliance which 
    shall include, as appropriate--
            (A) a certification that the recipient will comply with 
        title II of the Civil Rights Act of 1968 in carrying out this 
        Act, to the extent that such title is applicable, and other 
        applicable Federal statutes;
            (B) a certification that the recipient will maintain 
        adequate insurance coverage for housing units that are owned 
        and operated or assisted with grant amounts provided under this 
        Act, in compliance with such requirements as may be established 
        by the Secretary;
            (C) a certification that policies are in effect and are 
        available for review by the Secretary and the public governing 
        the eligibility, admission, and occupancy of families for 
        housing assisted with grant amounts provided under this Act;
            (D) a certification that policies are in effect and are 
        available for review by the Secretary and the public governing 
        rents charged, including the methods by which such rents or 
        homebuyer payments are determined, for housing assisted with 
        grant amounts provided under this Act; and
            (E) a certification that policies are in effect and are 
        available for review by the Secretary and the public governing 
        the management and maintenance of housing assisted with grant 
        amounts provided under this Act.
    (d) Participation of Tribally Designated Housing Entity.--A plan 
under this section for an Indian tribe may be prepared and submitted on 
behalf of the tribe by the tribally designated housing entity for the 
tribe, but only if such plan contains a certification by the recognized 
tribal government of the grant beneficiary that such tribe--
        (1) has had an opportunity to review the plan and has 
    authorized the submission of the plan by the housing entity; or
        (2) has delegated to such tribally designated housing entity 
    the authority to submit a plan on behalf of the tribe without prior 
    review by the tribe.
    (e) Coordination of Plans.--A plan under this section may cover 
more than 1 Indian tribe, but only if the certification requirements 
under subsection (d) are complied with by each such grant beneficiary 
covered.
    (f) Plans for Small Tribes.--
        (1) Separate requirements.--The Secretary may--
            (A) establish requirements for submission of plans under 
        this section and the information to be included in such plans 
        applicable to small Indian tribes and small tribally designated 
        housing entities; and
            (B) waive any requirements under this section that the 
        Secretary determines are burdensome or unnecessary for such 
        tribes and housing entities.
        (2) Small tribes.--The Secretary may define small Indian tribes 
    and small tribally designated housing entities based on the number 
    of dwelling units assisted under this title by the tribe or housing 
    entity or owned or operated pursuant to a contract under the United 
    States Housing Act of 1937 between the Secretary and the Indian 
    housing authority for the tribe.
    (g) Regulations.--The requirements relating to the contents of 
plans under this section shall be established by regulation, pursuant 
to section 106.

SEC. 103. REVIEW OF PLANS.

    (a) Review and Notice.--
        (1) Review.--The Secretary shall conduct a limited review of 
    each Indian housing plan submitted to the Secretary to ensure that 
    the plan complies with the requirements of section 102. The 
    Secretary shall have the discretion to review a plan only to the 
    extent that the Secretary considers review is necessary.
        (2) Notice.--The Secretary shall notify each Indian tribe for 
    which a plan is submitted and any tribally designated housing 
    entity for the tribe whether the plan complies with such 
    requirements not later than 60 days after receiving the plan. If 
    the Secretary does not notify the Indian tribe, as required under 
    this subsection and subsection (b), the plan shall be considered, 
    for purposes of this Act, to have been determined to comply with 
    the requirements under section 102 and the tribe shall be 
    considered to have been notified of compliance upon the expiration 
    of such 60-day period.
    (b) Notice of Reasons for Determination of Noncompliance.--If the 
Secretary determines that a plan, as submitted, does not comply with 
the requirements under section 102, the Secretary shall specify in the 
notice under subsection (a) the reasons for the noncompliance and any 
modifications necessary for the plan to meet the requirements under 
section 102.
    (c) Review.--After submission of the Indian housing plan or any 
amendment or modification to the plan to the Secretary, to the extent 
that the Secretary considers such action to be necessary to make 
determinations under this subsection, the Secretary shall review the 
plan (including any amendments or modifications thereto) to determine 
whether the contents of the plan--
        (1) set forth the information required by section 102 to be 
    contained in an Indian housing plan;
        (2) are consistent with information and data available to the 
    Secretary; and
        (3) are prohibited by or inconsistent with any provision of 
    this Act or other applicable law.
If the Secretary determines that any of the appropriate certifications 
required under section 102(c)(5) are not included in the plan, the plan 
shall be deemed to be incomplete.
    (d) Updates to Plan.--After a plan under section 102 has been 
submitted for an Indian tribe for any fiscal year, the tribe may comply 
with the provisions of such section for any succeeding fiscal year 
(with respect to information included for the 5-year period under 
section 102(b) or the 1-year period under section 102(c)) by submitting 
only such information regarding such changes as may be necessary to 
update the plan previously submitted. Not less than once every 5 years, 
the tribe shall submit a complete plan.
    (e) Effective Date.--This section and section 102 shall take effect 
on the date provided by the Secretary pursuant to section 106(a) to 
provide for timely submission and review of Indian housing plans as 
necessary for the provision of assistance under this Act in fiscal year 
1998.

SEC. 104. TREATMENT OF PROGRAM INCOME AND LABOR STANDARDS.

    (a) Program Income.--
        (1) Authority to retain.--A recipient may retain any program 
    income that is realized from any grant amounts under this Act if--
            (A) such income was realized after the initial disbursement 
        of the grant amounts received by the recipient; and
            (B) the recipient has agreed that it will utilize the 
        program income for affordable housing activities in accordance 
        with the provisions of this Act.
        (2) Prohibition of reduction of grant.--The Secretary may not 
    reduce the grant amount for any Indian tribe based solely on--
            (A) whether the recipient for the tribe retains program 
        income under paragraph (1);
            (B) the amount of any such program income retained; or
            (C) whether the recipient retains reserve amounts described 
        in section 210.
        (3) Exclusion of amounts.--The Secretary may, by regulation, 
    exclude from consideration as program income any amounts determined 
    to be so small that compliance with the requirements of this 
    subsection would create an unreasonable administrative burden on 
    the recipient.
    (b) Labor Standards.--
        (1) In general.--Any contract or agreement for assistance, 
    sale, or lease pursuant to this Act shall contain a provision 
    requiring that not less than the wages prevailing in the locality, 
    as determined or adopted (subsequent to a determination under 
    applicable State, tribal, or local law) by the Secretary, shall be 
    paid to all architects, technical engineers, draftsmen, and 
    technicians employed in the development, and all maintenance 
    laborers and mechanics employed in the operation, of the affordable 
    housing project involved; and shall also contain a provision that 
    not less than the wages prevailing in the locality, as 
    predetermined by the Secretary of Labor pursuant to the Davis-Bacon 
    Act (40 U.S.C. 276a-276a-5), shall be paid to all laborers and 
    mechanics employed in the development of the affordable housing 
    involved, and the Secretary shall require certification as to 
    compliance with the provisions of this paragraph before making any 
    payment under such contract or agreement.
        (2) Exceptions.--Paragraph (1) and the provisions relating to 
    wages (pursuant to paragraph (1)) in any contract or agreement for 
    assistance, sale, or lease pursuant to this Act, shall not apply to 
    any individual who receives no compensation or is paid expenses, 
    reasonable benefits, or a nominal fee to perform the services for 
    which the individual volunteered and who is not otherwise employed 
    at any time in the construction work.

SEC. 105. ENVIRONMENTAL REVIEW.

