[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 1481 Enrolled Bill (ENR)]
S.1481
One Hundred Eleventh Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Tuesday,
the fifth day of January, two thousand and ten
An Act
To amend section 811 of the Cranston-Gonzalez National Affordable
Housing Act to improve the program under such section for supportive
housing for persons with disabilities.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; REFERENCES.
(a) Short Title.--This Act may be cited as the ``Frank Melville
Supportive Housing Investment Act of 2010''.
(b) References.--Except as otherwise expressly provided, wherever
in this Act an amendment or repeal is expressed in terms of an
amendment to, or repeal of, section 811 or any other provision of
section 811, the reference shall be considered to be made to section
811 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C.
8013).
SEC. 2. TENANT-BASED RENTAL ASSISTANCE.
(a) Renewal Through Section 8.--Section 811(d)(4) is amended to
read as follows:
``(4) Tenant-based rental assistance.--
``(A) In general.--Tenant-based rental assistance provided
under subsection (b)(1) shall be provided under section 8(o) of
the United States Housing Act of 1937 (42 U.S.C. 1437f(o)).
``(B) Conversion of existing assistance.--There is
authorized to be appropriated for tenant-based rental
assistance under section 8(o) of the United States Housing Act
of 1937 (42 U.S.C. 1437f(o)) for persons with disabilities an
amount not less than the amount necessary to convert the number
of authorized vouchers and funding under an annual
contributions contract in effect on the date of enactment of
the Frank Melville Supportive Housing Investment Act of 2010.
Such converted vouchers may be administered by the entity
administering the vouchers prior to conversion. For purposes of
administering such converted vouchers, such entities shall be
considered a `public housing agency' authorized to engage in
the operation of tenant-based assistance under section 8 of the
United States Housing Act of 1937.
``(C) Requirements upon turnover.--The Secretary shall
develop and issue, to public housing agencies that receive
voucher assistance made available under this subsection and to
public housing agencies that received voucher assistance under
section 8(o) of the United States Housing Act of 1937 (42
U.S.C. 1437f(o)) for non-elderly disabled families pursuant to
appropriation Acts for fiscal years 1997 through 2002 or any
other subsequent appropriations for incremental vouchers for
non-elderly disabled families, guidance to ensure that, to the
maximum extent possible, such vouchers continue to be provided
upon turnover to qualified persons with disabilities or to
qualified non-elderly disabled families, respectively.''.
(b) Provision of Technical Assistance.--The Secretary is authorized
to the extent amounts are made available in future appropriations Acts,
to provide technical assistance to public housing agencies and other
administering entities to facilitate using vouchers to provide
permanent supportive housing for persons with disabilities, help States
reduce reliance on segregated restrictive settings for people with
disabilities to meet community care requirements, end chronic
homelessness, as ``chronically homeless'' is defined in section 401 of
the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11361), and for
other related purposes.
SEC. 3. MODERNIZED CAPITAL ADVANCE PROGRAM.
(a) Project Rental Assistance Contracts.--Section 811 is amended--
(1) in subsection (d)(2)--
(A) by inserting ``(A) Initial project rental assistance
contract.--'' after ``Project rental assistance.--'';
(B) in the first sentence, by inserting after ``shall'' the
following: ``comply with subsection (e)(2) and shall'';
(C) by striking ``annual contract amount'' each place such
term appears and inserting ``amount provided under the contract
for each year covered by the contract''; and
(D) by adding at the end the following new subparagraph:
``(B) Renewal of and increases in contract amounts.--
``(i) Expiration of contract term.--Upon the expiration of
each contract term, subject to the availability of amounts made
available in appropriation Acts, the Secretary shall adjust the
annual contract amount to provide for reasonable project costs,
including adequate reserves and service coordinators as
appropriate, except that any contract amounts not used by a
project during a contract term shall not be available for such
adjustments upon renewal.
``(ii) Emergency situations.--In the event of emergency
situations that are outside the control of the owner, the
Secretary shall increase the annual contract amount, subject to
reasonable review and limitations as the Secretary shall
provide.''.