    (a) In General.--
        (1) Release of funds.--In order to ensure that the policies of 
    the National Environmental Policy Act of 1969 and other provisions 
    of law that further the purposes of such Act (as specified in 
    regulations issued by the Secretary) are most effectively 
    implemented in connection with the expenditure of grant amounts 
    provided under this Act, and to ensure to the public undiminished 
    protection of the environment, the Secretary, in lieu of the 
    environmental protection procedures otherwise applicable, may by 
    regulation provide for the release of amounts for particular 
    projects to tribes which assume all of the responsibilities for 
    environmental review, decisionmaking, and action pursuant to such 
    Act, and such other provisions of law as the regulations of the 
    Secretary specify, that would apply to the Secretary were the 
    Secretary to undertake such projects as Federal projects.
        (2) Regulations.--
            (A) In general.--The Secretary shall issue regulations to 
        carry out this section only after consultation with the Council 
        on Environmental Quality.
            (B) Contents.--The regulations issued under this paragraph 
        shall--
                (i) provide for the monitoring of the environmental 
            reviews performed under this section;
                (ii) in the discretion of the Secretary, facilitate 
            training for the performance of such reviews; and
                (iii) provide for the suspension or termination of the 
            assumption of responsibilities under this section.
        (3) Effect on assumed responsibility.--The duty of the 
    Secretary under paragraph (2)(B) shall not be construed to limit or 
    reduce any responsibility assumed by a recipient of grant amounts 
    with respect to any particular release of funds.
    (b) Procedure.--The Secretary shall approve the release of funds 
subject to the procedures authorized by this section only if, not less 
than 15 days prior to such approval and prior to any commitment of 
funds to such projects, the tribe has submitted to the Secretary a 
request for such release accompanied by a certification that meets the 
requirements of subsection (c). The approval of the Secretary of any 
such certification shall be deemed to satisfy the responsibilities of 
the Secretary under the National Environmental Policy Act of 1969 and 
such other provisions of law as the regulations of the Secretary 
specify insofar as those responsibilities relate to the releases of 
funds for projects to be carried out pursuant thereto that are covered 
by such certification.
    (c) Certification.--A certification under the procedures authorized 
by this section shall--
        (1) be in a form acceptable to the Secretary;
        (2) be executed by the chief executive officer or other officer 
    of the tribe under this Act qualified under regulations of the 
    Secretary;
        (3) specify that the tribe has fully carried out its 
    responsibilities as described under subsection (a); and
        (4) specify that the certifying officer--
            (A) consents to assume the status of a responsible Federal 
        official under the National Environmental Policy Act of 1969 
        and each provision of law specified in regulations issued by 
        the Secretary insofar as the provisions of such Act or such 
        other provisions of law apply pursuant to subsection (a); and
            (B) is authorized and consents on behalf of the tribe and 
        such officer to accept the jurisdiction of the Federal courts 
        for the purpose of enforcement of the responsibilities of the 
        certifying officer as such an official.

SEC. 106. REGULATIONS.

    (a) Transition Requirements.--
        (1) In general.--Not later than 90 days after the date of the 
    enactment of this Act, the Secretary shall, by notice issued in the 
    Federal Register, establish any requirements necessary to provide 
    for the transition (upon the effectiveness of this Act and the 
    amendments made by this Act) from the provision of assistance for 
    Indian tribes and Indian housing authorities under the United 
    States Housing Act of 1937 and other related provisions of law to 
    the provision of assistance in accordance with this Act and the 
    amendments made by this Act.
        (2) Public comments; general notice of proposed rulemaking.--
    The notice issued under paragraph (1) shall--
            (A) invite public comments regarding such transition 
        requirements and final regulations to carry out this Act; and
            (B) include a general notice of proposed rulemaking (for 
        purposes of section 564(a) of title 5, United States Code) of 
        the final regulations under subsection (b).
    (b) Final Regulations.--
        (1) Timing.--The Secretary shall issue final regulations 
    necessary to carry out this Act not later than September 1, 1997, 
    and such regulations shall take effect not later than the effective 
    date of this Act.
        (2) Negotiated rulemaking procedure.--
            (A) In general.--Notwithstanding sections 563(a) and 565(a) 
        of title 5, United States Code, all regulations required under 
        this Act shall be issued according to a negotiated rulemaking 
        procedure under subchapter III of chapter 5 of title 5, United 
        States Code.
            (B) Committee.--
                (i) In general.--The Secretary shall establish a 
            negotiated rulemaking committee, in accordance with the 
            procedures under that subchapter, for the development of 
            proposed regulations under subparagraph (A).
                (ii) Adaptation.--In establishing the negotiated 
            rulemaking committee, the Secretary shall--

                    (I) adapt the procedures under the subchapter 
                described in clause (i) to the unique government-to-
                government relationship between the Indian tribes and 
                the United States, and shall ensure that the membership 
                of the committee include only representatives of the 
                Federal Government and of geographically diverse small, 
                medium, and large Indian tribes; and
                    (II) shall not preclude the participation of 
                tribally designated housing entities should tribes 
                elect to be represented by such entities.

    (c) Effective Date.--This section shall take effect on the date of 
the enactment of this Act.

SEC. 107. EFFECTIVE DATE.

    Except as otherwise expressly provided in this Act, this Act and 
the amendments made by this Act shall take effect on October 1, 1997.

SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated for grants under this title 
such sums as may be necessary for each of fiscal years 1998, 1999, 
2000, and 2001. This section shall take effect on the date of the 
enactment of this Act.

                TITLE II--AFFORDABLE HOUSING ACTIVITIES

SEC. 201. NATIONAL OBJECTIVES AND ELIGIBLE FAMILIES.

    (a) Primary Objective.--The national objectives of this Act are--
        (1) to assist and promote affordable housing activities to 
    develop, maintain, and operate affordable housing in safe and 
    healthy environments on Indian reservations and in other Indian 
    areas for occupancy by low-income Indian families;
        (2) to ensure better access to private mortgage markets for 
    Indian tribes and their members and to promote self- sufficiency of 
    Indian tribes and their members;
        (3) to coordinate activities to provide housing for Indian 
    tribes and their members with Federal, State, and local activities 
    to further economic and community development for Indian tribes and 
    their members;
        (4) to plan for and integrate infrastructure resources for 
    Indian tribes with housing development for tribes; and
        (5) to promote the development of private capital markets in 
    Indian country and to allow such markets to operate and grow, 
    thereby benefiting Indian communities.
    (b) Eligible Families.--
        (1) In general.--Except as provided under paragraph (2), 
    assistance under eligible housing activities under this Act shall 
    be limited to low-income Indian families on Indian reservations and 
    other Indian areas.
        (2) Exception to low-income requirement.--A recipient may 
    provide assistance for homeownership activities under section 
    202(2), model activities under section 202(6), or loan guarantee 
    activities under title VI to Indian families who are not low-income 
    families, to the extent that the Secretary approves the activities 
    pursuant to such section or title because there is a need for 
    housing for such families that cannot reasonably be met without 
    such assistance. The Secretary shall establish limits on the amount 
    of assistance that may be provided under this Act for activities 
    for families who are not low-income families.
        (3) Non-indian families.--Notwithstanding paragraph (1), a 
    recipient may provide housing or housing assistance provided 
    through affordable housing activities assisted with grant amounts 
    under this Act for a non-Indian family on an Indian reservation or 
    other Indian area if the recipient determines that the presence of 
    the family on the Indian reservation or other Indian area is 
    essential to the well-being of Indian families and the need for 
    housing for the family cannot reasonably be met without such 
    assistance.
        (4) Preference for tribal members and other indian families.--
    The Indian housing plan for an Indian tribe may require preference, 
    for housing or housing assistance provided through affordable 
    housing activities assisted with grant amounts provided under this 
    Act on behalf of such tribe, to be given (to the extent 
    practicable) to Indian families who are members of such tribe, or 
    to other Indian families. In any case in which the applicable 
    Indian housing plan for an Indian tribe provides for preference 
    under this paragraph, the recipient for the tribe shall ensure that 
    housing activities that are assisted with grant amounts under this 
    Act for such tribe are subject to such preference.
        (5) Exemption.--Title VI of the Civil Rights Act of 1964 and 
    title VIII of the Civil Rights Act of 1968 shall not apply to 
    actions by Indian tribes under this subsection.

SEC. 202. ELIGIBLE AFFORDABLE HOUSING ACTIVITIES.

    Affordable housing activities under this title are activities, in 
accordance with the requirements of this title, to develop or to 
support affordable housing for rental or homeownership, or to provide 
housing services with respect to affordable housing, through the 
following activities:
        (1) Indian housing assistance.--The provision of modernization 
    or operating assistance for housing previously developed or 
    operated pursuant to a contract between the Secretary and an Indian 
    housing authority.
        (2) Development.--The acquisition, new construction, 
    reconstruction, or moderate or substantial rehabilitation of 
    affordable housing, which may include real property acquisition, 
    site improvement, development of utilities and utility services, 
    conversion, demolition, financing, administration and planning, and 
    other related activities.
        (3) Housing services.--The provision of housing-related 
    services for affordable housing, such as housing counseling in 
    connection with rental or homeownership assistance, establishment 
    and support of resident organizations and resident management 
    corporations, energy auditing, activities related to the provision 
    of self-sufficiency and other services, and other services related 
    to assisting owners, tenants, contractors, and other entities, 
    participating or seeking to participate in other housing activities 
    assisted pursuant to this section.
        (4) Housing management services.--The provision of management 
    services for affordable housing, including preparation of work 
    specifications, loan processing, inspections, tenant selection, 
    management of tenant-based rental assistance, and management of 
    affordable housing projects.
        (5) Crime prevention and safety activities.--The provision of 
    safety, security, and law enforcement measures and activities 
    appropriate to protect residents of affordable housing from crime.
        (6) Model activities.--Housing activities under model programs 
    that are designed to carry out the purposes of this Act and are 
    specifically approved by the Secretary as appropriate for such 
    purpose.