(2) in subsection (e)(2)--
(A) in the first sentence, by inserting before the period
at the end the following: ``, except that, in the case of the
sponsor of a project assisted with any low-income housing tax
credit pursuant to section 42 of the Internal Revenue Code of
1986 or with any tax-exempt housing bonds, the contract shall
have an initial term of not less than 360 months and shall
provide funding for a term of 60 months''; and
(B) by striking ``extend any expiring contract'' and insert
``upon expiration of a contract (or any renewed contract),
renew such contract''.
(b) Program Requirements.--Section 811 is amended--
(1) in subsection (e)--
(A) by striking the subsection heading and inserting the
following: ``Program Requirements'';
(B) by striking paragraph (1) and inserting the following
new paragraph:
``(1) Use restrictions.--
``(A) Term.--Any project for which a capital advance is
provided under subsection (d)(1) shall be operated for not less
than 40 years as supportive housing for persons with
disabilities, in accordance with the application for the
project approved by the Secretary and shall, during such
period, be made available for occupancy only by very low-income
persons with disabilities.
``(B) Conversion.--If the owner of a project requests the
use of the project for the direct benefit of very low-income
persons with disabilities and, pursuant to such request the
Secretary determines that a project is no longer needed for use
as supportive housing for persons with disabilities, the
Secretary may approve the request and authorize the owner to
convert the project to such use.''; and
(C) by adding at the end the following new paragraphs:
``(3) Limitation on use of funds.--No assistance received under
this section (or any State or local government funds used to
supplement such assistance) may be used to replace other State or
local funds previously used, or designated for use, to assist
persons with disabilities.
``(4) Multifamily projects.--
``(A) Limitation.--Except as provided in subparagraph (B),
of the total number of dwelling units in any multifamily
housing project (including any condominium or cooperative
housing project) containing any unit for which assistance is
provided from a capital grant under subsection (d)(1) made
after the date of the enactment of the Frank Melville
Supportive Housing Investment Act of 2010, the aggregate number
that are used for persons with disabilities, including
supportive housing for persons with disabilities, or to which
any occupancy preference for persons with disabilities applies,
may not exceed 25 percent of such total.
``(B) Exception.--Subparagraph (A) shall not apply in the
case of any project that is a group home or independent living
facility.''; and
(2) in subsection (l), by striking paragraph (4).
(c) Delegated Processing.--Subsection (g) of section 811 (42 U.S.C.
8013(g)) is amended--
(1) by striking ``Selection Criteria.--'' and inserting
``Selection Criteria and Processing.--(1) Selection criteria.--'';
(2) by redesignating paragraphs (1), (2), (3), (4), (5), (6),
and (7) as subparagraphs (A), (B), (C), (D), (E), (G), and (H),
respectively; and
(3) by adding at the end the following new paragraph:
``(2) Delegated Processing.--
``(A) In issuing a capital advance under subsection (d)(1) for
any multifamily project (but not including any project that is a
group home or independent living facility) for which financing for
the purposes described in the last sentence of subsection (b) is
provided by a combination of the capital advance and sources other
than this section, within 30 days of award of the capital advance,
the Secretary shall delegate review and processing of such projects
to a State or local housing agency that--
``(i) is in geographic proximity to the property;
``(ii) has demonstrated experience in and capacity for
underwriting multifamily housing loans that provide housing and
supportive services;
``(iii) may or may not be providing low-income housing tax
credits in combination with the capital advance under this
section; and
``(iv) agrees to issue a firm commitment within 12 months
of delegation.
``(B) The Secretary shall retain the authority to process
capital advances in cases in which no State or local housing agency
is sufficiently qualified to provide delegated processing pursuant
to this paragraph or no such agency has entered into an agreement
with the Secretary to serve as a delegated processing agency.
``(C) The Secretary shall--
``(i) develop criteria and a timeline to periodically
assess the performance of State and local housing agencies in
carrying out the duties delegated to such agencies pursuant to
subparagraph (A); and
``(ii) retain the authority to review and process projects
financed by a capital advance in the event that, after a review
and assessment, a State or local housing agency is determined
to have failed to satisfy the criteria established pursuant to
clause (i).