SEC. 203. PROGRAM REQUIREMENTS.

    (a) Rents.--
        (1) Establishment.--Subject to paragraph (2), each recipient 
    shall develop written policies governing rents and homebuyer 
    payments charged for dwelling units assisted under this Act, 
    including the methods by which such rents and homebuyer payments 
    are determined.
        (2) Maximum rent.--In the case of any low-income family 
    residing in a dwelling unit assisted with grant amounts under this 
    Act, the monthly rent or homebuyer payment (as
    applicable) for such dwelling unit may not exceed 30 percent of the 
    monthly adjusted income of such family.
    (b) Maintenance and Efficient Operation.--Each recipient who owns 
or operates (or is responsible for funding any entity that owns or 
operates) housing developed or operated pursuant to a contract between 
the Secretary and an Indian housing authority pursuant to the United 
States Housing Act of 1937 shall, using amounts of any grants received 
under this Act, reserve and use for operating assistance under section 
202(1) such amounts as may be necessary to provide for the continued 
maintenance and efficient operation of such housing. This subsection 
may not be construed to prevent any recipient (or entity funded by a 
recipient) from demolishing or disposing of Indian housing referred to 
in this subsection, pursuant to regulations established by the 
Secretary.
    (c) Insurance Coverage.--Each recipient shall maintain adequate 
insurance coverage for housing units that are owned or operated or 
assisted with grant amounts provided under this Act.
    (d) Eligibility for Admission.--Each recipient shall develop 
written policies governing the eligibility, admission, and occupancy of 
families for housing assisted with grant amounts provided under this 
Act.
    (e) Management and Maintenance.--Each recipient shall develop 
policies governing the management and maintenance of housing assisted 
with grant amounts under this Act.

SEC. 204. TYPES OF INVESTMENTS.

    (a) In General.--Subject to section 203 and the Indian housing plan 
for an Indian tribe, the recipient for that tribe shall have--
        (1) the discretion to use grant amounts for affordable housing 
    activities through equity investments, interest-bearing loans or 
    advances, noninterest-bearing loans or advances, interest 
    subsidies, leveraging of private investments, or any other form of 
    assistance that the Secretary has determined to be consistent with 
    the purposes of this Act; and
        (2) the right to establish the terms of assistance.
    (b) Investments.--A recipient may invest grant amounts for the 
purposes of carrying out affordable housing activities in investment 
securities and other obligations as approved by the Secretary.

SEC. 205. LOW-INCOME REQUIREMENT AND INCOME TARGETING.

    (a) In General.--Housing shall qualify as affordable housing for 
purposes of this Act only if--
        (1) each dwelling unit in the housing--
            (A) in the case of rental housing, is made available for 
        occupancy only by a family that is a low-income family at the 
        time of their initial occupancy of such unit; and
            (B) in the case of housing for homeownership, is made 
        available for purchase only by a family that is a low-income 
        family at the time of purchase; and
        (2) except for housing assisted under section 202 of the United 
    States Housing Act of 1937 (as in effect before the date of the 
    effectiveness of this Act), each dwelling unit in the housing will 
    remain affordable, according to binding commitments satisfactory to 
    the Secretary, for the remaining useful life of the property (as 
    determined by the Secretary) without regard to the term of the 
    mortgage or to transfer of ownership, or for such other period that 
    the Secretary determines is the longest feasible period of time 
    consistent with sound economics and the purposes of this Act, 
    except upon a foreclosure by a lender (or upon other transfer in 
    lieu of foreclosure) if such action--
            (A) recognizes any contractual or legal rights of public 
        agencies, nonprofit sponsors, or others to take actions that 
        would avoid termination of low-income affordability in the case 
        of foreclosure or transfer in lieu of foreclosure; and
            (B) is not for the purpose of avoiding low-income 
        affordability restrictions, as determined by the Secretary.
    (b) Exception.--Notwithstanding subsection (a), housing assisted 
pursuant to section 201(b)(2) shall be considered affordable housing 
for purposes of this Act.

SEC. 206. CERTIFICATION OF COMPLIANCE WITH SUBSIDY LAYERING 
              REQUIREMENTS.

    With respect to housing assisted with grant amounts provided under 
this Act, the requirements of section 102(d) of the Department of 
Housing and Urban Development Reform Act of 1989 shall be considered to 
be satisfied upon certification by the Secretary that the combination 
of Federal assistance provided to any housing project is not any more 
than is necessary to provide affordable housing.

SEC. 207. LEASE REQUIREMENTS AND TENANT SELECTION.

    (a) Leases.--Except to the extent otherwise provided by or 
inconsistent with tribal law, in renting dwelling units in affordable 
housing assisted with grant amounts provided under this Act, the owner 
or manager of the housing shall utilize leases that--
        (1) do not contain unreasonable terms and conditions;
        (2) require the owner or manager to maintain the housing in 
    compliance with applicable housing codes and quality standards;
        (3) require the owner or manager to give adequate written 
    notice of termination of the lease, which shall be the period of 
    time required under State, tribal, or local law;
        (4) specify that, with respect to any notice of eviction or 
    termination, notwithstanding any State, tribal, or local law, a 
    resident shall be informed of the opportunity, prior to any hearing 
    or trial, to examine any relevant documents, records, or 
    regulations directly related to the eviction or termination;
        (5) require that the owner or manager may not terminate the 
    tenancy, during the term of the lease, except for serious or 
    repeated violation of the terms or conditions of the lease, 
    violation of applicable Federal, State, tribal, or local law, or 
    for other good cause; and
        (6) provide that the owner or manager may terminate the tenancy 
    of a resident for any activity, engaged in by the resident, any 
    member of the household of the resident, or any guest or other 
    person under the control of the resident, that--
            (A) threatens the health or safety of, or right to peaceful 
        enjoyment of the premises by, other residents or employees of 
        the owner or manager of the housing;
            (B) threatens the health or safety of, or right to peaceful 
        enjoyment of their premises by, persons residing in the 
        immediate vicinity of the premises; or
            (C) is criminal activity (including drug-related criminal 
        activity) on or off the premises.
    (b) Tenant Selection.--The owner or manager of affordable rental 
housing assisted with grant amounts provided under this Act shall adopt 
and utilize written tenant selection policies and criteria that--
        (1) are consistent with the purpose of providing housing for 
    low-income families;
        (2) are reasonably related to program eligibility and the 
    ability of the applicant to perform the obligations of the lease; 
    and
        (3) provide for--
            (A) the selection of tenants from a written waiting list in 
        accordance with the policies and goals set forth in the Indian 
        housing plan for the tribe that is the grant beneficiary of 
        such grant amounts; and
            (B) the prompt notification in writing of any rejected 
        applicant of the grounds for any rejection.

SEC. 208. AVAILABILITY OF RECORDS.

    (a) Provision of Information.--Notwithstanding any other provision 
of law, except as provided in paragraph (2), the National Crime 
Information Center, police departments, and other law enforcement 
agencies shall, upon request, provide information to Indian tribes or 
tribally designated housing entities regarding the criminal conviction 
records of adult applicants for, or tenants of, housing assisted with 
grant amounts provided to such tribe or entity under this Act for 
purposes of applicant screening, lease enforcement, and eviction.
    (b) Exception.--A law enforcement agency described in paragraph (1) 
shall provide information under this paragraph relating to any criminal 
conviction of a juvenile only to the extent that the release of such 
information is authorized under the law of the applicable State, tribe, 
or locality.
    (c) Confidentiality.--An Indian tribe or tribally designated 
housing entity receiving information under this section may use such 
information only for the purposes provided in this section and such 
information may not be disclosed to any person who is not an officer, 
employee, or authorized representative of the tribe or entity or the 
owner of housing assisted under this Act, and who has a job-related 
need to have access to the information for the purposes under this 
section. For judicial eviction proceedings, disclosures may be made to 
the extent necessary. The Secretary shall, by regulation, establish 
procedures necessary to ensure that information provided under this 
section to any tribe or entity is used, and confidentiality is 
maintained, as required under this section.

SEC. 209. REPAYMENT.