``(D) An agency to which review and processing is delegated
pursuant to subparagraph (A) may assess a reasonable fee which
shall be included in the capital advance amounts and may recommend
project rental assistance amounts in excess of those initially
awarded by the Secretary. The Secretary shall develop a schedule
for reasonable fees under this subparagraph to be paid to delegated
processing agencies, which shall take into consideration any other
fees to be paid to the agency for other funding provided to the
project by the agency, including bonds, tax credits, and other gap
funding.
``(E) Under such delegated system, the Secretary shall retain
the authority to approve rents and development costs and to execute
a capital advance within 60 days of receipt of the commitment from
the State or local agency. The Secretary shall provide to such
agency and the project sponsor, in writing, the reasons for any
reduction in capital advance amounts or project rental assistance
and such reductions shall be subject to appeal.''.
(d) Leveraging Other Resources.--Paragraph (1) of section 811(g)
(as so designated by subsection (c)(1) of this section) is amended by
inserting after subparagraph (E) (as so redesignated by subsection
(c)(2) of this section) the following new subparagraph:
``(F) the extent to which the per-unit cost of units to be
assisted under this section will be supplemented with resources
from other public and private sources;''.
(e) Tenant Protections and Eligibility for Occupancy.--Section 811
is amended by striking subsection (i) and inserting the following new
subsection:
``(i) Admission and Occupancy.--
``(1) Tenant selection.--
``(A) Procedures.--An owner shall adopt written tenant
selection procedures that are satisfactory to the Secretary as
(i) consistent with the purpose of improving housing
opportunities for very low-income persons with disabilities;
and (ii) reasonably related to program eligibility and an
applicant's ability to perform the obligations of the lease.
Owners shall promptly notify in writing any rejected applicant
of the grounds for any rejection.
``(B) Requirement for occupancy.--Occupancy in dwelling
units provided assistance under this section shall be available
only to persons with disabilities and households that include
at least one person with a disability.
``(C) Availability.--Except only as provided in
subparagraph (D), occupancy in dwelling units in housing
provided with assistance under this section shall be available
to all persons with disabilities eligible for such occupancy
without regard to the particular disability involved.
``(D) Limitation on occupancy.--Notwithstanding any other
provision of law, the owner of housing developed under this
section may, with the approval of the Secretary, limit
occupancy within the housing to persons with disabilities who
can benefit from the supportive services offered in connection
with the housing.
``(2) Tenant protections.--
``(A) Lease.--The lease between a tenant and an owner of
housing assisted under this section shall be for not less than
one year, and shall contain such terms and conditions as the
Secretary shall determine to be appropriate.
``(B) Termination of tenancy.--An owner may not terminate
the tenancy or refuse to renew the lease of a tenant of a
rental dwelling unit assisted under this section except--
``(i) for serious or repeated violation of the terms
and conditions of the lease, for violation of applicable
Federal, State, or local law, or for other good cause; and
``(ii) by providing the tenant, not less than 30 days
before such termination or refusal to renew, with written
notice specifying the grounds for such action.
``(C) Voluntary participation in services.--A supportive
service plan for housing assisted under this section shall
permit each resident to take responsibility for choosing and
acquiring their own services, to receive any supportive
services made available directly or indirectly by the owner of
such housing, or to not receive any supportive services.''.
(f) Development Cost Limitations.--Subsection (h) of section 811 is
amended--
(1) in paragraph (1)--
(A) by striking the paragraph heading and inserting ``Group
homes'';
(B) in the first sentence, by striking ``various types and
sizes'' and inserting ``group homes'';
(C) by striking subparagraph (E); and
(D) by redesignating subparagraphs (F) and (G) as
subparagraphs (E) and (F), respectively;
(2) in paragraph (3), by inserting ``established pursuant to
paragraph (1)'' after ``cost limitation''; and
(3) by adding at the end the following new paragraph:
``(6) Applicability of home program cost limitations.--
``(A) In general.--The provisions of section 212(e) of the
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C.