    If a recipient uses grant amounts to provide affordable housing 
under activities under this title and, at any time during the useful 
life of the housing the housing does not comply with the requirement 
under section 205(2), the Secretary shall reduce future grant payments 
on behalf of the grant beneficiary by an amount equal to the grant 
amounts used for such housing (under the authority under section 
401(a)(2)) or require repayment to the Secretary of an amount equal to 
such grant amounts.

SEC. 210. CONTINUED USE OF AMOUNTS FOR AFFORDABLE HOUSING.

    Any funds for programs for low-income housing under the United 
States Housing Act of 1937 that, on the date of the applicability of 
this Act to an Indian tribe, are owned by, or in the possession or 
under the control of, the Indian housing authority for the tribe, 
including all reserves not otherwise obligated, shall be considered 
assistance under this Act and subject to the provisions of this Act 
relating to use of such assistance.

                 TITLE III--ALLOCATION OF GRANT AMOUNTS

SEC. 301. ANNUAL ALLOCATION.

    For each fiscal year, the Secretary shall allocate any amounts made 
available for assistance under this Act for the fiscal year, in 
accordance with the formula established pursuant to section 302, among 
Indian tribes that comply with the requirements under this Act for a 
grant under this Act.

SEC. 302. ALLOCATION FORMULA.

    (a) Establishment.--The Secretary shall, by regulations issued not 
later than the expiration of the 12-month period beginning on the date 
of the enactment of this Act, in the manner provided under section 106, 
establish a formula to provide for allocating amounts available for a 
fiscal year for block grants under this Act among Indian tribes in 
accordance with the requirements of this section.
    (b) Factors for Determination of Need.--The formula shall be based 
on factors that reflect the need of the Indian tribes and the Indian 
areas of the tribes for assistance for affordable housing activities, 
including the following factors:
        (1) The number of low-income housing dwelling units owned or 
    operated at the time pursuant to a contract between an Indian 
    housing authority for the tribe and the Secretary.
        (2) The extent of poverty and economic distress and the number 
    of Indian families within Indian areas of the tribe.
        (3) Other objectively measurable conditions as the Secretary 
    and the Indian tribes may specify.
    (c) Other Factors for Consideration.--In establishing the formula, 
the Secretary shall consider--
        (1) the relative administrative capacities and other challenges 
    faced by the recipient, including, but not limited to geographic 
    distribution within the Indian area and technical capacity; and
        (2) the extent to which terminations of assistance under title 
    V will affect funding available to State recognized tribes.
    (d) Funding for Public Housing Operation and Modernization.--
        (1) Full funding.--The formula shall provide that, if, in any 
    fiscal year, the total amount made available for assistance under 
    this Act is equal to or greater than the total amount made 
    available for fiscal year 1996 for assistance for the operation and 
    modernization of public housing developed or operated pursuant to a 
    contract between the Secretary and an Indian housing authority 
    pursuant to the United States Housing Act of 1937, the amount 
    provided for such fiscal year for each Indian tribe for which such 
    operating or modernization assistance was provided for fiscal year 
    1996 shall not be less than the total amount of such operating and 
    modernization assistance provided for fiscal year 1996 for such 
    tribe.
        (2) Partial funding.--The formula shall provide that, if, in 
    any fiscal year, the total amount made available for assistance 
    under this Act is less than the total amount made available for 
    fiscal year 1996 for assistance for the operation and modernization 
    of public housing developed or operated pursuant to a contract 
    between the Secretary and an Indian housing authority pursuant to 
    the United States Housing Act of 1937, the amount provided for such 
    fiscal year for each Indian tribe for which such operating or 
    modernization assistance was provided for fiscal year 1996 shall 
    not be less than the amount that bears the same ratio to the total 
    amount available for assistance under this Act for such fiscal year 
    that the amount of operating and modernization assistance provided 
    for the tribe for fiscal year 1996 bears to the total amount made 
    available for fiscal year 1996 for assistance for the operation and 
    modernization of such public housing.
    (e) Effective Date.--This section shall take effect on the date of 
the enactment of this Act.

               TITLE IV--COMPLIANCE, AUDITS, AND REPORTS

SEC. 401. REMEDIES FOR NONCOMPLIANCE.

    (a) Actions by Secretary Affecting Grant Amounts.--Except as 
provided in subsection (b), if the Secretary finds after reasonable 
notice and opportunity for hearing that a recipient of assistance under 
this Act has failed to comply substantially with any provision of this 
Act, the Secretary shall--
        (1) terminate payments under this Act to the recipient;
        (2) reduce payments under this Act to the recipient by an 
    amount equal to the amount of such payments that were not expended 
    in accordance with this Act;
        (3) limit the availability of payments under this Act to 
    programs, projects, or activities not affected by such failure to 
    comply; or
        (4) in the case of noncompliance described in section 402(b), 
    provide a replacement tribally designated housing entity for the 
    recipient, under section 402.
If the Secretary takes an action under paragraph (1), (2), or (3), the 
Secretary shall continue such action until the Secretary determines 
that the failure to comply has ceased.
    (b) Noncompliance Because of Technical Incapacity.--If the 
Secretary makes a finding under subsection (a), but determines that the 
failure to comply substantially with the provisions of this Act--
        (1) is not a pattern or practice of activities constituting 
    willful noncompliance, and
        (2) is a result of the limited capability or capacity of the 
    recipient,
the Secretary may provide technical assistance for the recipient 
(directly or indirectly) that is designed to increase the capability 
and capacity of the recipient to administer assistance provided under 
this Act in compliance with the requirements under this Act.
    (c) Referral for Civil Action.--
        (1) Authority.--In lieu of, or in addition to, any action 
    authorized by subsection (a), if the Secretary has reason to 
    believe that a recipient has failed to comply substantially with 
    any provision of this Act, the Secretary may refer the matter to 
    the Attorney General of the United States with a recommendation 
    that an appropriate civil action be instituted.
        (2) Civil action.--Upon such a referral, the Attorney General 
    may bring a civil action in any United States district court having 
    venue thereof for such relief as may be appropriate, including an 
    action to recover the amount of the assistance furnished under this 
    Act that was not expended in accordance with it, or for mandatory 
    or injunctive relief.
    (d) Review.--
        (1) In general.--Any recipient who receives notice under 
    subsection (a) of the termination, reduction, or limitation of 
    payments under this Act--
            (A) may, not later than 60 days after receiving such 
        notice, file with the United States Court of Appeals for the 
        circuit in which such State is located, or in the United States 
        Court of Appeals for the District of Columbia, a petition for 
        review of the action of the Secretary; and
            (B) upon the filing of any petition under subparagraph (A), 
        shall forthwith transmit copies of the petition to the 
        Secretary and the Attorney General of the United States, who 
        shall represent the Secretary in the litigation.
        (2) Procedure.--The Secretary shall file in the court a record 
    of the proceeding on which the Secretary based the action, as 
    provided in section 2112 of title 28, United States Code. No 
    objection to the action of the Secretary shall be considered by the 
    court unless such objection has been urged before the Secretary.
        (3) Disposition.--
            (A) Court proceedings.--The court shall have jurisdiction 
        to affirm or modify the action of the Secretary or to set it 
        aside in whole or in part. The findings of fact by the 
        Secretary, if supported by substantial evidence on the record 
        considered as a whole, shall be conclusive. The court may order 
        additional evidence to be taken by the Secretary, and to be 
        made part of the record.
            (B) Secretary.--The Secretary--
                (i) may modify the findings of fact of the Secretary, 
            or make new findings, by reason of the new evidence so 
            taken and filed with the court; and
                (ii) shall file--

                    (I) such modified or new findings, which findings 
                with respect to questions of fact shall be conclusive 
                if supported by substantial evidence on the record 
                considered as a whole; and
                    (II) the recommendation of the Secretary, if any, 
                for the modification or setting aside of the original 
                action of the Secretary.

        (4) Finality.--Upon the filing of the record with the court, 
    the jurisdiction of the court shall be exclusive and its judgment 
    shall be final, except that such judgment shall be subject to 
    review by the Supreme Court of the United States upon writ of 
    certiorari or certification as provided in section 1254 of title 
    28, United State Code.

SEC. 402. REPLACEMENT OF RECIPIENT.