12742(e)) and the cost limits established by the Secretary
pursuant to such section with respect to the amount of funds
under subtitle A of title II of such Act that may be invested
on a per unit basis, shall apply to supportive housing assisted
with a capital advance under subsection (d)(1) and the amount
of funds under such subsection that may be invested on a per
unit basis.
``(B) Waivers.--The Secretary may provide for waiver of the
cost limits applicable pursuant to subparagraph (A)--
``(i) in the cases in which the cost limits established
pursuant to section 212(e) of the Cranston-Gonzalez
National Affordable Housing Act may be waived; and
``(ii) to provide for--
``(I) the cost of special design features to make
the housing accessible to persons with disabilities;
``(II) the cost of special design features
necessary to make individual dwelling units meet the
special needs of persons with disabilities; and
``(III) the cost of providing the housing in a
location that is accessible to public transportation
and community organizations that provide supportive
services to persons with disabilities.''.
(g) Congressional Notification of Waiver.--Section 811(k) is
amended--
(1) in paragraph (1), by adding the following after the second
sentence: ``Not later than the date of the exercise of any waiver
permitted under the previous sentence, the Secretary shall notify
the Committee on Banking, Housing, and Urban Affairs of the Senate
and the Committee on Financial Services of the House of
Representatives of the waiver or the intention to exercise the
waiver, together with a detailed explanation of the reason for the
waiver.''; and
(2) in paragraph (4)--
(A) by striking ``prescribe, subject to the limitation
under subsection (h)(6) of this section)'' and inserting
``prescribe)''; and
(B) by adding the following after the first sentence: ``Not
later than the date that the Secretary prescribes a limit
exceeding the 24 person limit in the previous sentence, the
Secretary shall notify the Committee on Banking, Housing, and
Urban Affairs of the Senate and the Committee on Financial
Services of the House of Representatives of the limit or the
intention to prescribe a limit in excess of 24 persons,
together with a detailed explanation of the reason for the new
limit.''.
(h) Minimum Allocation for Multifamily Projects.--Paragraph (1) of
section 811(l) is amended to read as follows:
``(1) Minimum allocation for multifamily projects.--The
Secretary shall establish a minimum percentage of the amount made
available for each fiscal year for capital advances under
subsection (d)(1) that shall be used for multifamily projects
subject to subsection (e)(4).''.
SEC. 4. PROJECT RENTAL ASSISTANCE.
Section 811(b) is amended--
(1) in the matter preceding paragraph (1), by striking ``is
authorized--'' and inserting ``is authorized to take the following
actions:'';
(2) in paragraph (1)--
(A) by striking ``(1) to provide tenant-based'' and
inserting ``(1) Tenant-based assistance.--To provide tenant-
based''; and
(B) by striking ``; and'' and inserting a period;
(3) in paragraph (2), by striking ``(2) to provide assistance''
and inserting ``(2) Capital advances.--To provide assistance''; and
(4) by adding at the end the following:
``(3) Project rental assistance.--
``(A) In general.--To offer additional methods of financing
supportive housing for non-elderly adults with disabilities,
the Secretary shall make funds available for project rental
assistance pursuant to subparagraph (B) for eligible projects
under subparagraph (C). The Secretary shall provide for State
housing finance agencies and other appropriate entities to
apply to the Secretary for such project rental assistance
funds, which shall be made available by such agencies and
entities for dwelling units in eligible projects based upon
criteria established by the Secretary. The Secretary may not
require any State housing finance agency or other entity
applying for such project rental assistance funds to identify
in such application the eligible projects for which such funds
will be used, and shall allow such agencies and applicants to
subsequently identify such eligible projects pursuant to the
making of commitments described in subparagraph (C)(ii).
``(B) Contract terms.--
``(i) Contract terms.--Project rental assistance under
this paragraph shall be provided--
``(I) in accordance with subsection (d)(2); and
``(II) under a contract having an initial term of
not less than 180 months that provides funding for a
term 60 months, which funding shall be renewed upon
expiration, subject to the availability of sufficient
amounts in appropriation Acts.