    (a) Authority.--As a condition of the Secretary making a grant 
under this Act on behalf of an Indian tribe, the tribe shall agree 
that, notwithstanding any other provision of law, the Secretary may, 
only in the circumstances set forth in subsection (b), require that a 
replacement tribally designated housing entity serve as the recipient 
for the tribe, in accordance with subsection (c).
    (b) Conditions of Removal.--The Secretary may require such 
replacement tribally designated housing entity for a tribe only upon a 
determination by the Secretary on the record after opportunity for a 
hearing that the recipient for the tribe has engaged in a pattern or 
practice of activities that constitutes substantial or willful 
noncompliance with the requirements under this Act.
    (c) Choice and Term of Replacement.--If the Secretary requires that 
a replacement tribally designated housing entity serve as the recipient 
for a tribe (or tribes)--
        (1) the replacement entity shall be an entity mutually agreed 
    upon by the Secretary and the tribe (or tribes) for which the 
    recipient was authorized to act, except that if no such entity is 
    agreed upon before the expiration of the 60-day period beginning 
    upon the date that the Secretary makes the determination under 
    subsection (b), the Secretary shall act as the replacement entity 
    until agreement is reached upon a replacement entity; and
        (2) the replacement entity (or the Secretary, as provided in 
    paragraph (1)) shall act as the tribally designated housing entity 
    for the tribe (or tribes) for a period that expires upon--
            (A) a date certain, which shall be specified by the 
        Secretary upon making the determination under subsection (b); 
        or
            (B) the occurrence of specific conditions, which conditions 
        shall be specified in written notice provided by the Secretary 
        to the tribe upon making the determination under subsection 
        (b).

SEC. 403. MONITORING OF COMPLIANCE.

    (a) Enforceable Agreements.--Each recipient, through binding 
contractual agreements with owners and otherwise, shall ensure long-
term compliance with the provisions of this Act. Such measures shall 
provide for (1) enforcement of the provisions of this Act by the grant 
beneficiary or by recipients and other intended beneficiaries, and (2) 
remedies for the breach of such provisions.
    (b) Periodic Monitoring.--Not less frequently than annually, each 
recipient shall review the activities conducted and housing assisted 
under this Act to assess compliance with the requirements of this Act. 
Such review shall include onsite inspection of housing to determine 
compliance with applicable requirements. The results of each review 
shall be included in the performance report of the recipient submitted 
to the Secretary under section 404 and made available to the public.
    (c) Performance Measures.--The Secretary shall establish such 
performance measures as may be necessary to assess compliance with the 
requirements of this Act.

SEC. 404. PERFORMANCE REPORTS.

    (a) Requirement.--For each fiscal year, each recipient shall--
        (1) review the progress it has made during such fiscal year in 
    carrying out the Indian housing plan (or plans) for the Indian 
    tribes for which it administers grant amounts; and
        (2) submit a report to the Secretary (in a form acceptable to 
    the Secretary) describing the conclusions of the review.
    (b) Content.--Each report under this section for a fiscal year 
shall--
        (1) describe the use of grant amounts provided to the recipient 
    for such fiscal year;
        (2) assess the relationship of such use to the goals identified 
    in the Indian housing plan of the grant beneficiary;
        (3) indicate the programmatic accomplishments of the recipient; 
    and
        (4) describe the manner in which the recipient would change its 
    programs as a result of its experiences.
    (c) Submission.--The Secretary shall establish dates for submission 
of reports under this section, and review such reports and make such 
recommendations as the Secretary considers appropriate to carry out the 
purposes of this Act.
    (d) Public Availability.--A recipient preparing a report under this 
section shall make the report publicly available to the citizens in the 
jurisdiction of the recipient in sufficient time to permit such 
citizens to comment on such report prior to its submission to the 
Secretary, and in such manner and at such times as the recipient may 
determine. The report shall include a summary of any comments received 
by the grant beneficiary or recipient from citizens in its jurisdiction 
regarding its program.

SEC. 405. REVIEW AND AUDIT BY SECRETARY.

    (a) Annual Review.--The Secretary shall, not less than on an annual 
basis, make such reviews and audits as may be necessary or appropriate 
to determine--
        (1) whether the recipient has carried out its eligible 
    activities in a timely manner, has carried out its eligible 
    activities and certifications in accordance with the requirements 
    and the primary objectives of this Act and with other applicable 
    laws, and has a continuing capacity to carry out those activities 
    in a timely manner;
        (2) whether the recipient has complied with the Indian housing 
    plan of the grant beneficiary; and
        (3) whether the performance reports under section 404 of the 
    recipient are accurate.
Reviews under this section shall include, insofar as practicable, 
onsite visits by employees of the Department of Housing and Urban 
Development.
    (b) Report by Secretary.--The Secretary shall give a recipient not 
less than 30 days to review and comment on a report under this 
subsection. After taking into consideration the comments of the 
recipient, the Secretary may revise the report and shall make the 
comments of the recipient and the report, with any revisions, readily 
available to the public not later than 30 days after receipt of the 
comments of the recipient.
    (c) Effect of Reviews.--The Secretary may make appropriate 
adjustments in the amount of the annual grants under this Act in 
accordance with the findings of the Secretary pursuant to reviews and 
audits under this section. The Secretary may adjust, reduce, or 
withdraw grant amounts, or take other action as appropriate in 
accordance with the reviews and audits of the Secretary under this 
section, except that grant amounts already expended on affordable 
housing activities may not be recaptured or deducted from future 
assistance provided on behalf of an Indian tribe.

SEC. 406. GAO AUDITS.

    To the extent that the financial transactions of Indian tribes and 
recipients of grant amounts under this Act relate to amounts provided 
under this Act, such transactions may be audited by the Comptroller 
General of the United States under such rules and regulations as may be 
prescribed by the Comptroller General. The representatives of the 
General Accounting Office shall have access to all books, accounts, 
records, reports, files, and other papers, things, or property 
belonging to or in use by such tribes and recipients pertaining to such 
financial transactions and necessary to facilitate the audit.

SEC. 407. REPORTS TO CONGRESS.

    (a) In General.--Not later than 90 days after the conclusion of 
each fiscal year in which assistance under this Act is made available, 
the Secretary shall submit to the Congress a report that contains--
        (1) a description of the progress made in accomplishing the 
    objectives of this Act;
        (2) a summary of the use of funds available under this Act 
    during the preceding fiscal year; and
        (3) a description of the aggregate outstanding loan guarantees 
    under title VI.
    (b) Related Reports.--The Secretary may require recipients of grant 
amounts under this Act to submit to the Secretary such reports and 
other information as may be necessary in order for the Secretary to 
make the report required by subsection (a).

TITLE V--TERMINATION OF ASSISTANCE FOR INDIAN TRIBES UNDER INCORPORATED 
                                PROGRAMS

SEC. 501. REPEAL OF PROVISIONS RELATING TO INDIAN HOUSING ASSISTANCE 
              UNDER UNITED STATES HOUSING ACT OF 1937.

    (a) Repeal of Title II.--Title II of the United States Housing Act 
of 1937 (42 U.S.C 1437aa et seq.) is hereby repealed.
    (b) Amendments to Title I.--Title I of the United States Housing 
Act of 1937 (42 U.S.C. 1437 et seq.) is amended--
        (1) in section 3(b)--
            (A)in paragraph (5)--
                (i) in subparagraph (F) by inserting ``and'' after the 
            semicolon at the end;
                (ii) by striking subparagraph (G); and
                (iii) by redesignating subparagraph (H) as subparagraph 
            (G);
            (B) in paragraph (6), by striking the last sentence;
            (C) in paragraph (7)--
                (i) by inserting ``and'' before ``the Trust''; and
                (ii) by striking ``, and Indian tribes''; and
            (D) by striking paragraphs (9), (10), (11), and (12);
        (2) in section 5--
            (A) in subsection (j)(1), by striking ``(other than for 
        Indian families)''; and
            (B) by striking subsection (l);
        (3) in section 6(b)(1), by striking ``and public housing for 
    Indians and Alaska Natives in accordance with the Indian Housing 
    Act of 1988'';
        (4) in subsection 7, by striking subsection (l);
        (5) in section 9(a)(1)(A), in the second sentence--
            (A) by inserting ``and'' after the comma at the end of 
        clause (i); and
            (B) by striking ``, and (iii)'' and all that follows 
        through ``project is occupied'';
        (6) in section 14--
            (A) in the section heading, by striking ``and indian'';
            (B) in subsection (e)(1)(E)--
                (i) in the matter preceding clause (i), by striking 
            ``(or Indian tribal official, if appropriate)'';
                (ii) in clause (i)--

                    (I) by striking ``(or Indian tribal officials)''; 
                and
                    (II) by striking ``(or tenants of the Indian 
                housing projects)''; and

                (iii) in clause (ii), by striking ``(or Indian 
            tribe)'';
        (7) in section 16--
            (A) in subsection (d)--
                (i) by striking the paragraph designation for paragraph 
            (1); and
                (ii) by striking paragraph (2); and
            (B) in subsection (e), by striking paragraph (3);
        (8) in section 23(o), by striking paragraph (2);
        (9) in section 24(h)(3), by striking ``, except that it does 
    not include any Indian housing authority'';
        (10) in section 25(m)(4), by striking ``, except that it does 
    not include Indian housing authorities''; and
        (11) in section 26, in subsections (a)(1) and (b), by striking 
    ``(including an Indian housing authority)'' each place it appears.
    (c) Amendments to Title III.--Title III of the United States 
Housing Act of 1937 (42 U.S.C. 1437aaa et seq.) is amended--
        (1) by striking the heading for the title and inserting the 
    following:

         ``TITLE III--HOPE FOR PUBLIC HOUSING HOMEOWNERSHIP'';

        (2) in section 306--
            (A) in paragraph (1)(A), by striking ``(including an Indian 
        housing authority)''; and
            (B) in paragraph (2)(A), by striking ``or Indian''; and
        (3) in section 307, by striking ``and title II''.
    (d) Other Related Provisions.--
        (1) Indian housing child development.--Section 519 of the 
    Cranston-Gonzalez National Affordable Housing Act (12 U.S.C. 1701z-
    6 note) is hereby repealed.
        (2) Public housing youth sports.--Section 520 of the Cranston-
    Gonzalez National Affordable Housing Act (42 U.S.C. 11903a) is 
    amended--
            (A) in subsection (b)--
                (i) in paragraph (5), by inserting ``and'' after the 
            semicolon at the end;
                (ii) by striking paragraphs (6) and (7); and
                (iii) by redesignating paragraph (8) as para- graph 
            (6);
            (B) in subsection (e)(2), by striking ``Indian tribes,'';
            (C) in subsection (i)--
                (i) by striking paragraph (1); and
                (ii) by redesignating paragraphs (2) through (7) as 
            paragraphs (1) through (6), respectively; and
            (D) in subsection (l)(5)(B), by striking ``units of general 
        local government, and Indian housing authorities'' and 
        inserting ``and Indian housing authorities''.
        (3) Allocation of funds.--Section 213(d)(1)(B)(ii) of the 
    Housing and Community Development Act of 1974 (42 U.S.C. 1439) is 
    amended by striking ``and Indian''.

SEC. 502. TERMINATION OF INDIAN HOUSING ASSISTANCE UNDER UNITED STATES 
              HOUSING ACT OF 1937.

    (a) Termination of Assistance.--After September 30, 1997, financial 
assistance may not be provided under the United States Housing Act of 
1937 or pursuant to any commitment entered into under such Act, for 
Indian housing developed or operated pursuant to a contract between the 
Secretary and an Indian housing authority, unless such assistance is 
provided from amounts made available for fiscal year 1997 and pursuant 
to a commitment entered into before September 30, 1997.
    (b) Termination of Restrictions on Use of Indian Housing.--After 
September 30, 1997, any housing developed or operated pursuant to a 
contract between the Secretary and an Indian housing authority pursuant 
to the United States Housing Act of 1937 shall not be subject to any 
provision of such Act or any annual contributions contract or other 
agreement pursuant to such Act, but shall be considered and maintained 
as affordable housing for purposes of this Act.

SEC. 503. TERMINATION OF NEW COMMITMENTS FOR RENTAL ASSISTANCE.

    After September 30, 1997, financial assistance for rental housing 
assistance under the United States Housing Act of 1937 may not be 
provided to any Indian housing authority or tribally designated housing 
entity, unless such assistance is provided pursuant to a contract for 
such assistance entered into by the Secretary and the Indian housing 
authority before such date. Any such assistance provided pursuant to 
such a contract shall be governed by the provisions of the United 
States Housing Act of 1937 (as in effect before the date of the 
effectiveness of this Act) and the provisions of such contract.

SEC. 504. TERMINATION OF YOUTHBUILD PROGRAM ASSISTANCE.

    (a) In General.--Subtitle D of title IV of the Cranston- Gonzalez 
National Affordable Housing Act (42 U.S.C. 12899 et seq.) is amended--
        (1) by redesignating section 460 as section 461; and
        (2) by inserting after section 459 the following new section:

``SEC. 460. INELIGIBILITY OF INDIAN TRIBES.

    ``Indian tribes, Indian housing authorities, and other agencies 
primarily serving Indians or Indian areas shall not be eligible 
applicants for amounts made available for assistance under this 
subtitle for fiscal year 1997 and fiscal years thereafter.''.
    (b) Applicability.--The amendments under subsection (a) shall apply 
with respect to amounts made available for assistance under subtitle D 
of title II of the Cranston-Gonzalez National Affordable Housing Act 
for fiscal year 1998 and fiscal years thereafter.

SEC. 505. TERMINATION OF HOME PROGRAM ASSISTANCE.

    (a) In General.--Title II of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12721 et seq.) is amended--
        (1) in section 217(a)--
            (A) in paragraph (1), by striking ``reserving amounts under 
        paragraph (2) for Indian tribes and after''; and
            (B) by striking paragraph (2); and
        (2) in section 288--
            (A) in subsection (a), by striking ``, Indian tribes,'';
            (B) in subsection (b), by striking ``, Indian tribe,''; and
            (C) in subsection (c)(4), by striking ``, Indian tribe,''.
    (b) Applicability.--The amendments under subsection (a) shall apply 
with respect to amounts made available for assistance under title II of 
the Cranston-Gonzalez National Affordable Housing Act for fiscal year 
1998 and fiscal years thereafter.

SEC. 506. TERMINATION OF HOUSING ASSISTANCE FOR THE HOMELESS.

    (a) McKinney Act Programs.--Title IV of the Stewart B. McKinney 
Homeless Assistance Act (42 U.S.C. 11361 et seq.) is amended--
        (1) in section 411, by striking paragraph (10);
        (2) in section 412, by striking ``, and for Indian tribes,'';
        (3) in section 413--
            (A) in subsection (a)--
                (i) by striking ``, and to Indian tribes,''; and
                (ii) by striking ``, or for Indian tribes'' each place 
            it appears;
            (B) in subsection (c), by striking ``or Indian tribe''; and
            (C) in subsection (d)(3)--
                (i) by striking ``, or Indian tribe'' each place it 
            appears; and
                (ii) by striking ``, or other Indian tribes,'';
        (4) in section 414(a)--
            (A) by striking ``or Indian tribe'' each place it appears; 
        and
            (B) by striking ``, local government,'' each place it 
        appears and inserting ``or local government'';
        (5) in section 415(c)(4), by striking ``Indian tribes,'';
        (6) in section 416(b), by striking ``Indian tribe,'';
        (7) in section 422--
            (A) by striking ``Indian tribe,''; and
            (B) by striking paragraph (3);
        (8) in section 441--
            (A) by striking subsection (g);
            (B) in subsection (h), by striking ``or Indian housing 
        authority''; and
            (C) in subsection (j)(1), by striking ``, Indian housing 
        authority'';
        (9) in section 462--
            (A) in paragraph (2), by striking ``, Indian tribe,''; and
            (B) by striking paragraph (4); and
        (10) in section 491(e), by striking ``, Indian tribes (as such 
    term is defined in section 102(a) of the Housing and Community 
    Development Act of 1974),''.
    (b) Innovative Homeless Demonstration.--Section 2(b) of the HUD 
Demonstration Act of 1993 (42 U.S.C. 11301 note) is amended--
        (1) in paragraph (3), by striking ```unit of general local 
    government', and `Indian tribe''' and inserting ``and `unit of 
    general local government'''; and
        (2) in paragraph (4), by striking ``unit of general local 
    government (including units in rural areas), or Indian tribe'' and 
    inserting ``or unit of general local government''.
    (c) Applicability.--The amendments under subsections (a) and (b) 
shall apply with respect to amounts made available for assistance under 
title IV of the Stewart B. McKinney Homeless Assistance Act and section 
2 of the HUD Demonstration Act of 1993, respectively, for fiscal year 
1998 and fiscal years thereafter.

SEC. 507. SAVINGS PROVISION.