``(ii) Limitation on units assisted.--Of the total
number of dwelling units in any multifamily housing project
containing any unit for which project rental assistance
under this paragraph is provided, the aggregate number that
are provided such project rental assistance, that are used
for supportive housing for persons with disabilities, or to
which any occupancy preference for persons with
disabilities applies, may not exceed 25 percent of such
total.
``(iii) Prohibition of capital advances.--The Secretary
may not provide a capital advance under subsection (d)(1)
for any project for which assistance is provided under this
paragraph.
``(iv) Eligible population.--Project rental assistance
under this paragraph may be provided only for dwelling
units for extremely low-income persons with disabilities
and extremely low-income households that include at least
one person with a disability.
``(C) Eligible projects.--An eligible project under this
subparagraph is a new or existing multifamily housing project
for which--
``(i) the development costs are paid with resources
from other public or private sources; and
``(ii) a commitment has been made--
``(I) by the applicable State agency responsible
for allocation of low-income housing tax credits under
section 42 of the Internal Revenue Code of 1986, for an
allocation of such credits;
``(II) by the applicable participating jurisdiction
that receives assistance under the HOME Investment
Partnership Act, for assistance from such jurisdiction;
or
``(III) by any Federal agency or any State or local
government, for funding for the project from funds from
any other sources.
``(D) State agency involvement.--Assistance under this
paragraph may be provided only for projects for which the
applicable State agency responsible for health and human
services programs, and the applicable State agency designated
to administer or supervise the administration of the State plan
for medical assistance under title XIX of the Social Security
Act, have entered into such agreements as the Secretary
considers appropriate--
``(i) to identify the target populations to be served
by the project;
``(ii) to set forth methods for outreach and referral;
and
``(iii) to make available appropriate services for
tenants of the project.
``(E) Use requirements.--In the case of any project for
which project rental assistance is provided under this
paragraph, the dwelling units assisted pursuant to subparagraph
(B) shall be operated for not less than 30 years as supportive
housing for persons with disabilities, in accordance with the
application for the project approved by the Secretary, and such
dwelling units shall, during such period, be made available for
occupancy only by persons and households described in
subparagraph (B)(iv).
``(F) Report.--Not later than 3 years after the date of the
enactment of this paragraph, and again 2 years thereafter, the
Secretary shall submit to Congress a report--
``(i) describing the assistance provided under this
paragraph;
``(ii) analyzing the effectiveness of such assistance,
including the effectiveness of such assistance compared to
the assistance program for capital advances set forth under
subsection (d)(1) (as in effect pursuant to the amendments
made by such Act); and
``(iii) making recommendations regarding future models
for assistance under this section.''.
SEC. 5. TECHNICAL CORRECTIONS.