    (a) Existing Rights and Duties.--Except as provided in sections 502 
and 503, this Act may not be construed to affect the validity of any 
right, duty, or obligation of the United States or other person arising 
under or pursuant to any commitment or agreement lawfully entered into 
before October 1, 1997, under the United States Housing Act of 1937, 
subtitle D of title IV of the Cranston-Gonzalez National Affordable 
Housing Act, title II of the Cranston-Gonzalez National Affordable 
Housing Act, title IV of the Stewart B. McKinney Homeless Assistance 
Act, or section 2 of the HUD Demonstration Act of 1993.
    (b) Obligations Under Repealed Provisions.--Notwithstanding the 
amendments made by this title, any obligation of the Secretary made 
under or pursuant to subtitle D of title IV of the Cranston-Gonzalez 
National Affordable Housing Act, title II of the Cranston-Gonzalez 
National Affordable Housing Act, title IV of the Stewart B. McKinney 
Homeless Assistance Act, or section 2 of the HUD Demonstration Act of 
1993 shall continue to be governed by the provisions of such Acts (as 
in effect before the date of the effectiveness of the amendments made 
by this title).

SEC. 508. EFFECTIVE DATE.

    Sections 502, 503, and 507 shall take effect on the date of the 
enactment of this Act.

     TITLE VI--FEDERAL GUARANTEES FOR FINANCING FOR TRIBAL HOUSING 
                               ACTIVITIES

SEC. 601. AUTHORITY AND REQUIREMENTS.

    (a) Authority.--To such extent or in such amounts as provided in 
appropriations Acts, the Secretary may, subject to the limitations of 
this title (including limitations designed to protect and maintain the 
viability of rental housing units owned or operated by the recipient 
that were developed under a contract between the Secretary and an 
Indian housing authority pursuant to the United States Housing Act of 
1937), and upon such terms and conditions as the Secretary may 
prescribe, guarantee and make commitments to guarantee, the notes or 
other obligations issued by Indian tribes or tribally designated 
housing entities with tribal approval, for the purposes of financing 
affordable housing activities described in section 202.
    (b) Lack of Financing Elsewhere.--A guarantee under this title may 
be used to assist an Indian tribe or housing entity in obtaining 
financing only if the Indian tribe or housing entity has made efforts 
to obtain such financing without the use of such guarantee and cannot 
complete such financing consistent with the timely execution of the 
program plans without such guarantee.
    (c) Terms of Loans.--Notes or other obligations guaranteed pursuant 
to this title shall be in such form and denominations, have such 
maturities, and be subject to such conditions as may be prescribed by 
regulations issued by the Secretary. The Secretary may not deny a 
guarantee under this title on the basis of the proposed repayment 
period for the note or other obligation, unless the period is more than 
20 years or the Secretary determines that the period causes the 
guarantee to constitute an unacceptable financial risk.
    (d) Limitation on Outstanding Guarantees.--No guarantee or 
commitment to guarantee shall be made with respect to any note or other 
obligation if the total outstanding notes or obligations of the issuer 
guaranteed under this title (excluding any amount defeased under the 
contract entered into under section 602(a)(1)) would thereby exceed an 
amount equal to 5 times the amount of the grant approval for the issuer 
pursuant to title III.

SEC. 602. SECURITY AND REPAYMENT.

    (a) Requirements on Issuer.--To assure the repayment of notes or 
other obligations and charges incurred under this title and as a 
condition for receiving such guarantees, the Secretary shall require 
the Indian tribe or housing entity issuing such notes or obligations 
to--
        (1) enter into a contract, in a form acceptable to the 
    Secretary, for repayment of notes or other obligations guaranteed 
    under this title;
        (2) pledge any grant for which the issuer may become eligible 
    under this Act;
        (3) demonstrate that the extent of such issuance and guarantee 
    under this title is within the financial capacity of the tribe and 
    is not likely to impair the ability to use grant amounts under 
    title I, taking into consideration the requirements under section 
    203(b); and
        (4) furnish, at the discretion of the Secretary, such other 
    security as may be deemed appropriate by the Secretary in making 
    such guarantees, including increments in local tax receipts 
    generated by the activities assisted under this Act or disposition 
    proceeds from the sale of land or rehabilitated property.
    (b) Repayment From Grant Amounts.--Notwithstanding any other 
provision of this Act--
        (1) the Secretary may apply grants pledged pursuant to 
    subsection (a)(2) to any repayments due the United States as a 
    result of such guarantees; and
        (2) grants allocated under this Act for an Indian tribe or 
    housing entity (including program income derived therefrom) may be 
    used to pay principal and interest due (including such servicing, 
    underwriting, and other costs as may be specified in regulations 
    issued by the Secretary) on notes or other obligations guaranteed 
    pursuant to this title.
    (c) Full Faith and Credit.--The full faith and credit of the United 
States is pledged to the payment of all guarantees made under this 
title. Any such guarantee made by the Secretary shall be conclusive 
evidence of the eligibility of the obligations for such guarantee with 
respect to principal and interest, and the validity of any such 
guarantee so made shall be incontestable in the hands of a holder of 
the guaranteed obligations.

SEC. 603. PAYMENT OF INTEREST.

    The Secretary may make, and contract to make, grants, in such 
amounts as may be approved in appropriations Acts, to or on behalf of 
an Indian tribe or housing entity issuing notes or other obligations 
guaranteed under this title, to cover not to exceed 30 percent of the 
net interest cost (including such servicing, underwriting, or other 
costs as may be specified in regulations of the Secretary) to the 
borrowing entity or agency of such obligations. The Secretary may also, 
to the extent approved in appropriations Acts, assist the issuer of a 
note or other obligation guaranteed under this title in the payment of 
all or a portion of the principal and interest amount due under the 
note or other obligation, if the Secretary determines that the issuer 
is unable to pay the amount because of circumstances of extreme 
hardship beyond the control of the issuer.

SEC. 604. TRAINING AND INFORMATION.

    The Secretary, in cooperation with eligible public entities, shall 
carry out training and information activities with respect to the 
guarantee program under this title.

SEC. 605. LIMITATIONS ON AMOUNT OF GUARANTEES.

    (a) Aggregate Fiscal Year Limitation.--Notwithstanding any other 
provision of law and subject only to the absence of qualified 
applicants or proposed activities and to the authority provided in this 
title, to the extent approved or provided in appropriations Acts, the 
Secretary may enter into commitments to guarantee notes and obligations 
under this title with an aggregate principal amount not to exceed 
$400,000,000 for each of fiscal years 1997, 1998, 1999, 2000, and 2001.
    (b) Authorization of Appropriations for Credit Subsidy.--There are 
authorized to be appropriated to cover the costs (as such term is 
defined in section 502 of the Congressional Budget Act of 1974) of 
guarantees under this title such sums as may be necessary for each of 
fiscal years 1997, 1998, 1999, 2000, and 2001.
    (c) Aggregate Outstanding Limitation.--The total amount of 
outstanding obligations guaranteed on a cumulative basis by the 
Secretary pursuant to this title shall not at any time exceed 
$2,000,000,000 or such higher amount as may be authorized to be 
appropriated for this title for any fiscal year.
    (d) Fiscal Year Limitations on Tribes.--The Secretary shall monitor 
the use of guarantees under this title by Indian tribes. If the 
Secretary finds that 50 percent of the aggregate guarantee authority 
under subsection (c) has been committed, the Secretary may--
        (1) impose limitations on the amount of guarantees any one 
    Indian tribe may receive in any fiscal year of $50,000,000; or
        (2) request the enactment of legislation increasing the 
    aggregate outstanding limitation on guarantees under this title.

SEC. 606. EFFECTIVE DATE.

    This title shall take effect on the date of the enactment of this 
Act.

        TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

SEC. 701. LOAN GUARANTEES FOR INDIAN HOUSING.

    (a) Definition of Eligible Borrowers To Include Indian Tribes.--
Section 184 of the Housing and Community Development Act of 1992 (12 
U.S.C. 1515z-13a) is amended--
        (1) in subsection (a)--
            (A) by striking ``and Indian housing authorities'' and 
        inserting ``, Indian housing authorities, and Indian tribes,''; 
        and
            (B) by striking ``or Indian housing authority'' and 
        inserting ``, Indian housing authority, or Indian tribe''; and
        (2) in subsection (b)(1), by striking ``or Indian housing 
    authorities'' and inserting ``, Indian housing authorities, or 
    Indian tribes''.
    (b) Need for Loan Guarantee.--Section 184(a) of the Housing and 
Community Development Act of 1992 (12 U.S.C. 1715z-13a(a)) is amended 
by striking ``trust land'' and inserting ``lands or as a result of a 
lack of access to private financial markets''.
    (c) IHP Requirement.--Section 184(b)(2) of the Housing and 
Community Development Act of 1992 (12 U.S.C. 1715z-13a(b)(2)) is 
amended by inserting before the period at the end the following: ``that 
is under the jurisdiction of an Indian tribe for which an Indian 
housing plan has been submitted and approved pursuant to sections 102 
and 103 of the Native American Housing Assistance and Self-
Determination Act of 1996 that provides for the use of loan guarantees 
under this section to provide affordable homeownership housing in such 
areas''.
    (d) Lender Option To Obtain Payment Upon Default Without 
Foreclosure.--Section 184(h) of the Housing and Community Development 
Act of 1992 (12 U.S.C. 1715z-13a(h)) is amended--
        (1) in paragraph (1)(A)--
            (A) in the first sentence of clause (i), by striking ``in a 
        court of competent jurisdiction''; and
            (B) by striking clause (ii) and inserting the following:
                ``(ii) No foreclosure.--Without seeking foreclosure (or 
            in any case in which a foreclosure proceeding initiated 
            under clause (i) continues for a period in excess of 1 
            year), the holder of the guarantee may submit to the 
            Secretary a request to assign the obligation and security 
            interest to the Secretary in return for payment of the 
            claim under the guarantee. The Secretary may accept 
            assignment of the loan if the Secretary determines that the 
            assignment is in the best interests of the United States. 
            Upon assignment, the Secretary shall pay to the holder of 
            the guarantee the pro rata portion of the amount guaranteed 
            (as determined under subsection (e)). The Secretary shall 
            be subrogated to the rights of the holder of the guarantee 
            and the holder shall assign the obligation and security to 
            the Secretary.'';
        (2) by striking paragraph (2); and
        (3) by redesignating paragraph (3) as paragraph (2).
    (e) Limitation of Mortgagee Authority.--Section 184(h)(2) of the 
Housing and Community Development Act of 1992 (12 U.S.C. 1715z-
13a(h)(2)), as so redesignated by subsection (e)(3) of this section, is 
amended--
        (1) in the first sentence, by striking ``tribal allotted or 
    trust land,'' and inserting ``restricted Indian land, the mortgagee 
    or''; and
        (2) in the second sentence, by striking ``Secretary'' each 
    place it appears, and inserting ``mortgagee or the Secretary''.
    (f) Limitation on Outstanding Aggregate Principal Amount.--Section 
184(i)(5)(C) of the Housing and Community Development Act of 1992 (12 
U.S.C. 1715z-13a(i)(5)(C)) is amended by striking ``1993'' and all that 
follows through ``such year'' and inserting ``1997, 1998, 1999, 2000, 
and 2001 with an aggregate outstanding principal amount note exceeding 
$400,000,000 for each such fiscal year''.
    (g) Authorization of Appropriations for Guarantee Fund.--Section 
184(i)(7) of the Housing and Community Development Act of 1992 (12 
U.S.C. 1715z-13a(i)(7)) is amended by striking ``such sums'' and all 
that follows through ``1994'' and inserting ``such sums as may be 
necessary for each of fiscal years 1997, 1998, 1999, 2000, and 2001''.
    (h) Definitions.--Section 184(k) of the Housing and Community 
Development Act of 1992 (12 U.S.C. 1715z-13a(k)) is amended--
        (1) in paragraph (4), by inserting after ``authority'' the 
    following: ``or Indian tribe'';
        (2) in paragraph (5)--
            (A) by striking subparagraph (A) and inserting the 
        following new subparagraph:
            ``(A) is authorized to engage in or assist in the 
        development or operation of--
                ``(i) low-income housing for Indians; or
                ``(ii) housing subject to the provisions of this 
            section; and''; and
            (B) by adding at the end the following:
    ``The term includes tribally designated housing entities under the 
    Native American Housing Assistance and Self-Determination Act of 
    1996.''; and
        (3) by striking paragraph (8) and inserting the following new 
    paragraph:
        ``(8) Tribe; indian tribe.--The term `tribe' or `Indian tribe' 
    means any Indian tribe, band, nation, or other organized group or 
    community of Indians, including any Alaska Native village or 
    regional or village corporation as defined in or established 
    pursuant to the Alaska Native Claims Settlement Act, that is 
    recognized as eligible for the special programs and services 
    provided by the United States to Indians because of their status as 
    Indians pursuant to the Indian Self-Determination and Education 
    Assistance Act of 1975.''.
    (i) Principal Obligation Amounts.--Section 184(b)(5)(C) of the 
Housing and Community Development Act of 1992 (12 U.S.C. 1715z-
13a(b)(5)(C)) is amended by striking clause (i) and inserting the 
following new clause:
                ``(i) 97.75 percent of the appraised value of the 
            property as of the date the loan is accepted for guarantee 
            (or 98.75 percent if the value of the property is $50,000 
            or less); and''.
    (j) Availability of Amounts.--
        (1) Requirement of appropriations.--Section 184(i)(5) of the 
    Housing and Community Development Act of 1992 (12 U.S.C. 1715z-
    13a(i)(5)) is amended by striking subparagraph (A) and inserting 
    the following:
            ``(A) Requirement of appropriations.--The authority of the 
        Secretary to enter into commitments to guarantee loans under 
        this section shall be effective for any fiscal year to the 
        extent or in such amounts as are or have been provided in 
        appropriations Acts, without regard to the fiscal year for 
        which such amounts were appropriated.''.
        (2) Costs.--Section 184(i)(5)(B) of the Housing and Community 
    Development Act of 1992 (12 U.S.C. 1715z-13a(i)(5)(B)) is amended 
    by adding at the end the following new sentence: ``Any amounts 
    appropriated pursuant to this subparagraph shall remain available 
    until expended.''.
    (k) GNMA Authority.--The first sentence of section 306(g)(1) of the 
Federal National Mortgage Association Charter Act (12 U.S.C. 
1721(g)(1)) is amended by inserting before the period at the end the 
following: ``; or guaranteed under section 184 of the Housing and 
Community Development Act of 1992''.

SEC. 702. 50-YEAR LEASEHOLD INTEREST IN TRUST OR RESTRICTED LANDS FOR 
              HOUSING PURPOSES.

    (a) Authority To Lease.--Notwithstanding any other provision of 
law, any trust or restricted Indian lands, whether tribally or 
individually owned, may be leased by the Indian owners, subject to the 
approval of the affected Indian tribe and the Secretary of the 
Interior, for housing development and residential purposes.
    (b) Term.--Each lease pursuant to subsection (a) shall be for a 
term not exceeding 50 years.
    (c) Rule of Construction.--This section may not be construed to 
repeal, limit, or affect any authority to lease any trust or restricted 
Indian lands that--
        (1) is conferred by or pursuant to any other provision of law; 
    or
        (2) provides for leases for any period exceeding 50 years.
    (d) Self-Implementation.--This section is intended to be self-
implementing and shall not require the issuance of any rule, 
regulation, or order to take effect as provided in section 705.

SEC. 703. TRAINING AND TECHNICAL ASSISTANCE.

    There are authorized to be appropriated for assistance for a 
national organization representing Native American housing interests 
for providing training and technical assistance to Indian housing 
authorities and tribally designated housing entities such sums as may 
be necessary for each of fiscal years 1997, 1998, 1999, 2000, and 2001.

SEC. 704. PUBLIC AND ASSISTED HOUSING DRUG ELIMINATION ACT OF 1990.

    The Public and Assisted Housing Drug Elimination Act of 1990 (42 
U.S.C. 11901 et seq.) is amended--
        (1) in section 5123--
            (A) by striking ``(including Indian Housing Authorities)''; 
        and
            (B) by inserting ``tribally designated housing entities,'' 
        before ``and private''; and
        (2) in section 5124(a)(7)--
            (A) by inserting ``or tribally designated housing entity'' 
        after ``public housing agency''; and
            (B) by striking ``public housing'' after nonprofit;
        (3) in section 5125, by inserting ``a tribally designated 
    housing entity,'' after ``resident management corporation,''; and
        (4) in section 5126--
            (A) in paragraph (4)--
                (i) in subparagraph (B), by striking ``or'' at the end;
                (ii) in subparagraph (C), by striking the period at the 
            end and inserting ``; or''; and
                (iii) by adding at the end the following new 
            subparagraph:
            ``(D) the Native American Housing Assistance and Self-
        Determination Act.''; and
            (B) by adding at the end the following new paragraph:
        ``(5) Tribally designated housing entity.--The term `tribally 
    designated housing entity' has the meaning given such term in 
    section 4 of the Native American Housing Assistance and Self-
    Determination Act of 1996.''.

SEC. 705. EFFECTIVE DATE.

    This title and the amendments made by this title (but not including 
the amendments made by section 704) shall take effect on the date of 
the enactment of this Act.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.