Section 811 is amended--
(1) in subsection (a)--
(A) in paragraph (1), by striking ``and'' at the end;
(B) in paragraph (2)--
(i) by striking ``provides'' and inserting ``makes
available''; and
(ii) by striking the period at the end and inserting
``; and''; and
(C) by adding at the end the following new paragraph:
``(3) promotes and facilitates community integration for people
with significant and long-term disabilities.'';
(2) in subsection (c)--
(A) in paragraph (1), by striking ``special'' and inserting
``housing and community-based services''; and
(B) in paragraph (2)--
(i) by striking subparagraph (A) and inserting the
following:
``(A) make available voluntary supportive services that
address the individual needs of persons with disabilities
occupying such housing;''; and
(ii) in subparagraph (B), by striking the comma and
inserting a semicolon;
(3) in subsection (d)(1), by striking ``provided under'' and
all that follows through ``shall bear'' and inserting ``provided
pursuant to subsection (b)(1) shall bear'';
(4) in subsection (f)--
(A) in paragraph (3)--
(i) in subparagraph (B), by striking ``receive'' and
inserting ``be offered'';
(ii) by striking subparagraph (C) and inserting the
following:
``(C) evidence of the applicant's experience in--
``(i) providing such supportive services; or
``(ii) creating and managing structured partnerships
with service providers for the delivery of appropriate
community-based services;'';
(iii) in subparagraph (D), by striking ``such persons''
and all that follows through ``provision of such services''
and inserting ``tenants''; and
(iv) in subparagraph (E), by inserting ``other Federal,
and'' before ``State''; and
(B) in paragraph (4), by striking ``special'' and inserting
``housing and community-based services'';
(5) in subsection (g), in paragraph (1) (as so redesignated by
section 3(c)(1) of this Act)--
(A) in subparagraph (D) (as so redesignated by section
3(c)(2) of this Act), by striking ``the necessary supportive
services will be provided'' and inserting ``appropriate
supportive services will be made available''; and
(B) by striking subparagraph (E) (as so redesignated by
section 3(c)(2) of this Act) and inserting the following:
``(E) the extent to which the location and design of the
proposed project will facilitate the provision of community-
based supportive services and address other basic needs of
persons with disabilities, including access to appropriate and
accessible transportation, access to community services
agencies, public facilities, and shopping;'';
(6) in subsection (j)--
(A) by striking paragraph (4); and
(B) by redesignating paragraphs (5), (6), and (7) as
paragraphs (4), (5), and (6), respectively;
(7) in subsection (k)--
(A) in paragraph (1), by inserting before the period at the
end of the first sentence the following: ``, which provides a
separate bedroom for each tenant of the residence'';
(B) in paragraph (2), by striking the first sentence, and
inserting the following: ``The term `person with disabilities'
means a household composed of one or more persons who is 18
years of age or older and less than 62 years of age, and who
has a disability.'';
(C) by striking paragraph (3) and inserting the following
new paragraph:
``(3) The term `supportive housing for persons with
disabilities' means dwelling units that--
``(A) are designed to meet the permanent housing needs of
very low-income persons with disabilities; and
``(B) are located in housing that make available supportive
services that address the individual health, mental health, or
other needs of such persons.'';
(D) in paragraph (5), by striking ``a project for''; and
(E) in paragraph (6)--
(i) by inserting after and below subparagraph (D) the
matter to be inserted by the amendment made by section 841
of the American Homeownership and Economic Opportunity Act
of 2000 (Public Law 106-569; 114 Stat. 3022); and
(ii) in the matter inserted by the amendment made by
subparagraph (A) of this paragraph, by striking ``wholly
owned and''; and
(8) in subsection (l)--
(A) in paragraph (2), by striking ``subsection (c)(1)'' and
inserting ``subsection (d)(1)''; and
(B) in paragraph (3), by striking ``subsection (c)(2)'' and
inserting ``subsection (d)(2)''.
SEC. 6. AUTHORIZATION OF APPROPRIATIONS.
Subsection (m) of section 811 is amended to read as follows:
``(m) Authorization of Appropriations.--There are authorized to be
appropriated for providing assistance pursuant to this section
$300,000,000 for each of fiscal years 2011 through 2015.''.
SEC. 7. GAO STUDY.
The Comptroller General of the United States shall conduct a study
of the supportive housing for persons with disabilities program under
section 811 of the Cranston-Gonzalez National Affordable Housing Act
(42 U.S.C. 8013) to determine the adequacy and effectiveness of such
program in assisting households of persons with disabilities. Such
study shall determine--
(1) the total number of households assisted under such program;
(2) the extent to which households assisted under other
programs of the Department of Housing and Urban Development that
provide rental assistance or rental housing would be eligible to
receive assistance under such section 811 program; and
(3) the extent to which households described in paragraph (2)
who are eligible for, but not receiving, assistance under such
section 811 program are receiving supportive services from, or
assisted by, the Department of Housing and Urban Development other
than through the section 811 program (including under the Resident
Opportunity and Self-Sufficiency program) or from other sources.
Upon the completion of the study required under this section, the
Comptroller General shall submit a report to the Congress setting forth
the findings and conclusions of the study.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.